A class-action lawsuit filed last month in the Southern District of New York accusing the largest authorized dealers in Fannie Mae and Freddie Mac debt bonds of engaging in a systematic price-fixing scheme just got a little more interesting.
In October, the Federal Home Loan Bank of San Francisco reached a $3.6 million settlement with two former executives in its Washington, DC, office of legislative and regulatory affairs who claimed they were the victims of racial discrimination. There’s just one problem: Despite apparently reaching an agreement during mediation, the bank didn’t pay up.
Interim CEO Hugh Frater’s six-month odyssey at Fannie Mae just got longer last week when the board selected him to take the position permanently. His tenure became effective March 26, and he will remain on the board directors.