According to court documents, from at least as early as Feb. 6, 2007 until at least Jan. 3, 2012, Penguin Properties and Lynn conspired with others not to bid against one another, but instead to designate a winning bidder to obtain selected properties at public real estate foreclosure auctions in Fulton County, Ga. Penguin Properties and Lynn were also charged with a conspiracy to use the mail to carry out a scheme to fraudulently acquire title to selected Fulton County properties sold at public auctions, to make and receive payoffs and to divert money to co-conspirators that would have gone to mortgage holders and others by holding second, private auctions open only to members of the conspiracy. The department said that the selected properties were then awarded to the conspirators who submitted the highest bids in the second, private auctions.
The majority of time spent in foreclosure courtrooms is not spent responding to motions or issues raised by defendants, rather the time in foreclosure courtrooms is spent with Plaintiffs trying to correct all the lies and the inaccuracies in their pleadings while courts and judges try to decide just how much wiggle room and flexibility they should grant to the Plaintiffs who have screwed their cases up so badly. In my estimation, courts are bending over far too much to apologize and ignore the mistakes and misdeeds of the banks that have created such chaos and damaged threatened the national security of these United States of America.
Kaye-Eddie and the now-defunct Loan Tech processed and submitted applications for FHA-insured mortgage loans that included false statements, including fraudulent rental agreements falsely stating, unbeknownst to the borrowers, that the borrowers were receiving rental income when they were not. Without the falsely documented rental income, the borrowers would not have qualified for FHA-insured loans. The homes were in the Eastern District of California in Sacramento, West Sacramento, and Williams, California. All but one of the loans have been delinquent at some point, and two of the homes have gone into foreclosure.
The Justices are soliciting amicus briefs. Whether Mortgage Electronic Registration Systems ("MERS") has standing to pursue a foreclosure in its own right as a named "mortgagee" with ability to act limited solely as a "nominee" and without any ownership interest or rights in the promissory note associated with the mortgage; whether the prospective mandate of Eaton v. Federal National Mortgage Association, 462 Mass. 569 (2012), applies to cases that were pending on appeal at the time that case was decided. The case is scheduled for argument in April 2013.
Bill Sloan, Esq., in the 9th Judicial Circuit of Common Pleas in Charleston, South Carolina successfully turned the head of at least one judge, citing the United States Supreme Court case of Carpenter v Longen, 83 U.S. 271, 16 Wall. 271, 21 L. ed. 313 (1872). I might add that in the BP litigation, the Circuit Court of Appeals just issued a ruling on the same topic and said “Absent a loss , a claimant has suffered no injury. Unless a claimant can colorably assert a loss, it lacks standing. See Lujan v. Defenders of Wildlife, 504 U.S., 560 (1992) (noting that an injury is a required element of constitutional standing))… if a claimant has suffered a loss, but has no colorable claim that the loss was caused by the spill, it also lacks standing and cannot state a claim.” IN RE DEEP WATER HORIZON 5TH CIRCUIT COURT OF APPEALS FILED OCTOBER 2, 2013 CASE NO 13-30315.
First, in most cases, the securitization process never happened despite the pile of paper generated by the sham securitization scheme. The “mismanaged” money of investors really amounts to intentionally NOT depositing the investor money into the trusts that had issued the bonds. It also represented a whole different world of underwriting that broke every rule in the book for risk management. But that was the point. They wanted the risk to be higher than was advertised so they could bet, on inside information that only the banks had, that the loans and bonds would fail or be substantially diminished roughly in proportion to the drop in real estate prices.
As I am litigating directly now I see evidence of the same trends discussed in the New York Times article. I adopted a different stance than most foreclosure defense attorneys whose strategies are not less valid than my own. They just don’t suit me. I am accustomed to being the aggressor. So I enter a cases in which the bank has been delaying prosecution of the foreclosure case and step up the pace. The Judges here in Tallahassee and elsewhere are taking note — that the banks are curiously opposing our attempts to move the case along. The resulting shift in perception is palpable. Judges are looking at the files and realizing that it is not because of borrowers who frankly did nothing in the file, but because of the banks who never prosecuted the case.
A former top executive at theCredit Suisse Groupsentenced to two and a half years in prison on Friday for inflating the value of mortgage bonds as the housing market collapsed. The prison term makes the executive, Kareem Serageldin, one of the most senior Wall Street officials to serve time for criminal conduct during the financial crisis. Wearing a dark suit and blue tie, Mr. Serageldin remained stoic as Judge Alvin K. Hellerstein of the United States District Court in Manhattan handed down the sentence, which was less than the roughly five-year sentence called for by nonbinding sentencing guidelines. Judge Hellerstein showed mercy on Mr. Serageldin in part because of what he said was a toxic culture at Credit Suisse and its rivals.
As I’ve been carefully examining the judgments that are being entered in the midst of the purge, the thing that is most compelling by far is the vast number of foreclosure cases that go through the system completely undefended. Right now foreclosure cases filed in 2007-2010 are being cleared more quickly than ever before…those cases had the highest levels of real big problems. Fraud, forgery, lies, crimes. But if no defendant and no attorney is there to resist that case, to fight bank perjury, to provide some push back…whatever is there to be done?