Housing market hostages! A good explication of one aspect of the housing bubble scam. Once again the big banks end up somehow profiting from holding "bad" mortgages.
The author expresses puzzlement over the regulators unwillingness to do the right and obvious thing. I am puzzled that anyone could be puzzled at this point--the bubble scam is as diaphanous as it could be. Capital crashes the economy periodically when working people have amassed enough wealth as to be worth stealing.