If human equality is to be for ever averted - if the High, as we have called them, are to keep their places permanently - then the prevailing mental condition must be controlled insanity

- George Orwell 1984

Summary and Introduction

Metaphorically speaking, when it comes to the credit business, Canadians have been educated not to see the forest for the trees. A typical mortgage loan and its supporting documentation is so riddled with fraud and other illegalities that we fail to discern the merely unfair from the objectively criminal. Put another way: what is the official procedure for dealing with criminal acts committed as a matter of policy by financial institutions? The answer is that there is none. We then deal with that problem by denying its existence.

This analysis and report takes a layered approach to explaining the legal and equitable flaws in a typical mortgage loan agreement, its supporting documentation, and its administration, as follows:

Level 1 - General fraud (contractual substance misrepresentation)

Level 2 - Criminal interest rate (required deposit balance)

Level 3 - Currency Act fraud (unlawful consideration)

Level 4 - Forgery, uttering