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Former Countrywide Execs Start New Subprime Company; Hilarity Ensues
http://www.cnbc.com/id/32203855
From the article:
"Why would anyone want to invest in bad mortgages?
Because the company, formed last year by a group of former Countrywide executives, is run by people who know more about mortgages than anyone else."
Okay... [/sarcasm]
"How long can the business model last? Kurland said in January that he expects home prices to bottom out by the end of this year."
Okay... [/sarcasm]
"And, if necessary, Kurland has said the company will liquidate the loan and take possession of the house."
Now we're talking! Finally a solid way to profit off the destitute! Too bad we can't bring back debtor-prisons and enforce rigorous labor in exchange for bad debts... Not to worry, I'm sure some firm on Wall Street will find a loophole to this one too.
---
But seriously, the fact that Countrywide execs are launching such 'entrepreneurial endeavors' as this reeks of irony. It's like a doctor prescribing a faulty medication to an ill-advised person that ends up almost killing him/her and then collecting ripe profits from restricting aid to the patient in order to harvest his/her organs.
But no worries, the Countrywide execs vigorously oppose the absurd notion that they had anything to do with the mortgage market fraud collapse.
"I don't like to spend a lot of time going through the history," he said. "I had a successful and long career in mortgage lending, and basically built a company from nothing to a very sizable player and the largest mortgage lender and servicer. I left Country in 2006, and much of the things that you're criticizing, or that people criticize, occurred quite a ways after I left."
Ancient history guys, you heard the man. Lay off.
But kindly leave your house on the way out.
- advertisements -
Truly idiotic--the time and time again movie is just getting well beyond stupidity--recourse has seen no action whatsoever as the same worthless players end up starting another team while the public continues to buy tickets.
Not to worry though as my study of the debt clock which includes unemployed just keeps on tickin.
UE averages have picked up as the US averages 358 workers going UE every hour-8,592 per day at current pace adds another 3,058,752 by Xmas.
So much for taking out a mortgage.
Speaking of mortgages the number of foreclosed homes is averaging
415 per hour--9,960 per day--well you can do the math.
This is worse than Tammy Faye sueing Maybelline because the makeup doesnt make her look pretty enough-I always thought it was crayolas.
Hell what do I know
and yes Americans are that stupid
I actually read that this was going to happen a good year ago on RGE Monitor
Subject: This coming from a PRIVATE COMPANY (The FED) which violates our constitution now gives orders to other private
businesses on what they can or cannot do. The Fed =IS A PRIVATE BUSINESS -NO MORE -NO LESS
Please , distribute
Amazing the Fed is slowly but surely eliminating the S*&*Ls ,The Independent Loan Broker *&* now say
Loan Brokers (Like that will work for (BoA - Chase-JPMorgan-Wells Fargo) *&* any Left over Mortgage Brokers
can not make (Yield Spreads)
This coming from a PRIVATE COMPANY (The FED) which violates our constitution now gives orders to other
private businesses on what they can or cannot do.
We ,are back to the OLD SERFDOM of Europe ***(SLAVES)***To the Elites who rig Presidential Elections and
Everything else?
WHY are we doing this to one another ? Are Americans this "STUPID
Subject: This coming from a PRIVATE COMPANY (The FED) which violates our constitution now gives orders to other private
businesses on what they can or cannot do. The Fed =IS A PRIVATE BUSINESS -NO MORE -NO LESS
Please , distribute
Amazing the Fed is slowly but surely eliminating the S*&*Ls ,The Independent Loan Broker *&* now say
Loan Brokers (Like that will work for (BoA - Chase-JPMorgan-Wells Fargo) *&* any Left over Mortgage Brokers
can not make (Yield Spreads)
This coming from a PRIVATE COMPANY (The FED) which violates our constitution now gives orders to other
private businesses on what they can or cannot do.
We ,are back to the OLD SERFDOM of Europe ***(SLAVES)***To the Elites who rig Presidential Elections and
Everything else?
WHY are we doing this to one another ? Are Americans this "STUPID
Ghost is right. A lot of villains at Countrywide but Stan was not one of them. Lost his job trying to change things....granted he received tens of millions as a consolation prize.
BS...
