Helping Homeowners In Michigan
Archive for November 15th, 2010
NY POST – Fraud-closure Biz Fizzles Out; Populist Revolt Grows
November 15th, 2010 | 
Author: A couple of articles of interest from around the country regarding the foreclosure process.
Fraud-closure Biz Fizzles Out
Bank lawyers prosecuting the 80,000 foreclosure cases in New York are all but admitting that the cases they have filed over the past number of years have been riddled with fraud.
In the three weeks-plus since New York State Chief Judge Jonathan Lippman put the foreclosure lawyers on notice that any fraud in foreclosure paperwork would be met with severe penalties — he is making lawyers sign affirmations promising they took “reasonable” steps to make sure the legal papers are true — practically no new foreclosure cases have been filed, The Post has learned.
And existing cases have ground to a halt, a source close to the state’s foreclosure practice said.
“Banks do not want to be the first to test the new rules,” the source said.
The virtual shutdown of New York’s foreclosure business comes despite chest-thumping, bravado-filled statements made by some banks in October that they had nothing to be afraid of when it came to foreclosure fraud and that the lawsuits aimed at kicking delinquent homeowners from their houses would continue shortly.
It seems lawyers pressing the foreclosure cases are not willing to bet their law licenses on such claims.
Read more: New York Post
Foreclosure mess prompts growing number of public officials to slow down process
“Because the court is now on notice of the potential flaw in the system, we decided that we couldn’t turn a blind eye toward that,” Judge Eileen P. Gallagher, head of the Cuyahoga County court system’s foreclosure committee, said in an interview.
One month ago, the city of Chicago and the surrounding suburbs of Cook County became a foreclosure-free zone. It wasn’t the banks or judges that instituted the moratorium, because they were still moving cases forward at a rapid clip. The holdup was elsewhere: at the sheriff’s office.
Sheriff Thomas J. Dart, whose office is responsible for physically evicting delinquent homeowners, announced Oct. 19 that his deputies would “no longer be doing the banks’ work for them anymore.”
“I can’t possibly be expected to evict people from their homes when the banks themselves can’t say for sure everything was done properly,” he explained.
After reading about problems such as banks “robo-signing” foreclosure documents without verifying their accuracy, Dart asked that attorneys for mortgage companies sign something personally confirming that evictions are justified. None did. So Dart has refused to honor their requests.
There’s now a backlog of over 1,000 evictions in his office, and the pile is growing each day.
Frustrated by the banks’ response to the foreclosure mess, a growing number of public officials – including chief judges, attorneys general and sheriffs from jurisdictions big and small – are pushing the boundaries of their powers to slow down foreclosures in their areas.
The new challenges are throwing a wrench into the plans of mortgage companies, which in recent weeks have tried to put the robo-signing mess behind them by rapidly reviewing or fixing their paperwork and resuming foreclosures. Such challenges, experts say, are likely to further prolong a foreclosure process that already takes an average of 16 months to complete – helping homeowners facing eviction but hurting the still-fragile housing market.
The allegations of improper foreclosures “have incited something of a populist revolt, and it’s become a political issue,” said Clifford Rossi, a former Citigroup lending official who teaches business at the University of Maryland. While there seemed to be some optimism in the industry that the worst of the crisis has passed, the new roadblocks are “again creating an air of uncertainty,” he said.
In D.C. and Maryland
In the District, for example, Attorney General Peter Nickles said on Oct. 27 that the law requires every transfer of a mortgage from one party to another to be recorded within 30 days of the transaction. That created an opening for foreclosure challenges; such transfers often went unrecorded when mortgages were packaged and resold as investments on Wall Street through the securitization process.
In Maryland, the state’s highest court adopted an emergency rule on Oct. 19 allowing judges to appoint experts to study paperwork in foreclosure proceedings and to require lawyers to swear to their accuracy.
And in New York state, the chief judge on Oct. 20 issued an order similar to Dart’s, requiring that attorneys for mortgage companies sign affidavits saying they had verified the accuracy of the documents submitted, under “penalties of perjury.” Ohio’s Cuyahoga County, which includes Cleveland, followed suit last week. The county’s judges also said they would give mortgage servicers 30 days to ensure their paperwork is sound – or their cases would be dismissed.
