Index

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Abe, Shinzo, 301

Abood, Maya, 204

Adams, James Truslow, 155, 327–38

Addario, Dominick, 91–92

adjustable-rate mortgages, 10, 16–17, 58, 200

African Americans, 23, 24, 183, 185, 186

    increase in lending to, 324

    Los Angeles community, 193–99, 205, 233

    See also racial discrimination

Aguilar, Orson, 205–6, 223, 226–27, 230

Ailes, Roger, 109–10

Allen, Brian, 243

Alt-A mortgage, 16, 21, 53

American Civil Liberties Union, 136–37

American Dream, 150, 198, 254, 272, 327–28, 330

    Colony Homes as mockery of, 314–15

    See also home ownership

American Enterprise Institute, 22

American Homes 4 Rent, 144, 164

American Savings and Loan, 126, 127

Ameriquest, 52–53, 131

Anthony, Carol, 73

apartment complexes, 106, 111–12, 306–7

    Trump Organization, 267, 276–89, 291

Appelbaum, Eileen, 80

Apprentice, The (TV program), 292

Arizona, 115, 129, 159–63, 201

Asian financial crisis (1997), 45, 138

Atlanta, 111, 129, 184, 310–16

Bair, Sheila, 19, 33, 34–35, 55–56, 59–60, 79

    Bull by the Horns, 57, 212

    capitalization rules, 81–82

balloon payments, 16, 21, 58, 131

Banc of California, 221–24, 225

Banking Act (1933), 251–52, 253

Bank of America, 65, 85, 210, 212, 221, 223

    Merrill Lynch takeover, 229

bankruptcy, 212, 268–71, 292

    Ross manipulation of, 79–81, 300

banks

    bailouts, 19, 25, 26, 31, 63–64, 126, 132, 135–36, 212, 214, 223, 247–48, 252, 325

    Brandeis critique of, 246–47

    commercial separated from investment, 251, 252–53

    community, 15, 77, 83

    CRA obligations, 220–21

    deposit insurance, 19, 32, 33, 157, 251

    failures, 30–35, 54–60, 62, 78, 79–82, 203, 212, 223, 231, 251, 272, 309

    financial “stress test,” 156

    five largest, 85

    lines of credit, 140

    lobbying by, 156, 173

    merger regulations, 221–22, 229

    racial discrimination, 202, 203, 323–24

    record earnings, 305

    regulation of, 214, 246, 250, 325

    repossession, 7, 9, 10

    runs on, 29, 64

    savings and loan, 56, 63 (see also savings and loan crisis)

