Mozilo's big dump draws SEC scrutiny.
It's about friggity time.
On June 4, 2009, the Securities and Exchange Commission announced the filing of securities fraud charges against former Countrywide Financial CEO Angelo Mozilo, former chief operating officer and president David Sambol, and former chief financial officer Eric Sieracki. They are charged with deliberately misleading investors about the significant credit risks being taken in efforts to build and maintain the company’s market share.
The Commission has additionally charged Mozilo with insider trading for selling his Countrywide stock based on non-public information for nearly $140 million in profits.
Here's a graph of the shares Mozillo dropped on the market before coming clean about how bad things were going to get at Countrywide. Sambol was a piker, by comparison. Only unloaded $22 million worth. Amateur. Shoulda emulated his big orange boss a bit more.
Wonder if Maria Bartiromo and the rest of the Mozilo-enablers out there will take their jobs a bit more seriously now, instead of just lobbing softballs to them while they're dumping like crazy into the top of the biggest bubble the world has ever seen.