Foreclosure Fraud Exposes Systemic Rot

Two years after the financial crisis was "contained," there's fresh exposure of a much broader rot across the securitization system.   In a recent interview, Aaron Krowne, who operates ML-implode.com, the Mortgage-Lender-Implode, noted:

". Robo-signing, and what’s underneath it, foreclosure gate, shows is that there’s other sorts of rot in the system that spread far and wide and have not been accounted for.  This is more than just whether the T’s have been crossed and the I’s are dotted in doing the paper work. This is actually whether the loans were transferred properly into trusts, because when you securitize loans they are put into a trust entity, which is a semi-separate entity and if that’s not done right, then you lose the authority to foreclose, you lose tax privilege status, potential investors lose recourse, and by some accounts by some very intelligent people, you have this as the rule, not the exception."

To read more about thei implications of this fraud, read How The Securitization Of Mortgages Impacts The Average Citizen or listen to the Runtogold.com Podcast. 

Tags: Bank Failure, Corrupt Regulators, Economics, Financial Frauds, Fraudclosure, Ponzi Schemes, Rigged Markets, Wall Street Greed

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