joining him more officials involved in the investigation, including housing secretary sean donovan and one of the cochairs, n.y. attorney general eric schneiderman. this is about 35 minutes. [captions copyright national cable satellite corp. 2012] >> good morning. with all of the people in law enforcement, this must be the safest place in the united states right now. today, we are joined by sean donovan, the attorney general for the strait of new york, eric schneiderman, the attorney for colorado, john walsh, the civil division, tony west, and other critical leaders, including the attorney generals from illinois, lisa madigan, and a u.s. attorney from georgia at and the financial enforcement task force. we are here today to announce an important step forward in investigating the financial misconduct and specifically misconduct in the market for mortgage-backed securities. that contributed to army nation's economic crisis. -- that contributed to our nation's economic crisis. the team standing with me will be leading a new initiative. the residential mortgage-backed securities working gr

sean donovan, the head of hud, under president obama, meeting, believe, with a number of attorneys generalrting indicates to -- talk about the terms of a deal they want to announce in the state of the union. elliott, former attorney general, i -- i wanted to hear you weigh in on your thoughts on this. if this goes back to it looks like it is coming to fruition. >> short answer, i don't know. i have spoken to a number of folks who are involved enormous pressure being applied by the white house, justice, hud, ags, to acquiesce to a deal, announce the state of the union. based on everything i heard as a deal they should say very simply no, no, no, no. here is the problem. banks are getting enormous exclusion from liability. they have not written down the mortgage face value when they should have. there is a promise there will be an investigation after the fact. that puts the cart before the horse. banks should be told right now, facedown of the value. transfer to the banks being egregious, outrageous, wrong. federal white house to weigh in on this is wrong. ags should stand up for the white h

hud secretary sean donovan is 46. >> olympic gymnast marylou retton is 44. a tooth in the hangover, actor ed helms is 38. model actress mischa barton turns 36 today. i'm a bit of a tax geek. i love taxes. people say to me, "you're so lucky. after tax season, you get to relax." we're not here for a couple of months; we're here year-round. after april 15th, we don't close down. we're working late, learning next year's tax laws, to make sure that turbotax is the easy way to get your taxes done right. and we even guarantee that all turbotax calculations are accurate. i'm lisa skelly, and i'm an experienced tax professional. man: go to turbotax.com. >>> good morning. welcome back to 9news now. it is 5:45. tuesday morning. you'll notice 45 degrees, much milder than yesterday morning. >> but we still have a dampness around. it is a little colder up north. that's where we've got some fog. visibility is dropping in places at fairfax, loudoun, montgomery counties, some areas down a quarter mile or less. but you know, that will only be around for a few more hours, not

now let me introduce the secretary of housing and urban development, sean donovan. >> thank you, rob.tuesday night, president obama laid out his blueprint. he said this is a make or break a moment for the middle class and those try to reach it, and that what is at stake is the basic american promise that if you work hard, you can do well enough to raise a family, own a home, and put away a little bit for retirement. unfortunately, that did not subscribe to our economy in the years leading up to the crisis, and nowhere was that more clear than in the housing market. as president obama said, mortgages were sold to people who cannot afford or understand them, banks made huge bets and bonuses with other people's money, and we'll pay for the very steep price. housing prices sank for 30 straight months in a row, foreclosures climbed to record levels month after month, about the time the worst of it was over, our economy has lost 8 million jobs. since those dark days, we have made very real progress. of foreclosure notices are down 45% since early 2009. more than 5.5 million families have re

sean donovan, the head of hud, under president obama, meeting, believe, with a number of attorneys generalerms of a deal they want to announce in the state of the union. elliott, former attorney general, i -- i wanted to hear you weigh in on your thoughts on this. if this goes back to it looks like it is going to few zbligs short answer, i don't know. i have spoken to a number of folks who are involved enormous pressure being applied by the white house, justice, hud, ags, to acquiesce to a deal, announce the state of the union. based on everything i heard as a deal they should say very simply no, no, no, no. here is the problem. banks are getting enormous exclusion from liability. they have not written down the mortgage face value when they should have. there is a promise there will be an investigation after the fact. cart before the horse. banks should be told right now, facedown of the value. transfer to the banks being egregious, outrageous, wrong. federal white house to weigh in on this is wrong. ags should stand up for the white house and up high and say no deal. >> i don't think ther

as president of the united states, do you tell the department of justice to call sean donovan at housingthis thing, which they have not done. they work on things incrementally, and then assorted number of state attorneys general suing all the sorts of institutions. i'm on your side, but you tell me any situation that got resolved in the courts. it doesn't get resolved. >> he's running against congress. that's another tough place to come down from. as you said, there was a lot of small bull in there, but when you added it up into the fairness doctrine, you know -- >> coming up next senate majority whip dib durbin joins the conversation, and richard haus joins us from today vosdav >>> plus another daring nighttime raids. they stormed a compound in somalia to free an american hostage. we'll have the latest straight ahead. >>> but first bill karins. >> good morning we've seen one of the rainiest westest nights ever in texas. some areas have picked up 6 inches of rainy austin texas had some swiftwater rescues this morning. and of course we've talked about the big drought in texas for the last