This huge mess started years ago. The guys at the top lied for years on their earnings statements to investors and the SEC. They made hundreds of millions in stock options.
They are finally getting around to doing something, anything, to placate someone who might be dumb enough to commit more assets to bail out these thieves.
The stench is sickening.
Aug. 27 (Bloomberg) -- Fannie Mae Chief Executive Officer Daniel Mudd replaced his top managers at the beleaguered mortgage-finance provider as the company struggles to convince investors it has enough capital to weather the housing slump.
Chief Financial Officer Stephen Swad will leave and be replaced by David Hisey, the Washington-based company said in a statement today. Chief Business Officer Robert Levin will retire and Peter Niculescu will step into the role. Chief Risk Officer Enrico Dallavecchia will also leave and his duties will be assumed by Michael Shaw.
Mudd is seeking to restore confidence to Fannie after its shares tumbled more than 85 percent this year and debt costs climbed. Concern that Fannie and the smaller Freddie Mac didn't have enough capital prompted U.S. Treasury Secretary Henry Paulson to draw up a rescue plan to inject unlimited amounts of money into the companies if needed.
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