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SECURITIZATION ANALYSIS REPORT

Prepared for For THE LAW OFFICES OF 259-44 NEW YORK

Prepared on behalf of:


JOHN GOODGUY

For Property Address 1111 Rosedale New York 11422

Prepared on: December 26th 2011 By

EMMANUEL ERIN CERTIFIED MORTGAGE SECURTIZATION AUDITOR


DISCLAIMER: This Securitized Audit Report cannot be construed in any way, form and shape as being legal advice. The recipient has been informed that she must secure the services of a license legal professional.

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SECTION 1:

TRANSACTION DETAILS

BORROWER & CO-BORROWER:


BORROWER JOHN GOODGUY CURRENT ADDRESS Rosedale NY CO-BORROWER NONE SUBJECT ADDRESS 1 Rosedale NY

TRANSACTION PARTICIPANTS
MORTGAGE BROKER MORTGAGE SERVICER MORTGAGE MORTGAGE NOMINEE/BENEFICIARY MORTGAGE ELECTRONIC REGISTRATION SYSTMEMS AS NOMINEE FOR AMERICAN HOME MORTGAGE CORPORAT P O Box 2026 Flint MI TITLE COMPANY EMPIRE ABSTRACT CORP AGENT FOR COMMONWEALTH LAND TITLE INSURANCE COMPANY

UNKNOWN

AMERICAN HOME MORTGAGE SERVICING INC

ORIGINAL MORTGAGE LENDER

MORTGAGE TRUSTEE

AMERICAN HOME MORTGAGE CORPORATION

UNKNOWN

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SECTION 2:

SECURITIZATION

SECURITIZATION PARTICIPANTS:
ORIGINATOR/LENDER SPONSOR/SELLER DEPOSITOR

AMERICAN HOME MORTGAGE CORPORATION

AMERICAN HOME MORTGAGE CORPORATION

AMERICAN HOME MORTGAGE ASSETS LLC

ISSUING ENTITY

TRUSTEE

MASTER SERVICER/ SERVICER

AMERICAN HOME MORTGAGE ASSETS TRUST 2006-5

DEUTSCHE BANK NATIONAL TRUST COMPANY

WELLS FARGO BANK NA

CUSTODIAN

CUT OFF DATE

CLOSING DATE

DEUTSCHE BANK NATIONAL TRUST COMPANY

SEPTEMBER 1, 2006

ON OR ABOUT SEPTEMBER 22, 2006

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424B5 1 d564992_424b5.htm AMERICAN HOME MORTGAGE ASSETS TRUST 2006-5

Prospectus supplement dated September 22, 2006 (to prospectus dated September 11, 2006) $1,520,374,000 (Approximate) [Logo] AMERICAN HOME MORTGAGE ASSETS TRUST 2006-5 Issuing Entity AMERICAN HOME MORTGAGE SERVICING, Inc. Servicer AMERICAN HOME MORTGAGE CORP. Sponsor AMERICAN HOME MORTGAGE ASSETS LLC Depositor AMERICAN HOME MORTGAGE ASSETS TRUST 2006-5, Mortgage-Backed Pass-Through Certificates, Series 2006-5

SUMMARY OF PROSPECTUS SUPPLEMENT The following summary is a brief description of the important features of the certificates and does not contain all of the information that you should consider in making your investment decision. To understand all of the terms of the offered certificates, read carefully this entire prospectus supplement and the entire accompanying prospectus. A glossary is included at the end of this prospectus supplement. Capitalized terms used but not defined in the glossary at the end of this prospectus supplement have the meanings assigned to them in the glossary at the end of the accompanying prospectus. Issuing Entity Title of Series Cut-off Date Closing Date Depositor American Home Mortgage Assets Trust 2006-5. Mortgage-Backed Pass-Through Certificates, Series 2006-5. September 1, 2006. On or about September 22, 2006. American Home Mortgage Assets LLC.

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Sponsor Originator Master Servicer Securities Administrator Servicer Trustee Custodian Cap Counterparty LPMI Insurer Distribution Dates

American Home Mortgage Corp. American Home Mortgage Corp., or an affiliate thereof. Wells Fargo Bank, N.A. Wells Fargo Bank, N.A. The securities administrator also will act as the paying agent and certificate registrar. American Home Mortgage Servicing, Inc. Deutsche Bank National Trust Company. Deutsche Bank National Trust Company. The Bank of New York. Triad Guaranty Insurance Corporation. Distributions on the offered certificates will be made on the 25th day of each month, or, if such day is not a business day, on the next succeeding business day, beginning in October 2006. The classes of certificates and their pass-through rates and initial certificate principal balances are set forth in the table below. The Class A Certificates will be issued in minimum denominations of $100,000 principal balance and integral multiples of $1 in excess thereof. The Class M Certificates will be issued in minimum denominations of $250,000 principal balance and integral multiples of $1 in excess thereof.

Certificates

Minimum Denominations

Assignment of the Mortgage Loans On or prior to the date the Certificates are issued, the Sponsor, pursuant to the mortgage loan Purchase Agreement, will convey each loan to the Depositor, and the Depositor, pursuant to the Agreement, will in turn, convey each loan, together with all principal and interest due on or with respect to such loans after the Cut-off Date, to the Issuing Entity; provided, however, that the Sponsor will reserve and retain all its right, title and interest in and to principal and interest due on each loan on or prior to the Cut-off Date (whether or not received on or prior to the Cut-off Date), and to prepayments received prior to the Cut-off Date. The Depositor will deliver to the Trustee, or Custodian on behalf of the Trustee, with respect to each mortgage loan (1) the mortgage note endorsed without recourse in blank or to the Trustee to reflect the transfer of the mortgage loan (2) the original mortgage with evidence of recording indicated thereon and (3) an assignment of the mortgage in recordable form to the Trustee, reflecting the transfer of the mortgage loan. On the Closing Date, the Sponsor will make limited ownership representations with respect to the mortgage loans. AHMC will make the remainder of the representations and warranties. Assignment of Trust Fund Assets (From the Prospectus pages 30-33) At the time of issuance of a series of securities, the depositor will assign, or cause to be assigned, to

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the related trustee (or its nominee), without recourse, the mortgage loans being included in the related issuing entity, together with, all principal and interest received on or with respect to the mortgage loans after the cutoff date, other than principal and interest due on or before the cut-off date. The depositor or any of its affiliates may retain an interest in the issuing entity assets, if any, for itself or transfer the same to others. The trustee will, concurrently with the assignment, deliver the securities of the series to or at the direction of the depositor in exchange for the mortgage loans in the related issuing entity. Each mortgage loan will be identified in a schedule appearing as an exhibit to the related pooling and servicing agreement or servicing agreement. The schedule will include, among other things, information as to the principal balance of each mortgage loan in the related issuing entity as of the cut-off date, as well as information respecting the mortgage rate, the currently scheduled monthly payment of principal and interest, the maturity of the mortgage note and the Loan-to-Value Ratio at origination or modification (without regard to any secondary financing). In addition, the depositor will, as to each mortgage loan, other than Contracts, deliver, or cause to be delivered, to the related trustee (or to the custodian described below) the following documents: the mortgage note endorsed, without recourse, either in blank or to the order of the trustee (or its nominee),

the mortgage with evidence of recording indicated on the mortgage (except for any mortgage not returned from the public recording office) or, in the case of a cooperative mortgage loan, on the related financing statement,

an assignment of the mortgage in blank or to the trustee (or its nominee) in recordable form (or, with respect to a cooperative mortgage loan, an assignment of the respective security agreements, any applicable UCC financing statements, recognition agreements, relevant stock certificates, related blank stock powers and the related proprietary leases or occupancy agreements),

any intervening assignments of the mortgage with evidence of recording on the assignment (except for any assignment not returned from the public recording office),

if applicable, any riders or modifications to the mortgage note and mortgage,

if the mortgage loan is secured by additional collateral, certain security and assignment documents relating to the pledge of the additional collateral, and

any other documents set forth in the related pooling and servicing agreement, mortgage loan purchase agreement or servicing agreement.

