The Law
The mortgage elimination promoters cite various court cases in support of their position. At first blush, it would seem there are dozens of court cases in which the judge actually did what they claimed, that is, declare a mortgage void because the lender used borrowed funds for the loan. But, since most laymen are not trained in the law, they take this stuff, hook, line and sinker.
I've read the decisions and they all have a common theme: they don't support the mortgage elimination theory. In fact, most of the cases are only vaguely on point.
The "tax protestor" promoters did the same thing... take a quote from a judge's decision out of context and cite the case as support for their position. In the end, the tax protestors all lost in court, paid large fines and went away with their tails between their legs. The government went after the promoters of the scam.
Similarly, the government is going after the promoters of the mortgage elimination scam. The Federal Reserve recently issued a warning, a copy of which can be found at the end of this article. The Office of the Comptroller of the Currency issued a similar warning last year.
The FBI recently raided the office of the Dorean Group, a big promoter of the mortgage elimination scheme. Click here to read about it.
