This story was entirely predictable, but it deserves to be noted “for the record” that, once again, we find that our presidents job is to look cool, pose as a defender of the common man, and enrich the ruling class. (Raising a few taxes on “the rich” is all just cover. People at the level of Corzine, Dimon, etc are not going to lose more than they gain from Obama’s work.)
Back in November 2011, CNN pumped out the following regime propaganda.
“Homeowners whose lenders played fast and loose with their foreclosures may be in for a payday. More than 4 million mortgage borrowers who were foreclosed on between 2009 and 2010 will have a chance to request an independent review of how their foreclosure process was handled, according to Joe Evers, the deputy comptroller for large banks at the Office of the Comptroller of the Currency (OCC). Should the review find that “financial injury” occurred as a result of an error or other deficiencies in the way the foreclosure process was handled, the homeowner may receive compensation for their losses. However, just how much money the borrower will receive has yet to be determined, said Evers.”
Blah blah blah. The Article goes on to explain that this is the “independent foreclosure review,” and call it a “lifeline” in bold font.
That very week, the Independent Foreclosure Review showed problems. Business Insider reported:
“Many key elements of the program have been kept secret, including the specific bank errors or abuses that would merit compensation. Democratic lawmakers have questioned whether the personnel deciding who deserves compensation are qualified to do so. And the process, which allows no appeals, can require homeowners to put forth their cases in writing, a formidable task that consumer advocates say many borrowers lack the expertise to do.”
Basically, this was all a scam to keep real possible wrongdoing secret and to make sure that the charges would go away forever. Notice that any incentive for getting legal help with the documents is cut off. No lawyer would be able to make a living helping the foreclosed homeowners with the documents because there was no way to predict payment.
And thus we now reach the punch line:
“After a year and a half of bungled work and plenty of criticism, the Obama administration decided to close down its review of mortgage fraud this week and order banks to pay a sum that consumer advocates say falls short of what’s fair… In the end, federal regulators decided on an $8.5 billion settlement that banks must pay. But of this total, only $3.3 billion is actual cash, while another $5.2 billion represents “credits” that financial institutions will receive for avoiding future foreclosures… The $3.3 billion in funds will be distributed to about 3.8 million borrowers who were eligible to have their foreclosures reviewed. That amounts to approximately $870 per homeowner.”
Wow. That’s over 17 tanks of gas, maybe. I’m sure if I felt I had been fraudulently foreclosed upon and lost my home, I’d feel totally compensated.
I’m sure there have been false accusations against banks and I’m sure that there have been people who lost their home in foreclosure for legitimate reasons. But there is reasonable suspicion here and that is why we have a court system. All of that has been bypassed in order to keep banks going.
Move on; nothing to see here. And isn’t Obama so much better than the rich Republicans? Everyone knows that George Soros lives in poverty.
The only scam bigger than the banks is the Obama Administration itself.