Countrywide CEO get federal charges - Loan Modification Forum

chriskeeler · 05-13-2009, 04:08 PM

The SEC files federal charges for insider trading against Angelo Mozilo today according to CNBC.

What a crook! No wonder there is an OVERWHELMING amount of forum posts about this company.

-CK

Irish Gal · 05-13-2009, 05:05 PM

SEC MAY CHARGE COUNTRYWIDE'S MOZILO

Agency staff to recommend civil fraud charges against mortgage firm's founder, according to report.

By Tami Luhby, CNNMoney May 13, 2009:

NEW YORK (CNNMoney.com) -- Staffers at the Securities and Exchange Commission are recommending that the agency file civil fraud charges against Countrywide co-founder Angelo Mozilo, according to a published report.

The agency sent a notice to Mozilo telling him of the potential charges, which include violations of insider-trading laws and failing to disclose information to shareholders, according to the Wall Street Journal, which cited people familiar with the investigation. The agency may ultimately decide not to file charges.

Mozilo's attorney, David Siegel, declined to comment, but told CNNMoney.com that the "persistent innuendo" that Mozilo sold Countrywide shares because he knew of problems within the mortgage lender is "scandalous" and "inconsistent" with the facts.

"We do not believe there is any fair basis for allegations to be made against Mr. Mozilo," Siegel said in an e-mail. "All of Mr. Mozilo's stock sales were made in compliance with properly prepared and approved trading plans and reflected recommendations by his financial advisor over a long period of time."

An SEC spokesman declined to comment. Mozilo, who founded the company in a New York apartment, built Countrywide into the nation's largest mortage lender. But Countrywide buckled during the housing meltdown and was acquired last year by Bank of America (BAC, Fortune 500).

Mozilo became a poster boy for the subprime crisis. He reportedly stood to collect a windfall of $115 million dollars in the $4 billion sale to Bank of America. But after facing heavy criticism from lawmakers, Mozilo said he would forfeit $37.5 million in payments tied to the deal.

snapple candy · 05-14-2009, 07:38 AM

How bout forfeiting all that money him and his CW board buddies are making off buying up foreclosed properties from the banks the govt. took over? Now that is criminal they are even allowed to do this. Its enough to make you puke.

05-13-2009, 04:08 PM	#1 (permalink)
chriskeeler Member Join Date: Mar 2009 Posts: 23 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Countrywide CEO get federal charges The SEC files federal charges for insider trading against Angelo Mozilo today according to CNBC. What a crook! No wonder there is an OVERWHELMING amount of forum posts about this company. -CK

05-13-2009, 05:05 PM	#2 (permalink)
Irish Gal Senior Member Join Date: Mar 2008 Posts: 644 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Countrywide CEO get federal charges SEC MAY CHARGE COUNTRYWIDE'S MOZILO Agency staff to recommend civil fraud charges against mortgage firm's founder, according to report. By Tami Luhby, CNNMoney May 13, 2009: NEW YORK (CNNMoney.com) -- Staffers at the Securities and Exchange Commission are recommending that the agency file civil fraud charges against Countrywide co-founder Angelo Mozilo, according to a published report. The agency sent a notice to Mozilo telling him of the potential charges, which include violations of insider-trading laws and failing to disclose information to shareholders, according to the Wall Street Journal, which cited people familiar with the investigation. The agency may ultimately decide not to file charges. Mozilo's attorney, David Siegel, declined to comment, but told CNNMoney.com that the "persistent innuendo" that Mozilo sold Countrywide shares because he knew of problems within the mortgage lender is "scandalous" and "inconsistent" with the facts. "We do not believe there is any fair basis for allegations to be made against Mr. Mozilo," Siegel said in an e-mail. "All of Mr. Mozilo's stock sales were made in compliance with properly prepared and approved trading plans and reflected recommendations by his financial advisor over a long period of time." An SEC spokesman declined to comment. Mozilo, who founded the company in a New York apartment, built Countrywide into the nation's largest mortage lender. But Countrywide buckled during the housing meltdown and was acquired last year by Bank of America (BAC, Fortune 500). Mozilo became a poster boy for the subprime crisis. He reportedly stood to collect a windfall of $115 million dollars in the $4 billion sale to Bank of America. But after facing heavy criticism from lawmakers, Mozilo said he would forfeit $37.5 million in payments tied to the deal.

05-14-2009, 07:38 AM	#3 (permalink)
snapple candy Senior Member Join Date: Feb 2009 Posts: 1,316 Nominated 0 Times in 0 Posts TOTW/F/M Award(s): 0	Re: Countrywide CEO get federal charges How bout forfeiting all that money him and his CW board buddies are making off buying up foreclosed properties from the banks the govt. took over? Now that is criminal they are even allowed to do this. Its enough to make you puke.

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