    “too big to fail,” 156, 213, 214, 252, 309

    traditional workings of, 14–15, 33–34, 38

    Volcker Rule, 156–57

    See also mortgages; specific banks

Bank Secrecy Act (1970), 108

BankUnited, 79, 81, 138, 156, 157, 221, 223

Baradaran, Mehrsa, 326

Barbarians at the Gate (book and film), 61

Barclays Bank, 215

Barnhart, Les, 8–12, 95

Barrack, Thomas J., Jr., xxxi, 115–42, 153, 156, 162, 210, 225, 306, 316

    background, 119–24

    business interests, 117–25, 317

    cash sources, 139–40

    “contrarian investments,” 126–28

    flipping practices, 235–37

    housing empire, 163–64, 210, 320–21

    investment philosophy, 126–31, 137–40, 143, 155, 169, 204, 292, 317

    LLCs, 139–41, 201–2

    marriages, 303

    mortgage-backed securities, 236–37, 255, 257, 310, 321

    personality, 117–18, 123

    personal values, 121–22, 184, 291–92

    press relations, 320

    Trump friendship, 125, 130, 255–59, 263, 313, 320

    See also Colony American Homes; Colony Capital; Colony Financial

Barrack, Thomas J., Sr., 119, 120–21

Barrett, Wayne, Trump: The Greatest Show on Earth, 270, 282, 286–87

Bass, Robert, 126

Beach Haven apartments, 276–82

Bear-Stearns Companies, 24, 229, 247

    collapse of, 155

Berning, Catherine, 96

Better Business Bureau, 313–14

Blackstone Group, 47, 149, 151, 155–59, 167, 255, 266, 310

    assets, 163

    debt bundle, 308, 322

    flipping, 157, 242

    foreclosure buy-ups, 144–46, 165

    founding, 153

    Invitation Homes, 162–66, 308, 321

    legal problems, 157

    mortgage-backed securities, 237, 243, 322

    wealth profits, 322–23

Blair, Gwenda, 282

    The Trumps, 268, 269, 271, 275

Blankfein, Lloyd, 148

Blinder, Alan, 25–26, 27

Bloomberg, Michael, 148

Boiler Room (film), 53–54

Bonderman, David, 126

bond market, 18, 59, 183–84

    bailout of, 26

    international, 38

    sale of tranches, 23, 39–40, 240, 255

Bovenzi, John, 30–31, 32, 34, 57–58

Bradley Martin Ball, 147–48

Brandeis, Louis, 246–47, 248, 250

    Other People’s Money and How the Bankers Use It, 246–47

Braun, Robert, 222

Briar Wyck Apartments, 285

Brock, Margaret, 124–25

Broidy, Elliott, 108

Brown, Pat, 196

Browning School, 249–50

Bryan, Brice, 75, 94

bundling, 14–18, 25, 80–81, 126–27, 292, 308, 321–23, 326–27

    appraisal of, 243

    distressed houses and, 140, 317, 322

    mortgage-backed securities, 54, 127, 236, 239–43

    mortgages, 31, 38, 54, 173

Bush, George W., 132, 134, 146, 173, 174

Bush, Jeb, 255

Butler family, 186, 190–202, 205, 237–39, 255

    loss of Los Angeles home, 199–201, 317–18, 320, 321–22

California Reinvestment Coalition, 203, 210–21, 226–31

Cal-Western Reconveyance Corporation, 97–98

Cal-Western Reserve Finance Corporation, 105

Capehart, Homer, 281

Carey, David, King of Capital, 145, 146, 163

car loans, 39, 173

Carnegie, Andrew, 154

Carson, Ben, 308

Carter, Jimmy, 220, 227

Cayman Islands, 139

Charlottesville Unite the Right rally, 301

CIT Bank, 212–18, 221, 225–24, 233, 265–66, 309, 328–29

Citigroup, 54, 252

Clinton, Bill, 25, 173, 252

Clinton, Hillary, 257, 264, 265, 295, 305

Clooney, George, 48, 49

CNBC, 35, 49, 252–53, 256

Coffey, Henry, 216

Cohan, William D., Money and Power, 41

Cohen, H. Rodgin, 214, 215, 216, 229

Cohen, Kyle, 177

Cohen, Michael, 108–9, 110

Cohn, Roy, 286

Colebrook, Teena, 265–66

ColFin AL-CA5 LLC, 100, 105, 106, 115–16, 201–2, 238

Colony American Homes, 100, 163–65, 169–71, 201–2, 235, 254, 266, 310–22

    Barrack cash-ins of stock, 315–16, 320–21

    eviction rate, 311, 312–13, 314, 319, 328

    mortgage-backed securities, 236–43, 255, 257, 310, 321

    rent increases, 178, 240, 314, 319

Colony Capital, 130, 139, 140–41, 210, 225, 258

    JPMorgan Chase transactions, 255, 326

    S&L debt buy-ups, 126–27

Colony Financial, 115–16, 237

Colony NorthStar, 320–21

Commerce Department, 300, 304, 309

commercial real estate, 38–39, 145, 156

community investment, 205, 215, 220–34

Community Reinvestment Act (1977), 220, 221, 227, 229, 308–9

Congress, 65, 127, 132, 309, 326

    House Financial Services Committee, 173, 324

    See also Senate

Constantine-Davis, Jeanne, 73

Consumer Advocates Against Reverse Mortgage Abuse, 329–30

Consumer Financial Protection Bureau, 156, 211, 308

Consumer Reinvestment Act (1977), 308–9

Corinthian Colleges, 209

credit, 138–40, 141, 320

    default swaps, 60

    revolving line, 326

Crisafulli, Patricia, The House of Dimon, 249

Crosby, Heather deForest, 46, 47, 48–49

Davis, Kelly, 169–70

Dayen, David, 88

Deaver, Michael, 124, 125

debt, 144–45, 326

    buy-backs, 126–27

    trading market, 38–39, 45–46

debt bundling. See bundling

Dell, Michael, 43, 77, 231, 233

DeMarco, Edward, 141

Democratic Party, 25, 26, 45, 324, 327

Department of Defense Appropriations Act (2006), 173

depression (1930s). See Great Depression

Deutsche Bank, 145

Dimon, Jamie, xxxi, 148, 247–55, 292, 301, 305

Dimon, Theodore “Ted” (fatherr), 249, 250

discrimination. See racial discrimination

Disneyland, 15, 18

distressed assets buy-ups, 36, 45–46, 80, 138–40, 155, 169, 204, 216, 267, 317

Dodd-Frank Act (2010), 156, 214, 309–10

Downey Savings and Loan Association, 223

Duncan, Carla, 84–85

Dune Capital Management, 46

Dune Entertainment, 49

Eckhardt, Lacey, 12

economic populism, 265, 299–300, 303, 306

Edwards, Makita, 312, 313

Eisenhower, Dwight, 280

ESL Investments, 43–45

estate tax, 305, 327

Evans, Ingrid, 94

evictions, 112–13, 310–11, 320

executive compensation, 157, 212, 305

Fabrikant, Geraldine, 43

Fair Housing Act (1968), 202, 283, 287

False Claims Act (1863), 175, 176, 254, 329

Fannie Mae, 23–24, 134–35, 137, 140–41, 215, 266, 308

FBI, 108, 121, 283, 284–85

Federal Deposit Insurance Corporation, 19, 127, 132, 212, 228, 305

    creation of, 251

    JPMorgan Chase suit against, 248

    loan modification program, 55, 59, 78, 87

