The same day that Countrywide Financial Corp. was slapped with lawsuits filed by two State Attorney Generals, Washington State Governor Chris Gregoire announced that her state plans to issue a $1 million fine against Countrywide for preying on minority borrowers, while also attempting to revoke the company’s license to conduct business in the Northwestern state. In addition, the Governor’s office says Countrywide will have to pay back $5 million in back assessments.

“The allegation that Countrywide preyed on minority borrowers is extremely troubling to me,” said Washington Governor Chris Gregoire. “And I hope to learn eventually just how much this may have contributed to foreclosures in our state. The allegation offers evidence that Countrywide engaged in a pattern to target minority groups and engage in predatory practices.”
Gov. Gregoire announced her plans with Deb Bortner, the director of consumer services at the Washington State Department of Financial Institutions (DFI). Gregoire’s office says the DFI examined Countrywide last year and focused on 600 loans issued in the state. According to Gregoire’s administration, the DFI found many cases of underreporting loans and practices that show Countrywide personnel were targeting minority communities with their products.