Tag Archives: securitization

Discovery you can’t afford to miss: the SEC!

(OP-ED) — The opinions expressed herein reflect those of the author and should not necessarily be construed as legal advice; however, the material has been vetted by an attorney who loves the thought process behind what is expressed here.

While everyone is getting the “rope-a-dope” from the banks and their mortgage loan servicers, no one’s looking to the enforcement arm of Wall Street … the revolving door into the United States Securities and Exchange Commission (“USSEC”). The author will abbreviate this agency, who is supposed to enforce violations of securities laws; however, seemingly, apparently hasn’t been doing so to the extent that We the People need them to.

The author of this post held off posting this article for the sake of clarification, insomuch that jumping the gun and sending the readers of this post on a wild goose chase for nothing would have been totally discrediting and thus, non-productive. Now that clarification has been achieved, it’s no holds barred.

The author devised a set of discovery, which was then turned into more productive aspects of a means to an end. That discovery revolves around the USSEC, who has the goods you’re looking for if you happen to be facing a REMIC trust, which most of you are since most of your loans were securitized.

This concept and thought process involves a two-pronged attack on the USSEC. Here’s step one:

If you’ll visit sec.gov, you’ll notice the search box in the upper, right-hand corner of the website.

Type in ONLY the REMIC trust’s “Series Number” (for example 2004-NC3, which I will reference in this post as the example). Do NOT type in the entire trust’s name and gobbledygook as you’ll end up with non-descript stuff you can’t use. Once the actual REMIC’s name appears below the search box, make a note of the “CIK” number by whatever means possible because this information will become part of your discovery request.

Rule #1: You cannot serve discovery on a non-party to a lawsuit!

Don’t even try it. You will be wasting your time and money. Instead, the attorney the author spoke with zeroed in on the fact that if you make the USSEC a third-party defendant in your case, the courts will most likely throw them out (dismiss them from your suit) at the first opportunity, much to the objections of the mortgage loan servicer (who’s bring the foreclosure against you trying to reimburse its own coffers), who will then figure out what you’re trying to get at. Thus, the attorney suggests getting a subpoena issued straightaway against the USSEC, asking for certified copies of information directly related to the REMIC trust you’re dealing with. Here’s where the concept attempts to get results:

Submit a complete and true certified copy of the 424(b)(5) Prospectus for 2004-NC3, filed with the USSEC on April 12, 2004.

Submit a complete and true certified copy of the Form 8-K, also known as Current Report for 2004-NC3, filed with the USSEC on May 3, 2004, as shown on the Edgar Entity Landing Page with a Reporting Date of April 16, 2004.

Submit a complete and true certified copy of the Form 8-K, also known as Current Report for 2004-NC3, filed with the USSEC on June 2, 2004, as shown on the Edgar Entity Landing Page with a Reporting Date of May 25, 2004.

Submit a complete and true certified copy of the Form 8-K, also known as Current Report for 2004-NC3, filed with the USSEC on July 1, 2004, as shown on the Edgar Entity Landing Page with a Reporting Date of June 25, 2004.

Submit a complete and true certified copy of the Form 8-K, also known as Current Report for 2004-NC3, filed with the USSEC on August 3, 2004, as shown on the Edgar Entity Landing Page with a Reporting Date of July 26, 2004.

Submit a complete and true certified copy of the Form 8-K, also known as Current Report for 2004-NC3, filed with the USSEC on August 27, 2004, as shown on the Edgar Entity Landing Page with a Reporting Date of August 25, 2004.

Submit a complete and true certified copy of the Form 8-K, also known as Current Report for 2004-NC3, filed with the USSEC on September 28, 2004, as shown on the Edgar Entity Landing Page with a Reporting Date of September 27, 2004.

Submit a complete and true certified copy of the Form 8-K, also known as Current Report for 2004-NC3, filed with the USSEC on November 1, 2004, as shown on the Edgar Entity Landing Page with a Reporting Date of October 25, 2004.

Submit a complete and true certified copy of the Form 8-K, also known as Current Report for 2004-NC3, filed with the USSEC on November 29, 2004, as shown on the Edgar Entity Landing Page with a Reporting Date of November 26, 2004.

Submit a complete and true certified copy of the Form 8-K, also known as Current Report for 2004-NC3, filed with the USSEC on January 3, 2005, as shown on the Edgar Entity Landing Page with a Reporting Date of December 27, 2004.

Submit a complete and true certified copy of the Form 8-K/A, also known as Current Report – amendment, and all amendments thereto for 2004-NC3, filed with the USSEC on January 12, 2005, as shown on the Edgar Entity Landing Page with a Reporting Date of November 26, 2004.

