Two US Lawmakers Propose Tighter Rules For Fannie, Freddie
10 März 2009 - 4:36PM
Dow Jones News
Two lawmakers have proposed additional disclosure rules for
Fannie Mae (FNM) and Freddie Mac (FRE).
Reps. Adam Putnam, R-Fla., and Edward Markey, D-Mass., announced
Tuesday they have introduced the Fannie Mae and Freddie Mac Full
Disclosure Act.
The legislation calls for the firms to pay registration fees and
disclose information required by the Securities and Exchange
Commission just as other publicly traded companies and issuers of
private mortgage-backed securities do.
"There are many factors that were involved in our current
economic meltdown," Putnam said. "And one of them was a failure to
require enough transparency and accountability from Fannie and
Freddie."
Markey said, "I have always felt that Fannie Mae and Freddie Mac
securities should be subject to the same public disclosure and
accounting rules that cover other publicly traded companies," said
Markey. "Now more than ever, investors and our financial markets
need full disclosure regarding mortgage-backed securities and this
bill will ensure that such disclosures are required."
-By Jeff Bater, Dow Jones Newswires; 202 862 9249;
jeff.bater@dowjones.com