Attorney General Eric Holder spoke at the Distressed Homeowner Initiative Press Conference on October 9. Seems to have been mostly fluff and void of any real substance. In an effort to sound as though the administration is actually doing something and might care, Holder said:

Neil Barofsky somehow showed up with a  post on LinkedIn. It’s not as if he doesn’t have enough blogs willing to publish his stuff. Martin Andelman even managed to rope him into a podcast over on his site. in any case, he’s got a shorty called “Banks Rule While The Rest Of Us Drool*”. It’s, for the most part, a tame rant about the TBTF still being TBTF and their lobbying efforts to get bigger and less apt to be held accountable.

In it he writes:

Wells Fargo, the countries largest originator of loans, is being sued by federal prosecutors today for lying about the quality of loans it sold to the government.  According to the suit, Wells concealed problems with over six thousand loans it had deemed “seriously deficient” from the Federal Housing Administration – the insurer of these crappy loans.

According to Manhattan U.S. Attorney, Preet Bharata who brought the case:

The Sun Sentinel reports that a group of foreign businessmen holding $150 million are scooping up hundreds of homes across South Florida. Vulcan says it will pay roughly $75,000 for homes once value...

Attorney General Eric Schneiderman filed a lawsuit against J.P. Morgan Chase & Co. in civil court last week. The suit comes in part as a result of the mortgage task force formed in January by the Justice Department and which so far has not been very inspiring or impressive.

The complaint, according to marketwatch.com, alleges that Bear Stearns and its mortgage unit “committed multiple fraudulent and deceptive acts” in promoting and selling residential mortgage-backed securities. It alleges that the bank “systematically failed to fully evaluate the loans” while leading investors to believe that the securities have been “carefully evaluated.”