Angelo Mozilo, Ex-Countrywide CEO: Was He To Blame?

latimes.com:

When David Gautreaux volunteered to assist at a charity golf tournament in Thousand Oaks two years ago, he was eager to meet the event's host, Angelo R. Mozilo, then chief executive of mortgage giant Countrywide Financial Corp.

An actor and investor who owned Countrywide stock, Gautreaux was stationed at the 12th hole when Mozilo strode onto the green. Gautreaux remarked that Mozilo was winning.

Read the whole story: latimes.com

Comments

[Tony Vargas]

As a mortgage industry veteran, I read this article and was insulted by the lack of understanding of the mortgage securitzation process. To even suggest that Angelo Mozilo alone is to blame for the mortgage is ludicrous.

The types of loans originated at Countrywide Home Loans were no different and often times better than those originated elsewhere. At no time did CHL seek to purposely obfuscate or misrepresent the true cost of financing or terms of the loan. How could they when all disclosures were in triplicate.

The problem really lies with the Wall Street MBA's who failed to understand how to mitigate risk in mortgage origination by allowing borrowers with ever lower credit scores to purchase homes beyond their means with no money out of pocket and no verified income. All of this runs counter to theThree C's of lending; Credit, Collateral and Capacity. If you don't have all three, you don't have a loan.

Countrywide didn't just make up the relaxed lending guideliens. Wall Street did. The Wall Street guys though they could divide the risk among numerous investors and that everything would be alright in the end. Add to this the Credit Default Swaps (wagers)on the mortgages that exceed originations by 5 times and you've got a mountain of trouble brewing.

The only reason everyone is trying to blame Angelo Mozilo and Countrywide for the country's woes is because they are the most visible targets. That's truly unfortunate because Countrywide did a log of good.

[deneufeldt]

This guy needs to be in jail next to Bernie Madoff.

[totaldisbelief]

He and Gotti could be brothers.

[bellabeach]

Yes he does...maybe his tan will fade!

[jalowe1957]

Robber barons didn't die. They reincarnated themselves in the likes of Angelo Mozilo and Bernard Madoff.

[FHTB]

Once again, I point out that the contributors to the financial meltdown are myriad and sundry...pinning down anyone in particular as worse than another would be futile...but this guy is up near the top.

[rollingdivision]

Dodd and Conrad are getting free passes on their mortgage graft.

[jsijason]

This guy is like something out of Goodfellas.

[Ontrackmac]

✌

http://www.youtube.com/watch?v=L0PQIbr0vv4&feature=related

✌

[jsijason]

stupid.

[balancedsolution]

That's the Vulcan sign for "We Come in Greed"

Countrywide...great name for a company that f***ked the Country WIDE!

[bzb]

LMAO

[wm1066]

Funny!
Actually the little finger going off like that in palmistry means someone that doesn't play well with other people, he likes to go off on his own.

[balancedsolution]

NOTHING SHORT OF JAILTIME WILL BE A DETERRENT.

[nopilikia]

Is that the Vulcan sign for "Live Long but Don't Prosper"?

[NORBIT]

Another "Friend of Dodd!"

[kbkw54]

Birds of a feather.....

[mikefina]

Is he raising the hand he used for Sen. Dodd's reach around?

[kbkw54]

The tanning bed cooked his brain.

[Luv2Purple]

Isn't MOZILO A BIG BUSH BACKER? Why YES he is. How quaint!

[munki]

He was mastermind of playing rules and regulations...on his terms and conditions.

What do I mean? There's always a loophole... and he knew exactly what buttons to touch...

[daedalus43]

Although he's clearly a sociopathic crook, he's only one of many. Bankers (and brokers) are about as low as one can go, and perhaps (for once) the Muslims and Medieval Christians had it right. Charging interest is usery, and it is immoral, and now we see why. Christ drove out the money changers, and we should as well.

[dandypuddin]

Might I also add Insurance CEOs?