American Banker writer Kate Berry is reporting that Financial Freedom founder Jim Mahoney has been brought in by Lehman Brothers to help advise the FDIC on how to maximize the value of Financial Freedom. Mahoney who stepped down from his role as CEO in July of this year has been with the company through the original sale to Lehman Brothers in 2001 and then to Indymac Bank in 2004.
The FDIC continues to state that its preferred approach is to sell all of IndyMac at once but the size of IndyMac’s servicing portfolio is making this difficult. There are few companies that have the resources to buy a $200 billion servicing portfolio and the current state of the credit markets makes the portfolio even less attractive.
According to American Bankers sources, Massachusetts based Mutual Life Insurance Co. is interested in purchasing Financial Freedom but a spokesman for Mass Mutual said it does not comment on rumors or speculation. To read a copy of the article click the link below.