The Securities and Exchange Commission (SEC) has charged 6 former high-ranking executives (including CEOs) of mortgage giants Fannie Mae and Freddie Mac with securities fraud.
The civil lawsuits allege the six executives misled investors about their exposure to risky subprime mortgage debt. The lawsuits were filed in two separate cases in Federal Court in New York City. Among the ex-CEOs sued were former Fannie Mae CEO Dnaiel Mudd and former Freddie CEO Richard Syron.
The two civil suits seek financial penalties, disgorgement of ill-gotten gains with interest payments, and to bar Syron, Mudd and the other four defendants from serving as directors on company boards.
[see further: bottomline.msnbc.msn.com/news/2011/12/9494796-sec-charges-ex-fannie-freddieCEOs]
No comments:
Post a Comment