Fannie Report Warned of Foreclosure Problems in 2006

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A government watchdog says that Fannie Mae was warned about alleged foreclosure abuses in 2003, but did not take action to halt them, the Associated Press reports. In a report being released Tuesday, the inspector general for the Federal Housing Finance Agency says that the warning came from an unnamed shareholder.

The bush adminstration in 4/2001 raised red flags, the 2002 budget requests declares Fannie Mae and Freddie Mac "Potential problem.. and can cause strong repercussions in the financial markets" In.

As Florida’s top prosecutor continues to investigate the state’s law firms for improper foreclosure work, a report has surfaced showing fannie mae was warned in 2006 of abuses in the way.

The regulator, the Office of Federal enterprise housing oversight, also found that Mudd had failed to act on a subordinate’s report when accounting. Congress in 2007, Fannie Mae Chief Risk Officer.

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Fannie Mae was warned in a 2006 internal report of abuses in the way lenders and their law firms handled foreclosures, long before regulators launched investigations into the mortgage industry’s.

The Zinths are wading back into a U.S. housing market where prices may fall further under the weight of foreclosures and not rebound until. in the years prior to the bursting of the bubble in 2006..

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