Mortgage Backed Securities Are Like A Bo x of Choc

“Mortgage Backed Securities are like boxes of chocolates. Criminals on Wall
Street stole a few chocolates from the boxes and replaced them with turds.
Their criminal buddies at Standard & Poor rated these boxes AAA Investment
Grade chocolates. These boxes were then sold all over the world to
investors. Eventually somebody bites into a turd and discovers the crime.
Suddenly nobody trusts American chocolates anymore worldwide.
Hank Paulson now wants the American taxpayers to buy up and hold all these
boxes of turd-infested chocolates for $700 billion dollars until the market
for turds returns to normal. Meanwhile, Hank's buddies, the Wall Street
criminals who stole all the good chocolates are not being investigated,
arrested, or indicted.

Mama always said: 'Sniff the chocolates first, Forrest'.


__________________________________________________________


The bailout, a different perspective

Back in 1990, the Government seized the Mustang Ranch brothel in Nevada for
tax evasion and, as required by law, tried to run it. They failed and it
closed. Now we are trusting the economy of our country to a pack of nit-wits
who couldn't make money running a whore house and selling booze?”

“+1 (love the second one, lol)”

“Perhaps the government can run a piss up in a brewery.”

“Not accurate.

Problem with your theory is that nobody stole anything from those MBSes, they were built with the less desirable paper from the get go.

The simple solution is requiring transparency on the paper components of the MBS in question.
last edited: 1/07/09 6:36:26 PM”

“And yet despite example after example of the fedral government failing to run simple things. There are people who want the government to take more and more responsibility for their daily lives.
Liberals must have an abused spouse syndrome of biblical proportions.”

“The government can't even run the frickin' Senate cafe`s without running them into the ground. Anyone who thinks we can trust the government to run anything is absolutely blind-ass stupid.”

“Well, to be fair, ENRON didn't exactly do a good job... nor did the deregulated Banks... just to name a couple of high profile examples...

So, you can't fairly claim that private business does a better job...

And the difference is: We The People can monitor the actions of those elected and we can FIRE THEM if they aren't doing a good job. We The People CAN NOT do this to private companies and those who run them.

I'm all for us taking care of ourselves but there MUST BE transparency and enforced rules... but we're talking money here, and that leads directly to corruption... so... :shrug:

___________________________________________

“Not accurate.

Problem with your theory is that nobody stole anything from those MBSes, they were built with the less desirable paper from the get go.

The simple solution is requiring transparency on the paper components of the MBS in question.
last edited: 1/07/09 9:36:26 PM”
-humanpackmule


You have a small point... but even your point is not complete. You almost sound like you're saying it was just a problem of transparency when you know it's not that simple.
KNOWING there were turds in the box, these MBS's were still highly rated...
Those responsible for this lie are not being investigated, arrested or indicted. FOUL!”

“Yeah, so let's take something away from someone who's running something crappy and give it to someone who runs things shytty.”

“The difference is: We The People can throw the bums out (as we just witnessed!) when we get tired of their crap...

We can't do that with Mega Companies... or any companies, for that matter, unless they are tax evaders... The only recourse is "Legal" action (Violations of Anti-Trust, price fixing, etc...) and the corporations have a clear advantage (Money money money, lawyers lawyers lawyers)...

Transparency? Absolutely! Strict enforcement of the laws? You betcha! Meaningful and harsh sentences for the guilty? Ayep! Thnik it'll ever happen? Nope.”

“The difference is: We The People can throw the bums out (as we just witnessed!) when we get tired of their crap...

Bawhawhawhawhaw!!”

“There are those of us who believe in democracy and then there are those who pledge allegiance to corporatism.”

“Fascist always have moronic governments on which they lay blame for everything, that's why 'W' should have a place in the Smithsonian.”

“Icky, lets start with the truth

ENRON. Was a failure of Government due to influence...READ this as Lobbyists. IF we could get the lobbyists out of the game it would be easier to identify the problems.

Banking Industry Failure.
Do I really need to rehash time after time after time where since (CARTER) there have been calls for correctons to many of the failings of Fannie Mae and Freddie Mac? THe fact is that once again the Lobbyists control the Congress. Thats the truth plain and simple.

So if you think the Government will correct itself (LOL McCain Feingold is a excellent example of BELTWAY FAILURE) you are whistling in the wind. Truthfully the ONLY Thing will be to get rid of the old timers and get people in there with a sense of short term careers.”

“I don't think gov't will suddenly correct itself, but we the people can affect them... but I'm CERTAIN Big Business won't, and we the people can't do a whole lot about that.

