Before “subprime” became a crisis, ACORN was active in the mortgage market, fighting in support of the policies that helped lay the groundwork for the banking collapse of 2008. ACORN lobbied legislators and banks to ensure that any person, regardless of credit history, income, or assets, would qualify for a mortgage. They mastered the art of pressuring banks – often through radical and controversial methods – to provide subprime loans to all comers. President Obama acted as a lawyer for ACORN in a lawsuit against Citibank forcing it to provide subprime loans. It was many of these “toxic” loans that defaulted and sparked the subprime mortgage crisis.
Today ACORN will be taking to the streets, harassing mortgage lenders in 14 states for daring to foreclose on the bad loans that ACORN helped force them into making
Will Demand Participation in Obama’s Foreclosure Prevention Program from Goldman Sachs’ Litton, Barclay’s HomEq, American Home Mortgage, and OneWest (Washington, DC) – ACORN members, allies, and struggling homeowners, outraged at the ongoing foreclosure crisis that is tearing apart neighborhoods and the economy, will directly confront the mortgage companies at the heart of the ongoing national nightmare. In March, President Obama announced “Making Home Affordable”, a $75 billion effort to prevent 4 million foreclosures. The program is voluntary, but over 80% of the mortgage industry has signed for what is definitively the new minimum standard in the industry. Yet a handful of mortgage companies, including four of the most important who service more than 2 million families’ mortgages – the “Home Wrecker 4”– have refused to sign up for the plan.The best part of it all is YOU may be paying for it:
ACORN, which played a starring role in creating the subprime mortgage crisis, plans to add insult to injury by harassing lenders across the nation with protests tomorrow in an effort to coerce them into supporting President Obama's Making Home Affordable foreclosure-avoidance program.
Austin King, director of ACORN Financial Justice, sent out a press release today advising of the demonstrations that are planned as part of its "Homewrecker 4" campaign. The four financial companies targeted are Goldman Sachs, HomEq Servicing, American Home Mortgage, and OneWest. Read the whole document here.
ACORN plans to hit Dallas, Pittsburgh, Philadelphia, St. Louis, New York City, Wilmington (Del.), Columbus (Ohio), Houston, Little Rock, Boston, Los Angeles, Miami, San Francisco, and Seattle.
But let's not forget that ACORN helped to cause the mortgage bubble by strongarming banks into making loans they shouldn't have. And cheering them on was ACORN's lawyer, Barack Obama, who contributed to the increasingly hostile environment for banks when he represented plaintiffs in the 1995 class action lawsuit Buycks-Roberson v. Citibank. The suit demanded that Citibank grant mortgages to an equal percentage of minority and non-minority mortgage applicants. The bank settled the case three years later and reportedly agreed to beef up its lending to unqualified applicants.
ACORN refuses to acknowledge the role that it and the CRA played in the current crisis on Wall Street, and President Obama continues to support stronger enforcement of the disastrous law.
The final paragraph of the press release is unintentionally hilarious:
Because millions of Americans are losing their homes, neighborhoods and the economy are in ruins, and while the "Home Wrecker 4" are taking tax dollars and giving away huge bonuses, they refuse to do even the bare minimum for American homeowners by signing up for the Obama foreclosure plan.
Millions of Americans are losing their homes and neighborhoods and the economy are in ruins because of groups like ACORN that interfere with markets and force banks to do stupid things.
And ACORN too has taken in millions of dollars in taxpayer funding and is utterly unaccountable. The group even covered up a million dollar embezzlement for eight years.
As I've said before, ACORN lies, lies, and then lies so more. No lie is too big or outrageous for the criminal group now charged in Nevada with voter registration fraud.