Countrywide Under FBI Investigation

Allegations Related to SubPrime Mortgages

The California mortgage company, Countrywide Financial Corp is under investigation by the FBI and US market regulators for possible insider trading, and misleading investors.

Reports indicate that Angelo Mozilo, founder and CEO of Countrywide Financial Corp, used automatic trading plans, pre-arranged, to sell $145 million in Countrywide stock in 2006 and 2007. However, as problems became evident in the subprime mortgage market, Mozilo modified the plan late in 2006.

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Last updated on Aug-8-08

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