Lots of press...lots of grandstanding politicians and Attorneys General (it is election season you know)
So SOMETHING must be done...a sacrificial lamb to calm the populace.
Bank of America...Come On Down!
I do a daily read of a very interesting financial blog, ZeroHedge. Top notch financial info and analysis. Some of these ideas were conceived there and incorporated by me, below.
This is how I think the whole foreclosure fraud/robosigning/MERS/etc will be "swept under the (Fed) rug:
BofA will go down. They are the sacrificial lamb. They will be "nationalized" and all of the trillions of dollars of garbage loans will be on the Fed books so that when the RMBS bondholders sue to get their money back, the Fed will do just that...and put these loans on their books....or maybe shift them over to Fannie and Freddie...or some new dept with a new CZAR in charge.
During the staged Govt. and Wall Street turmoil and panic, legislation will be passed to grandfather in all of the remaining robosigned/MERS recorded/missing/incorrect mortgages held by all the rest of the TBTF banks (and Fannie/Freddie). A Fed dispensation for all past fraudulent sins if you will. This new legislation will be grandfathered back to the beginning of the issuance of MBS. The panic, confusion, and complexity surrounding the change of rules and legislation will serve to obscure and direct attention away from the widespread fraud that was involved in the original creation of the individual mortgages and RMBS.
Then, people will still lose their homes. Period. Cases against the banks will be dismissed because the new laws will have been grandfathered and absolved them of all "paperwork mistakes". Title insurers will once more be willing to write policies on foreclosed homes, and over a period of a few decades, a new department in the Fed will sell off the foreclosed homes.
