Inside the Schneiderman and Biden investigation of the foreclosure crisis

Originally posted at

New York Attorney General Eric Schneiderman and Delaware Attorney General Beau Biden have a joint op-ed in Politico yesterday. The dynamic duo have lead the charge to investigate the nation’s largest banks around robosigning, foreclosure fraud, and mortgage securitization fraud. They’ve also resisted a deal being worked out by Iowa AG Tom Miller and the Obama administration to grant a broad release of liability for matters connected to foreclosure fraud which haven’t even been investigated. They have been joined in that effort by a few other Justice Democrats, including Nevada’s Catherine Cortez Masto, Minnesota’s Lori Swanson, and Kentucky’s Jack Conway (Kamala Harris of California has left the Miller/Obama talks, but not joined the independent investigation of Schneiderman and Biden).

The Politico op-ed looks at the investigation that Schneiderman and Biden have undertaken.

The key to our strategy to root out the conduct that triggered the biggest financial crisis since the Great Depression is recognizing that a comprehensive effort requires an attack from both sides — looking at harm both to borrowers and to investors. So we are investigating four distinct, but interdependent, areas of abuse. Only one of those areas is being discussed in the negotiations now under way among the banks, the administration and some of our colleagues.

The American people deserve a full investigation and public exposure of the conduct that got us into the economic quagmire we face today. We must ensure that it never happens again. And we must restore public confidence that ours is a nation committed to the goal of equal justice for all.

This is a critically important investigation and one that should be conducted by all fifty state attorneys general, as well as the federal government. But sadly it hasn’t happened. Schneiderman and Biden have shown tremendous leadership in this area, as has Masto in Nevada. If there’s ever going to be accountability for actions which helped create the need and energy around Occupy Wall Street, it’s going to come through the work of Biden and Schneiderman.

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