Press Release: Lee Rogers Calls on Rep. McKeon to Release the Terms of His Preferential Mortgage

January 16, 2012

For Immediate Release
January 16, 2012
Contact: Eric Hogensen, 323-761-9514

(Simi Valley) — A report published in the Wall Street Journal exposes Representative Howard “Buck” McKeon (R-CA) as the recipient of a VIP mortgage from the now defunct Countrywide Financial Corp. The loan amount was $315,000. Such preferential treatment may be considered a gift under House rules, which would be prohibited. According to congressional investigators, the VIP loans were often at a lower rate and with lower fees than available to the public.

McKeon received this discount loan while Countrywide was charging higher fees and rates to more than 200,000 minority borrowers across the country. Bank of America, who acquired Countrywide in 2008, agreed to pay a settlement of $335 million in a statement released by the Justice Department.

Dr. Lee Rogers announced, “We’re calling on Representative McKeon to release his mortgage documents so that the public can see the terms and determine for themselves if they believe McKeon when he says he ‘had no inkling’ he was receiving preferential treatment.”

Additionally, Rogers sent a letter to the House Ethics committee asking for an investigation. The letter points out that McKeon also received over $12,000 in campaign contributions from Countrywide and Bank of America PACs since his 1998 loan.

“How can we trust our legislators who are supposed to be watching out for their constituents when they’re taking financial favors and turning a blind eye to egregious predatory lending by some in the financial services industry,” Rogers said.