{"id":5372,"date":"2011-12-22T17:53:20","date_gmt":"2011-12-22T22:53:20","guid":{"rendered":"http:\/\/www.patheos.com\/blogs\/slacktivist\/?p=5372"},"modified":"2011-12-22T17:53:20","modified_gmt":"2011-12-22T22:53:20","slug":"grand-theft-autosigning-stealing-houses-is-illegal-isnt-it","status":"publish","type":"post","link":"https:\/\/www.patheos.com\/blogs\/slacktivist\/2011\/12\/22\/grand-theft-autosigning-stealing-houses-is-illegal-isnt-it\/","title":{"rendered":"Grand Theft Autosigning — stealing houses is illegal, isn’t it?"},"content":{"rendered":"\n<\/head>

Scot Paltrow: \u201cThe watchdogs that didn\u2019t bark<\/a>\u201c<\/strong><\/p>\n

Four years after the banking system nearly collapsed from reckless mortgage lending, federal prosecutors have stayed on the sidelines, even as judges around the country are pointing fingers at possible wrongdoing. \u2026<\/p>\n

Foreclosure-related case files in just one New York federal bankruptcy court, for example, hold at least a dozen mortgage documents known as promissory notes bearing evidence of recently forged signatures and illegal alterations, according to a judge\u2019s rulings and records reviewed by Reuters. Similarly altered notes have appeared in courts around the country.<\/p>\n

Banks in the past two years have foreclosed on the houses of thousands of active-duty U.S. soldiers who are legally eligible to have foreclosures halted. Refusing to grant foreclosure stays is a misdemeanor under federal law.<\/p>\n

The U.S. Treasury confirmed in November that it is conducting a civil investigation of 4,500 such foreclosures. Attorneys representing service members estimate banks have foreclosed on up to 30,000 military personnel in potential violation of the law.<\/p>\n

In Alabama, a federal bankruptcy judge ruled last month that Wells Fargo & Co. had filed at least 630 sworn affidavits containing false \u201cfacts,\u201d including claims that homeowners were in arrears for amounts not yet due.<\/p>\n

Wells Fargo \u201ctook the law into its own hands\u201d and disregarded laws banning perjury, Judge Margaret A. Mahoney declared.<\/p>\n

And in thousands of cases, documents required to transfer ownership of mortgages have been falsified. Lacking originals needed to foreclose, mortgage servicers drew up new ones, falsely signed by their own staff as employees of the original lenders \u2013 many of which no longer exist.<\/p><\/blockquote>\n

Richard RJ Eskow: \u201cWill Public Outrage Finally Force the President to Prosecute Outlaw Bankers?<\/a>\u201c<\/strong><\/p>\n

Based on the overwhelming evidence we\u2019ve seen so far, a truly fair resolution will probably involve handcuffs, orange jumpsuits, and perp walks along with a financial deal. Financial restitution will need to include, at a minimum:<\/p>\n