Posted on 04/13/2007 3:47:03 PM PDT by SmithL
WASHINGTON, (AP) -- The government on Friday acknowledged problems in processing disaster loans after the Gulf Coast hurricanes in 2005, including loan approvals without proper paperwork and inadequacies in how damages are assessed.
The administrator of the Small Business Administration, Steven Preston, said about 10,000 approved loans lacked proper documents on the borrowers' collateral. In some cases, the documents hadn't been filed with local authorities or checks and forms had mistakes.
"The bottom line is that in the gush of work flow that happened, there were 10,000 loans in place where they weren't properly recorded," Preston said.
(Excerpt) Read more at sfgate.com ...
Mitakes were made.
Apparently Buckwheat is writing the AP headlines these days...
OTAY!
or al baby is
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When I did my taxes this year, Turbotax asked me if I had any losses in Hurricane Katrina.
I was tempted to say, yes, I lost big time, but it might be hard to explain how it happened to someone living in Vermont.
Guess what — very few of the borrowers intend to repay those loans anyway.
Not true as to the folks processing the loans. Virtually all of them were temporary employees, some on monthly contracts, some on quarterly, some less than monthly, who were threatened with firing or demotion if they required the borrowers to follow the rules, and who were rewarded for meeting contest goals for sending out the most money.
That being said, there were a lot more than 10,000 improperly documented loans.
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