Ocwen Financial (OCN) is doubling down in its fight against a group of mortgage bond investors that accused the nonbank off ailing to properly collect payments on mortgage loans and breaching its bond covenants.

In January, a group of investors, which includes BlackRock, MetLife, and PIMCO, said that Ocwen failed to perform its contractual obligations as a servicer by failing to properly collect payments on $82 billion of home loans. In a subsequent letter, cited in a report from Compass Point Research and Trading, the investors said that Ocwen’s failures as a mortgage servicer cost bond investors approximately $26 billion.

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Investmentwatch blog:

This is the last chance to get the DOJ to act on Alayne Fleischmann’s evidence of felony mortgage securities fraud, which she witnessed when she was at JP Morgan Chase from 2006 – 2008.

She’s a securities lawyer by training, but worked as a deal manager there.

Her documentation of the fraud she witnessed, and tried to stop, as well as her depositions with the SEC and DOJ lead to the increase in the civil penalty (13 Billion) JPMorgan paid in November (9 Billion after their tax write offs !!)

I have a chase card. Prosecuting bank officers for fraud will not crash the institution. It will make it stronger, and the system as a whole.

We have 6 1/2 years of evidence that civil penalties offer no deterrence ……we’ve gone from securities fraud to money laundering, commodities rigging, international rate rigging etc……

Banks don’t commit fraud. Bank…

There are so many interesting jurisdictional issues in the U.S. government’s prosecution of foreign bankers allegedly involved in the manipulation of benchmark London Interbank Offered Rates, calculated in London under the auspices of the British Bankers’ Association. Last December, Covington & Burlinglaid out at least three solid arguments for why U.S. courts shouldn’t hear the government’s criminal case against Roger Darin, a Swiss UBS interest-rate trader charged with one count of conspiracy to commit wire fraud by supposedly submitting false reports of UBS’ yen Libor, including the territorial limits of the U.S. wire fraud statute and Darin’s due process right not to be tried in U.S. courts for conduct that took place entirely outside of the United States.

But in an opinion issued Friday, U.S. Magistrate Judge James Francis of Manhattan made clear that Libor defendants aren’t going to be able to slough off U.S. criminal charges with jurisdictional…