Sunday, August 28, 2011

POWER POLITICS - WHAT ERIC SCHNEIDERMAN REVEALS ABOUT OBAMA

As posted at naked capitalism


Posted: 28 Aug 2011 02:15 AM PDT

By Matt Stoller, a fellow at the Roosevelt Institute. He is the former Senior Policy Advisor to Rep. Alan Grayson. You can reach him at stoller (at) gmail.com or follow him on Twitter at @matthewstoller

A lot of people have asked why New York Attorney General Eric Schneiderman is going after the banks as aggressively as he is. It’s almost unbelievable that one lone elected official, who happens to have powerful legal tools at his disposal, is doing something that no one with any serious degree of power has done. So what is the secret? What kind of machinations is he undertaking that no one else has been able to do?

I’ve known Schneiderman for a few years, back when he was a state Senator working to reform the Rockefeller drug laws. And my answer to this question is pretty simple. He wants to. That’s it. Eric Schneiderman is investigating the banks because he thinks it’s the right thing to do. So he’s doing it. This guy has thought about his politics. He wrote an article about how he sees politics in 2008 in the Nation, and in his inaugural speech as NY AG he talked about the need to restore faith in both public and private institutions. Free will still counts for something, apparently.

In all the absurdly stupid punditry, the simple application of free will to our elected officials goes missing. Yeah, Obama got money from Wall Street. But Obama is choosing to pursue a policy of foreclosures and bank bailouts not because of any grand corporate scheme. He just wants to. He thinks it’s the right thing to do, and he’s doing it. If you don’t think it’s the right thing to do, then you shouldn’t be disappointed in him any more than you might have been disappointed in Bush. Obama is not trying to do the opposite of what he’s doing, he’s not repeatedly suckered by Republicans, and he isn’t naive or stupid. Obama is simply doing what he thinks is right. So is Eric Schneiderman. So is Tom Miller. So are any number of elected officials out there.

In positions of power, the best expression I heard is that “up there the air is thin”. That is, you have enormous latitude, if you want to use it. Power can be wielded creatively and effectively on behalf of whatever it is the wielder wants. Now of course there are constraints, plenty of them. Smart politicians spend their time working to maximize the constraints they want to impose and weakening the ones they want to overcome. But the basic Reaganite liberal argument defending supplication towards Obama these days is that Obama is “disappointing”. In this line of thought, powerful corporate interests and Republicans are preventing him from enacting what his real agenda would be were he unfettered by this mean machine. Eric Schneiderman, who is in a far less powerful position as New York Attorney General, shows that this is utter hogwash. Obama is who he is, and anyone who thinks otherwise is selling something.

The banking system is really at the heart of our politics, which is why it’s such a great test of one’s political theory of change. I’ve been following the foreclosure fraud story for a few years now, because it’s the tail end of a massive economy-wide fraud scheme that started as early as 2003. The securitization chain failure can’t be put back in the bottle, the housing system it collapsed is simply too big to bail. So elites keep trying to patch this up the way they have everything else. It isn’t working. And their scheme has been obvious and obviously dishonest. Along with Obama (who I criticized as empty as early as 2004, ratcheting this up to dishonest and authoritarian by 2006-2007), I pointed out that Iowa Attorney General Tom Miller was engaged in serious bad faith only a few months after the negotiations started.

I’m no genius, I just listened to what these people actually said and did. Obama mocks the idea that he is an honest politician, overtly, lying about NAFTA and FISA very early on in power. Miller lied to activists about being willing to put bankers in jail, and then said he was negotiating with banks in secret. It was overt. For Miller, as with Obama, few people really picked up on the lies until recently. Iowa activists who heckled Miller got it, as did Naked Capitalism readers. Now it’s becoming more and more obvious. That’s just how it is, I suppose, people in the establishment are paid to not notice corruption until the harsh glare is too bright.

The crazy thing is that robosigning is apparently still going on. Right now, the “settlement” talks are the equivalent of law enforcement negotiating with a serial killer over whether he’ll get a parking ticket, even as he continually sprays bullets into the neighborhood. Even having these “settlement” talks when the actual crimes haven’t been investigated or a complaint hasn’t been registered should be example enough that this process is rigged as badly as Dodd-Frank. It should not be a surprise that the administration is putting pressure on Eric Schneiderman, that Tom Miller is kicking him out of the club house. That’s who these people are. It’s what they believe in. Just as it should not be a surprise, though it is laudable, that Schneiderman isn’t knuckling under to the administration. I suspect he probably is laughing at the idiocy of Miller’s pressure tactic. I mean, this is a guy going up some of the most powerful entities in the United States: Bank of New York Mellon, Bank of America, the New York Fed, etc. And the Iowa Attorney General isn’t going let him on conference calls? Mmmkay.

When you look closely at most significant areas of government, it becomes clear that the President and his administration are enormously powerful actors who get a lot done. Handing over our national wealth to the banks and to China is not nothing. These people are reorganizing the economy and the political system so that there are no constraints on the oligarchical interests that fund and pay them. That is their goal, it has been their goal from day one (or even before that), and anyone who says otherwise is just wrong or deluding him or herself. Obama spoke at the founding of Robert Rubin’s Hamilton Institute, and his first, and most important by far policy initiative, was his whipping for TARP, a policy that was signed by Bush but could not have passed without Obama getting his party in line. That was his goal, and he’s still pursuing it. The numerous “what happened to Obama” wailing editorials overlook the consistency of his policy agenda, which stretches back years at this point.

If someone worked or works for the Obama administration, or the Department of Justice, or any other executive branch agency, they need to remember their service as a mark of shame for the rest of their lives. Remembering how they participated in this example of how to govern is literally the least they could do for the damage they have caused. I would leave out the small number of people who are there to overtly prevent as much damage as possible, and those who resign or are fired in protest.

For the rest of the Democratic Party, well, reality is just beginning to intrude into the fantasy-land of partisans, even though the 2010 loss should have delivered a searing wake-up call to the failure Obama’s policy agenda. From 2006-2008, the Bush administration’s failures crashed down upon conservatives, and they in many ways could not cope. But their intellectual collapse was bailed out by Obama. Faux liberals are seeing their grand experiment in tatters, though right now they can only admit to feeling disappointed because the recognition that they have been swindled is far too painful. And the recognition for many of the professionals is even more difficult, because they must recognize that they have helped swindle many others and acknowledge the debt they have incurred to their victims. The signs of coming betrayal were there, but in the end it all comes down to judging people based on what they do and who they choose as opponents. And this Democratic partisans did not do, choosing instead a comfortable delusional fantasy-land where foreclosures don’t matter and theft enabled by Obama (and Clinton before him) doesn’t matter.

Eric Schneiderman’s willingness to go after the banks and stand up to the corruption of the Bush and Obama administrations should be a reminder to all of us of this. We have free will. He is doing the right thing for no other reason than because he wants to, because he believes in it. He is going to face serious consequences for this, very nasty stuff. Eliot Spitzer was taken down and his name dragged through mud because of who he took on. Paying ugly costs for standing up is routine, unfortunately, in modern America. And the least powerful among us face far worse consequences than politicians who are embarrassed. But integrity exists, and Schneiderman is showing that free will can be exercised in its service.

This fact is true of many people, not just Schneiderman; Bill McKibbin, Jane Hamsher, Dan Choi and others just got arrested in front of the White House to register dissent. So next time someone tells you that you have no choice but to support one of the two branches of the banking party, just remember, you also have free will. And the only person who can take that away from you, is you.