The assignments may be blanket assignments covering mortgages on mortgaged properties located in the same county, if permitted by law. Notwithstanding the foregoing, an issuing entity may include mortgage loans where the original mortgage note is not delivered to the trustee if the depositor delivers, or causes to be delivered, to the related

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trustee (or the custodian) a copy or a duplicate original of the mortgage note, together with an affidavit certifying that the original thereof has been lost or destroyed. In addition, if the depositor cannot deliver, with respect to any mortgage loan, the mortgage or any intervening assignment with evidence of recording on the assignment concurrently with the execution and delivery of the related pooling and servicing agreement or servicing agreement because of a delay caused by the public recording office, the depositor will deliver, or cause to be delivered, to the related trustee (or the custodian) a true and correct photocopy of the mortgage or assignment as submitted for recording within one year. The depositor will deliver, or cause to be delivered, to the related trustee (or the custodian) the mortgage or assignment with evidence of recording indicated on the assignment after receipt thereof from the public recording office. If the depositor cannot deliver, with respect to any mortgage loan, the mortgage or any intervening assignment with evidence of recording on the mortgage or assignment concurrently with the execution and delivery of the related pooling and servicing agreement or servicing agreement because the mortgage or assignment has been lost, the depositor will deliver, or cause to be delivered, to the related trustee (or the custodian) a true and correct photocopy of the mortgage or assignment with evidence of recording on the mortgage or assignment. If the depositor cannot deliver, with respect to any mortgage loan, the mortgage or any intervening assignment with evidence of recording on the mortgage or assignment because the applicable jurisdiction retains the originals of such documents, the depositor will deliver photocopies of such documents containing an original certification by the judicial or other governmental authority of the jurisdiction where such documents were recorded. Assignments of the mortgage loans to the trustee (or its nominee) will be recorded in the appropriate public recording office, except (1) where recordation is not required by the Rating Agencies rating the applicable securities, (2) in states where, in the opinion of counsel acceptable to the trustee, recording is not required to protect the trustees interests in the mortgage loan against the claim of any subsequent transferee or any successor to or creditor of the depositor or the originator of the mortgage loan or (3) where Mortgage Electronic Registration Systems, Inc. is identified on the mortgage or a properly recorded assignment of mortgage as the mortgagee of record solely as nominee for a Seller and its successors and assigns. In addition, the depositor shall not be required to deliver intervening assignments or mortgage note endorsements between the underlying sellers of the mortgage loans and the Seller, between the Seller and the depositor and between the depositor and the trustee. As to each Contract, the depositor will deliver, or cause to be delivered, to the related trustee (or the custodian) the following documents: the original Contract endorsed, without recourse, to the order of the trustee,

copies of documents and instruments related to the Contract and the security interest in the Manufactured Home securing the Contract, and

a blanket assignment to the trustee of all Contracts in the related issuing entity and the related documents and instruments.

In order to give notice of the right, title and interest of the securityholders to the Contracts, the depositor will cause to be executed and delivered to the trustee a UCC-1 financing statement identifying the trustee as the secured party and identifying all Contracts as collateral. The trustee (or the custodian) will hold the documents in trust for the benefit of the related securityholders, and generally will review the documents within 180 days after receipt thereof in the case of documents delivered concurrently with the execution and delivery of the related pooling and servicing agreement or indenture, and within the time period specified in the related pooling and servicing agreement or indenture in the case of all other documents delivered. If any document is found to be missing or defective in any material respect, the trustee (or the custodian) will be required to promptly so notify the master

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servicer, the depositor, and the related Seller. If the related Seller does not cure the omission or defect within a specified period after notice is given thereto by the trustee, and the omission or defect materially and adversely affects the interests of securityholders in the affected mortgage loan, then, the related Seller will be obligated to repurchase the mortgage loan from the trustee at its purchase price (or, if and to the extent it would otherwise be permitted to do so for a breach of representation and warranty as described under The Mortgage PoolsRepresentations of Sellers, to substitute for the mortgage loan). The trustee will be obligated to enforce this obligation of the Seller to the extent described above under The Mortgage Pools Representations by Sellers, but there can be no assurance that the applicable Seller will fulfill its obligation to repurchase (or substitute for) the affected mortgage loan as described above. The depositor will not be obligated to repurchase or substitute for the mortgage loan if the Seller defaults on its obligation to do so. This repurchase or substitution obligation constitutes the sole remedy available to the related securityholders and the related trustee for omission of, or a material defect in, a constituent document. Any affected mortgage loan not so repurchased or substituted for shall remain in the related issuing entity. The trustee will be authorized at any time to appoint one or more custodians pursuant to a custodial agreement to hold title to the mortgage loans in any mortgage pool, and to maintain possession of and, if applicable, to review, the documents relating to the mortgage loans, in any case as the agent of the trustee. The identity of any custodian to be appointed on the date of initial issuance of the securities will be set forth in the related prospectus supplement. A custodian may be an affiliate of the depositor or the master servicer. The Seller will make representations and warranties as to the types and geographical concentrations of the mortgage loans and as to the accuracy of some of the information furnished to the related trustee in respect of each mortgage loan (for example, the original Loan-to-Value Ratio, the principal balance as of the cut-off date, the mortgage rate and maturity). Upon a breach of any of these representations which materially and adversely affects the interests of the securityholders in a mortgage loan, the Seller will be obligated to cure the breach in all material respects, to repurchase the mortgage loan at its purchase price or, to substitute for the mortgage loan a Qualified Substitute Mortgage Loan in accordance with the provisions for substitution by Sellers as described above under The Mortgage PoolsRepresentations by Sellers. This repurchase or substitution obligation constitutes the sole remedy available to securityholders or the trustee for a breach of a representation by the depositor. Any mortgage loan not so repurchased or substituted for shall remain in the related issuing entity. Pursuant to the related pooling and servicing agreement or servicing agreement, the master servicer for any mortgage pool, either directly or through servicers, will service and administer the mortgage loans included in the mortgage pool and assigned to the related trustee as more fully set forth under Servicing of Mortgage Loans. Each of the depositor and the master servicer will make limited representations and warranties regarding its authority to enter into, and its ability to perform its obligations under, the pooling and servicing agreement or servicing agreement. Representations and Warranties Pursuant to the Mortgage Loan Purchase Agreement, the Sponsor made certain representations and warranties to the Depositor concerning the mortgage loans. The Issuing Entity will be assigned all right, title and interest in the Mortgage Loan Purchase Agreement insofar as they relate to such representations and warranties made by the Sponsor. The representations and warranties of the Sponsor with respect to the mortgage loans include the following, among others: (1) The information set forth in the mortgage loan schedule is true, complete and correct in all material respects as of the date such representation was made; (2) Each mortgage loan was originated or funded by (a) a savings and loan association, savings bank, commercial bank, credit union, insurance company or similar institution which is supervised and

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examined by a federal or state authority or (b) a mortgagee approved by the Secretary of Housing and Urban Development pursuant to sections 203 and 211 of the National Housing Act, as amended, and the mortgage loans are currently being serviced in accordance with accepted servicing practices; (3) As of the Closing Date, the improvements on each Mortgaged Property securing a mortgage loan are insured (by an insurer which is acceptable to the Sponsor) against loss by fire, flood and such hazards as are covered under a standard extended coverage endorsement in the locale in which the Mortgaged Property is located as provided by Fannie Mae or Freddie Mac; (4) Except to the extent insurance is in place which will cover such damage, the physical property subject to any Mortgage is free of material damage and is in good repair and there is no proceeding pending or threatened for the total or partial condemnation of any Mortgaged Property; (5) The Mortgaged Property and all improvements thereon comply with all requirements of any applicable zoning and subdivision laws and ordinances; (6) A lenders title insurance policy (on an ALTA or CLTA form) or binder, or other assurance of title customary in the relevant jurisdiction therefor in a form acceptable to Fannie Mae or Freddie Mac, was issued on the date that each mortgage loan was created by a title insurance company which, to the best of the Sponsors knowledge, was qualified to do business in the jurisdiction where the related Mortgaged Property is located, insuring the Sponsor and its successors and assigns that the mortgage is a first priority lien on the related Mortgaged Property in the original principal amount of the mortgage loan. The Sponsor is the sole insured under such lenders title insurance policy, and such policy, binder or assurance is valid and remains in full force and effect, and each such policy, binder or assurance shall contain all applicable endorsements including a negative amortization endorsement, if applicable; (7) As of the Closing Date there is no monetary default existing under any mortgage or the related mortgage note and there is no material event which, with the passage of time or with notice and the expiration of any grace or cure period, would constitute a default, breach or event of acceleration; and neither the Sponsor nor any of its respective affiliates has taken any action to waive any default, breach or event of
PARTY A ORIGINATOR/LENDER AMERICAM HOME MORTGAGE CORPORATION 1) LEGAL OF SECURITIZATION THE CORRECT PROCESSOPINIONS 2) 3) 4) 5) ASSET PURCHASE / SALE AGREEMENTS DELIVERY & ACCEPTANCE RECEIPTS COMPENSATION / MONEY CAPACITY OF PARTIES TO BUY AND SELL TRUE SALE PARTY B SPONSOR AMERICAM HOME MORTGAGE CORPORATION

acceleration; and no foreclosure action commenced with respect to the

is threatened or has been mortgage loan;

