David Saks

Do you absolutely have to have an attorney to close the deal? I don't think that there's a state in the Union that would require a buyer or a seller to have to have an attorney to close the deal. Do you know of one? Let me know if you do.

On the other hand, how do you feel about relying on a real estate broker or title company to handle the deal? Would it be ethical to discourage the use of an attorney for closing?

I think that just about everybody I know in the business recommends that an attorney be used at closing.

Why?

Attorneys know the ins and outs needed to get through the deal. They help make things a little easier for everybody. Attorneys are really good at working with agents, brokers, buyers and sellers when it comes to explaining the little nuances in the closing process. They're very good at explaining the legal stuff that Joe Buyer doesn't understand very well. Attorneys can also put up a nice barrier of protection for you in case things just happen to end up in a mess on the floor and in the ugly zone later.

Put your attorney to work today. He or she can really help you and make the process an enjoyable one as well. You'll be doggone glad you did !

What experiences have you had with your attorneys?

United States Attorney's Office Eastern District of New York Robert Nardoza Public Affairs Officer (718) 254-6323 Robert.Nardoza@usdoj.gov

FOR IMMEDIATE RELEASE                      June 19, 2008

TWO SENIOR MANAGERS OF FAILED BEAR STEARNS HEDGE FUNDS INDICTED ON CONSPIRACY AND FRAUD CHARGES

Investor Losses Total More Than $1 Billion

An indictment was unsealed this morning in federal court in Brooklyn, NY, charging RALPH CIOFFI, the founder and senior portfolio manager of two Bear Stearns hedge funds, and MATTHEW TANNIN, a portfolio manager of the funds, with conspiracy, securities fraud, and wire fraud. CIOFFI was also charged with insider trading.

The charges in the indictment are merely allegations, and the defendants are presumed innocent unless and until proven guilty.

The defendants are scheduled to be arraigned later today before United States Magistrate Judge Steven M. Gold, at the U.S. Courthouse, 225 Cadman Plaza East, Brooklyn, NY. The case has been assigned to United States District Judge Frederic Block.

The charges were announced by Benton J. Campbell, United States Attorney for the Eastern District of New York, and Mark J. Mershon, Assistant Director-in-Charge of the Federal Bureau of Investigation, New York Field Division.

According to the indictment, CIOFFI created the Bear Stearns High Grade Structured Credit Strategies Fund in 2003 and the Bear Stearns High Grade Structured Credit Strategies Enhanced Fund in 2006 (collectively referred to hereafter as the Funds). The indictment alleges that the defendants marketed the Funds as a low risk strategy that invested primarily in high grade debt securities, such as AAA and AA rated tranches, or pieces, of collateralized debt obligations (CDOs). CDOs are securities backed by a pool of debt securities, such as mortgages. Both funds utilized leverage, by borrowing capital from Wall Street lenders with the hope of earning a higher rate of return on their investments than the costs of the loans. By the late summer of 2006, the Funds held approximately $1.4 billion of investor funds under management.

The indictment alleges that by March 2007, the defendants believed that the Funds were in grave condition and at risk of collapse. However, rather than alerting the Funds' investors and creditors to the bleak prospects of the Funds and facilitating an orderly wind-down, the defendants made misrepresentations to stave off withdrawal of investor funds and increased margin calls from creditors in the ultimately futile hope that the Funds' prospects would improve and that the defendants' incomes and reputations would remain intact. The subsequent collapse of the Funds during the summer of 2007 resulted in losses to investors totaling more than $1 billion.

The Funds' Declining Financial Prospects

Throughout the spring of 2007, the defendants and other Fund employees privately acknowledged the Funds' declining financial prospects. According to the indictment, CIOFFI told another Fund employee that he feared the current state of the CDO markets and saw a long term meltdown on the horizon.

Similarly, in an April communication to CIOFFI, TANNIN stated,

"[T]he subprime market looks pretty damn ugly . . .. If we believe [our internal modeling] is ANYWHERE CLOSE to accurate I think we should close the funds now. The reason for this is that if [our internal modeling] is correct then the entire subprime market is toast . . .. If AAA bonds are systematically downgraded then there is simply no way for us to make money - ever." (Emphasis in original)

Notwithstanding their views to the contrary, the defendants led investors and creditors to believe that, despite the challenges presented in the market, the Funds would continue to generate an increasing net asset value.

