A key former aide to the North Carolina Democrat threatening popular legislation to audit the Fed once received a sweetheart Countrywide loan designed to influence predatory lending legislation introduced by the Representative. From a July 2009 CBS piece on the “Friends of Angelo,” (powerful recipients of sweetheart deals from the mortgage lender, named for Countrywide’s CEO, Angelo Mozilo):
Joyce Brayboy, the Chief of Staff for Rep. Melvin Watt was funneled into Countrywide’s VIP program. Countrywide’s lobbyist urged the loan officer to “carefully” handle the loan saying Brayboy “reports directly to Congressman Mel Watt who introduced predatory lending legislation to address unscrupulous lending practices, and they do view Countryside as a trusted advisor.” Watt serves on the House Financial Services Committee.
As I’ve previously noted, Brayboy was Watt’s longtime chief of staff (until 2007) and has lobbied for the American Bankers Association since leaving Capitol Hill.
Democrats are currently blocking an investigation of the Countrywide scandal.
Inquiries into the company’s special treatment of Senators Dodd and Conrad have concluded that they did not know they were receiving favorable terms.
Mel Watt has led the fight *against* predatory lending. This post fails to mention Watt’s repeated leadership on this issue.
Was any research done on Watt’s track record on predatory lending? Many communities in Rep. Watt’s district have been devastated by corporate raiders like Countrywide, and Watt has taken a lot of heat for his repeated willingness to stand up and defend his constituents from these corporations.
I thought it was clear from the post that Watt was introducing legislation intended to curb predatory lending practices, and that Countrywide sought to influence that legislation by offering Brayboy a loan…
I felt the post implied that Watt was unduly influenced to water down reform legislation.
I asked around, and it seems that some financial justice advocates consider Mel Watt to be perhaps slightly less the stalwart reformer than I thought him to be. He’s fought the predatory lenders in some cases, and not in others.
Apparently, Watt does have good relationships with banks (as well as consumer groups), and Watt uses those relationships to push for concessions from banking interests, but banking lobbyists get something out of the relationship as well.
From firedoglake: Watt versus Paul-Grayson
http://seminal.firedoglake.com/diary/15295
From bluenc: What’s up with Watt?
http://www.bluenc.com/whats-watt%3F