Countrywide (CFC): Investigate Them All

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Sen. Charles Schumer seems to have his nose everywhere, whether it belongs or not. Yesterday, he called for the SEC to investigate Countrywide (CFC) along with its CEO CEO Angelo Mozilo. There is some concern that Mr. Mozilo may have sold stock with the knowledge that things were about to go sour at his company.

According to Reuters, the senator said the SEC should "expand its informal probe of suspicious stock sales by Countrywide CEO Angelo Mozilo to include the company itself, which may have taken steps to enable Mozilo’s stock dumping as the subprime crisis heated up and Countrywide’s stock prices plunged."

Schumer acts like he is running for president. It probably has not occurred to him that the government is almost certain to look at the company’s role in option grants and stock sales as a part of the overall inquiry.

Someone should take the senator aside and tell him

Douglas A. McIntyre