    loss-share agreement, 78, 79, 81, 82, 156, 172, 203, 215–16, 223, 224

    ownership and sale of failing banks, 30–35, 54–68, 78, 79–82, 172, 203, 210, 216

Federal Home Loan Mortgage

    Corporation. See Freddie Mac

Federal Housing Administration, 9, 23, 135, 307, 329

    creation of, 190

    loan program, 254, 255, 272, 273, 274

    racial discrimination, 191, 277

    Trump Organization subsidies, 276–77, 280–81, 288, 290

Federal Housing Finance Agency, 135, 136, 137, 141, 143

Federal National Mortgage Association. See Fannie Mae

Federal Reserve, 25, 56, 157, 325

    bank bailout, 247–48

    Board of Governors, 213, 215, 216

    creation of, 246, 325

    merger hearings, 215–17, 226–34, 252, 265, 309

Federal Reserve Bank of Atlanta, 310

Federal Trade Commission, 246, 315

Feinberg, Stephen, 263

Feldstein, Martin, 25

Financial Crimes Enforcement Network, 107–8

Financial Freedom Senior Funding, 7–8, 9, 229–30, 238

    implosion of, 174, 175

    IndyMac purchase of, 12–14

    Justice Department settlement terms, 329

    sales tactics, 6, 7–9, 10, 99

    suits against, 71–76, 89–102, 175–78, 206, 232–33, 328–30

Financial Industry Regulatory Authority, 240

Financial Institutions Reform, Recovery, and Enforcement Act (1989), 329

First Gibraltar Bank, 63–65, 78, 127

Fisher, Garth, 258

flipping, 61, 63, 65, 80–81, 145, 157, 160, 165, 217, 224, 242

    Barrack-Schwarzman model, 235–37

    big payoffs from, 210

Florida, 29, 82, 115, 129, 163, 177, 184, 211

    BankUnited, 79, 150, 300

Flowers, James Christopher “J.C.,” xxxi, 51–55, 56, 61, 65, 86, 117

    IndyMac group purchase, 77, 156, 217, 233

Ford, Gerald J., 63–66, 78

foreclosures, 7, 9, 10, 62, 116, 159, 189, 225, 309

    all-cash transactions, 107

    auctions of, 79, 97–102, 164–65, 202

    Barrack buying spree, 117–18, 128–31, 137–42, 292, 317, 320

    bulk sales, 135–37, 141–46

    competition for, 163–65 (see also single-family rental homes)

    deed in lieu of, 86

    fraud, 18, 175–78, 280–81, 328, 329

    government-insured loans, 254–55

    HOLC and, 22–27, 34, 132–34, 325

    illegal, 85–87, 329

    LLCs and, 100, 105, 106, 201, 238

    Mnuchin buy-ups, 78–79, 82–86, 172, 184, 203–5, 210, 211, 216, 220, 229–30, 231, 266, 300

    as “moral hazard,” 26–27

    negative effects of, 55, 66, 85, 86, 112–13, 129–35, 141–42, 159, 203–4, 220–21, 310–11, 317–18, 320

    racial vulnerability, 184, 189, 203, 205

    recession (2008) and, 55–56, 85, 129–32, 134, 141, 161–62

    reverse mortgages, 88–102, 105–6, 172, 174–75, 238, 328–29

    Ridgway buy-ups, 161–65

    statistics (2010), 131–32

    Trump Organization and, 267, 269–70, 272–73, 291

    See also repossession

Fortress Investment Group, 118

Four Winds (Palm Beach), 146–47, 301

Fox News, 108–9, 293, 301

fracking, 209

fraud

    IndyMac loans, 18–19

    mortgage, 86–87, 265–66

    reverse mortgage, 18, 90, 94, 96, 98, 175–78, 209, 229, 233, 280–81, 328, 329

    Trump University, 292–96

Freddie Mac, 38, 134–35

Freedom of Information Act, 108, 214, 316

fund dividend recapitalizations, 210

Garner, James, 4–5, 6, 7–8, 99, 328

Gates, Rick, 316

Geffen, David, 43

Gekko, Gordon (fictional), 37

Georgia, 111–12, 115, 164–66, 312. See also Atlanta

GI Bill, 5, 109, 276, 280, 325

    racial discrimination, 191

Gilded Age, 147–48, 154

Glass-Steagall Act (1933), 251–53

    repeal of, 252

Goldman Sachs, 37–39, 41–42, 43, 49, 52, 148, 153, 211, 215, 236, 263, 264

Gonzalez, Paulina, 219–22, 225–26, 232

Goodman, Laurie, 314

Gordon, Amanda, 302

Gordon, Julia, 135

Government Accountability Office, 127, 134–35

Government Ethics Office, 124

Grassley, Charles, 149, 157, 158

Great Depression (1930s), 21, 22, 24, 26, 29, 51, 63, 143, 231, 236

    foreclosure preventives, 325

    stock market crash, 251, 325

    See also New Deal

greater fool theory, 17

Great Migration, 193–94

Great Recession (2008), 12, 29, 31, 40, 47, 130–32, 214, 223, 236

    Citigroup collapse, 252

    community action, 219–34

    debt bundles, 241

    foreclosures, 55, 85, 134, 141, 161–62

    fortunes made from, 51, 60, 79, 111, 203, 322–23

    government bailouts, 212, 248

    housing prices decline, 137

    investment bank failures, 24–27

    racial discrimination, 183–206

    Ridgway rental housing, 161–62

    run-up to, 217

    Schwarzman profit from, 155–56

    See also housing bust

Greenburg, Zack O’Malley, Michael Jackson, Inc., 118

Greenlining Institute, 205–6, 223, 226

Green River Capital, 243

Greenspan, Alan, 252

Gregory Estates, 287–89

Gross, Michael, 47

Grow, Brian, 243

Guthrie, Woody, 278–80

Gwinnett County, 166, 312

Haiti, 123

Hamill, Susan Pace, 113–14

Hamilton, Laird, 131

Hamilton Brothers Oil Company, 113

Hannity, Sean, xxxi, 108–14, 301, 306

Happy Canyon Vineyard, 117

Harney, Kenneth, 12

Harriman, W. Averell, 152, 153

Harris, Kamala, 86, 87–88, 327

Harvard Business School, 61, 152, 211, 250

Hayles, E. Carol, 328

Hays, Lee, 278

Hearst, Austin Chilton, 154

hedge funds, 43–46, 56, 60–62, 65, 117, 132, 158

Hickerson, Richard and Patricia, 3–12, 62, 63, 69–76, 89, 120, 191, 201, 232, 295

    mental capacity suit, 90–95, 96

    reverse mortgage purchase, 6–10

    Thousand Oaks home, 5, 99, 184

    See also Jolley, Sandy

Hochman, Anndee, 36–37

Hollywood. See movie industry

Home Equity Conversation Mortgage, 172

home loans. See mortgages homeownership, 5–7, 13, 17, 22, 23, 105–7, 307

    buying procedure, 242

    decline in, 166, 264–65

    GI Bill and, 5, 109, 191, 276, 325

    New Deal programs, 22–24, 35, 132–33, 172, 188–90, 195, 250, 251, 266, 326

    racial gap in, 23, 24, 185, 187, 188–89, 191–92, 194–95, 197–98, 325

    shell companies, 105–8, 143

    shortage of starter homes, 266

    as wealth builder, 24, 27, 70, 137, 150, 166–67, 172, 174, 185, 203, 238, 322, 325, 326, 327–28