Submit a complete and true certified copy of the Form 8-K/A, also known as Current Report – amendment, and all amendments thereto for 2004-NC3, filed with the USSEC on January 12, 2005, as shown on the Edgar Entity Landing Page with a Reporting Date of October 25, 2004.

Submit a complete and true certified copy of the Form 8-K/A, also known as Current Report – amendment, and all amendments thereto for 2004-NC3, filed with the USSEC on January 12, 2005, as shown on the Edgar Entity Landing Page with a Reporting Date of August 25, 2004.

Submit a complete and true certified copy of the Form 8-K/A, also known as Current Report – amendment, and all amendments thereto for 2004-NC3, filed with the USSEC on January 12, 2005, as shown on the Edgar Entity Landing Page with a Reporting Date of September 27, 2004.

Submit a complete and true certified copy of the Form 8-K/A, also known as Current Report – amendment, and all amendments thereto for 2004-NC3, filed with the USSEC on January 12, 2005, as shown on the Edgar Entity Landing Page with a Reporting Date of July 26, 2004.

Submit a complete and true certified copy of the Form 8-K/A, also known as Current Report – amendment, and all amendments thereto for 2004-NC3, filed with the USSEC on January 12, 2005, as shown on the Edgar Entity Landing Page with a Reporting Date of June 25, 2004.

Submit a complete and true certified copy of the Form 8-K/A, also known as Current Report – amendment, and all amendments thereto for 2004-NC3, filed with the USSEC on January 12, 2005, as shown on the Edgar Entity Landing Page with a Reporting Date of May 25, 2004.

Submit a complete and true certified copy of the SEC Form 15-15D, known as Suspension of Duty to Report [Section 13 and 15(d)] of 2004-NC3, filed with the USSEC on January 26, 2005.  

Submit a complete and true certified copy of the 10-K, known as Annual Report [Section 13 and 15(d), not S-K Item 405] of 2004-NC3, filed with the USSEC on March 31, 2005, as shown on the Edgar Entity Landing Page with a Reporting Date of March 7, 2005.

EXPLANATION OF WHAT’S BEEN REQUESTED THUS FAR …

From the pull-down menu at sec.gov (when you’ve retrieved the REMIC’s files), print and save the list of all of the documents that have been filed with the USSEC on that particular REMIC. This should not be considered as over broad and burdensome to the USSEC since all of these files are contained within the USSEC’s database. They can easily be retrieved and the fee for sending it all to you is $4.00 in postage.

In this particular example, the pull-down menu, which was printed out in full, contained 19 documents, all of which became part of the request for production under subpoena.

You can either ask for all of these documents (that are contained within the USSEC’s files on the REMIC, which in this case was 19) outside of a lawsuit if you wish to get an advance look-see at everything. That’s an option if you don’t want to subpoena the records from the USSEC. However, there’s more to the story than what we’ve covered so far. This is where the subpoena comes in with the double whammy. A lot depends on the timing of the request and whether you’re attacking the servicer ahead of the foreclosure. You’ll want to depose someone with direct, first-hand knowledge of the REMIC you’re going after.

And here’s step two:

Get the court clerk to issue a subpoena to the USSEC to get them to produce someone with relevant knowledge of the documents that can verify and validate any violations of the governing regulations of the REMIC trust. (Again, this is framed as a suggestion and not given as legal advice!)

Inside of the subpoena, you can demand the USSEC check ALL of its records and produce whatever it has, in certified form, for the following (and this is just a sample):

Submit complete and true certified copies, if any you have in your possession or control, of all notes, memoranda and agreements for any certificateholder settlements known to the USSEC for  2004-NC3. 

Submit complete and true certified copies, if any you have in your possession or control, of all known litigation filed by any certificateholder, known to the USSEC for  2004-NC3. 

Submit complete and true certified copies, if any you have in your possession or control, of all known USSEC-related prosecutorial actions taken against 2004-NC3. 

Submit complete and true certified copies, if any you have in your possession or control, of the mortgage loan documents which name the Plaintiffs as the Borrowers that demonstrated that the trustee of 2004-NC3 received the documents described on Page S-75 of the 2004-NC3’s 424(b)(5) Prospectus according to the stated governing regulations. 

Submit a complete and true certified copy, if any you have in your possession or control, of any document that demonstrates the negotiation or transfer of the Plaintiff’s mortgage loan and all related documents therein, which specifically identify the date these mortgage loan documents, including all assignments of mortgage (or deed of trust) thereto, that were documented as part of the transfer from the Depositor to the REMIC trust by the trust’s Cut-Off Date.

