The latest decision striking the funding of the CFPB is a perfect example of that impact. The fifth circuit Court of Appeal has made circular logic into an art form.
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Congress passed the statutory authority and charter for the CFPB to act. Congress passed the statutory authority for the CFPB to be funded up to a certain amount and to be disbursed by the Federal Reserve.
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The Fifth Circuit Court of Appeals has now kneecapped the CFPB by adopting the idea that Congress should be approving each expenditure of the CFPB as a line item. If this were actually the law, Congress would not have the time to pass any legislation.
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The conclusion drawn by the Fifth Circuit Court of Appeals is that the congressional authorization for the establishment and funding of the CFPB was unconstitutional because it violated the separation of powers. It is nothing short of absurd and a blatant smackdown of any attempt to hold Wall Street accountable.
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They are saying that only Congress can make appropriations, which is correct. But they are ignoring the plain fact that Congress did make the appropriation.
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If you want this attitude to change, you need to vote for someone who promises solid support for the CFPB and for more active regulation from the SEC, FTC and DOJ. The current focus on foreclosure rescue scams is a distraction and a diversion of resources away from the real crimes that continue to be pursued under the false cover of “capitalism.”
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Taking money from investors under false pretenses is not capitalism. It is theft. Paying money to homeowners under false pretenses is not lending or capitalism. It is merely part of a Ponzi scheme, another form of theft.
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Homeowners gave up their future, reputation, and their only equity to fund a scheme to issue unregulated worthless certificates that were falsely labeled as both “securities” and “mortgage-backed.”
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Those homeowners — in tens of millions of transactions — not only were deprived of knowledge of this scheme when they signed on; but they were also cheated out of just compensation for their involuntary participation.
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Free house? YES! In foreclosure, the actors are all getting free houses! The government has known for at least 10 years that the documents used to foreclose were false and fabricated (and forged). *
What was never publicized was why those documents were faked. The reason was always the same: “securitization” did not mean what people thought. It meant that certificates and derivatives were being issued and sold under laws that exempted them from being scrutinized or regulated.
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Securitization meant that Wall Street investment banks could control money flow without owning anything. And that meant that anyone instructed by the investment banks could foreclose — as long as they didn’t claim any right to receive the relief sought in foreclosure.
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The CFPB was getting closer and closer to revealing this chicanery in language that anyone could understand. Now they have to beg for money again. The probability that the Supreme Court will overturn this decision is virtually zero. It is dominated by people who are entirely beholden to the interests of people who control the money —- i.e., Wall Street bankers like Jamie Diamond and others who had up the major banking institutions.
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When you ask for less regulation, be careful what you wish for. This is the result.
Filed under: foreclosure |
You are 1000% on spot in simple terms!!! I have voted for the right people ( Dems) over 20 years in MY opinion but Money talks and over rules fact and rule of law!!!