Wall Street Crime .

[Chico23231]

Originally Posted by Giantone

Like I said it's not what I want ,people should go to jail!



BBC News - Bank of America in record $16.7bn mortgage settlement

The loans were sold by Countrywide Financial and Merrill Lynch before Bank of America bought them in 2008, at the height of the financial crisis.

The associate attorney general said "no institution is either too big or too powerful to escape" punishment.

The settlement will cut the bank's third-quarter profits by $5.3bn.

Bank of America will pay a total of $9.65bn in cash and provide consumer relief worth about $7bn, much of which will go towards homeowners struggling with their mortgages.

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US Attorney General Eric Holder says the deal is "a historic step forward"
The cash component consists of a $5bn civil penalty and $4.63 billion in compensation payments.

The case centred on Countrywide Financial, the biggest lender at the time of the crisis, and Merrill Lynch selling mortgage loans to investors but not explaining the full extent of the risk involved.

Just so we are clear, the origination, underwriting, and ultimate selling of those products were by other instituations, not BOA. Please note also on the second market the folks and the direvatives that were being spread out on those transactions were a cash cow for a ton of other smaller banks and a ton of other vendors. Also remember rating systems and government approval of mortgage back securities products. Please keep in mind the SEC fully regulated those deals and backed all those when times were good and the always remember the government made hand over fist from those deals. Please keep in mind Fannie and Freddie bought everything never doing their due dilligence to understanding what products they bought, blind bulk purchasing. Also remember the government put a gun to the head of BOA to buy Merrill Lynch during the meltdown.