Robo-Signing Banks Not Off Hook

Posted at 10:39 PM (CST) by & filed under USAWatchdog.com.

By Greg Hunter’s USAWatchdog.com

Dear CIGAs,

Last week, this story from Reuters really got me upset.  The headline read: “States negotiating immunity for banks over foreclosures.”  The story said, “A coalition of all 50 states’ attorneys general has been negotiating settlements with five of the biggest U.S. banks that would include payment of up to $25 billion in penalties and commitments to follow new rules. In exchange, the banks would get immunity from civil lawsuits by the states, as well as similar guarantees by the Justice Department and Department of Housing and Urban Development, which have participated in the talks.”  (Click here for the complete Reuters story.)  I was outraged.  I posted a link to the story on the USAWatchdog site with my commentary that said, “Negotiating with criminals!!! POX on AG’s!!!”

It has been alleged that millions of loan documents have been forged in so-called foreclosure mills because the banks did not possess the correct documents to kick people out of their homes.  One name, “Linda Green,” has shown up signed differently more than 20 different ways.  The name has been so widely used in the mortgage mess it is now synonymous with fraudulent mortgage documents. (Click here to read more about mortgage documents with fake signatures from the AP.)

I think investigators should be able to find evidence of fraud at the loan origination level, the securitization level and the foreclosure level.   This is an outrage, and I think criminal activity is so widespread that the AG’s should be considering RICO charges, not cutting immunity deals for the bankers!  The Iowa AG, Tom Miller, is spearheading negotiations for the states.  He and other AG’s who signed on to the immunity deal should be ashamed and fired at the same time!!  Why did Mr. Miller even bother to go to law school?  I thought these guys were supposed to investigate and prosecute crimes.

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