Bank Of America E-Mail Leaks Are Here, How Much Will They Hurt?
Mar. 14 2011 - 2:10 am
By HALAH TOURYALAI
This morning, hacker group Anonymous went after Bank of America by releasing e-mails said to reveal “corruption and fraud” at the largest U.S. bank.
The emails, which were being teased for much of the weekend from Twitter account @OperationLeakS, are related to improper foreclosures by the Bank of America.
It looks like much of correspondence is with a former Balboa Insurance employee(which used to be owned by the bank) who is sharing information about improper mortgage processes the bank had in place.
Here are a quick few snippets from the conversation the informant had with Anonymous:
It seems like the actual internal emails in the Anonymous release are between Balboa Insurance employees and BofA employees, but tough to tell if there’s anything truly damning in the e-mails.
The informant tells Anonymous that he has emails revealing BofA’s order to mismatch loan numbers from their documents in order to foreclose on homeowners. Read the leaked Bank of America e-mails here.
The release from Anonymous (which is unrelated to WikiLeaks but is a supporter of the organization) comes about 4 months after WikiLeaks’ founder Julian Assange told Forbes he had troves of data that could take down a bank.
Last month it was revealed that Assange wasn’t sure about the negative impact of his BofA goods saying he isn’t sure the data he has on BofA contains any scandal, and that the material was not self-explanatory to the extent that he himself could not make any sense of it.
Bank of America has had months of warnings of about the possibility of a damaging leak, but so far the threats have yet to hurt its share price. Since late November when Forbes reported on the BofA megaleak from WikiLeaks, the bank’s shares have soared 27%.
So will the bank take a big hit when the markets open later this morning as a result of the Anonymous leaks? Maybe.
The leak as it stands has some potential to give the world insight into just how (allegedly, of course) BofA went about improperly foreclosing on homeowners.
There seems to be an organized effort to tamper with loan numbers and paper trails so that alone will pour salt on the bank’s foreclosure wounds.
Anonymous said on its Twitter account that today’s release is just Part One of other e-mails it will release on the issue. If those new e-mails detail exactly why these employees were switching or erasing information in loan accounts then BofA better lawyer up.
Also keep in mind that BofA (and other big banks) are in the midst of battling a massive battle with the 50 attorneys generals over foreclosure problems. These leaks may not bode well for BofA in that battle.
But perhaps the key issue in the Anonymous release is that it’s being provided by a former, and arguably, disgruntled employee.
Bank of America told Reuters that the documents were non-foreclosure related clerical and administrative documents stolen by a former Balboa Insurance employee.