tag:blogger.com,1999:blog-15453937.post3778589783692120957..comments2024-01-10T17:36:15.040-07:00Comments on The Lippard Blog: Barney Frank and the financial crisisLippardhttp://www.blogger.com/profile/16826768452963498005noreply@blogger.comBlogger6125tag:blogger.com,1999:blog-15453937.post-56238916832885968232008-10-01T22:03:00.000-07:002008-10-01T22:03:00.000-07:00"I think the responsibility that the Democrats hav..."I think the responsibility that the Democrats have may rest more in resisting any efforts by Republicans in the Congress, or by me when I was president, to put some standards and tighten up a little on Fannie Mae and Freddie Mac." — Bill Clinton, <I>Good Morning America</I>, ABC, 25 September 2008.Ktisophiloshttps://www.blogger.com/profile/16718156076583190052noreply@blogger.comtag:blogger.com,1999:blog-15453937.post-16203270263304936412008-10-01T15:56:00.000-07:002008-10-01T15:56:00.000-07:00But are the media holding the likes of Frank respo...But are the media holding the likes of Frank responsible for protecting Fannie and Freddie?Ktisophiloshttps://www.blogger.com/profile/16718156076583190052noreply@blogger.comtag:blogger.com,1999:blog-15453937.post-64557809698799728572008-10-01T06:38:00.000-07:002008-10-01T06:38:00.000-07:00One more point relevant to the CRA--I believe I go...One more point relevant to the CRA--I believe I got a lot more mortgage prerecords than anyone else I know because I live in South Phoenix. I think the unscrupulous brokers were specifically targeting low income people in South Phoenix, and sought leads by robo-calling every prefix in the area. When I sued LaChance, I ended up talking to some other people who were also suing him. A former employee of his told me about another lawsuit by a Hispanic couple who spoke virtually no English, who got put into a bad mortgage and claimed to have been defrauded. That's only a single example, but my suspicion is that Hispanics in South Phoenix were targeted by sleazy mortgage brokers.Lippardhttps://www.blogger.com/profile/16826768452963498005noreply@blogger.comtag:blogger.com,1999:blog-15453937.post-18075809481595367352008-10-01T06:26:00.000-07:002008-10-01T06:26:00.000-07:00I should add that the Arizona regulators were comp...I should add that the Arizona regulators were completely useless--I reported the mortgage fraud I came across in my telemarketing lawsuits to the Arizona Department of Banking, that was responsible for regulating mortgage brokers, and they refused to do anything even when I pointed out the specific banking regulations and statutes being violated.Lippardhttps://www.blogger.com/profile/16826768452963498005noreply@blogger.comtag:blogger.com,1999:blog-15453937.post-60897813884719742012008-10-01T06:24:00.000-07:002008-10-01T06:24:00.000-07:00I agree with "themel." It's a mistake to put all ...I agree with "themel." It's a mistake to put all the blame on the GSEs, and it's a mistake to absolve them of any blame.<BR/><BR/>There was a lot of mortgage fraud on the part of mortgage brokers--these are the same people who I was suing for illegal prerecord telemarketing calls in 2003, total scumbags with no regard for any law, who were deceiving people into taking out loans they couldn't afford just to keep the fees and commissions rolling in. There were also people taking out loans who were committing fraud, there were banks creating fraudulent investment products out of securitized mortgages, the ratings agencies were complicit by giving out high ratings to that toxic garbage while accepting money from the banks they were giving the ratings to, and the GSEs were happily buying up the garbage as well.<BR/><BR/>The reason that Paul LaChance of Millennium Mortgage Group in Tempe was running an autodialer and calling people like me in 2003 (while also doing things like withholding employee payroll taxes yet not paying the IRS, and taking customers from his former employer NovaStar Mortgage, and getting sued all over the place) is that he was able to make a lot of money at it by immediately being able to resell all of those mortgages to a larger company/bigger fool, ultimately up to the GSEs, who were the penultimate fools in the chain. (The ultimate fools have now been demonstrated to be the U.S. taxpayers.)Lippardhttps://www.blogger.com/profile/16826768452963498005noreply@blogger.comtag:blogger.com,1999:blog-15453937.post-30830579190519201112008-10-01T00:38:00.000-07:002008-10-01T00:38:00.000-07:00Jim.. This thread on ask.metafilter.com (which I s...Jim.. This thread on ask.metafilter.com (which I started) is sort of on topic to your post here..<BR/><BR/>http://ask.metafilter.com/103119/Did-FannieFreddie-cause-this-messcowmixhttps://www.blogger.com/profile/08207760597337878091noreply@blogger.com