"The world will soon wake up to the reality that everyone is broke and can collect nothing from the bankrupt, who are owed unlimited amounts by the insolvent, who are attempting to make late payments on a bank holiday in the wrong country, with an unacceptable currency, against defaulted collateral, of which nobody is sure who holds title."
Next release from WikiLeaks is a bank. is that Bank of America ?
.........sure sounds like
Hell To Pay: Bank of America's Double Trouble
Bob Swern Wed Dec 01, 2010 at 02:17:49 AM PST
While you may not have heard about it yet (you probably will start noticing it in the MSM soon, if not this morning), it appears that over the past 18 hours our country's largest bank, Bank of America, may have entered into the final stage(s) of a fairly swift implosion. Obviously, the economic, political and social implications of an event of this nature and magnitude occurring right now--if it does continue along its apparent trajectory even for a few more days--are nothing less than horrific.
Ten days ago, I posted a diary here entitled: "The Great Unravelling: Is Bank of America Done?" The piece provided extensive detail as to why the already-insolvent megabank was even more insolvent than most realized, since it would more than likely (over ensuing months and, perhaps, years) have to eat scores of billions of dollars in unanticipated "put-backs" (i.e.: in lay-speak and in this instance, "put-backs" is a slang term for refunds to investors of mortgage securitization bonds/paper).
This story materialized due to revelations uncovered in a New Jersey bankruptcy hearing (Kemp v. Countrywide) which had occurred over the week prior to the publication of my diary. In that case, an inference was made public--for the first time--by an employee of Bank of America's Countrywide Financial unit, the largest originator of subprime mortgages in the U.S. during the past decade, that, for all intents and purposes, Countrywide had committed ongoing investor fraud on a massive/national scale, starting sometime around 2004-2005 and continuing through 2008. The rampant fraud occurred due to the fact that the mortgage firm had ceased conveying proper mortgage documentation to the securitization firms that were responsible for selling shares/bonds in those bundled mortgages to the investment community; when in fact, those securitization entities were actually selling shares/bonds to investors in something that those securitization firms never even possessed.
IMHO, this story's all but concluded. Either Bank of America takes a 20-foot perp walk across an 18-foot gangplank, and we stick a fork in it; or, Washington looks the other way as it financially nukes an already-ravaged Main Street, yet again (on top of the additional, mutually assured devastation it's already laying on us this week, too).
Any way one might look at these most recent developments, IMHO, from a myriad of perspectives, this latest BofA chapter in the over-arching story of our country's recent financial woes could easily turn out to be THE biggest nightmare yet. One thing that's obvious, if only for the past few hours, is that whatever is going down right now is happening very swiftly.
Market Data 
Markets 
AI
