The Colbert Report: HB Gary gets a new a**hole
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It sounds like the basis for a Monty Python sketch, rather than a $50,000 lawsuit. A woman from Pennsylvania is suing Bank of America , after a contractor wrongly repossessed her home and impounded her beloved pet parrot.
Angela Iannelli was separated from Luke, a blue macaw, for more than a week. The incident last October caused so much "emotional distress", she said, that she was forced to begin taking prescription medication for anxiety.
Her lawsuit alleges that a contractor working for the bank broke into her home near Pittsburgh, changed the locks, cut off the utilities, damaged the floors, poured antifreeze down sinks and toilets, and "stole" the parrot.
Bank of America has admitted wrongdoing, saying a clerical error meant the debt collector was wrongly told that Ms Iannelli's home was empty, that she was in default on her mortgage, and that it should be repossessed.
In fact, Ms Iannelli, who owns a local diner, still lived at the address. Records show she'd missed one mortgage payment , but that the debt was quickly settled, a couple of days after the due date.
The lawsuit has shone an uncomfortable light on major US banks, who have been widely accused of Kafka-esque incompetence and a failure to offer sufficient help to the eight million US home owners who are in foreclosure.
When Ms Iannelli rang Bank of America, they first denied knowing where the parrot was, and then told her she could drive to the offices of the contractor, 80 miles away, to retrieve the bird herself. Call-centre workers later told her they were "tired" of hearing from her, advised her to seek help from the police, and hung up. Bank of America has now apologised, saying it is conducting a review and has "zero tolerance for that kind of error".
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California has over $17 billion on deposit in banks that have refused to honor its IOUs, forcing legislators to accept crippling budget cuts. These austerity measures are unnecessary. If the state were to deposit its money in its own state-owned bank, it could have enough credit to solve its budget crisis with funds to spare.
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Among the banks rejecting California’s IOUs are six of particular interest: Citibank, Union Bank, Bank of America, Wells Fargo, U.S. Bank, and Westamerica Bank. These banks are interesting because they are six of the seven depository banks in which the state of California currently deposits its money. (The seventh is Bank of the West, which loyally said it would accept the IOUs indefinitely.)
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Rather than showing their gratitude by reciprocating, however, six of the seven depository banks have refused to honor California’s IOUs. Worse, three of these six actually received federal bailout money from the taxpayers, something that was supposedly done to keep credit flowing to the states and their citizens.
You go, Dennis!!
Kucinich Grills Lewis on Fed Emails
Bank of America CEO Ken Lewis took a pounding Thursday from the House Committee on Oversight and Government Reform. One of the most damning exchanges occurred between Lewis and Dennis Kucinich (D-Ohio), when Kucinich exposed Lewis' request for government cover from shareholder lawsuits stemming from BofA's troubled merger with Merrill Lynch
Prior to the merger, according to Kucinich, Lewis requested a letter from New York Fed chairman Ben Bernanke and then-Treasury Secretary Hank Paulson declaring that the government had ordered him to acquire Merrill's losses. Kucinich presented e-mails from Bernanke and his general counsel contradicting Lewis' own claim that his lawyers didn't think disclosure of Merrill losses to his shareholders before the merger was necessary.