Victory! Obama announces big bank fraud investigation

But sweetheart AG settlement still a real possibility

 Congratulations! President Obama has heard the calls of the 99% and announced a full, federal investigation into the fraudulent activities of big banks. In Tuesday's State of the Union address, President Obama said:

"We've put in place new rules to hold Wall Street accountable so crises like this never happen again ... I intend to fight obstruction with action ... And tonight, I am asking my Attorney General to create a special unit of federal prosecutors and leading state attorneys general to expand our investigations into the abusive lending and packaging of risky mortgages that led to the housing crisis. This new unit will hold accountable those who broke the law, speed assistance to homeowners, and help turn the page on an era of recklessness that hurt so many Americans."

Congratulations to all of you who fought for and won this amazing victory. This wouldn't have happened without you.

Now we need to make sure that this investigation has real teeth-that all administration resources go to uncovering the truth about the activities of the big banks.

And in order to provide real and meaningful relief to millions of homeowners, the end result must be at least $300 billion in principal reduction and restitution for those who have lost their homes, especially targeted to the most hard hit communities. This will reset the housing market and the economy.

In the meantime, there is still a sweetheart deal in the works between state Attorneys General and the big banks. We must continue to fight and make sure the banks are held accountable for their crimes and that any agreement will not interfere with President Obama’s promised comprehensive investigation.

If you haven't yet called President Obama to tell him "no sweeheart deals - we need a full investigation," please call him today!