Countrywide, Investigation | featured news

(Image from article: "Subpoenas issued over Countrywide VIP loan program")

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California reportedly subpoenas BofA over toxic securities

California is trying to determine whether BofA and its Countrywide Financial subsidiary sold investments backed by risky mortgages to investors in California under false pretenses, a source says. Investigators with the state attorney general's office have subpoenaed Bank of America Corp. in connection with the sale and marketing of troubled mortgage-backed securities to California investors, according to a person familiar with the probe.

Senh: Citigroup already got nailed. It's time for Bank of America and other banks. This is just wrong - peddling investment products to their clients while betting against them.

Subpoenas issued over Countrywide VIP loan program

The House Oversight committee is investigating the role of the nation's largest mortgage companies in the financial crisis. Under pressure from Republicans, a House committee has subpoenaed documents related to Countrywide Financial Corp.'s VIP program, which offered preferential treatment to well-connected or powerful mortgage customers.

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