Archive for the ‘plea agreements’ Category

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The Real Truth Is Exposed About The Housing Bubble!!!!

November 5, 2011

This ties the C.R.A. bill signed into law in 1976, bill clintons secret commission that found their

findings on false information and used the findings as a loaded gun to the banking, savings and loans

and the mortgage companies.  It is these two actions that created and caused the abuses and the

economy that we have today, it can be laid at the feet of the Democrats and obama is taking it even

more to the left of the left…………

Smoking-Gun Document Ties Policy To Housing Crisis

By PAUL SPERRY, FOR INVESTOR’S BUSINESS DAILY Posted 10/31/2011 08:05 AM ET

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President Obama says the Occupy Wall Street protests show a “broad-based frustration” among Americans with the financial sector, which continues to kick against regulatory reforms three years after the financial crisis.

“You’re seeing some of the same folks who acted irresponsibly trying to fight efforts to crack down on the abusive practices that got us into this in the first place,” he complained earlier this month.

But what if government encouraged, even invented, those “abusive practices”?

Rewind to 1994. That year, the federal government declared war on an enemy — the racist lender — who officials claimed was to blame for differences in homeownership rate, and launched what would prove the costliest social crusade in U.S. history.

At President Clinton’s direction, no fewer than 10 federal agencies issued a chilling ultimatum to banks and mortgage lenders to ease credit for lower-income minorities or face investigations for lending discrimination and suffer the related adverse publicity. They also were threatened with denial of access to the all-important secondary mortgage market and stiff fines, along with other penalties.

Bubble? Regulators Blew It

The threat was codified in a 20-page “Policy Statement on Discrimination in Lending” and entered into the Federal Register on April 15, 1994, by the Interagency Task Force on Fair Lending. Clinton set up the little-known body to coordinate an unprecedented crackdown on alleged bank redlining.

The edict — completely overlooked by the Financial Crisis Inquiry Commission and the mainstream media — was signed by then-HUD Secretary Henry Cisneros, Attorney General Janet Reno, Comptroller of the Currency Eugene Ludwig and Federal Reserve Chairman Alan Greenspan, along with the heads of six other financial regulatory agencies.

“The agencies will not tolerate lending discrimination in any form,” the document warned financial institutions.

Ludwig at the time stated the ruling would be used by the agen cies as a fair-lending enforcement “tool,” and would apply to “all lenders” — including banks and thrifts, credit unions, mortgage brokers and finance companies.

The unusual full-court press was predicated on a Boston Fed study showing mortgage lenders rejecting blacks and Hispanics in greater proportion than whites. The author of the 1992 study, hired by the Clinton White House, claimed it was racial “discrimination.” But it was simply good underwriting.

It took private analysts, as well as at least one FDIC economist, little time to determine the Boston Fed study was terminally flawed. In addition to finding embarrassing mistakes in the data, they concluded that more relevant measures of a borrower’s credit history — such as past delinquencies and whether the borrower met lenders credit standards — explained the gap in lending between whites and blacks, who on average had poorer credit and higher defaults.

The study did not take into account a host of other relevant data factoring into denials, including applicants’ net worth, debt burden and employment record. Other variables, such as the size of down payments and the amount of the loans sought to the value of the property being bought, also were left out of the analysis. It also failed to consider whether the borrower submitted information that could not be verified, the presence of a cosigner and even the loan amount.

When these missing data were factored in, it became clear that the rejection rates were based on legitimate business decisions, not racism.

Still, the study was used to support a wholesale abandonment of traditional underwriting standards — the root cause of the mortgage crisis.

For the first time, Washington’s bank regulators put racial lending at the top of their checklist. Banks that failed to throw open their lending windows to credit-poor minorities were denied expansion plans by the Fed in an era of frenzied financial mergers and acquisitions. HUD threatened to deny them access to Fannie Mae and Freddie Mac, which it controlled. And the Justice Department sued them for lending discrimination and branded them as racists in the press.

“HUD is authorized to direct Fannie Mae and Freddie Mac to undertake various remedial actions, including suspension, probation, reprimand or settlement, against lenders found to have engaged in discriminatory lending practices,” the official policy statement warned.

The regulatory missive, which had the effect of law, advised lenders to bend “customary” underwriting standards for minority homebuyers with poor credit.

“Applying different lending standards to applicants who are members of a protected class is permissible,” it said. “In addition, providing different treatment to applicants to address past discrimination would be permissible.”

To that end, lenders were directed to “make changes in marketing strategy or loan products to better serve minority segments of the market.” They were also advised to “change commission structures” to encourage brokers and loan officers to “lend in minority and low-income neighborhoods” — a practice Countrywide Financial, the poster boy of the subprime scandal, perfected. The government now condemns the practice it once encouraged as “predatory.”

FDIC warned banks that even unintentional discrimination was against the law, and that they should be proactive in making “multicultural” loans. “An ounce of prevention is worth a pound of cure,” the agency said in a separate advisory.

Confronted with the combined force of 10 federal regulators, lenders naturally toed the line, and were soon aggressively marketing subprime mortgages in urban areas. The marching orders threw such a scare into the industry that the American Bankers Association issued a “fair-lending tool kit” to every member. The Mortgage Bankers Association of America signed a “fair-lending” contract with HUD. So did Countrywide.

HUD also pushed Fannie and Freddie, which in effect set industry underwriting standards, to buy subprime mortgages, freeing lenders to originate even more high-risk loans.

“Lenders should ensure that their loan processors and underwriters are aware of the provisions of the secondary market guidelines that provide various alternative and flexible means by which applicants may demonstrate their ability and willingness to repay their loans,” the policy statement decreed.

