GSEs Release HVCC Updates; Broker Compensation & YSP Clarification; 15 Year Prison Sentence for Mortgage Fraud
ByPosted To: Pipeline Press
There will be no civil fraud trial for Angelo Mozilo . On Friday he agreed to settle fraud charges with the U.S. Securities and Exchange Commission by paying a fine of $67.5 million. It is the highest fine ever for an executive of a public company, although critics are quick to point out that in 2007 alone Mozilo took in $121.5 million from exercising Countrywide stock options and was awarded another $22.1 million of compensation. The SEC’s director of Enforcement said, “Mozilo’s record penalty is the fitting outcome for a corporate executive who deliberately disregarded his duties to investors by concealing what he saw from inside the executive suite — a looming disaster in which Countrywide was buckling under the weight of increasing risky mortgage underwriting, mounting defaults and…(read more)