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WilliamPitt

(58,179 posts)
Tue Oct 9, 2012, 03:53 PM Oct 2012

U.S. Files Civil Mortgage Fraud Suit Against Wells Fargo

Source: Bloomberg

Wells Fargo & Co. (WFC) was sued by the U.S. government over claims the bank committed fraud by making reckless mortgage loans, according to a complaint filed in Manhattan federal court.

The government seeks damages and civil penalties under the False Claims Act and the Financial Institutions Reform, Recovery and Enforcement Act of 1989 for alleged misconduct spanning more than a decade related to the San Francisco- based bank’s participation in a Federal Housing Administration program, according to a statement from U.S. Attorney Preet Bharara in Manhattan.

Read more: http://www.bloomberg.com/news/2012-10-09/u-s-files-civil-mortgage-fraud-suit-against-wells-fargo.html

12 replies = new reply since forum marked as read
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U.S. Files Civil Mortgage Fraud Suit Against Wells Fargo (Original Post) WilliamPitt Oct 2012 OP
looks like no jail time for the nation's financial enemies msongs Oct 2012 #1
about damn time DURHAM D Oct 2012 #2
This gut doesn't Wellstone ruled Oct 2012 #3
Yeah, but then on appeal, the Appeals Court will lower the judgment to byeya Oct 2012 #7
Good to hear ailsagirl Oct 2012 #4
Great stuff K&R n/t azurnoir Oct 2012 #5
finally. gladd to see underthematrix Oct 2012 #6
NOW the Gov looks at fraud....just before the election. dixiegrrrrl Oct 2012 #8
Why is this a civil suit and not a criminal.... prairierose Oct 2012 #9
If you don't understand ... GeorgeGist Oct 2012 #10
I guess I should have.... prairierose Oct 2012 #12
And AFTER the election? Settled out of court. nt Poll_Blind Oct 2012 #11

msongs

(67,406 posts)
1. looks like no jail time for the nation's financial enemies
Tue Oct 9, 2012, 03:57 PM
Oct 2012

fraud is not a crime when you are a rich white banker

 

Wellstone ruled

(34,661 posts)
3. This gut doesn't
Tue Oct 9, 2012, 04:11 PM
Oct 2012

lose. Ny AG will be there,watch. Can't imagine the dollars,this is going to be huge. Jury trials never go in favor of lenders under these laws. Wouldn't want to be holding Wells stock,there isn't a jury who will go easy because of all the people affected. Everyone knows someone that has been screwed by a Bankster.

 

byeya

(2,842 posts)
7. Yeah, but then on appeal, the Appeals Court will lower the judgment to
Tue Oct 9, 2012, 06:02 PM
Oct 2012

next to nothing.

One indictment of one bankster would do more good than all these civil suits strung together.

underthematrix

(5,811 posts)
6. finally. gladd to see
Tue Oct 9, 2012, 05:03 PM
Oct 2012

some action against this banking giant. makes you wonder y peeps r still banking with these American traitors.

dixiegrrrrl

(60,010 posts)
8. NOW the Gov looks at fraud....just before the election.
Tue Oct 9, 2012, 06:54 PM
Oct 2012

I will predict that somewhere down the road, Wells will pay a "fine" equal to 10% of the money it stole, and that will be that.
OR
the Gov't will announce dropping the case for lack of evidence.

This will happen, of course, in the spring to early summer, and be announced on a Friday night.

prairierose

(2,145 posts)
9. Why is this a civil suit and not a criminal....
Tue Oct 9, 2012, 07:52 PM
Oct 2012

action? All of the mortgage fraud at every level was deliberate and every charge should be criminal and not civil. The original mortgage fraud was criminal and many of the foreclosures in the last few years were also fraudulent.

I don't understand.

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