EXCLUSIVE: Former Clinton Accuser Kathleen Willey Whistleblowing Foreclosure Fraud
by Jeffrey Scott ShapiroKathleen Willey, the former White House volunteer who accused President Clinton in 1998 of sexually harassing her in 1993, is trying to expose potential robo-signing foreclosure fraud from her home state of Virginia–and she’s already gone on national television to get the word out to her fellow Americans.
Foreclosure proceedings were commenced against Willey in 2010, but Willey was able to stop the expedited 14-day foreclosure process by filing a fraud suit against her lender, One West Bank. In an exclusive telephone interview with Big Government from her Richmond based home, Willey told me the following:
I applied for a modification back in 2009. My bank was IndyMac, which was the very first bank the feds seized in 2008. Then they turned it around and sold it to George Soros and Larry Dell for a song. So, the two of them–big Obama contributors–they bought that bank.
That got a lot of play in California. There were lots and lots of stories, but it just kind of died. Out of sheer desperation I finally said look, I’ve had it, I need to know something about what’s happening to my home, and I was reading all the horror stories of what they were doing to people and so I told them if you don’t do something to help me and all these other people I’m going to go on television and they laughed at me.
I went on Fox & Friends on October 21, 2010 and someone from One West Bank called into the show and suspended the foreclosure. All of a sudden they were my new best friend. I had my very own modification officer at the bank, but then it just started dragging on again. Finally, I called last February. They were supposed to give me a decision within 30 days to tell me whether or not I even qualify, but they didn’t.
Finally, I called again and I got someone on the phone who said it was looking good and that I shouldn’t have any problem and then I called again and then they turned me down. Then they turned around and they sent me a 2-page self-explanatory letter signed by a person telling me the reasons I’d been turned down, a number of reasons I could have shot bullets through. So, I waited, waited and waited and then it got to December 29 when I got my first letter of fair debt collection, that they were moving in and they put it on fast track and now my home is scheduled to be sold next Thursday, February 2nd.
But there’s more—Willey may have stumbled upon a new form of “robo-signing,” the illegal practice of bank employees signing thousands of documents and affidavits without verifying the information. Right now, the U.S. is in talks with five major banks including Ally Financial Inc., Bank of America Corp., Citigroup, J.P. Morgan Chase & Co., and Wells Fargo & Co. about a $19 billion settlement for their participation in robo-signing fraud.
Virginia is a “non-judicial” foreclosure state, which means that the lender does not have to file a lawsuit to start foreclosure proceedings. Instead, the lender sends the borrower a “notice of default” and can then initiate a sale. In Virginia, a homeowner will receive notice and then have only 14-days to vacate their home unless they take legal action to halt the process.
In Willey’s case, she was scheduled for foreclosure in the fall of 2010, but shortly after her Fox & Friends appearance she received a required “substitution of trustee” notice from a lender’s representative telling her they were now handling her account.
Willey immediately noticed something suspicious, on the second page of her notice: a Xerox image of a staple in the upper left hand corner, but no staple image on the first page. That made Willey suspicious that the signature page had been attached to another document prior to her own and that the signature and notarization, which should have been exclusive to her own foreclosure notification was used before and was possibly being recycled, a.k.a. robo-signing.
“It was just another example of all the tricks they pull,” Willey said of the mortgage industry. “I’m not saying they don’t have a valid point. I have to make my payments, but they’re supposed to do everything right by law, and they didn’t.”
As a result of Willey’s lawsuit, her bank cancelled the original October 21, 2010 foreclosure that included the allegedly defective substitution of trustee notice. For the moment, Willey was victorious.
Subsequently, in February 2011, the lender executed a new appointment document, which mooted the original point of whether the first document was valid.
This time, the substitution of trustee notice did not appear to be invalid.
Willey’s house is scheduled to be sold on her local courthouse steps on February 2nd and she is currently exploring alternative ways to halt the sale. Still, she feels determined to keep speaking out about corrupt foreclosure practices taking place within the banking industry.
“I have every single thing documented,” she said. “They just try to wear you down and wear you out. A lot of people in this country have been hurt by what they do.”
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67 Comments
Now THAT, is a woman!
