Posts Tagged ‘MERS’

The robo-signing mess is just the tip of the iceberg

Tuesday, October 12th, 2010

Full story here from ZeroHedge.

Now that the Robo-Signing scandals have achieved full notoriety through the media, it is time to address the real issues facing investors in bank stocks. I also believe that the media is staring at the wrong target. Each major media outlet is copying what is popular or what the next outlet broke as a story versus where the true economic risks actually lie – which is essentially the real story and where the meat actually is. Here’s what’s truly at stake – the United States is now at risk of losing its hegemony as the financial capital of the world! Why? Because when we had the chance to put the injured banks to sleep and redirect resources to into new productivity, we instead allowed politics to shovel 100’s of billions in tax payer capital into zombie institutions as they turned around and paid much of it right back out as bonuses. As a result, significant capital has been destroyed, the original problem has metastized, and the banks are still in zombie status, but with share prices that are multiples of the actual values of the entities that they allegedly represent – a perfect storm for a market crash that will make 2008 look like a bull rally! For those who feel I am being sensationalist, I refer you to my track record in making such claims. (more…)

Foreclose This!

Monday, October 11th, 2010

Full story here from Global Research. And while I’m writing this, another bombshell hits.  I know, it’s a lot of foreclosure/mortgage stuff lately. Don’t worry, we didn’t forget how to trade. But…this issue keeps teasing me, like a splinter in my mind. If the charade were able to go along full speed, we wouldn’t be seeing banks halting foreclosures, or title companies afraid to insure. SOMETHING is coming down the pipe– whether that’s a Quantitative Easing about 10x bigger than before, a total Federal takeover of existing mortgages, a debt jubilee, or something else. The main thing is that this will never be the same again. More fun here.

The other day, during an interview on Al Jazeera, I was asked if I was frustrated because my warnings and worries about the financial meltdown and foreclosure crisis, first aired in 2006, have been ignored so long.


The excruciating lesson I learned is that it takes time for a problem to turn into an issue and, then, an issue to get attention, to move from the business section to the news section, from the back of the paper to page one. (more…)

Is MERS Commercial about to break the CMBS market?

Monday, October 11th, 2010

Full story here from ZeroHedge. The MBS-types gotta be jonesing for some of this.

The irresponsible actions by MERS are rapidly becoming the stuff of folklore: from their direct and indirect involvement in every fraudclosure, to the president himself falling for what appears to be a MERS agent with a split signature personality, to MERS just-released refutation of it ever having done something wrong, the hammer on MERS seems to be preparing to fall with a resounding thud. Yet with everyone focusing on MERS’ involvement in the residential mortgage space, pundits have ignored that “other” space where MERS made the possibility of outright robosigning fraud a distinct possibility – commercial real estate. (more…)

Homeowners rebellion

Thursday, August 19th, 2010

Full story here from Ellen Brown.

Mortgages bundled into securities were a favorite investment of speculators at the height of the financial bubble leading up to the crash of 2008. The securities changed hands frequently, and the companies profiting from mortgage payments were often not the same parties that negotiated the loans. At the heart of this disconnect was the Mortgage Electronic Registration System, or MERS, a company that serves as the mortgagee of record for lenders, allowing properties to change hands without the necessity of recording each transfer. (more…)

Massive relief for homeowners and trouble for the banks

Tuesday, September 22nd, 2009

Who says I always print bad news? Here’s a gem from Ellen Brown via Global Research in Canada.

“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.   (more…)