You’ll want to review all of the trust’s “FILED” documents first, because the Amendments inside of those REMICs may reveal changes in the number of certificate holders receiving the 8-K’s and 10-K’s and may further reveal the actual “condition” of the REMIC before and after it closed. You’ll need this information for the next step.

Rule #2: You cannot depose a non-party to the suit without relevant cause!

This is a great way to get the mortgage loan servicer’s attention because if the REMIC trust settled out with all of the certificate holders, then the mortgage loan servicer, the real party bringing the foreclosure, has no standing because it can’t prove concrete injury-in-fact required under Spokeo v. Robins. Thus, it has no standing to pursue a foreclosure. And it’s going to fight you tooth and nail to keep its position in the suit because it wants to steal your property.

Don’t expect the mortgage loan servicer and its attorneys to sit idly by while you depose someone with knowledge of the particular REMIC trust. They’ll have their attorneys in the deposition, so you’ll have to craft your questions in such a way so as to expose the bad behavior on the part of the servicer’s employees when it comes to having the USSEC deponent examine the recorded assignment(s), specifically for:

  1. Who prepared the assignment? (Was it the law firm or the servicer’s employees?)
  2. Who executed the assignment? (Was it someone who wasn’t really who they said they were?)
  3. When was the assignment executed? (Well after the Cut-Off Date of the REMIC trust?)
  4. When was the assignment recorded? (Well after the Closing Date of the REMIC trust?)
  5. What do the governing regulations for this particular REMIC state about Assignment of the Mortgage Loans? (Is it obvious to the USSEC deponent that the regulations were violated?)
  6. Has the USSEC ever been notified by anyone to investigate this particular REMIC trust?
  7. Does the USSEC have any records of whether or not a credit default swap counterparty paid the certificate holders in full?
  8. Does the USSEC have any records of whether or not any default insurance policies paid the certificate holders in full?
  9. Does the USSEC have any records of whether or not there were any settlements wherein the certificate holders were paid in full or in part; thus settling any future payments due to them?
  10. Has the USSEC ever investigated this REMIC for any securities violations or irregularities?

In other words (and this is just a smattering of all of the questions to be asked of your USSEC deponent) … you’re trying to get the USSEC deponent’s attention to the fact that he/she can testify as to the fact that none of the governing regulations for the REMIC were complied with and that under New York Trust Law, they are void. Any question relevant to violations of the REMIC’s governing regulations would require a statement from the USSEC deponent that could be inferred to be a conclusion of law and the other side will object, but the comment will still go on the record, where the judge can see it.

This is a direct way to get someone in authority to see the assignments as fraudulent and to initiate a potential investigation, both civil and criminal, which may force the mortgage loan servicer to back off rather than run the risk of an exposed criminal prosecution.

You want the judge to see the REMIC for what it is and what the servicer is actually trying to do. Because most judges think they’re pensions are tied to these REMICs, to discover that the REMIC has been closed and the certificate holders paid would mean that the servicer (who has no contract with you) can triple-dip by stealing your home and that the judge doesn’t have to worry about his pension is going to be affected by making the proper ruling and kicking the mortgage loan servicer out of court.

If the investors (certificate holders) settled the case with the REMIC and accepted payment in full, how then can they come into court and claim they were financially harmed? They can’t … that’s the point. They’d have to prove they were damaged and if they got an insurance settlement and were paid in full, they weren’t damaged; thus, the mortgage loan servicer would be potentially committing fraud on the court to attempt to introduce evidence to the contrary.

Remember, in order to issue a subpoena, you have to file suit. You can use the SEC’s own forms to request all of the documents contained in the REMIC’s file for the shipping fee and they will send them certified (outside of the litigation); however, that takes time and doing it outside of litigation means the court has no control over the outcome of the request for anything from the USSEC. The fees for deposing a single party or entity these days is $3,000 – $5,000 depending on where the deposition takes place. However, if you’re trying to protect a million dollar property, no stone should be left unturned.

Again, this isn’t legal advice. It’s just plain common sense.

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Vindication Comes In Small Packages

(BREAKING NEWS) — The author of this post is also the author of the Forensic Examination of the Osceola County, Florida public records. The Examination was conducted in July of 2014 by an 8-member team, with the information compiled and delivered to the Osceola County Clerk of the Circuit Court, Hon. Armando Ramirez (now retired) by the author of this post on December 30, 2014 by DK Consultants LLC of Texas. The examination was supervised by a bar-licensed attorney, Allen D. West, Esq. (Redondo Beach, California) and paid for out of Osceola County funds. The results are made a part of this post. This is a report, not an indictment; however, the author has been getting calls from attorneys and homeowners all over the U.S. who have downloaded this report and discovered similarities between the information contained in this report and their own legal scenarios. The author of this post serves as a consultant to homeowners and their attorneys in foreclosure and title matters.

