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EDITOR’S NOTE: If you read between the lines here, you’ll see what really is happening. US Bank doesn’t want to be suing the investment banks over what are clearly fraudulent securities based upon derivatives of bogus mortgage bonds. It doesn’t want that because it is going around the country advertising itself as the trustee for the securities, and sometimes for the securities’ holders. When they say they are the trustee for the securities they are (a) lying and (b) creating an entity that does not exist — a fictitious entity since certificates are not legal persons and thus cannot legally act in court or otherwise.

The other reason US Bank doesn’t want to be suing JPMorgan (besides the obvious incestuous relationship between the two banks) is that it opens the door to proof problems at ground zero in foreclosure actions.

Questions abound. Do the investors know that US Bank is pursuing foreclosures instead of meaningful settlements that would mitigate the losses? If US Bank receives money from JPM, how will that be allocated — specifically how much will the obligation on each loan be reduced by payment from JPM?

Will the misrepresentations of JPM spill over into allegations that mirror the US Bank case when US Bank tries to foreclose on a home? As the finger pointing jubilee gets into full gear, will Judges start realizing that there is and was something terribly wrong and misleading about the entire process — including the origination of the loans, the transfer of loans, the perfection of liens, the amount demanded as due from the borrower, and the list goes on.

JPMorgan sued for $95 million over mortgage securities


(Reuters) – JPMorgan Chase & Co has been sued for $95 million by the trustee for securities marketed in 2005 by the former Bear Stearns Cos over alleged misrepresentations regarding the underlying mortgage loans.

US Bank NA wants to force JPMorgan to buy back the mortgage loans because of alleged breaches of representations and warranties regarding the Bear Stearns Asset Backed Securities Trust 2005-4, for which it serves as trustee.

It also accused the largest U.S. bank by assets of refusing to provide the underlying loan files, as the trust documents require, so it can investigate the extent of the alleged breaches.

The unit of US Bancorp said it made its request at the direction of a majority certificate holder in the trust. US Bank also sued Bear Stearns and its former EMC Mortgage Corp unit. JPMorgan bought Bear Stearns in 2008.

The lawsuit was filed on Friday in the New York State Supreme Court in Manhattan, and publicly docketed on Tuesday.

It is one of many lawsuits seeking to hold banks responsible for investor losses over mortgages that may have been toxic, defective or improperly underwritten.

JPMorgan Chief Executive Jamie Dimon last month told investors that the bank has been sued over $54.9 billion of private-label securitizations, excluding the former Washington Mutual Inc, and expects that number to rise.

The case is Bear Stearns Asset Backed Securities Trust 2005-4 v. EMC Mortgage Corp et al, New York State Supreme Court, New York County, No. 650003/2012.

(Reporting by Jonathan Stempel in New York; Additional reporting by David Henry; editing by Gerald E. McCormick)


12 Responses

  1. Chase foreclosed a property that belonged to my Corp. I was the original borrower on a 2nd t/d & assumed the 1st. This happened about two years ago. After the foreclosure they turned it over to a debt collector who has been harrassing me. I have been in the business for 40 yrs.,, and I keep telling them that they foreclosed the property & sold it a trustees sale, which I have the documentation from the title co. In the state of Calif. they do not have the right to keep harrassing me. Sometimes they say that I owe $195,000… then sometimes they send me a fed ex that says they will settle for $35,000. I think they should be sued for fraud.

  2. I have try for almost 3yrs to get Chase Bank to see the wrong that they did with my modificatin loan and they want listern to me . I have talk to every one getting no where. What must I do to save my home. After call and holding on hour at time and still not get any where. I want Chase Bank just to do right by there customer and I want them to know that there people out here hurting and can’t afford all this that there add to there loan. When will someone step in and help the little people that lose there home and can’t find no one person to help them straight this mess out. I Just wish that the Attorney General of the state of WI. will see what J.P. Morgan is doing with there modification and how I feel that are doing it wrong. They add almost 24,000 to my modification which I don’t understand and made me pay a good faith payment of 2,102 to modification and no one else understood why they did this. So will someone helo me out here.
    Thank you for your time and effort with this matter


    Mary Myers
    need help in the state of Wi. to get my modification done over or right

  3. Don’t forget – manipulated the gold and silver market for years with paper commodity

  4. Nora C., please get in contact with me. We have the worlds finest collection of WAMU/JPMC evidence.

    Rob 850 259-6422

  5. Truly shocking, what JPMChase has done without anyone in their corporate structure going to jail! They have laundered money for drug cartels, been found guilty of bribing government officials, violated the law regarding the wire transfer of monies to countries engaging in the development of weapons of mass destruction, securities fraud, book keeping fraud, they’ve been sanctioned in multiple cases for fraud on the court, filing falsified documents, the list of offenses goes on and on. Yet, when we go to court and tell the judge they’re foreclosing without standing, the judge sides with these criminals; we the law abinding victims of their lawless activity, get tossed onto the street.
    Until the likes of Jamie Dimon go to jail, there is no justice anymore.

  6. The Congress of these united states (truly what we are) granted a charter to the Federal Reserve Corporation in 1913, and Woodrow Wilson signed it into law on Christmas Eve. It was creted by its shareholders Morgan, Lehman, Warbug, Rothschild.

    it is OK that you do not know because they never teach us the meaningful stuff in school. Despite this outfit not being the first central bank America had, they were smart. They added federal to the name to give this private corporation a title which suggests an agency status.

    They have intentionally caused this deleverage just like all the others. Financial institutions steal regardless of the market direction. Up / down is irrelevant. They simply need liquidity and if us common scrub will not or cannot provide the credit expansion they need to subside / they force our government to incur the debt, which we pay through interest to the federal reserve corp. anyway.

    While you are looking into this lovely bunch, also look at the great depression and you will see it is the same folks who caused that; they merely used a different asset class to unwind everything.

    We need indictments now or everyone should stop paying their mortgage.

  7. “…It also accused the largest U.S. bank by assets of refusing to provide the underlying loan files, as the trust documents require, so it can investigate the extent of the alleged breaches…”



  8. Bernanke’s salary…Whatever it is, it is too much!

  9. @Iwantmy…,

    Funny that you commented on it. As soon as I clicked “send”, I wondered about the Federal Reserve. Cubed2k has been ranting about it for quite some time but I didn’t really pay that much attention.

    Gotta do research on that animal. I don’t even know who created it and for what purpose. Just for my own edification, though… aren’t we paying for Bernanke’s salary? And by the way, how much are we paying him…?

  10. Enraged, you know better than to suggest the Federal Reserve Corp., is a government agency. In fact, I do not even feel they reach the threshold of quasi-governmental agency.

  11. I have a serious problem with ANY banker sitting on any government agency…

  12. US Bank should also be suing Maiden Lane and the Federal Reserve for their actions, or alleged thereof. The losses should have been drilled into the monolines prior to washing the loans through Maiden Lane via the New York Fed. It is also frightening that the recipient of the assets, JP Morgan Chase had taxpayers absorb 30 billion in losses versus the swap provider, or the Originators who dumped more crap into EMC, than a king size toilet could handle.

    In the end, nobody is even indicted, fines are distributed at levels that amount to no more than a percentage of profits / or cost of doing business. The tax benefit through these structures shields the recipient bank from future payments to the IRS on gains and most important; Doesn’t anyone have a problem with a Board Member of the New York Federal Reserve Bank, Jamie Dimon, getting these assets on the cheap so as to mask the insolvency of Chase.

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