FORMER COUNTRYWIDE CEOCHARGED WITH FRAUD

MOZILO'S "FRIENDS OF ANGELO" PROGRAM
GAVE VIP LOANS TO FAVORED LAWMAKERS

WASHINGTON TIMES: The Securities and Exchange Commission has charged former Countrywide Mortgage CEO Angelo Mozilo and two others with insider trading. The charges allege Mozilo made $140 million selling his stock while telling investors that the company dealt mostly in stable mortgages. Countrywide Mortgage was one of the leading subprime mortgage lenders in the country. . . .READ MORE

THE HILL: Charges against Mozilo could lead to renewed scrutiny of current and former government officials involved in his "Friends of Angelo" program. Under this program, the officials, which included Sens. Chris Dodd (D-Conn.) and Kent Conrad (D-N.D.), received more favorable borrowing terms than did other Countrywide customers. Both Senators have denied any wrongdoing but the controversy has haunted Dodd, especially. . . .READ MORE

MORE COVERAGE AT NAKED CAPITALISM