Catch the rest Washington Post
Keep em comin Ariana…
Posted in Banks, Corruption, Economic Crisis, Financial System, Foreclosuregate, Foreclosures, Fraud | 
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IMF Ready to "Help" Ireland; Can the IMF "Help" Anyone?
The IMF is ready, willing, and able to “Help” Ireland according Dominique Strauss-Kahn, the IMF Managing Director.
Please consider Strauss-Kahn Says IMF Can Help Ireland’s ‘Difficult’ Situation
The International Monetary Fund stands ready to help Ireland if needed, its managing director said, as market concern about the country’s debt crisis continues.
“Everybody knows that the situation with Ireland, it’s a difficult situation,” IMF Managing Director Dominique Strauss-Kahn told reporters today in Yokohama, Japan. “So far I haven’t received any kind of request. I think they can manage well. If at one point in time, tomorrow, in two months or two years, the Irish want support from the IMF, we will be ready.”
Bailing out Ireland’s financial system could cost as much as 50 billion euros under a “stress case” scenario compiled by the Finance Ministry and central bank. The country’s gross funding need for 2011 will be 23.5 billion euros, falling to 18.6 billion euros in 2014, the nation’s debt agency said yesterday.
Can the IMF “Help” Anyone?
Inquiring minds are asking “Can the IMF Help Anyone?”
That’s a good question. Mish readers may be shocked by my answer: “Yes It Can!”
The irony is no country in its right mind should ever accept “help” from the IMF.
This apparent paradox can be explained by the fact that “help” from the IMF is akin to tossing an anchor to a struggling swimmer.
Help does not go to the country accepting the offer of help. Rather “help” goes to the creditor nations who would otherwise bear the risk of a default by the debtors.
In this case, the IMF will not help Ireland. Instead, the IMF would screw the citizens of Ireland while bailing out the bondholders. Who are those bondholders?
The answer of course is banks in Britain, Germany, the United States and France.
Irish banks, bonds hit as EU eyes survival plan
Please consider Irish banks, bonds hit as EU eyes survival plan
Shares in Ireland’s banks hit record lows and national borrowing costs reached new euro-era highs Monday as the government presented its latest plans for financial survival to the European Union’s economic commissioner, who has the power to order changes.
The interest rates charged on the treasuries of Ireland, as well as fellow indebted euro-zone members Portugal and Spain, have been rising ever since German Chancellor Angela Merkel last month said she expected any future EU bailouts to come with new rules requiring bondholders to absorb some losses.
But Ireland is experiencing by far the greatest skepticism from would-be lenders, who look with horror at Ireland’s projected deficit of 32 percent of GDP, a modern European record.
Bank of Ireland and Allied Irish have received billions in state aid to cover their dud loans to bankrupt construction tycoons, while Irish Life & Permanent has received no bailout help but is most exposed to Ireland’s depressed market for residential property.
Traders said a widely read article in the Irish Times by University College Dublin economics Professor Morgan Kelly – known in Ireland as “Dr. Doom” because of his accurate forecasts of the death of the Celtic Tiger economy – added to the gloom.
Kelly forecast that state support for banks would cost taxpayers an extra euro30 billion beyond the euro45 billion to euro50 billion declared last month by Lenihan. He accused the government of maintaining “a dreary and mendacious charade” on the true scale of property-based losses in the pipeline.
Kelly called the current deficit-fighting push “an exercise in futility” and rated Ireland’s financial fate alongside that of the Titanic. He said there was no point trying to cut billions from the budget “when the iceberg of bank losses is going to sink us anyway.”
“We are no longer a sovereign nation in any meaningful sense of that term. From here on, for better or worse, we can only rely on the kindness of strangers,” Kelly concluded.
As the traditional owners of Irish treasuries – chiefly banks in Britain, Germany, the United States and France – seek to dump them because of their falling value and increased perceived risk, new sellers can be attracted only by offering higher yields.
