Posted on 11/26/2014 6:52:33 AM PST by Whenifhow
The Justice Department’s massive mortgage settlements against two bank giants requires them to give millions to liberal advocacy groups, and House Republicans are trying to find out why.
House Judiciary Committee Chairman Bob Goodlatte (R-Va.) and House Financial Services Chairman Jeb Hensarling asked Attorney General Eric Holder seeking details about who was involved in steering the funds from the Bank of America and Citigroup settlements this way, which they said was an unprecedented departure from other settlements.
“It seems that the alleged victims are not the primary beneficiaries of these multi-billion dollar settlements,” the House chairmen said in the letter. “Instead, the terms in the Justice Department’s two latest settlements look less like consumer relief and more like a scheme to funnel money to politically favored special interest groups.”
The two groups singled out by the congressmen were the National Council of La Raza andNeighborWorks America; these groups fund a national network of community organizers, according to the letter.
Justice Department spokesman Patrick Rodenbush told TheBlaze, “I can confirm DOJ has received the letter, but the department has no comment at this time.” The Justice Department did not immediately reply to phone and email inquiries from TheBlaze.
Citigroup reached a $7 billion deal with Justice in July, and Bank of America reached a $16 billion settlement in August.
The settlements provide incentives to give even more to the nonprofit groups.
Under the Citigroup settlement, a minimum of $50 million must be donated to community organizing groups as NeighborWorks and La Raza. Every dollar donated above the $50 million minimum, Citigroup earns a $2 credit off its its $2.5 billion consumer relief commitment, which makes up a portion of the $7 billion settlement.
The Bank of America settlement requires the bank to contribute $100 million to housing-related organizations, including counseling agencies, “legal aid” organizations and community development “non-profits.” For each dollar Bank of America gives to a nonprofit group, it gets a $2 credit off of its $7 billion consumer relief obligation.
Other types of consumer relief, such as loan modifications, earn only dollar-for-dollar credit. “This makes donations to activist groups far more attractive to banks than providing direct relief to injured consumers,” Goodlatte and Hensarling contend. “As a result, the settlements appear to serve as a vehicle for funding activist groups rather than as a means of securing relief for consumers actually harmed.”
The letter points out that the DOJ’s settlement with J.P. Morgan Chase last year included only direct forms of consumer relief. Further, while a settlement during the George W. Bush administration allowed any funds remaining to go to a third party, such funding was not earmarked or incentivized.
Among the questions the letter asks are, “Were non-profits that stood to gain involved in any manner in that decision? If so, which ones and to what extent?” and “Were any White House officials involved in the decision? If so, who and to what extent?”
As if Holder would have given it to them.
because as a Country we have grown weak and frightened, yet too many here on our soil have deluded themselves that everything is fine and we are just going through a “rough patch”.
so they can give 1.25 billion to these groups to be so they don’t they can get out or paying 1.25 billion to the people they screwed. This is Holder crowning achievement.
I knew years ago these slush funds were around. Where did one think these billions of “forced” (bribes) dollars were going to go?
Pigford is another. These racist, hateful communist organizations WILL NEVER DIE because they will get infinite funding from you, me and ever other taxpayer.
It’s good to be evil today.
My question is “under what authority does Holder give money to non parties to any action”?
Article 1 Section 9: “No Money shall be drawn from the Treasury, but in Consequence of Appropriations made by Law.”
If they fear it can be interpreted differently, they can pass a law.
When are the American people going to realize that the O[phony]bama Administration is a criminal conspiracy thugocracy in the finest Chicago “Al Capone” tradition?
All they have succeeded in doing is almost destroying America and enriching their friends.
The sooner we are rid of them, the better!
They will keep pushing the limits until this whole thing blows up in their face.
Unfortunately, things like this bank shake down won’t be blowing up in the Dems faces because the GOP has chosen to not be an engaged opposition party. We may get a strongly worded letter but there will never be any substantive action taken by the GOP against the rampaging Dems.
No, they can pay 1.25B to these marxist/racist groups, or pay 2.5B to the people they swindled (or at least their lawyers).
This is outright extortion.
Oh this is so hard to explain! NOT! Where the hell is the GOP?
Well, JEEZ! That is what the O[phony]bama scam is all about: ENRICHING HIS LIEBERAL BUDDIES!
Thass a no brainer!
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These huge "bank settlements" are ATMs for the criminal Obamatons---$12 billion for JP Morgan, another $7 billion for Citigroup and on and on. It's a real shakedown. In fact, no one even remotely knows how these penalty-payment numbers are calculated. And the federal government's disbursement of these funds is equally mysterious.
As the Wall Street Journal editorial page has pointed out, a lot of money has gone to states run by Democratic governors......the $7 billion Citibank settlement contains a section explaining how $2.5 billion goes to "community reinvestment and neighborhood stabilization".......
The Chicago criminals and Me-first Holder are using the Justice Dept and US agencies to profit themselves and Dummycrats.
The Obo/Holder/Dummy criminal MO: In his new book, "Extortion," author Peter Schweitzer writes about Obozo and Holder, using the Justice Dept and assorted govt agencies to extort Big Money ....threatening jailtime unless the targets fork over billions.
