Mortgage-Deal Spoils Divide Winners From Losers

This is priceless. These attorney generals and others make big bank off the people who were frauded by these banks. While there pockets grow , nothing has been done to help the ones who lost homes and were abused the most. pretty sad, when the people sworn to protect you  are also stealing  from you as well. The only people  deserving of this money are the people who were hurt, not the lawyers, not the AG's, not the treasury , and not the governments, yet, they are the ones prospering and the rest are left to struggle with loss, homelessness, no jobs, no food. What the hell is wrong with this country? We are on a spiral trip to nowhere.

Bloomberg News

Mortgage-Deal Spoils Divide Winners From Losers in U.S. Capitols

By Linda Sandler, Freeman Klopott and Christie Smythe February 03, 2014

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Hundreds of millions of dollars in mortgage-fraud settlements from JPMorgan Chase & Co. and other banks are providing a windfall to state attorneys general -- and creating a new class of political winners and losers.

In New York, Attorney General Eric Schneiderman learned in November his office was getting $613 million from JPMorgan, about triple his annual budget. He said he’d use the cash to reimburse victims and finance investigations. Governor Andrew Cuomo, a fellow Democrat, questioned Schneiderman’s hold on the money and a dispute over the cash ensued.
California Attorney General Kamala Harris, seen by some as a potential gubernatorial candidate in 2018, used her $300 million share from JPMorgan to reimburse public-pension funds for losses on mortgage investments. Lisa Madigan, her Democratic counterpart in Illinois who considered a run for governor this year, applied her $100 million share to the state’s pension systems, which face a worst-in-the-nation $100 billion shortfall. She trumpeted her move with a news release.

Story: JPMorgan’s Profit Is Bruised Ever So Slightly by Madoff Settlements

“Politics is all about money and power,” said Peter Henning, a former lawyer with the Securities and Exchange Commission and a professor at Wayne State University Law School who has written about the JPMorgan settlement. “AG stands for almost governor.”

Schneiderman’s Pursuit

In November 2013, the U.S. and five state attorneys general reached an agreement with the bank that it would pay $13 billion to settle claims that it sold risky mortgage securities. JPMorgan, admitting that it and companies it bought hadn’t sufficiently informed investors about risks, paid a $2 billion civil penalty. It also paid almost $6 billion to resolve lawsuits by the Federal Housing Finance Agency, the National Credit Union Administration and the Federal Deposit Insurance Corporation.
New York got $613 million to settle a 2012 case Schneiderman mounted against the bank and its Bear Stearns unit. As the most active in pursuing -- and suing -- the bank, he won the biggest pot. That was enough to aggravate natural tensions with the state’s top political figure.

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“When the settlement gets big enough, you have a fight,” said James Tierney, a former Maine attorney general who runs a program about the position in Columbia University’s law program. “Both bring to the table the legitimate functions of their office.”

Springboard Office

The stakes were heightened by another reality: the past two governors, Cuomo and Eliot Spitzer, were elected after taking on Wall Street institutions as attorneys general.
“It’s counterintuitive, but the chance for sparks to fly is greater when the governor and attorney general are from the same party,” said former New York Attorney General Bob Abrams, who is now a partner with Stroock LLP in New York. “There is a natural suspicion and paranoia, and there can be competing ambitions.”

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Such rivalries have been going on for decades, said Tierney, a key adviser in the $246 billion settlement among the tobacco industry, the U.S. government and 46 attorneys general in 1998.
In the 15 years since, governors used the money for bridges, tax relief and other purposes not related to tobacco control or health that the attorneys general had proposed.
States have received $116 billion in payments and spent only 7.7 percent on tobacco prevention programs, said Peter Fisher, vice president for state issues at the Campaign for Tobacco Free Kids.

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Snookered Attorneys

“A lot of public officials at the time made some grandiose promises about spending the money on tobacco prevention and health,” Fisher said. “The reality turned out to be quite different.”
In later deals, the attorneys general protected their plans. In February 2012, the U.S. and 49 attorneys general reached a $25 billion settlement with five top mortgage servicers, including Bank of America (BAC:US) Corp., whom they accused of signing foreclosure documents without verifying them.
The servicers were told to use as much as $21.5 billion to cut homeowners’ principal payments, refinance loans at lower rates and compensate 2 million people who lost their homes because of malfeasance. Money going directly to the states would protect consumers against foreclosures.