Traders say the main buyer of Irish bonds in recent weeks has been the European Central Bank.
Reject Phony Offer of Help
Irish voters, if they have a chance, should reject this phony offer of “help” from the IMF, the EU or whoever. Merkel has it ALMOST correct when she said “any future EU bailouts to come with new rules requiring bondholders to absorb some losses.”
I say “almost” because the future is now. In addition, I say “almost” because “some of the losses” is inadequate. Bondholders should suffer losses down to the last penny. If they are wiped out, so be it.
The citizens of Ireland should not be responsible for those losses. In short, they should tell the IMF to “Go to Hell”. The simple way to do that is default.
To get its economy functioning again, Ireland will still need austerity measures, public sector reforms, bank reforms and other initiatives, but it certainly does not need any anchors from the IMF. Ireland has enough problems already.
Mike “Mish” Shedlock
http://globaleconomicanalysis.blogspot.com
Posted in Banks, Corruption, Debt, Economic Crisis, Economy, Financial System, Government, IMF, International Monetary Fund, Ireland, Money |
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111 Obamacare Waivers And Counting – Can The Rest Of Us Get Waivers From Having To Comply With Obamacare Please?
In a stunning admission of just how job-killing and business-crushing the new health care law really is, the Obama administration has issued a staggering total of 111 Obamacare waivers (and counting) so far. The list of the dozens of companies and organizations that have been approved for a waiver is very, very deeply buried on the website of the Department of Health & Human Services. In fact, it takes six separate clicks to get to the list. Some of the companies that have been granted waivers include McDonald’s, Darden Restaurants (owners of the Olive Garden and Red Lobster restaurant chains), Aetna, the United Federation of Teachers Welfare Fund in New York, and Dish Network. These Obamacare waivers cover a total of 1.2 million Americans. However, as news of these waivers spreads, it is inevitable that thousands more companies will want to apply. In the end, tens of millions of Americans may be covered by health plans that have been exempted from Obamacare. So can the rest of us get in on this action or is the Obama administration going to play favorites with these waivers?
So far, the Obamacare waivers have primarily been granted to companies that offer very limited health plans. The Obama administration has apparently been afraid of the public relations nightmare that would result if dozens of companies suddenly started dropping health coverage for their employees. The following is how the New York Times recently described what is going on with these waivers….
Last month, federal officials granted dozens of one-year waivers that were aimed at sparing certain employers, including McDonald’s, insurers and unions who offer plans that sharply limit the coverage they provide. These limited-benefit plans, also known as “minimeds,” fail to comply with new rules phasing out limits on how much policies will provide in medical care each year.
So do you want to get an Obamacare waiver for your own company? Well, just over a week ago the Department of Health & Human Services published a set of new guidelines for those seeking to apply for a waiver. As news of these waivers starts to spread they will likely get absolutely swamped with applications, so you better get yours in early. In fact, it is being reported that the number of approved applications has tripled in just the last month alone.
But these waivers raise some very important questions.
-If Obamacare is such a great law, shouldn’t it apply equally to everybody?
-If Obamacare is going to cause firms to drop their “mini-med” health plans, shouldn’t all firms with “mini-med” plans be given a blanket exemption?
-Are all firms that apply for an Obamacare exemption going to be given one or will the Obama administration be playing favorites?
-Won’t firms that are granted these Obamacare waivers be given a very substantial competitive advantage over other firms in the same industry that do not have an exemption?
-What does it say about an administration when they grant dozens upon dozens of exemptions from a law that they spent months upon months selling to the American people as the ultimate solution to our health care problems?
The following is a recent video news report about these Obamacare exemptions…..
The truth is that the U.S. health care system was deeply broken before Obamacare, and after the new health care law the U.S. health care system is still deeply broken.
Before Obamacare, the U.S. health care system was all about making as much money as possible for health insurance companies and the pharmaceutical industry. After Obamacare, the U.S. health care system is still about making as much money as possible for health insurance companies and the pharmaceutical industry, only now we all have to deal with more suffocating layers of government bureaucracy and much higher health insurance premiums.
