We have learned that the FBI is investigating Fannie Mae, Freddie Mac, Lehman Brothers Holdings Inc. and American International Group Inc. and their senior executives for potential mortgage fraud. It is believed that the initial inquiries are part of a much broader probe by the FBI. The Bureau is trying to determine whether anyone in those financial institutions, including their senior executives, had any responsibility for providing “misinformation,” according to media reports. Currently, the FBI is looking at 26 cases of potential corporate fraud related to the collapse of the U.S. mortgage lending industry. It appears that there are some corporate executives who may well have committed both civil and criminal fraud. If so, they and their companies should be prosecuted in the criminal courts and also subjected to civil litigation. There are some folks who may well wind up in jail!

Other Related Articles

• NACA says Fannie and Freddie still buying subprime products
• Mortgage Fraud Is At An All-Time High
• Criminal Acts And Corporate Fraud Are Out Of Control
• Mortgage-related litigation on the rise
• HHS Releases Health Care Fraud And Abuse Control Program Report