Click on our Secret Library of Evidence ------>

    BANKILEAKS Secret Library

Loan Application Forms (LAF's)  

    Bank Emails to Brokers  

    Then Click on 'VIEW NOTEBOOK'

Join us on facebook

facebook3           facebook2 


What BFCSA Does...

BFCSA investigates fraud involving lenders, spruikers and financial planners worldwide.  Full Doc, Low Doc, No Doc loans, Lines of Credit and Buffer loans appear to be normal profit making financial products, however, these loans are set to implode within seven years.  For the past two decades, Ms Brailey, President of BFCSA (Inc), has been a tireless campaigner, championing the cause of older and low income people around the Globe who have fallen victim to banking and finance scams.  She has found that people of all ages are being targeted by Bankers offering faulty lending products. BFCSA warn that anyone who has signed up for one of these financial products, is in grave danger of losing their home.


Articles View Hits

Whistleblowers' Corner!

To all mortgage brokers, BDMs and loan approval officers! 
Pls Call Denise: 0401 642 344 

"Confidentiality is assured."

Cartoon Corner

Lighten your load today and "Laugh all the way to the bank!"

Denise Brailey

Led by award-winning consumer advocate Denise Brailey, BFCSA (Inc) are a group of people who are concerned about the appalling growth of Loan Fraud around the world. BFCSA (Inc) is a not for profit organisation in the spirit of global community concern and justice.

Click on the Cluster Map.

  • Home
    Home This is where you can find all the blog posts throughout the site.
  • Categories
    Categories Displays a list of categories from this blog.
  • Bloggers
    Bloggers Search for your favorite blogger from this site.
  • Login
    Login Login form

BFCSA: Question for Captain Haddock: Due Diligence on Security NOT THE LOAN

  • Font size: Larger Smaller
  • Hits: 2076
  • Print

Thank you for your efforts in adding to this debate and ongoing investigation into the AOFM purchases of RMBS investments.  The main issue that I see is that the Government cannot and ought not to profit from a fraud.  The fraud is in the genesis of the income stream.

The Australian Office of Financial Management told the Senate they only did due diligence on the security and not on the loan. If there is just one tainted loan, it is inappropriate to say the least that the Government backs it and therefore all tainted loans must be identified and removed.

Surely, you would agree with that Captain?   There can be no other solution.  If the Government on-sell the securities which contain a portion of those toxic loans, then the Australian Government is indeed profiting from a fraud because there is no loss.   That is the issue explained to Parliament that 8-10% of the loans are sub-prime Low Docs.  Fitch suggested at the time that the Low Doc component of the of mortgage market are in vicinity of 8-10%. 

A sample of 1000 low doc forms in a survey would be considered a “reasonable sample.”  We conducted our own survey amongst our members and there was not one clean loan amongst the documents discovered to date.  Not one!   That result is surely enough cause for alarm bells to be ringing louder than Big Ben, would you not say?

Since our evidence in Parliament, we have dug even deeper into the structure of these securities. 

Alarmingly, 10% of those surveyed did not consult with a broker and had loans arranged for them via Bank Managers and arranged specifically as FULL DOCS.

If the $12 Billion of RMB securities contain a consistent 10% Toxic Full Docs as we have discovered, then the Senators should be demanding a Royal Commission into the Banking and Finance Sector and to include lawyers, developers, auditors and liquidators in that monster probe.

We as a nation are poised to uncover those things the Government has not told us about and which regulators have not even investigated and/or reported on.  Surely, citizens need to be forewarned of what has been going on and continues to occur in the banking sector in Australia.

As Senator Williams has said: “if the Full Docs are infected by fraud….etc.”   Yes indeed, we now know that 10% most likely are.  Our regulators are saying “the banks are the engineers.”  We know.  Therefore ASIC prosecuting brokers (little fish) and allowing the Bankster Sharks to escape the net is no longer an option.

The Banking and Finance industry has become so infested with sub-prime lending products and continues to be so, that the most intelligent place to verify low doc lending fraud is a full audits on the loan documentation and not whether the loans are “secured” by people’s homes.

Refinancing has slowed right down.  How can banks continue to refinance each other's toxic debts, as they have done in the past?

The shonky audits are the main issue Captain.  So why are the AOFM, APRA and Treasury reluctant to take a closer look at the actual loan documentation even after we have published our findings?  There may be no “losses” recorded to date as the securitised products are being on-sold to unsuspecting investors. 

Eventually the losses will be realised and the seller is the Australian Government.  Is that what we wish to achieve as a nation: become the seller of dodgy products?

When the loans default, who will be game then to repossess the homes of the victims, where the borrower is crying fraud/ foul and intent on defending his/her castle?  What then?  Multi level Bank Scams, across the nation involving and implicating the Government are deserving of a Royal Commission. I would have thought.  Have a look for the audits on the actual loans Captain.  Find any?

No need for a Royal Commission?  You be the judge!

This email address is being protected from spambots. You need JavaScript enabled to view it.

Last modified on
Rate this blog entry:


  • doyla66
    doyla66 Wednesday, 06 March 2013

    Capt Haddock says:

    Capt Haddock says: I have seen "under the bonnet". (This is not to take away from the fact that the information is there if you want to look by the way). Effectively what that means therefore is that you are speculating as to what is the case where as I actually know.

    With Respect Sir, if you have indeed been under the bonnet, as you say and the information is there if you want to look it up, why are you not revealing where it is? We all work and have to look after our cases etc after hours, whilst the regulators, govt Joes and 'under the bonnet' people are watching BFCSA's website, blogging and commenting on someone else's time, as paid employees - probably being paid from Tax Payers money! So if you know something that can unveil the depth of the problem then why not do that instead of being coy? As you say: "I actually know". So you must decide sir, whether you are part of the 'problem' or part of the solution. We are a grass-roots community that has risen from consumer need, born from regulator and government neglect. Telling us that you 'actually know' and not coming up with the goods, (even if it is in confidence with Denise and not publicly on this forum) sounds like that childish saying, "That's for me to know and you to find out".

    Quick maths lesson: 10% of $12,000,000,000 equals $1,200,000,000. That's right $1.2 BILLION! If the AOFM sells them offshore, which they said was their plan, then they are deliberately off-loading a faulty product and I'm sure our reputation of being a great, stable investment opportunity would be in the toilet in 24 hours. Are the AOFM exec's so arrogant they don't think the monster investors will smell a rotten carcass somewhere?

    What happens when those overseas investors come to repossess Australians' homes? Where will you be then Capt?

  • doyla66
    doyla66 Wednesday, 06 March 2013

    Fraud is subterranean by nature & "profit driven". AOFM's deliberate inaction to test evidence defrauds thru "asset lends" unlawful.

    In knowingly doing nothing, contrary to it's duty of care, it's conduct constitutes perverting the course of justice, --the "three wise monkeys" must be working overtime at that institution;

    -- or prove us otherwise ---take a sample of 1000 Low-Doc Loans, out of the 150,000+ loans going thru your "cash register", check them for fraud properly ---contact the borrowers honestly. Not so hard to do, surely?

    No loss = perfect fraud in this instance = perfect crime. >>>then the sound of a "CRASH", having endorsed the sale of tainted goods --the Old Bailey would send you to the Colony for such a crime, ...hmmm, but AOFM are returning the favour by forwarding the tainted goods back overseas?

    What will "they" say, when they discover the true nature of those tainted goods sold in "goodfaith"? ---Thanks 'cobber' or 'robber'? but no thanks, you can have them ALL back?

Leave your comment

Guest Thursday, 29 October 2020