Stan didn't have knowledge of what was going on? Stan didn't have knowledge of the strategic plans of the company?
Mozilo in the CW boardroom: "shssh, here comes Stan. Everybody be cool. When he leaves we'll pick up where we left off. Got it?"
Riiiigghht. Stan either was dumb as a rock, ignorant as a mule, or crooked as Lombard Street. If he was trying to "change things" why didn't he speak up about what was going on? Couldn't have been the "consolation prize", could it?
What has always amazed me is that IndyMac was formed out of Countrywide and they collapsed virtually in tandem.
That man ought to be locked up as an enemy of the state!
Portfolio has a good article: Mozilo & his friends. It's about subsidised government loans (oops, loans to government : ), just hilarious.
It absolutely reeks...but what doesnt these days. They have already raised a ton of money for this. Highfields is one of the top shops out there and I suspect they will do well, theyve been working on this for over 2 years already.
Gotta love America! Only here can the villains of yesteryear become the statesmen of tomorrow.
I see Henry Blodget pimping his services on Bloomberg and CNBC sits Michael Milken down for a "Meeting of the Minds". (As an aside, that title alone is worth a post. When you have a meeting of "THE MINDS", an inference of superiority could be concluded. Subtle, but tacky.)
Can't wait for 2020 when the we have the following programs:
- Angelo Mozilo "Power Hour", where Angelo and his friends discuss all things concerning home ownership. Special guests will include, but not limited to, Senators, athletes, and famous persons.
- Bernie Madoff "Cooking with Ponzi" where he shows the true investor how to make "Mad Money". Wait, we already have that show.
Anticipation is a biatch. I CAN'T WAIT!
I always get a little miffed when Mike Milken is trashed. What did he do? He noticed there was a serious mispricing in high yield bonds, and he made millions of dollars for investors while providing capital to a lot of firms who might otherwise have foundered (or never even got out of the biz plan stage). Then, through no fault of his, there's a failure of confidence, and high yield gets trashed. Now, when Jimmy Stewart tries to save his B&L in "It's a Wonderful Life", we all get tears in our eyes, and wait for the sound of bells. Mike Milken tried to do the same thing - restore confidence in basically solvent companies - but he gets branded a crook and scoundrel. What did he get convicted of? Mostly reporting violations that seem like jay-walking compared to the crap GS is pulling off almost daily, and yet he's barred for life from the industry.
My favourite Milken quotation is "There's no shortage of capital. There is a shortage of management talent." I have worked for so many companies where the CEO's have driven the companies into the ground through a combination of greed, stupidity, and short-sightedness, I am wholly in agreement with him. What we lack these days is brains. And we elect people like Mad Maxine, Bambam, and Mr. Fwank to rule. God help us.
I'm not really sure how you can get miffed when two of your questions to me are:
- What did he do?
- What did he get convicted of?
It sounds like you're just mad because you don't even know what happened. Comparing his actions to GS or anyone else is pointless. There aren't any degrees of crime. Either you committed them or you didn't. And once you are found guilty, by default you are a crook and/or a scoundrel.
I loved how you summed up your post, too.
"What we lack these days is brains."
Amen, brother, Amen......
There aren't any degrees of crime. Either you committed them or you didn't.
Oh, please. After my brother-in-law's untimely death, my wife had to dispose of his large medical imaging business. For tax reasons, each clinic had been incorporated individually. When she finally found a buyer, they didn't want to inherit this structure; instead, they bought the assets and assumed the contracts of the people, leaving my wife with a bunch of shells of no value, no assets, and no activity. With two small kids and a demanding job, she didn't take the time to file tax returns or wind up the firms. She was eventually charged with failure to file, and the potential fines ($200/day for each firm for each day delinquent ) well, the total was in the tens of millions of dollars. She had to appear in court, spend an entire weekend downloading and printing out tax forms, fill all of them out where EVERY F***ING ENTRY WAS "0", and file them with the tax office.
