BMO agrees with nearly 160 alleged mortgage fraud

Bank of Montreal (BMO) has entered into a settlement agreement with almost all of the 160 parties that accused him of taking part in a large mortgage fraud in Alberta learned CBC / Radio-Canada.

BMO continued lawyers, real estate agents, mortgage brokers and appraisers who have developed a complex fraud scheme. The financial institution claims to have lost $ 30 million in a scheme involving 325 people and about 70 million mortgages artificially inflated for the purchase of more than 200 properties between 2006 and 2007.

Sources told CBC / Radio-Canada a financial agreement was reached with almost all parts continued 160. Among the participants are 17 lawyers in Alberta BMO sued for negligence because of their involvement in the scheme. The Conservative MP Devinder Shory, a lawyer at the time, was among them.

Payments and penalties

Details of the agreement are confidential, but sources have revealed that the insurance lawyers of Alberta fund has agreed to pay $ 9.2 million to settle the lawsuit for BMO, on behalf of 17 lawyers.

The agreement does not mean that the accused persons have been convicted of the charges against them. MP Shory did not respond to interview requests, but has denied any wrongdoing in the past.

However, four lawyers named in the case have been sanctioned by the Law Society of Alberta and face reprimands or radiation. It is not always clear whether the other seven members of the Society, the member Shory receive sanctions. The other six lawyers pursued left the bar, have been removed, or no longer have the right for reasons that are not related to the cause.

Sources also told CBC / Radio-Canada Royal Canadian Mounted Police (RCMP) has closed the criminal investigation it had opened in 2010. The RCMP says she does not speak of an investigation, unless there is a charge is laid.

Asked about the status of the investigation, the BMO returned CBC / Radio-Canada to the RCMP, which did not respond to subsequent questions.

The scheme alleged

BMO maintains that fraudsters sought the least attractive houses in their neighborhood and bought at market value, and then resell them at a higher price, which was close to the market average in the area.

The bank alleges that fraudsters took advantage of the complicity of appraisers, attorneys, brokers and buyers acting as nominees. The latter, often newcomers received a few thousand dollars. In exchange, they bought houses with inflated prices, using false documents to convince the bank to give them a mortgage. The bank and found to pay the inflated price.

In one case, the alleged fraudsters have bought a large house in the neighborhood of Bearspaw, Calgary at $ 900,000 for resale to $ 2.3 million three years later, and pocketing a profit of 1.4 million.

BMO says fraudsters pocketed the difference between the normal price they paid and the inflated price of resale. They sent the money earned in several countries, including Lebanon, India, Pakistan, Saudi Arabia and Dubai, according to BMO.

For their part, the nominees found themselves unable to pay the mortgage, and the bank eventually enter their homes. Then she realized that the actual value does not correspond to what she had in her files. The fraud was detected in 2006.

Umanis: maintained its gross margin level in 2010

Umanis publishes a turnover of 14.6 million for the fourth quarter of 2010, against 15.3 million the previous year to the same period.

 The consultancy and engineering states that the fourth quarter of 2009 recorded a turnover of more than usual in buy / sell.

 Over the whole year, it achieved a turnover decrease of nearly 1.4%, impacted by a first half in particular still marked by the economic downturn.

 Umanis be maintained in 2010 indicates a level of gross margin close to that of the previous year, reflecting a "good cost control. "

 "This trend should continue in 2011, "said the group.

Goldman Sachs recommended investors buy 16 European bank stocks

Goldman Sachs Group (GS) 16 months for the first time investors to buy bank stocks in Europe, at the same time, bond investors are holding the opposite view, fearing that policy makers will be difficult to resolve the euro zone sovereign debt crisis.

 Since last November, Spain, Italy and Greece, the bank has been leading the Bloomberg European banks and financial services index (Bloomberg Europe Banks and Financial Services Index) rose 16%. Although Banco Santander (Banco Santander SA) (STD) over the same period rose 23%, UniCredit (UniCredit SpA) (UCG) shares rose 25%, but the two lenders had to provide investors with a record The highest level of spreads to sell bonds.

Eased the situation in Egypt gold was down 0.5%

In the gold futures jumped Friday after the market's fears about the situation in Egypt, have eased slightly, the New York Mercantile Exchange, gold closed down 31.

