Friday, April 5, 2013

The Anti-Consumer Administration

In yet another comical example of government giving a gentle slap to Corporate Crime, Richard Cordray had the gall to crow about getting fines totaling $15 million from 4 mortgage insurers for the offenders paying illegal kickbacks in the mortgage industry.  The CFPB even says in their press release that "Illegal kickbacks distort markets and can inflate the financial burden of homeownership for consumers,” Richard Cordray, the CFPB’s director, said in an e-mailed statement. “We believe these mortgage insurance companies funneled millions of dollars to mortgage lenders for well over a decade."

Yeah, so who's going to jail guys?  You can easily spot the CFPB guys, they (along with the SEC and Justice Department) are the ones in clown suits hurling cream pies at the hardened criminals. The criminals identified were Genworth Mortgage Insurance Corp., part of Richmond, Virginia-based Genworth Financial Inc. (GNW); United Guaranty Corp., which belongs to New York-based American International Group Inc. (AIG); Radian Guaranty Inc., a subsidiary of Radian Group Inc. (RDN), of Philadelphia; Mortgage Guaranty Insurance Corp., a unit of Milwaukee-based MGIC Investment Corp. (MTG)

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