Judge orders BofA to pay $1.3B for toxic mortgages

In the first mortgage-fraud case brought by the federal government to ever go to trial, a jury found Bank of America’s Countrywide unit liable for selling thousands of bad mortgages to Fannie Mae and Freddie Mac in the run-up to the 2008 financial crisis, Bloomberg reported.

A U.S. district judge ordered the bank to pay $1.3 billion in civil penalties. Rebecca Mairone, a former Countrywide executive, was ordered to pay $1 million.

Source: bloomberg.com