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Quid Pro Quo: Dodd Pushes Countrywide Bailout

Submitted by Patrick Ruffini on Mon, 06/16/2008 - 12:57
in

How is it not a bigger scandal that the leading sponsor of the Senate mortgage bailout bill, whose chief beneficary will be Countrywide Financial, received a sweetheart loan from Countrywide CEO Angelo Mozilo?

Yep -- the leading Senate sponsor of the bill up this week is none other than... Chris Dodd.

The Foundry explains the issue:

We have been calling Sen. Chris Dodd’s (D-CT) housing bailout bill “The Wall Street Bailout Enhancement Act” for over a month now. In particular, we have singled out Countrywide Financial as the bank with most to gain from the federal government’s generosity. Countrywide is the largest loan servicer in the nation. It has been accused by bankruptcy judges of using dubious tactics to issue mortgages to unqualified borrowers, and has been at the center of the nation’s still-unfolding mortgage crisis. In the last three quarters, Countrywide has lost $2.5 billion, and has $6 billion in nonperforming assets.

This is very good, but why has most of the coverage of Dodd's sweetheart loan focused on the loan itself rather than the toxic combination of the loan and his sponsorship of the Countywide Bailout Act of 2008? It a Republican Senator did this, this would be all over TPM, Think Progress, and Memeorandum, and that Senator would be afraid to leave to his or her house.

Quid. Pro. Quo.

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Comments

What's disappointing, if true....

Submitted by Prester John on Mon, 06/16/2008 - 15:12.

....is how little these guys will sell themselves out for.  $60 - $70k in saved closing costs and interest for a US Senator?  C'mon, that's chicken feed for a millionaire senator.

This is kinda like the military and CIA types who sold themselves out to the Soviets in the 70s and 80s for $10 - $20k when the Sovs would've gladly paid them much, much more.

Guys, if you're going to be a crook or a traitor, dang it, be a crook or a traitor and make it worth your while!!!

That's not the only bailout being proposed

Submitted by JMR on Mon, 06/16/2008 - 17:32.

At least the senator's doing it publicly.

http://newsbusters.org/blogs/nb-staff/2008/06/16/open-thread#comment-637715

Has more.
JMR

Shouldn't the AG...

Submitted by Darvin Dowdy on Mon, 06/16/2008 - 17:38.

...be looking into this? Prep'ing an indictment?  Wouldn't it be nice if "W" would, indeed, nab Bin Laden before the end of his term?  And Dodd, too?  That would be sweet.

But there's  "W"s idea of being meek.  If one of your fiercest adversaries commits a crime (or the appearance of one), well turn the other cheek.  And let them walk.  Invoke the "new tone".  "We don't want to appear vindictive, do we?"  Such a mixed up, confused individual poor George is.

And now, as I understand, George will probably be saying 10 hail Mary's for Sen. Dodd. And lighting a candle.

DD

It's welcome relief for

Submitted by CassidyD on Wed, 04/22/2009 - 05:28.

It's welcome relief for homeowners struggling with mortgage payments. Loan modification is a solution for homeowners who have or are facing having a mortgage in trouble.  If you have delinquent payments and meet the requirements you can apply for the Federal Loan Modification program.  Requirements are defined – you must be able to prove hardship.  You also have to have gotten the mortgage before Jan 1st, 2009.  If your mortgage is through Fannie Mae or Freddie Mac, your window of opportunity closes in 2010, if not then you have until 2012 to file an application.  If your mortgage or personal loans are in trouble, then you would do well to get assistance with loan modification.   

 

The JP Morgan Chase bank, one

Submitted by CassidyD on Thu, 04/23/2009 - 03:56.

The JP Morgan Chase bank, one of the oldest financial services firms in the world, posted a lower profit for the first quarter of 2009 than it did for the first quarter of 2008.  However, JPM, along with other large banks, takes it as a good sign because they are making a profit.  They announced that with their return to profitability, they will begin paying back all the TARP funds that they received from the government, and treat it as a short term loan.  This is a good move for them. Other large banks are following suit.  This may mean fewer banks needing debt relief, and returning to health like JPM.