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Professors Black and Wray Confirm that Bear Pledged the Same Mortgage to Multiple Buyers
I have repeatedly pointed out that mortgages were pledged to multiple buyers at the same time. See this and this.
Today, in another must-read piece, economics professors William Black and L. Randall Wray confirm:
Several banks would go after the same homeowner, each claiming to hold the same mortgage (Bear sold the same mortgage over and over).
As USA Today pointed out in 2008, Bear was one of the big players in this area:
Bear
Stearns was one of the biggest underwriters of complex investments
linked to mortgages. Two of its hedge funds, heavily invested in
subprime mortgages, folded in July.***
Bear Stearns was
linked to many other financial institutions, through the
mortgage-backed securities it sponsored as well as through complex
financial agreements called derivatives.
The Fed
wasn't so much concerned that 85-year-old Bear Stearns would go
bankrupt, but rather that it would take other companies down with it,
causing a financial meltdown.
Alot of toxic mortgages and mortgage related assets ended up on the taxpayer's tab directly or indirectly.
For example, as Bloomberg noted in April 2009:
Maiden
Lane I is a $25.7 billion portfolio of Bear Stearns securities related
to commercial and residential mortgages. JPMorgan refused to buy them
when it acquired Bear Stearns to avert the firm’s bankruptcy.The
Fed’s losses included writing down the value of commercial-mortgage
holdings by 28 percent to $5.6 billion and residential loans by 38
percent to $937 million as of Dec. 31, the central bank said. Properties
in California and Florida accounted for 45 percent of outstanding
principal of the residential mortgages.
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You continue to consider money as though it existed 300 years ago. Every single piece of PAPER that has a signature on it becomes a valid claim or security in a debt-based monetary system and under Article 3 of the UCC.
Thanks especially for the Black and Wray article, Geo! Looks like even HuffPo is all over this stuff.
I will ask the same question many others here are asking, "Why are these criminals not rotting away in prison"? This is absolutely pathetic. I want some fucking blood.
I suspect if you want some blood you're gonna need to do something about it personally because it's clear the fix is in.
timing is everything with this one. this could be a velvet revolution, but judging by the actions of the DOJ, they are insisting otherwise. I am concerned that fascist forces from the US military may be the only way to counteract the supremely untouchable federal agencies. this would not be good, but what are the alternatives now that they are painting taxpayers into a corner with no prosecutions and rulings for damages? do they really believe that they can miscarry justice to such an egregious degree? For whom do they believe that they work? clearly, not us.
Assuming that the mortgage was paid for at least a few months has anyone figured out how, with a mortgage sold to two different entities, the income from the mortgage was shown on the books of both entities? I have seen no discussion on how the fraud was hidden, just that the fraud was created and is now falling apart.
Was the interest/principal payments that were made by the homeowner before they stopped being divided between both entities? If so, wouldn't this have rung alarm bells immediately?
If only one was getting it, why didn't the othe entity immediately try to foreclose.
If there was one servicer involved, was the servicer covering the difference between what was collected and the payments actually made? If so, how did the servicer do this and still remain in business?
If two servicers were involved, why didn't this come out sooner or were both servicers hiding this fraud?
This whole business reminds me of the Overstock suit in regard to naked short sales. Even with smoking guns three feet deep, the SEC did nothing but prepare to begin to study the background for the initial period of input regarding the proposed date of beginning the first phase of the study to prepare for the initiation of the plan to plan the start of the plan to prepare the input for the first phase...... You get the picture. Where is Pecora when we need him?
MERS and the 3 Card Monty...
MERS to Servicers: "Boys, boys, to make it up to you... let me assign a bunch of mortgages your way to foreclose on... that ought to help your cash flow on this..."
LOL
I think my questions regarding how the income from these double and triple sold mortgage's was, or was not, recognized is where the really explosive damage would come from and precisely why they're trying the bury this under the goal post of the "new" New York Giants playing field.
