The Spark

the Voice of
The Communist League of Revolutionary Workers–Internationalist

“The emancipation of the working class will only be achieved by the working class itself.”
— Karl Marx

Government to Homeowners:
Here’s $300, Go Away

Apr 15, 2013

Remember when the government said it would go after the banks and get help for the people who were stung in the sub-prime mortgage pyramid scheme? Well, their “help” is now revealed for the fraud that it is.

After the mortgage bubble burst in 2008, nationwide, the worth of homes evaporated. More than 11 million households were “underwater” by the end of 2011, and most of them still are. These homeowners had been tricked into buying overpriced homes with deceptive, fraudulent “adjustable” mortgage terms.

The collective losses of these 11 million homeowners came to more than 600 billion dollars. What was the government’s idea of “helping” those who lost so much?

Government regulators settled fraud charges against the banks for only a token 3.6 billion dollars, compared to those 600-billion-plus dollars in losses.

The first batch of checks to “help” defrauded homeowners were mailed April 12. Included were 568,476 checks for $300 each!

Three hundred dollars, to cover losses of tens of thousands of dollars? Only in a system owned and controlled by the banks could this be considered any form of justice!