BUSTED | Bank of America, JPMorgan Chase, Wells Fargo, Citigroup and Ally Financial Federal Audits Accuse Firms Of Defrauding Taxpayers

Submitted by 4closureFraud on 05/16/2011 17:36 -0400

• Bank of America
 
• Citigroup
 
• Department of Justice
 
• Housing Bubble
 
• JPMorgan Chase
• Wells Fargo
 

"The Justice Department is now contemplating whether to use the HUD audits as a basis for civil and criminal enforcement actions, the sources said. The False Claims Act allows the government to recover damages worth three times the actual harm plus additional penalties."

It's about damn time!

Let's see where this takes us...

Maybe,  just maybe, they actually have been doing their jobs...

Confidential Federal Audits Accuse Five Biggest Mortgage Firms Of Defrauding Taxpayers

WASHINGTON -- A set of confidential federal audits accuse the nation’s five largest mortgage companies of defrauding taxpayers in their handling of foreclosures on homes purchased with government-backed loans, four officials briefed on the findings told The Huffington Post.

The five separate investigations were conducted by the Department of Housing and Urban Development’s inspector general and examined Bank of America, JPMorgan Chase, Wells Fargo, Citigroup and Ally Financial, the sources said.

The audits accuse the five major lenders of violating the False Claims Act, a Civil War-era law crafted as a weapon against firms that swindle the government. The audits were completed between February and March, the sources said. The internal watchdog office at HUD referred its findings to the Department of Justice, which must now decide whether to file charges.

The federal audits mark the latest fallout from the national foreclosure crisis that followed the end of a long-running housing bubble. Amid reports last year that many large lenders improperly accelerated foreclosure proceedings by failing to amass required paperwork, the federal agencies launched their own probes.

The resulting reports read like veritable indictments of major lenders, the sources said. State officials are now wielding the documents as leverage in their ongoing talks with mortgage companies aimed at forcing the firms to agree to pay fines to resolve allegations of routine violations in their handling of foreclosures.

Definitely check out the rest of this in depth report from the Huffington Post here...

Checkmate???

 

 

 

 

You Have Got to be KIDDING | Trashed Out - Nancy Jacobini's Home was Broken Into AGAIN

Posted by: 4closureFraud

Post date: 05/16/2011 - 19:15

You all remember Nancy's terrifying fraudclosure break in 911 call, right? Well, they just did it AGAIN.

 

 

 

 

The Great QE Unwind Compression Trade(s) 

Submitted by Tyler Durden on 05/16/2011 22:52 -0400

Now that the market is finally starting to digest the end of QE2 (if not yet pricing in the inevitable transition to QE3), investors are wondering where the most violent "regression to the mean" snapback will occur. And whereas many talk about the dispersion between equities and commodities and speculate about this and that compression trade, the truth is that within equities themselves there is far greater dispersion between one of 9 traditional equity sectors. To wit, as the first chart below demonstrates, since the Jackson Hole confirmation of QE2, energy stocks have outperformed utilities by an 4x order of magnitude. An almost as pronounced dispersion can be observed between financials and industrials/consumer discretionary stocks. For those who believe that the market still has to price in the end of quantitative easing part 2 (and ignore the inevitable roll out of QEx), a compression trade which involves a long Utilities/Fins and short Energy/Industrials/Consumer Discretionary would seem quite appropriate. There is however one caveat. If the market, in its traditional stupidity and irrationality, proceeds to go ahead an unwind not only the impact of QE2 but go all the way back to QE1, than the compression cohorts change drastically. While utilities are once again the worst performing sector since March 2009, and bested just barely by healthcare and consumer staples, financials are by and far the best peforming sector, having returned over 150% in the past 2 years, with consumer retail and industrials following behind. Thus, it probably makes sense to avoid any long Financial leg and focus purely on Utilities and Consumer Staples as the long led in a compression trade, while shorting Industrials and Consumer Discretionary, leaving Financials alone (John Paulson's projections of Bank of America hitting $30/share by the end of 2011 notwithstanding). 

 

 

 

 

 

In The News Today

May 16, 2011, at 6:26 pm
by Jim Sinclair

One person can make a difference, and every person must try. –John F. Kennedy



Hello from Dar es Salaam!
The feel of the African soil under my feet brings me back home.
Travelling via the Middle East enlightens you that news reports and media commentaries have no clue what is real.
To hear that PIMCO’s global equity market is heavily invested in gold certainly says the boss knows that which has value and will increase in value.
To know that China has cut its reserve position of the past five months in US Treasury instruments is to know the short in that US Treasury market must win.
To hear how Jim Rogers has defined the US dollar gives me great confidence in the opinion of the dollar and gold given here.
Clearly gold is now under the influence of the $1764 magnet.

Respectfully, 
Jim



CIGA JB Slear’s Commentary

It would be more widely accepted if the government would first tap into the bankers retirement accounts, then the Treasury, the Senate, before going into the people’s pockets.


Treasury to tap pensions to help fund government 

By Zachary A. Goldfarb, Published: May 15
The Obama administration will begin to tap federal retiree programs to help fund operations after the government loses its ability Monday to borrow more money from the public, adding urgency to efforts in Washington to fashion a compromise over the debt.
Treasury Secretary Timothy F. Geithner has warned for months that the government would soon hit the $14.3 trillion debt ceiling — a legal limit on how much it can borrow. With the government poised to reach that limit Monday, Geithner is undertaking special measures in an effort to postpone the day when he will no longer have enough funds to pay all of the government’s bills.
Geithner, who has already suspended a program that helps state and local government manage their finances, will begin to borrow from retirement funds for federal workers. The measure won’t have an impact on retirees because the Treasury is legally required to reimburse the program.
The maneuver buys Geithner only a few months of time. If Congress does not vote by Aug. 2 to raise the debt limit, Geithner says the government is likely to default on some of its obligations, which he says would cause enormous economic harm and the suspension of government services, including the disbursal of Social Security funds.
Many congressional Republicans, however, have been skeptical that breaching the Aug. 2 deadline would be as catastrophic as Geithner suggests. What’s more, Republican leaders are insisting that Congress cut spending by as much as the Obama administration wants to raise the debt limit, without any new taxes. Obama is proposing spending cuts and tax increases to rein in the debt.
More…