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August 12th, 2012
Written by John Wright
A perfect example of hell being paved with good intentions by the federal government might have been the creation of the Home Affordable Modification Program (more commonly known as HAMP) that was launched by the Obama administration in 2009. That is because we were told that it was built to help the nearly 4 million struggling homeowners from being foreclosed on during the bank created Armageddon which would lead us into the worst economic crisis since the Great Depression. Yet we now find out that HAMP was actually created to help the banks. This is mainly because the Obama administration feared that the banks would fail when and if 4 million foreclosures came in all at once. This why they created what I like to call The HAMP DAM. This is because THE HAMP DAM was created to basically control how much water (fraudclosures) they wanted to let out of the lake at a time. This would effectively turn the Obama administration into an accomplice to a crime in progress — because THE HAMP DAM was built to allow the banks to continue with their potentially irregular, fraudulent, illegal and simply unsafe banking practices. This is so the Obama administration — on the head of the taxpayers — could guarantee a safe crash landing for the banks in the tune of 16.6 TRILLION DOLLARS IN A TAXPAYER BAILOUT SCHEME.
These banks must have been laughing at us One Customer At A Time.
That is why I say the banks — with the help of the federal government and the Obama administration — might have been nothing other than Smooth Criminals with the creation of FAMP. What? Did he just say FAMP instead of HAMP? Yes, I did. This is because — according to the youtube above — FAMP would stand for the Foam Assisted Mortgage Program.
In the end — THE FAMP PROGRAM would make former President Ronald Reagan right when he said, “The nine most terrifying words in the English language are, ‘I’m from the government and I’m here to help.’
This is because it sounds like the taxpayer was hit by smooth criminal.
- Congressional Oversight Pannel Blasts HAMP 12/14/10
- House Committee Testimony regarding HAMP 03/02/11
- House Committee Testimony regarding HAMP 03/29/11
My name is John Wright AND I AM FIGHTING BACK!
All Rise! The Honorable Judge Wright has left The Courtroom of Public Opinion!
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Piggybankblog Posted on 09/15/12
Cross linked with Mandelman Matters
He could very well be the last honest man in Washington, but he’s certainly one of the last. Former Special Inspector General for TARP, Neil Barofsky, is flat out my hero. In his role at Treasury he was known as SIGTARP and he stood out in the crowd because at every turn he told the truth about how our government has CHOSEN to handle the worst financial and economic catastrophe in our history… or as it says on the cover of his new book, “Bailout,” how both the Bush and Obama Administrations “abandoned Main Street while rescuing Wall Street.”
I followed Neil in his career as SIGTARP and reading his book was an awesome experience for me. He was a Bush appointee who worked in the Obama Administration, so he’s not coming from one side of the aisle or the other. And he confirmed what I’ve been writing about for almost four years.
He’s a former prosecutor who has gone after drug lords and financial fraudsters. His life’s been threatened by those with the means to follow through on their threats. He saw what’s wrong with Washington D.C. and he had the courage to write about it in detail.
Now on this Mandelman Matters podcast you’ll hear Neil and I talk about what he saw and how he tried to be a voice of truth in an effort to make things better for America’s middle class… at a time when that wasn’t going with the flow. Neil doesn’t “flow.”
And because it’s a Mandelman Matters Podcast, it’s not about soundbites. In two parts and over a little more than an hour, we dig in to uncover why HAMP went so wrong, why our government did the unthinkable… and why it wasn’t necessary nor an accident.
I’m not saying any more about this because it speaks for itself. Settle in and get ready to hear the real inside scoop on how Washington works and too often doesn’t. It may cause vomiting and probably shouldn’t be listened to if you have a heart condition…
Be advised that it takes a minute to load after you click below.
My name is John Wright AND I AM FIGHTING BACK!
All Rise! The Honorable Judge Wright has left The Courtroom of Public Opinion!
