$1M Fine Against BofA May Be Too Low, Judge Says

Law360, New York (December 5, 2013, 9:45 PM EST) -- A federal judge signaled Thursday he might fine Bank of America Corp. more than $1 million, a penalty amount favored by the institution, for defrauding Freddie Mac and Fannie Mae through a mortgage program.

A $1 million fine, an option put forward by the bank, could be called a "windfall," U.S. District Judge Jed S. Rakoff said at a hearing in Manhattan federal court.

A jury in October sided with government lawyers and found that Bank of America subsidiary Countrywide Financial Corp. defrauded Freddie and Fannie...
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