OIG: FHFA Needs Better Oversight of Fannie’s Corporate Governance
February 16, 2018
The Federal Housing Finance Agency Office of Inspector General took issue with the way the FHFA oversees Fannie Mae’s corporate governance but said its review process for mortgage servicing rights transfers has greatly improved. The OIG released two audits recently. The first focused on the need for FHFA to pay closer attention to how Fannie handles conflicts with its senior executive officers. The OIG reviewed several Fannie policy documents, including those relating to governance, conflicts of interest and code of ethics procedures. It concluded that Fannie’s governance documents are “internally inconsistent” when it comes to resolving conflicts of interest involving senior executive officers (SEOs).