I’d be more impressed if they were going after Dodd

I got mine, Jack, and I'm keeping it

I got mine, Jack, and I’m keeping it

A year after letting the criminal statute of limitations expire, the DOJ is said to be preparing to sue Angelo Mozilo for his role in the Countrywide mortgage debacle.

More than 12 months after a deadline passed to file criminal charges, the U.S. attorney’s office in Los Angeles is preparing a civil lawsuit against Mozilo and as many as 10 other former Countrywide employees, according to two people with knowledge of the matter.

The government is making a last ditch-effort to hold him accountable for the excesses of the past decade’s subprime-mortgage boom, using a 25-year-old law that has helped the Justice Department win billions of dollars from Wall Street banks, said the people, who weren’t authorized to discuss the case publicly.

Since it’s unlikely that the DOJ “forgot” that the criminal statute of limitations was running, it’s safe to assume that it deliberately chose not to bring charges against Mozilo. A civil suit is probably easier to win, so that’s fine, but they could have brought such a suit at any time in the past six years – why now? In any event, I’d like to see suit filed against Chris Dodd, who, as Chairman of the Senate Banking Committee ran through the laws that permitted the sub-prime disaster and, as a special “Friend of Angelo” received sweetheart deals from the man in return, as detailed by the WSJ all the way back in 2008.

That’s not going to happen.

7 Comments

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7 responses to “I’d be more impressed if they were going after Dodd

  1. Anonymous

    You mean Dodd or Frank didn’t have to pay closing costs on their purchases or refi’s? No way!

    (Said with irony….)

  2. Ghost of the FAR Czar

    I wonder if he is indemnified by BAML for potential fines/disgorgement here the same way he was in the SEC action. If so, who really cares – he sure doesn’t. Just piling on after the $17 billion settlement.

  3. Anonymous

    Since he managed to get off scot free criminally, and BofA picked up the legal tab, it’s unlikely that he’ll get dinged here, unfortunately. I hope the officer & director policy insurer fights back if a claim ultimately gets paid.

  4. Mozilo seems like a snake. However:

    In the bizarro world of liberals, the government is responsible for everything important: the economy, your happiness, etc. However, when the government fails catastrophically (e.g., supervision of the banking system by the Senate Banking Committee, Chairman Chris Dodd), then the liberals blame the mess on the private sector: the banks and their executives.

    The spectacle of the ditzy libs moaning “why are no executives in jail for causing the financial crisis of 2008-9?” is pathetic and shows the liberals’ ignorance.

  5. Publius

    Keep in mind this was at least the second indiscretion by Mr. Dodd, remember the House banking scandal??? Ah yes, how soon we forget!! The only difference between him and his old man was that his father was censured by his peers. The irony is too thick to cut with the Dodd-Frank law named after the 2 biggest financial hooligans in Congress.

  6. hooligans who got out of office just when the voters began to understand how awful they were……
    Leaving the rest of us to labor under the dopey law Dodd-Frank, which institutes a council of wise government people to anticipate and prevent the next financial crisis hahahahahaha