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Banks Getting Royalty Fees

for Use of Their Names in foreclosures They know Nothing About

SEE Roberson Probate Judgment of Dismissal

SEE roberson second motion to dismiss[1]

SEE ATTORNEY WILEY WEBSITE: www.foreclosurelawllc.com

A Missouri judge in probate court got down to brass tacks. It is always in the details at the very beginning where mistakes are made. This Judge made no mistakes. He started at the beginning and that’s where it ended. It seems like it is the probate judges and the bankruptcy judges that actually read the documents in front of them and who apply the law. The number of other judges in civil cases is rising, but most of them are going by the seat of the their pants.

Simple situation repeated millions of times so far in our great country with its judiciary mostly asleep at the wheel. They start by naming a Bank as though it was acting as a bank, thus coloring the water already. Most Judges read no further. They see HSBC and they think “BANK.” We’ve already pointed out that Deutsch Bank has a robust Trust Department, and yet the “trusts” that are run through their name in foreclosures don’t seem to be anywhere near their trust department, employ no trust officers and are basically treated as an asset management fee-based service where the Bank is actually getting paid a royalty for the use of its name, with no work or responsibility.

This Judge in Missouri, Mark Stephens is wide awake — and raised an issue that I have been saying for 3 years but he said it better and more simply. His analysis consisted of just reading the name of the would-be forecloser, word by word and arriving at the only possible legal conclusion: HSBC and the Trust were a crock. Certificates are not people nor are they legal persons. They can’t sue or be sued and they can’t perform any legal act.

Here is how he did it: HSBC Bank USA, N.A. is a bank, but it wasn’t being named as a bank or for performing any function of a depository or lending institution. So the question is why mention HSBC? The answer is that the Banks are playing word games inside the heads of most Judges and it is working. Not with this Judge though.

So the “answer” is that HSBC appears as “Trustee” which makes it appear even more sacrosanct and important. It implies the existence of a trust and that HSBC is the trustee and therefore must discharge its very important fiduciary duties. But there is no trust, there is no trustor, there are no beneficiaries, and there is no “res” (anything in the trust). In fact, the trust does not exist and cannot exist because it lacks the elements of being a trust which could be a legal person under the law.

So the answer to THAT problem is that HSBC is appearing as Trustee for Nomura Home Equity Loan, Inc.. Another Bank! Boy this is sounding really important. I mean we have a big bank appearing as Trustee for a smaller bank right? Not really. And the Judge wasn’t impressed. he recognized that not only was Nomura not making an appearance here as a depository or lending institution, it was NOT making any appearance at all! HSBC was implying a trust for Nomura but what it was saying was something entirely different.

It turns out that Nomura is the first name of Nomura Home Equity Loan, Inc., Asset-Backed Certificates, Series HE1. So in the end HSBC was appearing as Trustee for a fictitious non-entity whose first name was Nomura and whose last name is HE1. Judge Stephens didn’t need to go any further because there was nothing further. Normally, there would be something like “a New York Corporation,” or a “Delaware common law trust” or a “Florida General Partnership”. Here there was nothing.

So the Judge said he wasn’t impressed and there was no proffer of amending to read anything different. You want to know why? It is because there is nothing else. It is all a fiction. He ruled that HSBC was nothing since it wasn’t appearing in its own right, and that Nomura…HE1 was nothing but paper which is not a person under the law. And THAT was the end.

Why is this important? Take a look at the millions of litigation cases where they played with the wording of who was being proffered as being in Court and shame on the lawyers who misled the Judges. Most follow the HSBC-Nomura model of saying nothing but some get more creative. Like US Bank as trustee “relating to” first name….he1… In the end they all say nothing.

When this blows up (and it will), you can bet that HSBC, Nomura and US Bank along with all their cohorts and the lawyers who “represented” them (how do you represent a fictional character and keep a straight face?) — when THEY get sued by people, class actions and government agencies for civil and criminal penalties, they will THEN say they don’t exist and that the entity was a legal fiction in which on advice of counsel it would provide asset protection that is recognized as allowable by law. They will say their names were used but it wasn’t really them acting and they will be right —– except that the laws of perjury and suborning perjury might have a bit more pinch to them than they realized when they started this scam.

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