From Predatory Lending to Predatory Tax Collection

EDITOR’S COMMENT: Well here is the reason why tax collectors et al are not pursuing the Wall Street Banks for unpaid fees and taxes. it turns out they are in bed with them. By going into business with the local agencies that collect taxes, Wall Street has snuffed out any incentive to pursue the Banks. Like the fox guarding the chicken house, they are in control of the process, and of course they are hitting the little guy and distracting our attention from the real taxes and fees that are due.

Maybe we all should simply outsource all our income to Wall Street and get it over with, instead of going through the slow process of financial strangulation. My guess is that this is the way they intend to “cure” the title defects in all the homes that were financed with securitized mortgages. How long will YOU let this go on?

Submitted by T Deerinck

The Big Wall Street Banks Have Found A New Way To Strangle The American People: Predatory Property Tax Collection

It turns out that the big Wall Street banks have found a dirty new way to make loads of cash from U.S. homeowners, and they really, really don’t want to talk about it.  So what is this dirty new business?  America’s biggest financial institutions have become property tax collectors, and it is extremely lucrative. From coast to coast, the big Wall Street banks are buying up thousands upon thousands of tax liens and are making a killing by socking distressed homeowners with predatory interest, outrageous penalties and almost unbelievable legal fees. In some areas, the big banks are able to foreclose on these homes in as little as six months.  The elderly and the poor are the most common targets of these practicesAn absolutely brilliant expose in the Huffington Post has brought these issues to light, and it is creating quite a controversy in the financial world.  The big banks are doing nothing illegal here.  Local governments are offering to sell thousands of tax liens and somebody is going to end up buying them.  But something seems extremely unsavory about the big Wall Street banks capitalizing on the economic downturn that they were so instrumental in causing in such a predatory manner.

Today, millions of American families are barely hanging on to their homes by their fingernails.  Millions are out of work and millions of others are barely making enough to put food on the table.  Meanwhile, property taxes have absolutely soared in most areas of the nation over the past decade.  Many Americans are finding that when that time rolls around they simply do not have a big chunk of extra money to pay a property tax bill.

So millions of American families, including many that have completely paid off their homes, now find themselves in danger of being thrown out on to the street over an unpaid property tax bill.

For many local governments, the headache of trying to collect on thousands of property tax liens is just too much, so they are glad to “outsource” the work of collection.

So how do the big Wall Street banks get involved?  Well, it goes something like this….

1) The big Wall Street banks set up or invest in shell companies that will disguise who they really are.

2) These shell companies run around and buy up all of the tax liens that they can get their hands on.

3) Predatory levels of interest (in some states as high as 18 percent), fees and penalties rapidly pile up on these unpaid tax liens.  The affected homeowners quickly end up owing much, much more than what the original tax bills were for.

4) If the collecting firm has to hire a lawyer, then that gets charged to the homeowner as well.  The bloated legal fees for some of these lawyers can end up being the biggest expense of all.

5) If the tax liens do not get paid, the collecting firms move in to foreclose as quickly as legally possible.

According to the Huffington Post, Wall Street banks such as Bank of America and JPMorgan Chase have been gobbling up several hundred thousand tax liens from local governments.  It appears that “distressed housing markets” are being particularly targeted.

Many of these tax liens are sold in online auctions, so it is unclear if many local government officials even realize who the big money behind many of these shell companies is.

The New Tax Man: Big Banks and Hedge Funds

By Fred Schulte and Ben Protess
Huffington Post Investigative Fund
Created 2010-10-18 08:42
Lacking Oversight, Wall Street Titans Charge Property Owners Steep Fees – and Can Seize Homes
PUBLISHED 8:42 AM | 18 Oct 2010
Interactive Story [1] [1]Powered by StoryRiver Media [2]

Nearly a dozen major banks and hedge funds, anticipating quick profits from homeowners who fall behind on property taxes, are quietly plowing hundreds of millions of dollars into businesses that collect the debts, tack on escalating fees and threaten to foreclose on the homes of those who fail to pay.

The Wall Street investors, which include Bank of America and JPMorgan Chase & Co., have purchased from local governments the right to collect delinquent taxes on several hundred thousand properties, many in distressed housing markets, the Huffington Post Investigative Fund has found.

In many cases, the banks and hedge funds created new companies to do their bidding. They gave the companies obscure, even whimsical names and used post office boxes as their addresses, masking Wall Street’s dominant new role as a surrogate tax collector.

In exchange for paying overdue real estate taxes, the investors gain legal powers from local governments to collect the debt and levy fees. At first, property owners may owe little more than a few hundred dollars, only to find their bills soaring into the thousands. In some jurisdictions, the new Wall Street tax collectors also chase debtors over other small bills, such as for water, sewer and sidewalk repair.