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Why Banks Are Not Interested In Giving You A Mod! Insurance Scam! Is It “One West Bank” or “One Worst Bank”
Written by John Wright
February 23rd, 2012
Do you recall my February 2nd post, describing the judge who shouted “SIT DOWN!” to a homeowner during a TRO hearing? Well, I finally received the stack of transcripts that immortalize Potentially Dishonorable Judge James Chalfant’s atrocious behavior toward the homeowner who was seeking a TRO based on overwhelming evidence of One West Bank’s improper actions. My pet name for One West is “One Worst Bank” – as the reinvented IndyMac Bank, One West was, in essence, founded by Angelo Mozilo as Countrywide Mortgage Investment. And the apple hasn’t fallen too far from the tree. OWB has also perpetrated foreclosure fraud in the past – click here for details And they certainly did their best to earn the Federal Consent Orders against them from the Office Of The Thrift Supervision, for unsafe and unsound servicing and foreclosure practices – click here.
Now you know why PennyMac was born.
Don’t you get it? The banks are not interested in you having a modification. THEY WANT THE INSURANCE MONEY. They buy the loans for pennies on the dollar. They want the insurance money because it will pay them what the house was worth at the top market value. They bought the loan for its insurance value! That is why I think Bank of Defrauding America bought Countrywide in the first place. Do not believe they bought it to help the economy for one minute. They bought it to help themselves! The best part of this conspiracy is that the very same people running PennyMac are the very same people who ran Countrywide Home Loans Inc. – click here Imagine that! So they created the bad loans and now they are on the other end to collect again from the very same bad loans they sold to investors. They might be planning on living off your dead carcass. It is a potential insurance conspiracy.
In this case, One Worst Bank is apparently pretending they purchased the homeowner’s loan from the FDIC as Receiver for First Federal Bank of California, a failed Federal Savings Bank located in Santa Monica, CA. The pleadings are an interesting read; the incendiary revelations certainly have launched a war between good and evil. OWB maintains they purchased the homeowner’s loan from the FDIC as Receiver, but the paper trail shows that the loan was sold into multiple trusts. Of course, the bank is covering that detail up – however surprising, it looks as though with the help of the FDIC and the United States Secret Service.
Apparently the two-sets-of-books concept is not foreign to IndyMac/OWB: Click here
The pleadings are loaded with evidence; this series of posts will start with the U.S. Secret Service’s role in the story, and the depth of their ineptitude – or collusion. You decide.
The Secret Service is sometimes called in to assist on a mortgage fraud investigation given its governmental contacts and investigation procedures. Representatives of the Secret Service have been involved in statewide and regional task forces to crack down on these illegal practices. The Financial Crimes Division (FCD) of the Secret Service plans, reviews, and coordinates criminal investigations involving an array of financial crimes. Contact information for this division of the Secret Service can be found by visiting –http://www.treasury.gov/usss/contact.shtml
Representatives of the Secret Service have been involved in statewide and regional task forces investigating mortgage fraud. My tracker captured the following Google search term input by The Department of Homeland Security (DHS):
The division of DHS that investigates mortgage fraud is The United States Secret Service.
Let’s return to the case at hand for a moment. The evidence shows that the homeowner used (company name removed) to double-check evidence she already received from another analyst. (company name removed) concluded that her loan was first improperly sold into a Downey Savings & Loan Trust. In March 2007, triggered insurance apparently paid off the tranche (a portion of a mortgage-backed security with its own credit rating) where the loan was located.
In March 2007, the loan characteristics were also changed to a 30-Year Fixed Rate SFR loan and sold to another trust. The 30-Year Fixed Rate SFR characteristic is important because the homeowner did not take out a 30-Year fixed rate loan, she took out an adjustable rate loan with a 40-Year term. How does the contract between the FDIC and OWB detail the loan? If you guessed 30-Year Fixed Rate SFR loan, you’re right. According to the pleadings, neither OWB nor the FDIC will state the asset detail in their contract specifying that the loan is a 30-Year Fixed Rate SFR is incorrect. We can only conclude that is because it is correct – and they just didn’t think they would get caught with two-sets-of-books and instruments created for the same debt.
