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The issue is that Mozilo's behavior resulted in personal gains against extreme public losses. It's in our best interest as a society to deter such behavior, whi
by acidbaseextract 8y ago
The issue is that Mozilo's behavior resulted in personal gains against extreme public losses. It's in our best interest as a society to deter such behavior, while enabling whatever legitimate business Countrywide conducted. How do we best do that? The public at large wins — Mozilo should win, the public at large loses — Mozilo should lose.
I think GP's point is that a $60M fine (against $520M in earnings) is not a an effective deterrent against such antisocial behavior.
- harryh 8y agoMaybe the fines are too low. I could be persuaded of that. I'm just saying that they aren't, as themagician asserted, lower than the actual gains from the frauds in question.
- Retric 8y agoI agree all is a bit much but, it is more than 13% including penalties, especially when you include the effect the 'boosted' earnings had on the stock price.