You mention the lobbyists.. I couldn't agree more. And term limits.”

“Do you really think the people who are responsible for these big losses at the banks are still working there?

I can tell you from first hand experience that most were purged from the top 4 institutions after the first round of writedowns over a year ago and the releases continue to this day. At BofA, GCIB (Global Commercial and Investment Bank) shrank by 48% (100% if you were a contractor) that included just about all of the senior leadership.

Losing money is frowned upon, and incurring legal risk and generating bad blood with consumers makes executive row froth at the mouth.”

“Wow! They were "purged"...

...but still they were not being investigated,
arrested, or indicted.

Purging seems like a realtively small business expense.”

“�There are those of us who believe in democracy and then there are those who pledge allegiance to corporatism.�
MarkO
11:13:01 AM
1/08/09

MarkO pledges allegiance to corporate welfare, the Big 3 bailout.”

“That is what Stovie's Magic Eight Ball tells him.”

“We know that MarkO isn't "of us who believe in democracy".”

““There are those of us who believe in democracy and then there are those who pledge allegiance to corporatism.”

There are those who have realized the absolute corruption and greed of the two party system and then there are those who's heads are so buried in their asses they still believe one party is evil and the other is good and just.

Ah, MarkO, you seem to have a little shyt behind your ear...”

“I'm bracketed by a pair of knuckleheads.

Does that make a knuckle sandwich?

Hold the mayonnaise, please.”

“Talk about finding neat stuff...I love irony....

I was going through some old files of "government issued directives" and discovered the neatest reference.

http://www.huduser.org/publications/txt/hdbrf2.txt

Might want to download it before HUD pulls this off the web. The last section on the strategy is the funnest to read.

Reduce downpayment requirements and interest costs by making
terms more flexible, providing subsidies to low- and
moderate-income families, and creating incentives to save for
homeownership.

Increase the availability of alternative financing products in housing
markets throughout the country.

innocuous but

TARGETING ASSISTANCE TO UNDERSERVED COMMUNITIES. Decline and
disinvestment have left many pockets of urban and rural America
without the mortgage capital, infrastructure, and economic opportunity
needed to make homeownership feasible for current residents and
attractive to prospective ones. The National Homeown-ership Strategy
urges government, employers, lenders, insurers, and nonprofits to
undertake strategies that will:

Build the capacity of local actors to foster affordable
homeownership in their own communities.

Promote homeownership opportunities in areas easily accessible to
employment.

Revitalize distressed urban neighborhoods so that they can attract
and retain homeowners.

Expand homeownership in rural America through initiatives that
recognize the unique challenges and resources of nonmetropolitan
areas.

UM...so for anyone who said, 'There was no pressure on Lenders (who um if you don't know kinda rely on Government due to various "codes" and so gotta play if they want to get paid) apparently it started with Henry "Hank the ZIPPER" Cisneros and...SHAZAAAAAM Bill "For US GOVERNMENT SUPPORT CONTACT the Clinton Global Intiative for price list and neat ways to ensure you are on the good side of the US STATE DEPARTMENT*" Clinton.



*[i]Clinton Global Intiative is in "NO WAY" connected with the US State Department or the United States Government, donation to Bill Clinton or Clinton Global are purely "charitable" and will have no bearing on decisions by the Secretary of State "Her Thighness" Hillary Clinton. But it can't hurt.”

“Another example of what Nigal said just three posts up.”

“Ah, MarkO, you seem to have a little shyt behind your ear...”
Nigal
3:48:34 AM
1/09/09

Ah, be a good boy and lick it off for me.
thanks”

“Next thing you know, MarkO will be asking for a "reach around" too.”

“Will you guys please make up my mind.

One of you says that I hate capitalist industry and the other says that I love it.

Give me a hand, Stonie.”

“When youall are divest of aircrap you can come under my tarp-NOT!”

“�Ah, MarkO, you seem to have a little shyt behind your ear...”
Nigal
3:48:34 AM
1/09/09

Ah, be a good boy and lick it off for me.
thanks�
MarkO
9:27:58 AM
1/09/09

Marko that is probably not going to be as exciting as your "smear peanut butter on *** and call the dog in.”

“Is that what the dog is doing in your bed, XL?”

““I'm bracketed by a pair of knuckleheads.

Does that make a knuckle sandwich?

In the civilized world a sandwich is denoted by what is in the middle, not on the ends. So this would be a chithead sandwich. Nyuck nyuck!”

