BFCSA Blog

Denise Brailey was on 3CR's Renegade Economists Thursday - Podcast at: http://podcast.3cr.org.au/pod/3CRCast-2012-08-22-15522.mp3

My friend in Latvia sent me this today. Quite interesting, well I thought so. What y'allthink? http://www.youtube.com/watch?v=gN6z7urunf0&feature=related...

NZ bank practices 'predatory' RICHARD MEADOWS Last updated 05:00 25/08/2012 http://www.stuff.co.nz/business/industries/7545253/NZ-bank-practices-predatory             An Australian consumer rights activist claims New Zealand banks used predatory lending practices to profit from widespread mortgage fraud. Denise Brailey has sparked calls for a royal commission into the Australian banking sector on the same issue, and hopes to head to New Zealand this year to continue her crusade. Addressing the Australian senate this month, she outlined the systematic abuse of “low-doc” loans during the pre-financial-crisis property boom. Brailey has documents alleging the asset-rich and income-poor were specifically targeted by lenders in a grab for title deeds, with application forms doctored to push the loans through. Brailey, the Banking and Finance Consumer Support Association founder, has "no doubt" the fraud occurred on both sides of the Tasman. Four of New Zealand's major banks are Australian-owned. Of the hundreds of indebted New Zealanders she...

Please assist me with this one: We want researchers on to a task needed asap We want to record every major collapse and loss both here and in NZ.  I will start you off...please send them to my email address and place the word LOSSES in the subject bar. We want the following uniform details:  Remember ASIC has seen no systemic issues Name of company            Yr of Collapse    # Investors        $LOSSES$ BRIDGECORP                      2007                   14,500       $490 Million WESTPOINT                      2005                    8,000 (?)   $380 Million Place "?"mark there if not sure of figure....Liquidators have the actual figures....start digging Here are some of the collapsed firms:...

INDEPENDENT MP Andrew Wilkie believes the voluntary code of conduct used by the banking sector is a "toothless device" and must be changed to support consumers and small business. Full Story The Tasmanian MP says that since 2004 there have been 2.5 million complaints made against Australian banks but under the current code only 200 have been investigated. "There is clear evidence the current voluntary code of practice, which has been set up by the banks, run by the banks, overseen by the banks, frankly, it just doesn't work," Mr Wilkie told reporters in Canberra. He will introduce a private members bill into parliament to establish a mandatory banking code of conduct and give the Australian Prudential Regulation Authority (APRA) additional powers to "name and shame" banks that don't follow the code. It would also be able to fine banks that are repeat offenders. Mr Wilkie said the new code would...

I'm not a Facebook user or fan of it but there are a great many millions of people who are. My daughter doing a Marketing Degree just told me we need one to extend our message. We have a lot of Published Accounts from the media that could be posted on our page. I don't think we would want to use BFCSA in the page title but something catchy about Banking would be great. If we have a member who could set up a page it could be another avenue to get the TRUTH out to the Masses. Facebook is like living in another persons house it appears so the messages spread like wild fire through the FRIENDS Network that is Facebook. Not only would it provide another discussion forum but it may be the only avenue some people, like ourselves, have to find the BFCSA and realise that they are...

I was excited to see this morning the following link on  the Max  Keiser Report. As a part of our media release I sent a copy to them and others. They have been following it. They have linked back to the 7.30 report.  http://maxkeiser.com/2012/08/18/australias-sub-prime-scandal-finally-breaks-wide-open And these sites tonight: http://www.davidicke.com/headlines/71143-australias-sub-prime-scandal-finally-breaks-wide-open http://www.hangthebankers.com/australias-sub-prime-scandal-finally-breaks-wide-open/ Note to banksters: nowhere to hide now. Think that Australia wasn't going to become wise to your scam? Now the world is watching you. Come clean now and stand up as a true example how honest banking should be done and make amends for being lackeys for your banking shareholders. As a previous slogan ran: C'mon mate, do the right thing!...

