One of the most recent efforts to bring the big banks to task over their role in the nation’s real estate crisis is a New York lawsuit, Abel v. BAC Home Loans Servicing LP et al, alleging international money laundering by Bank of America as well as other major federally chartered banks. The lawsuit alleges that Bank of America, JP Morgan Chase, Citibank, Citigroup, 1 West and Wells Fargo have been moving trillions of dollars into offshore accounts without properly disclosing those transactions on their balance sheets.
When a property forecloses and sells in a Trustee sale, the servicer of the loan takes its fees for servicing the foreclosure as well as other fees. The remaining funds from the sale are supposed to go to the new owner of the loan. Finally, the old debt is supposed to be discharged. However, the big banks are being accused of diverting that remaining money into off-shore accounts which earn interest. Meanwhile, they are NOT crediting the previous loan and discharging the debt.
In their defense, the banks claim that since they don’t know who the new investors are, they can’t pay them the money while conveniently earning interest off those investments. Ironically, that same argument has been used by struggling homeowners who want to mediate their loans to avoid foreclosure. In typical fashion, where the homeowner suffers, the banks profit.
Transferring money to offshore accounts is not illegal if done correctly. However, by not fully disclosing the transfers and failing to discharge the old debts, the banks may be in violation of money laundering statutes and the Patriot Act.
This case brings to the forefront yet another aspect of how sloppy paperwork and accounting has been a standard business practice of the big banks.
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When you have a DOJ that is turning a blind eye in all these matters. A president who does not insist on preserving our justice system. The United States of America is no longer a reputable nation.
We are exactly as those nations we condemn for their actions that mirror our own. So deep is the corruption in this nation the citizens have been trained to accept it.
When is the last time a Wall Street executive or big bank or investment firm been prosecuted and jailed?
We as a nation rather spend billions prosecuting individuals selling pot or petty theft so we can fill the for profit prisons. It is time for the citizens of this country to stand up and be heard. Withdraw all your money from the banks and refuse to work until our government is purged of the criminals it now harbors.
It is a terrible situation when a government can pick and chose who to prosecute and for what crimes. It is also a travesty when a nation can seize a citizen from his home and not grant him his rights to a day in court rather incarcerated in a unknown facility under an outdated Act.
We are no longer the land of the free. The government is violating all our rights except the right to bear arms which is leading to more and more senseless deaths and crimes as individuals that should not even carry a sharp instrument can purchase a semi automatic weapon from a gun show with little or no background check. To vote however requires more and more documentation as they wish to control who has the right to participate in our God given right.
I wish to thank you for publishing your words. Words however appear to be just that as the constitution has become nothing more than a collection of words. There meaning still exists in the hearts of many but in the hands of few hold little value.
God Bless America,
as it appears he or she is left to save her.