What do you think would happen if you ran your business with absolute reckless disregard for ethics or the law, with greed as your only motivator? Would you be able to sleep at night? What if the government found out? They could close your business, or worse, send you to jail, right?
Wrong. The government could simply let you take your money and walk away with no penance so you can start another venture where you’ll profit from your previous illegal/immoral business deals.
Any executive involved in the mortgage meltdown should be banned from profiting in any way from their criminal behavior. The government should use the bailout money to run this very type of business and let the American taxpayers profit from foreclosed homes and not the serial crooks responsible for toppling the global economy.
The New York Times published an article yesterday about this very scenario, invovling former executives the dirtiest of all lenders in the real estate shell game, Countrywide. You can read this article in it’s entirety here.