by: ANTHONY KLAN From:The Australian August 17, 201212:00AM   Ken Powell, at his home in Halls Head, Western Australia, faces losing his and his wife's home. Picture: Colin Murty Source: The Australian   ONE of the lenders at the heart of the low-doc banking scandal will no longer provide borrowers with access to their loan application forms, despite widespread concerns the documents may have been fraudulently manipulated.   Firstmac - against whose loans the federal government has invested $1.5 billion - said it would deny borrowers the right to access information about the income and employment status that appeared on the loan application forms. The statement follows revelations by The Australian that during the last property boom, loan application fraud was widespread, with mortgage brokers and others in the lending chain overstating the income and other financial information of borrowers in the chase for profits. The products of choice were low-doc...

Financial predators in the backyard Philip Soos Published 11:23 AM, 17 Aug 2012 Last update 1:08 PM, 17 Aug 2012   inShare   The Conversation The level of sub-prime mortgages in Australia may be far in advance of what was previously assumed and provided for by banks. The story was broken on the ABC, and coveredelsewhere. The revelations centred around two personalities: Kate Thompson and Denise Brailey. Kate Thompson was a licensed mortgage broker at Mortgage Miracles in Western Australia. A highly regarded and award-winning broker, Thompson disbursed a veritable torrent of credit from bank and non-banking lenders to clients wanting funds to buy property, making around $5 million a year from upfront and trailing commissions. She is now facing fraud charges for what amounts to predatory lending: providing credit to people with little to no expectation they will be able to repay the entirety of the loan. This fraud was achieved by fudging the income and assets of clients,...

Hi all, For those who missed Monday's ABC coverage http://www.abc.net.au/7.30/content/2012/s3566922.htm

By Leith van Onselen Claims that Australia’s banking sector is conservative, safe and secure have taken a bath in recent days as evidence has emerged of Australia’s own sub-prime lending scandal. In April, we learned via the Australian newspaper how Australia’s largest banks are being forced to forgive mortgage debts of borrowers granted loans based on falsified or fraudulent information supplied by mortgage brokers. Then in June, the Australian followed-up with further reports (here and here) of Australian sub-prime lending, and the battle playing-out between unscrupulous lenders and borrowers. Now the Senate Inquiry into the post-GFC banking sector has revealed several instances of banks providing home loans to people who can’t afford them, and doctoring the paperwork so the loans looked okay. As well as allegations of widespread boosting in loan approvals. Perhaps the most shocking of the revelations are instances where the banks have been enticing elderly Australians into Ponzi-like...

August 13, 2012, 6:15 pm Damien Hansen Today Tonight   Marilyn Bellamy has nothing but regret after accepting a bank manager's offer to open up his branch early just for her. http://au.news.yahoo.com/today-tonight/money/article/-/14541077/bank-victims/#fop   Marilyn was getting was a line of credit for $300,000 from Westpac bank manager David St Pierre. St Pierre is now the subject of a Senate investigation. “I was able to get a low doc loan - it meant that I had equity in the house, I could stay in the house, pay everything - it sounded so good”, Marilyn said. Marilyn remortgaged her home to invest money into a fraudulent investment scheme spruiked by Liz Orchard. The scheme has also ruined the life of Dell Black who took out a $275,000 loan from Mr. St Pierre and her 98-year-old mother got one for $140,000. Gold Coast developer Rod Lambert says Westpac's lending practices need further investigation.“It's wiped...

The exceptional talents of Stephen Long will be at the forefront of exposing the collusive nature of banking practices in Australia. BFCSA has made several public calls for a Royal Commission into the Australian Banking Sector - this episode will explain why nothing less than a Royal Commission can be expected if the Government is to adhere to the wishes of its constituents. What you will see will rock the banking system to its core.  The corruption and the negligence of the regulators will at last be exposed.  Our fellow citizens will be horrified at the revelations you are about to see.\ DON'T MISS IT. Write to the Prime Minister and tell her to call a Royal Commission immediately....

We have plenty of Journalists and Reporters writing our message from the Eastern States and including overseas publications and interests.  Problem for Western Australians...we are a little parochial here..... and only one contact from local paper.  We are so isolated here and miss all main stream news.  Midland and Northam readers will have a wonderful time this week reading their publication this week...  Go the ECHO. I suggest you ring and order your copy and thanks Rashelle.  ...

For the purpose of bringing more exposure to the banking corruption along with the AFP and other State Police bodies' failure to investigate these acts of forgery and fraud, I strongly urge BFCSA and it's members to begin 'taking note' of those good journalists around the country that are willing to shine a light on what is going on in this area.I would firstly like to congratulate and thank Anthony Klan of The Australian for his ongoing work. Next up for a mention is Natalie Gerritsen from the Financial Review for her piece on Sean Butler's plight. I have not had time to check whether Ms Gerritsen has written more articles on the topic. Perhaps other members could assist as well in this?Let's start a 'Hall of Fame' for journalists, politicians and other players that do the right thing in assisting those who have had bank fraud perpetrated against them.It would...

Has anyone heard of or had dealings with City Link Finance? I have an Originator Number 19 on the documentation. The year of the application is 2003. I've been trying to locate the company on the off chance that they may have the originals (wet ink) of our LAFs. I have copies of just a few pages from First Mac/Tonto, but they were copies from the faxes received at Tonto in Brisbane. I've already asked the broker but had no reply. He was a friend/colleague of my late partner. Otherwise I'll have to work off the faxed and scanned copies. Thanks Lisa...

I SEE SOME IRONY IN THE FRONT PAGE STORY OF THE WESTERN AUSTRALIAN WEEKEND PAPER. THEIR IS A POOR MAN IN THE WATER ALL ALONE WITH A SHARK CIRCLING.  SOUNDS FAMILIAR  THEIR IS A LOOK OF FEAR ON HIS FACE SOUNDS FAMILIAR THEN I LOOK FOR ANY ARTICLE IN THE PAPER ABOUT THE SENATE INQUIRY. PAGE 23. I COULD WRITE MORE ON A POSTAGE STAMP. SHANE WRIGHT THE SO CALLED ECONOMICS EDITOR WROTE THIS ARTICLE. IT SHOULD BE SHAME WRIGHT NOTE SHANE WRIGHT THE EDITOR THAT WRITES VERY LITTLE.   ...

Page 6 Weekend Australian Anthoy Klan reports on class action for victims of the $3 billion Storm Financial collapse - lawyer said he had reviewed "hundreds" of low-doc loan application forms and the practice of fraudulently inflating borrower incomes was standard.  He said in almost every case borrowers were handed just one page of a larger document to sign and financial planners or mortgage brokers would later fill out the remaining page relating to a borrower's income. "There was no provision for a signture where there was provision for information and there was no provision for informtion where there was a provision for a signature."  "It's the case with applications involving almost every bank.  It seems they set up a system where they could make someone else appear responsible" Absolutely - this is precisely what happened to us and I'm sure it's what happened to all you folks out there swimming...

No confusion Mr Westpac; shame on you all > Your branch #shop61_Pacific Fair(Qld)Your 'former' branch manager.. quote: "when approached(by CourierMail) the former bank manager refused to comment on the allegations.. . .after millions of dollars were lent to elderly pensioners for investment in the failed property scheme. . most of the loans were handled thru Wespac @ Pacific Fair. .a former manager personally secured loans for investors mainly thru Westpac . . but sometimes thru other brokers."   Who will you target next. . the family pet bequeathed an estate??? Ring Fence the lot of you & maybe experience how starving farm animals feel not being fed after liquidating their owner!!!! Pacific FairBranch / ATM Shop 61, Pacific Fair Shopping Centre, 2-30 Hooker BvdBroadbeach QLD 4218P | (07) 5595-6222...

Denise in SBS News :-) See the report here: