Re:Why Isn't Wall Street in Jail?
by ZachPruckowski on Thursday February 17, 2011 @01:02AM
(#2229973)
>had nothing to do with the greater causes.
It has everything to do with the greater causes. The reason it's happening is to try to cover up the fact that in many cases, mortgages were improperly transferred along the chain from the lender to the REMIC trusts. This means that (a) the banks selling MBS to investors lied when they said they had properly transferred the notes, and (b) in some states, the screw-ups jeopardize the securitization of the debt. Had there not been such a mortgage bubble, this probably wouldn't have happened.
It has everything to do with the greater causes. The reason it's happening is to try to cover up the fact that in many cases, mortgages were improperly transferred along the chain from the lender to the REMIC trusts. This means that (a) the banks selling MBS to investors lied when they said they had properly transferred the notes, and (b) in some states, the screw-ups jeopardize the securitization of the debt. Had there not been such a mortgage bubble, this probably wouldn't have happened.