VIDEO [3] by Lagan Sebert
The Big Business Wall Street Won’t Discuss Full Video [3]

Some states allow the investors to tack on as much as 18 percent interest and a passel of legal fees and other charges. When property owners fail to make full payment, the investors can sue to foreclose – in some states within as little as six months.

In June, Bank of America snatched up liens on properties in Florida owned by low-income residents and nonprofit public interest groups, including a Salvation Army shelter, a preschool and a wildlife rescue group involved in the Gulf of Mexico oil spill cleanup [4], the Investigative Fund found in its examination. Bank of America also bought liens on properties of the wealthy, including a professional basketball star [4] with the Los Angeles Lakers, Lamar Odom.

Some observers of the financial services industry said they were surprised to learn that banks, some of which received billions of dollars in taxpayer-funded bailouts in recent years, were rushing to profit from homeowners having trouble paying their tax bills.

“This is not how I’d like to be making my money,” said James Cox, a Duke University School of Law professor who specializes in corporate and securities law. “I would find it personally distasteful to foreclose or press a claim against individuals, many of whom have lost their jobs and are in tight economic straits.”

The giant Bank of America, for instance, has bid in Florida tax lien sales using colorful names such as Bennu, LLC, named after a mythical bird said to be the soul of the ancient Egyptian sun god.

Five big banks involved in the industry, known as tax lien investing, collected a total of more than $106 billion in bailout money through the government’s Troubled Asset Relief Program, known as TARP.

Over the last year, Bank of America, which received $45 billion in these taxpayer funds in 2008 and 2009, has bought liens on properties in scores of municipalities in at least a dozen states. Bank of America repaid the government in 2009.

Still, noted Cox: “There’s no bailout for people struggling to pay their taxes.”

Years ago, the big banks left the buying of tax liens largely to local real estate specialists and small-time investors. These days, banks and hedge funds, stung by the failure of many speculative investments, see tax liens as a relatively safe option that can yield returns of around 7 percent.

Some banks also are packaging tax liens as securities – in a similar way to how unpaid home loans are securitized – and selling them to investors.

If mortgage holders fail to pay overdue taxes, an investor could waltz off with a home worth hundreds of thousands of dollars for the price of paying the owner’s tax bill. Most homeowners eventually pay their debt.

Put it all together and it is makes for a solid investment, said Lloyd McClendon, an owner of realauction.com in Plantation, Fla., one of several companies that conducts online auctions in Florida and other states.

“There’s an awful lot of new, big money in the sales this year,” said James Powell, a longtime Florida investor who remembers a time when local investors flocked to live auctions at courthouses. Typically, they would bid for liens by holding up paddles. Powell is still one of the few in the liens business who makes purchases using his own name.

But the smaller investors, noted Powell, have been overtaken by well-heeled banks and funds that now bid online, and in volume.

Banks and hedge funds usually buy the liens through online auctions that permit them to bid in bulk, and they can use any name they want.

The giant Bank of America, for instance, has bid in Florida tax lien sales using colorful names such as Bennu, LLC, named after a mythical bird said to be the soul of the ancient Egyptian sun god.  It also has bid as Osprey, LLC, and Ecru, LLC, named after the French word for a pale brown color.

Fortress Investment Group, a hedge fund run by former Fannie Mae chief Daniel Mudd, has bought tax liens under 17 different corporate names. Some evoke tranquil, bucolic settings, such as Pleasant Valley Capital, LLC and Travis Farm Investments, LLC.

Representatives of several prominent banks and hedge funds contacted by the Investigative Fund, from JPMorgan to Bank of America and Fortress Investment Group, declined to comment for this article.

Some banks purchased liens directly; others financed investment groups that did so. For example, Wells Fargo lends to a liens buyer. Deutsche Bank invests through a subsidiary. And BankAtlantic, based in Fort Lauderdale, is a longtime tax certificate investor in several states, buying liens under the names of several subsidiaries.

Though several mortgage lenders, including JPMorgan, recently suspended foreclosures amid concerns that some may have been done improperly, the slowdown is not expected to apply to foreclosures stemming from unpaid taxes.

The Investigative Fund identified major tax lien purchasers, many for the first time, through a computer-assisted analysis of more than 300,000 liens, municipal, corporate and court filings and other documents obtained from local government officials in four states and the District of Columbia. The Investigative Fund then traced these purchasers to the major financial institutions that oversaw them, invested in them, or lent money to their operations.

Business ‘Needs Scrubbing’

Local governments, faced with tight budgets and the challenges of collecting debt from property owners, strongly endorse online auctions because tax collectors can easily and rapidly recoup millions of dollars. Miami-Dade County, for instance, took in more than $374 million in June 2009 from the sale of about 60,000 local property tax liens.

