Ex-Leaders at Countrywide Start Firm to Buy Bad Loans

[Crewleader]

Stanford Kurland, formerly of Countrywide, has a new venture.

By ERIC LIPTON
Published: March 3, 2009

CALABASAS, Calif. — Fairly or not, Countrywide Financial and its top executives would be on most lists of those who share blame for the nation’s economic crisis. After all, the banking behemoth made risky loans to tens of thousands of Americans, helping set off a chain of events that has the economy staggering.

So it may come as a surprise that a dozen former top Countrywide executives now stand to make millions from the home mortgage mess.

Stanford L. Kurland, Countrywide’s former president, and his team have been buying up delinquent home mortgages that the government took over from other failed banks, sometimes for pennies on the dollar. They get a piece of what they can collect.

http://www.nytimes.com/2009/03/04/business/04penny.html?_r=1&

[kirby]

1. This outrages me...

Lets see... They fucked it up. They approach the bank and say we will give you 30 cents on the dollar for the loan. The bank writes off 70 cents. This 'bill collector' harasses the mortgagee for the full original dollar value or negotiate a little bit or more than likely initiate foreclosure, but still stand to profit immensely. Why doesn't the original back just forgive 70 cents with the mortgagee instead of this middleman? More greed.

[ixion]

2. so now that he helped make the mess, he's gathered a goon squad to

collect.

The P.O.S. belongs behind bars, not starting a new venture based on the crisis he created.

This is a textbook example of Disaster Capitalism.

[Joanne98]

3. The new junk bond kings. It's beginning to look like they had a PLAN!