    See also middle-class homeownership; mortgages

Home Owners’ Loan Corporation

    foreclosures, 22–23, 25–26, 27, 34, 132–34, 325

    long-term fixed-rate mortgage, 325

    redlining, 189, 195–96, 273

    Trump properties and, 271–72, 273, 274

Homestead Act (proposed), 326

Hoover, Herbert, 188

Hoover, J. Edgar, 121–22

hostile takeover, 37, 52, 61

Housing and Urban Development

    Department, 97, 112, 233, 307, 308

    reverse mortgages and, 173, 174, 178

housing bubble, 21, 200, 205, 293–94

    bad mortgages, 56–57

    build-up, 46, 128, 145

    CIT, 212–13

    IndyMac success, 12–17, 250–51

    peak (2006) of, 19

    racial discrimination, 183, 203

housing bust (2008), 21–22, 62, 75, 115, 210, 249, 253, 309

    Barrack buying spree, 128, 129–31, 137–40, 292

    bulk sales, 135–37, 141, 143

    drop in prices, 19, 34, 59, 137

    homeowner losses, 128, 137, 185 (see also foreclosures)

    Kushner buy-ups, 306

    Mnuchin buying spree, 296

    prediction of, 241

    profiteering from, 35, 42–50, 52–55, 60, 143, 159, 223–24, 266, 300

    race and, 183, 185

    recovery from, 235

    reverse mortgages, 200–201

    transfer of wealth, 183

HSBC Bank, 221

Hughes, B. Wayne, 143–44, 164

Ice, Tom, 83–84

immigrants, 23, 24, 270–71, 272, 273

IndyMac

    collapse of, 18–19, 21, 29–35, 42, 45, 50, 51, 53, 75–79, 132, 174, 211–18, 267, 268, 271, 328