(8) The terms of the Mortgage Note and the Mortgage have not been impaired, waived, altered or modified in any respect, except by written instruments which have been recorded, (i) if required by law in the jurisdiction where the Mortgaged Property is located, or (ii) to protect the interests of the Trustee on behalf of the Certificateholders; and (9) At the time of origination, each Mortgaged Property was the subject of an appraisal which conformed to the underwriting requirements of the originator of the mortgage loan and, the appraisal is in a form acceptable to Fannie Mae or Freddie Mac. In the case of a breach of any representation or warranty set forth above which materially and adversely affects the value of the interests of Certificateholders or the Trustee in any of the mortgage loans, within 90 days from the date of discovery or notice from the Trustee, the Custodian, the Depositor, the Securities Administrator or the Sponsor, will (i) cure such breach in all material respects, (ii) provide the Custodian, on behalf of the Trustee, with a substitute mortgage loan (if within two years of the Closing Date)

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or (iii) purchase the related mortgage loan at the applicable Repurchase Price. The obligations of the Sponsor to cure, purchase or substitute shall constitute the Trustees sole and exclusive remedy respecting a breach of such representations and warranties. Securities and Exchange Commission Form 424(b)(5) http://www.sec.gov/Archives/edgar/data/1375250/000088237706003186/d564992_424b5.htm

PARTY D PARTY A TRUST/ISSUING ENTITY HOW PARTY D ORIGINATOR/LENDER TRUST/ISSUING ENTITY AMERICAM HOME AMERICAM HOME MORTGAGE MORTGAGE CORPORATION ASSET TRUST 2006-5 AMERICAM HOME MORTGAGE ASSET TRUST 2006-5

TRUE SALE

LENDERS SIDE-STEPPED THE PROCESS


1) 2) 3) 4) 5) LEGAL OPINIONS ASSET PURCHASE / SALE AGREEMENTS DELIVERY & ACCEPTANCE RECEIPTS COMPENSATION / MONEY CAPACITY OF PARTIES TO BUY AND SELL

PARTY B PARTY C SPONSOR DEPOSITOR AMERICAN HOME MORTGAGE AMERICAN HOME MORTGAGE AMERICAN HOME CORPORATION MORTGAGE ASSET LLC ASSETS LLC

SECURITIZATION

STRUCTURE

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The transaction Structure Chart is from the Form 424(b)(5) page 15 flies on the face of Korell Harps assignment as well as Alisa Dhimitry correction assignment introduced on the record http://www.sec.gov/Archives/edgar/data/1375250/000088237706003186/d564992_424b5.htm

Congressional Oversight Panel Examining the Consequences of Mortgage Irregularities 11/16/2010 Page | 12
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pages 18-19 iii. Mortgage Securitization Process Figure 1: Transfer of Relevant Paperwork in Securitization Process

Securitizations of mortgages require multiple transfers, and, accordingly, multiple assignments. Mortgages that were securitized were originated through banks and mortgage brokers mortgage originators. Next they were securitized by investment banks the sponsors through the use of special purpose vehicles, trusts that qualify for Real Estate Mortgage Investment Conduit (REMIC) status. These trusts are bankruptcy-remote, tax-exempt vehicles that pooled the mortgages transferred to them and sold interests in the income from those mortgages to investors in the form of shares. The pools were collateralized by the underlying real property, because a mortgage represents a first-lien security interest on an asset in the pool a house. A governing document for securitizations called a pooling and servicing agreement (PSA) includes various representations and warranties for the underlying mortgages. It also describes the responsibilities of the trustee, who is responsible for holding the recorded mortgage documents, and of the servicer, who plays an administrative role, collecting and disbursing mortgage and related payments on behalf of the investors in the MBS. As described above, in order to convey good title into the trust and provide the trust with both good title to the collateral and the income from the mortgages, each transfer in this process required particular steps. Most PSAs are governed by New York law and create trusts governed by New York law. New York trust law requires strict compliance with the trust documents; any transaction by the trust that is in contravention of the trust documents is void, meaning that the transfer cannot actually take place as a matter of law. Therefore, if the transfer for the notes and mortgages did not comply with the PSA, the transfer would be void, and the assets would not have been transferred to the trust. Moreover, in many cases the assets could not now be transferred to the trust. PSAs generally require that the loans transferred to the trust not be in default, which would prevent the transfer of any non-performing loans to the trust now.42 Furthermore, PSAs frequently have timeliness requirements regarding the transfer in order to ensure that the trusts qualify for favored tax treatment.
EX-4.1 3 d570064_ex4-1.htm POOLING AND SERVICING AGREEMENT

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AMERICAN HOME MORTGAGE ASSETS LLC, DEPOSITOR WELLS FARGO BANK, N.A., MASTER SERVICER AND SECURITIES ADMINISTRATOR AND DEUTSCHE BANK NATIONAL TRUST COMPANY, TRUSTEE POOLING AND SERVICING AGREEMENT DATED AS OF SEPTEMBER 1, 2006 ________________________ MORTGAGE-BACKED PASS-THROUGH CERTIFICATES SERIES 2006-5
ARTICLE II CONVEYANCE OF MORTGAGE LOANS; ORIGINAL ISSUANCE OF CERTIFICATES Section 2.01 Conveyance of Mortgage Loans.

The Depositor, as of the Closing Date, and concurrently with the execution and delivery hereof, does hereby assign, transfer, sell, set over and otherwise convey to the Trustee without recourse all the right, title and interest of the Depositor in and to the Mortgage Loans identified on the Mortgage Loan Schedule (exclusive of any prepayment fees and late payment charges received thereon) and all other assets included or to be included in the Trust Fund for the benefit of the Certificateholders. Such assignment includes all principal and interest received by the Servicer on or with respect to the Mortgage Loans (other than payment of principal and interest due on or before the Cut-off Date). In connection with such transfer and assignment, the Depositor has caused the Sponsor with respect to each Mortgage Loan, to deliver to, and deposit to or at the direction of the Trustee, as described in the Mortgage Loan Purchase Agreement, with respect to each Mortgage Loan, the following documents or instruments: (a) With respect to each Mortgage Loan, other than a Cooperative Loan:

(i) the original Mortgage Note endorsed without recourse to the order of the Trustee or in blank, and showing an unbroken chain of endorsements from the original payee thereof to the Person endorsing it to the Trustee or in blank or, with respect to any Mortgage Loan as to which the original

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Mortgage Note has been lost or destroyed and has not been replaced, a Lost Note Affidavit; (ii) the original Mortgage with evidence of recording thereon, or, if the original Mortgage has not yet been returned from the public recording office, a copy of the original Mortgage certified by the Sponsor or the public recording office in which such original Mortgage has been recorded; (iii) an assignment (which may be included in one or more blanket assignments if permitted by applicable law) of the Mortgage in blank or to the Trustee (or to MERS, if the Mortgage Loan is registered on the MERS System and noting the presence of a MIN) and otherwise in recordable form; (iv) originals of any intervening assignments of the Mortgage, with evidence of recording thereon, or, if the original of any such intervening assignment has not yet been returned from the public recording office, a copy of such original intervening assignment certified by the Sponsor or the public recording office in which such original intervening assignment has been recorded; (v) the original policy of title insurance (or a preliminary title report commitment for title insurance, if the policy is being held by the title insurance company pending recordation of the Mortgage); and (vi) the original or a true and correct copy of any assumption, modification, consolidation or substitution agreement, if any, relating to the Mortgage Loan. (b) With respect to each Mortgage Loan that is a Cooperative Loan (as indicated on the Mortgage Loan Schedule): (i) the original Mortgage Note endorsed without recourse to the order of the Trustee or in blank, and showing an unbroken chain of endorsements from the original payee thereof to the Person endorsing it to the Trustee or in blank or, with respect to any Mortgage Loan as to which the original Mortgage Note has been lost or destroyed and has not been replaced, a Lost Note Affidavit; (ii) the original duly executed assignment of Security Agreement to the Trustee;

(iii) the acknowledgment copy of the original executed Form UCC-1 (or certified copy thereof) with respect to the Security Agreement, and any required continuation statements; (iv) the acknowledgment copy of the original executed Form UCC-3 with respect to the security agreement, indicating the Trustee as the assignee of the secured party; (v) the stock certificate representing the Cooperative Assets allocated to the cooperative unit, with a stock power in blank attached; (vi) originator; (vii) a copy of the recognition agreement; the original collateral assignment of the proprietary lease by Mortgagor to the

(viii) if applicable and to the extent available, the original intervening assignments, including warehousing assignments, if any, showing, to the extent available, an unbroken chain of the related Mortgage Loan to the Trustee, together with a copy of the related Form UCC-3 with evidence of filing thereon; and (ix) the original or a true and correct copy of any assumption, modification, consolidation or substitution agreement, if any, relating to the Mortgage Loan.

