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BOA ups settlement offer to $14bn, government still balks

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Mortgage Professional America | 31 Jul 2014, 08:23 AM Agree 0
Bank of America has offered a record-breaking $14 billion to settle a Justice Department probe over the sale of shoddy mortgage-backed securities -- but the government is demanding more
  • | | 31 Jul 2014, 09:46 AM Agree 0
    I just want to make sure I understand this correctly. In the first offer of 13 billion, the home owners would have received 9 billion and the government would have received 4 billion. At that point the government said no, cut the home owners down to 7 billion and give us 10 billion.
  • Jim | | 31 Jul 2014, 10:09 AM Agree 0
    You got it. Instead of helping the homeowners who have been screwed by the whole situation the government would rather leave then screwed and take most of money to use as IT sees fit.
  • | | 31 Jul 2014, 10:46 AM Agree 0
    The usual shakedown! The pattern is always the same; the officials get the lion's share off the top and the people they are serving get the crumbs. The perpetrators never see a pair of handcuffs or the inside of a holding cell and are allowed to continue business as usual as long as they pay "penalties" from time to time.
    It is an old process used by bureaucrats since ancient Persia. It worked so well through the ages that the Mob eventually adopted it (remember Don Fanucci in the Godfather).
  • sbharkness | | 31 Jul 2014, 11:00 AM Agree 0
    This is just maddening. In the first offer the consumers would of received 9 billion, and the Gov 4 billion. The Gov says "no way" cut the home owners down to 7 billion and give us 10 billion.... What the heck? The average American family has lost 33% of their net worth since 2001 because of this housing debacle. Does the Government care about "We the People?" It sure doesn't look like it from where I am sitting. I guess they figure they need the extra billions to squander on MORE failed policies. Whats was it that Ronald Reagan said? Something about a Government that is big enough to provide everything is also able to take EVERYTHING. I think we are seeing an example of that.
  • dan mchugh | | 01 Aug 2014, 10:41 AM Agree 0
    It amazes me you would bring the godfather of this whole debacle into the discussion. How is it that we are so sure the govt. Is only seeking 17 billion? Why do we allow these buttnuts to keep ANY of the ill gotten gains? The govt. Would do very well to grab one of these corps by the throat and demand somebody ANYBODY spend some time in jail. They would certainly look as if they were actually doing something rather than begging for money from the theives who control the world!!!!!
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