The Defendants' Own Investments in the Funds

As alleged in the indictment, in the hedge fund industry, the fact that fund managers had their personal money in the funds they managed was critically important to investors. Personal investment, or "skin in the game," established a manager's faith in his fund and aligned the interests of managers with investors. However, the indictment charges that the defendants misled investors about the true nature of their investments in the Funds. Specifically:

● Throughout March 2007, TANNIN repeatedly told investors and Bear Stearns brokers responsible for selling the Funds that he believed that the market presented a buying opportunity and that he was adding to his investment in the Funds. In one instance, TANNIN told an investor, "[w]e are seeing opportunities now . . . I am adding capital to the Fund. If you guys are in a position to do the same I think . . . this is a good opportunity." In fact, TANNIN never invested more of his own money in the Funds.

● At the same time, while he was touting the prospects of the Funds, CIOFFI transferred $2 million of his approximately $6 million investment in the Enhanced Fund to another Bear Stearns hedge fund for which he had supervisory responsibilities. This latter fund had recently experienced returns far superior to either the High Grade or Enhanced Funds. CIOFFI never told investors he made this transfer and continued falsely to represent to investors that he held approximately $6 million in the Enhanced Fund.

The indictment charges CIOFFI with one count of insider trading based on this $2 million redemption.

Misrepresentations Regarding Investor Redemptions

The amount of investor redemptions, or requests to withdraw funds, is significant to other investors in a hedge fund. A relatively large amount of pending redemptions may indicate a loss of investor confidence in the fund. A fund facing large redemption requests runs the risk of reducing liquidity and of being forced to sell assets at unfavorable prices to raise cash, thus diminishing the value of the remaining investors' stake in the fund.

During an April 2007 conference call with investors - following his acknowledgment of the importance of investors knowing the status of redemptions - CIOFFI falsely represented that the Funds "only have a couple million of redemptions for the June 30 date," when he knew of approximately $47 million in total redemption requests for that date. CIOFFI also omitted any reference to $67 million in redemption requests scheduled for April 30, 2007 and May 31, 2007. According to the indictment, TANNIN also made misrepresentations concerning redemptions to a creditor of the Funds.

The Missing Notes

The indictment alleges that TANNIN's tablet computer, on which he took notes during 2007, and CIOFFI's notebook, in which he had made handwritten notes during the spring of 2007, both went missing after the United States Securities & Exchange Commission requested the production of documents and materials as part of its investigation of the collapse of the funds in the summer of 2007.

"Hedge fund investors, like all investors in our national markets, are entitled to rely on those to whom they entrust their investment dollars," stated United States Attorney Campbell. "Honesty and fair dealing are at the foundation of this relationship of trust and confidence. These defendants chose to breach that trust, and they will now be held to account." Mr. Campbell expressed his grateful appreciation to the Federal Bureau of Investigation and the United States Securities & Exchange for their assistance. Mr. Cambpell added that the investigation is continuing.

FBI Assistant Director-in-Charge Mershon stated, "Investing in hedge funds entails certain market risks, but investors don't assume the risk that fund managers will misrepresent facts. A fund can perform poorly and lose investor capital as a result of bad management, but losing investors' money isn't the crime. The crime is in misrepresenting the vitality of the fund, as these defendants surely did."

If convicted of securities fraud, CIOFFI and TANNIN face maximum sentences of 20 years of imprisonment. If convicted of conspiracy, they each face a maximum sentence of five years.

The United States Attorney for the Eastern District of New York is a member of the Corporate Fraud Task Force, a multi-agency group formed by President Bush in July 2002 to restore public and investor confidence in America's corporations following a number of major corporate scandals. In the past five years, the task force has yielded more than 1,200 corporate fraud convictions.

The United States Securities & Exchange Commission announced today that it has filed civil charges against both CIOFFI and TANNIN.

The government's criminal case is being prosecuted by Assistant United States Attorneys Sean Patrick Casey, John A. Nathanson, James Gatta, and Patrick Sean Sinclair.

The Defendants:

Name: RALPH CIOFFI
Age: 52

Name: MATTHEW TANNIN
Age: 46

Today, the U.S. Attorney's Office for the Eastern District of New York announced an indictment against two senior managers of failed Bear Stearns hedge funds, charging Ralph Cioffi and Mathew Tannin with conspiracy, securities fraud and wire fraud. Cioffi was also charged with insider trading.

The indictment alleges that the managers marketed the two funds as a low risk strategy, backed by a pool of debt securities such as mortgages.

The indictment alleges that by March 2007, the managers believed the funds were in grave condition and at risk of collapse, but made misrepresentations to stave off investor withdrawal.

The funds subsequently collapsed in the summer of 2007 resulting in approximately $1.4 billion in losses to investors.

"Mortgage fraud and related securities fraud pose a significant threat to our economy, to the stability of our nation's housing market and to the peace of mind of millions of American homeowners," said Deputy Attorney General Mark R. Filip.

"Operation Malicious Mortgage and our other mortgage-related enforcement actions demonstrate the Justice Department's commitment and determination to combat these criminal schemes, hold their perpetrators accountable and help restore stability and confidence in our housing and credit markets."

The Federal Bureau of Investigation

WASHINGTON - The Department of Justice and Federal Bureau of Investigation (FBI) announced today a national takedown of mortgage fraud schemes, the culmination of substantial coordinated efforts during the last three and a half months to identify, arrest and prosecute mortgage fraud violators through the United States. Operation Malicious Mortgage highlights the strong enforcement response undertaken by the Department of Justice and its law enforcement partners to combat the threat mortgage fraud poses to the U.S. housing industry and worldwide credit markets.

From March 1 to June 18, 2008, Operation Malicious Mortgage resulted in 144 mortgage fraud cases in which 406 defendants were charged. Yesterday, 60 arrests were made in mortgage fraud-related cases in 15 districts. Charges in Operation Malicious Mortgage cases were brought in every region of the United States and in more than 50 judicial districts by U.S. Attorneys' Offices based upon the law enforcement and investigative efforts of participating law enforcement agencies. The FBI estimates that approximately $1 billion in losses were inflicted by the mortgage fraud schemes employed in these cases.

In addition to fraud directly related to individual mortgages, the Department is committed to investigating and prosecuting cases of mortgage-related securities fraud. Today, the U.S. Attorney's Office for the Eastern District of New York announced an indictment against two senior managers of failed Bear Stearns hedge funds, charging Ralph Cioffi and Mathew Tannin with conspiracy, securities fraud and wire fraud. Cioffi was also charged with insider trading. The indictment alleges that the managers marketed the two funds as a low risk strategy, backed by a pool of debt securities such as mortgages. The indictment alleges that by March 2007, the managers believed the funds were in grave condition and at risk of collapse, but made misrepresentations to stave off investor withdrawal. The funds subsequently collapsed in the summer of 2007 resulting in approximately $1.4 billion in losses to investors.

"Mortgage fraud and related securities fraud pose a significant threat to our economy, to the stability of our nation's housing market and to the peace of mind of millions of American homeowners," said Deputy Attorney General Mark R. Filip. "Operation Malicious Mortgage and our other mortgage-related enforcement actions demonstrate the Justice Department's commitment and determination to combat these criminal schemes, hold their perpetrators accountable and help restore stability and confidence in our housing and credit markets."

"Operation Malicious Mortgage is a concerted, joint law enforcement and prosecutorial effort aimed at disrupting individuals and groups engaged in mortgage fraud," said FBI Director Robert S. Mueller, III.  "This operation is an example of our unified commitment to address this significant crime problem.  The FBI will continue to direct investigative and analytic resources towards mortgage fraud and corporate securities fraud that threaten our nation's economy."

