Since 3/1/2007 to 3/12/2007 (possibly more since that time), he has dumped regularly up to $17,870,240.00 into the open market under the pretenses of programmed selling. He was on CNBC yesterday with Maria Bartaromo saying that Countrywide Financial is strong and would benefit from the fall out from subprime mortgage but then added that the mortgage industry faces severe liqudity crisis and stated that a Fed cut is the only thing that can save this industry. A double speak if you ask me. What is more troubling is that the selling activity has intensified around February 07 to currently. I think that SEC investigation should be in order to make sure that Mozillo is not abusing his powers as CEO and misleading share holders into buying and holding while he dumps his share for his own gain. This scenario is similar to Accredited (LEND) and NEW Century (NEW) which eventually led to the down fal.
I would not believe the wall street right now when they expect Countrywide Financial (CFC) to survive. I think once the shine of the company wears off and in midst of further turmoil from sub prime and prime mortgage (Alt-A) fall out, you will see that Countrywide Financial (CFC) has hidden agenda and further activities that would lead to SEC investigations. More on this as it comes up.
I am short CFC.
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Write the SEC, i did.
I also wrote the NYT, WSJ, Herb Greenberg(who wrote back stating his uncomfort with Mozilo's practice), and the Washington Post.
I also wrote about 10 class action attorneys...there are more than legitimate grounds that the CEO has not acted in the interest of shareholders.
Thanks for the input. There is definitely a pattern of selling into the "crisis" so to speak. I find these issues dispicable.
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