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Potential Loopholes In The Phony Bailout: ACORN May Be Out, But May Still Burden our Society with “Reasonable Loan Modification Requests.”

Potential Loopholes In The Phony Bailout: ACORN May Be Out, But May Still Burden our Society with “Reasonable Loan Modification Requests.”

 This bailout ‘bill,’ a slimy attack on the taxpayer by both losers on Wall Street and the Parasitic Marxist Left who want to redistribute your wealth by giving mortgages to criminals, druggies, felons, illegal aliens and such is in some formulative state as of this morning. This is part of the 102 page version. [1] There is danger here and there is also danger that if some ‘deal’ is reached the language will change as or during submission to the White House for rubber stamping.

 [1] The ACORN PLUNDER SECTION:

 SEC. 109. FORECLOSURE MITIGATION EFFORTS.

 (a) RESIDENTIAL MORTGAGE LOAN SERVICING

STANDARDS.—To the extent that the Secretary acquires

mortgages, mortgage backed securities, and other assets

secured by residential real estate, including multifamily

housing, the Secretary shall implement a plan that seeks

to maximize assistance for homeowners and use the authority

of the Secretary to encourage the servicers of the

underlying mortgages, considering net present value to the

taxpayer, to take advantage of the HOPE for Homeowners

Program under section 257 of the National Housing

Act or other available programs to minimize foreclosures. [2]

In addition, the Secretary may use loan guarantees

and credit enhancements to facilitate loan modifications

to prevent avoidable foreclosures.

 

This must be vacated. The ‘or’ is a disgusting loophole for the ACORN activists.

 

[2] (c) CONSENT TO REASONABLE LOAN MODIFICATION

REQUESTS.—Upon any request arising under existing investment

contracts, the Secretary shall consent, where appropriate,

and considering net present value to the taxpayer,

to reasonable requests for loss mitigation measures,

including term extensions, rate reductions, principal write

downs, increases in the proportion of loans within a trust

or other structure allowed to be modified, or removal of

other limitation on modifications.

 This is very unclear.

 The rubber language in this social pronouncement allows special interest groups to have their mortgages essentially excused and offered as a gift. Part of  rubber is the NPV, which is probably impossible to determine in many cases. Of course everybody with a mortgage will ‘request’ a modification.

 The courts are cut out of this for the most part, which is good:

 SEC. 119. JUDICIAL REVIEW AND RELATED MATTERS.

 (a) JUDICIAL REVIEW.—

 (1) STANDARD.—Actions by the Secretary pursuant

to the authority of this Act shall be subject to

chapter 7 of title 5, United States Code, including

that such final actions shall be held unlawful and set

aside if found to be arbitrary, capricious, an abuse

of discretion, or not in accordance with law.

 

(2) LIMITATIONS ON EQUITABLE RELIEF.—

 

(A) INJUNCTION.—No injunction or other

form of equitable relief shall be issued against

the Secretary for actions pursuant to section

101, 102, 106, and 109, other than to remedy

a violation of the Constitution.

 

(B) TEMPORARY RESTRAINING ORDER.—

Any request for a temporary restraining order

against the Secretary for actions pursuant to

this Act shall be considered and granted or denied by the court within 3 days of the date of the request.

  

This wreckage must survive the idiots in the Senate and will, doubtless, acquire some more leprosy and sores before it goes back to the House in a joint committee.

 These parasites in Washington can wipe out just about everything we have earned and many vultures in Europe and South American and on the far left are hoping for such an opportunity to denounce capitalism and replace it with race-based socialism.

 rycK

 Comments: ryckki@gmail.com

 

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