TARP lost money, then there's the banks that failed:
http://articles.latimes.com/2013/mar...ments-20130311Since 2007, 471 U.S. banks have failed, nearly depleting the FDIC deposit-insurance fund with $92.5 billion in losses. Rather than sue, the agency has typically preferred to settle for a fraction of the losses while helping the banks avoid bad press.
Under the Freedom of Information Act, The Times obtained more than 1,600 pages of FDIC settlements, made from 2007 through this year with former bank insiders and others accused of wrongdoing. The agreements cons ute a catalog of fraud and negligence: reckless loans to homeowners and builders; falsified do ents; inflated appraisals; lender refusals to buy back bad loans.
Defendants benefit by settling because they can avoid admitting guilt and limit the damages they might face in court. The FDIC benefits by collecting money without the hassle and expense of litigation. The no-press-release arrangements help close those deals.
Deutsche Bank, now the world's largest, settled to resolve claims that subsidiary MortgageIT sold shaky loans to Pasadena-based IndyMac Bank, which imploded under the weight of risky mortgages and construction loans. The IndyMac failure — considered one of the early events that helped usher in the 2008 financial meltdown — caused a scene reminiscent of the grim bank failures of the 1930s, with panicked depositors lining up outside branches trying to reclaim their money.
Overall, the FDIC collected $787 million in settlements by pressing civil claims related to bank failures from 2007 through 2012 — a fraction of its total losses.
Disbursed Outstanding Non-TARP $4,4152. billion (93%) $1,815.8 billion (94%) TARP $307.6 billion (7%) $117.7 billion (6%) Total Bailout $4,722.8 billion $1,993.6 billion
the Fed/Treasury bailed out the financial sector, while the financial sectors kept, keeps stealing homes
Deceptive Practices in Foreclosures
Despite happy talk about a housing rebound, nearly three million homeowners are in or near foreclosure, and many continue to be victimized by improper and possibly illegal practices.
The banks hire property management companies to determine whether homeowners who are behind on their mortgage payments have abandoned their homes and, if so, to secure the vacant property.
It doesn’t always go that way. The Illinois suit accuses the largest company in the industry, Safeguard, of breaking into homes despite evidence of occupancy, damaging and removing personal property, changing locks, cutting off utilities, and bullying occupants into leaving their homes when they have the legal right to stay. In several other states, private lawsuits and complaints to legal aid lawyers have alleged similar abuses.
Under the foreclosure settlement, banks are responsible for vetting, supervising and auditing contractors, a category that clearly includes property management companies. Profit and expediency, however, seem to have trumped due process yet again.
Property companies and their subcontractors make more money on vacant homes than on occupied ones, because abandoned property requires more work, including changing locks, boarding up doorways and removing trash. And banks get some or all of the proceeds from the sale of vacant homes.
In the past, banks have downplayed foreclosure abuses by noting that affected homeowners were, after all, late on their payments, as if that justifies harassment and worse. The Illinois suit makes clear that eviction is permissible only after a legal process is concluded. In addition, state laws to protect homeowners are consistent with federal policies — weak as they are — to promote loan modifications. Both state and federal laws are intended to ensure fairness in the brutal foreclosure process.
Safeguard has said its work meets “the highest standards in the industry.” The banks have said they carefully monitor the property management companies. That is hard to square with allegations in the Illinois suit, including the claim that Safeguard deemed homes vacant when the foreclosure process was not under way or when homeowners were negotiating loan modifications with the bank.
http://mobile.nytimes.com/2013/09/14...l?from=opinion
Safeguard? safeguarding the financial sector's stolen $Bs.
If Obama succeeds in getting Summers into the Fed, America will be even more ed and always un able.
more up to date, numbers in Section 2, starting at page 39: http://www.sigtarp.gov/Quarterly%20R...o_Congress.pdf
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