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Within 30 days after the Closing Date, the Depositor shall complete or cause to be completed the Assignments of Mortgage in the name of Deutsche Bank National Trust Company, as trustee under the Agreement relating to American Home Mortgage Assets LLC, Mortgaged-Backed Pass-Through Certificates, Series 2006-5 (or shall prepare or cause to be prepared new forms of Assignment of Mortgage so completed in the name of the Trustee) for each Mortgage Property in a state, if any, which is specifically excluded from the Opinion of Counsel delivered by the Depositor to the Trustee and the Custodian, each such assignment shall be recorded in the appropriate public office for real property records, and returned to the Custodian, at no expense to the Trustee or the Custodian. The Sponsor is obligated as described in the Mortgage Loan Purchase Agreement, with respect to the Mortgage Loans, to deliver to or at the direction of the Trustee: (a) either the original recorded Mortgage, or in the event such original cannot be delivered by the Sponsor, a copy of such Mortgage certified as true and complete by the appropriate recording office, in those instances where a copy thereof certified by the Sponsor was delivered to the Custodian as agent for the Trustee pursuant to clause (ii) above; and (b) either the original Assignment or Assignments of the Mortgage, with evidence of recording thereon, showing an unbroken chain of assignment from the originator to the Sponsor, or in the event such original cannot be delivered by the Sponsor, a copy of such Assignment or Assignments certified as true and complete by the appropriate recording office, in those instances where copies thereof certified by the Sponsor were delivered to the Custodian as agent for the Trustee pursuant to clause (iv) above. However, pursuant to the Mortgage Loan Purchase Agreement, the Sponsor need not cause to be recorded any assignment in any jurisdiction under the laws of which, as evidenced by an Opinion of Counsel delivered by the Sponsor to the Trustee, the Custodian and the Rating Agencies, the recordation of such assignment is not necessary to protect the Trustees interest in the related Mortgage Loan; provided, however, notwithstanding the delivery of any Opinion of Counsel, each assignment shall be submitted for recording by the Sponsor in the manner described above, at no expense to the Issuing Entity, the Custodian or the Trustee, upon the earliest to occur of: (i) reasonable direction by the Holders of Certificates evidencing at least 25% of the Voting Rights, (ii) the occurrence of an Event of Default, (iii) the occurrence of a bankruptcy, insolvency or foreclosure relating to the Sponsor, (iv) the occurrence of a servicing transfer as described in Section 7.02 hereof and (v) if the Sponsor is not the Master Servicer and with respect to any one assignment, the occurrence of a bankruptcy, insolvency or foreclosure relating to the Mortgagor under the related Mortgage. Notwithstanding anything to the contrary contained in this Section 2.01, in those instances where the public recording office retains the original Mortgage after it has been recorded, the Sponsor shall be deemed to have satisfied its obligations hereunder upon delivery to the Custodian as agent for the Trustee of a copy of such Mortgage certified by the public recording office to be a true and complete copy of the recorded original thereof. If any Assignment is lost or returned unrecorded to the Custodian as agent for the Trustee because of any defect therein, the Sponsor, as the case may be, is required, as described in the Mortgage Loan Purchase Agreement, to prepare a substitute Assignment or cure such defect, as the case may be, and the Sponsor, as applicable, shall cause such Assignment to be recorded in accordance with this section. In connection with the assignment of any Mortgage Loan registered on the MERS System, the Sponsor further agrees that it will cause, at the Sponsors own expense, as of the Closing Date, the MERS System to indicate that such Mortgage Loans have been assigned by the Sponsor to the Trustee in accordance with this Agreement for the benefit of the Certificateholders by including (or deleting, in the case of Mortgage Loans which are repurchased in accordance with this Agreement) in such computer files (a) the code in the field which identifies the specific Trustee and (b) the code in the field Pool Field which identifies the series of the Certificates issued in connection with such Mortgage Loans. The Depositor further agrees that it will not, and will not permit the Servicer to alter the codes referenced in this paragraph with respect to any Mortgage Loan during the term of this Agreement unless and until such Mortgage Loan is repurchased in accordance with the terms of this Agreement. With respect to the Cooperative Loans, the Depositor will, promptly after the Closing Date, cause the

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related financing statements (if not yet filed) and an assignment thereof from the Depositor to the Trustee to be filed in the appropriate offices. Except as may otherwise expressly be provided herein, none of the Depositor, the Custodian, the Master Servicer, or the Trustee shall (and the Master Servicer shall ensure that no Servicer shall) assign, sell, dispose of or transfer any interest in the Trust Fund or any portion thereof, or cause the Trust Fund or any portion thereof to be subject to any lien, claim, mortgage, security interest, pledge or other encumbrance. It is intended that the conveyance of the Mortgage Loans by the Depositor to the Trustee as provided in this Section be, and be construed as, a sale of the Mortgage Loans as provided for in this Section 2.01 by the Depositor to the Trustee for the benefit of the Certificateholders. It is, further, not intended that such conveyance be deemed a pledge of the Mortgage Loans by the Depositor to the Trustee to secure a debt or other obligation of the Depositor. However, in the event that the Mortgage Loans are held to be property of the Depositor, or if for any reason this Agreement is held or deemed to create a security interest in the Mortgage Loans, then it is intended that, (a) this Agreement shall also be deemed to be a security agreement within the meaning of Articles 8 and 9 of the New York Uniform Commercial Code and the Uniform Commercial Code of any other applicable jurisdiction; (b) the conveyance provided for in this Section shall be deemed to be (1) a grant by the Depositor to the Trustee of a security interest in all of the Depositors right (including the power to convey title thereto), title and interest, whether now owned or hereafter acquired, in and to (A) the Mortgage Loans, including the Mortgage Notes, the Mortgages, any related Insurance Policies and all other documents in the related Mortgage Files, (B) all amounts payable to the holders of the Mortgage Loans in accordance with the terms thereof and (C) all proceeds of the conversion, voluntary or involuntary, of the foregoing into cash, instruments, securities or other property, including without limitation all amounts from time to time held or invested in the Distribution Account, whether in the form of cash, instruments, securities or other property and (2) an assignment by the Depositor to the Trustee of any security interest in any and all of the Sponsors right (including the power to convey title thereto), title and interest, whether now owned or hereafter acquired, in and to the property described in the foregoing clauses (1)(A) through (C); (c) the possession by the Custodian as agent for the Trustee or any other agent of the Trustee of Mortgage Notes and such other items of property as constitute instruments, money, negotiable documents or chattel paper shall be deemed to be possession by the secured party or possession by a purchaser or a person designated by such secured party, for purposes of perfecting the security interest pursuant to the New York Uniform Commercial Code and the Uniform Commercial Code of any other applicable jurisdiction (including, without limitation, Sections 9-115, 9-305, 8-102, 8-301, 8-501 and 8-503 thereof); and (d) notifications to persons holding such property, and acknowledgments, receipts or confirmations from persons holding such property, shall be deemed notifications to, or acknowledgments, receipts or confirmations from, financial intermediaries, bailees or agents (as applicable) of the Trustee for the purpose of perfecting such security interest under applicable law. The Depositor shall, to the extent consistent with this Agreement, take such actions as may be necessary to ensure that, if this Agreement were deemed to create a security interest in the Mortgage Loans and the REMIC 1 Regular Interests, such security interest would be deemed to be a perfected security interest of first priority under applicable law and will be maintained as such throughout the term of the Agreement. Section 2.02 Acceptance of the Trust Fund by the Trustee.