She was believable then, and she is believable now.
Y'all remember IndyMac bank?
"I applied for a modification back in 2009. My bank was IndyMac, which was the very first bank the feds seized in 2008. Then they turned it around and sold it to George Soros and Larry Dell for a sum. So, the two of them–big Obama contributors–they bought that bank."
Sure you do http://biggovernment.com/amellon/2010/04/22/indym...
Pile it on top with all the other mess we're in.
Keep bringing the light BG…..
no wonder 'Der Schlick '
was interested..
rar rar rar ..
Watch the Dems try to throw her under the bus.
She is by far the best one.
Thanks for the refresher.
Solyndra:
Great, we are not alone.
http://thehill.com/blogs/e2-wire/e2-wire/206777-d...
If you cannot pay your mortgage, then the property has to be sold. Only if there is DAMAGE to it done by the seller should they be held to account for the amount it is sold for. If the "market" is lower and the bank gets less than it loaned, well, that is the risk in loaning money out on the house in the first place. Banks should have to suck it up and take their lumps. If they were to have to do so, they would be looking to make "modifications" with current homeowners on their own – as opposed to having government dictate to them arbitrarily to do so.
Make no mistake, I am not crying a river for those who bet and lose. If you buy more than you can afford, if you buy something on a loan that can lose half it's value, tough tittie if it loses half its value. Likewise, if you loan out money on something and it loses value – tough. You made a bet, accept the outcome JUST like you would if it doubled in value! That goes for borrowers AND lenders just the same.
Government cannot fix this. Not Legislatures, not Judiciaries, not Executives.
Honesty is the only thing that can. Personal responsibility is the only thing that can.
Simply stated, if you are unwilling to take the risk – then don't place the bet! You cannot expect a positive return if you are unwilling to accept a loss just the same. There is no having cake and eating it too!
AGAIN !!
OWS!
THIS is what happens when, a country is run by Soros and socialists!!!!
I won't ever forget Chuckie trying to start a run on that bank.
The banks have had the best part of this whole foreclosure mess.
They made preditory loans, based on inflated values, to borrowers who couldn't repay. This for the upfront fees and points. When the loans went bad, the government bailed them out. They got to keep the paper on the homes and now they foreclose to get the homes as well.
1. Fees and points
2. Bailout
3.Deeds for the homes.
It is good to be in the banking biz.
They said they were going to #occupy the courts, we just didn't realize they were going to do it with Stimulus Bankruptcies.
The takeaway from Ms. Willey's sad tale?
Never underestimate the power of
Democratssocialists to screw things up royally.Well, somewhere underneath all of those words it would be helpful if there were some cancelled checks in support of having serviced the mortgage indebtedness. Reassigning villains does not sustain the argument for defaulting the mortgage.
Thanks Dubya…
She rolled under the bus when she headed to foxnews looking for friends.
Best what… politician blowing whore?
True that government can't fix it, but they can lesson the pain a bit and regulate the mortgage industry up so that it doesn't happen again.
It happens when Republicans melt down the financial markets and banks go under and bubble burst.
Couldn't have said it better myself. You a closet Dem?
Democrats didn't melt down the financial industry.. that was all you.
Kathy should have used some of that facelift money to pay her bills.
No, an Independant. I just call em as I see em.
At least she had something to start with. She's gorgeous.
Interesting about the connection to George Soros. Sounds like during the mortgage crisis, he had plenty of cash to buy up banks. Wonder if he had anything to do with the tactics of the left forcing the banks to make these unwise loans in the first place. Knowing finance like he does, he could have predicted the consequences at the end of Bush's term. With Obama in charge, his Socialist dreams can come true. We need more peopl, like Kathleen Willey, to come forward with their knowledge about the corrupt practices of the crony capitalists and this administration.
No manners droid strikes again
Off topic but you REALLY have to update the Christopher Hitchens link on the blogroll.
Needless to say, it's not there anymore and is now in bad taste.
Long as they funneling cash to Obama and Soros nothing will change
So your saying that Ted (Fat Boy) Kennedy, Cris Dodd and Barney (Queeny) Frank are closet Republicans? You really are a true MORON.