NOTE: The report does not constitute legal advice and the exhibits that were attached to this report are voluminous; thus, any request by the readers of this post for viewing of the exhibits should be sent to cloudedtitles@gmail.com. Because some of the exhibits are NOT in PDF format, there may be a charge assessed for procurement of certain exhibits.

The reason for the article on vindication is due to recent events occurring within a court case in the State of Kansas in the U.S. District Court, Wichita Division, where the Osceola County Forensic Examination was cited, under protest, with a motion to strike made by attorneys for the Bank of New York Mellon, which was denied by the Court. This means the Osceola County Forensic Examination sticks as evidence in the case. Needless to say, the lawyers for BONY Mellon were not happy. The Amended Complaint is shown below:

The interesting thing about court cases is that homeowners get discovery. The author of this post sees certain things he would have suggested been done differently. The author is expecting a call from chief counsel for the Plaintiffs. This attorney (at one time) was the U.S. Attorney for the District of Kansas, so he clearly understands the national gravity of the gravamen of this case.

This is not the author’s only audit of county land records. See below:

Ever since the 49 states attorneys general inked an agreement with the mortgage loan servicers, who were found to be the overseers of the suspect document manufacturing that most homeowners and their attorneys deem suspect, not soon after the ink was dry the servicers started up these fraudulent practices again. The only thing servicers understand is the threat of jail time. They have so much in their war chests they can fight multiple lawsuits in multiple venues. This worked in a case this author put together for an attorney in Florida, where the Lee County Circuit Court judge was directed (through a prayer in the pleadings) to order the Clerk of that Circuit Court to produce certified copies of the assignment of mortgage and power of attorney and submit it to the State’s Attorney for criminal referral and investigation. Soon after the counterclaim was filed, the homeowner’s attorney moved for depositions of the Defendants (the actual author, signer and notary of the assignment). This prompted a move by the servicer’s attorney to move for a settlement, which included a withdrawal of the counterclaim with prejudice. What scared the servicer and its attorney is that they faced implications as accessories to the fraudulent documents complained about. The actual complaint was only 11 pages, plus 6 pages of exhibits. Do you think a judge would actually be in favor of reading such a short complaint? Easily explained. Easy to get through. No bitching. Just stated facts supported by two publicly-recorded documents and citations of the law supporting the action and requests for criminal referral. THAT is what scared the other side into submission.

By virtue of the fact (Paragraph 67 of the Amended Complaint shown in this post) that the Osceola County Forensic Examination was cited and allowed to remain in the complaint (which didn’t go far enough (IMHO) in going after the actual perpetrators themselves) clearly demonstrates vindication for all the crap the author and his team took in bring the Forensic Examination to light. The Kansas Court chose to recognize the report’s value, even though the bank’s attorneys referred to it (similarly to what Florida attorney Matt Weidner referred to it as on an Orlando TV station interview) as, “not worth the paper it was printed on.”

Again, the similarities contained in the report and the assertions made of the suspect fraud contained within the records themselves was enough to convince a federal judge to allow the report to remain on the record. Again, the 758-page report is a “report”, not an indictment. It was a legitimate report, considered fully legitimate by the Clerk of the Circuit Court of Osceola County, Florida, to be published on his website during his tenure in office. That report and the attorney opinion letter accompanying that report is still on the Clerk’s website, even though the Clerk changed hands when Hon. Armando Ramirez (84) retired. The new Clerk, Kelvin Soto, kept the documents in place, including the warning about filing false documents that pops up on the website (osceolaclerk.com) when you access it, which the author of this post helped to draft. Whether the filing of fraudulent documents in that county’s records still continues would be the subject of another forensic examination.

This is one of the reasons that this post’s author and attorney Allen D. West, Esq. taught a class in Las Vegas on The C & E on Steroids! which contains a book and an 8-DVD educational set with accompanying notes and templates on how the author and attorney West constructed the actual declaratory relief complaint. There are only 18 copies left of this kit (hint, hint). This author will not reprint any more of them. Those who are serious about pursuing this option will entertain its legal value.

Every aggrieved homeowner wants to see the signers of these fraudulent documents “hung from the gallows”; however, this will not happen unless you actually make the signers and creators of these documents themselves actual targets. They will “sing for their supper” and rat out their supervisors if put in the hot seat. It’s a small price to pay to see justice done, isn’t it? If you want to see a potential criminal RICO action spawn out of something so trivial, then entertaining an option like this might be well worth your time, effort and expense.