The Trustee acknowledges receipt (subject to any exceptions noted in the Initial Certification described below), of the documents referred to in Section 2.01 above and all other assets included in the definition of Trust Fund and declares that it (or the Custodian on its behalf) holds and will hold such documents and the other documents delivered to Custodian as agent for the Trustee constituting the Mortgage Files, and that it holds or will hold such other assets included in the definition of Trust Fund (to the extent delivered or assigned to the Custodian as agent for the Trustee), in trust for the exclusive use and benefit of all present and future Certificateholders. The Trustee agrees to cause, for the benefit of the Certificateholders, the Custodian as agent for the Trustee to review each Mortgage File on or before the Closing Date to ascertain that all documents required

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to be delivered to it are in its possession, and the Custodian as agent for the Trustee agrees to execute and deliver, or cause to be executed and delivered, to the Depositor on the Closing Date, with respect to each Mortgage Loan, an Initial Certification in the form annexed hereto as Exhibit C to the effect that, as to each Mortgage Loan listed in the Mortgage Loan Schedule (other than any Mortgage Loan paid in full or any Mortgage Loan specifically identified in such certification as not covered by such certification), (i) all documents required to be delivered to it pursuant to this Agreement with respect to such Mortgage Loan are in its possession, and (ii) such documents have been reviewed by it and appear regular on their face and relate to such Mortgage Loan. Neither the Custodian, the Trustee or the Master Servicer shall be under any duty to determine whether any Mortgage File should include any of the documents specified in clauses (v) or (vi) of Section 2.01(a). Neither the Custodian, the Trustee or the Master Servicer shall be under any duty or obligation to inspect, review or examine said documents, instruments, certificates or other papers to determine that the same are genuine, valid, enforceable, appropriate for the represented purpose or that they have actually been recorded, or that they are in recordable form or that they are other than what they purport to be on their face. Within 180 days of the Closing Date, with respect to the Mortgage Loans, the Custodian as agent for the Trustee shall deliver to the Depositor a Final Certification in the form annexed hereto as Exhibit D evidencing the completeness of the Mortgage Files, with any applicable exceptions noted thereon. Section 11.04 Governing Law.

This Agreement and the Certificates shall be construed in accordance with the laws of the State of New York without reference to its conflict of law provisions except sections 5-1401 and 5-1402 of New York General Obligations Laws and the obligations, rights and remedies of the parties hereunder shall be determined in accordance with such laws.

From the Pooling and Servicing Agreement of September 1, 2006.


http://www.sec.gov/Archives/edgar/data/1375250/000088237706003577/d570064_ex4-1.htm

SECTION 3:

FORECLOSURE
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Chain of Mortgage and Chain of Note Recorded Events on the Loan Including Foreclosure Issues and Securitization
Recorded Chain of MORTGAGE Possession Date
DATE August 25, 2006 Instrument # 0031297237 Official Records, Queens County New York 11435

Chain of Note Possession Original MORTGAGE of Trust


Paulette Angela Dennis (Borrowers) American Home Mortgage (Lender) MIN # 1000

Date

Note Holder
AMERICAN HOME MORTGAGE Lender Principal Amount: $500,000.00 MIN # 1000 LOAN #

ORIGINAL LOAN DATE AUGUST 25, 2006

DATE MAY 15, 2009 Instrument # 2006000520818 Official Records, Queens County New York 11435 DATE AUGUST 5th, 2010 Instrument # ? Official Records, Queens County New York 11435 DATE DECEMBER 7, 2010 Instrument # 30405-2010 Official Records, Queens County New York 11435

Assignment of MORTGAGE By Robo Signers Korell Harp Vice Pres and Tywanna Thomas Assist Secretary ON OR ABOUT SEPTEMBER 22, 2006 AMERICAN HOME MORTGAGE ASSET TRUST 2006-5

Correction Assignment of MORTGAGE By Alisa Dhimitri Assistant Secretary

Summons and Complaint

The mortgage and the note have been separated. The mortgage was never transferred at the closing date of September 22, 2006 as required by the Pooling and Servicing Agreement. The note however was part of a pool of assets. The borrowers note of $500,000.00 was put in a trust with other note and this pool is values at $1,520,374.00 according to the Securities and Exchange Commission Form 424(b)(5) at: http://www.sec.gov/Archives/edgar/data/1375250/000088237706003186/d564992_424b5.htm The auditor is disturbed and concerned by the separation of the note and security instrument and wonders if foreclosure could still take place although Article 2.01 of the Pooling and Servicing Agreement is very specific as to the transfer of the mortgage loan. The note and security instrument must be transferred together according to the Congressional Oversight Panel of November 16, 2010 p. 18 Exhibit A at: http://www.scribd.com/doc/53692736/Congressional-Oversight-Panel-Nov-2010-Report . The suditor cannot render legal opinion therefore he is asking the court to investigate because: The transfer of the mortgage without a concurrent transfer of the promissory note is a legal nullity. The Appellate Division, Second Department in Kluge v Fugazy (145 AD2d 537, 538 [2d Dept 1988]) The security cannot be separated from the debt, and exist independently of it." (Merritt v Bartholick, 36 NY 44, 45 [1867]. The assignment of the mortgage without transfer of the debt is a nullity Johnson v. Melnikoff, 20 Misc3d 1142(A), 2 (Sup Ct Kings

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Co. 2008)

REPORT SUMMARY
MORTGAGE: On August 25th, 2006, borrower John Goodguy executed a negotiable promissory note and a security interest in the form of a MORTGAGE in the amount of $ 500,000.00. This document was filed as document number 2006090701726001 in the Official Records of Queens County, New York 11435 with CRFN 2006000520818 recorded on September 15, 2006 at 10:31 AM. The original lender of the promissory note is American Home Mortgage Corporation. Mortgage Electronic Registration Systems, Inc. (hereafter MERS) is not named as the payee of the note, but is named as acting solely as a nominee for lender as the beneficiary of the security interest MORTGAGE of Trust. Paragraph 20 of the mortgage states: The Note, or an interest in the Note, together with this security instrument, may be sold one or more time. I might not receive any prior notice of these sales. Assignment of MORTGAGE: An Assignment of MORTGAGE was filed as document number 2006000520818 in the Official Records, Queens County, New York on May 15th, 2009. This document purports to be executed by MERSs Vice President (robo-signer) Korel Harp and (another robo signer) Tywanna Thomas as Assistant Secretary. Correction Assignment of Mortgage: On August 5th, 2010, a Correction of Assignment of Mortgage was filed with no number in the Recorders Office, Queens County, New York 11435. This document, like the MORTGAGE, states that MERS was the beneficiary under the MORTGAGE it does not state that MERS was the beneficiary under the promissory note. This document properly identifies the amount of the mortgage loan that debtor obtained on August 25th 2006. MERS:

The MORTGAGE shows MIN 1000 and MERS SERVICER ID website https://www.mers-servicerid.org/sis/search indicates that American Mortgage Servicer Inc is the Servicer and Deutsche Bank National Trust Company is the Investor. The New York Secretary of State Business Entity websites shows that MERS has an ACTIVE status for agent of process. ROBO SIGNORS
JOB TITLES HELD BY TYWANNA THOMAS

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11-20-2008 Asst. Vice President, Option One Mortgage Corporation 12-26-2008 Asst. Vice President, American Home Mortgage Servicing, Inc. 12-30-2008 Asst. Vice President, Mortgage Electronic Registration Systems, Inc., as nominee for Homestar Mortgage Lending Corp. 01-13-2009 Asst. Vice President, Mortgage Electronic Registration Systems, Inc., as nominee for Family Lending Services, Inc. 02-11-2009 Asst. Vice President, American Home Mortgage Servicing, Inc. 02-12-2009 & 03-04-2009 Asst. Vice President, American Home Mortgage Servicing, Inc as successor-in-interest to Option One Mortgage Corporation 03-04-2009Asst. Vice President, Argent Mortgage Company, LLC by Citi Residential Lending Inc., attorney in fact 03-13-2009 & 04-20-2009 Asst. Vice President, American Home Mortgage Servicing, Inc as successor-in-interest to Option One Mortgage Corporation 04-21-2009 Asst. Secretary, Mortgage Electronic Registration Systems, Inc. 04-21-2009 Asst. Secretary, Mortgage Electronic Registration Systems, Inc., acting solely as nominee for American Home Mortgage 04-23-2009 Asst. Vice President, American Home Mortgage Servicing, Inc as successor-in-interest to Option One Mortgage Corporation 04-29-2009 & 04-29-2009 Asst. Secretary, Mortgage Electronic Registration Systems, Inc., as nominee for American Home Mortgage Acceptance, Inc. 05-08-2009 Asst. Secretary, Mortgage Electronic Registration Systems, Inc., acting solely as nominee for American Home Mortgage 05-13-2009 Asst. Vice President, American Home Mortgage Servicing, Inc as successor-ininterest to Option One Mortgage Corporation JOB TITLES HELD BY KORELL HARP 03-13-2009 Vice President, American Home Mortgage Servicing, Inc. as successor-in-interest to Option One Mortgage Corporation 04-09-2009 Vice President, American Brokers Conduit 04-15-2009 Vice President & Asst. Secretary, Argent Mortgage Company, LLC by Citi Residential Lending, Inc., as Attorney in Fact 04-23-2009 Vice President, American Home Mortgage Servicing, Inc. as successor-in-interest to Option One Mortgage Corporation 04-29-2009 Vice President, Mortgage Electronic Registration Systems, Inc., as nominee for American Home Mortgage Acceptance, Inc. 04-30-2009 Vice President, American Home Mortgage Servicing, Inc. as successor-in-interest to Option One Mortgage Corporation 05-06-2009 Vice President & Asst. Secretary, Argent Mortgage Company, LLC by Citi Residential Lending, Inc., as Attorney in Fact 05-13-2009 Vice President, American Home Mortgage Servicing, Inc. as successor-in-interest to Option One Mortgage Corporation 05-14-2009 Vice President, American Home Mortgage

