Outgoing subprime mortgage scion Bill Erbey is playing chicken with California.
The CEO of an Erbey-chaired company has pooh-poohed the Golden State’s business regulator’s threat to pull Ocwen Financial’s license to do business, just days after the company’s stock had its biggest drop ever.
“Our understanding is that the likelihood of Ocwen losing its license is very low,” Bill Shepro, CEO of Altisource Portfolio Solutions, a major Ocwen client that’s helmed by Erbey, said during a conference call on Friday.
The California Department of Business Oversight has accused Ocwen of dragging its feet in cooperating with an investigation into whether the company is breaking state consumer laws. The company has said it’s fully cooperating.