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Fannie Mae discloses federal investigation



By AP
29 September 2008 @ 09:43 am EST

WASHINGTON - A federal grand jury is investigating accounting and disclosure issues at mortgage finance giant Fannie Mae.

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Fannie Mae said in a Securities and Exchange Commission filing Monday that it received a subpoena Friday from the U.S. Attorney's office in Manhattan as well as a request from the SEC that the company preserve documents. Fannie Mae was taken over by the government earlier this month.

The investigation concerns "accounting, disclosure and corporate governance matters." Fannie Mae said it "intends to cooperate fully with these investigations and inquiries."

Copyright 2008 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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