Tax collectors defend the practice by pointing out that property owners can avoid added fees or the risk of losing homes by paying their bills on time. The threat of losing property often compels tardy homeowners to pay off just before the deadline; without severe penalties many people would simply ignore their obligations to pay property taxes, collectors say.

Some two dozen states and the District of Columbia allow tax sales, which spare the governments from added expenses of hiring their own debt collector, or foreclosing and becoming a landlord. Local governments generally require minimal identification – for instance, a Social Security number. They allow bidders to choose whatever names they wish, and don’t check to see if bidders are using multiple identities.

The few investors willing to talk about the tax lien business with the Investigative Fund argue that they are playing a vital role in helping cash-strapped local governments plug holes in budgets and, in some cities, helping rehabilitate older buildings. That returns the properties to the tax rolls, and can help revive beleaguered neighborhoods, they say.

“Budget-challenged cities are using the proceeds from their [tax lien] sale as an important source of funding,” said Gabriel Boehmer, a spokesman for Wells Fargo Bank, which lends to companies that buy tax liens.

Critics aren’t so sure. “If your only goal is to maximize your rate of return, this is a nice industry,” said Frank Alexander, a law professor at Emory University with expertise on tax sales. “The question becomes: Do you mind being a vulture and preying on people?”

Alexander argues that when local governments privatize tax collection duties they “wash their hands of all responsibility” for ensuring property owners are treated fairly.

In Cleveland, officials are beginning to express concern about the consequences of trusting the new tax collectors. Cuyahoga County canceled this year’s tax sale amid alarm that previous ones had contributed to an upsurge in home foreclosures and further decay in already marginal neighborhoods. “With the economy the way it is now, we won’t have a tax sale for at least one year,” said Robin Thomas, Cuyahoga County’s chief deputy treasurer. Her aim: To buy homeowners in Cleveland “a little more time” to get caught up with their property taxes.

Despite national reform efforts that have focused on debt collection, from credit cards and payday lenders to checking account fees, the fairness of tax sales to homeowners remains largely a local, unregulated matter. A new consumer protection bureau created by Congress has no explicit authority to watch over local tax sales.

“There is no oversight at all,” said District of Columbia Attorney General Peter Nickles, who is suing a tax lien investment firm for charging homeowners what he alleges are exorbitant fees to get their homes out of hock.

In a separate matter, the U.S. Department of Justice’s antitrust division is investigating allegations of possible tax-sale bid rigging in two states. The ongoing probe began in Maryland, where three men pleaded guilty to criminal charges earlier this year. A federal grand jury in New Jersey has subpoenaed [5] [5]records [5] from several major tax lien investors, including a JPMorgan subsidiary, and a Virginia company that serviced the Bank of America tax lien portfolio in Florida this year. No charges have been brought in the New Jersey investigation.

Said Nickles of the tax lien business: “This is one of the areas that really needs a good scrubbing.”

Small Debts Grow Fast

Tax sales routinely place home ownership in jeopardy over relatively small sums, sometimes just a few hundred dollars, the Investigative Fund data analysis of hundreds of thousands of liens records shows. For instance, more than two of every five liens sold earlier this year in 31 Florida counties and in Maricopa County, Arizona (Phoenix), were for unpaid taxes of less than $1,000; more than 90 percent were less than $5,000. Results were similar in Toledo, Ohio.

Some jurisdictions such as Baltimore toss in unpaid water bills and other municipal fees of $250 or more. In May, the Investigative Fund reported [6] how an unemployed former mental health counselor with four children named Vicki Valentine lost her home even though the mortgage had been paid in full. She had owed $362 on an overdue water bill when investors took over and added thousands of dollars in legal fees she couldn’t afford. (In response, city officials are seeking statewide legislation [7] that would prohibit the sale of tax liens of less than $750.)

To be sure, many debtors eventually pay the mounting bill rather than lose property of greater value. And some states such as Florida give homeowners up to two years to pay off the debt before investors can force the sale of their property. But in other states, those who fail to pay can quickly find themselves in a thicket of escalating debt and in a costly – and often losing – legal battle to keep a roof over their heads.

Barbara Carpenter, a 58-year-old disabled Ohio retiree, found herself in such a situation. The former worker for the American Red Cross struggled to save her Toledo home from a JPMorgan entity called Plymouth Park Tax Services, which in recent years has been among the nation’s top buyers of tax liens.

“It’s a great neighborhood and the house is in good condition,” said Carpenter, who paid $67,000 for the one-story home in 2004. But she fell behind in paying her taxes and a certificate for $1,500 in unpaid taxes was sold off to Plymouth Park, which is based in New Jersey.

Carpenter’s lawyer, Joseph Westmeyer, said Plymouth Park routinely charges an upfront fee of around $1,500 as soon as it buys the lien and 18 percent interest on the debt. If they don’t get paid, they foreclose.

