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>  

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,