i guess Red-Lining wasn't such a bad idea after all...
Posted on 07/16/2008 12:30:28 PM PDT by rabscuttle385
Drudge is reporting that the FBI has been investigating failed bank IndyMac for mortgage fraud in loans made to risky borrowers. Countrywide is also under investigation.
Where’s the list of our esteemed members of Congress that have accepted money from these two banks?
But now, of course, it’s someone else’s fault.
add charges of messing up an ongoing fbi investigation
W has been seen late at night sneaking in and taking sacks of 100’s.
Indeed Patrick too. He, like Obama, is a puppet. They campaign the same way, and use the race card the same way.
ALWAYS!
I think the FBI should start with Congress. They got the bribe money to set up the conditions for this to happen.
The FBI SHOULD be investigating Chuck You Schumer as well.
I can remember Ronald Reagan and George Herbert Walker Bush and George Walker Bush all saying it loud and clear.
FYI
So now it has happened, when buisnesses fail it becomes a criminal offence.
Due to all the “friends of Mozilo” loans members of congress got, they won’t go after him. He’s bought himself immunity from prosecution.
So the feds will pick a few to make some pathetic example of, but the rest like Mozilo will be sunning themselves in retirement and laughing their asses off.
If the gov’t powers want to prevent bank runs, then this probably isn’t the thing they want to be want to be doing at this time.
Gov’t is stupid.
I wouldn’t be surprised if underneath all of this, it was found to be intended for the bank to fail. The lefties undermined the war in Iraq; who’s to say they don’t undermine the economy to increase their chances in the November elections.
An IndyMac bank customer called in during Cavuto saying that he waited for two days to get into the bank. When he finally did, he found out that he had $80,000.00 missing from one his accounts, as well as money missing from some others.
bookmark
Failure isn’t criminal. Conspiracy to defraud investors is.
For example...
NEWS WATCH; Live From Las Vegas, A Concert on the Internet
By PETER WAYNER
Published: October 28, 1999
http://query.nytimes.com/gst/fullpage.html?res=9E0DE6D61338F93BA15753C1A96F958260
As the Internet grows, bigger stunts are needed to attract attention. It’s hard to imagine what will top the on-line iBash that the new streaming video company, Pixelon, will stage this weekend. The company plans to call attention to its new ability to send full-screen, live pictures over the Internet by giving a party in Las Vegas, hiring acts like the Who, the Dixie Chicks and Faith Hill and broadcasting their performances live. The show begins at 2:30 P.M. on Friday, Pacific standard time, and ends at midnight.
Pixelon is a small, tightly held start-up company that is reaching out to the public with a big gesture to demonstrate how its Web-based solution could replace old-fashioned television.
Michael Fenne, Pixelon’s founder, said that the company was able to shrink the size of the data stream to about 100,000 bits per second, about a third of what the standard, MPEG, would use to represent the moving pictures. The solution represents several years of serious mathematical research into how to represent images on the screen with the least amount of data....
http://en.wikipedia.org/wiki/Pixelon
Pixelon was a dot-com company founded in 1998 that gained fame for its extravagant launch party and sudden and violent decline less than a year afterwards. It promised better distribution of high-quality video over the internet using technologies that were, in fact, fake or misrepresented. [1] Its founder, Michael Fenne, was actually David Kim Stanley.[2][3], a convicted felon involved in stock scams who was running from the law. In the year 2000 it gradually fired employees and reduced its operations until its bankruptcy.
—
Pixelon is originally known as the company that spent the most amount of money on a launch party, even in the heyday of 1999/2000 when San Francisco Bay Area Internet companies were spending lots of money on launch parties. The façade and scandal of Pixelon is an unbelievable tale, and it is one that will forever ring in dot-com history.
If I recall, the software was bogus. It was a scam from the get go and the only money that the bands ever made (they were paid in worthless stock options) was from subsequent video sales of the concert footage (multicamera shoots since they were reportedly going to be “streamed” online).
I’m all for it.
As long as they’re:
-legal
-reasonably creditworthy (and loan pricing is risk-suitable based on credit)
-able to afford the loan and responsibilities associated with it
There was never a need to have “more minorities own homes.” Even before that policy, plenty of minorities owned homes - as long as they could afford them and were willing/able to pay back loans.
I work at a bank.
I won’t say which one, but I will say that it’s based in the South, hasn’t been in the news much (for GOOD reasons), is still showing good profits, and is fairly large.
In my orientation at the bank (I just started) I met a gentleman who is managing a branch that used to work for a “finance company” which used to be the only place to get a subprime loan (think places like American General, Citifinancial, etc) and said they were successful doing it and still are, at his former employer. FYI he left there because our company was a shorter commute and had better benefits, he wasn’t laid off from the finance company.
The difference was that they were underwriting with common sense. If the borrower had credit issues (as those types almost always do) they better damn sure prove they have more than enough income to pay the loan, there better still be equity left, and use your head. He pointed out that since he personally (as the manager of the branch) would have to go knock on doors to collect delinquent funds, he was much more stringent on who they lent money to than the more recent subprime lenders. There’s nothing wrong with subprime, if it’s done right.
I hope the FBI uncovers kickbacks and sweetheart loans made to members of Congress.
Yep.
They should investigate the Congress for fraud, since Congress passed the idiot laws under which the mortgage industry handed out bad loans. And they should make the individual members pay the judgment.
How do you think the major subprime lenders did it?
They went too far. Too deep into bad credit, too high of a loan to value ratio, and too little verification of income.
Furthermore, they made it too “easy” to approve. In the example I mentioned, the guy who was the manager had to go himself to collect if they didn’t pay - not pleasant. Most banks, it didn’t matter
It really depends on how much government financial support they lobbied for and received in order to carry on that business. When you hide unter the taxpayer-supported umbrella of FDIC insurance in order to entice suckers to lend you money that you re-lend to unworthy others for exhorbitant fees that you pocket from the transaction, then, yeah, you had better expect to have somebody looking at what you did.
Yikes!
i guess Red-Lining wasn't such a bad idea after all...
I hope the FBI uncovers kickbacks and sweetheart loans made to members of Congress.
Yup. (holding your breath?) Investigate the donations made to scum Dodd by the scud president of this scam bank:
http://housingpanic.blogspot.com/2008/07/hp-exclusive-shamed-indymac-ceomortgage.html
I sure hope has accurate records. Because that sounds really bad.
Complicated financial crimes offer lots of opportunities for investigators to come up with such an excuse.
What’s that they call it in the auto business....Sign and Drive?
I’m guessing it wasn’t a problem if you couldn’t pay. They’d just come and repo.
Now, with falling home prices.............Reap what you sow!
We got our loan from “New South Federal Bank”.....We were a risk because my hubby is self employed. So My Mother In Law had to co-sign. Man it was hard for us to get our house, even though we have no problem paying for it. We had to sign our names on documents about 200 times...lol
Bingo, we have a winner! The Dems and their shills in the lamestream media don’t care what economic havoc that they wreck on the American people, as long as it happens on a Republican President’s watch and they can fool the voters into thinking that their candidate will magically make it all better once he gets elected. Problem is that there are a lot of dumb voters out there that just might fall for it. It worked for FDR, Carter and Clinton. Of course they only made things worse and increased the government’s socialist grip on the economy further.
I know someone that would very much like to know. He did not read the sign at the teller window that says insured to $100,000 and he was more than a tad bit over that.
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