February 6, 2016

THE WAGES OF FRAUD:

HSBC fined $470m in relation to its mortgage practices during the 2007-2009 American housing crisis (Kedar Grandhi, February 6, 2016, IB Times)

New York attorney general Eric Schneiderman said: "There has to be one set of rules for everyone, no matter how rich or how powerful, and that includes lenders who engage in abusive business practices. The settlement announced today is a joint partnership that will create tough new servicing standards that will ensure fair treatment for HSBC's borrowers and provide relief to customers across New York State and across the country."

Of the total fine, $100m will be paid to the authorities and the remaining $370m will be provided to borrowers and homeowners. Kathy Madison, chief executive of HSBC Finance Corp., welcomed the move saying: "We are pleased to have reached this settlement and believe it is a positive result that benefits American homeowners and the US housing industry."

All the bailout money should have been used to pay off borrower debt as well.
Posted by at February 6, 2016 7:29 AM

  

« GREATEST WAR EVER: | Main | OUR UNICORN RIDER: »