“Fannie Mae and Freddie Mac not infrequently purchase mortgages exceeding the suggested ratios” of monthly housing expense to income (28%) and total obligations to income (36%).

It warned lenders who rejected minority applicants with high debt ratios and low credit scores to “be prepared” to prove to federal regulators and prosecutors they weren’t racist. “The Department of Justice is authorized to use the full range of its enforcement authority.”

It took a little more than a decade for the negative effects of the assault on prudent lending to be felt. By 2006, the shaky subprime mortgages began to default. In 2008, the bubble exploded.

Clinton’s task force survived the Bush administration, during which it produced fair-lending brochures in Spanish for immigrant home-loan applicants.

And it’s still alive today. Obama is building on the fair-lending infrastructure Clinton put in place.

As IBD first reported in July, Attorney General Eric Holder has launched a witch hunt vs. “racist” banks.

“It’s a more aggressive fair-lending enforcement approach now,” said Washington lawyer Andrew Sandler of Buckley Sandler LLP in a recent interview. “It is well beyond anything we saw during the Clinton administration.”

Tom Perez, assistant attorney general for civil rights, recently testified that his division “continues to participate in the federal Interagency Fair Lending Task Force.” And he and the task force are working with the newly created Consumer Financial Protection Bureau to “enhance fair-lending enforcement.”

The fair-lending task force’s original policy paper undercuts the notion the financial crisis was all about banker “greed,” though it certainly played a role after the fact. Rather, it offers compelling evidence that the crisis evolved chiefly from government mandates and threats to increase lending to applicants who could not afford them.

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C.L. Bryant Speaks The Truth…………..

October 31, 2011

 

Okay I will try and repost this for some reason my last posting of these two movie trailers have vanished

The gentleman in the movie called runaway slave is C.L. Bryant he was a former NAACP chapter president

who woke up and just saw exactly what the democratic party was doing to all blacks and people of color

to keep them in their place aka the plantation, for the past 35 years the democrats have as Mr Bryant put

it have the blacks trained in economic slavery and set up to fail once they get you into the govt system…………..

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CHUCK SCHUMER HATES AMERICA

November 15, 2006

Chuck Schumer if he has his way the Constitution will be rewritten to only allow the Democratic Elite to even vote let alone get educated. Mr. schumer does not practice what he preaches when it comes to hiring the best person for the job he believes in real discrimination if your values are not in line with his which is based on Nazi Germany.

Mr. schumers staff illegally have obtained credit reports of the opposition candidates in major races. What else is Mr. schumer hiding that the media is covering up?

Schumer used blackmail and initimdation with the threat of leaving the Senate to secure a spot on the powerful Finance Committee(used against the brokerage firms on wall street that he to wring large Donations to his campaign.), which writes the nation’s tax laws and, not insignificant, is a perch that puts him in constant contact with the political donor class. “That was my dream,” he says. “I always wanted to be on the Finance Committee.”

Mr. Schumer will now use threats and intimadation against private industries to get what he wats illegally he is now acting like the rev. jackson doing shake downs that are politically motivated to get money for illegal means.

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WHERE WILL THE NEXT ATTACK HAPPEN WITH THE DEMOCRATS IN CHARGE?

November 14, 2006

During the 1973’s and the 1980’s it was about appeasement by the party in power which was the democrats that controlled congress where as they ran into President Reagan who turned their view of the world on its head by doing what was right for the United States and not for foreign countries.

The democrats are in the I HATE AMERICA crowd, they are against everything that makes america work. The one thing they hate the most is individual freedoms over federal government control of the masses.

Again hillary is going to try and shove federal maged care down our throats through backroom deals, this is how the democrats will run congress they will shut the republicans out of the process completely.

Its time for real americans who believe in freedom should vote the democrats out in ’08 because if not there will be no personal freedoms but slavery to the democrats who will run congress both legal and illegal means.

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Amy Klobuchar, Will she Honor her Oath?

November 5, 2006

Amy Klobuchar – D, she is running for election to be a U.S. Senator from Minnesota, but which will show up to be sworn in to office? The liberal who is intent give Lip service to the Constitution and the destruction of the U.S. by Appeasement to any form or fashion of terrorists whether state sponsored or by rogue nation. The other one might be the Left wing politically controlled person who will vote in lock step even if it will be in total opposition to the people who elected her to office.

With Amy Klobuchar – D, during her tenure as Henn. County Attorney you can map where she paid special attention to and made sure that crime was well prosecuted to the full extent of the law where as in the counties most populous city and the seat for the county saw the biggest rise and spike in crime especially shooting’s and killings.

Regarding crimes committed with a gun and you lived in Minneapolis you were almost guaranteed a plea agreement that got you back out on the street with the least amount of time served.

The North side of Minneapolis at times is becoming a war zone with random killings, with blind blessings by the party that has been in power of the city for the past half century.

Amy Klobuchar – D, when she was elected to office she swore to prosecute all crimes but she was very selective of which parts of the county she would make sure had low crime rates, her policy was left, liberal, and against the current U.S. constitution and hate the military.

Amy has her sights set on leaving Iraq with the military’s tail tucked between their tail, she hopes for more attacks inside the U.S. and the death of U.S. citizen’s. In Minneapolis alone had a 35.5 percent increase alone where was ms. Klobuchar in prosecuting the criminals that had to do with higher crime rate.

Amy Klobuchar wants the U.S. to be more like Nation of France who has a history of surrendering every fifty years.

If you want our soldiers to die for nothing then elect Amy Klobuchar, she will cut military spending, she will seek to talk with those who desire to kill us, she will seek to raise taxes on the poor and the middle class.

Amy Klobuchar, seeks to let all illegals to enter the country!