Specialist in “lower-quality mortgages” sounds similar to Wachovia
First National Bank, Arizona’s largest locally based bank and a specialist in lower-quality mortgages, was closed by regulators yesterday, a victim of such problem loans and an ongoing real-estate slump. Federal banking regulators closed 28 branches of 1st National Bank of Nevada and First Heritage Bank, operating in Nevada, Arizona and California. The banks are owned by Scottsdale-based First National Bank Holding Co.
The bank’s failure, the second major bank collapse in recent weeks, will cost the Federal Deposit Insurance Corp.’s insurance fund an estimated $862 million. The bank will be taken over by Mutual of Omaha, according to a report by CBS News.
Investment bank Bear Stearns nearly collapsed in March, but was bought out by banking giant JPMorgan Chase & Co. in a deal orchestrated by the Federal Reserve Bank of New York.
Bloomberg News has reported that times are dire for Wachovia Bank. Even after the recent hiring of Treasury Undersecretary Robert Steel as CEO, the banking giant has turned in a record quarterly loss of $8.9 BILLION, slashed dividends and announced 6,350 job cuts. The stock slumped as much as 10 percent in New York trading. This loss marks the first time Wachovia has posted consecutive losses in at least 20 years.
What the article omits is that Wachovia’s Foundation, working in concert with the racist National Council of La Raza (The Race), provided $16.25 million to assist with “economic development” in Latino communities in the United States.
Michelle Malkin previously reported on a Wall Street Journal article documenting the fact that in recent years, banks across the country have begun offering checking accounts and mortgages to the nation’s fast-growing ranks of illegal aliens.
July 26, 2008 at 11:06 am
Glad you have the courage to tell this like it is. That’s why I keep coming back for unvarnished truth. It has become so politically INcorrect to call attention to the effects of illegal immigration. John McCain is not the only one pandering to this crowd. Obviously America’s banking institutions are, also. My brother-in-law, was a mortgage lender until the bottom began falling out. He has related horror stories along this line. Where American citizens struggle, illegals are able to get “pre-qualified” for home loans they are unable to afford. Then federal grants kick in to give an additional “much needed” assist.
July 26, 2008 at 12:22 pm
This is full of disturbing facts. I oppose all of the bailouts. Small businesses sink or swim on their own acumen. but banks that make questionable loans and finance groups like LaRaza are assisted in this corruption? Banks are federally insured so their depositors have a safety net up to $100,00D. Funding those who are unqualified for loans is the first mistake and should not merit rewards by the taxpayers who fund the feds–in case anyone has forgotten that pesky fact.
July 26, 2008 at 2:08 pm
This is infuriating. It will only get worse, I fear.
July 26, 2008 at 4:09 pm
What is the rationale for favoring one ethnic group over another for home loans and other benefits? Americans come in all stripes. But many of these people are not even Americans. We are funding our own demise. Absolute lunacy!
July 27, 2008 at 7:04 am
The biggest enabler in the mortgages-for-illegals fiasco is chicanos por la causa. CPLC made millions for their lender friends structuring fraudulent home purchase contracts. Andy Thomas–please investigate CPLC to uncover criminal illegal alien enablers.