Those arguing against a foreclosure moratorium, or even a deeper investigation into the fraud surrounding the evictions of literally thousands of homeowners have largely rooted their arguments in a theme that there was no “intentional” fraud and that the documents at issue were “fumbled” rather than forged.
I wonder how they’ll respond to this report that details how employees of Florida’s largest foreclosure shop were given jewelry, cars and houses from the foreclosure firm in exchange for altering and forging key documents used to obtain foreclosures.
The allegations come from the Florida Attorney General’s Office and are just the latest in a string of bad-to-worse stories concerning the ethics and reliability of the home banking industry. According to witnesses for the Florida Attorney General’s Office, lawyers, bankers and process servers developed a secret system designed to speed up the foreclosure process that included members forging signatures and changing dates on key documents used in support of reclaiming homes from families. Staff members would sign as many as 500 documents at a time without reading them.
In exchange those involved with the fraud had their personal mortgages paid, cars bought and other personal bills covered.
The foreclosure firms would bill lenders for multiple people working on the files, even if that was not the case. Lenders then passed these on to the very homeowners they were evicting.
That’s right. The banks made distressed homeowners pay for the fraud that was kicking them out of their homes. And now Bank of America announces that it plans on resuming foreclosure proceedings, hoping I suppose that noone is paying any attention to these latest reports.
So far the response from Congress to this whole mess has been tepid at best. And should leadership change hands in November what does the ranking Republican plan to do about the foreclosure process?
Why, he plans to investigate the homeowners, naturally.
Despite report after report of intentional fraud and abuse by the banking industry Darrell Issa has his sights set on struggling Americans and just why they were allowed to take out loans to try and purchase homes. It could not be any clearer that the Republicans have no interest in doing anything other than simply making it easier for predatory practices to continue and to make sure that taxpayers foot the bill.
I guess I’d be more outraged if I didn’t expect this exact thing from Republicans.
photo courtesy of respres via Flickr