Most people don’t care about a single homeowner’s foreclosure action; however, this case in chief is not that. The homeowners paid off their mortgage! It’s WHO they paid is what’s at issue. They may have paid the wrong party! They can’t even get a legitimate satisfaction of mortgage! A title company examiner claimed their recorded release was suspect! How can they have marketable title? No reasonable person would buy their home, knowing that the wrong party might have been paid and that another party could come back in the future and attempt foreclosure on that same property. Slander of title is an actual damage. A criminal referral within such a case is more than just a slap on the wrist to a mortgage loan servicer. It’s damning and could open a Pandora’s Box the likes of which the servicing industry has yet to see but is all to necessary to vindicate everyone whose mortgage loans were securitized.

The foreclosure mess created by the banks is still plaguing the courts. The political corruption within the court systems in America continues to be exposed with the challenge by homeowners of each of their foreclosure cases, even bringing forth corrupt justices who continually side with the banks despite the overwhelming evidence of suspect documents being offered. The number of lawsuits, according to L. Randall Wray, Professor of Economics at the University of Missouri-Kansas City (in his past article, “Memo to Banks: You are Toast”), has exposed the fact that “the banks are getting sued from here to Pluto by homeowners, soldiers and sailors, Fannie and Freddie, PIMCO, the NYFed, and just about anybody with access to a lawyer. And, increasingly, the banks are losing.”

Even though this article was published in 2011, the suits continue and banks don’t want to lose more cases. They would rather settle than create bad case law for themselves. Can you blame them for not wanting to go to jail in addition to pay out fines and restitution. The day of real judgment is coming.

Vindication, no matter how small, is still sweet.

Dave Krieger is also a national talk show host on The Power Hour, which airs Monday-Friday from 11:00 a.m. to 1:00 p.m. (Central Time) on radio stations across America, as well as rebroadcasted worldwide on shortwave (7.490 mHz) and streaming live on The Power Hour’s website. Programs are archived daily on the website.

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Conspiracy? Maybe Not!

(OP-ED) — The author of this post is a paralegal and investigative journalist whose effort to uncover the truth about foreclosures has led him to author several books on the subject. All of these works, including this article, are posted for the sake of educating the public as to what is really going on and how the deck is stacked against homeowners as the county land records “take a beating” in trash, suspect documents.

WILL THE MORATORIUMS EVER END?

Of course they will … the U.S. Supreme Court just ruled (6-3) against the Biden Administration’s revised version of the CDC-imposed moratorium. You knew it would happen at some point. It makes no difference WHO puts down moratorium rules and for what reason. The U.S. Government always has an “end game”, whether it makes any sense or not … and whether it’s legal or not. The CDC enacts a moratorium and the “person in charge”, who appears to have the “mental acuity of a 2-year-old”, has to ask constitutional lawyers if what he is doing is legal. It has already been ruled by the U.S. Supreme Court that the CDC has no authority to declare a moratorium, yet the U.S. Government does it anyway, simply because it can. If no one says anything, the government and its bureaucratic hierarchy get away with it. And landlords continue to suffer while deadbeat tenants continue to enrich themselves at their expense. Is that fair? Oops. There goes that liberal term “fair” again. Hell, the author can’t even use the word “equitable” here because there is none.

Being a landlord is a business. Landlords have to go out and create wealth using real estate, by whatever means necessary. Some landlords abuse the system by artificially creating wealth to expand their rental basest the expense of tenants. Some landlords truly deserve the name “slumlords”, chiefly because they let their “investments” deteriorate. In the end, someone ends up complaining and the landlords eventually wind up in court, attempting to explain themselves and their degenerative behaviors.

Being a mortgage loan servicer is big business too. Many landlords go out and borrow money to finance homes they intend on renting out. As each home is rented and paid down, the landlords gain equity; however, when tenants don’t pay, landlords can’t pay, and mortgage loan servicers end up “doing their thing”, so long as the government says so. To make the truth plain and simple, because of moratoriums and lockdowns imposed by our government, whether rational or not, at the end of the day, when the moratoriums go away, homeowners who are behind on their mortgage payments aren’t the only ones that are going to be foreclosed on. Landlords who have been struggling trying to keep up with their mortgage payments on their rental properties occupied by non-paying tenants are also going to fall victim to the mortgage loan crisis.

