DOJ, FBI admit they inflated claims about mortgage fraud crackdown last year
Read more: http://www.foxnews.com/politics/2013/08/14/doj-fbi-admit-inflated-claims-about-mortgage-fraud-crackdown-last-year/#ixzz2c4pXYbSz
The Justice Department and FBI have quietly acknowledged they grossly overstated the scope of a mortgage fraud crackdown, which the administration heralded with much fanfare a few weeks before last year's presidential election.
According to a memo circulated by the FBI and a correction posted online by the Justice Department, the number of defendants, the number of victims and the size of the losses are, in reality, a fraction of what officials claimed last October.
Attorney General Eric Holder and other law enforcement officials claimed in early October that the initiative charged 530 criminal defendants on behalf of 73,000 victims who suffered over $1 billion in losses. The so-called Distressed Homeowner Initiative, which targeted fraud schemes against distressed homeowners, was highlighted in a press release and press conference at the time.
Holder, talking to the cameras on Oct. 9, called it "a groundbreaking, year-long mortgage fraud enforcement effort."
The real numbers, it turns out, were far smaller. The feds now admit that the number of criminal defendants charged was more like 107, not 530. The number of victims was 17,185 -- still a large number, but roughtly one fourth the size of the original headcount. And the losses totaled $95 million -- not $1 billion, as originally claimed.
The DOJ and FBI had long been dogged by claims that their numbers were inflated. Bloomberg has been reporting since October that the cases cited by Holder included charges filed during the George W. Bush administration.
Bloomberg continued to press for clarification. The administration went dark on the issue until Friday, when the FBI acknowledged in a memo that it had conducted an "extensive review" and found problems. The original figures included defendants who "were the subject of other prosecutive actions," as well as defendants charged in cases that did not fall under the anti-mortgage fraud program in question, according to the memo, obtained by FoxNews.com.
"As a result, the public announcement overstated the number of defendants that should have been included as part of the Distressed Homeowner Initiative, as well as the corresponding estimated loss amount and number of victims," the memo said.
The Justice Department also updated its own October release
-- as well as the transcript for remarks delivered by Holder -- with a correction, saying prior versions "inadvertently contained inaccurate numbers."
-- as well as the transcript for remarks delivered by Holder -- with a correction, saying prior versions "inadvertently contained inaccurate numbers."
The administration is still getting hammered for the revisions, though. Bloomberg columnist Jonathan Weil called on Holder to apologize, and explain how this happened.
called on Holder to apologize, and explain how this happened.
"He used a press conference with the cameras rolling to give out numbers that proved to be false -- and they appear to have been willfully false," Weil wrote. "He should be just as eager to hold another press conference to set the record straight, answer any questions about his apparent sleight of hand when it comes to financial-fraud metrics and apologize to the American people."
Oh really, the DOJ lied in October, one month before the election, brilliant! Just another community organizer trying to help a brother out, Saul would be soooo. Proud!
ReplyDeleteAnd the losses totaled $95 million -- not $1 billion, as originally claimed
ReplyDeleteJust politics, just outright lies before the election... Ten times the actual figure, Clinton may be a bit more hesitant to run if she won't have the MSM behind her... But she will, won't she...
"Bloomberg columnist Jonathan Weil called on Holder to apologize, and explain how this happened."
ReplyDeleteI love it when Wall Street is indignant about number fudging.
""As a result, the public announcement overstated the number of defendants that should have been included as part of the Distressed Homeowner Initiative, as well as the corresponding estimated loss amount and number of victims," the memo said. "
Like that's never happened before. TD, I mean this link a gentle ball busting, it fits someone else here a lot more then you http://www.theonion.com/articles/father-teaches-son-how-to-fly-into-rage-over-compl,33487/
The point was the date, one month before the election....
DeleteSoooo, since WS fudges it's ok that the top law enforcement agency of the nation should get a pass for fudging in order to bolster the reelection chances of the most inept and corrupt administration of our lifetime.
DeleteWorks for me ...
My bad TD, Holders announcement about cracking down on mortgage fraud UNDENIABLY tipped the election Obama's way. In fact, I'm sure this issue was soooooooooooooooooooooooooooo big that hundreds of thousands changed their mind right then and there when Holder confidently spit those numbers out. I can't imagine the horror and shame they must be feeling right now to know they changed their minds on a lie. Oh the humanity!
DeleteHa,ha,ha. It's a pattern Bubba, it's a pattern, it's still going on to this day, if you were as dishonest as the crowd Obama plays golf and drinks beer with ya think you'd be employed or in jail... It's not a trick question....
DeleteBy the way... What is "humanity"? Human is a part of the word, but I've never seen a politician that was human... You?
Still 105 around these parts, but the moisture is gone now.....
I agree with Twinsdad and sk6's takes, i.e., that it is one of numerous pre-election fudges, and that there is most definitely a pattern (a cough-shrouded 'Benghazi. To acknowledge the 'cosi fan tutte' argument, the least one should take from this is that the administration's fudgings were more numerous and/or more successful than the opponent's, yes?
DeleteJean
Jean
"we least one should take from this is that the administration's fudgings were more numerous and/or more successful than the opponent's, yes?"
DeleteJean, Romney was a shitty candidate. People who didn't want Obama to win need to accept this and move on. You guys can all sit here and complain about the conspiracy and "pattern of lying" and it wont' change reality. Sorry bout that. People on the left whined about John Kerry getting swiftboated but the bottom line was that people really didn't like him any better then they liked Bush and they stuck with what they already knew.
Considering that you all dislike Obama, ANYBODY in your eyes is a better choice. That's good for you, but America is a little bigger. Romney did not convince the people he had a better plan and I personally don't think people really like Ryan all that much either. Regardless, Romney lost. Saul Alinski would say at this juncture that it's time to stop whining, learn the lesson, and come back with a different plan.
Max,
DeleteWe can disagree on the quality of Romney as a candidate. There is no point in disputing that he lost. I didn't want to sound so much like I was whining that the Obama administration got away with things, but I will stand by my view that, in part, one campaign was better than the other in shoveling out the stuff. And I won't think about arguing who had a better campaign plan, either. Not a better content message, but certainly better delivery.
I will only speak for me: I do not like the current administration mostly (by far) because I disagree with or don't think the policies are in the best interests of the country. I got over the Romney loss about a day or two after the election.
Jean
This economy sucks. Fact! The mentality that outright lies are ok because your guy did it too is not acceptable as it may have been when everyone was fat, dumb, and happy.
DeleteThere are just too many reasons Holder belongs in jail. Why the Obama lovers defend this turd is beyond my comprehension.
Jimbo,
DeleteI think it may largely be because the supporters want to minimize any mud that clings, as it might carry over onto Clinton when 'that woman' makes her run.
Jean
Ugh...
DeleteThere is no endpoint in sight to this insanity. :(