64.4 F
Los Angeles
Friday, Aug 19, 2022
-Advertisement-

More Politicians Implicated in Favorable Countrywide Loans

Senators Christopher Dodd and Kent Conrad denied receiving special treatment in getting loans from Countrywide Financial Corp. of Calabasas.


This comes just two days after Jim Johnson, head of Presidential hopeful Barack Obama’s vice presidential search team, resigned under similar allegations.


Countrywide, which is set to be acquired by Bank of America Corp. next month, has been widely criticized by lawmakers over its lending practices, which many blamed for spurring the current subprime crisis.


Dodd, a Democrat who oversees the national mortgage industry as chairman of the Senate Banking Committee, and Conrad, a North Dakota Democrat, received loans through Countrywide’s V.I.P. program, which waived various fees and gave special borrowing rules for the two senators, Portfolio magazine reported Thursday.


Portfolio said that Dodd got two loans in 2003, borrowing $506,000 to refinance a townhouse in Washington and another loan of $275,042 to refinance a house in East Haddam, Conn., Portfolio reported. Countrywide waived three-eighths of a point, or about $2,000, on the first loan, and one-fourth of a point, about $700, on the second, the magazine said.


According to the article, Conrad also received two loans from Countrywide, one for $1 million to refinance a vacation home and another for an apartment building in Bismarck, N.D., the magazine said.


Conrad said in a statement that he received a mortgage from Countrywide but “never asked for, expected or was aware of any special treatment. To leave the impression that I did is a complete lie.”

-Advertisement-

Featured Articles

-Advertisement-
-Advertisement-

Related Articles

-Advertisement-
-Advertisement-