Federal prosecutors have ended their criminal investigation of former Countrywide Financial Corp. (CFC) chairman and CEO Angelo Mozilo, after deciding that his actions managing the nation's largest lender did not constitute criminal behavior, according to a report in The Los Angeles Times.

A grand jury in Los Angeles began hearing evidence against Mozilo in 2008. In the summer of 2007 the firm's stock tanked after Merrill Lynch analyst Kenneth Bruce (a former Countrywide employee no less) issued a "sell" rating on the company, suggesting it might eventually wind up in bankruptcy.

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