I hope Countrywide Financial CEO Angelo Mozilo can make a mean meatloaf for 30. If not, he may not be as well-liked in prison as former inmate Martha Stewart.
According to The New York Times, North Carolina State Treasurer Richard Moore sent a letter to the SEC asking them to investigate Mozilo on allegations that his timely stock sales were shady. In his letter, Moore whines that Mozilo apparently manipulated his trading plans to cash in, just as the subprime crisis was heating up and Countrywide's fortunes were cooling off.
Moore is referring to Mozilo's 2 increases in the number of shares that could be sold; the first in December 2006, as CFC stock stood at $40.50, and the second in February 2007, when CFC was trading for $45.03, nearly 30 points above its value today. As a result, the CEO has reached gains of $132 million since October 2006, the Times reported.
Though the SEC has not publicly responded to the letter, the figures don't look good for Mozilo. If the allegations prove to be true, it wouldn't hurt him to take a few tips from Martha on How to Decorate a 10x10 Cell.