Wednesday, January 19, 2011

Bank of America fears information Wikileaks retains

B of A wants no part of the trouble Julian Assange claims is stashed away in an encrypted digital file that might uncover potentially corrupt practices to the world. According to PRWatch, B of A is indeed in Wikileaks’ sights. Accounts indicate that Wikileaks is poised to reveal Bank of America’s corrupt practices in relation to; dangerous home loans, unlawful foreclosures and bailout money being used to fatten employee bonuses. If there is any truth to these rumors, it makes you wonder why Bank of America didn’t just take out a unsecured loan without using government money.

Possibility that B of A and toxic mortgages could be proven by Assange

B of A is being sued by numerous private investors and large scale lenders like Fannie Mae and Freddie Mac. These businesses want billions of dollars in toxic mortgage-backed securities to be bought back by B of A. While B of A did stop issuing its own subprime mortgage loans in 2001, PRWatch indicates that the bank still underwrote $239 million in securities back by subprime loans as late as Sept. 2009.

It is suspected that within the encrypted insurance file, Julian Assange and thousands of other individuals who have a copy of the file (minus the decryption key) are holding copies of e-mails that prove Bank of America executives knew they were passing off toxic mortgages to investors. If this is true, B of A will likely need much more than the $4.4 billion presently set aside to deal with its slate of toxic mortgage lawsuits.

Bank of America's alleged illegal foreclosures and bonuses

Illegal foreclosures – particularly of the wrong homes – have been one more thorn in Bank of America's side lately, although the bank has attempted to shift blame to the contractors it uses to perform the home seizures. Bank of America could have broken the law if Assange can prove the bank signed thousands of foreclosure documents without viewing them first.

Add to this the list of claims Bank of America still faces after the Countrywide subprime debacle, and also the corporate bonuses taken from bailout money and Bank of America could be in severe trouble.

Articles cited

New Statesman

newstatesman.com/blogs/the-staggers/2011/01/china-wikileaks-assange

PR Watch

prwatch.org/node/9871

‘An ecosystem of corruption’

youtube.com/watch?v=Cd_eeXnHcQo



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