More than 500 readers voted in Friday’s poll about whether we need the Consumer Financial Protection Bureau, one of the few meaningful reforms to come out of the bubble and crash fueled by Wall Street fraud. Nearly 73 percent said we did, even though congressional Republicans have been blocking President Obama’s choice to lead the agency and have expressed hostility to the CFPB even existing.
Fresh evidence for its need came with the Sunday column by the New York Times’ Gretchen Morgenson. She details the suit by Nevada Attorney General Catherine Cortez Masto against Lender Processing Services, the giant foreclosure and default outfit that works for major banks:
With this case, she demonstrated how enlightening an in-depth study can be. The complaint, which came after a 14-month inquiry, contends that L.P.S. deceived consumers by committing widespread document execution fraud, misrepresenting its fees and making deceptive statements about its efforts to correct paperwork. Investigators interviewed former L.P.S. employees and customers and examined foreclosures the company had worked on.More