Friday, August 26, 2011

WHO OWNS THE FEDERAL RESERVE

WHO OWNS THE FEDERAL RESERVE: http://www.save-a-patriot.org/files/view/whofed.html

How Chase Ruined Lives of People Who Paid Off Their Mortgages

How Chase Ruined Lives of People Who Paid Off Their Mortgages

JPMorgan Chase sues the US Treasury

http://www.scribd.com/doc/63182477/JP-Morgan-Chase-v-Treasury

OBAMA'S DEAL FOR THE BANKERS: AMNESTY FOR THE INDEFENSIBLE

As a homeowner fighting fraud and corruption in dealing with JPMorgan Chase Bank, NA and Chase Home Finance LLC, who are perpetrating a fraud on our nation and homeowners across America, I am outraged by President Obama and his administration. The banks got the bail out.  The homeowners get the shaft.  Now the banks are going to get amnesty -- BUT IF YOU TRY TO HOLD OUT IN YOUR HOME (ILLEGALLY FORECLOSED AND SOLD AT AUCTION ON THE COURTHOUSE STEPS) YOU -- THE HOMEOWNER -- ONE OF THE PEOPLE WILL BE ARRESTED AND GO TO JAIL!!!  SHAME ON YOU, BARACK OBAMA, SHAME ON YOU!!!! 


Obama's Deal for the Bankers: Amnesty for the Indefensible

Links:
[1] http://www.truthdig.com/report/item/amnesty_for_the_indefensible_20110823/
[2] http://www.powells.com/partner/35280/biblio/9781568584348?p_ti
[3] http://www.powells.com/cgi-bin/imageDB.cgi?isbn=9781568584348&t=60

Wednesday, August 24, 2011

OBAMA SELLS OUT TO THE DIRTY BANKSTER DEAL -- REPR...

OBAMA SELLS OUT TO THE DIRTY BANKSTER DEAL -- REPREHENSIBLE

President Barack Obama does not care one iota about the ordinary people in this country. He appears to be a Republican disguised in Democrat clothing. The banks are criminals who are being allowed to continue their high crimes unfettered and free -- a mere slap on the hands. Obama has been in bed with the banks all along. He is no better than Jamie Dimon -- they are two peas in a very avaricious shady pod.

SHAME ON OUR PRESIDENT!!!! SHAME ON THE ATTORNEYS GENERAL!!!!!

PRAISE TO NY AG ERIC SCHNEIDERMAN!!!!

http://www.rollingstone.com/politics/blogs/taibblog/obama-goes-all-out-for-dirty-banker-deal-20110824

NY AG Schneiderman Removed from Mortgage Inquiry Panel by Tom Miller

This blatantly shows the American people that the banks and a few politicians are owned by the banks.  Shame on Tom Miller, AG of Iowa.  Shame on any of the Attorneys General who supported removing a strong voice for the American people from this panel.  God help the American people because our leaders certainly will not!

http://www.nytimes.com/2011/08/24/business/schneiderman-removed-from-mortgage-inquiry-panel.html?_r=1

Monday, August 22, 2011

A MUST READ -- AFTER THE STORM THE FORECLOSURE FRAUD AND ROBOSIGNING CONTINUES

Foreclosure fraud and robo-signing are alive and well in the United States of America.  Nothing has changed since September 2010 when the AGs called for a halt to the fraudulent and deceptive bank practices.  Despite tremendous efforts the nation's mortgage industry continues to manufacture, fabricate, and destroy evidence despite the inherent risks and ramifications since over 90% of borrowers do NOT challenge their foreclosures.  No banker has been put behind bars.

They cannot fight back because they cannot find ethical attorneys who are affordable to represent them.  Likewise the judges and courts seem to be content in remaining uneducated as to the crimes being committed by the banks, title companies, and the trustees.  Our country -- our government -- our courts are now owned and controlled by the banksters. The banks and their collaborators are getting away with rampant fraud and no one seems to be doing anything to stop these crimes.  Banks are being allowed to steal the homes of good people across America.  Our communities and citizens are easy prey for the banks.  We need to hold the Obama administration, the US Attorney General, and the Attorneys General in every state in this country.



LET'S PUT AN END TO FORECLOSURE FRAUD AND ROBO-SIGNING HERE AND NOW! SAY NO TO THE AVARICE, GREED, AND DECEIT.

