From Bloomberg: A former Countrywide Financial Corp. manager whose fraud
suit contributed to the mortgage industry’s $25 billion settlement with federal
and state regulators received about $14.5 million for his efforts, his lawyers
said.
Kyle Lagow, an appraisal manager for Countrywide from 2004
to 2008, claimed that Countrywide inflated the value of homes to support bigger
loans, according to a statement today from Seattle-based law firm Hagens
Berman. Charlotte, North Carolina- based Bank of America Corp. (BAC) bought
Countrywide in 2008 to save it from collapse as defaults on home loans soared.
Lagow’s information helped prompt a $1 billion settlement of
Federal Housing Administration claims announced by Bank of America in February,
according to the law firm. The sum was included in the nationwide settlement reached
that month….
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