Foreclosure problems "shameful": Housing Secretary

Source: Reuters

President Barack Obama's housing secretary said on Sunday "it's shameful" that financial institutions may have made the housing crisis worse by improperly processing foreclosures.

Shaun Donovan, secretary of the Department of Housing and Urban Development, said in a column on the Huffington Post website that a comprehensive review of the foreclosure crisis was under way and that the administration would respond with "the full force of the law where problems are found."

There have been allegations that banks failed to review foreclosure documents properly or submitted false statements when they foreclosed on properties.

In addition to inquiries by attorneys general in all 50 U.S. states, the Justice Department and banking regulators, the Securities and Exchange Commission has begun a preliminary investigation.



Read more: http://www.reuters.com/article/idUSTRE69G10J20101017

spending his time making comments of prosecuting marijuana laws that make it legal for Californians to use?

That's where it should start.

So, maybe they'll send some strongly worded letters, too.

Fact is that, under certain circumstances, someone who cashes a bad check -- even if they don't know that the third party who promised to pay them to cash the check is committing fraud -- can face a jail sentence and have a conviction record. Yet, the mortgage companies committed massive fraud in my opinion, and have not been charged with any crime.

Poor people serve time. Rich people never even go to court. This is not justice.

...before it's back to business as usual.

mean any of it."