Former Countrywide VP Settles Insider Trading Charges


Former Countrywide FinancialVice President Quan Zhu agreed to pay $108,840 to settle insider trading charges, the U.S. Securities and Exchange Commission said on Monday.

The SEC said that Zhu received a tip from another Countrywide exec that the mortgage lending giant would fall short of analyst expectations for 2004 third-quarter earnings.

Zhu then sold Countrywide shares , bought put options and sold short Countrywide stock in his wife's account after receiving the nonpublic information, the SEC said.

Zhu settled without admitting or denying the charges.