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Rep. Darrell Issa of California is trying to subpoena the remaining records of Countrywide’s VIP loan program

By Amarendra Bhushan for CEOWORLD Magazine Updated:September 28, 2009

The discovery that Countrywide Financial Corp. recorded phone conversations with borrowers in a controversial mortgage program that included public officials — and that those recordings have been destroyed — has prompted new congressional calls for more information about the program.

Rep. Darrell Issa of California, the ranking Republican on the House Oversight and Government Reform Committee, is trying to subpoena the remaining records of Countrywide’s VIP loan program. So far, the committee’s chairman, New York Democratic Rep. Edolphus Towns, has turned down that request, wsj reported.

Joe Weisenthal wrote on Businessinsider, California Republican Representative Darrell Issa is another public figure hot on Bank of America’s tail.

And this time it doesn’t have anything to do with the Merrill acquisition, which is what most folks are concerned with.

His concern is Countrywide’s old and controversial “VIP” program, which channeled sweetheart loans to influential figures. Issa is looking to subpoena the bank to see if there are recordings between Countrywide and some of the politicians who may have received the mortgages.

As you might recall, a Senate Ethics Committee probe last month cleared Sens. Christopher Dodd (D-Conn.)., and Kent Conrad (D-N.D.) regarding discounts on mortgages they received from the once high-flying subprime lender. The committee said the two senators didn’t violate any gift rules in accepting the discounts, but it admonished them for not taking more care to avoid the appearance of impropriety, The New York Times reported.

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