CFTC not part of settlement – pursues own probe of JPM

• Not a part of JPMorgan’s (JPM -0.3%) reportedly nearing settlement with regulators on both sides of the pond over the London Whale incident, the CFTC is pursuing its own probe, reports the WSJ. Feeling its oats thanks to new powers granted to it by Dodd-Frank, the CFTC is zeroing in on aggressive derivatives bets made in early 2012 as traders tried to contend with growing losses in the bank’s credit portfolio.

PHOENIX LIGHT SF LIMITED vs CREDIT SUISSE AG | NYSC – investors are only now becoming aware that, while they thought they were purchasing “mortgaged-backed” securities, in fact they were purchasing non-mortgagedbacked securities

Trusts are unable to foreclose on loans because they cannot prove they own the mortgages, due to the fact that defendants never properly transferred title to the mortgages at the closing of the offerings. Moreover, investors are only now becoming aware that, while they thought they were purchasing “mortgaged-backed” securities, in fact they were purchasing non-mortgagedbacked securities.

Here is the court document:

http://stopforeclosurefraud.com/wp-content/uploads/2013/09/PHOENIX-LIGHT-SF-LIMITED-vs-CREDIT-SUISSE-AG.pdf

No balloons and cake for Wall Street: Larry Summers pulls out of running to be Federal Reserve chairman

WASHINGTON — Former Treasury Secretary Lawrence H. Summers has withdrawn his name from consideration to be the next chairman of the Federal Reserve chairman, President Obama said Sunday.

Merritt v. Mozilo | The … judgments in favor of Bank of America and Lewis are REVERSED… In sum, the Merritts stated a cause of action for conspiracy to commit fraud against Bank of America and Lewis

We conclude that this court lacks jurisdiction to consider the appeal as to Countrywide defendants and that the trial court did not err when it sustained the demurrers of First American and MERS. We also conclude that the trial court erred in sustaining the demurrers of Bank of America and Lewis. Accordingly, the judgments in favor of First American and MERS are affirmed and the judgments in favor of Bank of America and Lewis are reversed.

Here is the court document: http://stopforeclosurefraud.com/wp-content/uploads/2013/09/Merritt-v.-Mozilo-CA6-H037414-Cal.-2013.pdf

Five years after Lehman fell, taking the global economy along with it, a roll call of Wall Street CEOs serving time for their role in the crisis looks something like this:

So, yeah. Zero Wall Street CEOs are in jail. But we did promise you a list:

1. No one.

2. LOL.

3. Wall Street’s lawyers are amazing.

4. Etc. Etc.

It’s not that federal government tried to prosecute a bunch of them but lost the cases. There were no serious efforts at criminal prosecutions at all.

Read on.

Defendants’ failure to ensure proper transfer of the notes and the mortgages to the trusts at closing has already resulted in damages to investors in securitizations underwritten by defendants. Trusts are unable to foreclose on loans because they cannot prove they own the mortgages, due to the fact that defendants never properly transferred title to the mortgages at the closing of the offerings. Moreover, investors are only now becoming aware that, while they thought they were purchasing “mortgaged-backed” securities, in fact they were purchasing non-mortgagedbacked securities.

http://stopforeclosurefraud.com/wp-content/uploads/2013/09/PHOENIX-LIGHT-SF-LIMITED-vs-THE-GOLDMAN-SACHS-GROUP-INC.pdf

SEC Enforcement Actions Addressing Misconduct that Led To or Arose From teh Financial Crisis:

• Citigroup – SEC charged Citigroup’s principal U.S. broker-dealer subsidiary with misleading investors about a $1 billion CDO tied to the housing market in which Citigroup bet against investors as the housing market showed signs of distress. The proposed settlement would require a payment of $285 million by Citigroup that would be returned to harmed investors. (10/19/11)
• Commonwealth Advisors – SEC charged Walter A. Morales and his Baton Rouge-based firm with defrauding investors by hiding millions of dollars in losses suffered during the financial crisis from investments tied to residential mortgage-backed securities. (11/9/12)
• Goldman Sachs – SEC charged the firm with defrauding investors by misstating and omitting key facts about a financial product tied to subprime mortgages as the U.S. housing market…