BTW, I hear they disinterred Jimmy Hoffa from under the old Giants Stadium playing field and reburied him under the new stadium to keep the Karma flowing. Why destroy a good thing? :>)
CD, i have asked these exact same questions, and no one seems to know the answer.
were there simply digital double entries emanating from Bear Stearns? a simple digital key stroke of which Bear Stearns was indebted? then, when the fraud was discovered they folded?
on Mon, 10/25/2010 - 13:06
#675846
As I recall from over a year ago Timmy was selling his house in D.C. Did that ever transpire (sale) and what did his loan mortgage look like? Things on the up and up so to speak? Maybe Mr Washington could enlighten us on that little "tale of woe" (dough) or this gentleman poster. Milestones
Part of the "global solution" Bair mentioned will be amnesty for all but a few selected scapegoats.
Next time, let's skip the armageddon melt-down propaganda and make them FAIL.
The parlor trick is the great monetary system created in the US under the auspices of the Federal Reserve in 1913. The bankers were the magicians taking our labor and signatures to create credit in the economy.
The Uniform Commercial Code is the pirate code that gives them permission to do what they do.
The economic crisis you are witnessing is the reveal, the terminus of a long con.
****
I often think about the scene in the Matrix where Neo confronts the Architect. The Architect gives Neo a choice of saving himself or Trinity. This is a great Objectivist puzzle. Do you do what is best for you or for someone else? It's an illustration of altruist behavior in action. In his case, he chose Trinity and it worked out.
In an airplane you are instructed to put your oxygen mask on first before helping others. You can't really help others before you help yourself. The same is true in changing society (or more specifically thrashing the bankers). You have to unplug yourself first through the UCC before you can change the society as a whole.
May be Maiden Lane should take an immediate 50% haircut if every mortgage was sold twice.
And if the same mortgage was sold 3 or 4 times....
Surely you can see why it's best no one really knows what inside Maiden Lane.
The banks are doing what is legal under the Uniform Commercial Code. In a debt-based monetary system, there is no money and there is no debt. Every single paper with a signature on it represents itself a valid security or claim. Just as in the lending industry, the banks are not required to provide consideration. The contracts are enforceable under the UCC as long as the customer or consumer does not REBUT the assumption that the contract is good.
These bankers did not create any true bills under the Common Law. They didn't sign their names indicating responsibility for the commercial liability of the company's contracts. They did not create bilateral contract agreements, at least not in the mortgage loan markets. They probably did the same in the securities market.
The PTB will never be convicted for fraud. They do eat one of their own now and then to perpetuate the illusion that the laws are intact and supporting the people.
File your UCC 1 Financing Statement correctly and as soon as possible. Start managing your own commercial affairs.
So when you file:
Who is the debtor?
Who is the creditor?
And who/what is the named collateral?
In this kind of reflexive transaction, you are the DEBTOR and the CREDITOR. You are recouping the credit side of your Corporate Fiction. The CREDITOR is claiming a security interest in all the assets, debts, liens, real property, and personal property of you, the DEBTOR. You are the principal and originator of all things in your life.
This UCC 1 form is the principal and legal rebuttal to the assumption that you are only a debt-slave. You need to have a taste for law in order to learn the details of the Uniform Commercial Code. However, it is readily accessible at the Cornell Law University website.
Read Article 9 for the statutes governing the UCC 1 Financing Statement.
thanks.
I have the taste.
But I'm not sure I have the mettle. Much more comfortable in fourier analysis and complex fractals.
What is your opinion on circulating the USC31.5132 items at face?
As you know, it is illegal to demand or accept payment of money with intrinsic value since 1933. Since you are a man with facility in mathematics, I'm sure that you are capable of determining the difference between face and spot. Logic dictates the use of debt-notes.
I know it was made illegal in 1933. But I was of the opinion that gold contracts were made legal again (early 70's).
Yes, I know the difference (in amount) between face and spot.