The entire health care system in the United States should be dismantled and built again from scratch. It was a complete and total nightmare before Obamacare and it is still a complete and total nightmare.
Posted in Barack Obama, Corruption, Economy, Government, health care reform, Obamacare |
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Pile-On Bernanke Gathers Steam
We believe the Federal Reserve’s large-scale asset purchase plan (so-called “quantitative easing”) should be reconsidered and discontinued. We do not believe such a plan is necessary or advisable under current circumstances. The planned asset purchases risk currency debasement and inflation, and we do not think they will achieve the Fed’s objective of promoting employment.
We subscribe to your statement in the Washington Post on November 4 that “the Federal Reserve cannot solve all the economy’s problems on its own.” In this case, we think improvements in tax, spending and regulatory policies must take precedence in a national growth program, not further monetary stimulus.
We disagree with the view that inflation needs to be pushed higher, and worry that another round of asset purchases, with interest rates still near zero over a year into the recovery, will distort financial markets and greatly complicate future Fed efforts to normalize monetary policy.
The Fed’s purchase program has also met broad opposition from other central banks and we share their concerns that quantitative easing by the Fed is neither warranted nor helpful in addressing either U.S. or global economic problems.
The signature list is….. impressive.
In response The Fed said:
“As the Chairman has said, the Federal Reserve has Congressionally-mandated objectives to help promote both increased employment and price stability. In light of persistently weak job creation and declining inflation, the Federal Open Market Committee’s recent actions reflect those mandates. The Federal Reserve will regularly review its program in light of incoming information and is prepared to make adjustments as necessary. The Federal Reserve is committed to both parts of its dual mandate and will take all measures to keep inflation low and stable as well as promote growth in employment. In particular, the Fed has made all necessary preparations and is confident that it has the tools to unwind these policies at the appropriate time. The Chairman has also noted that the Federal Reserve does not believe it can solve the economy’s problems on its own. That will take time and the combined efforts of many parties, including the central bank, Congress, the administration, regulators, and the private sector.”
Note the lie.
Price Stability does not mean “low inflation.” It means zero inflation.
That’s what stable is.
If your income is “stable” it is neither going up or down. If the level of water in your pool is “stable” you don’t need to put $100 a month worth of city water into it in order to keep it full because some is “leaking out” – it’s stable – that is, at the same level.
If your bank balance is “stable” then the amount of money you have is neither going up or down.
The upside for The Fed’s BS game is very low. Your own economists think we might get a half-percent in GDP out of this. I think they’re nuts – we’ll get less GDP, because input cost ramps create margin compression which in turn drives up risk premia in the bond market (lower prices, higher yields) and at the same time risks a stock market collapse.
A necessary condition for economic stability is a stable currency. Stable means that I can invest tomorrow and have a reasonable belief that my money will buy the same thing in 5, 10 or 20 years that it buys today. That is stable.
An expectation of constant debasement, which is what The Fed has pursued since 1913, has led to serial asset bubbles and ever-larger distortions in our economy. We were blessed with huge technological advances in the 1950s and again in the 1980s – but instead of using them to build a long-term sustainable future, which requires a stable currency over decades, The Fed’s policy caused people to squander that opportunity and instead chase assets in an attempt to stay ahead of the inflation monster.
This is a colossal failure of policy and a violation of black-letter law – never mind your willful blindness to criminal activity, as exposed here (once again) below.
Posted in Banks, Ben Bernanke, Corruption, Economic Crisis, Economists, Economy, Federal Reserve, Financial System, Fraud, Government, Money, QE-2, quantitative easing |
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Ben Bernanke Confronted
Federal Reserve Chairman Ben Bernanke gets an unwanted visitor.
Posted in Banks, Ben Bernanke, Corruption, Debt, Economic Crisis, Economy, Federal Reserve, Financial System, Fraud, Government, Money |
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proudly supports:
Bill Still For President
for Congress
Michigan 11th District
By Bill Still
There is only one answer for the world economic situation; monetary reform.
1. No More National Debt
2. No More Fractional Lending
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