US prosecutors are preparing a civil lawsuit against Angelo Mozilo, the co-founder of subprime lender Countrywide.
Mozilo paid a record $67.5m fine in 2010 to resolve claims from the Securities and Exchange Commission that he misled investors about the company’s exposure to subprime mortgage debt.
The Department of Justice is poised to announce a $16bn-$17bn settlement with Bank of America over similar allegations. BofA bought Countrywide for $4bn in 2008.
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