“It’s not a good deal for poor customers,” said Westmeyer. Carpenter wound up selling the house in August for less than half what she had paid. Plymouth Park received about $12,000 in legal fees and other charges, including some additional taxes, Westmeyer said, quoting from court records.

Andrew Neuhauser, an attorney with Advocates for Basic Legal Equality in Toledo, said his group believes the Lucas County tax sale, which reached a peak of about $5.4 million in liens during 2006, has led to hundreds of foreclosures. That, in turn, has partly eroded the tax base and had a “devastating effect” on some neighborhoods, he said. “It’s a short-term gain for the county that in the long term does harm,” Neuhauser said.

Gail Michaud, a 71-year-old retired real estate broker who lives in a $60,000 home in Dania Beach, Fla., recently fell behind on the property taxes. In June, Broward County sold collection rights to her unpaid bill – only $782 – to Bennu, LLC, the Bank of America arm named after the mythical bird.

Michaud, who said she receives food stamps, resents having to pay interest charges to the nation’s mightiest bank – especially because when the bank was in trouble the government came to the rescue. “The taxpayers gave them their bailout money, and they are still doing the same thing they used to. They look their nose down at people and think they can do whatever they want,” she said.

Florida Boom

Florida, the nation’s largest tax sale market and one of the few states where large transfers of liens can be tracked, shows how the collapse of a once-buoyant real estate market can be a boon for tax lien investors, especially banks and hedge funds.

This year alone, counties have offered more than $1.9 billion in tax liens and found eager buyers for nearly all of them. Buyers from across the U.S., the Cayman Islands, Bermuda and Panama bid alongside the banks and hedge funds that cater to wealthy investors.

In this year’s sale in Orange County, which includes Orlando, bank-affiliated companies or hedge funds gobbled up nearly 90 percent of the 24,000 tax liens sold. In the Fort Lauderdale area, officials sold more than a quarter of the liens to entities financed by Bank of America.

Bank of America made most of its purchases in Florida through four limited liability companies. LLCs can limit exposure to lawsuits and can shield the owner’s identity. In Florida, Bank of America’s LLCs had the names Investments 2234, Bennu, and Ecru, and all used the same post office box in Atlanta as their business address, according to records on file in Florida counties.

In several Florida auctions, Bank of America’s interests were managed by MTAG Services, one of the largest tax lien servicers in the U.S. The Vienna, Va., company has been subpoenaed by a federal grand jury in New Jersey that is investigating alleged collusion in bidding at tax sales.

MTAG’s president, James Meeks, said his company is “cooperating fully” with the federal investigation. He added that “everybody who bought any substantial amount of liens in Jersey was subpoenaed.” Meeks said that his company, like others in the industry, favors creative names like Bennu for companies that bid on tax liens.

“There’s no rhyme or reason to the names,” Meeks said.

Tax officials in several counties said they had no idea the companies were affiliated with the Bank of America.

“I know nothing about these companies. I don’t have any background on them,” said Juanita B. Sikes, tax collector in Hernando County, Fla., north of Tampa, where the numbers of liens sold earlier this year was nearly double those from 2005.  “It’s not on us to determine if they are a real person.”

Several hedge funds saw opportunity in the Sunshine state as well.

One was the Fortress Investment Group headed by Mudd, the former chief executive of Fannie Mae. While Mudd was at the helm, Fannie’s decision to take on more than $200 billion in risky loans crippled the mortgage giant and helped unravel the economy.

In only a few months, Fortress has purchased more than 30,000 tax liens in Florida counties using 17 different LLCs. Most registered for the tax sales using the 46th floor of an Avenue of the Americas skyscraper in midtown Manhattan – Fortress’ headquarters – as their address.

Fortress began competing for tax liens this year after joining forces with three former executives of JPMorgan’s tax liens subsidiary. The subsidiary, which bids under the names Xspand and Plymouth Park Tax Services, was among several companies subpoenaed in the grand jury investigation in New Jersey. Former New Jersey Gov. James Florio founded the company [8] and has since sold his interest in it.

Neither JPMorgan nor Fortress would comment for this story. Repeated efforts to reach Mudd were not successful.

Anonymity Questioned

Although many local governments are pleased with the financial results of tax lien sales, D.C. officials question its fairness.

D.C. Attorney General Nickles criticizes Aeon Financial, LLC, a bank-financed investment group from Chicago that buys tax liens in some 10 states. Nickles asserts that Aeon has slammed homeowners, who sometimes owed just a few hundred dollars in back taxes, with $7,000 or more in legal fees.

In papers filed in a local D.C. court in late 2009, the attorney general’s office accused the company of “engaging in a pattern of charging and collecting impermissible or excessive legal fees.” In an interview, Nickles called that a “rip off.”