No, thank you Dodd, Frank, Clinton, ALL with D after their names.
I hope if this woman got a replacement pet cat, she keeps it hidden this time.
Kiiiinnnnnddddaaaa stupid, aren't you? Why, yes you are, you sure are, you Lil Dick
ens.Chase that rhetorical substance, Rrhoid!
)
driod, "regulating" the industry is what caused it all in the first place.
Can you say "red lining"?
Government cannot lessen the pain by redistributing the pain. It sure can learn its own lesson though, and get out of the business of trying to micromanage business.
By default, I guess you have this memorized?
1. If you can't take responsibility, blame Bush.
Who's a good li'l leftist?
You are.
Yeah, you are.
PS: edited that this isn't a reply to Barnacle Barry. Just support.
So, Fox and Friends is now in the business of providing crying towels for deadbeats. Interesting.
Someday someone has to explain to me the wisdom of foreclosing on someone who might be able to pay with a modified loan, when there are literally MILLIONS of homes rotting from the inside out because no one can afford to buy them.
What if you bought a house based on an economy that was based on fraud? What if a home owner based their financial decision to purchase a home on solid information from Ben Bernacki that the market was strong? What if Ben was lying in order to protect his unknown agenda?
What if you owned a home for twenty years, paid your bills and then lost your job or business due to big government-big bank corruption, not stupidity, corruption?
It is to late now, but the bailouts should have gone to the people, with the stipulation that, if a mortgage was owed that individuals portion had to be paid on their mortgage. I called for it at that time, often….only after the realization that bailouts would occur no matter what we the people wanted.
Personally I think the banks, with lots of help from the fed Bush and Obama, got away with the largest theft in history, up until Obama,s stimulies.
Has she considered getting a different loan from another bank, then buying her own home at auction for a lot less than she originally owed?
We're missing the most important information. How far behind is she, followed by why she's behind. Does she have a source of income ? Isn't this a part of why the bubble burst in the first place ? Inability to pay your mortgage leads to foreclosure. Anything else is simply underwriting a deadbeat's lifestyle.
I went through all of this. It's very frustrating as the bank (BofA) had several departments that do not know what the others are doing or saying. In the end I did a deed in liue of forclosure. She should just give up. I left my house in good shape with all the appliances and a couple months later I got a check for $2,904.
Willey was previously found not credible by the independent counsel who investigated her allegations against Clinton. For example, she gave false statements to the FBI during the investigation which she later acknowledged were false.
You can read the appendix devoted to Willey in report of the independent counsel at this link.
http://www.gpoaccess.gov/icreport/lewinsky/appb.p...
Here is an excerpt:
The Independent Counsel agreed not to prosecute Willey for any offense arising out of the investigation, including false statements in her Jones deposition, so long as she cooperated fully and truthfully with the investigation. Following that first immunity agreement, Willey gave false information to the FBI about her sexual relationship with a former boyfriend, and acknowledged having lied about it when the agents confronted her with contradictory evidence. Following Willey’s acknowledgement, the Independent Counsel agreed not to prosecute her for false statements in this regard.
The description of the buyers on Indy Mac is misleading. The lead investor is Dune Capital, which is run by Steven Mnuchin and which is not affiliated with Soros. Soros's fund was one of the co-investors, as was MSD Capital, the investment vehicle for Michael — not Larry — Dell.
Rather than have this comment buried as a reply, I repost so that others may know Willey was previously found not credible by the independent counsel who investigated her allegations against Clinton. For example, she gave false statements to the FBI during the investigation which she later acknowledged were false.
You can read the appendix devoted to Willey in report of the independent counsel at this link:
http://www.gpoaccess.gov/icreport/lewinsky/appb.p...
Here is an excerpt:
The Independent Counsel agreed not to prosecute Willey for any offense arising out of the investigation, including false statements in her Jones deposition, so long as she cooperated fully and truthfully with the investigation. Following that first immunity agreement, Willey gave false information to the FBI about her sexual relationship with a former boyfriend, and acknowledged having lied about it when the agents confronted her with contradictory evidence. Following Willey’s acknowledgement, the Independent Counsel agreed not to prosecute her for false statements in this regard.
