Countrywide Financial Corp., and the mega bank that bought it, Bank of America, sold thousands of fraudulent and defective loans to Fannie Mae and Freddie Mac, eventually leaving taxpayers saddled with roughly $1 billion in losses, according to a new lawsuit from the government.  

U.S. attorney Preet Bharara Wednesday unveiled new civil claims against Bank of America, alleging that the lender continued to originate “dangerously bad” loans after it acquired CFC in the summer of 2008.

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