That’s a nice little racket they have going

First they wreck the economy, then they profit off the smoldering heap:

Stanford L. Kurland, the former president of Countrywide Financial the bank that has become most synonymous with the bad mortgage lending practices that eventually caused the housing market to burst, setting into motion the current financial crisis and colleagues from the defunct firm now run PennyMac.

The company, headquartered in the same Los Angeles suburb where Countrywide was managed before it was sold to Bank of America last summer, specializes in buying up bad home mortgages that the U.S. government took over from other failed banks, the New York Times reported Tuesday.

PennnyMac has been buying up some of those mortgages for just a fraction of their value, and they keep a portion of whatever money they collect from the mortgage holder.

PennyMac’s business has been “off-the-charts good, said John Lawrence, the companys head of loan servicing, the Times reported.

Does this redefine “shameless” or what?  And would it be too authortarian of the Obama administration to, you know, demand all of PennyMac’s profits?

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