Now to your point: was she guilty of a reporting violation? Absolutely. Was she a crook? No - there wasn't a single cent owing in tax and she hadn't defrauded anyone of anything. Was she a scoundrel? Say that to my face, and you'll get a broken nose. So, no "degrees of crime"? Is that why judges have sentencing discretion? (And, BTW, because I was able to schmooze the Crown Attorney, the charges were dropped, but while in court, I saw dozens of people get handed fines and criminal records for similar "failure to file" violations for companies that were out of business.)
Lack of brains? Amen, brother, amen.
A) Do some research and you'll find out he had 98 seperate indictments and that experts believed an aquittal would be unlikely. He pled guilty to 6 of them and agreed never to trade in securities again for life and received a 10 year jail sentence that was reduced to 2 years mostly because he paid out more than 1 billion dollars in settlements and civil cases, which was a lot of money back then.
B) He only became a 'philanthropist' to disguise the latest series of crimes and market manipulation he has engaged in. Crimes that have led to at least tens of thousands of deaths of prostrate cancer victims. Source: www.deepcapture.com
oh you poor little naive person ... here you go, read about your hero Milken ... i hope you vomit after reading all 15 articles ... greed is good, being a fucking un-ethical motherfucker who deliberately breaks the law with serious human effects just to make a fucking buck is another thing .. http://www.deepcapture.com/michael-milken-60000-deaths-and-the-story-of-dendreon-chapter-1-of-15/
Wow, what a credible source you have. Bernie Madoff is either in league with the Italian mafia, or the Russian mafia, or Latin American drug cartels. Brandon Fradd was a "limited partner" with some crook; do you even know what an LP is? I sold LP's - you put in your money, and then you basically don't have a clue what's going on. He got talked into investing with a crook, therefore he must be a crook.Guilt by association, eh?
And, of course, every single one of those 60,000 men who died of prostate cancer would have all lived long and healthy lives except for Milken. Never mind that Provenge still has yet to obtain FDA approval; clearly, those Italian-Russian-Latin criminals infiltrate the FDA as well.
And - WOW - naked short selling is illegal?! Quick, someone call the SEC! Oh, wait - the SEC knew about it and did nothing? Guess those Italian-Russian-Latin criminals control it as well.
From one of the fifteen articles:
Again with the Russian-Italian (no Latins here) mafia allegations - none of which are proven, none of which are clearly more than the overworked imagination of Mr. Mitchell, but which you swallow wholeheartedly. But I digress..
I plowed through the first four of the fifteen chapters before giving up. The author didn't provide a single shred of evidence that would stand up in court. All he did was allege massive conspiracy on behalf of the Italian-Russian-Latin mafia/drug cartel/criminal organization - and, hell, since Madoff, Milken, Black, and half the guys at Goldman Sachs are Jews, why not throw them into the mix as well?
Seriously, buddy, you must need so much tin-foil in your hat, I'm considering going long Alcoa.
If only "half the guys at Goldman Sachs are Jews" - that really is news
LOL, way to play your strength. Keep it up, and thanks.
I saw this a few weeks back on the Mandelman Matters (part of ML-Implode) blog...he had a much more ripping expose on the subject...
http://mandelman.ml-implode.com/2009/07/former-sub-prime-lenders-are-back-to-profit-off-of-the-housing-meltdown-seriously/
WOW. I swear on a pile of CRE debt that I NEVER saw that material (just kidding, that stuff is worthless... I really didn't see it though).
That guy even mentions the body organ metaphor that I do. That is HILARIOUS...
Thanks for the source though, he obviously had far more time than I did to get into this thing.
The level of fraud that went on at Countrywide has yet to be uncovered.
Guess no one (former employees) is talking.
A for coverage, D for picking CNBC as the info source.
..."I left Country in 2006, and much of the things that you're criticizing, or that people criticize, occurred quite a ways after I left."
^^^What a crock of shit! Maybe the fallout from all the toxic shit he helped sell hadn't really gotten started before he left, (and maybe it had, too) but in any case he was another 'player' who was part of the problem and, it appears, one who will continue to be.
In Kurland's defense, Mozilo basically kicked him out when he wouldn't play ball with Sambol. Sambol was the real scumball there.
I was shocked when BofA first bought CFC and tagged Sambol to head mortgages for the whole company.
Not surprisingly, he never got the chance, once BofA figured out he was scum they let him go (oh, of course he "retired").