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Strong warning from Elizabeth Warren to Obama: Foreclosure Plan Inadequate, New Direction Needed

Add Elizabeth Warren, the Harvard Law professor-turned-crusader for Main Street and the middle class, to the growing list of experts calling for the Obama administration to scrap its failed foreclosure-prevention plan in favor of one that would actually help troubled homeowners keep their homes.

The Congressional Oversight Panel that Warren heads issued a new report Wednesday, concluding that the government's $700 billion bailout program did in fact help stabilize the financial system -- but has largely failed to boost lending or prevent foreclosures.

In a conference call with reporters Tuesday night, Warren spelled out just how dramatically the administration signature foreclosure effort, called the Home Affordable Modification Program, has fallen short.

Furthermore, with 10 percent unemployment (a 26-year-high), mounting foreclosures and as many as one third of all homeowners with a mortgage currently owing more on the mortgage than the underlying property is worth, the program simply "isn't working," Warren said.