“A landmark ruling in a recent Kansas Supreme Court case may have given millions of distressed homeowners the legal wedge they need to avoid foreclosure. In Landmark National Bank v. Kesler, 2009 Kan. LEXIS 834, the Kansas Supreme Court held that a nominee company called MERS has no right or standing to bring an action for foreclosure. MERS is an acronym for Mortgage Electronic Registration Systems, a private company that registers mortgages electronically and tracks changes in ownership. The significance of the holding is that if MERS has no standing to foreclose, then nobody has standing to foreclose � on 60 million mortgages. That is the number of American mortgages currently reported to be held by MERS. Over half of all new U.S. residential mortgage loans are registered with MERS and recorded in its name. Holdings of the Kansas Supreme Court are not binding on the rest of the country, but they are dicta of which other courts take note; and the reasoning behind the decision is sound.

http://www.globalresearch.ca/index.php?context=va&aid=15324”

“Cool so we can get money and default...thats neat if you are the Lendee, but kinda sucks if you are the lender.”

“the lender has already been paid so he won't lose. Its the people that set this scheme up to protect themselves from litigation (and who knows what else) will take the hit. And the taxpayers, of course, who have already dumped billions into these banks that will be taking the hit. This is one of the reasons that I was against the bailout, it protected thieves and cretins from the consequences of their actions.”

“There never was any crash. It was all a plot by CBS and the Illuminati.




Ouch. Bad news for the MERSians.
Next stop: Federal District Court in..... Kansas or Florida?

”

“Surprise, home sales down instead of the expected up that all the 'Optimist No Depression Crowd' had already decided on.”

“Why should home sales go up? There is nothing wrong with renting. In fact, in many cases it is the wiser choice.”

“The Government now controls over 80% of all new mortgages.

There are still over 600 trillion$ in toxic assets floating in limbo out there somewhere

3rd and most importantly, South Carolina just beat Ole Miss!”

“The scary part is that if they have run the debt to biblical proportions. God help us if the Japanese and Chinese call in their markers.”

“I can't wait to hear you monkeys scream when Moore's new movie hits the news, we'll be getting 5 screen high cut'n'paste on every thread, With triple XL follow ups.

Who started J & C debt accumulations, Reagan's Star Wars?”

“Talk about the Mortgage Backed Tax Exemptions for awhile, how much tax payers money does it take to replace the billions in subsidies. Lowering the mortgage rate instead would cause problems for rich lenders that would have to find more tax shelters. Socialism , what socialism, damnit, it's not socialism when I get it.”

“OH DARN...it appears there were warnings about the bad investments in the Sub Prime industry LONG before the crash....

http://emac.blogs.foxbusiness.com/2010/02/02/housing-red-flags-ignored/


The letters, obtained by Fox Business, were sent in 2005 and 2006 before the housing bubble burst.

As it pleaded with bank regulators to stop subprime lending abuses, the Mortgage Insurance Companies of America [MICA] pointed out the red flags in analysis from the bank regulators' own staffers as well as the likes of Bear Stearns and Lehman Brothers, three years before these two Wall Street giants collapsed under the weight of bad mortgage bets.

But the fact that these lengthy warnings did not compel bank regulators to act raises serious policy questions for Congress and the White House, as they move to make the Federal Reserve the systemic risk regulator, when the Fed didn�t act to stop the biggest systemic risk of all.

The new revelations also may make it harder for Federal Reserve chairman Ben Bernanke to battle Congressional curbs on the Fed's authority over the banking system, and moves by members of Congress to have the Fed�s monetary policies audited.



Read more: http://emac.blogs.foxbusiness.com/2010/02/02/housing-red-flags-ignored/#ixzz0eU2TwKd5


and so it continues...”

“And there is MORE!!!!

http://www.cnsnews.com/public/content/article.aspx?RsrcID=45633

In September 2003, Frank told The New York Times that Fannie Mae and Freddie Mac �are not facing any kind of financial crisis.� Both Fannie and Freddie are now almost entirely owned by the government, and while Freddie Mac got $13.8 billion in bailout money last year, Fannie Mae is estimated to get $15.2 billion in 2009, according to the CAGW.

Also in 2003, Frank, in reference to the GSEs, said, �I want to roll the dice more in this situation towards subsidized housing.�

�Even in this global capital of hot air, bait-and-switch politics, and double-talk, Chairman Frank deserves singular recognition,� said CAGW President Tom Schatz. �It strains credulity to hear him rebuking anyone for rewarding failure after he helped create the disaster in the first place.�”

“Tea Parts for Cain no doubt?

http://www.hollywoodreporter.com/news/baum-foreclosure-firm-homeless-halloween-255004”