Countrywide Financial Said to Be Subject of Federal Criminal Inquiry

[babylonsister]

Countrywide Said to Be Subject of Federal Criminal Inquiry
by Raymond Hernandez


WASHINGTON - The federal authorities have opened a criminal inquiry into Countrywide Financial for suspected securities fraud as part of the continuing fallout over the mortgage crisis, government officials with knowledge of the case said on Saturday.

The Justice Department and the Federal Bureau of Investigation are looking at whether officials at Countrywide, the nation’s largest mortgage lender, misrepresented its financial condition and the soundness of its loans in security filings, the officials said.

The investigation - first reported on Saturday in The Wall Street Journal - is at an early stage, said the officials, who spoke on the condition of anonymity because they were not authorized to discuss ongoing criminal matters. It is unclear whether anyone will ultimately be charged with a crime.

Richard Kolko, a spokesman for the F.B.I., declined on Saturday to confirm whether the agency had started an investigation of Countrywide related to its securities filings.

A Countrywide spokeswoman, Susan Martin, said, “We are not aware of any such investigation.”

more...

http://www.commondreams.org/archive/2008/03/09/7575/

[Warpy]

1. They need to be. It doesn't seem that BofA has looked at their

books too critically as yet.

[CountAllVotes]

2. I hope BofA takes a good look

just like they do of their customers! They will fingerprint you to cash a check and charge you to cash it at that. They are damned crooks! I absolutely loathe them needless to say.

If BofA ends up buying Countrywide, they deserve what they get IMO.

:kick:

[Warpy]

3. It's a done deal, unfortunately

They had a chance to pick Countrywide up at a fire sale price, pennies on the dollar for all the outstanding mortgages Countrywide represented.

They're anticipating a 10% failure rate. I told one of the poohbahs that he'd be lucky to have only a 50% failure rate. They'll still make money at that rate, but certainly not enough to compensate for all the trouble the acquisition will eventually cause them.

[CountAllVotes]

4. well we know where NOT to bank at!

strictly credit unions here ... nothing but!

It is really too bad that likely not one employee of the Bank of America even knows who A. P. Giannini was (the founder of the Bank of Italy which became the Bank of America). It was founded in San Francisco and I'm sure old A. P. Giannini is rolling over in his grave seeing what this bank that he founded has become.

more about A. P. Giannini here:

http://www.pbs.org/wgbh/theymadeamerica/whomade/giannini_hi.html



They are nothing but shills of the worst sort! I wouldn't have a bank account with them for any reason whatsoever.

May the BofA reap what they have sowed (and oh they will!).