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Staking Claims

Schneiderman structured New York’s share of the JPMorgan (JPM:US) agreement to give his office broad powers to determine how the funds would be spent, according to the settlement.
The original deal gave Schneiderman control of 85 percent, with 15 percent going to the state treasury. It said he could use the funds to aid those hurt by the foreclosure crisis and “otherwise promote the interests of the investing public.” He could spend money on housing counselors, mediation, and anti-blight projects, the settlement said.

Cuomo balked and argued with Schneiderman that the money is meant to relieve all taxpayers, and the attorney general isn’t allowed under state law to spend it as he sees fit, according to an administration official familiar with the discussions who requested anonymity because the dispute was private.

Schneiderman and Cuomo worked out the dispute over the first $163 million installment of the four-year payout just before the governor announced his state budget Jan. 21. The attorney general will put half into the treasury, and Cuomo and the legislature will spend it on housing. Schneiderman also agreed to go through the state contracting process and the oversight that comes with it when spending the funds.
Matt Mittenthal, a Schneiderman spokesman, said the deal was a “product of positive negotiations.”

Struggle Ahead

Three other payouts will follow, leaving Schneiderman with hundreds of millions to disburse in remaining years. Cuomo expects to fight over the division of each, said another aide who requested anonymity because the matter is private.
Tierney said the conflict between attorneys general and governors can make for good government.
“Most states want the friction between the two,” he said. “They want the AG to stand up to the governor, because it’s a check on the governor’s power.”
The case is People of the State of New York v. J.P. Morgan Securities, 451556-2012, New York State Supreme Court (Manhattan).
To contact the reporters on this story: Linda Sandler in New York at lsandler@bloomberg.net; Freeman Klopott in Albany at fklopott@bloomberg.net; Christie Smythe in Brooklyn at csmythe1@bloomberg.net
To contact the editors responsible for this story: Andrew Dunn at adunn8@bloomberg.net; Stephen Merelman at smerelman@bloomberg.net; Michael Hytha at mhytha@bloomberg.net

Public letter to JP morgan Chase

Yesterday I went to mediation over how Chase , who took over Washington Mutual and there loans , stated in AUG 2011 that they owned both my notes and for 10 months were insistent , that they were the owners, and told my VT AG and the OCC in Texas as well. Than  they came back and stated , we made a mistake we don't own the first note.
Mind you from April 2011- Aug 2011 , every 15 days I received a latter from Chase stating  we are still looking  into your inquiry and we will respond when we know more..

Here is the letter from Chase and notice at the bottom who they CC it to, of how they owned the note.

So, yesterday, at mediation they sent this man from Los Angeles, who was in alot of pain and had a sore neck and back.( He was a very nice man FYI. ) We all wanted to work out this mess and be done with it, however, a problem occurred, see the man who they sent from LA, had no power what so ever to deal, and had to call someone in New Jersey who made it impossible to work out a deal and the man from LA was basically to sit  and look good and his response was WTF am I doing here? Needless to say the mediator ended it due to Chase lack of cooperation .

This is how you deal with things Chase? You use and abuse your employees like this and throw them under the bus ? You did this to Mr. Sparks as well. You basically told us he was a liar and you know what? He wasn't the lair , you were.

YOU HAD MY LOANS AND YOU DAMN WELL KNOW IT, IN 6 YEARS NOBODY COULD PRODUCE ANYTHING, ONLY YOU COULD, YOU EVEN TOLD MY VT AG AND THE OCC IN TEXAS YOU OWNED THEM. YOU AND ONLY YOU PRODUCED ALL THE PAPERWORK. YOU HAVE THIS LAWYER NOW SAYING IT WAS A COPY, REALLY! LETS PUT IT TOGETHER.

1- YOU PRODUCED ALL THE HUD1, NOTES, MORTGAGES, AND APPLICATIONS.
YET, NOBODY ELSE COULD UNTIL YOU GOT TO TOGETHER WITH DEUTSCHE BANK IN 2011 TO HELP THEM COVER THERE FRAUD AND SOLD IT TO THEM FOR PENNIES ON THE DOLLAR AND THAN SIGNED AN ASSIGNMENT DATED 6 YEARS LATER AFTER THE SALE, SO THEY COULD HAND OVER THE PAPERS TO ARCHBAY WHO BOUGHT THE NOTE ILLEGALLY AND SIGNED MY LAND RECORDS ILLEGALLY BECAUSE DEUTSCHE BANK NEVER OWNED IT , WHEN THEY STATED THEY DID AND MY LAND RECORDS SHOW IT WAS LONG BEACH MORTGAGE SINCE DEC 4, 2004 TILL DEC 2010.

