FBI to investigate US mortgage companies
Updated on 24 September 2008
The FBI is to investigate Fannie Mae, Freddie Mac, Lehman Brothers Holdings and insurer American International Group (AIG) for potential mortgage fraud.
The FBI did not provide specifics but said the inquiries were part of a broader probe, according to US media reports.
The bureau is trying to determine whether anyone in those financial institutions, including their senior executives, had any responsibility for providing "misinformation."
Justice Department spokesman Brian Roehrkasse said: "As part of our investigative responsibility, the FBI conducts corporate fraud investigations. The number of cases fluctuates over time, however we do not discuss which companies may or may not be the subject of an investigation."
A federal law enforcement official confirmed the FBI is now looking at 26 cases of potential corporate fraud related to the collapse of the US mortgage lending industry.
FBI Director Robert Mueller told the US Congress a week ago that 24 cases of potential corporate fraud were under investigation, up from 21 disclosed by the bureau in July.
In testimony before the House of Representatives Judiciary Committee, the FBI chief also vowed to pursue corporate executives if necessary in mortgage fraud cases.
Mr Mueller said the FBI was looking at all levels of the mortgage systems. With respect to the corporate probes, which could result in federal charges, "the allegations would be there were misstatements of assets," he said.
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