Corrupt Obama Administration Pressuring New York Attorney General to Support Mortgage Whitewash



IS OBAMA SUPPORTING BANKS OVER PEOPLE? HAS OBAMA BEEN CORRUPTED BY THE BANKS?

WHAT ABOUT OBAMA'S CLOSE RELATIONSHIP WITH CHASE CEO JAMIE DIMON?


 Exerpt from NAKED CAPITALISM:

"It is high time to describe the Obama Administration by its proper name: corrupt.

Admittedly, corruption among our elites generally and in Washington in particular has become so widespread and blatant as to fall into the “dog bites man” category. But the nauseating gap between the Administration’s propaganda and the many and varied ways it sells out average Americans on behalf of its favored backers, in this case the too big to fail banks, has become so noisome that it has become impossible to ignore the fetid smell.

The Administration has now taken to pressuring parties that are not part of the machinery reporting to the President to fall in and do his bidding. We’ve gotten so used to the US attorney general being conveniently missing in action that we have forgotten that regulators and the AG are supposed to be independent. As one correspondent noted by e-mail, “When officials allegiances are to El Supremo rather than the Constitution, you walk the path to fascism.”

Revealingly, one of the Administration’s allies said: “Wall Street is our Main Street.” And the worst is that this remark may not be a cynical Ministry of Truth pronouncement. Team Obama bears all the hallmarks of being so close to banks and big corporations that it has lost all contact with and understanding of mainstream America.

The latest example is its heavy-handed campaign to convert New York state attorney general Eric Schneiderman to a card carrying member of the “be nice to our lords and masters the banksters” club. Schneiderman was the first to take issue with the sham of the so-called 50 state attorney general mortgage settlement. As far as the Administration is concerned, its goal is to give banks a talking point and prove to them that Team Obama is protecting their backs in a way that the chump public hopefully won’t notice."

 TO READ MORE GO TO:
http://www.nakedcapitalism.com/2011/08/corrupt-obama-administration-pressuring-new-york-attorney-general-to-support-mortgage-whitewash.html#Blogroll

Friday, August 19, 2011

SEND IN THE CLOWNS – THERE OUGHT (NOT) TO BE CLOWNS – WELL, MAYBE NEXT YEAR!

Mass Joinder Lawsuit Update – California State Bar moves in on Irvine Attorney operation



Mass Joinder Lawsuit Update – California State Bar moves in on Irvine Attorney operation
Posted by Foreclosure Defense Attorney Steve Vondran on August 19, 2011
Many clients have called our offices asking us to discuss the mass joinder lawsuit.  This was a new phenomena that started about a year ago or so.  Some lawyers decided to start a service whereby they would charge advance fees to join a “mass joinder lawsuit.”  According to the link on this site the mass joinder solicitations were designed to look like official government mail pieces.

Many people (at least that I spoke with) told me they were informed they would get to stay in their houses for a long time without making a mortgage payment, and would have a good chance to get their mortgages reduced to market value.  This approach works because it is EXACTLY what a homeowner is hoping for.  So they request several thousand dollars to have you join the lawsuit and away you go.
Several months ago we told you the California State Bar was investigating these practices, but at the time we mentioned to just be vigilant, as there was no clear proof this was a mortgage rescue scam, or foreclosure rescue scam.

Now, the State bar of California has raided the offices in Irvine, California where some of these attorneys and lawyers were operating.  Apparently they collected millions of dollars in advance fees for loan modifications.  We have highlighted other attorneys on our sites that think they can do whatever they want when it comes to accepting advance fees for loan modifications.  These people who prey on California homeowners should be very concerned.  It is coming home to roost in a big way.

At any rate, these attorney sent out approximately 2 million mailers, (according the complaint filed by California authorities), and facebook pages were also being used.  19 people were being investigated.   

Hundreds of thousands of people paid between 5k-10k for these services.  Some persons had not even been joined to the lawsuit, and others had their homes foreclosed on after advance fees were paid.  What a mess.

For more information you can view our Foreclosure Radio show here which discusses the topic.

