INVESTOR FORCES US BANK TO SUE JPMORGAN CHASE

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EDITOR’S NOTE: If you read between the lines here, you’ll see what really is happening. US Bank doesn’t want to be suing the investment banks over what are clearly fraudulent securities based upon derivatives of bogus mortgage bonds. It doesn’t want that because it is going around the country advertising itself as the trustee for the securities, and sometimes for the securities’ holders. When they say they are the trustee for the securities they are (a) lying and (b) creating an entity that does not exist — a fictitious entity since certificates are not legal persons and thus cannot legally act in court or otherwise.

The other reason US Bank doesn’t want to be suing JPMorgan (besides the obvious incestuous relationship between the two banks) is that it opens the door to proof problems at ground zero in foreclosure actions.

Questions abound. Do the investors know that US Bank is pursuing foreclosures instead of meaningful settlements that would mitigate the losses? If US Bank receives money from JPM, how will that be allocated — specifically how much will the obligation on each loan be reduced by payment from JPM?

Will the misrepresentations of JPM spill over into allegations that mirror the US Bank case when US Bank tries to foreclose on a home? As the finger pointing jubilee gets into full gear, will Judges start realizing that there is and was something terribly wrong and misleading about the entire process — including the origination of the loans, the transfer of loans, the perfection of liens, the amount demanded as due from the borrower, and the list goes on.

JPMorgan sued for $95 million over mortgage securities

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(Reuters) – JPMorgan Chase & Co has been sued for $95 million by the trustee for securities marketed in 2005 by the former Bear Stearns Cos over alleged misrepresentations regarding the underlying mortgage loans.

US Bank NA wants to force JPMorgan to buy back the mortgage loans because of alleged breaches of representations and warranties regarding the Bear Stearns Asset Backed Securities Trust 2005-4, for which it serves as trustee.

It also accused the largest U.S. bank by assets of refusing to provide the underlying loan files, as the trust documents require, so it can investigate the extent of the alleged breaches.

The unit of US Bancorp said it made its request at the direction of a majority certificate holder in the trust. US Bank also sued Bear Stearns and its former EMC Mortgage Corp unit. JPMorgan bought Bear Stearns in 2008.

The lawsuit was filed on Friday in the New York State Supreme Court in Manhattan, and publicly docketed on Tuesday.

It is one of many lawsuits seeking to hold banks responsible for investor losses over mortgages that may have been toxic, defective or improperly underwritten.

JPMorgan Chief Executive Jamie Dimon last month told investors that the bank has been sued over $54.9 billion of private-label securitizations, excluding the former Washington Mutual Inc, and expects that number to rise.

The case is Bear Stearns Asset Backed Securities Trust 2005-4 v. EMC Mortgage Corp et al, New York State Supreme Court, New York County, No. 650003/2012.

(Reporting by Jonathan Stempel in New York; Additional reporting by David Henry; editing by Gerald E. McCormick)

Tags: bankruptcy, borrower, countrywide, disclosure, foreclosure, foreclosure defense, foreclosure offense, foreclosures, fraud, JPMorgan Chase, LOAN MODIFICATION, modification, quiet title, rescission, RESPA, securitization, TILA audit, trustee, US BANK, WEISBAND
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