    FDIC ownership of, 31–35, 54–68, 79, 81–82, 172, 210, 216, 248

    housing bubble success of, 12–17, 250–51

    Mnuchin group purchase of, 23, 42, 77–79, 211–18, 221, 230, 231

    predatory loans, 16, 18, 129, 131, 184

    racial discrimination, 203

    reverse mortgages, 12–14, 71, 72, 75–76, 174

interest, 14, 17, 21, 38, 141

    racial rate discrimination, 183, 184, 203

    as tax deduction, 305

    See also subprime loans

investment banks

    failures, 24–27, 47, 155

    purchases of mortgage-based securities, 34, 39–40

    separation from commercial banks, 251, 252–53

Invitation Homes, 162–66, 308, 321

It’s a Wonderful Life (film), 15, 17, 236, 326

Jackson, Howell, 25

Jackson, Michael, 117–18, 130, 140

Jacobson, Beth, 202

Jews, 273

Jim Crow. See segregation

Johnson, Lyndon, 202, 283

Johnson-Seck, Erica, 82–84, 89

Jolley, Sandy, 4–5, 7, 9–11, 120, 139, 178–79, 184, 229, 257

    loss of family home, 88–102, 114, 115, 132, 201

    parents’ financial condition, 69–76

    rental of repossessed family home, 105–6, 169–72, 318

    suit against Financial Freedom, 71–76, 89–102, 175–77, 206, 232, 233

    suit settlement, 328–30

J. P. Morgan & Co., 246, 247

JPMorgan Chase, 57, 85, 148, 157, 210, 215, 221, 239, 324

    Colony Capital credit line, 255, 326

    mergers and, 229, 247–48

    mortgage-backed securities funding, 242–43, 247, 321

    record earnings (2018), 305

    settlement with government, 254–55

    size of, 248, 253

    tranches, 240, 241, 254

junk bonds, 18, 183–84

Justice Department, 85, 175, 176, 177–78, 229, 254

    discrimination suit against Trumps, 283–87

    Financial Freedom settlement, 329

Kaufman, Will, 279

Kavanaugh, Ryan, 209

Keenan, Terry, 293

Kelly, Helen, 231

King, Martin Luther, Jr., 122, 202, 283

King, Rodney, 198

Klemesrud, Judy, 289

Kmart, 36, 44

Kohlberg Kravis Roberts & Co., 61, 301

Korea Exchange Bank, 140

Kravis, Harry, 301

Krimminger, Michael, 58–59

Kroll Bond Rating Agency, 239, 240

Ku Klux Klan, 277–78

Kushner, Jared, xxxi, 130, 301, 306–7

La Guardia, Fiorello

Lamhofer, Eric T., 94–97

Lampert, Edward, 36, 43–44, 77, 231

Larrea, Bruno, 99–102, 105–6, 169

Latinos, 183, 184–85, 203, 204, 233, 324

Lawyers’ Committee for Civil Rights Under Law, 136–37

Leach, James, 173

Lederman, Carol, 47

Lehman, Herbert, 274

Lehman Brothers, 12, 149, 152–53, 173

    collapse of, 31, 57, 212, 215, 223, 252

Lehrenkrauss, Julius, 267–73, 291

Leibovitz, Annie, 130–31, 139

Lemann, Nicholas, 193

leveraged buyouts, 37, 61, 144–45, 209–10, 241, 326

Levine, Ted, 282

“liar loans,” 16, 18

Linton, Louise, 302–4

Lippman, Michael, 214

Liu, Betty, 141–42

LLC (limited liability company), 100, 105–6, 108, 113–16, 166, 201–2

    hidden owners, 111, 116, 118, 139–40, 238

    See also shell companies

loans, 55, 87, 221

    carving up of, 59

    deceptive, 16–18, 46, 53–54, 131

    high-cost, 202

    junk, 18, 183–84

    payday, 308

    See also mortgages; predatory lenders; subprime loans

Lorimer, George H., 150

Los Angeles, 78, 107, 117, 224–25

    African American community, 193–99, 205, 233, 317–22

    foreclosure crisis, 220–22, 320

    race riots, 119–20, 197, 198, 278, 283

    Trump fund-raiser, 257–59

    white flight from, 196–97

Los Angeles County Museum of Art, 227

Los Angeles Dodgers, 130, 197

loss-share agreement, 78, 79, 81, 82, 172, 223, 228

    definition of, 224

Lowe, Rob, 131

Lowenstein, Roger, 248

MacGillis, Alec, 306–7

Machado, Israel, 82–83

Macklowe, Harry, 145–46

Manafort, Paul, 256

Manchester, Douglas, 258

Mar-a-Lago golf club (Palm Beach), 147, 301, 304

Margolis, Peter, 91

Marks, Howard, 302

Martin, Cornelia, 147

Martinez, Emmanuel, 323

McCain, John, 31

McCarver, Kathryn, 46

McCourt, Frank, Jr., 130

McDonald, Duff, Last Man Standing, 249, 250

McMillen, Neil R., Dark Journey, 187

Meese, Ed, 123–24

Merrill Lynch, 47, 212, 229

Miami Valley Bank (Ohio), failure procedure, 33–34

middle-class home owners, 23, 27, 272–74, 307, 325

    community investment, 205, 215, 220–34, 309

    foreclosure effects, 66

military, 173, 197–98, 275–76

    segregation, 190–91

    See also GI Bill

millennials, 166, 266

Miramax, 130, 139

Mississippi, 186–87, 190, 191–93

Mittal Steel Company, 81

Mnuchin, Heather Crosby (second wife), 46, 47, 48–49, 78, 227

Mnuchin, Robert (father), 35, 36, 37, 41, 52, 66

Mnuchin, Steven T., xxxi, 41–52, 61–63, 66, 202, 210, 227, 235, 237, 301, 306, 316

    background of, 35–40

    first wife, 46

    Flowers compared with, 51–52

    as “Foreclosure King,” 300

    at Goldman Sachs, 37–39, 41–42, 52, 236

    lavish lifestyle, 46–47, 257, 302–4

    money-making focus, 50, 206, 209, 223, 224, 233, 291–92, 296

    personal drive, 36

    second wife, 46, 47, 48–49, 78, 227

    740 Park Avenue apartment, 46–47, 63

    Thain CIT deal, 215, 216–18, 221

    third wife, 302–4

    as Treasury Secretary, 266, 300, 305–9

    Trump presidential campaign and, 233, 257–59, 263, 266, 290

    wealth of, 42, 52, 217–18, 233, 249, 257, 265–66, 303–4

    See also IndyWest; OneWest Bank

money laundering, 106–8, 139

Morgan, J. Pierpont, 147, 246, 247

Morris, John, King of Capital, 145, 146, 163

Mortara, Michael, 37–39, 42, 46, 211

mortgage-backed securities, 14, 17–18, 19, 23–26, 31, 38–40, 59, 237, 247

    bank funding of, 242–43, 252

    Barrack-Schwarzman model, 236–37, 255, 257, 310, 321

    bundling of, 54, 127, 236, 239–43

    property values and, 321–23

    rating of, 39–40

    reverse mortgages and, 173–74

    tranches, 39–40

Mortgage Fraud Strike Force, 86–87

mortgages

    adjustable-rate, 10, 16–17, 58, 200

    Alt-A, 16, 21, 53

    bad, 31, 54, 56–57, 64, 126, 127, 131

    balloon payments, 16, 21, 58, 131

    bets against failing, 217

    bundling of, 14, 15, 16, 31, 38, 39–40, 54, 173

    buy-ups, 268–73

    delinquent, 26–27 (see also foreclosures)

    derivatives from, 26

    discrimination ban, 283

    down payment, 21, 23

    FDIC modification plan, 58–60

    federal insurance of, 23

    as financial instrument (see mortgage-backed securities)

    first-time home buyers, 107

    fixed-rate, 5, 83, 238, 325

    fraud, 86–87, 265–66

    GI Bill, 5, 109, 191, 276, 280, 325

    government-backed (see Fannie Mae; Federal Housing Administration; Freddie Mac)

    interest-only, 17, 21

    long-term, 5, 23, 83, 238, 325

    National Mortgage Settlement, 85, 86

    property appraisal, 242–43

    race and, 180–90, 191, 198, 202, 323–24

    refinancing of, 17

    repayment of, 24, 26–27

    resale of, 268–69

    subprime, 21, 53, 156, 184, 204, 212, 216

    thirty-year fixed, 21

    toxic, 17, 79, 156, 179, 210, 310

    value loss, 62

    See also reverse mortgages

movie industry, 48, 49–50, 130, 139, 209

Napolitano, Andrew, 293

National Bureau of Economic Research, 183–84

National Guard, 119–20

National Housing Act (1934), 23, 190, 272, 274

National Mortgage Settlement, 85, 86

National Pension Service, 140

National Public Radio, 292, 323

National Reverse Mortgage Lenders Association, 173

Neighborhood Stabilization Program, 132

Neverland Ranch, 117–18, 131, 140

New Deal

    homeownership programs, 22–27, 34, 35, 132–34, 172, 188–90, 195, 250, 251, 266, 271–74, 291, 308, 326