If you think your loan file may be contained in one of these boxes you may need to consult with a real estate lawyer to see what your rights are.

CALIFORNIA STATE BAR SAYS BEWARE OF PAYING ADVANCE FEES (CONSUMERS ARE ADVISED TO REPORT SUSPICIOUS ACTIVITY IMMEDIATELY).

WAMU CHASE HOMEOWNERS ACTION ALLIANCE: SEE HOW JAMIE DIMON LIVES -- NO FORECLOSURE IN HIS...

WAMU CHASE HOMEOWNERS ACTION ALLIANCE: SEE HOW JAMIE DIMON LIVES -- NO FORECLOSURE IN HIS...: http://www.businessinsider.com/jamie-dimon-chicago-home-2011-4 JPMorgan Paid $421,000 Of The Cost It Took To Sell Jamie Dimon's Gold Coast...

SALARIES AT JPMORGAN CHASE

JPMorgan Chase Salaries

Updated Aug 18, 2011 – Salaries posted anonymously by employees and employers.
3,702 Salaries: 110 of 782 Job Titles Sort by  
Salaries in USD  United States Avg. Salary
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Licensed Personal Banker
426 JPMorgan Chase Salaries
$34,167
$26k
$48k
Vice President
133 JPMorgan Chase Salaries
$124,943
$75k
$743k
Investment Banking Associate
127 JPMorgan Chase Salaries
$96,471
$77k
$130k
Applications Developer
125 JPMorgan Chase Salaries
$88,590
$60k
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Associate
107 JPMorgan Chase Salaries
$96,473
$40k
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Looking for a job? See the latest Jobs in San Francisco
Investment Banking Analyst
90 JPMorgan Chase Salaries
$65,458
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Business Analyst
85 JPMorgan Chase Salaries
$71,063
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Bank Teller - Hourly
68 JPMorgan Chase Salaries
$11.18/hr
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Analyst
68 JPMorgan Chase Salaries
$62,551
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Branch Manager
53 JPMorgan Chase Salaries
$60,443
$43k
$85k

Thursday, August 18, 2011

AG KAMALA HARRIS SUES LAW FIRMS ENGAGED IN NATIONAL MASS JOINDER MORTGAGE FRAUD


Attorney General Kamala D. Harris Sues Law Firms Engaged in National "Mass Joinder" Mortgage Fraud

SAN FRANCISCO --- Attorney General Kamala D. Harris today announced that the California Department of Justice, in conjunction with the State Bar of California, has sued multiple entities accused of fraudulently taking millions of dollars from thousands of homeowners who were led to believe they would receive relief on their mortgages.

Attorney General Harris sued Philip Kramer, the Law Offices of Kramer & Kaslow, two other law firms, three other lawyers, and 14 other defendants who are accused of working together to defraud homeowners across the country through the deceptive marketing of "mass joinder" lawsuits. "Mass joinder" lawsuits are lawsuits with hundreds, or more, individually named plaintiffs. This is the first consumer action by the Attorney General's Mortgage Fraud Strike Force.

Kramer's firm and other defendants were placed into receivership on Monday, Aug. 15. The legal actions were designed to shut down a scheme operated by attorneys and their marketing partners, in which defendants used false and misleading representations to induce thousands of homeowners into joining the mass joinder lawsuits against their mortgage lenders. Defendants also had their assets seized and were enjoined from continuing their operations. Nineteen DOJ special agents participated as the firms were taken over Wednesday, Aug. 17, along with 42 agents and other personnel from HUD's Office of Inspector General, the California State Bar, and the Office of Receiver Thomas McNamara at 14 locations in Los Angeles and Orange Counties. Sixteen bank accounts were seized.

"The defendants in this case fraudulently promised to win prompt mortgage relief for millions of vulnerable homeowners across the country," said Attorney General Harris. "Innocent people, already battered by the housing crisis, were targeted for fraud in their moment of distress."