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UPDATE---Federal Judge: Eric Holder’s DOJ Likely Defrauded Company of $55 Million, Orders Recusal of Judges
Pundit Press ^ | 10/20/14 | Aurelius / FR Posted by therightliveswithus
In 2012, Sierra Pacific Industries was ordered to pay $55 million to the United States and transfer 22,500 acres of land to the United States government after the Department of Justice launched a massive lawsuit against the company. The DOJ argued that the company was responsible for a massive fire that destroyed 65,000 acres of land in California.
Since the beginning of the case, however, Sierra Pacific has insisted that the fire started elsewhere and that the Department of Justice was being deceitful in their prosecution.
Now, new evidence showing an outrageous miscarriage of justice has emerged, including the DOJ's interest in gaining large "revenue" from a "deep pocket:" large companies. In other words, the basis of the lawsuit was not justice, but rather making money for the government.
In a stunning turn of events, Judge Morrison C. England Jr. agrees that the appearance impropriety occurred. He has taken a second look at the case and ordered the recusal of every single federal judge in the Eastern District of California.
He wrote in his ruling, "Based upon facts alleged in the Motion and accompanying Declarations and Exhibits, the impartiality of the District and Magistrate Judges in the Eastern District might reasonably be questioned...
Accordingly, all District and Magistrate Judges in the Eastern District of California are RECUSED from hearing case number 2:09-cv-02445 and all related matters." Judge England has referred the case to Ninth Circuit Chief Judge Alex Kozinski. (Excerpt) Read more at thepunditpress.com ...
MESSAGE Congress should mobilize The Bank Secrecy Act at once ----to follow the paper trail and determine how monies changed hands; to determine the scope and dimension of collusion in sub rosa deals and who might be personally profiting.
<><> Congress needs to examine Holder/Jarrett's wire transfers, bank accounts.
<><> Joint bank accounts might be used to facilitate the transfer funds from one account to another, and/or wire-transferred offshore to personal accounts;
<><> To cover their tracks, fake invoices might be created to show that money deposited into accounts was being used for legitimate purposes.
<><> Financial schemes scheme might be advanced by issuing phony statements of payments from financial sources that actually covered the transfer of funds for insiders' personal use and/or for redistribution schemes.
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NOTE WELL Under the Bank Secrecy Act, banks are required to establish, implement and maintain programs designed to detect and report suspicious activity indicative of money laundering and other financial crimes. “The Bank Secrecy Act was enacted to protect the public from harm by identifying and detecting money laundering from criminal enterprises, terrorism, tax evasion or other unlawful activities,” the special agent in charge for Internal Revenue Service Criminal Investigation, explained.
Shady banking transactions could be prosecuted under the (1) Bank Secrecy ACT, (2) RICO, and, (3) the Hobbs Act.
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<><>Congress should get ahold of: (1) copies of checks, (2) wire transfers, (3) account statements, (4) invoices, (5) bills, (6) delivery tickets, (7) correspondence including snail mail, e-mail, mobile devices, cell phones, (8) contracts, (9) loan agreements, (10) other account books or official records.
<><> Congress should also explore (a) monies paid to brokers, sub- brokers, (b) family members, (c) mortgage brokers, (d) financial managers, and, (e) real estate agents, brokers, and developers.
<><> Congress should scrutinize bank accounts for suspicious activites: (A) large deposits, (B) funds transferred from one account into another, (C) frequent requests for withdrawals.
<><> Bank records might also show diversions to secret LLC accounts, to money launder and to operate personal ventures;
Tax fraud may also be a factor, facilitated by withdrawals, gift cards purchases, credit card purchases and intra-bank transfers from legal bank accounts into personal accounts, or redistribution schemes.
<><> A huge tipoff is whether bank withdrawals support and luxurious lifestyle including payments for real estate, investment and stock holdings, jewelry, luxury vehicles, resort travel....... and gifts from luxury outlets for wives and mistresses.
FBI TIPS PAGE--YOU MAY REMAIN ANONYMOUS ---https://tips.fbi.gov
SUBJECT: Collusion, conspiracy, bribery
IN RE: financial irregularities
REFERENCE: fraud, falsified documents, wire transfers, accounting fraud, etc.
NARRATIVE Taxpayers demand to know the scope and dimension of multiple conspiracies by to collude in sub rosa deals to personally profit and/or to facilitate redistribution schemes of US foreign aid.
OF INTEREST TO LAW ENFORCEMENT The FBI should interrogate individuals for evidence of multiple schemes to falsify official documents to further fraudulent schemes. The FBI should investigate any and all official documents submitted to the courts.
Crimes might include---conspiracy, collusion, falsifying official documents (a felony), money laundering, tax evasion, extortion, theft, misuse of public facilities.
Examine tax returns with a fine-tooth comb.....especially entries for "interest income."
This is an enormous corruption of the Federal court case Republicans need to bring an end to this imeadedly and demand the bank give equal amounts to conservative groups.
We fail to do that and the left will beat the crap out of us in the money and ground war using virtually unlimited funds.
People should be impeached & imprisoned for engaging in this sort of blatant, Tyrannical criminal behavior. Under the guise of combating corporate abuse, they funnel money to extremist groups whose stated beliefs are absolutely antithetical to everything American Liberty embodies.
Well, at least there are no kickbacks occurring...</sarc>
I call it Treason.
First they came for the Tea Party but I did not speak up because I was not in the Tea Party.
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