Snowball gets larger, rolls faster downhill

Our elected leaders in Washington have quietly passed legislation that makes it easier for the financial industry to foreclose on American home-owners by making it harder to detect the fraudulent paperwork that underpins the foreclosure process. Furthermore, that fraudulent paperwork is key evidence of the exact nature of the fraud involved in the market for the complex investment vehicles based on mortgage-backed securities that lie at the heart of our coutry’s economic problems.

A paralegal at the foreclosure mill of David Stern has given a deposition to the Florida Attorney General indicating that virtually every affidavit, assignment or other sworn document coming out of that firm is faked.

Centuries ago, news of momentous events traveled throughout the countryside by means of beacon fires, alerting all along the route to big changes coming. September and October 2010, are shaping up to be the time of the beacon fires when it comes to foreclosure fraud.

California is the first non-judicial foreclosure state in which its state attorney general demanded that GMAC mortgage suspend foreclosures. Hopefully the rest will follow suit — and it’s not just GMAC that should suspend foreclosures.

Bloomberg reports that GMAC mortgage is halting evictions and related activity. GMAC spokesperson calls them liars. However the same spokeperson confirmed the original story for Bloomberg. Color me confused.

Today, GMAC mortgage announced that it is suspending evictions, short sales and resales of foreclosed homes in 23 states.

After hearing Mr. Gibbs’ remarks about “the professional left” needing drug testing, my blood began to boil. This diary is an attempt to share a slice of the middle America pie which has valid complaints about the job left undone by President Obama. Sure, Obama has tried — but when you are bleeding to death, a bandaid is little comfort.

With a 33% interest in a BHC, it stands to reason they would be.

Many people do not know that GMAC owns several subprime mortgage companies. I suggest that the difficulties facing them have as much to do with the accounting fraud they engaged in as it does anything else. This was originally posted on Dkos.