Rep. Laura Richardson is cleared of wrongdoing. Oh, by other Congresspeople. (That explains that!)
Under watch:
In an early 2009 piece on white collar crime, The Economist magazine suggests there may be some truth in something those who have read my books would predict: “Many [Club Fed and other white collar] prisoners suddenly discover, post-conviction, that they had a drinking problem….” I would add that those who don’t figure this out might benefit from greater introspection. In the spirit of The Economist’s discovery, a recent story follows for which the evidence of alcoholism is in the behaviors.
Rep. Laura Richardson, D-Long Beach, cleared of wrongdoing in her home foreclosure fiasco by the House Ethics Committee. However, keep in mind the members of the Ethics committee are—politicians. Also, you will find in the fine print of the Ethics committee report:
Richardson called a Washington Mutual lobbyist to help stop her foreclosure.
Washington Mutual executives went into crisis mode, figuring WaMu would be perceived by the press as a “bumbling company.” Shortly after, the company was bankrupt.
While earning $174,000 yearly she needed a loan modification to stay current.
She claimed to earn $12,000 per year in rent on her San Pedro property and “didn’t know” that her mortgage broker committed fraud by forging rental agreements, even though the property was never rented.
Her credit score is 575, 582 and 603 from the three major credit rating agencies in a state, California, in which the average credit score is 690.
Now I think that the first, third and fourth items are each enough to be charged with wrongdoing, but that’s just me. You can find more on Richardson in the Top Story of the July 2008 issue of TAR here.