Mortgage Crisis, part 2. Securities based on dark matter.

Naked Capitalism collects the story well.

According to court testimony, it looks like a lot of notes did not get properly transferred into the securities, meaning many of those instruments were, perhaps, based on nothing. Let's call these things dark matter securities. That would mean that there's literally no there there, and the investors who bought pieces of these heaps of nothing now hold less than nothing, if I follow rightly.

Of course, some of those holders would have to enter the fray and find proof in their cases. Gov't looks like it's trying to frame a "settlement" that waves a magic wand over it all.

But what of the government resale of all this nonstuff? The repackaging of dark matter with a bow on it? Could be the biggest cover-up in history in progress. Nobody look behind the curtain, and somebody call the fabric store!