Are we not yet clear on the distortion of nemo dat? Lay the ground work and pop the $11 Trillion dollar question. “Is this loan encumbered by (a GSE) either Fannie, Freddie and/or the U.S. Treasury?” None of which have appeared before the court or the homeowner in any form since the inception of the loan or their engagement in participation. Deception runs deep as the servicer has, in many cases, stated to the homeowner, “sorry, you can’t get a HAMP modification because you are not a Fannie or Freddie loan” …when in fact it is.

A securitized trust operates from the basis of an electronically transferred “mortgage loan schedule” spreadsheet in a computer file. Not a physical cardboard box of papers. The trust is not a physical store, it’s a computer file.

The attorneys filing the foreclosure for the trust are hired by the servicer(s) who work for usually Fannie or Freddie. The foreclosure attorneys know that the GSEs select and approve the attorneys the servicers hire and that they front for the GSEs. The attorneys hired by the servicer know that the GSEs are intentionally concealed. They also know there are back room rehypothecation agreements with the trusts, and they also know that the trusts may no longer exist or have been paid off.

The reason the trusts are still fronting for the GSEs and/or the Treasury is because the paperwork surrounding the loans and property titles are a mess. And because the fraud on the courts and the debt is so massive that the GSEs and Treasury don’t want the taxpayers, shareholders or Congress to get a grip on the overall debacle.

Reportedly, America has “$11 TRILLION” in MBS debt” – $5 TRILLION is said to be held by the GSEs and the rest by the Treasury. How, when the universe of mortgaged American homeownership is only about 100 million properties – much of which is in “affordable” housing, did the debt become so exorbitant? Do the math.