Key House Democrat Got “Friends of Angelo” Sweetheart Loan

August 7, 2009

A powerful House Democrat who has turned down a Republican’s call to subpoena records of a mortgage program at Countrywide Financial Corp. received two home loans from the lender.

Some information in the lawmaker’s mortgage documents raises the possibility they were made through the program, which provided loans to public figures and other favored borrowers often at lower interest rates or with lower origination fees than were available to the general public.

The loans were made to Rep. Edolphus Towns of New York, who heads the House Oversight and Government Reform committee. The panel’s ranking Republican, California Rep. Darrell Issa, has been pushing to have the committee subpoena mortgage records showing who received loans through Countrywide’s VIP program — operated under former Chief Executive Angelo Mozilo and known within the company as “Friends of Angelo.”

More here.


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