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60 Minutes: Mortgage Foreclosure Fraud: The Next Housing Shock?

I'd like to know when some people are going to start going to prison over this kind of thing. FDL's Dave Dayden had a good post up ahead of tonight's airing of this segment -- 60 Minutes Tackles Foreclosure Fraud Tonight, Exposing Unresolved Chain of Title Problems.

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I'd like to know when some people are going to start going to prison over this kind of thing. FDL's Dave Dayen had a good post up ahead of tonight's airing of this segment -- 60 Minutes Tackles Foreclosure Fraud Tonight, Exposing Unresolved Chain of Title Problems:

I am definitely looking forward to tonight’s 60 Minutes special on foreclosure fraud. In it, the head of the FDIC, Sheila Bair, will call for a cleanup Superfund to cleanse the country of toxic mortgages. [...]

It sounds like 60 Minutes actually got this and reported it correctly. Lynn Szymoniak, one of the leading experts in foreclosure document fraud, is profiled in the piece. You will see forged paperwork, misidentified dates, and fabricated documents.

Now, regardless of what you think of the proposed mortgage settlement, and the banksters’ counteroffer, it’s important to note that what Bair’s talking about would have to exist separate from that. Attorneys General or even federal banking regulators do not have the authority to waive claims in state courts on behalf of homeowners. So this Superfund would be a separate event.

More there so go read the rest and here's more from 60 Minutes -- Mortgage paperwork mess: the next housing shock?:

If there was a question about whether we're headed for a second housing shock, that was settled last week with news that home prices have fallen a sixth consecutive month. Values are nearly back to levels of the Great Recession. One thing weighing on the economy is the huge number of foreclosed houses.

Many are stuck on the market for a reason you wouldn't expect: banks can't find the ownership documents. Read on...

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