Schneiderman Boldly Steps in to Haul Up Banks for Military Foreclosures
Photo by Taberandrew
The banks have transgressed federal law in foreclosing on military personnel while they were on active duty. The judiciary knowing the depth of the offence to be criminal has not even accused them of wrongdoing but is now trying to cover it up with settlements. Eric Schneiderman has boldly stepped in to haul up the banks for military foreclosures armed with a plethora of state laws.
The banks have transgressed the Service members Civil Relief Act that protects those serving abroad from having to attend court due to property matters. It also forbids the banks from taking high interest from the military.
Even the bank-friendly OCC found 500 instances of banks breaking this rule. The banks have admitted to this wrong before the Congress in open testimony. It tantamounts to criminal offence and imprisonment but the government and judiciary have been silent.
With Schneiderman jumping into action even the Congress and some of its members are getting roped in. Routine foreclosure of ordinary folks can be tolerated but not foreclosure of military personnel.
The entire operations have been a blatant disregard for this law that has been running without a break since the time of World War I. The Service members Civil Relief Act is not vague but absolutely clear. Anyone or entity harming the interests of the military who are fighting for the nation and triying to trip them in courts will be facing trouble.
If there is such a claim against a military person then the claimant will have to wait until the service person returns home and defends his or her cause.
The SCRA is not just a legal clause that is gathering dust in judicial archives causing the mortgage industry to overlook it. The servicers who did the foreclosing were all hand in glove with the mega banks and highly specialized. Their work is servicing mortgages and as such they do not have to navigate through multiple laws.
They should have known what the law expected from them but instead they knowingly ignored the law and came to the decision that just like they were doing with others it would be okay to file false affidavits with the military too.
The persisting failure to follow up criminal charges while faced with obvious transgressions of criminal law is crippling the faith of Americans in the government of the country and democracy in general. If there is real democracy then none is above prosecution.
