Changes

==Fraudulent accounting 1990s - 2006==

==Fraudulent accounting 1990s - 2006==

Accounting problems at Fannie Mae first surfaced in 2003, and led to investigations by the [[Securities and Exchange Commission]] and [[U.S Justice Department]]. Regulators found a culture of corruption where management overstated earnings by $11 billion beginning in the [[Bill Clinton|Clinton era]]<ref>Bill Clinton appointed [[Rahm Emanuel]], later [[Obama]] [[Chief of Staff]], to the Board of Directors of Fannie Mae's sister agency, Freddie Mac. Emanuel had no experience of qualifications for the position. Freddie Mac likewise was taken into conservatorship for mismanagement.</ref> and reaped huge bonuses for themselves<ref>[http://articles.chicagotribune.com/2006-05-24/business/0605240197_1_senior-management-manipulated-accounting-fannie-mae-executive-officer-franklin-raines `Arrogant and unethical': Fannie Mae to pay $400 million penalty,] Robert Manor, ''Chicago Tribune'', May 24, 2006.</ref> As Fannie Mae was taken into conservatorship in September 2008 it was reported [[Barack Obama]] received more than $126,000 in contributions from the [[government sponsored entity]], more than any other political candidate for office since 1989.<ref>[http://www.opensecrets.org/news/2008/09/update-fannie-mae-and-freddie.html Update: Fannie Mae and Freddie Mac Invest in Lawmakers], By Lindsay Renick Mayer, September 11, 2008. opensecrets.org</ref>

Accounting problems at Fannie Mae first surfaced in 2003, and led to investigations by the [[Securities and Exchange Commission]] and [[U.S Justice Department]]. Regulators found a culture of corruption where management overstated earnings by $11 billion beginning in the [[Bill Clinton|Clinton era]]<ref>Bill Clinton appointed [[Rahm Emanuel]], later [[Obama]] [[Chief of Staff]], to the Board of Directors of Fannie Mae's sister agency, Freddie Mac. Emanuel had no experience of qualifications for the position. Freddie Mac likewise was taken into conservatorship for mismanagement.</ref> and reaped huge bonuses for themselves<ref>[http://articles.chicagotribune.com/2006-05-24/business/0605240197_1_senior-management-manipulated-accounting-fannie-mae-executive-officer-franklin-raines `Arrogant and unethical': Fannie Mae to pay $400 million penalty,] Robert Manor, ''Chicago Tribune'', May 24, 2006.</ref>  

Auditors stated,

Auditors stated,