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2012-12-10 — businessweek.com

Three former IndyMac Bancorp Inc. executives must pay $169 million in damages to federal regulators for making negligent loans to homebuilders as the real estate market was deteriorating, a jury decided.

The federal court jury in Los Angeles issued the verdict against Scott Van Dellen, the former chief executive officer of IndyMac's Homebuilder Division; Richard Koon, the unit's former chief lending officer; and Kenneth Shellem, the former chief credit officer. Jurors yesterday found them liable for negligence and breach of fiduciary duty.

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The agency said the executives made loans to homebuilders that weren't creditworthy or didn't provide sufficient collateral.

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