B.L. Zebub – Page 2 – Querin Law, LLC | Phil Querin

Once again, the best and brightest minds in the banking, servicing, and title industries are on yet another conference call discussing the latest events in the ever-changing legal landscape of Oregon foreclosures. Although Belial Bank’s President and CEO, B.L.Zebub, believes that the sun, moon, and stars are lining up in their favor, he still has nagging doubts about the best way to foreclose Oregon homeowners. These doubts spring not from the conscience, but the pocketbook. Accordingly, he has convened his trusted cronies to decide whether to foreclose Oregon homeowners judicially or non-judicially. In attendance are B.L., his honest but naïve legal intern, Les Guile; title industry hand-wringer Liz Pendens; and her nemesis, Dee “Take No Prisoners” Faulting, of the default servicing industry; Damian Faust, Belial’s lead counsel and hatchet man; and lastly, the Bank’s chief schemer and PR man, Kenneth Y. Slick III (aka “KY”). B.L.’s loyal secretary, Lucy Furr, has dutifully transcribed this conversation. As in the past, I am prohibited from revealing the source of this purloined post. – PCQ

B.L. Zebub: “Hello all! The last time we held a conference call, it was triage time at the bank. We had been staggered by a couple of Oregon court rulings, McCoy and Hooker, that made us think we’d have to re-foreclose Oregon homeowners all over again – not that they don’t deserve to be foreclosed twice as a good lesson for not making their payments! Ha! But lately, we’ve seen our fortunes change. Damien, why don’t you fill us in on some of the details? Are we finally at the bottom of the 9^th inning yet?”

Damien Faust: “Well, maybe. It’s true, we scored a couple of runs for the home team. These were the Beyer decision and the James decision. The Beyer opinion is a good example of what can happen when borrowers represent themselves; the judge drinks the banks’ Kool Aid that is served up in the form of legal arguments that remain largely unopposed. But who’s complaining?! In this case, the judge actually concluded that MERS was a “beneficiary” under Oregon law because it was entitled to “benefits” – i.e. the right to receive the loan payments under the promissory note. Specifically, he said that “One right of the lender is to receive payment of the obligation, so this clause must grant that right to MERS as well.” The amazing thing is that MERS itself has never argued that. If someone sent MERS a mortgage payment, they would toss it back to them like a hand grenade without the pin.”

Les Guile: “Excuse me, Mr. Faust. I’m not sure I understand. How does the court read into the trust deed a right to receive payments under the promissory note, if MERS itself says it doesn’t accept borrower payments?” Continue reading “Judicial or Non-Judicial? Belial Bank Debates How To Foreclose Oregon Homeowners – Part One”

On April 13, 2010, the Office of Comptroller of the Currency (OCC), together with the Board of Governors of the Federal Reserve Board (FRB), and the Office of Thrift Supervision (OTS) announced that it had commenced enforcement actions against 14 large residential mortgage servicers and two third-party vendors for improper practices arising out of their mortgage servicing and foreclosure processing during the years 2009 and 2010.

As a result of the investigation, consent orders were entered into by the 14 servicers and vendors. Independent consultants have now been charged with evaluating whether borrowers suffered financial injury due to these improper practices. The consultants are empowered to evaluate whether and to what extent certain remedies would be available to the consumers who suffered injury. If appropriate, financial compensation may be ordered.

The 14 servicers and vendors are the following: America’s Servicing Company; Aurora Loan Services; Bank of America; Beneficial; Chase; Citibank; CitiFinancial; CitiMortgage; Countrywide; EMC; Everbank/Everhome; First Horizon; GMAC Mortgage; HFC; HSBC; IndyMac Mortgage Services; Metlife Bank; National City; PNC; Sovereign Bank; SunTrust Mortgage; U.S. Bank; Wachovia; Washington Mutual; Wells Fargo.

Most of us know of one or more folks who’ve had some pretty bad experiences with banks. If so, pass this information along to them. Here are two links for them to visit for more information: IndependentForeclosureReview.com and http://independentforeclosurereview.com/faq.aspx.

The deadline for aggrieved borrowers to request review is April 30, 2012.

PCQ Comment. Given the abysmal reputation that the Big Banks have for transparency, one has to question the efficacy of this latest effort at “Peace and Reconciliation.” The independent reviewers may be selected by the banks themselves – with the consent of the regulators. There is a suspicion that those selected will be the same companies with whom the banks already have a business relationship with other review and auditing functions. As reported in American Banker:

“Allowing the banks to choose their own judge, jury, and jailer presents almost untenable conflicts of interest. All of the consulting firms that were initially being considered to do the work serve the banks already. The banks, and their mortgage servicing operations, are existing or prospective clients.

PricewaterhouseCoopers, for example, is the auditor for Bank of America and JP Morgan Chase, two of the fourteen servicers under scrutiny. PwC’s retired Chairman, Sam DiPiazza, is an executive of, and on the board of, Citigroup, another bank with a servicer to be reviewed. Promontory Financial Group and Treliant Risk Advisors are professional services firms that serve the mortgage servicers directly on other consulting assignments.”

