Implode-o-Meter News - Rep. Campbell Tries To Stop Mortgage Eminent Domain With New Federal Law

``"There is no question that we need to take steps to assist American homeowners in distress," said Rep. Campbell. "These steps must not undermine rule of law, must not engage in corruptive and abusive practices, must protect the American taxpayer, and must not further degrade the housing market. The eminent domain programs in question are atrocious, corruptive, irresponsible and unconstitutional. We do need to fix the housing sector, but it must be done in a way that does not break the law and does not enrich undeserving, politically-connected entities in cities and counties with unsustainable budget deficits."''

The bill basically blacklists counties that have seized (even a single) mortgage in the past ten years -- not based on whether the financing (either before or after the seizure) had anything to do with Federal money or the GSEs. That is, even if private money was involved every time the mortgage was financed. Call us crazy, but this seems to be at least as much a violation of equal protection as the seizure idea is (potentially) a violation of eminent domain.

Relevant:

Rep. Campbell Tries To Stop Mortgage Eminent Domain With New Federal Law