When you interrupt the rental supply chain with “protocols” and “regulations”, things go to hell in a hand basket in short order. That goes for any essential operating parts of machinery needed to keep the supply chain running that cannot be imported because of COVID protocols or for any other excuse the government deems important (imposed by the “do as I say, not as I do” bunch). In any case, the bigger hedge funds, like BlackRock and Vanguard, are all on stand-by with their claws out, ready to swoop down and buy up as much foreclosed real estate as they can feasibly get their hands on. To cover up their tracks, they will (as they currently are doing) use “shell” companies to purchase available properties they can buy up to turn into rental properties. Could this be some sort of conspiracy? Maybe not. Before you sell your property to one of these entities, look them up in the Secretary of State’s database. It may surprise you as to what you find.

THE MEANS TO AN END

There has to be a “method to the madness” (as it were) in order to accomplish the task of depleting Americans of their wealth. Nationalizing the rental market in the hands of a few is one way. If the government and the banks and their henchmen can use the court system to achieve this goal, they’ll do it by any means possible, just like they have since the 2009 foreclosure crisis began. By 2015, there was a lull in the crisis … and it appears that many foreclosure mill law firms ran out of properties to foreclose on and faded into the woodwork. Since the eviction moratoriums were imposed at the beginning of the first quarter of 2020, foreclosure mill law firms have started to reform and are preparing for another onslaught against homeowners, en masse, as soon as the self-proclaimed moratoriums end.

Enter the mortgage loan servicers. In order to achieve foreclosure, the law firms prosecuting these foreclosures (in the civil realm) have to have help. The land records, as screwed up as they are most of the time, don’t reveal the naked truth. Thus, the mortgage loan servicers have to step in and move the process along, by recording trash, suspect documents to avail themselves and their alleged “lenders” of standing to foreclose so the foreclosure mill law firms and their shills have something to argue to the court to win rulings in their favor. The unsuspecting homeowners, who up to this point may or may not have enjoyed their “reprieve” from being kicked out of their homes, don’t even bother to go to the land records in the county their property is located in and check to see what has been “recorded” (NOT FILED) by the mortgage loan servicers. They’re too busy enjoying what’s left of their “destiny”. Or maybe they are sweating bullets, but too preoccupied to go check the records before the SHTF.

In March of 2012, the mortgage loan servicers entered into an agreement with 49 States’ Attorneys General and promised NOT to trash the land records with suspect documents. No sooner did the ink dry however, the mortgage loan servicers were back to business, continuing the process they were so good at in facilitating the 2009 foreclose crisis … creating false documents and causing them to be recorded … slandering one property’s title after another.

In October of 2012, DK Consultants LLC out of Texas was retained by the Williamson County Clerk to come into the courthouse in Georgetown, Texas (inside of a locked basement office occupied also by the Clerk’s deputies) and conduct a “cursory audit” of documents the Clerk (Nancy Rister) and her deputies had culled from the county’s land records. In January of 2013, a report was presented to the Williamson County Commissioner’s Court (behind locked doors with sheriff’s deputies standing guard), while the consultant, his attorney and the County Clerk presented their findings to a somewhat stunned county commission. The commissioners had no idea their even their own records were looked into to see if they were affected and some of them were surprised to find out that “suspect” documents existed in their own back yards!

In July of 2014, DK Consultants was again retained to investigate and compile data from the Osceola County, Florida land records. Due to previous suppositions formed out of the Williamson County Real Property Records Audit, the team, which consisted also of a foreclosure defense attorney (Al West), began a 4-day arduous task of compiling certified copies (in a hotel meeting room in Osceola County, with direct access to county land records supplied by the county’s IT department) of what appeared to be “suspect” recordings of trash documents. On December 30, 2014, a 758-page report (Osceola County Forensic Examination), accompanied by an attorney opinion letter, was released to the Osceola County Clerk of the Circuit Court (Armando Ramirez) containing the findings of the examination, accompanied by 17 bankers boxes of certified documents that the team deemed as suspect.

As in the previous audit, the media again swooped down to have a “field day” in an attempt to “shoot the messenger”, because a definite “pattern” of behavior had emerged and had become evident and exposed in the report. The evidence wasn’t pretty; however, this was a report and not an indictment. This was investigative work. This wasn’t a grand jury. Some foreclosure defense attorneys, like Matt Weidner, went on camera and scoffed at the report, not bothering to notice the attorney opinion letter, stating the report, “wasn’t worth the paper it was printed on.” As a result of that interview, people reading Weidner’s blog posts slammed his ass good for defaming the report.

