April 8, 2002
Government Agency To Take Look At Fannie, Freddie Financial Disclosure Policies
Inman News Features
Armando Falcon, Jr., Director of the Office of Federal Housing Enterprise Oversight, safety and soundness regulator for Fannie Mae and Freddie Mac, today said OFHEO will conduct a comprehensive review of the financial disclosure policies and practices of Fannie Mae and Freddie Mac.
"OFHEO will measure the disclosure policies and practices of (Fannie Mae and Freddie Mac) against those of other publicly traded companies to ensure (their) practices are at least comparable, if not better, where appropriate," said Falcon.
"Upon our request, the Securities and Exchange Commission has agreed to make its staff available to OFHEO to provide technical assistance to us in our analysis of the disclosures currently made by Fannie Mae and Freddie Mac," said Falcon.
OFHEO's review of Fannie Mae and Freddie Mac's financial disclosures is part of a regulatory infrastructure project that begun more than a year ago. At the conclusion of this disclosure review, OFHEO will determine what action, if any, is appropriate. The options available to OFHEO range from issuing a report to establishing standards through a formal rulemaking process.
OFHEO was established as an independent entity within the Department of Housing and Urban Development by the Federal Housing Enterprises Financial Safety and Soundness Act of 1992. OFHEO's primary mission is ensuring the capital adequacy and financial safety and soundness of Fannie Mae and Freddie Mac.
Copyright: Inman News Service