Former IndyMac CEO Turns to Personal Blog to Clear His Name

My name is Michael Perry. I am the former Chairman and Chief Executive Officer of IndyMac.

Anyone in the reverse mortgage business knows plenty about IndyMac Bank, which was the owner of Financial Freedom before the FDIC took over the bank in July of 2008.

Michael Perry, former CEO and Chairman of IndyMac Bank, is taking to his personal website to defend himself after being hit with lawsuits from the Securities and Exchange Commission (SEC), the Federal Insurance Deposit Corporation, and an unknown but likely large number of private civil cases.

Advertisement

“I have kept silent for three years in the hope that I would be left alone and allowed to rebuild my professional life, but unfortunately that has not been the case. I have been forced to defend myself against unwarranted and false public allegations,” Perry writes.

The site provides Perry’s view and a significant number of emails and other documents related to his tenure at the bank and will eventually focus on the government’s lawsuits against him.

This site’s purpose is to counter the allegations in these lawsuits (and regurgitated in the press as authoritative, when they are not) with the truth and the facts, for those who care to spend the time to read the documents on this site and understand them. I plan to start out slowly, focus on the government cases, and then if I have the time and it is warranted, expand the site to include my views based upon my experiences and post-crisis study of its true systemic and macroeconomic causes.

The fall of IndyMac was pretty much guaranteed after Rep. Charles Schumer (D-N.Y.) published a letter stating the bank “may have serious problems with its current loan holdings, and could face a failure if prescriptive measures are not taken quickly.”

The letter—which was also sent to regulators—lead to a “run on the bank that rapidly depleted the bank’s ample liquidity,” writes Perry.

IndyMac owned Financial Freedom, which at the time one was one of the largest reverse mortgage lenders in the country.

The website is an interesting read, check it out below.

Not Too Big to Fail

Thanks to Garret Watts for the heads up on the site.

Join the Conversation (3)

see all

This is a professional community. Please use discretion when posting a comment.

  • John,

    Please keep us posted when it gets to HECMs or more strategically, Cash Accounts if it does at all.  So far this is stuff for the curiosity of former Fin. Freedom types (like me?).

  • I remember watching the California local news (via internet, since I am on the east coast) and seeing a reporter in front of an IMB branch. He was saying to the news anchor something like this:

    “Well, Jane, I’m down here at Indymac and there’s still no sign of a bank run. This is a big surprise given the recent news about the bank.”

    And Jane replied, “Thanks, Jimmy! Keep us posted and be sure to let us know at the first sign of a run on the bank.”

    What happened a day later? A run on the bank! Color me surprised.

    Of course, Perry was no snow-white angel. I remember when an underwriter wrote to him with concerns about the forward loans that IMB was closing. He forwarded the email to the entire company, and said that he only wanted team players on his staff.

    But that’s just a drop in the bucket compared to what other mortgage banks did, and continue to do, to the American economy.

  • I remember watching the California local news (via internet, since I am on the east coast) and seeing a reporter in front of an IMB branch. He was saying to the news anchor something like this:

    “Well, Jane, I’m down here at Indymac and there’s still no sign of a bank run. This is a big surprise given the recent news about the bank.”

    And Jane replied, “Thanks, Jimmy! Keep us posted and be sure to let us know at the first sign of a run on the bank.”

    What happened a day later? A run on the bank! Color me surprised.

    Of course, Perry was no snow-white angel. I remember when an underwriter wrote to him with concerns about the forward loans that IMB was closing. He forwarded the email to the entire company, and said that he only wanted team players on his staff.

    But that’s just a drop in the bucket compared to what other mortgage banks did, and continue to do, to the American economy.

string(104) "https://reversemortgagedaily.com/2011/09/12/former-indymac-ceo-turns-to-personal-blog-to-clear-his-name/"

Share your opinion