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Acceptance, Inc. 05-14-2009 Vice President, Mortgage Electronic Registration Systems, Inc., as nominee for American Home Mortgage Acceptance, Inc. 05-26-2009 & 06-01-2009 Authorized Signer, USAA Federal Savings Bank 06-14-2009, 06-16-2009 Vice President, Mortgage Electronic Registration Systems, Inc., as nominee for American Home Mortgage Acceptance, Inc. 06-19-2009 Authorized Signer, USAA Federal Savings Bank 06-26-2009 Vice President, Mortgage Electronic Registration Systems, Inc., as nominee for American Home Mortgage Acceptance, Inc. 8 07-20-2009 Vice President, Mortgage Electronic Registration Systems, Inc., acting solely as nominee for American Home Mortgage 07-27-2009 Vice President, American Home Mortgage Servicing, Inc. as successor-in-interest to Option One Mortgage Corporation http://www.frauddigest.com/TOO_MANY_JOBS.pdf Massachusetts Register of Deeds John OBrien is first in the nation to say no to recording robosigned documents. John OBrien today rejected 2 robo-signed documents submitted to his Registry for recording and plans to continue doing so. My Registry will not be a knowing participant in this fraud against homeowners. From today forward, lenders be on notice, the Southern Essex District Registry of Deeds will not record robo-signed documents. The rejected documents contain the signatures of three known robo-signers, Linda Green, Korell Harp and Linda Burton. According to OBrien, in his Registry he has 22 different variations of Linda Greens signature and 5 different variations between Korell Harp and Linda Burton. I find this practice very troubling on many levels. It has completely jaded my understanding that a notarized document was something that could be relied upon. http://dtc-systems.net/2011/06/countyrecorder-nation-step-reject-robo-signed-documents/

MIN:1000242Coppell, TX

Note Date:08/25/2006

MIN Status: Active Phone:(469) 645-3000 Phone:(714) 247-6000

Servicer: American Home Mortgage Servicing, Inc. Investor: Deutsche Bank National Trust Company as Trustee Santa Ana, CA

Securitization:
The NOTE was sold, transferred and securitized to Mortgage Pass-Through Certificates, Series 2006-5 Section 2.01 of the Pooling and Servicing Agreement is the governing document that says how to transfer the mortgage loan with a Closing Date of September 22, 2006. The mortgage loan must be transferred on the closing date and no later than 90 days after the closing date or December 22, 2006. Only the Depositor, American Home Mortgage Asset LLC, could assign the mortgage loan to the trust American Home Mortgage Assets Trust 2006-5, Mortgage-Backed Pass-Through Certificates, Series 2006-5. The Pooling and Servicing Agreement made no provision to assign the mortgage loan to the Trust by another mean. The note has been separated from the security instrument. According to the United Supreme Court: The note and the mortgage are inseparable; the former as essential, the latter as an incident. An assignment of the note carries the mortgage with it, while assignment of the latter alone is a nullity. MERS, Tywanna Thomas and Korell Harp are not the Depositor and they introduced no power of attorney

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or corporate resolution that verifies their authority to act on behalf of the Depositor therefore their action is ultra vires and outside of the perimeter of the Pooling and Servicing agreement. According to the Form 424(b)(5) the Issuing Entity (i.e. The Trust) is a New York Common Law Trust established pursuant to the Pooling and Servicing Agreement of September 1, 2006. The Pooling and Servicing Agreement describes and delineates the time, manner and order in which note and mortgage are to be convey into the trust It appears to auditor that John Goodguy mortgage never made it to the Trust as required by the Pooling and Servicing Agreement on the closing date of September 22, 2006. Upon information and belief, there is no trust under the common law until there is a valid delivery of the asset in question to the trust. Until the delivery to the trustee is performed by the settlor, or until the securities are definitely ascertained by the declaration of the settlor, when he himself is the trustee, no rights of the beneficiary in a trust created without consideration arise Riegel v. Central Hanover Bank & Trust Co., 266 App. Div. 586; Matter of Gurlitz [Lynde], 105 Misc 30, affd 190 App Div 907; Marx v Marx, 5 Misc 2d 42) as cited in Sussman v. Sussman, 61 A.D.2d 838 (N.Y. App. Div. 2d Dep't 1978). Furthermore, when the trust fails to acquire the property, (on 6/28/2006 or no latter than 9/28/2006) then there is no trust over that property that may be enforced. Kermani v. Liberty Mut. Ins. Co., 4 A.D.2d 603 (N.Y. App. Div. 3d Dept 1957) New York's law is so well-settled regarding the limitations of a trustee's power to act that New York's Estates Powers and Trust Law Section 7-2.4 states: If the trust is expressed in the instrument creating the estate of the trustee, every sale, conveyance or other act of the trustee in contravention of the trust, except as authorized by this article and by any other provision of law, is void.

ANY ATTEMPT TO TRANSFER FINANCIALEQUITABLE INTEREST IN THE MORTGAGE WITHOUT THE UNDERLYING ORIGINAL NOTE IS A NULLITY AND CONFERS NO RIGHT according to the United States Supreme Court in Carpenter v Logan 16 Wall. 271, 83 U.S. 271, 274, 21 L.Ed. 313 (1872) never overturned: The note and mortgage are inseparable; the former as essential, the latter as an incident. An assignment of the note carries the mortgage with it, while assignment of the latter alone is a nullity. A financial obligation can exist in two ways: (i) with a security or (ii) without a security. When the financial obligation is without a security the obligation is valid but the obligation is unsecured. However, a security interest cannot exist without the underlying financial obligation. It is totally preposterous to define a security divorced from the financial obligation it secures. The financial obligation and the security instrument are generally two separate documents: the note and the mortgage. If the creditor transfers the note; without the mortgage, the transferee received a secured note: the security follows the note legally if not physically. Conversely, if the transferee received the mortgage without the note the transferee has no meaningful right except a judicial action to compel the delivery of the note. When a mortgagee has transferred only the mortgage the transaction is a nullity and his assignee received no interest in the underlying financial obligation. The assignee is the holder of a worthless piece of paper. By law the assignment of the note carries the mortgage with it. If they are separated as in the case at bar the mortgage may become unenforceable document. Upon information and belief the practicle effect of separating the note from the security instrument is to make impossible for the holder of the note to foreclose, unless the holder of the mortgage is the agent of the holder of the note. Without the agency relationship, the person holding only the note lacks the power to foreclose in the event of default. Whoever is holding the mortgage will never experience default because only the holder of the note is entitled to payment of the underlying obligation

SECTION 4: BLOOMBERG FINANCE LP


BLOOMBERG SCREEN SHOT
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Row number 17 is the one we are looking for because the first column identify the loan 0001378839 The Issuer/Trust is AHMA (American Home Mortgage Asset Trust) The series is 2006-5 The amount and zip code are accurate

CLASSES / CUSSIP / GROUP = ACTIVE AND PAID STATUS

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This screen verifies that the note at issue has been in 15 classes and 11 of have been paid for a total of $378,947.00. The question that rises to the mind how much of this money has been applied to the borrower account?

