Foreclosuregate: Sue Judges Who Allow Fake Foreclosures

In the light of Foreclosuregate, not so named by CNBC and the bankster crowd, there are many bad judges. In fact, the definition of a bad judge is one who fails to protect the unrepresented. Many people are being foreclosed on. And they are not being represented, as the alleged holder of the mortgage and IOU actually gets the judge to look the other way, as it is found that the servicer of the mortgage does not have the IOU. Foreclosures have been allowed by crooked judges in cases where the IOU has been lost! And why were they lost? Well, it was because of the need for companies to hide the crap loans put together in the MBS bankster scam.

So, the problem is that you have very unethical judges who are rubber stamping a foreclosure without the IOU being in anyone's possession. There are two issues that make this a serious offense:

1. The courthouse does not have the IOU. The courthouse has a copy of the deed, but not the IOU. But the IOU is required in order to determine the terms of the loan, and the owner of the mortgage.In many cases, the IOU has been lost, and in many cases was hidden or lost on purpose in order to fool investors into buying mortgage backed securities, you know, the crap bonds that were rated AAA but that really had junk attached!

2. Since the IOU has to be registered with the trustee of the MBS at the investment bank within a certain period, Title is clouded and broken when the investment bankster wants to hide this bad loan from potential investors. As it turns out, the investment banksters never bothered to convey the documents to the trustee of the Mortgage Backed Securities in the first place. This is both mortgage and securities fraud and it breaks the Title. In reality, these trustees don't own these mortgages because the IOU's cannot be reconstituted.

Warning: Sheila Bair, FDIC chairwoman wants a global solution, which means some foreclosure victims may get some dubious modifications in exchange for legal immunity for the TBTF banks. But what about all the folks already unjustly evicted? What about justice for past and future abuses. Tell Sheila you don't want this! Tell your state attorney general that you oppose the global solution.

Update: According to Business Insider, the Massachusetts Supreme Court has ruled against the banksters for failing to have the necessary paperwork to foreclose, hence no foreclosure is possible. A little justice can happen once in awhile. I hope the sorry judges in states where this just ruling is not law will be ashamed of themselves and forced to act! I am happy Massachusetts was first because this is where the Revolutionary War started to rid the colonies of the oppressive money changing from the Bank of England, a private central bank. The founding fathers would have put the banksters in jail who allowed the ponzi lending scam with the blessing of the central bankers at Basel 2 in 1998. Through off balance sheet banking, the money changers were permitted to hide bad loans from investors, bondholders and all manner of unsuspecting people.

The first part of the process is to expose judges. If there is a judge that allows a phony IOU, list that judge with Caught.net.

Judges who are doing fraudulent things at the state level, like foreclosures, can be sued in Federal Court. It is difficult to sue a judge. And yet, perhaps a class action against judges would at least publicize their behavior so that they would be more reluctant to go along with the bankster claims of title.

However, it is possible to appeal. And people with the means who want to make the court own up to injustice can do so.

We know that Florida has a bunch of Kangaroo courts, rubber stamping foreclosures that have no clear title. Naked Capitalism Blog has been at the forefront of this exposure of judicial misconduct.

In order to buy some time for the borrower, it is time to clog the courts with paper. I advocate clogging the courts with all manner of lawsuits and motions. People need to stay in their houses as long as they can, because they have been scammed in the first place. Yes, the scam is primarily an injustice against investors, but no one can doubt that borrowers have been scammed by this process as well. Just learning about Foreclosuregate will make it clear that borrowers have been victims of a process that would have been stopped dead in its tracks had investors had access to the IOU's showing how bad the loans were that went into the MBS's. Investors would have stopped buying these fraudulent bonds long ago.

As it is, since these securities, the MBS's, are fraudulent, I hope investors seek major damages from the investment banksters. The entire credit crisis and private MBS scam was caused by lax regulation and a plan instituted by Basel 2. Confronting this system in court will be a start. We need to discuss whether securitization for mortgages is something that should even be permitted.

