«
»

Tuesday, October 28th, 2008 at 5:34 PM

Fraud Finger-Pointing

WASHINGTON (Dow Jones)–The chairman of the House Judiciary Committee, Rep. John Conyers, D-Mich., expressed concern Tuesday that the Justice Department and the Federal Bureau of Investigation are not doing enough to investigate mortgage fraud.  

“A national crisis requires a national response, and the department has yet to convince us that it did, and is doing, its part to adequately and promptly respond,” Conyers, joined by two other House Democrats, said in a letter to Attorney General Michael Mukasey and FBI Director Robert Mueller.  

Among other things, Conyers said he was struck by the fact that state attorneys general, and not the Justice Department, have appeared to take the lead on legal issues with major lenders. He cited a recent settlement agreement between several states and Bank of America Corp. (BAC) to modify certain subprime and adjustable-rate mortgages serviced by Countrywide Financial.

(glad they sent a letter…..)

 

Posted on Tuesday, October 28th, 2008 at 5:34 PM in Fraud | 4 Comments » | Print Print You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.

Reader Comments: 4 Responses

  1. I agree with Conyers on virtually nothing politically, but it appears even a broken clock is right twice a day.

    Brucie | October 28th, 2008 at 11:24 pm

  2. Nearly all of our elected politicians ignored this fraud. You could count on one hand the number of politicians who raised concern about this when it wasn’t popular to do so. I can only think of one local RE agent and a few local reporters who were bold enough to speak out about this fraud years ago and offer to share knowledge with FBI. I bet now that it’s popular we see a few other RE agents break ranks from NAR and speak up. Expect lots of finger pointing and posturing as the public realizes how much impact this fraud will have on everyone’s economic well being.

    JE | October 29th, 2008 at 9:29 am

  3. The funny part abuot this is all of the politicians keep saying they want to see home prices higher or at least not falling. They also say they want the Fraud resolved.

    Amazingly none of them ever say one of the reason prices were high in the past was due to Fraud. Removing fraudulent purchases so that homes are affordable for working people is a good thing.

    Like you said Jim, someone other than Janae should be able to afford homes.

    LV Renter | October 29th, 2008 at 9:38 am

  4. LV Renter,

    This is known as the alcoholic’s syndrome. When someone is an alcoholic they drink and then regret the consequences. As a result of their depression over this, they effectively drink to forget that they’re alcoholics.

    We can’t get out of the housing bubble with more toxic loans, but good luck trying! Looking at you Countrywide..

    BDiego | October 29th, 2008 at 10:20 am

Post a new comment