Upon receiving this information, the homeowner filed a complaint with the Department of Homeland Security, Secret Service Division as well as many other federal agencies. I would too, if I made a Freedom of Information Act Request and received back from the FDIC evidence that they sold a loan, in my name, that I did not execute to OWB.
Now imagine a small desk in the corner of the Secret Service office building. Sitting at that desk is a man who answers a phone that probably rings once a day.
This is how I picture Secret Service Special Agent Kei:
At any rate, Agent Kei shared an email thread with OWB’s Head of Litigation Jennifer L. Gray, an exchange filed with the court. On January 30, 2012, at 8:43pm, responding to a call from Agent Kei, Ms. Gray emailed him. Agent Kei responded at 8:57am the next morning. Somehow, Agent Kei had conducted a full and satisfactory investigation of the complex securitization issues involved in this complaint – overnight (see below). Ms. Gray and Agent Kei’s exchange makes you wonder whether the DHS is investigating the bank’s sale of multiple trusts – or protecting them from this discovery.
Sent: Monday, January 30, 2012 8:43PM
Dear Mr. Kei,
Thank you for your call today regarding xx xxxxx xxxxxx.
Enclosed please find a copy of the originally executed note and mortgage evidencing a loan that xxx xxx xxxxxx obtained from First Federal Bank of California in 2004, secured by property located at xxxx xxx xxxxx xx xxxxxxxxx xx xx. The Federal Deposit Insurance Corporation (“FDIC”) acquired this loan when it placed First Federal into receivership. In turn, the FDIC sold tills loan, along with the other assets of First Federal, to One West Bank. As part of this transaction, the attached original loan documents were delivered to One West. As evidenced by the fact that we hold the original note and mortgage, One West is the current owner of this loan.
Also, enclosed please find a copy of One West’s most recent letter to xx xxxxxx, which addressed some of the allegations that she appears to have raised with you. I’ve also enclosed a copy of a letter recently sent to xx xxxxxx by the FDIC, in which the FDIC confirms that the xxxxxxx First Federal loan secured by property at xxxx xxx xxxxx xxxxxxxxx xx was sold to One West.
As you know based upon your discussions with xx xxxxxx, this loan is severely delinquent and a foreclosure sale is scheduled for February 2, 2012. A reinstatement quote was recently provided to xx xxxxxx. If we receive the reinstatement amount tomorrow, we will make all efforts to stop the scheduled sale.
I hope that these materials address any questions that you had.
- Best regards,
- Jennifer L. Gray
- FVP, Head of Litigation
- One West Bank, FSB
- 888 East Walnut Street
- Pasadena, CA 91101
- PH: 626.535.5526
- FAX: 866.481.8451
Sent: Tuesday, January 31, 2012 8:57AM
To: Gray, Jennifer
Subject: RE: xxxxxx xxxxxx
Thank you Ms. Gray. Just for your information, I have repeatedly told xxxxxx xxxxxx that I do not see a criminality to her case and the Secret Service currently does not have any intentions of opening a case on One West Bank, but as a Federal Agent, I still must insure that I do my due diligence to any information that we receive. Thank you again and I will be in touch if I have any further questions.
- Special Agent
- - United States Secret Service
- Los Angeles Field Office
- (213) 533-4531 -direct
- (213) 434-3794- cell
- (213) 533-4728- fax
Piggybankblog called Agent Kei and the Secret Service but they offered no comment.
Now just how did Agent Kei verify that OWB actually had the original documents? Did he somehow break into the bank and dig through the files with a flashlight, sometime between 9:00pm on January 30 and 9:00am on the 31st?
Or did he just take the bank’s word for it?
Note how Ms. Gray states that OWB is the holder, not the holder-in-due-course. If she dropped the note on her way to her car and somebody picked it up, would they now own the note because they were the holder?
I highly doubt the borrower told Agent Kei she was in default as her pleadings state that she has been paying the mortgage payments into a separate escrow account until this mess is cleaned up. My favorite part is the final wink-wink about doing his due diligence.
