WA Fines Countrywide, Seeks To Revoke Company's License

Gov. Chris Gregoire, D-Wash., says that the state of Washington plans to fine Countrywide Home Loans $1 million for discriminatory lending. In addition, the company will be required to pay more than $5 million in back assessments the company failed to pay. The state is seeking to revoke Countrywide's license to do business in Washington for its alleged illegal activity."The allegation that Countrywide preyed on minority borrowers is extremely troubling to me," Gregoire says. "And I hope to learn eventually just how much this may have contributed to foreclosures in our state. The allegation offers evidence that Countrywide engaged in a pattern to target minority groups and engage in predatory practices."The state's Department of Financial Institutions (DFI) is required to examine every home lender licensed in the state of Washington, the governor's office explains. The agency conducted its fair lending examination of Countrywide last year.At that time, DFI looked at roughly 600 individual loan files and uncovered evidence that Countrywide engaged in discriminatory lending that targeted Washington's minority communities. The agency also found significant underreporting of loans during its investigation.DFI sent Countrywide a statement of charges on June 23, notifying the company of the fine and the back assessments the state plans to pursue. The investigation continues.Source: Office Of Gov. Chris Gregoire