In the weeks and months that followed, the author of the report (the author of this post), received dozens of calls from attorneys and law firms who obtained a copy of this report from the Clerk’s website, wanting more information, commenting that they were seeing the same patterns of behavior that the report evidenced in their cases. Could this be some sort of conspiracy? Maybe not.

THE LAND RECORDS DON’T LIE

The pattern of behavior that was exposed since the reintroduction of securitization into the American economy (through the repeal of the Glass-Steagall Act) is still made manifest today. The pattern of trash document manufacturing started and continued by the title companies (as early as 2002) and their employees and third-party document mills retained to keep the pattern from being identified through expanded “arms length transactions” was set into motion. As time progressed, it became more evident that the blatant attempts to “connect the dots” within the chain of title became more ominous in nature as the mortgage loan servicers themselves decided to partake in the game of document fabrication (from around 2004 and beyond). The use of “MERS” (Mortgage Electronic Registration Systems, Inc.) became popular as 5,500+ subscribers to that system (including the Secret Service and the FBI) made use of that database to log in and enter data they owned, inputting their data which identified a long string of promissory note transfers from entity to entity which affected each reported mortgage loan.

In order to “tie off loose ends”, something had to be done to make the land records “jive” with the actual transfers of the promissory notes; thus, MERS became an uninvolved “player” in the game of trash assignments. But the pattern of behavior (by 2009) had become more predominant, when the foreclosure mill law firms themselves became involved in the document manufacturing. Vis a vis discovery, it was further made manifest that the mortgage loan servicers and the law firms that were involved in the creation of these trash documents were connected via what are known as “servicing platforms” (i.e. VendorScape, ServiceLink, etc.), wherein the law firms and their employees could communicate through these platforms with the mortgage loan servicers, to create plausible trash documents that would attempt to “match up” with the alleged “path” the note traveled in an effort to bat clean-up to whitewash the securitization process and make the attorneys’ stories to the judge more plausible.

Homeowners in many counties who discovered the discrepancies in their land records (many of whom found themselves facing foreclosure) complained to the county clerks and recorders of what they found when they obtained copies of what was recorded in the official property records in their respective counties. This is how the county clerks and recorder and registers of deeds became aware and thus involved in identifying just how serious and widespread this trash recording system had proliferated the entire country. Soon other clerks and recorders were looking into their records and to their amazement, this same pattern emerged out of their own back yards. Sadly, many clerks and recorders “stuck their heads in the sand”, while others did not and became very vocal about it, even filing lawsuits against MERS and the mortgage loan servicers and banks they claimed were responsible for the mess.

Based on the direct involvement and research and collective meetings with foreclosure defense attorneys, clerks, recorders and registers of deeds over the matter, the author of this post soon put together Clouded Titles … now in its Mayday Edition (432 pp.) and as that book started to circulate, even judges and court officials became aware that people were “taking notice” and writing about it. One federal magistrate chuckled when this author gave him one of the initial copies of the book, recognizing why MERS was trying to have him (the author) ejected from a federal settlement conference in Kansas City in 2011. All the judge had to do was look at the title and he “got it”.

The judges in today’s system are very much aware of the trash document problem. However, because the banks donate money to their election campaigns, judges are reluctant to acknowledge the document’s negative effect on any given property’s chain of title. They’re more concerned with who has the promissory note; no matter how the “ends were tied together” to make the foreclosure mill attorney’s “story” more plausible. It didn’t matter. And homeowners, relying on foreclosure defense attorneys (many of whom were clueless as to the real issues), faltered through their foreclosure cases which ended up in the homeowners being kicked out of their homes. Most common judicial answer given … “We can’t hurt the banks.” As in the previous audit, the media again swooped down to have a “field day” in an attempt to “shoot the messenger”, because a definite “pattern” of behavior had emerged and had become evident and exposed in the report. The evidence wasn’t pretty; however, this was a report and not an indictment. This was investigative work. This wasn’t a grand jury. Some foreclosure defense attorneys, like Matt Weidner, went on camera and scoffed at the report, not bothering to notice the attorney opinion letter, stating the report, “wasn’t worth the paper it was printed on.” In the weeks and months that followed, the author of that report (the author of this post), received dozens of calls from attorneys and law firms who obtained a copy of this report from the Clerk’s website, wanting more information, commenting that they were seeing the same patterns of behavior that the report evidenced in their cases. Could this be some sort of conspiracy? Maybe not.

