Wall Street Pit: Gasparino on FCIC Delaying Report to Investigate Foreclosure Fraud

By Ari Haruni|Nov 19, 2010, 4:25 PM|Author’s Website

FBN’s Charlie Gasparino reports that Financial Crisis Inquiry Commission (FCIC) Chairman Phil Angelides has delayed the report “due out in December until the next year” so that the bipartisan commission can take a closer look “at this new issue of mortgage foreclosure fraud.”

Here are the key highlights from the interview, courtesy of FOX Business Network:

On why Angelides is delaying the FCIC report:
“This report that was due out in December is being delayed until the next year. And the reason is they’re looking at this new issue of mortgage foreclosure fraud, particularly robo signers and whether mortgages that are packed into a lot of these bonds held by the big Wall Street firms; whether these deals were done properly.”

On the significance of FCIC involvement:
“Usually when you see a scandal, like the mortgage foreclosure fraud scandal, other agencies jump in. The FCIC, the Financial Crisis Inquiry Commission, led by Phil Angelides is now jumping in. It’s controversial inside the FCIC. A lot of the republican members of the commission didn’t even know that they were going to go this route until they read it in the paper, until Fox Business Network was the first to report they were going this way.”

7 Responses

  1. Do they claim that they physically transferred the Notes to the trust? or did they hold onto both the deed and the note?

    A Trust is a tax enhancement. Their is no Trust building or trust warehouse or trust this or that. . .

    Lender sells loans to a REMIC / REIT. There the
    Loans arrive in theory as a registered asset using an electronic registration system for secruties trading purposes . The securites are sold to the investors for cash. The cash is transacted through broker dealers and deposited with the FDIC member bank.

    The actual process on paper is as follows:

    Loans for cash; / FAS 140 Bunk Sale – Joke
    Cash for Loan Certificates / Capitalization purposes
    Loan Certifcates for Depsoits / There is your collateral .


    “Loans” – 1000 Whole Loans Assets
    ” Cash” +1000 ….0.00

    “Cash” + 1000 mark to mark
    “Certs” -.1000 ….0.00

    “Certs” + 1000 Book Value
    Deposit -10,000 Goodwill (guesstimate)

    Net Deposits = Credit Bid? Maybe. Just maybe ?


  2. Related news: finance • real estate • law .state foreclosure probe talks include mortgage investors urging quick deal.By Margaret Cronin frisk and David McLaughlin – Nov 23, 2010 9:01 pm pt Inshare.

    Mortgage-backed securities holders are pushing for a resolution of a 50-state probe of foreclosure practices, attorneys general in Iowa and Arizona said as talks with lenders and servicers expand to include investors.
    M.Soliman- why their collateral was held in an FDIC deposit account, they have no claim to loans? WTF (where’s the fed)

    “The mortgage backed securities are worth pennies on the dollar, so any kind of recovery would be better,” Arizona attorney general terry Goddard said in an interview.
    Please- what? Look at your states trustee sale….please counselor …look what the REO sold FOR …I mean credit “bid” for .WHAT? so…was that pennies on the dollar?

    Accounting 101 is not offered on line…but!

    Stock is worthless…deposits are gone or missing? And home is credit bid at 80% of outstanding balance….mark to market out of whack…Robo what? Assignments? Modifications?

    This means and method for recovery by the Fdic as a subrogator awarding homes to successor after the fact and with no basis in assets …tendered by the government in a controlled bid for purposes of GAAP.

    And everyone talks about Rolo signatures.

    (Cannot take much more…really….just cannot….i think I want my back on the street . . . Insane- just pure insanity).


    ….Out on the road today I saw a dead head sticker on a cadillac….that voice inside my head said don’t look back you can never look back…D.Henley

  3. Abby,

    Do they claim that they physically transferred the Notes to the trust? or did they hold onto both the deed and the note?

    We have more confirmation of CountryWide not transferring the Notes, with the Kemp case on the east coast. From my own paperwork, they attempt to assign both the deed and the note using MERS in a one-step assignment that is contrary to the PSA. Looks like CW did not transfer either the deed or the note properly.

  4. The FCIC has known about this since April. I know this for a fact because I emailed them tons of PROOFabout MERS robo signers etc…. If the media didn’t pick up on this they would have done nothing.

  5. It is time to take names and kick butts. The dirty laundry is starting to stink. Anyone who obstructs this commission is guilty of obstruction of justice, which is a felony. In fact, throughout this whole entire scam are felonies, felonies and more felonies. Unfortunately, there are quite a few people in America who believe that obtaining money fraudulently or through committing crimes is ok. Not so much. Here, money is more important than honesty, how com? http://www.challengingforeclosrue.com Sirak@challengingforeclosure.com

  6. Abby, I’m with you – they need more time to stall & cover the blatant fraud. How they will do it, I don’t know…

    “The crisis commission is also looking into the matter, said Phil Angelides, the panel’s Democratic chairman. The Republicans on the panel are resisting further inquiries, according to people familiar with the matter. Angelides said in an interview that “there are very powerful interests” seeking to undermine the panel’s investigation.

    “People who have trillions of dollars at stake who have been watching our efforts closely,” Angelides said. “There have been efforts throughout the year to undermine me and my fellow commissioners.”


  7. From attorney of the bankruptcy trustee for New Century Mortgage & hOME123 comes the discovery response that none of the assignments of deeds (mortgages) were done until an event occurred, such as a default AND IN SOME CASES WELL AFTER NEW CENTURY FILED FOR BKR ON 4-2-2007.

    This would mean that none of the 4200+ mortgage loans in the JPMAC2006-NC1 had assignments done as spelled out in the PSA and Prospectus and that would mean that none of them were in that REMIC trust when the securities were sold to the institutional investors.

    This is nothing but tax evasion fraud.

    As to the above post about the ‘delay’…I don’t believe the explanation for one single minute.

    Something else is going on and more time allows for more cover-up,

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