Bankruptcy Judge Rules that Liar Loans are Dischargeable

Basically, he ruled to quote Tanta, " If you make a "liar loan," the Judge is saying here, then you cannot claim you were harmed by relying on lies. And if you rely on an inflated appraisal, that's your lookout, not the borrower's."

If this sets a precedent, there will be a whole series of loans that will be up for grabs in bankruptcy proceedings, as it should be.