It would appear that several state pension funds (the big boys) are none too happy about “Project Mayhem“, and are finally beginning to speak out and demand the banks who are foreclosing, are temporarily prevented from foreclosing, or sold (what appears to be) worthless mortgage backed securities (MBS) to do their jobs instead of issuing press releases saying all is well.

This comes just days after the government’s back door bailout of Bank of America paying $0.01 for every $1.00 in government putbacks (via GSEs Fannie & Freddie), as well as opening up the banks to future putbacks and/or legal woes. The most obvious, of course, being that pension fund managers will demand ALL their money back on fraudulent drafted mortgage backed securities, versus the one penny on the dollar bargain that federal taxpayers apparently don’t mind footing the bill.