10 top banks pay for their mortgage frauds

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JPMorgan Chase & Co., also sued by Schneiderman’s office, agreed to settle that case along with federal claims over mortgage-backed securities in a landmark $13 billion accord last year.  NY state got $613 million in the settlement, the first in a string of payouts it has received in legal agreements over the financial instruments.

In July, Citigroup Inc. agreed to pay $7 billion in fines and consumer relief to resolve claims by the federal government and states including New York.  The following month, Bank of America Corp. agreed to pay about $17 billion   https://www.bloomberg.com/news/articles/2014-12-25/credit-suisse-ordered-to-face-new-york-s-mortgage-fraud-claims

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Bank of America reached a settlement of its own in 2014 for $16.6 billion as a consumer bank that was responsible for writing the mortgages as well….While $3.2 billion is a fair chunk of money, because Morgan Stanley did not write the sub-prime, underwater mortgages themselves, but rather simply bundled them together  http://www.valuewalk.com/2016/02/morgan-stanley-mortgage-fraud/

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6-28-11   Bank of America may be about to part with more money than it has earned since 2008 in what will soon be the biggest financial settlement in the industry to date.  According to the WSJ, the Charlotte, NC-based bank is preparing to pay $8.5 billion to settle mortgage (mis)representation claims (aka the Mortgage putback issue) brought on by such high profile figures as BlackRock, Pimco, MetLife and of course the Federal Reserve   http://www.zerohedge.com/article/bank-america-pay-85-billion-settle-mortgage-misrepresentation-suit-blackrock-pimco-new-york-

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3-21-14   Credit Suisse Group has agreed to pay $885 million to resolve claims by a U.S. regulator that the Swiss bank misled Fannie Mae FNMA.OB and Freddie Mac FMCC.OB into buying mortgage-backed securities that later went sour.   http://www.reuters.com/article/us-credit-suisse-idUSBREA2K1NY20140321

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12-23-16  Deutsche Bank agreed to a $7.2 billion settlement with the U.S. Justice Department (DoJ) over its sale and pooling of toxic mortgage securities in the run-up to the 2008 financial crisis.  http://in.reuters.com/article/europe-stocks-idINKBN14C0LI

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Investment banking giant Goldman Sachs has agreed to a list of “facts” in addition to paying $5.1 billion to settle a lawsuit related to its handling of mortgage-backed securities leading up to the 2007 financial crisis, the U.S. Department of Justice announced Monday.  http://fortune.com/2016/04/11/goldman-sachs-doj-settlement/

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2-3-16    Wells Fargo & Co said on Wednesday it had agreed to pay $1.2 billion to settle claims that it engaged in mortgage fraud    http://www.reuters.com/article/us-wellsfargo-housing-idUSKCN0VC1KO

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12-22-16    The US Justice Department is suing Barclays for fraud in the sale of mortgage securities of $ tens of billions in the run-up to the 2008 financial crisis.  https://www.washingtonpost.com/business/economy/us-sues-barclays-in-mortgage-fraud-case/2016/12/22/554277e4-c86a-11e6-bf4b-2c064d32a4bf_story.html?utm_term=.49ad5ee15c21

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2-5-16   HSBC agreed to a $601 million settlement with a series of federal agencies and nearly every state over charges that the bank engaged in mortgage origination    http://www.housingwire.com/articles/36219-hsbc-reaches-601m-settlement-over-charges-of-abusive-mortgage-practices

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7-16-14      Investors led by BlackRock, the world’s largest asset manager, and PIMCO, the world’s largest bond-fund manager, have sued some of the world’s largest banks for breach of fiduciary duty as trustees of their investment funds. The investors are seeking damages for losses surpassing $250 billion. That is the equivalent of one million homeowners with $250,000 in damages suing at one time.

The defendants are the so-called trust banks that oversee payments and enforce terms on more than $2 trillion in residential mortgage securities. They include units of Deutsche Bank AG, U.S. Bank, Wells Fargo, Citigroup, HSBC Holdings PLC, and Bank of New York Mellon Corp.  Six nearly identical complaints charge the trust banks with breach of their duty to force lenders and sponsors of the mortgage-backed securities to repurchase defective loans.   http://www.alternet.org/economy/whoa-big-banks-hit-monster-250-billion-lawsuit-fraud-housing-crisis

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Last month, U.S. District Judge Katherine Forrest in Manhattan dismissed claims by a group of institutional investors that included BlackRock Inc, Allianz SE’s Pacific Investment Management Co, and TIAA-CREF, claiming that U.S. Bank was responsible for 843 toxic mortgage-backed securities totaling about $778 billion in collateral.  Pursuant to a ruling from the Second Circuit Court in December 2014, Forrest ruled that the claims were not pleaded correctly on 33 of the trusts and that the remaining 810 trusts did not fall under federal jurisdiction.    http://www.dsnews.com/news/06-22-2015/investors-revive-suit-against-u-s-bank-in-state-court-over-743-billion-worth-of-rmbs

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6-20-14   U.S. Bank has agreed to pay the United States $200 million to resolve allegations that it violated the False Claims Act by knowingly originating and underwriting mortgage loans insured by the Federal Housing Administration (FHA) that did not meet applicable requirements, the Justice Department announced today.   https://www.justice.gov/opa/pr/us-bank-pay-200-million-resolve-alleged-fha-mortgage-lending-violations

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8-19-15    A U.S. regulator sued Bank of New York Mellon Corp on Wednesday over $2.06 billion in residential mortgage-backed securities        http://www.reuters.com/article/us-bank-of-ny-melln-fdic-lawsuit-idUSKCN0QO28720150819

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3-27-15    Wells Fargo, the fourth largest bank in the country, is facing multiple class-action suits that just may cost the mortgage lender billions upon billions of dollars.

The plaintiffs, most of them owners of “underwater” properties, feel the bank’s mortgage modification unit took advantage of  them, employing switch and bait tactics when they were at their most vulnerable, watching the values of their highly mortgaged properties sink to plummet steadily as the housing crisis of 2008 – 2010 rapidly took on steam.

Lest anyone think the Loan Modification Act was anything more than yet another example of how the government bends over backwards to shore up the banking industry, consider  the fact that the Federal government had already bestowed on Wells Fargo:  as much as $36 billion in federal aid, $12.7 billion to help it buy out the failing Wachovia Bank, and $25 billion in TARP funds       http://wegiveyoupeaceofmind.com/fight-debt-collectors/homeowners-vs-wells-fargo-multibillion-dollar-class-action-suit/

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1405985562297_wps_1_Banker_Robber_P29_jpg.jpg Lloyds, for instance, has had to more than double the amount in its compensation chest to £6.7 billion in regards to payment protection insurance possible fraud 2001-12
http://www.dailymail.co.uk/debate/article-2700760/How-banks-pulled-cynical-scam-time-We-know-millions-fell-victim-banks-selling-insurance-didn-t-need-But-gripping-inside-account-reveals-greed-obscene-ll-make-jaw-drop.html#ixzz4VaM1MOKd
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