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fraud all the way down:
Joseph Tauke has an entertaining cliff notes version up at daily caller:
Wells Fargo wanted to foreclose on a condo unit which had multiple mortgages attached to it. Wells Fargo also owned one of those second mortgages. So Wells Fargo spent money to hire a law firm and file suit against the irresponsible lenders at Wells Fargo. Then, Wells Fargo spent money to hire a different law firm in an understandable effort to defend Wells Fargo from the vicious legal attack coming from Wells Fargo. The second law firm even prepared a legal statement for Wells Fargo which called into question the dubious claims being made by Wells Fargo. Sadly, Wells Fargo won the case, crushing the hopes of Wells Fargo.
Ha ha. It gets better, of course:
For financial institutions, the problem isn't the "missing" documents. It’s the missing documents—the real ones, which say much different things than the "missing" ones, and which the banks can't seem to get their hands on. Everyone in the financial industry has been looking for them in more places than kids look for Carmen Sandiego, and they still can't seem to find the X that marks the spot. There's good reason for that—the industry destroyed the papers a long time ago. On purpose.
Banking officials happily told the Florida court system in 2009 that the documents had been shredded. At the time, lenders were trying to prevent some foreclosure rule changes, so they sent a letter to the Florida Supreme Court. Among other things, the letter stated that it was standard practice to destroy mortgage papers once the mortgages were sold into MERS in order to avoid confusion.
And so on. It would be interesting to know how many foreclosure auctions have been held for the wrong bank, were it even possible to know who actually had the right to foreclose. The banks have a solution: allow them to seize anything, regardless of whether there's a mortgage on the property or not. Better seize the banks before they seize you, I guess.
:: posted by buermann @ 2010-10-16 20:17:09 CST |