Financial Accounting Blog

Friday, December 12, 2003

This article reports that Freddie Mac, a federally chartered mortgage finance company, is fined $125 million for understatement of earnings.

"The Wednesday report cited "a pattern of inappropriate conduct and improper management of earnings" at the company. It also said that Freddie Mac "disregarded accounting rules, internal controls, disclosure standards, and ultimately, the public trust in pursuit of steady earnings growth."