May 05, 2008

Angelo Mozilo's time as a free man is running low. Countrywide Toxic Mortgage investigations by the FBI, IRS and SEC heating up


Will Angelo go OJ on us soon? A white Ford Bronco with an orange man in the back headin to Mexico? Or will he pull a Ken Lay and just conveniently die?

Anyone who thinks the housing crash and mortgage meltdown is over is fooling themselves. The next great chapter is coming - The Arrest of Angelo Mozilo and the Fall of COUNTRYRON. And the charges against Countrywide that will come will give BofA a convenient reason to walk away from that moment of stupidity too as CFC goes bankrupt and folds up shop.


What's frustrating is that HP'ers knew what was going on for months and months, it was all just so OBVIOUS. And yet it took the government years to finally getting around to do something about it, after the real damage had been done.

Government Intensifies Mortgage Investigation

Federal agencies are intensifying a criminal investigation of the mortgage industry and focusing on whether some lenders turned a blind eye to inflated income figures provided by borrowers.

In March, the Justice Department and the F.B.I. began investigating whether the Countrywide Financial Corporation, the troubled mortgage giant, misrepresented its financial condition and loans in filings with the Securities and Exchange Commission.

Countrywide is also under scrutiny by California and Illinois; federal prosecutors in Sacramento; and the United States Trustee, the federal agency that monitors bankruptcy courts. The S.E.C., meanwhile, is examining stock sales by certain Countrywide executives.

11 comments:

Edgar Alpo said...

The FBI and SEC are lap dogs for the wealthy maggots running this country into the ground. Even if they do finally go after Tangelo, they won't take his family fortune. What of Raines, Arnall, Toll, Prince, or any of the hundreds of other CEOs who looted this country? They win, we lose.

oranjailo mo' billzo said...

He'll be wearing cuffs, alright, but they won't be white.

Turn No's in Yes! said...

Someone at Countrywide will go to jail, but it won't be Mozillo - He will claim - HE knew nothing about what was going on in the day-to-day operations.

Anonymous said...

"Federal agencies are intensifying a criminal investigation of the mortgage industry and focusing on whether some lenders turned a blind eye to inflated income figures provided by borrowers."

Of course they did. I worked in the fraud investigation dept. of a now defunct wholesale mortgage company. They aren't called liar loans for nothing (ie a U.S. mail carrier stating $9,500 monthly income and being approved for a jumbo mortgage...this crap happened day in and day out)

k.w. - southern ca. said...

Greedy Pigs - the lenders, the brokers, the appraisers, the realty agents and the borrowers - all *new* what was going on, and just wanted to *cash-in* - hoping to make easy money.

Now that it's over - who is left to pay the tab? Pushing this off to the tax-payer won't work this time around.

Stuck in So Pa said...

You just know that the OrangeMan is going to pull a Ken Lay! After all it worked once, and there's plenty of room next to GW's Paraguay compound for another new arrival. That neighborhood is going to be the wealthiest and most secure on the planet!

Anonymous said...

Did I not just see yet another
article, this one claiming Countrywide booked the most bs.
in the first quarter of '08.

Well no s#$t! It seems on their REO listings (Countrywide foreclosures) they (Countrywide)refuse to accept any purchase offers without the borrower(s)being pre-approved by them! What sharks! I am sure with the many,
many REOs they have, this gives them all the opportunity they need
to outlend everyone else.

Well, after I turn our state's
attorney general over on their
asses, we shall see how much bs.
they can book by steering like
this

Anonymous said...

Fed needs to bust all those crooked mortgage brokers!!! Its not the borrowers or Angelo.. they need to go bust those small time crooked loan brokers. Borrowers don't know the ins and outs to cheat the system, the brokers do. bust them unlicensed crooks!!!

Anonymous said...

k.w. - southern ca. said...

Now that it's over - who is left to pay the tab? Pushing this off to the tax-payer won't work this time around.

Sure it will. Didn't you understand what happened in the Bear Stearns fiasco? The Fed pushed 29 Billion Bernankes onto the tax-payer. I am taking that as a signal for what will happen on all the days of reckoning we will watch unfold over the next few years. I would love to see Mozilo go to jail, but I don't think he'll be the poster boy. This problem is too wide spread to have a poster boy so my guess is that no high level execs. go to jail.

Anonymous said...

instead of wasting tax $ putting him in prison, just take everything he made on stocks.

Anonymous said...

Actually it wasn't just Ken Lay who showed up dead at the most opportune time possible to avoid punishment and preserve his ill-gotten fortune:

Appearing on March 18 was news concerning the biggest mortgage mugger of them all, Roland Arnall, founder of Ameriquest and donator of $12M to Bush and the Republican$ and $4.5M to the Governator. In return for which he bought himself a posh ambassadorship to the Netherlands. Ameriquest was possibly the most egregious of all the egregious toxic mortgage providers, and Arnall suddenly and conveniently woke up dead just as justice seemed about to swoop in.

Do you suppose these guys are settling in on some private island paradise somewhere?