Saturday, September 3, 2011

US banks face suits on mortgage crisis



The federal housing agency is to sue key US banks including Bank of America over mortgage crisis.

Source: Press TV
http://www.presstv.ir/detail/197038.html

The US Federal Housing Finance Agency (FHFA) is set to file lawsuits against several large banks over the US mortgage crisis that triggered a global financial meltdown.

The regulatory agency has accused more than ten major banks of misrepresenting the quality of mortgage securities they sold, and now seeks billions of dollars in compensation.

The lawsuits will be filed before Wednesday in a federal court to meet legal deadlines, The New York Times reported.

The American daily quoted three interviewees as saying that the largest US bank, Bank of America, Goldman Sachs, JPMorgan Chase and Germany's Deutsche Bank are among the accused.

FHFA says that the banks "failed to perform the due diligence required under securities law and missed evidence that borrowers' incomes were inflated or falsified."

The agency's move is seen as a blow to the banks' attempts to recover from the financial downturn.

According to the report, none of the accused banks agreed to comment on the situation, but argued privately that the general economic recession had caused the losses and any deception related to mortgages was irrelevant.

No comments:

Post a Comment

Thanks for commenting on this post. Please consider sharing it on Facebook or Twitter for a wider discussion.

Russia Today (Live)

World News 2017

South Front Military Review 2017

Syria - News 2017

US News 2017

The Russian Perspective

Debate – Global Issues 2017

Current Affairs - Important Interviews – 2017

Important Information 2016 - 2017

Yemen News 2017

Turkey News 2017

Ukraine News 2016 - 2017

Palestine & Israeli Crime 2017

Iraq News 2017

Iran News 2016 - 2017

Important Documentaries

Viewpoint, Discussion & Opinion - 2017

Abby Martin – Empire Files

Global Economic News 2017

Egypt News 2016 - 2017

Libya News 2016 - 2017

Bahrain News 2016 - 2017

Sheik Imran Hosein - Islamic Eschatology

George Galloway – Comment & Opinion

English FA Cup 2016 – 2017

New Age Weather

Space News

Music for the Revolutionary Mind

Global Revolution LIVE!

Watch live streaming video from globalrevolution at livestream.com

Japan’s 3 Nuclear Meltdowns STILL ongoing (News Censored)