- Commodity ETFs: Returns May Not Match Expectations
- Housing: 'Shadow Inventory' Dwarfs Loan Modifications
- Home Prices Decline Further In Most Parts of US
- UBS Faces Roadblock in Poaching More BofA Talent
- Jobless Rate to Hit 10.5%, Keeping Fed in Box: Poll
- Credit Card Firms Squeeze Customers as Rules Loom
- 'Thriller' Art: Warhol's Jackson Work Could Net $700,000
- Health Reform Does Little to Contains Costs: Analysts
- Ponzi Proceeds: Bidding on Madoff's Toys
- Nov. 10: Unusual Volume Leaders
- Shadow Inventory Dwarfs Loan Mods
- The Lloyd's Prayer
- Playing Activision and Other Video Game Stocks: Analyst
- Expect 'At Least' Another 10-15% Upside: Fund Manager
- If Mickey Mouse Has to Change—What Does That Say About You?
- S&P Stocks Trading at New 52-Week Highs
- Passive Job Search Strategies
- Back Off, Regulators!
MOST SHARED
- Health-Care Reform Does Little To Contain Costs: Analysts
- If Mickey Mouse Has to Change—What Does That Say About You?
- Trader Tax Sound Off
- S&P Stocks Trading at New 52-Week Highs
- Treasurys Flat as 30-Year Auction Takes Focus
- Commodity ETFs: Returns May Not Always Match Expectations
- Hottest Zip Codes for Home Prices
- MBIA Shares Plunge in Wake of Earnings
- CNBC EXCLUSIVE: CNBC MEDIA ALERT: CNBC'S MARIA BARTIROMO SPEAKS WITH STARBUCKS CEO HOWARD SCHULTZ TODAY ON "CLOSING BELL"
Text Size 
 |
Angelo Mozilo |
The SEC also charged the company's former chief operating officer, David Sambol, and former financial chief, Eric Sieracki, with securities fraud for failing to disclose the firm's relaxed lending standards in its 2006 annual report.
As CNBC reported earlier, the charges were not accompanied by any criminal indictments.
Mozilo sold hundreds of millions in Countrywide stock in late 2006 and 2007 and is accused of remaining publicly upbeat about his company's prospects during a period when he knew things weren't going well for the firm. The SEC put the tally of his profits at $140 million.
Mozilo's attorney David Siegel said the stock sales "complied with applicable laws and regulations, and were made under the terms of a series of written sales plans which were reviewed and approved by responsible professionals."
"All of the SEC's allegations will be answered completely in court and disproved with the full facts and evidence," Siegel said in a statement.
Attorneys for Sambol and Sieracki also issued statements rejecting the accusations against their clients.
"The unfortunate reality is that this baseless complaint against Dave Sambol is the result of the tremendous political pressure the SEC is facing given its well-publicized enforcement failures," said attorney Walter Brown. "Making groundless allegations and losing in court will not help the SEC restore its reputation."
"Mr. Sieracki lost money just like all other investors in Countrywide stock when the credit markets seized up and real estate values declined," said attorney Shirli Weiss. "He did not sell his Countrywide stock, rather he purchased Countrywide stock during the time when the SEC wrongly alleges Mr. Sieracki believed that Countrywide was withholding information from the market."
Countrywide became the nation's largest single home lender during the housing boom and was acquired by Bank of America after much of its business deteriorated.
On the criminal side, an investigation of financial wrongdoing is ongoing at Countrywide involving some of the company's high-level execs. Details on that probe are unknown.
- AP contributed to this report.
- Slideshow: Rogues Gallery: Infamous Financial Criminals
- Check Out David Faber's Blog
- Coming Soon: "And Then the Roof Caved In," by David Faber
Print
Email
- From politicians to CEOs to companies, here's your chance to vote for the winners and losers of 2009.
- If you are lucky enough to have money and the time, this is a great time to see America, says CNBC's Jane Wells.
- What’s powering your microwave, fridge and computer? Part of it is fuel from Russian nuclear weapons. The NYT reports.
- One author sees lessons for you in Disney’s recent Makeover of Mickey Mouse: “Nice” doesn’t always win.
- With 123 years of history, slogans and commercials, Coca-Cola is the most recognized brand on earth.
- The opening of a virtual pet store in “World of Warcraft” could prove a cash bonanza for Activision-Blizzard.
Data is a real-time snapshot *Data is delayed at least 15 minutes