    racial discrimination, 185–96, 325

New York Commission on Human Rights, 283–84, 287

New York Public Library, 154–55

“ninja loans,” 16

Nixon, Richard, 123, 134, 284

nonprofits, 225, 231

Norfolk Naval Base and Air Station, 275

Obama, Barack, 31, 156, 157, 307, 308

    estate tax and, 327

    foreclosures and, 132, 134, 135–38, 143

    on hedge fund managers taxes, 157, 158

    rebuke of Thain, 212

    Trump attacks on, 264–65

Oberg, Jon, 176

Ocwen Financial Corporation, 210–11

Office of the Comptroller of the Currency, 214, 230, 231, 233

offshore interests, 138–39

OneWest Bank, 82–90, 253, 254, 300

    board members, 86

    branches, 82

    CIT merger, 212–18, 225–34, 235, 265–66, 309

    Colony Capital credit line, 210, 326

    community investment, 205, 215, 220–34, 309

    customer legal suits, 84–85

    FDIC loss-share agreement, 78, 79, 81, 82, 172, 203, 215, 216, 224

    foreclosures, 82, 83–85, 86, 172, 184, 203–4, 205, 210, 216, 220, 229–30, 231, 238, 265, 266

    fraud charges, 86–87, 177, 209, 265–66

    IndyMac purchase deal, 78–79

    leveraged buyouts, 209–10

    Mnuchin loss-share agreement, 223

    money-making operations, 209–18

    Otting as CEO, 224–25, 309

    racial discrimination, 205–6, 210

    repossession, 97–102, 105, 201, 203

    reverse mortgages, 89, 90, 97, 175, 178, 200–201, 229–30, 233

    revolving line of credit, 326

    shortfall, 233

    widespread misconduct, 86–87

Oros, John, 52–53, 55, 56

Otting, Joseph, xxxi, 216, 222–29, 231, 233, 300, 309

Pacific Reverse Mortgages, 9

Panic of 1907, 246

Paradise Papers, 138–40

Pasadena, 12, 30, 59, 205, 206, 225, 229

Paulson, Jenny, 61–63

Paulson, John, xxxi, 60–66, 117, 263

    IndyMac group purchase, 77, 156, 217, 233

Paulson & Co., 60, 65–66, 86

payday loans, 308

Pellecchia, Ray, 240

Pence, Mike, 303

Perelman, Ronald, 63–65, 78, 127

Perry, Michael, 13–14, 15, 18, 30–34, 268

Peterson, Peter G., 153

PFF Bank & Trust, 223

PHH (mortgage lender), 155

Phillips, Ellen, 152, 153

Phillips, Ron, 135–36

Phoenix, 129, 138, 140, 160–61, 162, 294

Plaza Hotel, 125, 256–57

Pollock, Alex, 21–22, 23

Popular Community Bank, 221–22

Pottinger, J. Stanley, 284–85

predatory lenders, 16, 18, 116, 129, 131, 184, 202–3, 308, 309. See also subprime loans