ATTACKING THE PROCESS

In examining the land records, the author of this post (who has examined thousands of such records) had to take the emotion completely out of what he was seeing in the examination of each document. One would have to realize there indeed was a “fact pattern” that had emerged in order to recognize and identify the culprits. One would have to have certain investigative knowledge of how the mortgage loan servicers retained independent contractors and support bases of employees who did nothing more than create, execute and cause to be recorded the successive chain of nonsense that (to this day) continue to show up in every foreclosure case on the planet as “evidence”. This is exactly what California attorney Al West learned in an interview with one of the independent contractors that worked at the Bank of America Simi Valley “document manufacturing plant”.

Homeowners need to become aware of what is in the land records. The reason that the clerks’ offices have “deputies” is to help homeowners locate these records (if they need help). One who is of the mindset to be educated on attacking the process first has to “get the goods” by paying for copies of every recorded document since they owned the property and analyzing their chains of title and how each document in the chain applies to their given scenario.

The commonality that these trash documents all share in today’s times is that multiple parties were involved in the creation, execution and recordation of these suspect assignments, substitution of trustees, notices of default and sale and notices of lis pendens. Each false recording slanders title. That is a given. There’s no getting around it. It then becomes the responsibility of the homeowner to identify WHO slandered his title, while keeping their emotions in check. If you, the homeowner, were pissed because of what you found, you can’t think straight and your final analysis will be flawed because you will miss important “markers”.

This author wrote about all of those “markers” in his book Clouded Titles, now in its Mayday Edition. Nothing has changed in the nature and scope of the way these documents are produced; however, the method by which you can attack them in court has become a little more refined. This author is not going to get verbose here; however, there is a full DVD-training kit, along with a manual of sample pleadings that this author used to successfully get rid of a trash document in a land record in Florida, which is included in The C & E on Steroids! … also available for your educational benefit.

The key here is to attack the document when it first appears in the land records. If you wait until the foreclosure process has started, you’ll find your action consolidated by the court into the foreclosure case and thus, a foreclosure court judge will be hearing the matter instead of an unbiased county court at law judge. Thus, checking the land records if you even think you’re going to get behind in your mortgage payments would be more than prudent at this point … and keep checking every week … because you never know when the S is going to HTF.

YOU CAN BE YOUR OWN SUPER SLEUTH!

A word of encouragement is offered here, because homeowners this author has interviewed are fighting back. One homeowner in Florida is in Year 13 of his litigation. He has been scoffed at by judges, intimidated by bailiffs, trashed by foreclosure mill attorneys and deceived by the federal court system. Yet, he’s still at it … he has the house rented out and is still fighting the foreclosure … largely in part because he chose to keep researching and investigating his case.

Again, this author has a subscription to Been Verified. This is probably the most affordable tool to researching individual players “in the game”. It’s amazing what you can find out about bank employees, mortgage loan servicer employees and third-party document hacks and notaries. Using the secretary of states’ databases can help you track notary commissions and read up on the rules. DO NOT CONTACT THE PLAYERS THEMSELVES!!! Yes … the author knows that if you’re a pissed off homeowner, the propensity to “reach out and touch someone exists”; however, a caveat here: You risk killing your case if you attempt to contact those whom you are investigating. It’s amazing that in one case, a California homeowner and his attorney are still trying to find former Nationwide Title Clearing (Palm Harbor, Florida) employee Jessica Sheetz. She keeps “relocating” every time the process server gets close. She got tipped off because someone called her employer, inquiring as to her employment status. It takes only one simple phone call to screw your case permanently … so avoid the temptation.

Public records are also a great way to track corporations. Most of the websites will allow you to download copies of their corporate filings. You can also go to sec.gov or subscribe to secinfo.com to track documents that might show you mergers and acquisitions between firms.

Hell … this author found out (through his Austin attorney) that the law firm of Brice, Vander Linden & Wernick was dissolved 3 weeks after the Williamson County Real Property Records Audit was released and made public. That law firm was named in the report multiple times, which, upon discovering their mention in the audit, faded into the woodwork to avoid scrutiny. Talk about having an impact! Stuff like this doesn’t happen every day; but when it does, you bask in the thought you might have made a difference in someone’s life.

As a footnote … this author is contemplating doing another live foreclosure defense workshop in a “free state” (that means a Red State), where you can travel (for the moment) without having to worry about vaccine mandates and mask wearing and freely exchange ideas and learn new tactics for staying in your home for simply being proactive.

Of course, we recommend that if you’re sick, you have enough smarts to stay home and watch the program in limited view on live stream and take notes. Again, your thoughts and comments are welcome.

Remember, “they” win when YOU give up! Your comments are welcome as to the proposed workshop! The author will attempt to have attorneys present that can answer legal questions as we explore the simplest ways to extend the life of your stay past any moratorium (and maybe even win your case)!

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Filed under OP-ED, Securitization Issues