NEXT? LOL
Jim Willie: Thoreau, RICO & Mortgage Fraud
Posted By: Lion <Send E-Mail>
Date: Sunday, 24-Oct-2010 19:24:50 -------------
Paper. Words on paper, written by individuals without conscience or reason.
Papers of greed. Papers of fraud. Papers of corruption.
Worthless paper, yet it destroys dreams and liberty, that is if WE deem the paper to be legitimate.
The core issue then, is putting faith or belief in the paper.
Paper really doesn't mean much until someone believes what it says on the paper.
Lion
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"Thoreau, RICO & Mortgage Fraud"
By Jim Willie, Golden Jackass.com
www.GoldenJackass.com
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Found Here:
http://www.goldenjackass.com/main5.html
"-- to warn that legal prosecution of home foreclosures from fraudulent titles has caused a freeze in a few states, which could spawn much broader voluntary defaults with challenges, and declaration of the MERS title database being a RICO racketeering tool... civil disobedience could push the big crooked banks over the edge, even cause a systemic failure... witness the climax of the Fascist Business Model urged by a macro credit cycle liquidation process... Gold & Silver are in strong breakout mode, the hedge against monetary system breakdown, currency debasement, and banking system shutdown potential..."
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http://www.kitco.com/ind/willie/oct062010.html
(snip)
Some significant events are in progress, extremely important developments in the grand pathogenesis that reflects the deep decay and deterioration in the US financial structure.
The most recent events pertaining to mortgage loans, home foreclosures, and disclosed fraud carry great potential to open wide cracks in the American social order.
Revealed fraud is slowly coming into the open by the big banks.
Civil disobedience has already taking form in popular protest.
However, the recent events surrounding illegal home foreclosure seizure of properties elevates the exposed fraud to a new level.
This is a boil ready to break open upon the society.
The cases where people have been removed from their homes, even when no bank loan exists (as in owned free & clear), by means of fraudulent and forged documents, has finally provoked RICO law provisions.
Witness the prima facie case of organized crime extended from Wall Street, whose roots lie most likely in Fannie Mae itself.
The legal industry has finally joined the fray in class action lawsuits. Defense citing errors made have been met with accusations of fraud, quite a different game.
The Racketing Racketeer Influenced & Corrupt Organizations Act of 1970 was designed to fight organized crime.
RICO has been invoked in class action lawsuits in at least two states in the past month, each related to mortgage fraud, securities fraud, and illegal property seizures.
At the center of the firestorm lie JPMorgan Chase, Bank of America, and GMAC (now called Ally).
Little did the USCongress realize that RICO laws might be used to oppose criminal activity on Wall Street.
When tracked with some forensic analysis, the roots are found in REMICs, those perverse financial instruments that functioned as umbilical cords to Fannie Mae in past years, funding its powerful centrifuges.
They fed the housing bubble and mortgage finance bubble, each valued over $10 trillion in size.
Bear in mind that RICO has been used primarily against mafias and crime organizations dealing with gambling, drugs, murder, and prostitution, where property seizures are routinely carried out.
Abuses have been seen in states like Florida, where motorboat owners guilty of owning small bags of marijuana have lost their boats in legal seizure.
It seems that selective enforcement is obvious. The target within the crosshairs has moved to Wall Street banks and their servicer arms. These are dangerous times.
Recent cases threaten to encourage the Strategic Loan Defaults and highly charged Civil Disobedience which could actually contribute in powerful ways to commercial chaos, popular disorder, public disruptions, creeping distrust, and even systemic failure.
Hundreds of thousands of people are not making their mortgage payments, intentionally stopping payments, many when they do have the ability.
Over 250 thousand Bank of American mortgage holders have stopped making monthly payments, in open defiance, reacting to financial distress.
The maneuver of Strategic Loan Default, together with challenges (even with attorneys) to the banks to produce legal property titles, has grown sharply in practice.
The RICO cases underway threaten to toss an accelerant on that fire.
Henry David Thoreau would certainly be observing closely, perhaps smiling, at the current developments of citizen action against corrupt bank practices, mortgage bond fraud, and forgery of securities as well as critical legal documents.
His essay had a profound effect on me when young, when cruel abuses were endured within my catholic school locally and observed in the Vietnam War globally.
Of course, the Jackass does not sponsor, endorse, or encourage any such action, believing that the highest level bankers should receive their due.
The question is what is due?
Objective reporting of the news, such as the viral news of the fraudulent home foreclosures, seems to have escaped the mainstream news, a consistent theme that hints of concealed sympathy.
The last thing a network news systems wants is to encourage civil disobedience, since banks lose from widespread social protest.
For four years, the Jackass has placed focus upon Fannie Mae, reportedly the central clearing house for diverse USGovt agency fraud.
Their tools are mortgage loans, mortgage bonds, REMICs, and more recently the MERS title database.
Real Estate Mortgage Investment Conduits were a necessary piece to the housing and mortgage bubble, through which is laced colossal fraud.
The REMIC acted like a mortgage futures contract, clear of any supervision or regulatory oversight.
Imagine a leveraged futures contract on twin bubbles where unbridled fraud was common.
Recall that $1500 billion went missing from 1988 to 2000 in two HUD regional offices.
One was Houston and the other was Oklahoma City, the home grounds for sitting presidents.
The missing funds have fed black bag funds, even financed the highly active Working Group for Financial Markets.
It and high frequency trading keep the stock market afloat.
The entire set of prima facie and expanded aspects of the mushrooming story are to be covered in the October Hat Trick Letter reports.
But honestly, this is a huge moving target, whose capture is better described as herding cats on an open field.
M.E.R.S. DATABASE -- THE WEAK LINK
The event mushroom has a primary point of vulnerability that has received very little attention.
The Mortgage Electronic Registration Systems (MERS) was originally an innovative process that simplified the way mortgage ownership and servicing rights were originated, sold, and tracked. MERS is a property title database, intended by Wall Street and Fannie Mae to serve as a repository that kept order when mortgage bonds were traded fast and furious.
In recent court cases in at least three states, the MERS database failed to attain legal standing in mortgage foreclosure challenges.
The holder of the note (home loan) could not combine with the MERS database (title holder) to win property control within the courts.
The system began to unravel.
Now in at least one state, the MERS database is directly cited in a criminal fraud class action lawsuit that invokes the RICO statutes.
MERS is the financial system's Achilles Heel in my view.
Maybe a big bank might fall into ruin in the wake of some assets confiscated after demonstrated racketeering.
With clarity increasing over time, several big banks have been dead since October 2008.
If not for the lax and complicit accounting rules by the Financial Accounting Standards Board, the big banks would undergo liquidation.
They cling to control of the USGovt financial purse and its valuable USDollar printing press.
Big bank liquidation is tantamount to liquidation of the entire US financial structure from the top down, in plain words.
(end snip)
