Whistleblower Lawsuit Takes on Banks Nationwide That Cheated Taxpayers, Veterans Out of Hundreds of

[lonestarnot]

Millions of Dollars


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By Phillips & Cohen LLP; Butler, Wooten & Fryhofer LLP; Wilbanks & Bridges LLP

Published: Tuesday, Oct. 4, 2011 - 3:22 pm
Copyright 2011 . All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
ATLANTA, Oct. 4, 2011 -- /PRNewswire/ -- Many of the nation's largest banks and mortgage companies – including Wells Fargo, Bank of America Corp., JPMorgan Chase and GMAC Mortgage Corp. – have cheated military veterans and taxpayers out of hundreds of millions of dollars by hiding illegal fees in veterans' home mortgage refinancing transactions, according to a whistleblower lawsuit made public today.

The "qui tam" (whistleblower) lawsuit, brought under the False Claims Act by two whistleblowers, seeks to recover this money on behalf of the U.S. government from 13 banks and mortgage companies:

Wells Fargo Bank, Bank of America, JPMorgan Chase Bank, GMAC Mortgage, CitiMortgage, Suntrust Mortgage, Washington Mutual Bank, PNC Bank (which acquired National City Mortgage Co.), Countrywide Home Loans, Mortgage Investors Corp., First Tennessee Bank (which acquired First Horizon Home Loan Corp.), Irwin Mortgage Corp. and New Freedom Mortgage Corp.

http://www.sacbee.com/2011/10/04/3960157/whistleblower-lawsuit-takes-on.html

Read more: http://www.sacbee.com/2011/10/04/3960157/whistleblower-lawsuit-takes-on.html#ixzz1ZxyHtwB5

[Kurovski]

1. K&R. (nt)

[Mnemosyne]

2. K&R...

[DirkGently]

3. Can't imagine the feeblest investigation of lenders wouldn't reveal an ocean of fraud.

[chill_wind]

6. For real. And in the same day, HUD IG calls out fraud

on BofA. And CitiMortgage in a separate report. Barely a peep:

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=439x2059728

[DirkGently]

9. Saw that. Everyone knows they all threw underwriting out the window completely.

... which would be their prerogative, if they hadn't come running to the U.S. taxpayers for help when their crappy, unexamined loans didn't pay off.

And if packaging sub-prime mortgages as AAA investments isn't securities fraud, the term is meaningless.

[Cats Against Frist]

4. K & R -- This is the message that needs to be sent by OWS.

Arrest and prosecute the criminals.

[lonestarnot]

5. Cohesive message couple with jobs. Easy to understand.

[lonestarnot]

7. kick

[chill_wind]

8. Nothing to see here, people.

Just naturally occurring "loopholes" and stuff.