by Calculated Risk on 7/01/2008 10:38:00 PM

Indymac Responds to Report from the Center for Responsible Lending

The Center for Responsible Lending (CRL) issued a report yesterday titled, “Indymac: What Went Wrong?” in which they allege that Indymac “fueled its growth with unsound and abusive mortgage lending”. The report relies entirely on unsubstantiated anecdotal evidence the CRL has obtained largely from (1) unsubstantiated claims contained in lawsuits that are pending against Indymac (in one of which the CRL is itself a plaintiff), where no liability has been established and where Indymac is vigorously disputing the claims asserted; (2) 19 disgruntled former employees, many of whom have been recruited as witnesses by plaintiffs’ trial attorneys in the same lawsuits; and (3) a handful of Indymac customers, many of whom are also plaintiffs or class members in the same lawsuits. The report relies most heavily on one lawsuit in particular, Tripp v. Indymac, which has already been dismissed twice by the court as lacking in merit.

Since I linked to the CRL report yesterday, it is only fair to link to the Indymac response. Here is a little music for Indymac.