Keep rewarding these dead beats, making them serve no jail time and they shall continue buying their settlements for as long as they go unpunished!
BLOOMBERG-
Four years after rotten mortgages helped trigger a global financial crisis, Sherry Hunt said her Citigroup Inc. quality-control team was still finding flaws in new loans that included altered tax forms, straw buyers and borrowers who listed fictitious employers.
Instead of reporting the defects to the Federal Housing Administration, the bank saddled the agency with losses by falsely declaring the loans fit for its federal insurance program, according to a complaint filed yesterday by the U.S. Attorney’s Office in Manhattan. Citigroup agreed to pay $158.3 million to settle the claims, and admitted that it certified loans for FHA backing that didn’t qualify.
Abigail Field’s latest article is a must read. Forget the energizer bunny, this just keeps going and going…it does not stop.
from DailyFinance
When an LPS client has a mortgage that goes into default, Lofton explains, LPS starts managing the loan. In order to do that, the appropriate LPS employees are given login information for the bank’s database. As a security measure, each login is unique. That login grants access to the bank’s entire database of current and defaulted loans, so that the employee can address whatever problem exists. For example, if a payment that should have been applied to a defaulted mortgage was accidentally credited to a current mortgage, the LPS employee needs access to the current mortgage to fix the error.
When an employee can’t fix or reconcile data in an account, she is supposed to enlist the help of her supervisor, and if needed, her supervisor’s supervisor. Each manager also has unique login information, and each bank apparently has additional security protocols that LPS employees are supposed to follow. If the employees and supervisors were following the rules, all would be relatively well. But according to Lofton, they were not:
“…109. …most of the [LPS] Associate Team members had gained unauthorized access to the logins and passwords of their team associates and supervisors for all of the bank servicers’ computers.
110. With this unauthorized access to the Bank’s computers, the [LPS] associates could go into the banks computer files and manipulate the data….
112. I was particularly concerned that during “crunch” times …Team Associates were cutting corners….
116. When an employee cut corners, the employee left out one or more steps that should have been performed and had to make something up.
117. The problem caused by cutting corners might not come to light until six months down the road when an attorney asks questions about the billing record.”
LONDON (Reuters) – A former Swiss private banker handed over data on hundreds of offshore bank account holders to WikiLeaks founder Julian Assange at a news conference on Monday.
Rudolf Elmer once headed the office of Julius Baer in the Cayman Islands until he was fired by the bank in 2002. He is scheduled to go on trial in Switzerland on Wednesday for breaching bank secrecy.
Elmer handed Assange the data at a news conference at a media club in London. The two yellow and blue discs contain information on 2,000 banking clients who have parked money offshore.
“He (Elmer) is clearly a bona fide whistleblower… We have some kind of duty to support him in that matter,” said Assange, who is on bail in Britain and fighting extradition to Sweden where he faces questioning over alleged sex crimes.
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