LOS ANGELES, Feb 19 (Reuters) - Federal prosecutors have shelved a criminal investigation of former Countrywide Financial chief executive Angelo Mozilo after determining that his actions in the mortgage meltdown did not amount to criminal wrongdoing, according to the Los Angeles Times.
Last October, Mozilo agreed to a $67.5 million settlement with the U.S. Securities and Exchange Commission, which had accused him of misleading investors about Countrywide's health and risk-taking, and generating roughly $140 million of improper gains from insider stock sales.
Earlier this month, the state of California settled a predatory lending case against Mozilo and another former Countrywide executive for $6.5 million.
But the U.S. criminal investigation has wound down without indictments of Mozilo or others at Countrywide, the newspaper reported.
Countrywide, at one time the nation's top mortgage company, collapsed under the weight of soured loans and was acquired by Bank of America Corp.
(Editing by Vicki Allen) Keywords: USA PROBE/MOZILO (deena.beasley@thomsonreuters.com; + 1 213-955-6746) COPYRIGHT Copyright Thomson Reuters 2011. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
Last October, Mozilo agreed to a $67.5 million settlement with the U.S. Securities and Exchange Commission, which had accused him of misleading investors about Countrywide's health and risk-taking, and generating roughly $140 million of improper gains from insider stock sales.
Earlier this month, the state of California settled a predatory lending case against Mozilo and another former Countrywide executive for $6.5 million.
But the U.S. criminal investigation has wound down without indictments of Mozilo or others at Countrywide, the newspaper reported.
Countrywide, at one time the nation's top mortgage company, collapsed under the weight of soured loans and was acquired by Bank of America Corp.
(Editing by Vicki Allen) Keywords: USA PROBE/MOZILO (deena.beasley@thomsonreuters.com; + 1 213-955-6746) COPYRIGHT Copyright Thomson Reuters 2011. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.