New Twist in Countrywide Loan Probe

(CBS)  Add Congressman Edolphus Towns to the growing list of influential Democratic and Republican VIP's who received loans from Countrywide Financial. That's significant because Towns, a Democrat, heads the committee investigating the mortgage giant's practices. And he personally is blocking the effort to subpoena Countrywide documents, reports CBS News correspondent Sharyl Attkisson.

Republican Darrell Issa is behind the subpoena effort.

"It's really about what Countrywide sought to do, how vast it was, what they got for their millions of dollars in discounts and how do we make sure it doesn't happen again," Issa said.

A Countrywide whistleblower says the company aggressively courted those in position to influence regulations as it made billions by giving out risky loans, then selling them to government-backed Fannie Mae. Billions of dollars worth of those loans defaulted at taxpayer expense.

Today, the Senate Ethics Committee cleared Senators Kent Conrad and Chris Dodd of violating Senate gifts rule for getting VIP Countrywide loans. But they added that they, "should have exercised more vigilance" and their VIP loan status "should have raised red flags."

Internal Countrywide emails leave no doubt as to why some congressional staffers received favorable loans, calling them "a big supporter of Countrywide's" or "responsible for... legislation of interest and importance to Countrywide."

Towns received three loans from Countrywide - and Countrywide is listed as the mortgage holder for his Brooklyn property.

Towns declined our interview request, his office saying he neither sought nor received any special mortgage benefits. For now, he continues to block the subpoena of documents that could list all the VIP's given special treatment by Countrywide - and what, if anything, Countrywide sought in return.

[swin5]

Look folks, we may not have the right to expect our elected officials to always know what to do to solve any given problem. But we sure should have the right to expect that at least our elected officials are honest and tell the truth. You can pull some 18 year old naive bearded American kid pretending to be an Islamic terrorist out of a cave in Afghanistan and say he's guilty of treason. But the real threat to our country is internal and it lies in our corrupt government officials who undermine any faith and trust the people may have in their government.

Add an amendment to the constitution. Make corruption in government by an elected official an act of treason and make it punishable by death.

[speakinup22]

Normally I take a Conservative's approach, but I feel that ANYONE that thinks they are above the law, or deserves special deals as a result of their position, should be not allowed to be in politics, period.

We don't need people that: cheat on their spouses, knowingly takes bribes, accepts 'favors', or breaks laws in our government. There are pleanty of good people to administer our country. Vette out this low-life scum before they get into the primary, or accept the loss at the poll.

It is time to bring honest, good statesmen/women to our service. DEMAND IT!!! Because if they are willing to treat someone else dishonestly, they sure as hell will do it to you.

You ain't 'special' in their book.

[ffoulkes-2009]

How long, exactly does it take a politician to go from someone wanting to do good for his country to being a greedy bribe-taking dirt-low scumbag of a fat cat idiot?

I don't think I'll ever be wanting to run for office...My wife would have me dead in a month if I became like the rest of 'em.

[42848004]

Just another corrupt politician in a position of power, a la Rangel. We voted for 'change', but the crooks are still in the catbird seat. The only diff is that they wear blue rather than red and, as they ran on a platform of 'change' they are bigger hypocrites that those they replaced.

These losers should be ousted from their chairmanships, ousted from office, and (hopefully) convicted.

It won't happen tho. The crooks are in control.

[EndEarMarks]

We the people must make our voices heard, no more just sitting by and watching those elected officals so easily and blantly enrich themself's at the expense of you and I, the workers. We all pay the goverment employees salary's and give them health benefits we can only dream about.

I e-mailed my State's congressman asking what health benefits he had and why we working American's are not worth the same - he sent me a form letter(what an insult) they think we are stupid.

They also think we have a short memory, come election day these people need to GO.

[speakinup22]

A-MEN!!!

BTW, I like the pen name. Let's not spend money to help the incumbent, when it could be spent on something that really needs it.

[xlib]

I have contacted my so called representatives by phone and told them I do not want a response by mail. I do not want my tax dollars to go towards some form letter being mailed. I have also told one idiot to stop sending updates on his doings in Congress by mail.

[tincup356]

LOBBY DOLLARS = paid conspiracy by BOTH parties.They are loyal only to the color GREEN,,,,NOT Red White and Blue.

[speakinup22]

Truer words were never spoken.

Some in both parties are corrupt.

[xlib]

Gee, in the first paragraph it states "democrat & Republican VIP's" but I don't see any Republican names. I do know just from following the mortgage mess that the dems are knee deep in it but if there were any Republican to be named you bet your arse the state run media would run them.
Now, I'm not saying Republicans are never wrong, unlike the dems who do nothing but make excuses and blame others when one of thier own messes up. I did read an article in Politico that this town's jerk was all in the face of Issa for having the AUDACITY to persue this matter.
Gotta love the thugs in charge. It's the Chicago way.

[surfcity5150]

Blind Faith in your government "the Obama socialist party" will lead you into a downward spiral that you will not be able to overcome.

[gwwelch]

For all those that put the democrats in power. I told you so.

[semanoj]

Oh, come off it. Is it against the law to (re)suggest that this country is A. too socially complex, B. too corrupt, and C. too polarized to remain a single state? I wonder whether Republica's main enemy would continue to be Islam terrorists, or would become, instead, Demostate. We could have live shootouts fighting over who gets DC, much more exciting than reality TV. Might bring the networks back.

[maistir]

The great joke in all this is that Congressman Towns chairs a committee that has "Government Reform" as part of its title.

He is a fairly typical product of urban, machine politics. There is one-party rule in most of the districts that produce corrupt officeholders from Phila., NYC, Chicago, etc. Since these dirty influence-peddlers never face a serious challenge at the ballot box, the only way to get them out of office is to get them into prison.