America’s bankers have a problem that's bugging them bad: all those
lingering lawsuits that blame the big banks for the massive frauds that inflated
the housing bubble. Among the plaintiffs: MBIA, the bond insurer that lost $2.2
billion after mortgage-backed securities turned out to rest on frauds committed
and concealed by Countrywide Financial, now a Bank of America subsidiary. MBIA
lawyers sat Bank of America CEO Brian Moynihan down for a deposition last May.
The deposition went public last week — and reveals a CEO with nothing but contempt for his accusers. Moynihan invokes one “I
don’t recall” after another, then deadpans, “I have a good memory.” Moynihan pulled in $8.1 million in 2011, the same year his Bank of
America announced 30,000 layoffs.From Too Much on line, a project of the Institute for Policy Studies, Program on Inequality and the Common Good.
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