Watchdog slams Obama mortgage rescue program
A congressional watchdog says that a US Treasury program is failing to help troubled borrowers. A new report from the Congressional Oversight Panel for the Troubled Asset Relief Program says the $700 billion program is delaying foreclosures, not preventing them.
“I’m worried. I’m deeply worried,” Elizabeth Warren, Chairwoman of the oversight panel, told ABC’s Bianna Golodryga Tuesday.
The home modification program was supposed to rescue up to 4 million American homes but has only helped about 170,000.
“We’re adding about 200,000 families a month to postings for foreclosures. There’s no obvious end in sight. This is a crisis,” Warren continued. The full benefit of the most recent homeowner programs won’t be felt until 2011, according to ABC News.
“When Wall Street had a problem, we managed to find solutions and find them very fast. We are not doing the same for the real economy and that’s where the emphasis should be,” said Warren.
Warren is somewhat of a heroine for her work at the oversight panel. Arianna Huffington suggested that she be considered to replace Supreme Court Justice John Paul Stevens. But Warren is continuing to focus on her work.
“What I’m doing right now is working on the mortgage foreclosure report,” Warren told ABC News.
“There is no one who ever went to law school who doesnÃ¢â‚¬â„¢t think about the honor of receiving a call from the President of the United States, to say talk to me about the United States Supreme Court,” she said.
This video is from ABC’s Good Morning America, broadcast April 13, 2010.