In sheer dollars, let alone misery, the fraudclosure crisis is probably the crime of the century, however young the century is. Why have they put the investigation in the hands of Barney Fife from the Andy Griffith show? Because the fix is already in with the banksters?
Does the Piggybankblog Council find One Worst Bank Guilty or Not Guilty?
Therefore, it gives me great pleasure to announce to you that Piggybankblog.com and myself are announcing that we will be extending our protest to against One Worst Bank. I am now the voice for all those who have been injured by One West Bank’s potentially irregular, fraudulent, illegal, and simply abusive mortgage practices. Please email me at email@example.com if you are a victim of IndyMac, First Federal Bank of California, La Jolla Bank, FSB, and of course OneWest – Worst! – Bank. Please tweet and send the link to this page to all your friends and post on every One West Bank article comment section.
In closing, I have now taken you out of the matrix. I have now told you why they are not interested in giving you a modification because it is a potential insurance conspiracy. Now what are you going to do about it?
That would suck for One Worst Bank if the homeowner actually ended up being the secret investigative reporter for 60 Minutes. I don’t know though. I guess Forrest Gump was right. Life is like a box of chocolates. I guess One Worst Bank and the judge just never know which one their going to get. (Wink)
All Rise! The Honorable Judge John Wright has left The Courtroom of Public Opinion!
My name is John Wright AND I AM FIGHTING BACK!
“Anecdotal evidence of servicer failures, of course, has been well chronicled. From the repeated loss borrower paperwork, to blatant failure to follow program standards, to unnecessary delays that severely harm borrowers while benefitting servicers themselves, stories of servicer negligence and misconduct are legion, and servicer’ conflicts of interest in administering HAMP — they too often have financial interests that don’t align with those of either borrowers or investors — have been described by SIGTARP and others. Treasury’s tepid reaction to date to servicer non-compliance with the requirements of HAMP and its related programs appears to be driven by the fear that forcing servicers to comply with their contractual obligations will drive them away from HAMP. Treasury recently told COP that since participation by the servicers is purely voluntary, “our abilities to enforce specific performance are extremely limited” and “aggressive enforcement [is] difficult.” The same fear of the service withdrawal was offered by Treasury in response to SIGTARP’s recommendation that Treasury reconsider its decision to make its Principal Reduction Alternative program entirely voluntary, and Treasury continues to operate an appeals system that leaves the ultimate decision of whether to approve or deny a modification squarely with the servicer. TARP’s oversight bodies –SIGTARP…….”
I found the above very interesting, but more importantly, I found the fact that they said that the servicers had ”ultimate decision of whether to approve or deny a modification..” even more interesting. Now correct me if I am wrong, but I could have sworn that Bank of Lying To America has been telling us that it was “up to the investors.”
It is things like this that make you go “hmmmm.” click here
By John Wright
What’s Really Going on?
“The bottom line is Freddie & Fannie are the Godfathers of the HAMP program and the mortgage industry.”
September 11, 2010-Think of Fannie & Freddie as the wicked witch from the Wizard of Oz. Bank of Abusing America is more like one of the evil monkeys the wicked witch dispatched to do her evil bidding. This is the story I would like to tell you about, but instead of following the yellow brick road, we are just going to follow the money. Oh how deep the rabbit hole goes!
For those of you who do not know who Fannie Mae & Freddie Mac is, they are the Federal National Mortgage Association (FNMA) (OTCBB: FNMA), commonly known as Fannie Mae, was set up as a stockholder-owned corporation chartered by Congress in 1968 as agovernment-sponsored enterprise (GSE), but founded in 1938 during the Great Depression. In retrospect, they are the government, but here are some other facts who Fannie Mae and Freddie Mac are about:
- GSE means Freddie Mac, Fannie Mae
- Hamp program was designed by Freddie, Fannie, and Treasury
- This info on this link is from Freddie, Fannie, to the banks.
- Freddie, Fannie was taken over by Gov. Sept. 2008 ( Freddie, Fannie means Government)
- It says repeatedly that Hamp is for Non-GSE loans or documents say it is not for full recourse loans, which is just about all of them.
- GSE loans, I think are 90-95% of mortgage loans.
