Monday, February 4, 2013

Congress Steps Up to Investigate the Foreclosure Review Settlement Scam

Newly elected US Senator Elizabeth Warren and Elijah Warren smell a rat in the Foreclosure Review Settlement and are conducting a Congressional investigation of the foreclosure reviews of the OCC (Office of the Comptroller of the Currency.  The OCC entered into settlements with the major banks that abruptly put an end to the entire process.
Frankly homeowners have received little or no consideration from the OCC when filing complaints.  One could say that no homeowner goes unpunished while the banks get off with a mere pittance of economic outlay.
The OCC and the US Treasury have screwed distressed homeowners yet again.  Banks score 100.  Homeowners score zero.
Let's encourage Senator Warren and Rep. Cummings to be tough on the OCC, the Fed and the banks.
See the article from Naked Capitalism:
Posted: 04 Feb 2013 03:15 AM PST
The more people look at the abruptly-arranged settlement of the OCC/Fed foreclosure reviews, the more they realize something does not smell right.

Elijah Cummings and Elizabeth Warren have started an investigation of the settlement:
Today, Senator Elizabeth Warren (D-MA) and Rep. Elijah E. Cummings (D-MD) sent a letter to Federal Reserve Chairman Ben Bernanke and Comptroller of the Currency Thomas Curry seeking documents relating to their recent settlement with mortgage servicers that ended the Independent Foreclosure Review (IFR) process.

“We believe that public confidence in the settlement – the confidence necessary to speed recovery of the housing markets – will exist only if the OCC and the Federal Reserve provide additional transparency into the process used and information gathered during the Independent Foreclosure Review process,” wrote Warren and Cummings. “It is critical that the OCC and the Federal Reserve disclose additional information about the scope of the harms found to establish confidence in the sufficiency and integrity of the settlement.”…

The Members requested documents and information including:
• The results of all IFR performance reviews by the Federal Reserve or the OCC, including all documents reviewing the performance of each of the independent contractors that conducted reviews of borrower files under the terms of the consent orders issued in April 2011;
• All documents compiled by the Federal Reserve or the OCC indicating the total amount of settlement funds paid to each independent contractor; and
• The total number of reviews of borrower files initiated by each of the independent contractors, and the number of borrower files in which unsafe or unsound practices were found.

Let there be Light!  Let there be Justice.

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