Update on Foreclosure Fraud; in a piece last month I brought the fraudulent foreclosure mess to your attention. I have not pounded the table on this issue because the state Attorneys General were in the midst of a joint investigation, and Obama had vetoed an attempt by the banksters to paper over their paper mess by making it more difficult to challenge notarized documents filed in state court cases.

Hearings were recently begun in Washington:

There are many issues here, not the least of which is states’ rights. As far as I know, it is up to the states to determine evidence standards for state courts. Foreclosures are state court actions. There is most certainly a property rights issue at play, as any attempt to use fraudulent documents to seize private property “under color of law” is nothing more than legally sanctioned theft and must be dealt with in the harshest of manners. Also, fraudulent documents used in satisfactions are also being found, which means that your title can be called into question even after you have paid your mortgage in full. Are you paying the right company? How do you know? Yes, you read that right.

If you need more information about “Robosigning” of court documents, watch a few of these depositions.

Zerohedge from 5 October:

    Now that the High Frequency Signing scandal is mainstream, and virtually every single foreclosure in the US in the past several years is under question, with the impact on mortgage servicers (who just happen to be the TBTF banks) could be just as dire as the fallout from the credit crunch, it appears that the get out of jail card for the banking syndicate has once again materialized, this time in the form of bill HR3808: Interstate Recognition of Notarizations Act of 2009, sponsored by Republican representative Robert Aderholt. The bill, it turns out, has passed both congress and senate, and is now quietly awaiting for Obama’s signature to be enacted into law. In summary, the bill requires all federal and state courts to recognize notarizations made in other states. That’s the theoretical definition: the practical one – the legislation, if enacted, could protect bank and mortgage processors from liability for false or improperly prepared documents.

Obama vetoed the bill.

Now, we learn that the state AGs are apparently on the verge of a settlement that will keep the details of this incredible orgy of fraud out of the public eye.

And now, in what can only be considered very suspicious timing, the bill is back. Bobby Scott, D-VA, has introduced a veto override measure which is likely to be voted on today.

Should the general public ever learn just how deep this rabbit hole goes (it goes all the way), should full disclosure and honest accounting ever reveal the true nature of the banks’ balance sheets, the status quo would be irrevocably changed, and that is the thing that all the big players are trying to avoid. Maybe that’s the reason for this statement by Bank of America CEO Brian Moynihan:

    “It is in everyone’s best interest to get this settled and behind us.”

Here’s the veto override measure:

    2:13 P.M. –
    The House received a message from the Clerk. Pursuant to the permission granted in Clause 2(h) of Rule II of the Rules of the U.S. House of Representatives, the Clerk transmitted H.R. 3808, the “Interstate Recognition of Notarization Act of 2010,” and a Memorandum of Disapproval thereon received from the White House on October 8, 2010, at 12:55 p.m.
    Mr. Scott (VA) asked unanimous consent That, when the House adjourns on Monday, November 15, 2010, it adjourn to meet at 12:30 p.m. on Tuesday, November 16, 2010, for Morning-Hour Debate. Agreed to without objection.
    Mr. Scott (VA) asked unanimous consent That, when a veto message on H.R. 3808 is laid before the House on the legislative day of today, then after the message is read and the objections of the President are spread at large upon the Journal, further consideration of the veto message and the bill shall be postponed until the legislative day of Wednesday, Nov. 17, 2010; and that on that legislative day, the House shall proceed to the constitutional question of reconsideration and dispose of such question without intervening motion. Agreed to without objection.