Aeon responded that the fees are reasonable, comply with the law and escalate because of improper management by the District’s tax collectors. Homeowners who consider the fees too high can challenge the charges in court.

Court papers show that after Aeon bought liens in the nation’s capital, property owners received notices from a Chicago law firm. The notices warn homeowners to  “act now or you could lose your property/investment.” An accompanying letter on the law firm’s letterhead states that “THIS PROPERTY IS IN FORECLOSURE” and demands payment of legal fees.

In April 2009, Nickles formally notified Aeon’s lawyer, Malik J. Tuma, that he had launched a preliminary investigation of Aeon. The company’s notices to homeowners appear “at least, to be deceptive and, at worst, potentially fraudulent,” wrote Assistant Deputy Attorney General David Fisher.

In 2008, when Aeon Financial paid the District $4.6 million for the right to collect on 400 liens, it was the single biggest purchaser of tax liens. Even so, Nickles said he still has no idea who the company’s owners are. He is hoping the court case will flush out their names.

An Investigative Fund reporter visiting the address printed on the letters from the Chicago law firm found it to be a mail drop at a UPS Store.

Reached by phone, Tuma declined to comment on Aeon’s business practices, citing the ongoing litigation with the District. He would not identify Aeon’s principals and said the mailbox at the UPS Store was used “for the safety of our employees.”

Tuma added: “There’s nothing deceptive about it…I’m in D.C. Superior Court every Wednesday. It’s not hard to find me.”

Aeon, which has received funding from TCF Bank for tax liens purchases, has an office in Chicago’s Willis Tower, formerly known as the Sears Tower, once the world’s tallest building. Michael Wehenkel, who has identified himself as Aeon’s chief operating officer in presentations to D.C. officials, did not respond to numerous requests for comment by phone and e-mail.

A spokesman for TCF, a Midwestern bank, said: “We were doing business with [Aeon] and no longer are.”

Tax collectors in Florida don’t always know who they’re doing business with, either. Officials in Pinellas County want to know who exactly is behind a company called GL Funding Limited. Sales records show that GL Funding spent more than $10 million and dominated the tax sale in at least 10 Florida counties, most of them rural or smaller cities where interest rates tended to be much higher than in urban and resort areas.

GL Funding registered with several Florida tax collectors as a company with offices in the Cayman Islands. But other counties list a post office box in Philadelphia as its address. The person who registered GL Funding in Pinellas County’s tax sale provided Pinellas with a telephone number in Dallas, Tex. At that number, a man named Jess Weir declined to tell the Investigative Fund who is investing through the name GL Funding.

Said Sam McClelland, deputy tax collector in Pinellas County, Fla., where GL Funding acquired hundreds of liens earlier this year: “We’re still trying to sort this out.”

Lagan Sebert contributed to this article.

Read more: http://huffpostfund.org/print/2299#ixzz1379272Oj
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28 Responses

  1. Why stop there, I haven’t. I’ve moved on to predatory judges who have no conscience apparently, nor morals either. They have their eye on my last farthing. I’ve seen them and they are frightening to behold. Their eyes glow like amber coal shining from the depths of hell, their subterranean kingdom beckons “draw near”.

    My blessings, let me count them and be grateful.

  2. They are doing this on purpose! I noticed in May that someone had changed the “Mail to” address on the Auditors page. This is the addy they send your tax bill to. LSI is the company that changed it…they are an affiliate of Lender Processing Services. I had the Auditor correct this as my Mortgage says I pay my own taxes.

    The day before the taxes were due I get a letter from the servicer letting me know that they had made a business decision not to pay our taxes! They totally tried to trick me…let me know the day before so I don’t have time to come up with the cash…I had already paid the bill when I get this letter.

    I caught them red handed AGAIN. The Mortgage never said the “lender” will pay taxes or insurance…there is no escrow.

    They know they can’t get good title to my house so they thought they would try and buy my tax bill and foreclose that way…After all this time and fight they seriously thought I was dumb enough to not pay my taxes??? FAIL

  3. Trespass unwanted

    I learned a lot from your post today,

    Thank you!

  4. I find it increasingly hard to be a proud American. This is how our system has devolved:

    This, is legal:

    “America’s biggest financial institutions have become property tax collectors, and it is extremely lucrative. From coast to coast, the big Wall Street banks are buying up thousands upon thousands of tax liens and are making a killing by socking distressed homeowners with predatory interest, outrageous penalties and almost unbelievable legal fees. In some areas, the big banks are able to foreclose on these homes in as little as six months. The elderly and the poor are the most common targets of these practices.”

    And this, is illegal, and forced to shut down:

    “The Lewiston Tribune reports the Idaho State Tax Commission has called for the closure of a family’s pumpkin stand in Lewiston, a mill city along the Snake and Clearwater rivers. Dan and Kami Charais told the newspaper that a Tax Commission employee informed them the stand was in violation of laws and had to shut its doors. The couple says their 4- and 6-year-old children had been carving out a niche for themselves in the local jack-o-lantern market — to raise money for school sports, they say.”

