Where is Dick Blumenthal on Countrywide?
Here’s a novel idea – why doesn’t Attorney General Dick Blumenthal file a lawsuit against Countrywide Financial and seek damages for their predatory and fraudulent lending practices that have resulted in thousands of foreclosures, including an untold amount in Connecticut?
Actually, all Dick has to do is file an amicus brief in Illinois where the state Attorney General Lisa Madigan is about to do tomorrow (Thursday). Blumenthal should know this since this suit was reported today (Wednesday) in the New York Times, or maybe he hasn’t read the clips motoring around the state in his new hybrid.
Maybe Dick Blumenthal won’t do it because if he did, he might be able to question, under oath, Angelo Mozlio, the CEO of Countrywide who arranged for V.I.P. loans to special customers like U.S. Sen Chris Dodd. He might ask Mozilo why he offered generous interest rates and waiving of points and fees to Dodd on two properties he owns with his wife, Jackie Clegg, in Washington, D.C. and East Haddam, CT.
Putting someone under oath has of way of getting to the truth, something Sen Dodd is having trouble with lately, or at least, offering some facts to back up his “trust me” assertion that he got the mortgages for being a sharp consumer who shopped interest rates and found that Countrywide met his needs.
Of course, a week ago, Dodd couldn’t tell reporters what today’s interest rates are, but then again, he is busy working on a $300 billion bailout of the mortgage industry, which would include propping up Countrywide.
It is odd that Dick Blumenthal can’t find the courthouse on this issue and has also lost his voice in commenting on Dodd’s loan and whether it is fair that he got such a deal while thousands of other Countrywide mortgage holders got the shaft.
Maybe his newspaper delivery was off today in Greenwich and he just has to get caught up.
But the good news is that House Republican Leader John Boehner has called for a hearing to look into the Countrywide Financial Corp.’s VIP program that benefited the mortgages of members of Congress including Dodd.
Boehner wants the House Banking and Urban Affairs Committee, chaired by Rep. Barney Frank, D-MA, to look into the matter.
“Democrats who receive sweetheart deals from their campaign contributors shouldn’t be pushing legislation forcing taxpayers to bankroll a $300 billion bailout of scam artists and speculators, and the American people have every right to demand answers if they do,” Boehner said in a statement today.
He said, “Chairman Frank and Speaker Pelosi should begin immediate hearings to examine the special ‘VIP’ housing perks that Countrywide gave powerful congressional Democrats at the same time it was hiking mortgage rates on American families. I am also concerned by news reports suggesting that banks wrote the bailout provisions of this bill to allow them to ‘cherry-pick’ the mortgages that are least likely to be repaid and dump the debt on taxpayers.”
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Of course, the Countrywide Financial PAC also gave money to McCain (in 1998) as did Bank of America (in 1998 and 2004), and McCain also has a government backed bailout proposal (the HOME Plan). Since 1998, the Countrywide PAC has given more to Republicans than Democrats – $440,661 to $353,350.
Dick Armey says Dodd’s bill calls for credit card companies, ebay, amazon, and the like to report what you buy to the federal government. A small concern over privacy, even in the age of terror, but not from a Democrat that I’ve heard, as yet.
You’re right, of course — that’s why Healy et al aren’t saying that Dodd should be tougher on the banking industry.
The credit card reporting bill is, iirc, a separate bill, but I think (as it seems you do as well) that it’s a lousy one. The purpose is to make sure that businesses are paying the correct amount in taxes when an increasing share of their income is from credit card payments, but they could accomplish the same thing by just restoring the funds for auditing a percentage of corporate taxpayers without having personal financial records passing through government hands.
“Healy et al” should not say anything about what Dodd should be tougher on, what they should speculate on is what “the senator that replaces Dodd should get tougher on..”
Matt – obviously your a big Dodd fan, but CT deserves better then a bloated career VIP’er whose brazen attitude has finally been exposed. If this was a GOP senator – you and the rest of the my left nutmeggers would be rallying on his lawn right now. Plain and simple – Dodd messed up, got caught – now he needs to get out. Its sad, but not unexpected. Not exactly the first time the Dodd name was connected with corruption.