Steven Mnuchin, Trump's pick to lead the Treasury, worked for Goldman Sachs for 20 years. In 2008 Munchin and his partners founded a bank (funded in part by George Soros) that tried to evict a 90-year-old woman from her home because she underpaid a bill by 27 cents.
After some confusion about her insurance coverage two years back, a subsidiary of OneWest sent Ossie Lofton, of Lakeland, Florida, a bill for $423.30. Lofton sent the bank a check for $423, and got another bill for the remaining $0.30. The woman–who, it's worth emphasizing again here, is 90 years old–mailed in a check for $0.03.
The mix-up was enough to trigger foreclosure proceedings. Lawyers at the non-profit Florida Rural Legal Services asked the court for a jury trial.
Don't worry about Mnuchin's failure to successfully foreclose on the property. He reportedly received $11 million when his bank merged with CIT Bank last year.
That payout has been a lightning rod for OneWest critics, even though the bank and its successors absorbed $3.4 billion in losses that the FDIC didn't cover.
Despite those losses, Mnuchin came out ahead. Last year, OneWest closed on a $3.4 billion, hard-won deal to merge with CIT Bank, overcoming challenges from fair-housing advocates, civil rights groups and homeowners. Mnuchin took a reported $10.9 million payout and remains on CIT's board.
"Investors in the bank, including Mr. Mnuchin, profited handsomely at the expense of thousands of working people across our state," said Kevin Stein, deputy director of the California Reinvestment Coalition.