 Among them, the April gold futures fell 7.2 cents, or 0.5%, to close at 1,334.50 U.S. dollars / ounce.

 Chicago Lind Waldock, senior market analyst Adam Klopfenstein, said: "Most have appeared in last Friday buying, whereby the situation in Egypt is no tendency to spread to the Arab region, and the government are still in the running against the tide of Background, some investors decided to take profits. "

Last quarter of the global smart phone shipments up 75%

Market research company Strategy Analytics, the data show that the fourth quarter, the global smart phone shipments 94.1 million, an increase of 75%, refresh the record.
Last quarter, shipments of smart machines followed by the top three companies Nokia, Apple and RIM. However, with Samsung, Motorola, HTC and Sony Ericsson and other vendors have introduced a large number of Android phones, the three companies share in the global market last year, from 73% in 2009 down to 67%.
Nokia last year became the first intelligent machine within a year more than 100 million shipments of manufacturers. But the amazing achievements can not conceal the company's declining market share decline. Android Apple, and many in the competitive mobile phone manufacturers, Nokia's global market share last quarter, has moved from the fourth quarter of 2009 fell 39% to 30%.
Apple's shipments in the quarter rose nearly 1-fold, accounting for 17% global market share, slightly ahead of RIM.
RIM continues to be lack of touch screen mobile phone, dragged down global market share over the past year fell from 20% to 16%.
Last year, global smartphone shipments of 293 million. Compared to this, in 2008 this figure was only 151 million in 2009 to 175 million.

Or increase the supply of crude oil prices hitting a new low for 8 weeks

Widespread concern for the market to increase supply of crude oil, the New York Mercantile Exchange crude oil futures closed down 25.
Among them, the March crude oil futures contract fell $ 1.68, down 1.9%, at $ 86.19 / barrel, for November 30 last year, the lowest since.
Global Commodities Alert column editor Kevin Kerr pointed out that by the OPEC (OPEC) will increase the supply of implied or influence, crude oil futures had overbought condition softened.
Data, according to media survey showed U.S. crude inventories last week, is expected to rise 90 million barrels, distillate stocks are projected down 20 million barrels, gasoline stocks are expected to increase 220 million barrels. U.S. Energy Information Administration (EIA) data released in recent weeks shows that U.S. crude oil inventories remain high, growth in oil demand overshadowed the expected impact.
Commodity Broking Services managing director Jonathan Barratt said the cold weather in the northern hemisphere and the Alaska oil pipeline spill stimulated the early rise, the market was mistakenly believe that because of rising demand-driven growth, but it is not the case.

Late afternoon: U.S. stocks good corporate earnings continue to rise

By positive earnings reports push U.S. stocks continue to rise late Monday, the Dow hit a two and a half high. Investors this week will announce earnings and Obama optimistic State of the Union is expected to promote the stock market higher.
EST at 15:29 on January 24, the Dow Jones industrial average rose 81.17 points to 11,953.01 points, or 0.68%; the Nasdaq composite index rose 23.29 points to 2,712.83 points, or 0.87%; the S & P 500 Index rose 4.45 points to 1,287.80 points, or 0.35%.
Monday's trading session the Dow rose to its highest at 11,982.94 points, hitting a 2-year and a half high.
Alcoa (AA) to a 3.4% gain in the Dow's biggest gainers. Dow 30 stocks Intel (INTC) rose 1.7%, the chip maker announced a 15% dividend increase and stock repurchase plan approved by the size of its increase of 100 billion U.S. dollars. United Technologies Corp. (UTX) up 1.4%, the company will report earnings after the bell on Monday. American Express (AXP) will report earnings after the bell today, and its shares fell 1.1%.
Dow component, fast-food giant McDonald's (MCD) rose 0.4%. The company announced fourth-quarter net profit rose 2.1%, in line with market expectations. But investors at the end of this company same-store sales growth was slowing down. McDonald's December same-store sales increase of 2.6%, only about half of the increase in the previous two months.
Some investors believe the market rally on Monday, investors may be due to recent stock market declines are not much comfort.
Chase Investment Counsel institutional investors, portfolio manager and quantitative analyst Brian - (Brian Lazorishak) said, "the stock market has experienced a slight pullback. Perhaps the rise in the stock market today as investors were relieved during the callback But I expect the correction will go farther. "