So when you file:
Who is the debtor?
Who is the creditor?
And who/what is the named collateral?
Is there ANYTHING today in the United States that isn't a scam/fraud?
missed you gordo. where have you been?
My thoughts exactly! Welcome back, GG!
Physical Gold, oh, wait - tungsten
Orson Welles as Harry Lime explains how the world works to his old friend Holly Martens.
"The world doesn't make heroes anymore." "If governments don't care why should we?"
http://www.youtube.com/watch?v=8i47-QBL4Qo&feature=related
Lime is wanted by the police in Vienna. He is the head of a black market gang selling stolen penicillin, diluted for the extra profit, that has killed and crippled a number of children. He is hiding out in the Russian zone after faking his own death.
I don't think the head of Goldman Sachs could make it any clearer.
So who goes after who other than lawyers leading sheeple suits? Doesn't somebody have to go to jail?
sure! it'll be the former homeowners going to jail.
the banks just need to make it illegal to fucking breathe. air wont be free for long.
the ass-RAPED american dream:: a former beauty queen in filthy, torn garments... knotted hair; face down in the mud, buns up, kneelin'....
its all bullshit. ALL of it.
eventually, we will all come to realize that EVERY institution we believed so strongly in (religion, marriage, country, government, our currency, etc etc)
has fallen. to quote martha singer...
"it's a lie..."
I guess the question is - what AREN'T the taxpayers paying for? Christ, is this just some kind of game to see how much we'll take before keeling over?
Reminds me of a short fictional story I read once, it was a game based on how well you could frustrate people. Long lines, long forms, lots of rules - just a jab at the red tape we encounter through daily living. You gained points on your score based on your cleverness in getting people to put up with arcane requirements, etc..
I'm now thinking the game is real.
the Department of Justice is begging for a revolt with every Bear Stearns executive who walks. BEGGING.
Time to dust off RICO.
You so silly--it's much more important to expend federal resources busting and incarcerating consenting adults who want to smoke pot in the privacy of their own homes.
AG Place Holder has announced that he will "vigorously enforce" federal laws against marijuana if CA legalizes it.
Meanwhile, he's "deliberating" and "investigating" bankster fraud that has been common knowledge for years.
right.
so our Federal Agency thugs are persecuting freedom loving individuals, and dictating to Californians, in general, what is "good for them" from the thrones of D.C. thousands of miles away. After all, the omnipresent and omnipotent Federal Government knows what is best for local folks much more than they do.
ain't freedom grand?
so we pay for underwater mortgages and also cover for taxpayer losses on other people's toxic misdeeds.. free markets indeed..
why are former Bear Stearns executives not prosecuted on criminal charges?
11/11/2009:
"Two Bear Stearns executives who ran hedge funds that collapsed after betting heavily on the shaky subprime mortgage market were acquitted Tuesday of lying to investors -- a defeat in the government's bid to punish fraud exposed by the financial crisis."
Tons of incriminating emails that the DOJ "failed" to enter as evidence...
Stearns Execs acquitted... Prosecutions effectively over...
DOJ tanked the case. Took a dive in the 3rd round...
Your AG "Empty Suit" Holder in action...
thanks. HIGH TREASON. our DOJ is colluding against taxpayers, freedom, and our Constitution. its quite clear. capital will continue to leave this country as a result. if we cannot protect our property (taxpayer dollars) from these thieves then there is no America. The laws of financial physics care not how we label ourselves. this will not last, and these thugs have their years (if not, days) numbered. One day I hope there is a war tribunal to prosecute these crimes against humanity. Unborn children are being enslaved with debt due to these frauds which go unpunished. I look forward to special forces finding these scum wherever they may hide as the Mossad found and executed former Nazis.
Bear Stearns Executives? I hope you are listening. we'll be coming for you someday. And we will never allow our children to forget these vicious crimes. Every resource will be used to find you in whichever direction you slither.