- That means only 5-10% can be modified under HAMP. (Hence all the problems)
- In most cases, your bank that you think owns your loan, is actually a Servicer and they send the money on to GSE,s (gov.)who actually own the loan.
- HAMP program I believe was a scam, to help them foreclose on GSE loans while you were in a trial period for a Mod. that you were never eligible for in the first place, because it was a GSE loan or a full recourse loan. What an easy way to foreclose while you are in the house and paying them money. GSE’s have total control of the HAMP program, not the banks, the banks are getting their arms twisted by the GSE’s (Gov.) to do exactly what the are told.
- The few that do get modified are actually owned (very few) by the banks them-self.
Now that you have this info, Here is the link, you should find most of your answers here. Remember this link is for the SERVICIERS (Banks) not us.
So maybe President Ronald Reagan’s words ring true when he said: “The nine most terrifying words in the English language are: ‘I’m from the government and I’m here to help.” Basically, it was when the government decided to get involved that it all started to go wrong. The whole story sounds like nothing short of the government injecting itself into the private sector to influence the market. Who is ultimately responsible for the mortgage crisis? The government! The government created an environment with security back loans that would cause feeding frenzy among the piggy banks. The Real-estate business has always been like a game of musical chairs, but this time when the music stopped playing, the fat piggy banks were already sitting down.
The following information was based on facts that I received in an email:
From recent article: Fannie Mae and Freddie Mac took over a foreclosed home roughly every 90 seconds during the first three months of the year. They owned 163,828 houses at the end of March, a virtual city with more houses than Seattle. The mortgage finance companies, created by Congress to help Americans buy homes, have become two of the nation’s largest landlords.
This will show the Journey through HAMP HELL and that approx. 95% of the loans were not eligible in the first place due to tricky wording. Yes, this is the Big American Bait and Switch orchestrated byFannie & Freddie and using your tax money to do it! All Americans, African Americans, Whites, and Hispanics are all being deceived and defrauded once they enter the HAMP program.
Just a few of the key points are: Edward Pinto pointed out in a recent hearing that Fannie, Freddie and Genie Mae own, guarantee or control 95% of loans in U.S. right now. That leaves only 5% for the private banks own or control. Is this a coincidence that approx. 95% of modifications are being turned down?
Aug. 2008- Fannie & Freddie restructure its attorney foreclosure process
Sept. 2008- Fannie & Freddie taken over (receivership) by Gov.
Oct. 2008- TARP approved
Nov. 2008- TARP changed, found different way to recover Toxic assets (HAMP)
Dec. 2008- Streamline Mod. Program started, had been in the works for little while and would have worked to help homeowners and preserve home values.
Jan. 2009- Streamline Mod. program replaced with HAMP
Feb. 2009- HAMP announced- foreclosures have skyrocketed ever since.
PSA agreements (Servicing Agreements)
Servicing Announcements (lots of these almost weekly)
Servicer Participation Agreements (For HAMP program)
Fannie Mae-August 6th 2008 New Foreclosure & Bankruptcy Attorney Network (this shows how Fannie are in total control of foreclosures, not the banks) excerpts from document below:
- Plaintiff, Caroline Herron, files this action against her former employer, Fannie Mae, Fannie Mae officials, for terminating her because she raised criticisms about how Fannie Mae was (1) implementing its role to assist the Department of the Treasury (“Treasury”) in modifications of home mortgage loans, (2) engaging in a gross waste of public funds, and (3) violating its contract with Treasury. If Fannie Mae is considered a private employer, Ms. Herronhas claims for wrongful termination in violation of public policy and tortuous interference with prospectivebusinessadvantage. If, in the alternative, Fannie Mae is considered to be a government employer, Ms. Herron has a claim regarding the violation of her constitutional rights under the First Amendment.
Article written Dec. 17, 2008 before HAMP showing that it would not work for Modifications before it was even announced and it was all about MBSs and PSAs. (Mandatory Retained and http://foreclosuredefensenationwide.com/? Servicer-Retained Referrals)
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