"The number of lawyers who have tried to take advantage of distressed homeowners in these tough economic times is nothing short of shocking," said State Bar President William Hebert. "By taking over the practices of four attorneys accused of fraudulent marketing practices, the State Bar can put a stop to their deplorable conduct as part of our ongoing effort to protect the public."

It is believed that at least two million pieces of mail were sent out by defendants to victims in at least 17 states. Defendants' revenue from this scam is estimated to be in the millions of dollars.

As alleged in the lawsuit, defendants preyed on desperate homeowners facing foreclosure by selling them participation as plaintiffs in mass joinder lawsuits against mortgage lenders. Defendants deceptively led homeowners to believe that by joining these lawsuits, they would stop pending foreclosures, reduce their loan balances or interest rates, obtain money damages, and even receive title to their homes free and clear of their existing mortgage. Defendants charged homeowners retainer fees of up to $10,000 to join as plaintiffs to a mass joinder lawsuit against their lender or loan servicer.

Consumers who paid to join the mass joinder lawsuits were frequently unable to receive answers to simple questions, such as whether they had been added to the lawsuit, or even to establish contact with defendants. Some consumers lost their homes shortly after paying the retainer fees demanded by defendants.

This mass joinder scam began with deceptive mass mailers, the lawsuit alleges. Some mailers, designed to appear as official settlement notices or government documents, informed homeowners that they were potential plaintiffs in a "national litigation settlement" against their lender. No settlements existed and in many cases no lawsuit had even been filed. Defendants also advertised through their web sites.

When consumers contacted the defendants, they were given legal advice by sales agents, not attorneys, who made additional deceptive statements and provided (often inaccurate) legal advice about the supposedly "likely" results of joining the lawsuits. Defendants unlawfully paid commissions to their sales representatives on a per client sign-up basis, a practice known as "running and capping."

Defendants' alleged misconduct violates the following laws:
-False advertising, in violation of section 17500 of the Business and Professions Code
-Unfair, fraudulent and unlawful business practices, in violation of section 17200 of the Business and Professions Code
-Unlawful running and capping, in violation of section 6152, subdivision (a) of the Business and Professions Code (i.e., a lawyer unlawfully paying a non-lawyer to solicit or procure business)
-Improper fee splitting (defendants unlawfully splitting legal fees with non-attorneys)
-Failing to register with the Department of Justice as a telephonic seller.

Homeowners who have paid to be added to one of the lawsuits should contact the State Bar if they feel they may be victims of this scam. They can also contact a HUD-certified housing counselor for general mortgage related assistance.

The Department of Justice has seized the practices of the following non-attorney defendants:
Attorneys Processing Center, LLC; Data Management, LLC; Gary DiGirolamo; Bill Stephenson; Mitigation Professionals, LLC; Glen Reneau; Pate Marier & Associates, Inc.; James Pate; Ryan Marier; Home Retention Division; Michael Tapia; Lewis Marketing Corp.; Clarence Butt; and Thomas Phanco.

The State Bar has seized the practices and attorney accounts of the attorney defendants:
The Law Offices of Kramer & Kaslow; Philip Kramer, Esq; Mitchell J. Stein & Associates; Mitchell Stein, Esq.; Christopher Van Son, Esq.; Mesa Law Group Corp.; and Paul Petersen, Esq.

Attorney General Harris is challenging the defendants' alleged misconduct in marketing their mass joinder lawsuits; her office takes no position as to the legal merits of any claims asserted in the mass joinder lawsuits filed by defendants.

Victims in the following states are known to have received these mailers, or signed on to join the case. This is a preliminary list that may be updated:

Alaska, Arizona, California, Colorado, Connecticut, Florida, Hawaii, Maryland, Massachusetts, Michigan, Missouri, Nevada, New Jersey, New York, Ohio, Texas, Washington

The complaint, temporary restraining order, examples of marketing documents and photos of the enforcement action are available with the electronic version of this release at http://oag.ca.gov/news.

