Illinois Attorney General Lisa Madigan is suing Countrywide Financial Corp., claiming that the company knowingly put borrowers in mortgages they couldn’t afford leading to thousands of residents losing their homes.No word yet from Senator Dodd on this one.
The suit, scheduled to be filed Wednesday morning in Cook County Circuit Court, charges Countrywide with one count of fraud and deceptive business practices and one count of violating the Illinois Fairness in Lending Act.
Also named in the suit were co-founder and Chief Executive Officer Angelo Mozilo, Countrywide Home Loans Inc., Full Spectrum Lending and Countrywide Home Loan Servicing L.P.
A Countrywide representative was not available for comment.
Countrywide Financial Corp., based in Calabasas, Calif., is the nation’s largest mortgage lender. It was also the largest mortgage lender in Illinois in 2004, 2005 and 2006, according to the suit.
Tuesday, June 24, 2008
Illinois AG to sue Countrywide Financial for Fraud
Crain's Chicago Business reports:
