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LOS ANGELES (Reuters) – agent prosecutors have shelved a malefactor enquiry of former Countrywide Financial honcho chief Angelo Mozilo after determining that his actions in the mortgage meltdown did not turn to malefactor wrongdoing, according to the Los Angeles Times.

Last October, Mozilo agreed to a $67.5 meg deciding with the U.S. Securities and Exchange Commission, which had accused him of dishonorable investors most Countrywide's upbeat and risk-taking, and generating roughly $140 meg of improper gains from insider stock sales.

Earlier this month, the state of Calif. effected a predatory disposition case against Mozilo and added former Countrywide chief for $6.5 million.

But the U.S. malefactor enquiry has wound down without indictments of Mozilo or others at Countrywide, the newspaper reported.

Countrywide, at one instance the nation's crowning mortgage company, collapsed under the weight of soured loans and was acquired by Bank of America Corp.

(Editing by Vicki Allen)

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