FBI Begins Probe of AIG, Lehman, Fannie, Freddie

Related Newser Stories

• Don't Blame Fannie for Mess

  Jan 5, 09 9:11 AM CST
  Fannie Mae and Freddie Mac, the "toxic twin" housing financing behemoths blamed for setting the world on fire, were not operating any differently than the entire financial sector, Bethany McLean writes in Vanity Fair. McLean documents Fannie Mae's history starting from conception in FDR's New Deal, when it was chartered by Congress to help homeownership (Freddie Mac followed in 1970), and ending in its failure to resist the profitable subprime game.
  
  
  
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• Big Players Reel in Charity Spending

  Nov 25, 08 12:14 PM CST
  Charities used to getting much of their money from major corporations and private foundations are feeling the economic downturn, the Wall Street Journal reports. Bill Gates’ foundation plans to give fewer grants next year, and other large donors are honoring existing pledges but refusing to make new ones. “You can’t give what you haven’t got,” said AIG’s former CEO, a major donor.
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• Fannie, Freddie Will Stop Foreclosures Over Holidays

  Nov 20, 08 4:38 PM CST
  Homeowners facing foreclosure got a morsel of good news today: Fannie Mae and Freddie Mac won’t give them the boot over the holidays. The companies will suspend foreclosures of occupied houses from Nov. 26-Jan. 9 while they work out a loan-reform plan with lenders, MarketWatch reports. The six-week suspension should keep 16,000 homeowners safe for the time being. More »

• Freddie Posts Record $25.3B Loss; Taps $13B Infusion

  Nov 14, 08 8:35 AM CST
  Freddie Mac, the swamped mortgage giant seized by the government two months ago, asked for $13.8 billion from the Treasury today after a record quarterly loss plunged its net worth into the negative, Bloomberg reports. Sister company Fannie Mae, also under government control, said this week it might need funds beyond the $100 billion previously earmarked for each of the firms before the end of the year.
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• Fannie, Freddie to Offer Mass Loan Modifications

  Nov 11, 08 10:37 AM CST
  Fannie Mae and Freddie Mac will roll out a plan today to modify hundreds of thousands of loans in an effort to prevent foreclosures, the Wall Street Journal reports. The mortgage giants, under federal conservatorship, aim to reduce mortgage payments to no more than 38% of household income. Private banks will be encouraged by the Treasury to perform similar surgeries. More »