Skip to comments.New Documents Show Intervention by Controversial Federal Agency in Forclosure Crisis Negotiation
Posted on 06/24/2011 5:23:13 PM PDT by Nachum
Many conservatives and even some liberals have complained about Obamas penchant for appointing czars in order to avoid accountability under law. One of his most notorious is the Consumer Czar, Elizabeth Warren, who was appointed by Obama to help set up and, many fear, to eventually run the monstrous new Consumer Financial Protection Bureau (CFPB).
We recently uncovered documents indicating the CFPB has been intensely involved in a 50-state settlement discussion underway with the nations largest mortgage lenders regarding alleged improper foreclosure procedures. (Anti-business zealots in the Obama administration and state attorney general offices are trying to extract a $20 billion settlement from banks to settle paperwork issues related to foreclosures.)
The documents, obtained in response to open records requests with CFPB and the offices of attorneys general from all 50 states, seem to contradict Warrens statements before Congress suggesting her office merely responded to requests for advice, but did not seek to push its views. (We initiated our investigation into the controversies surrounding Ms. Warren and the CFPB on March 22, 2011.)
During a March 16, 2011, hearing of the House Financial Services Subcommittee on Financial Institutions and Consumer Credit, Ms. Warren downplayed her agencys involvement in the state settlement negotiations: We have been asked for advice by the Department of Justice, by the Secretary of the Treasury, and by other federal agencies. And when asked for advice, we have given our advice.
But this does not come close to telling the full story.
(Excerpt) Read more at biggovernment.com ...
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A $20 Billion settlement would be a pittance to what the lenders have at risk if the law were actually upheld.
How curious that Obama is demanding a $20 billion shakedown from the banks, the same amount he took BP for after the oil accident. Wonder which industry will be threatened next. BO will be the world’s richest man when he is run out of D.C. Soros may be sorry he put him into office.
Where have I heard that number before?
20 Billion Dollars?
Oh, now I remember! That was the exact same amount of the restitution fund that BP was to set up so they didn't have to worry about law suits when that Gulf oil rig blew up!
I wonder what else is for sale for 20 billion dollars since that seems to be the cost of avoid massive criminal law suits?
And you don’t think the republicans are up to there Ken Doll cajones in this?