Aruna Viswanatha, Reuters
The former chief executive of failed mortgage lender IndyMac Bancorp has agreed to pay $80,000 to resolve the remaining parts of a U.S. securities fraud case against him, after a federal court earlier this year had dismissed much of the case.
The settlement between Michael Perry and the Securities and Exchange Commission ends a long-running case that hinged on whether or not IndyMac’s top executives disclosed crucial information about the bank’s financial health at the onset of the 2007-2009 financial crisis.
The settlement, which was dated September 27 and announced by the SEC and Perry’s lawyer on Monday, resolves one claim about whether details about a capital contribution should have been disclosed in May 2008.
Perry settled without admitting or denying the charges.
California-based IndyMac, which specialized in a type of mortgage that often required minimal documentation from borrowers, was seized by banking regulators in July of 2008 as the financial crisis gathered steam.