SEC, Grand Jury Probe Mortgage Giants' Fall

Law360, New York (September 29, 2008, 12:00 AM EDT) -- Troubled mortgage-financing giants Freddie Mac and Fannie Mae said Monday that they are the focus of probes by the U.S. Securities and Exchange Commission and the U.S. Attorney's Office for the Southern District of New York.

In public statements and filings with the SEC, the two companies said that on Friday they received a subpoena from a federal grand jury in the Southern District of New York and a notice from the SEC's enforcement division asking for document preservation.

The subpoena seeks documents relating to accounting,...
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