The following is BREAKING NEWS:
Racketeering suits (RICO), now as civil class action suits in two states, have hit the nail on the head. The civil suit says the banks do not have proper title to the homes on which they are foreclosing. This by direct inference questions if securitized debt on mortgages have real collateral behind them.
Simply stated a long time ago by Marie McDonnell and myself, THEY DO NOT.
That means legacy assets are cooked, dead, and worthless, yet are now marked up in value to cost and above. This is all thanks to FASB’s capitulation that now represents a large amount of capital for the Western world’s financial entities.
The you know what hit the fan today for those that understand. October 4th 2010, the essence of securitized debt on mortgages died!
That alone gives you gold at $1650.
- Jim Sinclair