The Federal Reserve Board has published a policy that was adopted to help avoid preventable foreclosures on certain residential mortgage assets held, owned or controlled by a Federal Reserve Bank.
The Federal Reserve Board has decided to apply the policy to the residential mortgage assets held by Maiden Lane, LLC, Maiden Lane II, LLC and Maiden Lane III, LLC. Maiden Lane, LLC was formed to facilitate the acquisition of The Bear Stearns Companies, Inc. by JPMorgan Chase. Maiden Lane II, LLC and Maiden Lane III, LLC were established in connection with the restructuring of the assistance provided by the government to American International Group, Inc.
The policy also was developed pursuant to section 110 of the Emergency Economic Stabilization Act.
See the press release for full details.