Former Citi Exec: I Warned Rubin About Mortgage Risk

Wednesday, 07 Apr 2010 01:34 PM

 

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink

A former executive of Citigroup Inc. is telling a panel investigating the roots of the financial crisis that he warned former chairman Robert Rubin and other bank leaders about the coming mortgage crisis back in 2006.

Richard Bowen says other Citigroup executives were violating the bank's own risk management standards starting in 2006. He says he discovered in the middle of that year that over 60 percent of the mortgages bought and resold by subprime subsidiary Citifinancial Mortgage were defective. Bowen was chief underwriter for the division.

Bowen says he issued many warnings to management about the mortgage risk starting in 2006, and e-mailed Rubin in November 2007.

Bowen's testimony is part of three days of hearings by the Financial Crisis Inquiry Commission.

© Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Country
Zip Code:
Privacy: We never share your email.
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
Top Stories
You May Also Like

Hillary Is Not Inevitable in 2016

Wednesday, 17 Sep 2014 07:53 AM

For all the oxygen devoted to a potential Clinton run, and as inevitable as some Democrats think she is, all the wind is . . .

Obama Unfazed by Mideast Miscalculations

Wednesday, 27 Aug 2014 09:52 AM

In re-reading the January New Yorker interview that President Obama gave, it’s startling not only because the president’ . . .

Millennials Give Trial Marriages a Shot

Thursday, 31 Jul 2014 09:38 AM

They’ve been called the hookup generation, the selfie generation, and generation YOLO (that stands for “you only live on . . .

Most Commented

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved