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Home » Store » Inside the CFPB » Fannie Settles Decade-Long Shareholder Fraud Suit

Fannie Settles Decade-Long Shareholder Fraud Suit

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Fannie Mae and its former auditor KPMG LLP have agreed to pay $153 million to resolve a long-simmering class action lawsuit brought by investors seeking to recover damages, according to an announcement Tuesday by Ohio Attorney General Mike DeWine. Two Ohio pension funds – the Ohio Public Employees Retirement System and the State Teachers Retirement System of Ohio – filed suit in 2004 related to a $6.3 billion overstatement of earnings against Fannie and three former GSE executives, including then-CEO Franklin Raines.
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