American Patrol Commentary -- October 8
Jackson of HUD, left, Raines of Fannie Mae, right

Now we learn just how bad things got before the crash. HUD now reports that there are five million fraudulent loans out to illegal aliens. If HUD knows it now, it must have known it all along.
So was in charge when all this went down? Afonso Jackson. (He left HUD in June.) According the Washington Post "He pushed for legislation that would make it easier for federally backed lenders to make mortgage loans to risky borrowers who put less money down. He issued a rule that was criticized by law enforcement authorities because it could increase the difficulty of detecting and proving mortgage fraud."
Who else did this? Franklin Raines, head of Fannie Mae up until 2004.
Assuming an average loan of $200 K, five millions loans would total $1 trillion. If banks lost only 30% on those loans, it would reduce their lending ability by 3 trillion dollars. And all this happened under George Bush's watch.
These misdeeds are bad enough, but we are about to see California lead the nation into a depression. Unemployment will exceed 12%. If Americans don't demand that only legal workers are hired when they are facing absolute ruin, they have only themselves to blame.

HUD: Five Million Fraudulent Mortgages Held by Illegals

One illegal alien was arrested this year in Tucson after allegedly using a stolen social security number to buy two homes and rack up over $780,000 in bad debt.


Some five million fraudulent home mortgages are in the hands of illegal aliens, according to the U.S. Department of Housing and Urban Development.

It's not known how many of those have contributed to the subprime housing mortgage meltdown, but it has affected every state, including Arizona.

The problem began years ago when banks were forced to give mortgages without confirming social security numbers or borrower identification. As a result, illegal immigrants were able to obtain home mortgages which they could not afford.



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