Tuesday, June 9, 2009

Bank Of America To Pay Mozilo's Insider Trading Legal Fees

Just when people were wondering why Bank Of Countrywide Lynch wasn't paying back the TARP, (well, that, and a several hundred billion in toxic assets) Reuters is reporting that the legal fees of Agent Orange, who was recently charged by the SEC with fraud and insider trading, will be paid for by TARP-for-life member BofA. Taxpayers must feel privileged that their hard earned cash is getting funneled back into the US of A so that it, in turn, can give it to Ken Lewis, so that the latter can make sure the Moz gets a few more Hollywood Tans sessions before he shares a cell (20W incandescent illumination, no UVA/UVB) with Bernie.
"Under the agreement that he had when Countrywide was an independent company, Countrywide continued to be responsible for his legal expenses for actions taken while he was an employee," Bank of America spokesman Robert Stickler said.
Speaking of, is Hollywood Tans public? If it is, does the Moz have a "Key man" Risk Factor clause in the company's prospectus/10K? Shorting candidate? On second though, the company is probably 10x levered, highly shorted and its stock has generated returns of over 1000% in the past month. Sphere: Related Content
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