Mortgage Builder LOS completes interface with ComplianceEase

HUD launches review of Fannie Mae and Freddie Mac investmentsMortgagePress.comHUD, Fannie Mae, Freddie Mac, GSEs The U.S. Department of Housing and Urban Development (HUD) held separate meetings the week of Aug. 7 with Fannie Mae and Freddie Mac to launch its comprehensive review and evaluation of their investment activities. As part of the review process, each will be required to compile and submit accounting data as specified by HUD. HUD issued notification letters to each government-sponsored enterprise (GSE) on June 14 regarding its intention to investigate a range of investments, including partnerships, notes receivable and equity investments, with a focus on investments that lack transparency on the GSEs financial statements, such as those classified as other assets and other liabilities. The lack of transparency as it relates to the GSEs financial dealings is a regulatory concern. HUDs review and evaluation will determine whether investment activities that were not initiated as part of the GSEs residential mortgage purchase, guaranty and securitization programs are authorized activities consistent with their charter authorities and public purposes. HUD will also examine the extent to which these investments are subject to the internal investment guidelines approved by each GSEs board of directors. HUD anticipates that its review and evaluation of GSE investment activities will be completed by fall 2007. For more information, visit www.hud.gov.