I found this comment at this article at Business Insider:

-Deliberately use defunct lenders, lenders without "standing" for false civil and bankruptcy foreclosure proceedings
-Create and conceal malpractice foreclosure delays and engineer billable litigation
-Orchestrate sham foreclosure auctions; property never acquired by lenders, but 'straw buyers'
-Commit actionable wrongs (unfair debt collection, fraud, various torts) that create lawsuits
- Foreclosures naming defunct lenders, illegally recorded property deeds, flipping, blighted communities
-Unconscionably create false deficiency judgments against property owners after straw buyers acquire homes for pennies on the dollar
-Intentionally false Bankruptcy court "Motion to Lift" and "Proof of Claim" on behalf of non-existent lenders which conceals fact of a "non-secured" mortgage debt
-Involved in fraudulent collection of property damage insurance, as well as mortgage-default insurance
- Fraudulent foreclosures abet loss of property taxes to city revenue, and invites rodents, vagrants
- Thousands of families made unlawfully homeless from null foreclosure proceedings

Here is the original link to the petition.

First a disclaimer, this is not legal advice. This webpage does not in any way tell you how to proceed but rather gives some possible suggestions that you may be able to explore with your attorney.

So, as it turns out, the UCC Code generally requires that the proof of transfer from the lender to the investment bank can be proven. The IOU can be reconstructed if this link can be proven. There may be other laws which say title is broken, and in those cases, Title Insurance Companies may choose to hold off. But UCC requires a connection regarding transfer. This is where the banksters made a major fraud. The investment bankers who took these mortgages from the lenders never conveyed the documents. Since there was no proof of transfer, the bonds or I should say the trust for the bonds do not own the mortgages. This is major mortgage and securities fraud. This is where the court has to be careful that there are not a lot of phony documents. Congress should pass a law with serious penalties for those caught forging documents, getting fake notaries, etc. But congress was intent on doing just the opposite, as Diana Olick exposed regarding the robo signatures.

The courts that refuse to require proof of this transfer link must be exposed and their judges held up to severe ridicule. Lets hope that happens in the coming months.

Here are judges who have decided not to watch out for the underrepresented. Phone them and tell them to follow the law. Tell them to throw the bogus affidavits out of their courthouses! This is about due process and the validity of evidence you bad judge shills for big banksters.

W. Douglas Baird (727) 464-3233

Jack Cox (561) 355-3496

J. Rogers Padgett

Illinois Circuit Court Judge Chris Freese. (Unconstitutional Debtor's Prison Judge)

Bad Attorney List:

Attorneys listed here may have violated evidence requirements and due process in courts of law. Innocent until proven guilty, but we hope they will be criminally investigated.

Steven Baum New York

David Stern Florida

Florida Default Law Group

Bad Government List:

State of Florida

Arkansas Supreme Court Ruling, yet bad judges have ignored this for over a year:

MORTGAGE ELECTRONIC REGISTRATION SYSTEM, INC., APPELLANT, VS. SOUTHWEST HOMES OF ARKANSAS, APPELLEE

No. 08-1299

SUPREME COURT OF ARKANSAS

2009 Ark. LEXIS 121

March 19, 2009, Opinion Delivered

Further, under Arkansas foreclosure law, a deed of trust is defined as “a deed conveying real property in trust to secure the performance of an obligation of the grantor or any other person named in the deed to a beneficiary and conferring upon the trustee a power of sale for breach of an obligation of the grantor contained in the deed of trust.” Ark. Code Ann. § 18-50-101(2) (Repl. 2003). Thus, under the statutes, and under the common law noted above, a deed of trust grants to the trustee the powers MERS purports to hold. Those powers were held by East as trustee. Those powers were not conveyed to MERS.

MERS holds no authority to act as an agent and holds no property interest in the mortgaged land. It is not a necessary party. In [*11] this dispute over foreclosure on the subject real property under the mortgage and the deed of trust, complete relief may be granted whether or not MERS is a party. MERS has no interest to protect. It simply was not a necessary party. See Ark. R. Civ. P. 19(a). MERS’s role in this transaction casts no light on the contractual issues on appeal in this case. See, e.g., Wilmans v. Sears, Roebuck & Co., 355 Ark. 668, 144 S.W.3d 245 (2004).

Finally, we note that Arkansas is a recording state. Notice of transactions in real property is provided by recording. See Ark. Code Ann. § 14-15-404 (Supp. 2007). Southwest is entitled to rely upon what is filed of record. In the present case, MERS was at best the agent of the lender. The only recorded document provides notice that Pulaski Mortgage is the lender and, therefore, MERS’s principal. MERS asserts Pulaski Mortgage is not its principal. Yet no other lender recorded its interest as an assignee of Pulaski Mortgage. Permitting an agent such as MERS purports to be to step in and act without a recorded lender directing its action would wreak havoc on notice in this state.

Affirmed.