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The first row of this screen identifies the loan with specificity

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SECURITY BOND DESCRIPTION

PROSPECTUS SUPPLEMENT
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SECTION 5:

AUDITOR QUALIFICATIONS

Emmanuel Erin, the auditor of this transaction, is presently learning to use the Bloomberg Terminal to track securitized mortgage loans. He is a Mortgage Securitization Loan Auditor, certified by Certified Forensic Loan Auditors, LLC one of the nations leading forensic loan auditing and mortgage litigation support companies. Emmanuel Erin attended also a seminar in Foreclosure Defense and Securitization with Attorney Jeff Barnes in Edison New Jersey in May 2011. Jeff Barnes maintained a very informative website at: http://foreclosuredefensenationwide.com/ In addition Emmanuel Erin attended a seminar in Foreclosure Defense and Securitization in November 2009 in Tampa Florida with attorney Neil Garfield who manage a very educative blog at: http://livinglies.wordpress.com/ Auditor tries to keep current in the evolution of the foreclosure of Mortgage backed Securities with mortgage servicing fraud at: http://www.msfraud.org/law/lounge/Lounge.html recent additions WRITING AND OTHER MATERIALS: Christopher L Petersons Testimony before Congress on December 2, 2010: Foreclosure Justice: Causes and Effects of the Foreclosure Crisis Page | 28
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http://www.washingtonpost.com/wp-srv/business/documents/peterson.pdf http://www.youtube.com/watch?v=8VpCUfC9k6M Lynn Szymoniack exposing the foreclosure fraud on 60 minutes http://www.cbsnews.com/video/watch/?id=7361572n&tag=related;photovideo MERS President and CEO R.K. Arnold Appears before U.S. Senate 11/16/2010 http://www.mersinc.org/newsroom/press_details.aspx?id=252 Mortgage Electronic Registration System v Nebraska Depart of Banking and Finance http://www.scribd.com/doc/55493444/AppellantsBriefinMERSvNebraskaDeptofBankingFiled15Oc t2004 Mortgage Electronic Registration Systems Inc A survey of Cases Discussing MERS Authority to Act http://findsenlaw.files.wordpress.com/2011/03/norton-bk-adviser-mers.pdf The 127 page Congress oversight Panel of November 16, 2010 at: http://www.law.berkeley.edu/files/bclbe/COP_Mortgage_Report-11-16-2010.pdf The FDIC, OTS, The Controller of the Currency, the Depart of the Treasury and other jointly and collectively, issued a Consent Order that MERS agreed to, dated April 13, 2011, http://livinglies.files.wordpress.com/2011/04/mers_cease_and_desist_2011_04_13.pdf DOCUMENTS RECEIVED, REVIEWED AND EXAMINED To conduct this audit the auditor reviewed the following documents: a). Some documents filed with the Supreme Court of the State of New York in Queens County regarding this case: the Complaint, the putative adjustable note, the purported mortgage. b). The Pooling and Servicing Agreement of September 1, 2006, pertaining to this trust
American Home Mortgage Asset Trust 2006-5

c). The Prospectus Supplement (SEC Form 424(b)(5) of September 22, 2006 pertaining to this mortgage loan, which is the governing document for the trust American Home Mortgage Asset Trust 2006-5
d) Auditor tries to keep current in the evolution of the foreclosure of Mortgage backed Securities with mortgage servicing fraud at: http://www.msfraud.org/law/lounge/Lounge.html recent additions