1. A mortgage is a voluntary contract. Banks were not holding a gun to anyone's head. There is no such thing as preditory lending. You have to APPLY for a loan.
2. The bank owns the home until the house is paid for. If you don't make the payments, the bank gets to sell it.
3. The only problem here was the bailout. If the bank makes bad loans, they should eat the losses.
What is this, the Huffington Post? She didn't make her payments, she should get foreclosed on. Its the banks house until she repays the loan, not hers.
Agreed
She was shown to be truthful on a lie detector test about the incident with Clinton. The false statements were related to other people.
Willey's account of her relationship was contradicted by the testimony of Linda Tripp.
As the report of the independent counsel noted:
Linda Tripp’s testimony that Willey had a previous romantic interest in President
Clinton (and appeared to view his alleged advances positively) departed
from Willey’s testimony. Tripp’s cooperation with this Office in the Lewinsky
investigation ultimately yielded evidence about President Clinton’s conduct with
Monica Lewinsky that was contrary to the President’s testimony. Thus, evidence
supplied by Linda Tripp regarding Willey that was consistent with President Clinton’s
testimony would likely be favorably received by a jury.
Even assuming Willey’s testimony was truthful about the incident with President
Clinton, her testimony at trial would be subject to further challenge based
on the differences between her deposition and grand jury statements, as well as
her acknowledgement of false statements to the Office of the Independent Counsel.
Concerns about the probative effect of Willey’s testimony would likely be sufficient
to negate a conclusion that “the person [charged] probably will be found
guilty by an unbiased trier of fact.”
* * * * * *
Willey was not a credible witness given her admitted false statements.
Deadbeat? Didn't you read the article?
Seems like a decent lady, but if you don't make your payments you lose your house. Those are the rules. The bank may have not followed policy, which is wrong, but the fact remains that you are living in a house that your not paying for. Sad, but so is life.
Thank you, Cowboy – I didn't remember that it was IndyMac, and wouldn't have made the connection.
You are welcome.
I do not forget much.
Anything that I might forget, probably wasn't worth remembering in the first place.
You're an Independent? Your profile says you are a "Ronald Reagan Conservative".
Not really, Oregontea, in most cases the banks were victimized by the inflated prices, not a party to it. With the Community Reinvestment Act (Jimmy Carter, reinvigorated by Clinton) and other congressional tinkering, banks are mandated to give mortgage loans to buyers who could not pass a genuine regular home mortgage financial-and-credit check, and who do not have enough resources for a realistic down payment. In many cases, predatory mortgage brokers (middle men, frequently working with real estate sales people) arrange for the seller to hike the price, kicking back that differential to the buyer to be used as the down-payment (for example, the house is listed for 200,000, calling for a minimum down payment of, say, $20,000, which the buyer doesn't have; the broker arranges for the sale price to go up to $220,000, the seller hands that extra $20,000 back to the buyer, and the buyer forks it over to the bank as the down payment. The buyer then moves into his now-$220,000 home with no equity in it, and no financial cushion if his income takes a hit due to illness or whatever. If he misses a few mortgage payments and the bank forecloses, he has no equity in the property so he can pretty much just walk away and leave the bank with a $200,000 property they forked over a $220,000 loan for him to buy.
Sorry, FedupHoosier, I posted my reply to you, under the reply button for Oregontea.
It doesn't say Republican. I am unaffiliated with any party.Independants can be conservative. Many are. More so than liberal.
You're right – sorry, my mistake.
And you actually think that the democrats had clean hands through all of this??? What about Barney Frank, Chris Dodd and the rest of the criminals??
Oh, yes. He knew about it and started the loan program that encouraged unqualified minorities to work with this group that will get you the money and the financing that you need to buy this house that you cannot now, nor will you ever by able to, afford it. One of the groups is none other than ACORN. There are numerous groups started and financed by Soros and I can't right now remember the one that I'm referring to. But Soros is there, in the background, financing a lot of these democratic sounding groups.
Progressive dims do not take responsibility. It's in their policy manual to deflect blame to everyone else.
Soros is a James Bond villian for real. He is a threat to the world with dreams of total domination. Where is James Bond when you need him.
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