presidential election of 1912, 245

presidential election of 2008, 31

presidential election of 2016, 255–59, 263, 264, 295, 316

presidential election of 2020, 327

private equity firms, 149, 204, 210–11, 316, 328

profiteering, 267, 280

property values, 55, 235, 321–22

ProPublica website, 306

Pruett, Shawn, 318, 320

Public Storage, 144

Putin, Vladimir, 138

PuWalski, Allen, 60, 62–63, 65, 216

Puzder, Andy, 258

Qatar, 130, 140, 316, 317

qui tam lawsuit, 175–76

race riots, 119–20, 197, 198, 278, 283, 301

racial discrimination, 183–206, 245, 301

    foreclosures, 184, 189, 203, 204, 205

    high-cost loans, 202, 203

    HOLC program, 134, 273

    homeownership, 23, 24, 185, 187, 188–96, 197–98, 202, 203, 325

    illegality of, 202, 283–84, 308

    New Deal, 185–96, 325

    restrictive covenants, 195, 277, 279, 283, 284

    reverse mortgages, 200–202

    Trump rentals, 267, 277–78, 279, 283–89, 291

    See also redlining; segregation

Ranieri, Lewis, 38

rating agencies, 18, 216, 243

Raymond, Elora, 310–11

Reagan, Ronald, 37, 39, 123, 124–25, 172

Rebuilding America Now (super PAC), 256

recession (2008). See Great Recession

redlining, 188–90, 195–96, 204, 220, 273, 277, 279

    exposé, 323–24

    illegality, 283

Reeves, Christopher, 111, 112

Relativity Media, 209

rentals. See apartment complexes; single-family rental homes

repossession, 63, 82, 85–86, 97–102, 105, 139, 159, 201, 203

    lease agreement, 318–19

    rent payment, 100–102, 116, 169–72, 178

Republican Party, 124–25, 173, 255–56, 257

    tax bill (2018), 304–7

Resolution Trust Corporation, 127

restrictive covenants, 195, 277, 279, 283, 284

Reveal (radio show), 323

reverse mortgages, 6–14, 16, 73, 175, 199–201, 238

    adjustable rate, 200

    bundling and trading of, 173

    description of, 6–7

    expanded caps on, 173–74

    expense of riddance from, 72–73

    as financial elder abuse, 73, 75, 90

    foreclosures, 88–102, 105–6, 172–75, 238, 328–29

    fraud suits, 177–78, 233, 328, 329

    government support, 97, 172–75, 178, 201

    Jolley’s suit against, 172, 229, 328–30

    legal history of, 172–74

    negative financial impact of, 71–72, 89

    paying off, 73, 74, 75

    sales pitch, 6, 7–9, 10, 99

    terms of, 10, 93

    See also Financial Freedom Senior Housing

Revlon, 63, 64, 127

Rich, Frank, 154

Ricketti, John, 215, 216

Ridgway, Marcus, 159–67

    background of, 159–60

    Invitation Homes, 162–65

    rental housing, 161–62

Rinaldo, Matthew, 65

risk, 45–46

    Alt-A mortgages, 53

    OneWest loans, 209–10

    Volcker Rule limit on, 157

Riverdale Country School, 35–36

Riverside County, 129–30, 132, 138

Riverstone Residential Group, 162

RJR Nabisco, 61

Robeson, Paul, 278, 279

robosigning, 85

Rockford Files, The (TV show), 4

Rogers, Bill, 126

Rolling Plain Cooperative, 277

Ronald Reagan Presidential Library, 124

Roosevelt, Franklin, 26, 63, 134–35, 191, 254, 303

    “Forgotten Man” speech, 299

    National Housing Act, 23, 190, 272

    See also New Deal

Rosenberg, Hilary, The Vulture Investors, 80

Rosenthal, Robert, 257, 258–59

Ross, Hilary Geary, 303

Ross, Wilbur S., xxxi, 211, 291–92, 301, 316

    bankruptcy buy-ins, 79–81, 300

    BankUnited, 79–80, 138, 156, 200, 221, 223

    as Commerce Secretary, 300, 304, 309

    lavish lifestyle, 304

    third wife, 302–3, 304

    Trump presidential campaign, 263, 290

Rothstein, Richard, The Color of Law, 188

row houses, 277, 291

Rubenstein, David, 151

Rubin, Robert, 251

Rubio, Marco, 255

Rumford Fair Housing Act (Calif., 1963), 196

Ryan, John, 212

Salomon Brothers, 38

Saltzman, Richard, 237

Sanba II Investment Company (Qatar), 140

San Bernadino County, 138

Sanders, Bernie, 327

San Diego, 82, 201

San Francisco

    money laundering, 107

    redlined districts, 189

San Francisco Chronicle, 87

San Gabriel Valley, 144

Santa Barbara County, 125

Saudi Arabia, 123, 316

savings and loan banks, 56

    deregulation of, 63

savings and loan crisis (late 1980s–early 90s), 35

    Barrack profits from, 126–27, 137–38, 155

    causes of, 38–39, 63

    corporate raiders and, 106, 155

    government bailouts, 126

    official history of, 127

    profiteers, 62–65, 143

Savings and Loan League, 24

Saylor, Paul, 144

Scaramucci, Anthony, 263–64

Scheiber, Noam, 211

Scher, David, 176–77

Schneiderman, Eric, 295

Schumer, Charles, 29

Schwartz, Mark, 46

Schwarzenegger, Arnold, 90

Schwarzman, Christine Hearst, 153–54

Schwarzman, Joseph (father), 150, 151

Schwarzman, Stephen A., xxxi, 47, 63, 145, 146–58, 291–92

    background of, 149–52

    BankUnited acquisition, 156, 223

    distressed property buy-ups, 204

    executive compensation, 157

    flipping, 235–37

    marriages, 152, 153–54

    mortgage-backed securities, 236–37

    net worth, 327

    New York Public Library philanthropy, 154–55

    ostentatious lifestyle, 146–49, 154, 159, 301–2

    Park Avenue apartment, 249

    racial discrimination denial, 202

    rental homes deal, 162

    as risk averse, 163

    Trump presidency and, 300–301, 306

    vulture capitalism, 184

    See also Blackstone Group

Sears, 36, 44–45, 47, 52

Sears Canada, 44

securities, 13, 15

    mortgage-backed, 14, 17–18

Securities and Exchange Commission, 116, 205, 241, 243, 320, 328

Seeger, Pete, 278

Seelig, Chip, 49

segregation, 29, 188, 189, 190–91, 273, 283

Semel, Terry, 227

Senate, 29, 280–81

    Judiciary Committee, 123

740 Park Avenue, 52, 78, 249

    Mnuchin apartment, 46–47, 63

    Perelman apartment, 63

    Schwarzman apartment, 63, 146, 148, 249

    Thain apartment, 63, 211

Seymour, John, 14

SFR 2012-U.S. West LLC, 140

Shearson, Hammill & Co., 249

shell companies, 20, 105–8, 110, 266

    apartment complex, 106, 111–12, 306–7

    auctions of repossessed homes, 100, 105, 106, 115–16, 201–2, 238–39

    broader impact of, 113–14, 166

    ColFin AL-CA5 LLC, 100, 105, 106, 115–16, 201–2

    Delaware incorporation, 105, 115, 116

