Unsealed court-settlement documents reveal banks stole $trillions' worth of houses

[ms.smiler]

164. Whiskeytide, you are so close to the light, I値l give it a try and see if I can get you

to step one foot to the left.

There is argument to be made about loan origination of MERS mortgages, but let’s both pretend homeowners sat down, signed documents and created a secured debt. The debt moves forward in a chain of transactions for securitization.

Here’s the problem:

In the article by R. K. Arnold, former Chief Executive Officer of Mortgage Electronic Registrations Systems, Inc. (MERS), SPRING 1998 - VOLUME 2, NUMBER 1 REAL ESTATE LAW “Yes, There Is Life on MERS®”, Mr. Arnold admitted: “For these servicing companies to perform their duties satisfactorily, the note and mortgage were bifurcated..”

Bifurcated – the mortgage was split from the Note. In case law, such action nullifies the mortgage.

I doubt it but this might work on the securities side of the loan, but when it comes back around on the real estate side, property no longer legally secures the debt.

And you know what? No amount of wishing & hoping & longing & praying & piles of fraudulent robosigned documents can legally convert that unsecured debt back into secured debt.

Federal bankruptcy judges are expert at determining the difference between unsecured and secured debt. Those homeowners who file bankruptcy and wisely list the mortgage as unsecured debt get to see these companies fail to establish that the debt is secured by property.

I keep thinking there must be some legal means to mesh both securities law and real estate law, but I read a law Professor who determined it’s impossible. After the repeal of the Glass-Steagall Act though, the banksters had the opportunity to develop trillions of dollars of mortgage loans and securities and didn’t concern themselves with the real estate laws of our 50 states. Their one size fits all MERS system went into operation and the scheme was unleashed.