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    IF YOU HAVE A MERS WHICH STANDS FOR MORTGAGE ELECTRONIC REGISTRATION SERVICES WHICH WOULD BE IN MOST CASES ON THE 1ST PAGE OF YOUR MORTGAGE PARAGRAPH C. CALL KIM THOMAS OR GEORGE BABCOCK AT 401-274-1905 AND GET RELIEVE FROM YOUR PROBLEM!

  6. whatever you do, pay your property taxes.

    Our town and county Governments want our taxes and our votes, once you stop giving either you are disposable. we cannot be that naive.

  7. This is just to protect property liens. If someone else purchases a tax lien from the town – they have first priority rights to foreclosure. Thus, if you can establish that SOMEONE else has purchased the property tax lien – for sale by town – the named party in the foreclosure – LOSES its priority. All of this is established by PSA and Prospectus – that is the servicer MUST advance all delinquencies for mortgage payments and taxes. But, guess what?? they did not – the towns were not paid for taxes – and they sold the rights to someone else.

    Wall Street has been informed of this – they are now onto it – so they figure – they better start buying default tax liens from the towns – to protect their priority liens in court.

    That is why Wall Street is now in the property tax lien business.

  8. We gave these once-bankrupt banks all the money to finish us off, and then act all moralistic about it. “Doing god’s work”.

    Liquidate ALL of the foreclosing banks including Goldman Sachs for FRAUD. Nullify their foreclosures*, transfer their remaining liquid assets to the depositors, and any remaining profits, assets, & buildings prorata to the cheated pension funds.

    Then prosecute the leaders, they can join Bernie Madoff, and they can compare Ponzi Schemes, while they work restitution for the next 15 years.

    It’s them or us at this point.

  9. The banksters are f#$@#$ing with us. They need to be eliminated from the face of the earth

    http://blogs.wsj.com/developments/2010/10/22/homeowners-win-fights-over-mistaken-foreclosures/

    We need to treat them like a cancer growth to our society.

  10. To all, this is a very serious issue, it is not about Wall Street Greed which is what the previous of this reporting would like you to believe , however they do deserve credit for , more importantly it is about your local elected self serving bloated officials that have allowed the Fox in the Hen House.

    This will be the BIGGEST LAND GRAB the AMERICAN people have seen in decades.

    The over burden from FORECLOSURE GATE…. where people are not paying their taxes… albeit concur to some point based on false appraisals , the burden is being placed on many innocent people… like the Granny down the street with a paid off mortgage that is eating cat food on toast… due an egregious assessment based on “the bubble”.

    With that if the “reporter’s” of this backbend deal had any cahones they would post all the states, counties and local municipalities that have turned the American Peoples “tax assessment” into an unsecured debt open to willy nilly “interests rate”… Who passed that legislation at your local “council meeting”????

  11. neidermeyer

    Thank you.. but I fail to see simply because the taxes are “state” seems its neither “more constitutional nor justified . If all states have a “BLANKET” yearly reoccurring property tax because thet can no justification for this “privilege of ownership tax” to support the “complete mismanagement ” of for example bankrupt California “THE welfare state” state funds & budget is why our forefathers told the king to go f@#k himself. Blanket taxation is bullshit, as is our “GOV gone wild” stay tuned for lots of “T&A “minus the T and EXTRA “A” …sheesh!

  12. Listen folks, the Master Chef decided to share with us his favorite recipe today. That would be Bill Black. No one alive has more experience with slicing and dicing big banks as he does. He’s the guy that handed out some serious ass whooping after the S&L fiasco. He was responsible for 1000 Armani suits going off to the federal pen. Many of them are still in their little rooms to this day. He’s a criminalogist, accountant, attorney, regulator, and professor just to name a few.

    We need to run with his findings. Get it out to every single politician you can find. IMHO, this is the very thing we’ve all been waiting for, the exact formula of what and how. If we can get a big enough voice demanding these changes, and demanding them now, we can lick this problem. If not, we’re doomed as a nation, and maybe even as a world. This is a flat out class war, and we need to fight back like our lives depend on it, which believe me they do.

    It’s time to remind our politicians that they work for us, not for Wall street. And this time, don’t be so nice. We’ve tried that route, and they’ve walked all over us. It’s time to DEMAND that they get off their butts and STOP THE LOOTING AND START THE PROSECUTING! NOW!

