Michael David White throws his weight behind the call for prosecution of control fraud at Housing Story, Bring Criminal Charges Against Chief Executives of Leading Originators And Securitizers of Stated-Income Mortgages.
There is no question about what these mortgages are. Individuals borrowing money fabricated the amount of their income. The banks required no verification of the statements about income. By that action banks encouraged the fraud. If this failure to verify factual statements is acted out on a grand scale, then the bank is the leader and creator of the fraud. If stated-income mortgages were created by bank policy overseen and approved by top management, then those managers and overseers are the leading criminals in the conspiracy.