CALIFORNIA ALERT: MASS JOINDER LAWSUITS AGAINST THE BANKS


ON 8/15/2011 THE LOS ANGELES COUNTY SUPERIOR COURT ISSUED AN INTERIM ORDER ASSUMING INTERIM JURISDICTION OVER THE LAW FIRM OF PHILIP A. KRAMER IN CALABASAS, CA. THE STATE BAR REMOVED ALL CLIENT FILES. CALL THE STATE BAR IF YOU WERE HIS CLIENT OR IN ONE OF HIS MASS JOINDER LAWSUITS.
In recent week various state offices have issued warnings about unlicensed law firms, mass joinder law suits, and loan modification services.  Today Foreclosuregate posted a blog about this issue stating in part the following:

"Over the last couple of months there have been a few warnings from various state offices related to unlicensed law firms and "mass joinder" suits and loan modification services.  I reported on one of them at the time.A few days ago the latest of what has been a handful of apparent spammers came into the forum and posted what could best be called a "weak tout" of these schemes.  I blocked the account and emailed the person, asking for identification and their affiliation with these entities, stating that I would not restore the account or their post until they contacted me. There was no reply. Today I heard allegations of an apparent raid on at least one - and maybe more than one - of the law firms involved.
"The phone number 818-224-3900 now has a voice message allegedly from the California Bar.  A quick Google search appears to link this number to Kramer and Kaslow in multiple hits including a press release from FebruaryIf you were in any way doing business with these folks you ought to call that number and listen."
I personally telephoned 818-224-3900.  The call was referred to the State Bar of California. Instructions were given to clients doing business with the firm. A further google search revealed the following:

The following information is from the official records of The State Bar of California.
Bar Number: 113969
Address: Kramer & Kaslow
23901 Calabasas Rd Ste 2010
Calabasas, CA 91302
Map it
Phone Number: (818) 224-3900
Fax Number: (818) 224-3911
e-mail: PhilipKramer@kramer-kaslow.com 
County: Los Angeles
Undergraduate School: Ohio State Univ; Columbus OH
District: District 7
Sections: None Law School: Catholic U of Amer Columbus SOL; Washington DC

To read more about this go to:

http://market-ticker.org/akcs-www?blog=Market-Ticker&page=1&cat=Foreclosuregate

Monday, August 15, 2011

FBI'S 2010 MORTGAGE FRAUD REPORT





Scope Note
The purpose of this study is to provide insight into the breadth and depth of mortgage fraud crimes perpetrated against the United States and its citizens during 2010. This report updates the 2009 Mortgage Fraud Report and addresses current mortgage fraud projections, issues, and the identification of mortgage fraud “hot spots.” The objective of this study is to provide FBI program managers and the general public with relevant data to better understand the threat posed by mortgage fraud. The report was requested by the Financial Crimes Section, Criminal Investigative Division (CID), and prepared by the Financial Crimes Intelligence Unit (FCIU), Directorate of Intelligence (DI). 

This report is based on FBI; federal, state, and local law enforcement; mortgage industry; and open-source reporting. Information was also provided by other government agencies, including the U.S. Department of Housing and Urban Development-Office of Inspector General (HUD-OIG), the Federal Housing Administration (FHA), the Federal National Mortgage Association (Fannie Mae), the Federal Home Loan Mortgage Corporation (Freddie Mac), and the U.S. Treasury Department’s Financial Crimes Enforcement Network (FinCEN). Industry reporting was obtained from LexisNexis, Mortgage Asset Research Institute (MARI), RealtyTrac, Inc., Mortgage Bankers Association (MBA), Interthinx, and CoreLogic. Some industry reporting was acquired through open sources.