  13. To the A Man, We will need to address the Federal Reserve which was set up by another bunch of fraudsters, the Robber Barons. Under the Federal Reserve, the banks control the money and the flow of money. We need to get rid of the Federal Reserve along with the banksters and start over. The American people need to be made solvent again. We have the greatest middle class in the world, which creates the wealth of this country. Once the middle class is reduced to poverty, everbody goes down including the fraudsters. Burmese8@yahoo.com

  14. Can’t we make the banksters just disappear. We have no need for them anymore.

    They dont lend money anymore.
    They keep prices inflated ruining the economy
    And they are driving us nuts. They also screwed the investors because the investors dont know which loans they own.

    I just got a letter after not paying for who knows how long from Bank of Amerifraud mentioning that I might go into default (I have been in default for awhile) if I dont pay and that they are willing to help me?

    What the F@#$#@ck? If I was an investor I would be going crazy.

    We need to bankrupt them people stop paying them and let the economy start from the begining

    We need to treat the banksters like cancer. Cut them out and apply Chemotherapy and Radiation treatment.

    Before it becomes terminal Cancer.

  15. Angry & NOT TAKING IT ,

    Your aim is WAY off .. property taxes are STATE , not FEDERAL ,, read your STATE Constitution.

  16. Once again, the big banking guys have found a new and lucrative way to fleece the middle class and even the poor. Are the attorneys in these so-called law firms debt collectors and subject to the Fair Debit Collections Practices Act? It would seem to me that maybe they are. There are protections under the FDCPA for consumers. Also, maybe this could be some sort of misrepresentation since they do not want to be outed–BofA, etc. Burmese8@yahoo.com

  17. if anyone knows a lawyer in the state of wisconsin that gets it please email me i have one but they donot get it all they say to me is how much money do you want to spend
    i filed chapter 13 with gmac then they sold it to marix
    in the trustees approved plan i only pay mortgage not taxes and insurance so they are trying to lift the automatic stay because i don’t escrow my taxes my lawyer has not challenged anything it is very frustrating
    dave
    email to buschlte1@yahoo.com

  18. can someone point out where these reoccurring yearly “property taxes” is somehow constitutional ? I understand the “property taxes on sale or transfer”
    but reoccurring yearly “property taxes” for the sake of taxation ??
    I have read my tax bill & 75% of it are services & fees that benefit me in NO WAY?

  19. maybe it is time to pull our money from the banks
    and the people get together and start there own currency,
    all that money but can’t spend it how rich are you now mister banker

  20. Now We’re Talking: BREAK ‘EM ALL UP!

    From Huffington Post:
    http://market-ticker.org/akcs-www?post=170014

  21. Hate to say I told you so… but… this has been a growing problem for some time, mainly for the retired and people on a fixed income, where they were going about their business and then KABOOM their property tax bill implodes because some jabonni or real estate investment flipper just had to have that 2 bedroom cape for $950,000.00!!!!

    It is not a simple matter to get an assessment reduced on your own… it is not easy for those overwhelmed by the convoluted system, where “appraisers” hired by local goverments to challenge homeowners at hearing produce “property sales” from 2004-2005…. so the local government can go on “milking” an already distressed property owner. There are plenty out there that will be loosing the homes and their equity to this backend scheme.

    All politics are local! VOTE!

  22. Actually, Warren Buffett makes his money from derivative investing. The Dairy Queen crap is only for show.

  23. How about some suggestions as to what WE can do to stop this madness? It affects EVERYONE…not just homeowners.

    More and more MEDIA exposure is the best way, I think, to start with.
    Raising more and more awareness of the rampant fraud and abuse of citizens…moreover, I’d call it RAPE…to the very core of our beings.

    It seems that writing to politicians rarely produces results.

    Are we supposed to organize and picket the White House or what?
    How about everyone boycott the banks? Boycott the IRS ? There needs to be a way to get power into the hands of the people, a way to stop the engine of the Wall Street machine.

    Can we start our own banks? SHOW US HOW.

    How about we all STOP buying homes? Get our own wealthy people to buy up the tax liens and grant them back to the people for a small fee or make payments.
    Certain people have stood up and exposed the madness, only to be killed!! It’s just horrible. Do we need another Revolution in this country? A Global Revolution?

  24. Note:

    The scum-bags are even PACKAGING AND SECURITIZING TAX LIENS AS SECURITIES ANS SELLING THEM TO INVESTORS!!!!

    It never stops with these crooks!!!!

  25. So let me get this straight. The homeowner who got their home via a bankruptcy can still lose it to the bank they were protected from in bankruptcy; by an action from their county over taxes and a lien?

    OR, if the IRS lien is filed in the public as a Notice and the banks pay those off too, and get the lien, is that another way to get the home?

    Maybe we should stop and wonder if home ownership was ‘ever’ a possibility or just an grand illusion.

    Main Stream Media (MSM) seems to worry about stock markets and collapsing financial institutions and does not even discuss that there was a legal agreement between parties, a purported meeting of the minds that should be binding that was breached, but only one party appears to be ‘greater than equal’ and requires protecting.

