Monday, December 10, 2007

UBS To Write Down Another $10 Billion

If you think the subprime mess is over, think again.
Swiss banking giant UBS AG said Monday it will write off a further $10 billion on losses in the U.S. subprime lending market and will raise capital by selling shares to Singapore and an unnamed investor in the Middle East.
This is basically the same scenario as Citibank which also sought funds from the Middle East. The worldwide financial system is becoming more and more dependent on funds from the most volatile area in the world where human rights take a back seat to fundamentalists.

It is funds from this area of the world that finance most of the terrorist groups now growing worldwide. Is it really smart to sell off our financial systems to these same people?

This is what happens when greed and stupidity meet in the financial marketplace. The subprime mortgage debacle now has national security implications. This is all the result of a lack of oversight. The Bush administration thought industry should police itself. We all see how that has worked out.

I have a friend who was recently employed at UBS but was terminated as a result of these huge losses. That is the human cost of this greed and arrogance but those at the top will walk out with millions while those like my friend will struggle to make ends meet.

That is current day America. It is time for a real change and it can not happen without citizen participation. I predict the economy will become the number one issue in the 2008 election as the pain and suffering around this subprime disater grows.

1 comment:

Barbara Ann Jackson said...

re: Foreclosure Fraud, FREDDIE MAC, Well Fargo, Judicial Corruption

Any representation to Wall Street Investors by FREDDIE MAC or by WELLS FARGO that its reported $$$ billion dollar losses are due to people defaulting on their mortgages should be weighed against the fact that (in states such as Louisiana), Freddie Mac and Wells Fargo needlessly pays DEBT COLLECTION firms outrageous legal fees for corporate lawyers to outmaneuver –and even persecute people who file court proceedings in opposition to fraudulent foreclosures. In Louisiana, Wells Fargo and FREDDIE MAC are 2 mortgage companies which benefit from fraudulent foreclosures and entrenched real estate and mortgage fraud racketeering schemes. Also, in lawsuits for "Unfair Debt Collection" damages, collectors get to make more $$ via litigation, along with co-conspirators who enjoy pieces of the foreclosure pie. But thanks to federal authorities such as U.S. Attorney Jim Letten and U.S. Attorney David Dugas, real estate racketeers in Louisiana have nothing to worry about. Verification of what I have written is posted on my website.
*Also, posted on NEWSBLAZE.COM, see this article: "Mortgage Mess, Foreclosure Fraud and Impediments to Justice:"

Most critical to the Foreclosure Crisis is FORECLOSURE FRAUD, which enables MORTGAGE LENDERS to ILLEGALLY FLIP properties. In Louisiana, 2 particular mortgage companies which benefit from fraudulent foreclosures are Wells Fargo and FREDDIE MAC! It is HIGHLY COMMON for a DEBT COLLECTOR attorney to file a foreclosure: (i) in the name of a DEFUNCT mortgage company;(ii) in the name of a mortgage company which is NO LONGER holder of the security interest (the promissory note); or (iii) file a foreclosure and AFFIX a "ransom" amount (the collector's fee) far exceeding what the promissory note "Acceleration Clause" authorizes.

Despite a property owner's entitlement to Challenge CONTRARY-TO-LAW loss of his / her home, most property owners LACK consumer and legal knowledge; the Court System is REFRACTORY; and there are limited attorneys with acumen to pursue Consumer Law. Also, when borrowers sue for "Unfair Debt Collection Practices," damages, the collector gets to make more $$ through prolonged litigation, as co-conspirators enjoy the foreclosure pie.

Investors need to become more astute about how mortgage servicers' misdeeds hurts borrowers as well as siphons incalculable amounts of money from what Investors should reap. (See "Limiting Abuse and Opportunism By Mortgage Servicers," AND "Private Property Rights Deferred: Has Predatory Mortgage Servicing Destroyed The American Dream" by Rawle Andrews, Jr., Esq.,and Leroy Jones, Jr., J.D. Visit:

**also see:

Barbara Ann Jackson
Law & Grace, Inc.