SECTION 6: CONCLUSION AND RECOMMEDATIONS


At the end of this tedious investigation thru the collateral file, submitted by the borrower, as well as the Prospectus Supplement [Form 424(b)(5)] of September 7, 2005 and the governing document for this trust: the Transfer and Servicing Agreement of October 1, 2005 the auditor is rather baffled and flabbergasted by what he found: The Transfer and Servicing Agreement specifically Sections 2.01 and 2.02 sets forth and delineates the manner and order how the Trust, First NLC Trust 2005-3, must acquire its assets. The Page | 29
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Trust Agreement sets forth both powers and the limits of the powers of the Trust. The process is thoroughly outlined in Sections 2.01 and 2.02 of the TSA. The conveyance requirement of the TSA have been ignored in the case at bar. The TSA requires that each party to the sale of the mortgage loans endorse each promissory note to the next party in the chain of title until the promissory note is endorsed to the Trustee for the benefit of the Trust. In the TSA this requirement is found at Section 2.01. According to the requirements set forth in the TSA the auditor was expecting to see a series of endorsements of the promissory note reflective of each party who had an ownership interest in the promissory note culminating with a blank endorsement from the depositor at the very minimum pursuant to UCC 3-201, 3-204 and 3-302. The industry standards, customs and practices would have been for the depositor's endorsement to be filled in naming the Trustee for the benefit of the Trust but that is not expressly stated in these documents. Nevertheless, this chain of endorsements, in order to comply with this TSA, would have had to be complete on or before the closing date of November 16, 2005. This would have been the industry standard, custom and practice and the absence of these endorsements on this promissory note is very compelling. The mortgage was not part of the Trust at the closing date of November 16, 2005. Bechakas introduced the mortgage on a closing Trust on May 20, 2009, almost three hears and six months late, although such action is prohibited by the TSA. In addition, the conveyance of the mortgage after the closing of the trust is null and void under New York Trust law as it relate to the power of the Trustee to accept or convey a non performing mortgage for this Trust in this manner. The Trustee has no power or authority to act outside the scope of the power conferred to the Trustee by the Transfer and Servicing Agreement. Therefore, the Trustee has committed a serious breach of trust and has also exposed the Trust to serious tax penalties and possible IRS and SEC audits of the entire conveyance practices of the Trust which jeopardizes the entire tax status of the trust. As soon as the lender/originator endorsed the note they relinquished all rights title and interest in the note and moved the governing power of the note to the TSA. The TSA in crystal clarity defines the conveyance method and order of transfer. It is the auditor belief that the Originator and the Trustee violated Section 2.01 of the TSA and by the same token the New York Trust Law, when it sold, if it did, the subject mortgage to the Trust It is the auditor opinion after careful review and investigation that Plaintiff is not and could not be the real party in interest having standing to foreclose. In addition the action of the Trustee must be reported to the IRS and the SEC for possible REMIC violation. In the third paragraph of the complaint Plaintiff acknowledged that the mortgage was assigned: The mortgage was subsequently assigned to HSBC Bank USA NA as Trustee for First NLC Trust 2005-3 by assignment dated May 20, 2009. Nowhere in the Complaint Plaintiff acknowledge that it is the holder and owner of the original unencumbered original note. On September 1st, 2011 the Law Offices of_____________ has been contacted by Plaintiff to inspect the original note in their possession that was never introduced before. The auditor is surprised by such request because Plaintiff did not comply with the terms of its own Transfer and Page | 30
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Servicing Agreement and further did not comply with the New York Trust Law in attempting to obtain assignment of George M Smarts original note and original mortgage. The Plaintiffs invitation to inspect the putative note will fail due to the fact that the Plaintiff failed and will fail to meet its prima facie burden. It appears to the auditor that a judgment cannot stand or rely on alleged evidence submitted for the first time in reply papers, Rengifo v. City of New York, 7 AD3d 773 (2d Dept. 2004)(same); Migdol v. City of New York, 291 AD2d 201 (1st Dept. 2002)(same); Power Cooling, Inc. v. Wassong, 5 Misc 3d 22 (App. Term 1st Dept. 2004)(same); Chase Manhattan Bank v. New Hampshire Insurance Company, 4 Misc 3d 1026A (Sup. Ct. NY Cty. 2004)(same). As a threshold matter, the Court will note that it appears to the auditor that plaintiff lacks standing to sue. Upon information and belief a plaintiff seeking foreclosure must demonstrate that it was the owner of the original note and the mortgage at the time it commenced the action (Federal Natl. Mtge. Assn. v. Youkelsone, 303 AD2d 546 [2nd Dept., 20031; Auror a Loan Servs. v. Grant, 17 Misc 3d 1102[A] [Kings County Sup. Ct., 20071). Any purported assignment of a note or mortgage made by an entity lacking an ownership interest therein passes no title to the assignee (LaSalle Bank Natl. Assn. v. Lamy, 12 Misc 3d 1191[A] [Suffolk County Sup. Ct., 20061). In order to prove standing, plaintiff must demonstrate that it was the owner of the note and mortgage at the time it commenced this foreclosure action (see e.g. Fannie Mae v Youkelsone, 303 AD2d 546 [2003]). On this record, plaintiff has failed to attached a copy of the alleged Mortgage and Note and as such has failed to prove its standing with competent forensic evidence having probative value to be entitled to the relief demanded in the Complaint (see Wells Fargo Bank Minn. v Mastropaolo, 42 AD3d 239 [2007]; TPZ Corp. v Dabbs, 25 AD3d 787 [2006]; Aurora Loan SelVs. v Grant, 17 Misc 3d 1102[A] [Sup Ct, Kings County 2007]). The requirement to attach such documents is mandatory, not discretionary, as illustrated by the application of conventional rule of statutory interpretation, Which utilizes the command shall rather than the oratory, or general, will or may, in charging Plaintiffs to attach all of the document(s) forming the basis of the cause of action to the Complaint. CPLR 3211(a)(1) and (7), clearly requires that if the cause of action is based upon written documents, the documents itself must be attached to the Complaint, Plaintiff has failed to do so, thus failing to plead a cause of action on which relief can be granted. More specifically, in order "to establish a cause of action, the plaintiff must show legal ownership or an immediate superior right of possession to a specific identifiable thing '" In simple terms the Original Mortgage and Note. Estate of Giustino v Estate of DelPizzo, 21 AD3d 523, 523 [2005], quoting Independence Discount Corp. v Bressner, 47 AD2d 756, 757 [1975. It is the auditor opinion, after careful consideration of the facts of this case with a thorough review of the Transfer and Servicing Agreement and the Prospectus Supplement [SEC Form 424(b(5)] that: Plaintiff did not abide with the requirements of Sections 2.01 and 2.02 of the Transfer and Servicing Agreement by violating its own TSA. Page | 31
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Plaintiff elected to be treated as a REMIC but violated the Trust Law of the State of New York making the entire transaction void, null and without any legal effect. See N.Y.S. Est. Power and Trust Law 7-1.9(a) or specifically 7-2-4 If the Trust is expressed in the instrument creating the estate of the trustee, every sale, conveyance or other act of the trustee in contravention of the Trust, except as authorized by this article and by any other provision of law (PSA Article II and Article XI), is void Emphasis added Plaintiff is not the real party in interest. The note has been separated from the security instrument making the note an insecured debt precluding any foreclosure action Carpenter v. Longan, 16 Wall. 271, 83 U.S. 271, 274, 21 L.Ed. 313 (1872), the U.S. Supreme Court stated: The note and the mortgage are inseparable; the former as essential, the latter as an incident. An assignment of the note carries the mortgage with it, while an assignment of the latter alone is a nullity. The security cannot be separated from the debt, and exist independently of it. This is the necessary legal conclusion." (Merritt v Bartholick, 36 NY 44, 45 [1867]. The mortgage loan has not been assign by the Depositor, FBR Securitization, Inc to Plaintiff as required by the Transfer and Servicing Agreement Plaintiff must be reported to the Internal Revenue and the Securities and Exchange Commission for possible REMIC violation 26 USC 860A-G. A financial obligation can exist in two ways: (i) with a security or (ii) without a security. When the financial obligation is without a security the obligation is valid but the obligation is unsecured. However, a security interest cannot exist without the underlying financial obligation. It is totally preposterous to define a security divorced from the financial obligation it secures. The financial obligation and the security instrument are generally two separate documents: the note and the mortgage. If the creditor transfers the note; without the mortgage, the transferee received a secured note: the security follows the note legally if not physically. Conversely, if the transferee received the mortgage without the note the transferee has no meaningful right except a judicial action to compel the delivery of the note. When a mortgagee has transferred only the mortgage the transaction is a nullity and his assignee received no interest in the underlying financial obligation. The assignee is the holder of a worthless piece of paper. By law the assignment of the note carries the mortgage with it. If they are separated as in the case at bar the mortgage may become unenforceable document. Upon information and belief the practical effect of separating the note from the security instrument is to make impossible for the holder of the note to foreclose, unless the holder of the mortgage is the agent of the holder of the note. Without the agency relationship, the person holding only the note lacks the power to foreclose in the event of default. Whoever is holding the mortgage will never experience default because only the holder of the note is entitled to payment of the underlying obligation ANY ATTEMPT TO TRANSFER FINANCIAL EQUITABLE INTEREST IN THE MORTGAGE WITHOUT THE UNDERLYING ORIGINAL NOTE IS A NULLITY AND CONFERS NO RIGHT according to the United States Supreme Court in Carpenter v Logan 16 Page | 32
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Wall. 271, 83 U.S. 271, 274, 21 L.Ed. 313 (1872) never overturned: The note and mortgage are inseparable; the former as essential, the latter as an incident. An assignment of the note carries the mortgage with it, while assignment of the latter alone is a nullity. The content of this Report is factual except declarations made upon information and belief and such is believed to be true and it is provided for information and educational purpose only not as legal advice that is left to Donalds Law Firm. This Securitization Analysis Report was made at the request of the Law Offices of Farrel Donald on September 2nd, 2011. AFFIDAVIT STATE OF NEW YORK) ) COUNTY OF QUEENS ) I, Emmanuel Erin, am over the age of 21 years and declare as follow, under penalty of perjury that the facts stated herein are true, correct and complete except declarations made upon information and belief and such I believe them to be also true, correct and complete. The undersigned believes them to be true and admissible as evidence in a court of law, and if called upon as a witness, will testify as stated herein: I am a Certified Mortgage Securitization Auditor, certified by the Certified Forensic Loan Auditor, LLC, one of the nation leading forensic loan auditing and mortgage litigation support companies. As a certified Mortgage Securitization Auditors, I could provide comprehensive mortgage securitization audits and memoranda for professionals specializing in mortgage litigation and loan modification. The contents of this report are factual, except those made upon information and belief and as such I believe them to be true. When conducting a securitization audit the following documents are reviewed as carefully as possible: the Summons and Complaint, the mortgages assignment, the allonges if any. The Pooling and Servicing Agreement, The Prospectus Supplement also known as the SEC Form 424(b)(5). It appears to the auditor that the John Goodguys note loan was securitized in the American Home Mortgage Asset Trust Series 2006-5. It appears to the auditor that the John Goodguys mortgage did not make it to the trust as required by the PSA on the closing date of September 22, 2006. It appears to the auditor that John Goodguys note and mortgage were separated making foreclosure impossible. Upon information and belief the loan was sold, pooled and turned into a security, the alleged holder can no longer claim that it is a real party of interest, as the original lender has been paid in full. Upon information and belief, once the Note was converted into a stock, or stock equivalent, Page | 33
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it is no longer a Note. If both the Note and the stock, or stock equivalent, exist at the same time, that is known as double dipping. Double dipping is a form of securities fraud. Upon information and belief the Promissory Note has been converted into a stock or stock equivalent as a permanent fixture. It is now a stock and governed as a stock under the rules and regulations of the SEC; hence, the requirement for the filings of the registration statements, Pooling and Servicing agreements, form 424B-5, etc. There is no evidence on Record to indicate that the Mortgage was ever transferred concurrently with the purported legal transfer of the Note, such that the Mortgage and Note has been irrevocably separated, thus making a nullity out of the purported security in a property, as claimed. This is the opinion of this auditor that the requirements of the Pooling and Servicing Agreement for this mortgage loan assignment have been violated: (i) There is no complete and unbroken chain of ownership of title of the mortgage from Originator American Home Mortgage Corp to Sponsor American Home Mortgage Corp to the Depositor American Home Mortgage Asset LLC There is no complete and unbroken chain of endorsements of the note from the Originator American Home Mortgage Corp to Sponsor American Home Mortgage Corp to the Depositor American Home Mortgage Asset LLC as per UCC 3-201, 3204 and 3-302 The assignment of the mortgage without the note is a nullity. The Pooling and Servicing Agreement makes no provision for the Originator to assign directly to the Trust. The Pooling and Servicing Agreement makes no provision for the Trust to accept a non performing mortgage. The Pooling and Servicing Agreement makes no provision for the Trust to accept an asset after the closing date.

(ii)

(iii) (iv) (v) (vi)

It is the opinion of the auditor that not only the Trustee has no standing to foreclose it must be reported to the Internal Revenue Services and the Securities and Exchange Commission for possible REMIC violation. I make this audit available to John Goodguy as a community service. December 26th 2011. Emmanuel Erin, Certified Mortgage Securitization Auditor P. O. Box 300335 J. F. K. Station Jamaica New York 11430 P. 646-626-3338 F.718-341-6873 Sworn to me this day of December, 2011 Page | 34
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________________________________ Notary Public VERIFICATION I, Emmanuel Erin, the undersigned, do herewith swear, declare, and affirm that I have read the foregoing Securitization Audit Report and that I believe the contents are true, correct, certain, not misleading and, reasonable and just in accordance with Affiants firsthand knowledge and understanding except allegation made upon information and belief and such affiant believes them to be true correct and complete. IN THE COUNTY OF QUEENS ) IN THE STATE OF NEW YORK) Sworn on this _______ day of the month of December 2011

Emmanuel Erin, Certified Mortgage Securitization Auditor P. O. Box 300335 J. F. K. Station Jamaica New York 11430 P. 646-626-3338 F.718-341-6873 _____________________________________ my commission expires on ___________________ Notary Public Signature

Notary Public Seal

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