Illinois Attorney General Lisa Madigan on Jan. 27 formally joined a national team tasked with holding lenders more accountable for acts that led to the country's housing crisis. The group, President Obama’s Financial Fraud Enforcement Task Force, will closely investigate questionable lender acts.
She joins U.S. Attorney General Eric Holder, Housing and Urban Development Secretary Shaun Donovan, Securities and Exchange Commission Director of Enforcement Robert Khuzami and New York Attorney General Eric T. Schneiderman on the task force.
“We are working on all fronts to hold accountable the many actors whose misconduct directly contributed to the financial crisis,” Attorney General Madigan said in a press release. “My office has cracked down on the nation’s largest lenders for defrauding homeowners and discriminating against minority borrowers. We’ve filed more lawsuits than any state against so-called mortgage ‘rescue’ consultants, and just this week, we filed suit against Standard & Poor’s for fraudulently claiming its independence and objectivity while giving out superior ratings to risky mortgage-backed security investments. I will continue to lead this fight as we collectively work to ensure that a disaster of this magnitude never happens again.”
Although it's a positive step, one has to wonder what kind of penalties, if any, this group can levy on individuals who have long since moved on from their executive positions?