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Justice Department sued over JPMorgan settlement

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Mortgage Professional America | 10 Feb 2014, 01:35 PM Agree 0
A nonprofit group is suing the Justice Department over the agency’s historic $13bn settlement with JPMorgan Chase
  • Anthony | | 10 Feb 2014, 02:18 PM Agree 0
    This is a direct hit on the flagrant and favorable treatment received by all large lenders. I believe the fine is sufficient but the fact that they will continue to conduit business makes it the cost of doing business more than a punitive damage. Curtailment of doing business with the consumer, forced modifications for the consumer and a admission of guilt with criminal penalties on the principle should be the beginning of the punishment.
  • Ken Leatherbarrow | | 10 Feb 2014, 02:19 PM Agree 0
    The biggest problem is that the money will not go back to the people hurt, but to the Gov't coffers to be spent as the crooked politicians see fit.
  • Peggy Beauregard | | 10 Feb 2014, 02:38 PM Agree 0
    Congratulations to Better Markets, Inc for taking a step in the constitutional direction. Unfortunately, we are so dependent on banks.
  • gcube | | 10 Feb 2014, 02:52 PM Agree 0
    The fed oh i mean chase would he on hook for damages to home owners in trillions dollars
  • Nick West | | 10 Feb 2014, 04:07 PM Agree 0
    The one thing you can be pretty confident of is that they profited more than 13 billion.
  • DAN MCHUGH | | 10 Feb 2014, 04:42 PM Agree 0
  • DAN MCHUGH | | 10 Feb 2014, 04:43 PM Agree 0
  • Bruce Conn | | 10 Feb 2014, 05:11 PM Agree 0
    And how it is paid out is a huge factor. It could be in the form of forfeited tax credits, uncommissioned bond sales, over a long period of time with no accruing interest, etc.
    How do we donate to this cause?
  • John C Durham | | 10 Feb 2014, 05:15 PM Agree 0
    "...fine is sufficient..." Anthony, you've got to be joking? Let's review:

    A handful of TBTF banks has issued, worldwide, $1,600 Trillion in Derivative Securities! (As one of the best living economist exclaimed about that figure, "It's more money that there is in the Universe".) Okay? Now, the question is, how can all these be SECURITIES? That is, supported by something of VALUE? They are not securities really, of course. They are FRAUDULENT SECURITIES. Now, if everything in our JUSTICE SYSTEM and our ECONOMIC SYSTEM is going to hold up $1.6 Quadrillion of fraudulent securities, then we all are going to have end up eating our children.

    The fact that States, Cities, Pension Funds continue to send their money to Wall Street every day with the Sun goes down IS UNBELIEVABLE. In June of '07 when a very large hedge fund (what am calling a hedge fund? Chase isn't a bank anymore...but, only a hedge fund really.) went down and the credit markets froze up, there were only $700 Trillion in mostly Fraudulent Securities out there. Fourteen of Earth's largest banks were all insolvent. Congress and the Fed have bailed them all out, over and over, for a total of $26 Trillion in real money. But, if they bring all their hot derivative paper ONTO THEIR BOOKS, they are insolvent MANY TIMES OVER! Can Chase cover their $100 Trillion derivative paper with VALUE? How much of it can they cover? 25%? 10%? 1%? .01%?

    States are going to wake up one morning and find that they aren't in any different situation than Oakland or Detroit or several other cities that are holding worthless paper and STILL HAVING TO PAY MONEY, EVEN THOUGH, THE WAY THE DERIVATIVE WAS WRITTEN, HAS, OR MAY HAVE, FRAUDULENTLY BANKRUPTED THEM.

    The way is cleared with the American banking system for Wall Street to seize everything that WALL STREET HOLDS for the States, Pension Funds, Cities, Insurance Companies, Savings, etc., on a scale that will make what people lost in their retirement accounts in the '08 bank failure look like a penny on dollars. One morning, soon or later than soon, the money will have been "BAILED IN" to save Chase and their like...and the United States WILL GO INTO CHAOS!!!

    Now, knowing all this, to my mind, the Government must seize all of these banks operating in this country, foreign or domestic, and every single asset these have and which the government can grab for The People, including every dollar in bonuses given out for their CRIMES, I mean EVERYTHING that can be scraped together that these devils have, grab it, break it up and sell it off to legitimate banks. EVERYTHING!!!

