WSJ: Fannies Problem Persist
"Fannie's Regulator Says Problems Not Yet Resolved, the worst may be yet to come." The Wall Street Journal gave us an update on the Fannie Mae fiasco today. Some tidbits: "'Fannie's problems are worse than those of sibling Freddie Mac and that a hefty fine could be in the works'. said Armando Falcon, director of OFHEO."
As it became known last week, Fannie employees have been "falsifying signatures and altering information in databases" and Mr. Falcon says such problems were "not isolated incidents."
"Moreover, he adds, 'there are additional issues that we still haven't looked at yet,' and these issues could haunt Fannie for some time."