2- HOW COULD YOU AFTER STATING YOU DIDN'T HAVE THE FIRST NOTE SIGN ANY ASSIGNMENT TO ANYONE? AN INCOMPLETE ONE AT THAT AND THAN TURN AROUND AND SAY YOU NEVER SIGNED IT?

WE HAVE PROOF IT WAS ALSO ROBO SIGNED - A COUPLE OF YOUR EMPLOYEES ALSO WORK AT MERS AND OTHER PLACES AND NOT YOUR BANK AS WELL.
( ANYONE NEEDING COPIES OF THESE ROBO SIGNERS JUST REQUEST)

3-AFTER YOU CLAIMED THESE WERE ONLY COPIES , AND THAN YOU STATED YOU ONLY HAD SELECT PRO FOLIO AS THE SERVICING BEING SOLD TO, (NOTICE THE WORD SERVICING), BECAUSE WASHINGTON MUTUAL WAS MASTER SERVICER ( WHICH EXPLAINS WHY YOU DID IN FACT HAVE BOTH NOTES), BECAUSE IT NEVER LEFT WAMU AND YOU RECEIVED IT DURING THE FDIC TAKE OVER.



BUT HERE'S THE PROBLEM.

WASHINGTON MUTUAL - HAS ALL THE NOTES, MORTGAGES, HUD1, AND APPLICATIONS
THEN WE HAVE SELECT PRO-FOLIO

NOW , IF THIS NOTE WAS SOLD IN SEPT 2006 TO DEUTSCHE BANK, AND SERVICING WAS SOLD IN LATE OCT 2006, WE HAVE A PROBLEM, BECAUSE IN BETWEEN THERE SHOULD OF ALSO BEEN COPIES OF THE SALE, THE CASHED CHECK FOR THE NOTE, THE TRANSFER, AND YOU HAD NOTHING? BUT YOU HAD THE  SERVICER PAPERWORK. BAD GAME YOUR PLAYING.

WASHINGTON MUTUAL WAS MASTER SERVICER , AND COULD SELL SERVICING AND STILL MAINTAIN ITS STANDING, AND HOLD THE ORIGINAL NOTE, WHICH IS WHY YOU CHASE HAD IT. ( CHECK OUT ANY PSA IT WILL STATE THIS FROM WAMU)

 SO YOU EXPECT US TO BELIEVE YOU HAD COPIES OF EVERYTHING EXCEPT A SALE, AND SUDDENLY AFTER 10 MONTHS OF CLAIMING YOU OWN IT, AND AFTER DEUTSCHE BANK AND ARCHBAY CONTACT YOU IT SUDDENLY DISAPPEARS AND ENDS UP IN ARCHBAY HANDS , WHEN FOR 2 YEARS ARCHBAY COULD NEVER PRODUCE IT ?


4- WHY WOULD DEUTSCHE BANK WHO SUPPOSEDLY  BOUGHT IT, NEVER SIGN THE LAND RECORDS , OR COME FORWARD IN 2006 WHEN IT WAS IN FORECLOSURE? WHY DID DEUTSCHE BANK LEAVE IT IN WASHINGTON MUTUAL AND LONG BEACH NAME?  WHY WAS IT THAT IT WAS 90 DAYS AFTER THE FDIC TOOK WAMU THAT DEUTSCHE BANK SUDDENLY CLAIMS IT? WHY IS IT THAT A BANK WHO CLAIMED TO OWN IT , NOT ONLY DID THE SERVICER NOT KNOW BUT NEITHER DID WE OR THE COURT? LET ME ANSWER THAT FOR YOU, BECAUSE IT NEVER LEFT WASHINGTON MUTUAL AND YOU HAD IT.

YOUR A LIAR AND YOU ARE NOW NO BETTER THAN THE BOTTOM FEEDERS YOUR DEALING WITH.

THIS IS SO NOT OVER!!!!!!!!


