Fannie Mae and Freddie Mac may have lost billions of dollars as a result of banks' allegedly manipulating a benchmark that determines the price at which banks lend to one another.
The inspector general of the Federal Housing Finance Agency has concluded the companies lost more than $3 billion over a roughly two-year period starting in September 2008 on holdings of more than $1 trillion of securities and other assets tied to the London interbank offered rate, The Wall Street Journalreported Wednesday.
FHFA, the conservator for Fannie and Freddie, reportedly has begun to explore legal options against banks involved in setting Libor in response to the inspector general's findings, which were communicated in an internal memo.
More
DelMarVa's Premier Source for News, Opinion, Analysis, and Human Interest Contact Publisher Joe Albero at alberobutzo@wmconnect.com or 410-430-5349
Just don't steal a loaf of bread. No one in Congress or any banker will come to your defense. Steal a BILLION (Jon Corzine - a former GOVERNOR!) did just that and he's relaxing on a beach in Miami (and laughing hysterically!). Connections make the world go 'round....
ReplyDelete