To Stop Fraud, Do We Need a Moratorium on Foreclosures?
The Atlantic Wire – Wed Oct 13, 9:38 am ETWASHINGTON, DC – A group of some 40 state attorneys general from around the country are demanding an investigation into the nation's simmering foreclosure fraud scandal. The attorneys general are looking to pressure banks into rewriting troubled loans and may call for a halt on foreclosures nationwide. The White House, however, hates the idea of a national moratorium on foreclosures, arguing that it could impede economic recovery. What's the best policy for homeowners and the economy at large?Here's How This All Started, explains Massimo Calabresi at Time: The foreclosure furor emerged initially from a deposition in a court case in Florida last month that alleged that at least one company had submitted false affidavits in support of summary judgments for foreclosure against homeowners who were in fact either current on or capable of paying their mortgages. Full Story »