Fannie Fires 100+ For Fraud

[glenn walker]

These MBS took a half a century to grow into the tail that wags the dog. The systemic failures and corruption may be too great to fix using the legal fixes that are mostly not available because of it's eternal Federal Receivership status it's been held in for almost 15 years

Under law it's virtually untouchable even by the justice department. Until Congress or the Federal Bankruptsy Judge removes it's status as in Receivership nothing's going to happen.

 

[Mejappz]

John Russell had an interesting take on social media . People want action against these fraudsters. Hey, if ASC can do it the President of the United States most certainly can.

While any regulatory repeal attempted using this approach will draw a legal challenge, this does bring up an interesting question:

Could the administration repeal the 1994 interagency rules that created broad carveouts from appraisal requirements in Title XI of FIRREA?

There's a clear appetite for guardrails around the GSEs before they're released back into the private world, and the GSEs haven't been shy about how these carveouts empower them to expand appraisal waiver usage, for example.

I've long argued that the 1994 rules run clearly counter to Congress's intent when the law was passed. We may soon discover whether the current administration shares that view.

#appraisers
#appraisals
#FHFA
#FIRREA

https://www.politico.com/news/2025/04/10/federal-agencies-public-notice-comment-trump-administration-00284499

 

[Essexfenwick]

Oh no! This is outrageous

They need to make sure the appraisal modernization crew concentrates without worrying about getting sh*tcanned every second of their lives!!!

 

[glenn walker]

I doubt appraisal issues are going to be a big deal on taking the GSEs Private. The new model would not be one or two large GSEs but numerous Private Companies providing liquid markets to sell mortgage backed securities to. Many will define their own requirements about appraisals and when they will or won't be required.

 

[Mejappz]

Pulte also said that the IP addresses of employees working remotely had been audited to determine their locations. He said those locations were then mapped against where the employees had swiped in from at the start of their workday. Pulte claimed that irregularities were discovered among some of the fired employees.

“Potentially, people are having friends or family swipe in, but then they’re actually working in China,” Pulte said.

Fired Fannie Mae workers allegedly engaged in fraud, 'worked in China' - Scotsman Guide

FHFA Director Bill Pulte alleges Fannie Mae firings involved fraud in a company charity and remote work irregularities, as an internal investigation continues.

www.scotsmanguide.com

 

[glenn walker]

How many living in Tennessee and
Other State's not going to the Virginia headquarters..? you think $75,000 a year employees are supporting two household's ??? And flying back and forth. Lol

 

[Tim Hicks (Texas)]

I guess my yearly Bias/Fraud seminar from Fannie Mae will have a few extra chapters in it?

I wonder how much of the Hybrid research is "doctored" or "manipulated." No real appraiser wants to do them except that turncoat TC.

Regorra put out a bulletin saying that 60% of appraisers accepted the use of hybrids. I think the survey may have been rigged. I answered I would not do them, but when they asked what fee was acceptable, I said it was double my current fee for having to trust an unknown PDR that may or may not be biased. So, they probably marked me as a "yes."

 

[Tim Hicks (Texas)]

Anybody else see the irony in Fannie Mae forcing bias and fraud education yearly when they can't even recognize fraud in their own company?

 

[chad hampton]

Pulte also said that the IP addresses of employees working remotely had been audited to determine their locations. He said those locations were then mapped against where the employees had swiped in from at the start of their workday. Pulte claimed that irregularities were discovered among some of the fired employees.

“Potentially, people are having friends or family swipe in, but then they’re actually working in China,” Pulte said.

Fired Fannie Mae workers allegedly engaged in fraud, 'worked in China' - Scotsman Guide

FHFA Director Bill Pulte alleges Fannie Mae firings involved fraud in a company charity and remote work irregularities, as an internal investigation continues.

www.scotsmanguide.com

At this point, I have to wonder if it’s a job required to be unethical to work at the GSEs.

 

[Terrel L. Shields]

Are "government job" a dirty word to you....

Yes. Not that it applies to all government jobs, but it does apply to a lot of them. Clearly, the DOGE is exposing no small number of meaningless jobs that were handed out to buddies as "consultants". And my own experience working for the better part of a year with the Dept of Energy showed me how inefficient and redundant such outfits can be. You park the government truck and rent a car because that cuts the apparent fuel use down as mandated by higher ups. You have the smallest drill rig drill the deepest hole because the lead driller had 11 years' experience, while the larger rig that was hired deliberately to drill that deeper hole "only" had 8 years of experience. In doing so, they broke the derrick and created an extremely hazardous situation for all of us on the rig. And a huge repair bill which the taxpayers got to pick up.

Dairy barns here had to be certified by the health department to call a barn "grade A" (that's drinking milk vs Grade C - "commercial" milk used in canned condensed milk or dry powdered milk). Inspectors came by upon occasion. But because the milk company sold some small amount of milk to Texas, a Texas inspector had to come by every 3 months or so. They couldn't take the word of the local county inspectors. Apparently, Texas didn't think Arky health department workers knew squat about milk??? So, someone drove 300 miles to the county and inspected 20 or so barns a day until they covered them all. Oklahoma OTOH were fine using the Arkansas Health Dept. findings.

When I applied for a sanitarian license under my geological license (which was explicitly allowed) the county sanitarians discouraged me and argued I didn't have enough experience to do perk tests and soil morph tests (I did them with an engineering firm) and the reason was that the salaried sanitarians had a huge cottage business of doing those after hours for $200 a pop and were alarmed I might take some of their work. I primarily wanted it to install monitoring wells. Finally had a chance to sell my drill rig for a large profit and things were picking back up in the patch. So, I sold the rig.

Fed Gov. used to have a rule that you could not sell a car or truck unless it had 50,000 miles or more on it. They had lemons that were in the shop and costing thousands of dollars and couldn't sell. I was at a society meeting with the state geologist - nice guy, good geologist and he was telling me that they came from Little Rock to Ft. Smith in a vehicle with 250,000 miles on it and they cannot get it replaced because the state cannot understand why a field vehicle that they take into off-road situations frequently cannot be an electric car or a hybrid Prius. So, the money is "there" for a new vehicle but they have to keep the old one so they can actually do field work. Likewise, they are budgeted $300,000 for a new sample library but haven't been approved for any building. The old library is just a barn, it leaks like a sieve and has since I was there 20 years ago and is frequently broken into even with cameras. And it is on the south side of Little Rock while the offices are in N. Little Rock across the river 10 miles away.

A classmate of my brother ran a C store for many years. But his monitoring well indicated a leak. The tank didn't indicate one, but the state pitched in $50,000 and he replaced all the tanks, borrowed money only to have more fuel show up in the wells. The state shut him down, bankrupted the guy at age 65. Bank sells the store still operating today. OOPSY DOOPSY.... Turned out the state finally traced the fuel to a leak in an above ground DIESEL tank on CITY PROPERTY about 300 yards away. And the city knew the tank leaked but used it anyway. The C store did not sell diesel in the first place. And Max couldn't sue the city.

The old city courthouse has a flat roof which had been a PITA for years leaking. So, they decided to rebuild the roof with a pitched roof. But the cost was going to run a little over $50,000. State requirement. HAD to be architectural plans and bids. So, an architect was hired. His cost? $50,000. The final cost of the roof? About $225,000.

Chicago's mayor a few years ago promoted a "census cowboy" to ride a horse through the south side of town and promote the census in areas where compliance was low. https://www.nbcchicago.com/news/local/who-is-chicagos-census-cowboy/2305040/

Do I need to go on with the incompetence of governance? And the apparent disinterest that government employees have in watching out for the taxpayer's dollars?