    hidden owners of, 108, 110–14, 115–16, 140–41

    Kushner family, 30–76

    original function of, 113

    pass-through tax deduction (2018), 305–6

    single-family rentals, 160–67

    state requirements, 113–14

shopping malls, 63

Shore Haven (Trump apartments), 276, 277, 281, 282

Sidel, Robin, 156

Simmons, Patrick, 266

single-family rental homes, 100–101, 106, 136–37, 142, 169–79, 192, 204–5

    Barrack and Schwarzman business model, 235–37, 320–23

    characteristics of, 164

    commodification of housing study, 310–11

    debt bundling of, 237–43, 322–23, 326–27

    dispossessed buy-ups and, 142, 160–66

    effects of landlord’s foreclosure, 220–21

    evictions, 320

    expense of, 169–70

    Fannie Mae and, 308

    flipping of, 235, 237–38

    gross yield from, 165

    housing bust and, 266

    property maintenance, 169–71, 243, 313–14

    Ridgway-Schwarzman company, 162–65

    rising rents, 315

    shell company landlords, 160–67, 238–39

    Starwood Waypoint Homes, 321

    Trump Organization and, 291

Skull and Bones, 151–52

slavery, 185

slumlords, 287–89, 306–7, 314–17

small businesses, 228

Soros, George, xxxi, 45–46

    IndyMac group purchase, 77, 156, 202, 217, 233

Soros Fund Management, 46, 86

South Korean government, 140

South Los Angeles. See Los Angeles

speculators, 160

SPMK LLC, 110, 111, 301

squatters, 201

Standard & Poor’s, 216

Starwood Capital Group, 143, 255

Starwood Waypoint Homes, 321

steel company bankruptcies, 80–81

Steinberg, Elan, 158

Sternlicht, Barry, 143, 255

Stewart, Jimmy, 15, 326–27

Stiglitz, Joseph, 241–42

    Freefall, 17

stock market, 31, 45, 148, 250–51

    crash (1929), 251, 325

Stone, Oliver, 37

Stone, Roger, 256–57, 300

Strategic Actions for a Just Economy, 218, 219–20, 225

Strategic and Policy Forum, 301

Strategic Property Management, 100, 169, 171

student loans, 176, 212

subprime loans, 21, 53, 156, 184, 204, 212, 216

suburbs, 196–97

Sulzberger, Arthur Ochs, 250

Sumitomo Bank (Japan), 140

Sunbelt, 115, 129

Supreme Court, US, 196, 277

Swaine, Jon, 108, 110–12

“sweetheart deals,” 127

Syriana (film), 48, 49

Taj Mahal Casino Resort, 80, 125

tax rate, 39, 149, 157–58

    Trump cuts, 305–7

television, 4–8, 99, 292, 328

Thain, John, xxxi, 47, 63, 148, 226

    background of, 211–12

    Indymac sale and, 211–18, 221, 230, 231

    Lehman Brothers collapse and, 212

    740 Park Avenue apartment, 63, 211, 249

    wealth of, 211–12, 233

Tisch, Thomas, 43, 47

Todd, Ed, 122–23

Tomasello, James, 277, 280

toxic assets, 17, 35, 79, 156, 210, 310

trailer parks, 160–61

tranches, 17, 23, 39–40, 240, 243, 254, 255

Travelers Group, 252

Treasury Department, 86, 107–8, 135, 221, 223

    Mnuchin as Secretary of, 266, 300, 305–9

Treehouse Group, 160–63

Truman, Harry, 276

Trump, Donald, xxxi, 48, 108, 147, 148, 292–96

    background of, 272, 281 (see also Trump, Fred)

    Barrack close friendship, 125, 130, 256–57, 313

    “Drain the Swamp” mantra, 265–66

    economic advisers, 263–64, 267

    economic populism, 265, 299–300, 303, 306

    failed businesses, 80, 125, 292–96

    financial vultures and, 267, 290, 304–10

    lavish lifestyle, 289–90

    lawsuits against, 286–87, 295–96

    licensing of name, 80, 292

    Manhattan real estate, 289–90

    Mar-a-Lago golf club, 147, 301, 304

    Mnuchin relationship, 233, 257–59, 263, 266

    moral emptiness of, 293

    presidency, 266, 295–96, 299–316

    presidential campaign, 233, 255–59, 263–65, 295

    publicity, 292–93

    real estate discrimination charges, 278, 283–87, 288, 291

    showmanship of, 274, 292–93

    white nationalism and, 301

Trump, Fred, xxxi, 29, 125, 267–85

    appraisal of building career, 291

    arrest of, 287, 288, 289

    family trust, 281

    FHA building subsidies, 276–77, 280–82, 288, 290, 291

    fraudulent practices, 267, 281

    racial discrimination, 267, 277–78, 283–89, 291

    Senate investigation of, 280–81

Trump, Ivanka, 301

Trump, Melania, 148, 301, 302, 304

Trump University, 292–96

Trump Village, 284

Truth in Lending Act (1968), 309

Tully, Shawn, 126, 127

20th Century Fox, 49

Tysons Park apartments, 285, 286

unemployment rates, 31, 131–32, 161

    black and Hispanic, 184–85

Union Bank of California, 223

United Mine Workers of America, 119

University of San Diego, 123

University of Southern California, 122, 144

urban decline, 196–98, 326

Urban Institute, 86, 314

Urban League, 284, 287

US Bank, 79, 223, 224–25

value investing, 43–44

veteran benefits, 5, 7–8, 74, 109, 191.

    See also GI Bill

Vietnam War, 197–98

Villaraigosa, Antonio, 221–22

Volcker Rule, 156–57, 309

von Damm, Helene, 124, 125

Voyles, Bennett, 36

vulture capitalists, 29, 51–66, 80, 118, 126, 143, 184, 224, 248

Wachovia, 214, 215, 229

Wagner, Robert, 5, 6

Waldorf-Astoria, 237

Wallace, Benjamin, 131

Wall Street (film), 37

Walsh, Henry, 94, 96

Ward, Jon, 293

Warren, Elizabeth, 327

Washington Mutual, 31, 56–57, 229, 248

Watts riot (1965), 197, 198

wealth gap, 142, 166, 183, 185, 187–88, 254, 324–27

Weill, Sandy, 249–53

Weinstein, Harvey and Bob, 130

Weitzel family, 194–95

Wells Fargo, 85, 86, 202, 221, 229

West, Tony, 176

Wharton School, 282

Whelan, Robbie, 164–65

whistleblower complaints, 175–78, 229, 233, 328, 329

Whitaker, Bill, 32

white flight, 196–97

white supremacy, 188, 301

Whitney Gala, 48

Wilkerson, Isabel, The Warmth of Other Suns, 193, 194

Wilson, Woodrow, 188, 245–47, 250, 324–25

Wolfe & Wyman law firm, 94

Wood, Kimba, 108

Woody Guthrie Center, 279

working-class housing, 130, 137, 141–42, 172, 326

    FHA loan program, 254, 255, 272, 273

    Fred Trump properties, 267, 270–85, 289, 290

    trailer parks, 160–61

World War II, 24, 157, 190–91

    Fred Trump building projects, 275–76

    See also GI Bill

Worley, David, 90, 94, 96

Wright, James, 107

Yale University, 36–37, 43, 49, 146, 151–52

Zarris, Alexander, 177

Zell, Sam, 106, 145

Zuckerman, Gregory, 60, 61

    The Greatest Trade Ever, 60