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View Full Version : Holders Fed to Sue Big Banks Over Mortgages...Maxine,Maxine are you there ? ?



megimoo
09-02-2011, 05:27 AM
The federal agency that oversees the mortgage giants Fannie Mae and Freddie Mac is set to file suits against more than a dozen big banks, accusing them of misrepresenting the quality of mortgage securities they assembled and sold at the height of the housing bubble, and seeking billions of dollars in compensation.
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The suits stem from subpoenas the finance agency issued to banks a year ago. If the case is not filed Friday, they said, it will come Tuesday, shortly before a deadline expires for the housing agency to file claims.

The suits will argue the banks, which assembled the mortgages and marketed them as securities to investors, failed to perform the due diligence required under securities law and missed evidence that borrowers’ incomes were inflated or falsified. When many borrowers were unable to pay their mortgages, the securities backed by the mortgages quickly lost value.

Fannie and Freddie lost more than $30 billion, in part as a result of the deals, losses that were borne mostly by taxpayers.

http://www.cnbc.com/id/44367003

SaintLouieWoman
09-02-2011, 08:59 AM
I guess if the banks lose the case and have to fork over big bucks then the Obama administration will give them more bail out funds. The taxpayers always pay. :rolleyes:

Novaheart
09-02-2011, 11:45 AM
I guess if the banks lose the case and have to fork over big bucks then the Obama administration will give them more bail out funds. The taxpayers always pay. :rolleyes:

Supposedly, Chase paid their bail-outback with interest in June of 2009 or 10.

lacarnut
09-02-2011, 12:26 PM
Supposedly, Chase paid their bail-outback with interest in June of 2009 or 10.



That does not account for the trillion plus that the Feds gave to European banks to prop them up. That Trillion will never be paid back. Bernanke and other fed officials belong in jail for bypassing Congress. You do remember them stonewalling Congress by refusing to answer questions about funds transferred to EU banks during hearings don't you?

AmPat
09-02-2011, 12:36 PM
Why doesn't he look at Fwank and Dud? They should be forced to give 100% of all they own, and then placed in maximum security prison until they decompose. They and the rest of the libertards like them need to be prosecuted.