Wednesday, October 17, 2007

Is the "Tan Man" going down?

Angelo Mozilo a.k.a. Mr. Tan Man(Photo from L.A. Times/Reuters)

Finally! The SEC has begun investigating the stock sales of Countrywide CEO Angelo Mozillo. Since the beginning of this year, Mozilo has sold over $130 million in Countrywide stock. Employees of the company (especially those w/ CFC stock in their 401(k)s) must really love him now. In various interviews, he's also been changing his story as the housing/mortgage industry tanks.

This guy just seems shady. Kind of like Kenneth Lay and Enron.

Read more about the SEC investigation here.

Here are some great comments and articles about Mozilo:
  • Howard Lindzon observations here (make sure you read the mock letter from "The Fly" - it's hilarious)
  • Brett Arends/ article here
  • Maria Bartiromo's (Business Week) interview w/ Mozillo here
Here's a great comment from a Business Week reader regarding the Bartiromo/Mozilo interview:

Angelo Mozilo says: "Remember, we didn't reach out to home buyers. They came to us." Countrywide is still running commercials saying: "No points! No documentation fee! No title or escrow fees! Absolutely no closing costs, so you end up with more cash." Either Mozilo defines "reaching out" as "grabbing the arms of people walking by our offices" or he thinks readers are stupid enough to believe Countrywide did not push no-cost cash-out loans. Either one is insulting.

Paul Manoogian

I was thinking the exact same thing when I read the interview...

Have fun w/ the SEC, Mr. Mozilo!

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