    You still believe in ‘their’ constitution about all men (a person by statute; a corporation) being created equal?

    You still want to stay registered in their system, and vote in their processes for the people who don’t answer to you, but affect you and your family in every way?

    Does holding on to something make you free? or does giving up something that binds you down, make you free?

    Do you have such a need to belong that you must remain a part of something? Is there anything you believe in to where you can let go, and let that belief system take you where you are really supposed to be?

    A guy said a heard of sheep will follow a goat with a bell, straight into hell.

    There are many who are grouped in this and dealing with it one way. Fighting…fighting…and fighting.

    Is that your nature, or do you want to live, and love your brothers and sisters? We all have the same Father.

    I can deal with a lie, but thou shalt not steal.

    I’ll manage though, because the Creator takes care of my needs, and right now I need food and shelter and a source to keep them and I have that.

    I’m not angry or bitter. I still believe I signed a bad contract, otherwise it would have been ‘foreclosure fraud’ proof.

    As for all the news about foreclosure fraud. We all knew that a long time ago…they are just revealing it, because they are giving you a head’s up that your remedy will disappear before long.

    What most fail to realize and what they already know is that the ‘evidence’ of the fraud starts with the notices ‘filed’ (and not recorded) in the courthouse.

    I used to record a lot of things, while learning a process that I will say was ‘useless, a waste of time, but taught me the county clerk filing procedures’, while doing those I would ask questions. (how else will we learn).

    When I got my notice in the mail, I knew it was on file in the courthouse.
    I asked the lady that maintained the records, “if someone filed a notice to foreclose and I wanted a copy of it, would you certify that copy for me?”

    She said, “We cannot certify it, it’s only a filing and we destroy those a year after the filing date. If it was recorded, I can stamp and certify it, and I’d have to charge you a fee for the copy and the certification, but with something that is only filed, we only provide copies for a fee, we don’t certify them.”

    What I’m telling you is, (without inducing panic or fear…love and fear cannot share the same space, and fear would not exist if you knew how to Love)… this will all disappear in about a year, unless some of you entered this as evidence or in your answer to the court when you responded to the suit for unlawful detainer or forcible detainer or in your TRO or whatever.

    If the notice of acceleration or notice of foreclosure, or notice of substitute trustee or whatever …. “notice”….is not kept in a filing somewhere in someone’s court documents, papers, or files, then it will be destroyed ‘legally’ within a year, and you might as well move on.

    Personally I believe the Creator is trying to wake us up. Not to an enemy within, but to the fact that we put a value somewhere and we probably need to see and put a value somewhere else.

    No one cared until it was them that was affected..that’s in war, hunger, or whatever.

    What we must realize is…when it happens to one of us, it happens to all of us, and if we can just lift each other up, and let the Grinch Steal Christmas, but not steal our spirit or soul in the process we’ll see that catalyst was a turning point in our lives, and we’ll know where to truly give thanks.

    I’ve been dispossessed…terribly….there is a trustee appointed to the name I’ve used in the public, and that attorney, used that Appointment and added Grantees, and conveyed the title to the home I paid for ‘on time’ for 10 years to a bank I would not pay for 6 months when it surfaced but would not show standing, and would not file an assignment or anything to prove a right to collect the debt. They were a ‘shadow’ in the background demanding money when the lender, ‘named in the public on the Deed’ had disappeared in thin air (as far as I was concerned).

    I had a case open with the AG of my state, I fed all kinds of info to that case. I had written the original trustee…it still existed and still held the title to the land. The bank got around the original trustee by getting that substitute to get the title. Turns out the original trustee and the substitute trustee were both clients of the bank, an easy transfer of ownership, and I was out of the home.

    Now if they’d done full disclosure. We want the home, or we will let you stay there as a tenant only, we never intended to let you own it, that was a lie…I could have dealt with that and made a nice business decision to stay or leave.

    Thou shalt not steal..but if you do…I will forgive you.
    I have what I … NEED.

    I want to advance spiritually and I can see your actions are
    orchestrated and meant to keep us at war with each other and to keep many here, ‘Left Behind’ when the Great Harvest or Rapture or Redemption, or whatever you want to call it …. occurs.

    What is the real lesson here? Teaching them, or teaching us?

    Light and Love to all,
    Trespass Unwanted.

  26. Warren Buffet is also an economic advisor to Obama I think?

    Warren Buffet has a real decision here on how history is gonna judge him.

  27. Where is Warren Buffett in all this? Why is’nt he showing some Moralilty? Doesnt he own Wells Fargo.

    He made his money through aggresssive marketing and buying staple companies.

    I would hate to see him go down because of Wells Fargo in history as an amoral person.

    Even though he is a philanthopist and has contributed so much to this Country.

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