Operation Malicious Mortgage represents the joint collaborative efforts of the FBI, U.S. Postal Inspection Service, Internal Revenue Service-Criminal Investigation Division, U.S. Immigration and Customs Enforcement, U.S. Secret Service, U.S. Trustee Program, Department of Housing and Urban Development Office of the Inspector General, Department of Veterans Affairs Office of the Inspector General, and Federal Deposit Insurance Corporation Office of the Inspector General. Operation Malicious Mortgage is the most recent coordinated sweep in an ongoing law enforcement effort to combat mortgage fraud, which also included Operation Continued Action in 2004 and Operation Quick Flip in 2005.

Mortgage frauds employ a variety of tactics including misrepresentations, deceit and other criminal abuses to fund, purchase or insure mortgage loans.  Operation Malicious Mortgage addresses primarily three types of mortgage fraud schemes:  lending fraud, foreclosure rescue scams and mortgage-related bankruptcy schemes.  Lending fraud frequently involves multiple loan transactions in which industry professionals construct mortgage transactions based on gross fraudulent misrepresentations about the borrower's financial status, such as overstating the borrower's income or assets, using false or fictitious employment records or inflating property values.  Foreclosure rescue scams involve criminals who target legitimate homeowners in dire financial circumstances and fraudulently collect fees for foreclosure prevention services or obtain ownership interests in residential properties.  Both of these fraudulent mortgage schemes may be furthered by filing bankruptcy petitions that automatically stay foreclosure.

The President's Corporate Fraud Task Force, chaired by Deputy Attorney General Filip, is also responding to issues raised by mortgage fraud in the corporate sector. Created in 2002 to investigate and prosecute significant financial crimes, the Task Force includes representatives from ten federal departments, commissions and agencies, in addition to seven U.S. Attorney's Offices and two Divisions within the Department of Justice, combining the experience of thousands of investigators, attorneys, accountants and regulatory experts. Since July 2002, the Department of Justice has obtained nearly 1,300 corporate fraud convictions, including the convictions of more than 200 chief executive officers and corporate presidents, more than 120 corporate vice presidents and more than 50 chief financial officers.

An indictment is not evidence of guilt. All persons charged with a crime are presumed innocent until proven guilty beyond a reasonable doubt.

Source: http://www.fbi.gov/pressrel/pressrel08/mortgagefraud061908.htm 

Sarah Walker was beautiful. She was the mother of two children. She sold homes for a living. Everyone loved her.

She was at work in her office in a model home in a beautiful new subdivision in McKinney, Texas at 5700 Conch Train. A couple visiting the model home came by at 1:23 p.m. on July 8, 2006, and found Sarah. She was dead, on the floor of the kitchen in the model home, stabbed more than 33 times.

She was killed by a piece of trash, garbage, a scumbag, a worthless slimeball, a reprehensible piece of cheap crap, a filthy pig, someone that should have been defecated on and executed.

The North Carolina parolee, who had been in Texas for only five months, knocked at the door, claiming his car had broken down.

Kosul Chanthakoummane asked to use the telephone, became furious about the realtor's dog, asked if it would bite, and left. He came back and killed Sarah.

This filthy monster, a 27 year old felon, who was out on parole, had been serving time for kidnapping an elderly couple. This cowardly, stinking garbage pile broke into a home, assaulted two elderly female residents at gun point, and stole their car.

Chanthakoummane walked in to the model home where Sarah was working, picked up a 25 pound plant stand and struck Sarah in the face and head with it. The force of the blow broke Sarah's nose, knocked out her teeth and smashed the bones in her face. This driveling, smelly scumbag then stabbed Sarah in her forearm, back and neck 33 times.

It took the Collins County, Texas jury about a half an hour on Wednesday, October 17, 2007 to convict and decide beyond reasonable doubt that Kosoul Chanthakoummane was guilty of murdering real-estate agent Sarah Walker on July 8,2006.                                                                                         

Why was this trash put back out on the street? He was released because of a "prison overcrowding law". The sick,stinking trash was sentenced to life without the possibility of parole. He should've been executed.

                                                                                                                  Chanthakoummane

Sarah Walker was beautiful. She was the mother of two children. She sold homes for a living. Everyone  loved her. Except for her murderer.

What can we do together to prevent injury and protect ourselves and our loved ones from violent criminals?

Please be safe, all of my friends, always.

-David-