News of this event hit the Internet in June, 2011. If so, why is it only getting attention now? As we learned from Belial Bank’s Chief Lobbyist, Kenneth Y. Slick, or “KY” as he likes to be called:

K. Y. Slick: “Guile, you seem to forget, we’re “too big to fail.” We don’t have to show weakness to get our way. We’ve got friends in high places. The Office of the Comptroller of Currency is in our pocket. Hell, they’re run by one of our former lobbyists! So while they pretend to be angry at us, we plead with them to do anything they want, so long as they don’t throw us into the briar patch. Didn’t you read about our latest ruse? On June 30, the OCC posted a bulletin on the Internet, requiring all the big servicers to undergo an examination of their practices, from documentation to notarization. But the catch is that we get to do the examination ourselves! Yeh, ‘self assessment.’ And after our period of mandatory introspection, we’re supposed to report any deficiencies we see in our practices. Ooooh! Scary stuff! This reminds me of my sophomore high school lit class, when the teacher let us grade our own papers! So, in short Guile, we don’t need to go down the path of self-righteousness. We have might on our side, and from where I come from, ‘Might Makes Right.’'” [For a revealing look at the entire conference call, click here. – PCQ]

So, time will tell. There is intriguing speculation that some unemployed robosigners may now start applying to become “independent reviewers”. Seems like a perfect fit, since at least they will be able to recognize the signatures that they actually signed, and the ones they didn’t….

Regretfully, I cannot disclose how the following transcript fell into my hands. I have guaranteed the complete anonymity of my source, who participated in the surreptitious recording of a recent face-to-face interview with Kenneth Y. Slick, III, chief lobbyist and head of public relations for Belial Bank. Mr. Slick has been affiliated with Belial Bank ever since it was a small local Midwestern bank with three branches. Today, Belial Bank is the largest and most powerful bank in the country, as measured by hubris. Belial Bank has come to metaphorically represent all Big Banks, due to its aggressive foreclosure tactics – some would say “mean-spirited” – and its apparent inability to avoid controversy and litigation. Humility is not – according to Mr. Slick – a recognized banking term. What follows is a redacted transcript of Mr. Slick’s interview, which, due to the ground rules he demanded, was not to be recorded. You will find it revealing. [BTW, there is no Belial Bank. This post is pure satire…except where it’s true. You decide.]- PCQ

Xxxxxxxxx “Mr. Slick, it’s a real honor to….”

Slick: “Just call me ´KY` – all my friends do. I prefer monikers and first names Xxxxxxxxx.”

Xxxxxxxxx (Resuming) “All right, ´KY`. It’s a real honor to be able to speak with you. Your reputation for secrecy and avoiding the public limelight is renowned. So, I’m very pleased you agreed to take time out of your busy schedule to speak with me. To review the ground rules that you and Belial Bank have set, I understand that I’m entitled to ask any question on any topic, but I’m limited to taking only handwritten notes. I am not to record this conversation. I further understand that you and Belial Bank have absolute and final editing rights before anything goes to print.”

Slick: “That’s right Xxxxxxxxx. No recordings. I’ve put my foot in my mouth too many times years ago when I was less disciplined – sort of like Joe Biden today. I’ve come a long way since then, and if there’s one thing I’ve learned, recorded interviews provide less room for obfuscation and denial. They have a way of coming back to bite you. With that being said, be my guest – ask away.” Continue reading “Exclusive Interview with Belial Bank’s Chief Lobbyist and PR Man Ѱ”

sat·ire/ˈsaˌtī(ə)r/Noun – The use of humor, irony, exaggeration, or ridicule to expose and criticize people’s stupidity or vices, particularly in the context of contemporary politics and other topical issues. Wikipedia

[The following bit of satire is intended to be read immediately before or after my recent post regarding a class action lawsuit filed against Lender Processing Services and a foreclosure mill law firm, entitled, In Re: Harris. – Phil]

____________________________________________________

Slam! Bang!

Her: “Honey, is that you?”

Him: “Yeh.”

Her: “What is it now? Is the Firm getting to you again? You must be glad it’s Friday.”

Him: “Which question do you want me to answer first?”

Her: “Honey, don’t take things out on me – I’m just concerned about you.”

Him: “I know. Sorry. I’ve just had it up to here with the Firm. Every day that goes by, I hear the drumbeat of press coverage about lender and servicer abuses, and fraud being perpetrated on the courts by the bank and servicer attorneys. I’m starting to become concerned for myself if the Firm should come under the spotlight.”

Her: “What do you mean, ‘under the spotlight’”?

Him: “Well, last week another firm – OK, OK, a ‘foreclosure mill’ – got named in a class action complaint. The lawsuit was what we call an “adversary proceeding” arising out of alleged fraudulent practices by Lender Processing Services and its law firm, in the Florida bankruptcy courts. So far, it’s just a claim – and anyone can sue anyone today – but the allegations are starting to hit home. I need a drink. Do we still have some of the Devil Springs® Vodka left from the bottle B.L. Zebub gave us for Christmas?”

Her: “Honey, that’s 160 Proof! You only had a couple of drinks after you opened it and you didn’t sober up until New Year’s Day. B.L. Zebub may be the Firm’s largest banking client, but his taste in beverages runs to the extreme. I think he’d be just as happy drinking from a can of paint thinner.”

Him: “Good! That way I’ll forget about this past week.”

Her: “Honey, this sounds serious. Tell me what’s going on.” Continue reading “Another Bad Day At The Foreclosure Mill….”