44. Alvin:

““but where did the money go?” I can’t explain it. …

If a scamster bought a house for $100,000 and sold it for $600,000 and the bad debt ended up (through Fannie Mae) in bad CDO paper, what did the scamster do with the $500,000 he made? ”

My guess is that they:
A) bought an overpriced $800k+ McMansion
B) bought a $60,000+ Mercedes or Range Rover
C) Invested the remainder in the Stock Market and/or Real Estate.

point being that all of those “Assets” have now all gone POOF! “Up in Smoke”.