    While this still will not undo the horrors caused by acts of these banks in LIVES OF MILLIONS OF HUMAN BEINGS, IT IS THE BEST WE CAN SUGGEST, BECAUSE YOU CAN ONLY TAKE EVERYTHING THEY ACTUALLY HAVE.

  • jack cye | | 10 Feb 2014, 05:18 PM Agree 0
    The Feds are stupid are screwing the consumer again with risk based pricing so Fannie and Freddie can pay back the bailout on our dime again. JP Morgan Chase fine is just another back tax for the Feds. The cost of the fine will be passed on to the law abiding US Citizen as always. The Feds are a joke.
  • Sam Hobbs | | 10 Feb 2014, 05:44 PM Agree 0
    LOL These charges and settlement appears to be more about the people hurt by purchasing the Mortgage Backed Securities than it does the upfront borrower. IE: Comment
    “serious misrepresentations” to the public about “numerous” residential mortgage-backed security transactions, according to a statement released by the Justice Department. JPMorgan will also be required to provide relief to underwater homeowners as part of the deal. The settlement didn’t preclude the possibility that JPMorgan or its employees could face criminal charges.

    The people who were hurt the most often were the wealthy who purchased the mortgage backed securities on the secondary market. They were sold as A good quality paper etc. when many were not of high quality as presented. Certainly some borrowers were hurt as well because Wow the no good bank gave them a mortgage they ask for!! Put them in a home they wanted!! because they thought they were going to miss out!! and so many of them lied or went along with the lies someone else told them to do so they could get the mortgage from the NO GOOD BANK.
    Robo signing and the like we obviously wrong and should be punished but since when did "2 wrongs make a right" the clients lied or should have known they couldn't pay for a $400,000 mortgage with $3000 a month in income but they thought they could flip the home down the road.
    When will someone stand up and admit it took ,Wall St, The greedy investors reaching for yield Lenders, mortgage officers or mortgage brokers, appraisers, real estate agent and finally consumers to pull off this off. No one party or for that matter 2 could do it by themselves. Consumers who signed the documents are just as guilty as the rest. Shame on them if they didn't understand.
    "let the buyer beware" still holds true for most things why not this.
  • John C Durham | | 10 Feb 2014, 06:24 PM Agree 0
    Yeah. Big Laugh. It's all funny.

    You should be selling used cars. And, I mean IRON. And, UNDER somebody else.
  • Anthony Affatati | | 10 Feb 2014, 08:26 PM Agree 0
    John I agree with you but I am stipulating that they should be prevented from conducting business for a certain period of time. The fine is insignifican and they chalk it up to the cost of doing business but if they cant earn the fine hurts more and they are less apt to commit the same crime again.
  • Anthony Affatati | | 10 Feb 2014, 08:30 PM Agree 0
    Sam to a degree I hear you but the slick talking salesperson who nothing at risk swindled some of these borrowers into thinking that they could pay what they wanted for a certain period of time and the unsophisticated borrower did ot realize the insufficient payment was being tacked on to the back end. The rich got hurt but they had a way of recovering but the consumer got nothing but grief, no home and deeper in debt.
  • John C Durham | | 11 Feb 2014, 11:14 AM Agree 0
    Still not enough. If any Russian Communist had done to the American Nation 1% damage these Capitalist Bankers had done, I know that brainwashed Citizens would tear the Communist to pieces.

    Why will we villainize someone like Saddam Hussein for not doing .001% as much damage...more than that...WE HANG HIM (and tear his head off doing it). But, just because the TBTF bankers are "Capitalists" like me and you...well, now...that's another thing.

    If I were one of these bankers, I would be greatly comforted by your comment, realizing that our government will never respond until the people get a lot, lot more upset than you are.

    Talk about a slap on the wrist: "...prevented from conducting business for a certain period of time..." No, not good enough. We take EVERYTHING away from them and give the key people LIFE SENTENCES or FIRING SQUAD, our choice.

    I just don't think you understand what these people have done AND WHAT THEY HAVE IN MIND FOR YOUR FUTURE. The worst is yet to come...and we won't have a 2nd chance to hang these people. Believe it!!!
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