Entries by DailyBail (6219)
Bank of America Sued by Arizona, Nevada Over Fraud In Mortgage Modification Program
Legal actions against Bank of America are piling up, this time from Attorneys General in Nevada and Arizona, housing bubble ground zero.
Foreclosure fraud class actions pile up against banks
Bank of America's Brian Moynihan has been spending some time in Washington recently lobbying begging for relief from the courts.
Josh Rosner: "Foreclosure Fraud Nightmare Scenario Could Dwarf The Lehman Weekend"
With the chain of documentation now in question, and trustee ownership in question, here is one legal scenario, according to Prof. Levitin:
The mortgage is still owed, but there's going to be a problem figuring out who actually holds the mortgage, and they would be the ones bringing the foreclosure. You have a trust that has been getting payments from borrowers for years that it has no right to receive. So you might see borrowers suing the trusts saying give me my money back, you're stealing my money. You're going to then have trusts that don't have any assets that have been issuing securities that say they're backed by a whole bunch of assets, and you're going to have investors suing the trustees for failing to inspect the collateral files, which the trustees say they're going to do, and you're going to have trustees suing the securitization sponsors for violating their representations and warrantees about what they were transferring.
Dylan Ratigan With Rep. Marcy Kaptur: MERS Whitewash & Fraudclosure Cover-Up
Editor's Note: A repost from last month in honor of this decision by the Massachusetts Supreme Court.
Former Goldman Sachs Executive Gene Sperling Floated As Larry Summers Replacement
Updated on Jan 8, 2011 at 2:43 PM by
DailyBail
