Replies to post #120100 on Mr Cooper Group Inc (COOP)

[islandcat]

Lets say your having trouble paying your bills for what ever reason, Your mortgage company decides that it is " highly unlikely that you'll be able to meet your debt obligations in the future" so since we know that we may have to foreclose on your house at sometime in the future. We're just going to do it now. They come in and take your house, but not just the house they take everything, your house, your wife's jewelry, your boat, your vacation home in the islands, and your collection of antique cars. They raided your bank accounts, your IRA, your kids college funds. You'd have no choice but to file bankruptcy.

Now what would do? Do you think you would win?

GO Wamu!

[JimsZ]

Not only was WMB/WMBfsb not really insolvent
Not only did they have over $4 billion of the parent co's money on deposit
Not only did they just inject $7 billion and were in better shape than this time last year (per filings) prior to injection
Not only did FDIC take WMB/WMBfsb but also many subsidiaries that probably shouldn't have been taken
Not only did the FDIC transfer assets/property that belonged to WMI to JPM rather than only WMB/WMBfsb assets
Not only did the FDIC sell all this to JPM for $1.9 billion and wiped out any liabilities outside of deposit liabilities (of course they are trying to fight the $4.4 billion)
Not only did the FDIC not even know what the hell they sold to JPCrooks


JPM/FDIC had a sweetheart of a deal worked out here.. Unprecedented where they even wiped out bondholders/noteholders of WMB. They tried doing the same thing with Wachovia for Citibank but that was "bought out" by Wells Fargo out from under Citibank for $15/share. Who may have paid higher than $1.9 billion for WMB had the FDIC not already had this set to gift to JPM?

[Jestiron]

I see there have already been some responses to your post. Are you seeing what we are now?

The FDIC took the "contents" (WMBfsb) which were not theirs to touch. WMI owned the shares in WMBfsb. WMI owns the DEPOSITS IN WMBfsb as well.

So:
1. WMI owns the shares of WMBfsb which the FDIC and sold to JPM,....
2. WMI owns their deposits in WMBfsb,....

What the FDIC took was WAAAAY more than they had the authority to take.