While the FBI has high confidence in all of these sources, some inconsistencies relative to the cataloging of statistics by some organizations are noted. For example, suspicious activity reports (SARs) are cataloged according to the year in which they are submitted, but the information contained within them may describe activity that occurred in previous months or years. The geographic specificity of industry reporting varies, as some companies report at the ZIP code level and others by city, region, or state. Many of the statistics provided by the external sources, including FinCEN, FHA, and HUD-OIG, are captured by fiscal year (FY); however, this report focuses on the calendar year findings as reported by mortgage industry and economic data sources. Additionally, there are also variances in the reporting of fraud depending on who the victim is (either a financial institution or a homeowner). While these discrepancies have minimal impact on the overall findings stated in this report, we have noted specific instances in the text where they may affect conclusions.
See Appendix A for additional information for these sources.

Geospatial maps were provided by the Crime Analysis Research and Development Unit, Criminal Justice Information Services Division.

Key Findings 
  • Mortgage fraud continued at elevated levels in 2010, consistent with levels seen in 2009. Mortgage fraud schemes are particularly resilient, and they readily adapt to economic changes and modifications in lending practices. 
  • Mortgage fraud perpetrators include licensed/registered and non-licensed/registered mortgage brokers, lenders, appraisers, underwriters, accountants, real estate agents, settlement attorneys, land developers, investors, builders, bank account representatives, and trust account representatives.
  • Total dollar losses directly attributed to mortgage fraud are unknown.
  • A continued decrease in loan originations from 2009 to 2010 (and expected through 2012), high levels of unemployment and housing inventory, lower housing prices, and an increase in defaults and foreclosures dominated the housing market in 2010. RealtyTrac reported 2.9 million foreclosures in 2010, representing a 2 percent increase in foreclosures since 2009 and a 23 percent increase since 2008.
  • Analysis of available law enforcement and industry data indicates the top states for known or suspected mortgage fraud activity during 2010 were California, Florida, New York, Illinois, Nevada, Arizona, Michigan, Texas, Georgia, Maryland, and New Jersey; reflecting the same demographic market affected by mortgage fraud in 2009.
  • Prevalent mortgage fraud schemes reported by law enforcement and industry in FY 2010 included loan origination, foreclosure rescue, real estate investment, equity skimming, short sale, illegal property flipping, title/escrow/settlement, commercial loan, and builder bailout schemes. Home equity line of credit (HELOC), reverse mortgage fraud, and fraud involving loan modifications are still a concern for law enforcement and industry.
  • With elevated levels of mortgage fraud, the FBI has continued to dedicate significant resources to the threat. In June 2010, the Department of Justice (DOJ), to include the FBI, announced a mortgage fraud takedown referred to as Operation Stolen Dreams. The takedown targeted mortgage fraudsters throughout the country and was the largest collective enforcement effort ever brought to bear in combating mortgage fraud.
  •  The current and continuing depressed housing market will likely remain an attractive environment for mortgage fraud perpetrators who will continue to seek new methods to circumvent loopholes and gaps in the mortgage lending market. These methods will likely remain effective in the near term, as the housing market is anticipated to remain stagnant through 2011.                                                                                                                                                                                                                                                                                                                                                                                        TO VIEW FULL REPORT CLICK HERE  

Sunday, August 14, 2011

WAMU CHASE HOMEOWNERS ACTION ALLIANCE: 85 Year-Old Woman Arrested Demonstrating Against C...

WAMU CHASE HOMEOWNERS ACTION ALLIANCE: 85 Year-Old Woman Arrested Demonstrating Against C...: "Some of the most undercovered stories of 2010 were actions taken by ordinary people standing up for a more just and ..."

HOME WRECKERS - HOW WALL STREET FORECLOSURES DEVASTATE COMMUNITIES

http://www.homedefendersleague.org/wp-content/uploads/2011/03/Home-Wreckers-Report-March-16-2011.pdf

HOW JAMIE DIMON ROSE TO BE CEO OF JPMORGAN CHASE

http://www.scribd.com/doc/28008506/The-House-of-Dimon-How-JPMorgan-s-Jamie-Dimon-Rose-to-the-Top-of-the-Financial-World

http://www.scribd.com/doc/47314711/Updated-Robo-Signers-List-12-2010

CALIFORNIA FRAUD DEFINED

http://livinglies.wordpress.com/2011/08/10/california-fraud-defined/