Get in the game! Time to Write Your Congressman and Senators on Clawback by FTC

It is axiomatically true that anyone who steals money or property should not be allowed to keep it. It is equally true that anyone who obtained money or property under false pretenses should not be allowed to keep it.

We have laws that enable individuals and government agencies to claw back such monies. This is the way an orderly society deals with thieves and liars.

Those of you who have followed this blog for any length of time know that I have taken the position that federal agencies like the FTC and the SEC have failed to exercise their power to control and clawback the money generated by investment securities brokers who commonly refer to themselves as “investment banks.”

I have also been sharply critical of the FTC in particular for attacking attorneys on the fringe of schemes invented by dishonest “foreclosure rescue” players who were also dishonest with the attorneys whom they lured into their orbit.

But let’s not throw the baby out with the bathwater. Both agencies currently have the power to claw back ill-gotten monies on behalf of the public. The right to do so is now under review in Congress. The supreme court, in its less than infinite wisdom, has restricted that remedy.

The proposed legislation would enable the agencies to pursue those remedies more easily but there are those in Congress who oppose the legislation. Those who oppose appear to be backed directly and indirectly by investment banks who are concerned that their securitization scheme could result in trillion-dollar liabilities.

You need to get in the game. Create the pressure to enable the agencies to claw back any money at any time that was obtained by theft, lies or both. After that we can zero in on the agencies and pressure them to take a closer look at the investment banks.

 

see https://www.reuters.com/world/us/us-republicans-say-not-so-fast-restoring-ftc-power-claw-back-ill-gotten-gains-2021-04-27/

 

2 Responses

  1. How about to denounce National Mortgage Settlement and claw back all “bailout” money for non-existing damages?

    As well as confirm ALL foreclosures as void due to the biggest Fraud Upon The Court scheme ever existed in the World history.

    Judges KNEW that non-existing “plaintiffs” – Trusts – do not have standing to sue anyone and cannot suffer any damages.

    Judicial GUESSES that money COULD be paid to investors are not legit, and contrary to their job to uphold the law as written.

    All these foreclosures are theft of homes by Wall Street Banks as tax-free revenue for fun and bonuses, on top of windfall of profits their crime victims (homneowners) created for them .

    Moreover, foreclosures created a negative stigma on “borrowers” aka investors for “failure to repay debt – which did not exit.

    This is a defamation of homeowners character because they worked for Wall Street Banks without ANY compensation, returned only commission they received as fake “debt”; gifted all downpayments to Wall Street banks, plus their homes on top of it,

    Which is a worst, most cynical slavery

    It is fair and just to reverse all

  2. This will never, even if passed, apply to the financial crisis mortgage fraud. That was on Democrats clock, and they need to come forward. I am waiting. Not seeing it. Not a word. But, yes, write to your representatives.

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