( I removed the names to protect us)


AS FOR YOUR LAWYERS QUESTION ON WHY I WOULDN'T DO A DEAL WITH ARCHBAY. LETS SEE :

ARCHBAY COULD NEVER PROVE OWNERSHIP, WAS IN BUSINESS FOR LESS THAN 10 YEARS , AND WERE BOTTOM FEEDERS.

YOU, CLAIMED YOU OWNED IT, JP MORGAN /CHASE, RESPONSIBLE BANK ( OR SO I THOUGHT) THOROUGHLY INVESTIGATED THE NOTE FOR CLOSE TO 5 MONTHS, WAS INSISTENT THEY OWNED IT , OVER A 100 PLUS YEARS IN BANKING.

ARCHBAY : THIS WAS ALSO GOING ON,

Major Shake Up at NPL Investor Arch Bay Capital?

By Paul Muolo

MAY 11, 2012 10:08am ET

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A major shake up in the senior ranks at Arch Bay Capital has taken place with several departures from the company, according to three nonperforming loan investors that have conducted business with the firm.

 

At deadline, Arch Bay CEO Shawn Miller and chief investment officer Steven Davis had not returned telephone calls for two days. The company is based in Irvine, Calif.
Arch Bay’s backers include private equity money, including a group called York Capital. York did not return a telephone call placed to them Friday morning.
One NPL investor said senior management at Arch Bay was summoned to York for a recent meeting. “York didn’t like what they heard, confiscated their laptops and that was it,” said this investor, requesting his name not be used.
Another NPL invested added: “They [senior management] got locked out. The York guys are taking over.”
Little is known about Arch Bay’s NPL investing activities. The firm has kept a tight lip on its staff, and has declined to talk publicly about its deals. But players in the market say the firm has bought roughly $1 billion of NPLs since 2009, including a $600 million portfolio of troubled mortgages from Wells Fargo & Co.
About a year ago Arch Bay took at stab at starting a de novo mortgage company, but then pulled the plug on the idea after hiring several employees.
Until recently, Arch Bay billed itself as “one of the nation’s leading investment firms specializing in the real estate and mortgage industries.”
http://www.nationalmortgagenews.com/dailybriefing/Arch-Bay-Capital-Management-Shakeup-NPL-1030371-1.html


NOW TELL ME CHASE, WHO WOULD YOU OF CHOSEN?

YOU , JPMORGAN CHASE A REPUTABLE BANK

OR ARCHBAY A BOTTOM FEEDER WHO COULD NEVER PRODUCE MY LOAN?

JP Morgan /Chase Bank run?

Are we looking at a new Bank run about to happen? Investors take notice, time to bail!

JPMorgan Fund Sparks Biggest High-Grade Bond Outflow Since June

Lisa AbramowiczNov 01, 2013 4:02 pm ET

Nov. 1 (Bloomberg) -- JPMorgan Chase & Co.’s Core Bond Fund reported a $2.3 billion withdrawal this week that spurred the biggest weekly outflow from U.S. investment-grade debt funds since June.

The fund’s net assets dropped 9.2 percent to $22.38 billion on Oct. 28, according to data compiled by Bloomberg. Investment- grade funds reported a $2.67 billion outflow during the past week, with most of it coming from one fund, Bank of America Corp. credit strategists Hans Mikkelsen and Yuriy Shchuchinov said in an Oct. 31 report, citing data from EPFR Global.

The withdrawal reported “was likely a one-off event and no signal of a broader rotation out of high-grade bond funds,” the analysts wrote.

Investment-grade bonds in the U.S. gained 1.5 percent in October as speculation mounted that the Federal Reserve will maintain its $85 billion of monthly asset purchases through March. Companies have sold $991.4 billion of the debt so far this year, on pace for the most ever, from $945.4 billion during the same period last year, Bloomberg data show.

The JPMorgan Core Bond Fund was started on Dec. 31, 1983, and focuses on investment-grade notes with medium-term maturities, according to the data. It had 25 percent of its assets in corporate bonds and 55.8 percent in mortgage debt as of Aug. 31, Bloomberg data show.

Gregory Roth, a spokesman for J.P. Morgan Asset Management, declined to comment on the nature of the outflow.

--With assistance from Matthew Kelly in Princeton, New Jersey. Editors: Shannon D. Harrington, Richard Bravo