Fannie Mae Challenges OFHEO Report on Accounting Problems
October 8, 2004
Fannie Mae officials squared off this week with the chief of the Office of Federal Housing Enterprise Oversight over accusations that the government-sponsored enterprise deliberately violated accounting rules and maintained substandard internal controls. OFHEO included the allegations in a report that outlined the preliminary results of a special investigation into Fannie’s accounting policies that was launched after a scandal at Freddie Mac resulted in a $5 billion restatement of earnings. The regulator has indicated that…