Government sues 17 Financial Firms to Recoup Losses from Risky Mortgage Loans

Developing: Federal Housing Finance Agency, that oversees Fannie Mae and Freddie Mac, sues 17 financial firms to recoup losses from risky mortgage loans.

Fox News: The U.S. government has sued the nation's largest banks, along with a handful of other financial institutions and executives, for violating federal and state laws in the sale of home mortgage-backed securities. The 17 institutions are Ally Financial Inc., formerly known GMAC LLC, Bank of America Corp., Barclays Bank PLC, Citigroup Inc., Countrywide Financial Corp., Credit Suisse Holdings Inc., Deutsche Bank AG, First Horizon National Corp., General Electric Co., Goldman Sachs & Co., HSBC North America Holdings Inc., JPMorgan Chase & Co., Merrill Lynch & Co. and its unit First Franklin Financial Corp., Morgan Stanley, Nomura Holding America Inc., The Royal Bank of Scotland Group PLC, and Societe Generale.

Feds Foil Plot by Former Contract Worker, Rajendrasinh Makwana, to Destroy all Data on Fannie Mae's 4K Computer Servers Nationwide

The Justice Department said that it has foiled a plot by Rajendrasinh Makwana, a fired Fannie Mae contract worker in Maryland to destroy all the data on the mortgage company's 4,000 computer servers nationwide. Great. Another reason for Fannie Mae to have grovelled for more money from the federal government.

The U.S. Attorney's Office says 35-year-old Makwana, of Glen Allen, Va., is scheduled for arraignment Friday in U.S. District Court in Baltimore on one count of computer intrusion. U.S. Attorney Rod Rosenstein said that Makwana was fired on Oct. 24. On that day, the feds have alleged that Makwana programmed a computer with a malicious code that was set to spread throughout the Fannie Mae network and destroy all data this Saturday.

So, not only can't Fannie Mae manage its books, it cannot manage its IT staff as well. Wow.

Feds Foil Plot by Former Contract Worker, Rajendrasinh Makwana, to Destroy all Data on Fannie Mae's 4K Computer Servers Nationwide

The Justice Department said that it has foiled a plot by Rajendrasinh Makwana, a fired Fannie Mae contract worker in Maryland to destroy all the data on the mortgage company's 4,000 computer servers nationwide. Great. Another reason for Fannie Mae to have grovelled for more money from the federal government.

The U.S. Attorney's Office says 35-year-old Makwana, of Glen Allen, Va., is scheduled for arraignment Friday in U.S. District Court in Baltimore on one count of computer intrusion. U.S. Attorney Rod Rosenstein said that Makwana was fired on Oct. 24. On that day, the feds have alleged that Makwana programmed a computer with a malicious code that was set to spread throughout the Fannie Mae network and destroy all data this Saturday.

So, not only can't Fannie Mae manage its books, it cannot manage its IT staff as well. Wow.