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January 21, 2013

Via E Mail c/o Sheila.Peden@fhfa.govSteve Linick Inspector General

FHFA Office of the Inspector General1625 Eye Street, NWWashington, DC 20006-4001

RE: FHFA Statement on Fannie Mae Agreement withBank of America, January 7, 2013

URGENT

Dear Mr. Linick:

From the above captioned Press Release I quote, The transfer of mortgage servicing to specialtyservicers is structured to benefit borrowers emphasis added .

As you know, last February the New York Times published an article, A Mortgage TornadoWarning, Unheeded . The Article alluded to an embedded report called Report to Fannie MaeRegarding Shareholder Co mplaints by Mr. Nye Lavalle . The Report was commissioned at thebehest of The Office of Corporate Justice by the Board of Directors of Fannie Mae in 2006 toaddress a shareholders concerns about fraud at Fannie Mae.

I call your attention to page 13 of the Lavalle Report:

In the case of a fraud by Olympia Mortgage Corporation ("Olympia"), however,Fannie Mae took extensive steps to ensure borrowers were made whole. In 2004, Fannie

Mae discovered that a lender had not repaid prior loans after selling it refinancing loans.When Fannie Mae discovered the fraud, it reported its findings to law enforcement,transferred the portfolio to a sub-servicer with instructions to cure damage to borrowers(e.g., adjustment of balances and credit histories), and issued a press release to informinvestors that Fannie Mae had purchased the loans out of the pool, which would cause aquick pay down on the loans instead of a stream of monthly payments.

Since 2006, the date of the Lavalle Report, I would like to know exactly how many Fannie Mae borrowers were made whole as outlined in the Olympia Fraud Model? I wou ld also like to

know specifically how many such instances of fraud by the servicer have been addressed in therecent settlement with Bank of America announced January 7, 2013.

Thank you.

SPOKESPERSON FOR THE TAXPAYERS COALITION AGAINST GSE/FHFA FRAUD

http://www.fhfa.gov/webfiles/24863/FHFAStmtSettlement.pdfhttp://www.fhfa.gov/webfiles/24863/FHFAStmtSettlement.pdfhttp://www.fhfa.gov/webfiles/24863/FHFAStmtSettlement.pdfhttp://www.fhfa.gov/webfiles/24863/FHFAStmtSettlement.pdfhttp://www.nytimes.com/2012/02/05/business/mortgage-tornado-warning-unheeded.html?pagewanted=all&_r=0http://www.nytimes.com/2012/02/05/business/mortgage-tornado-warning-unheeded.html?pagewanted=all&_r=0http://www.nytimes.com/2012/02/05/business/mortgage-tornado-warning-unheeded.html?pagewanted=all&_r=0http://www.nytimes.com/2012/02/05/business/mortgage-tornado-warning-unheeded.html?pagewanted=all&_r=0http://webcache.googleusercontent.com/search?q=cache:0UWcqVgR6ukJ:s3.documentcloud.org/documents/289482/lavalle-report-small-printed.pdf+&hl=en&gl=ushttp://webcache.googleusercontent.com/search?q=cache:0UWcqVgR6ukJ:s3.documentcloud.org/documents/289482/lavalle-report-small-printed.pdf+&hl=en&gl=ushttp://webcache.googleusercontent.com/search?q=cache:0UWcqVgR6ukJ:s3.documentcloud.org/documents/289482/lavalle-report-small-printed.pdf+&hl=en&gl=ushttp://webcache.googleusercontent.com/search?q=cache:0UWcqVgR6ukJ:s3.documentcloud.org/documents/289482/lavalle-report-small-printed.pdf+&hl=en&gl=ushttp://webcache.googleusercontent.com/search?q=cache:0UWcqVgR6ukJ:s3.documentcloud.org/documents/289482/lavalle-report-small-printed.pdf+&hl=en&gl=ushttp://books.google.com/books?id=iD8-bWporl8C&pg=PA243&lpg=PA243&dq=%22Office+of+Corporate+Justice%22&source=bl&ots=tbLzKwZWSb&sig=NGRgwVhXchTmAE1-MPc8P4hb1IA&hl=en&sa=X&ei=y1b8UKGnCZH88QSNk4HIBA&ved=0CEwQ6AEwAg#v=onepage&q=%22Office%20of%20Corporate%20Jushttp://books.google.com/books?id=iD8-bWporl8C&pg=PA243&lpg=PA243&dq=%22Office+of+Corporate+Justice%22&source=bl&ots=tbLzKwZWSb&sig=NGRgwVhXchTmAE1-MPc8P4hb1IA&hl=en&sa=X&ei=y1b8UKGnCZH88QSNk4HIBA&ved=0CEwQ6AEwAg#v=onepage&q=%22Office%20of%20Corporate%20Jushttp://books.google.com/books?id=iD8-bWporl8C&pg=PA243&lpg=PA243&dq=%22Office+of+Corporate+Justice%22&source=bl&ots=tbLzKwZWSb&sig=NGRgwVhXchTmAE1-MPc8P4hb1IA&hl=en&sa=X&ei=y1b8UKGnCZH88QSNk4HIBA&ved=0CEwQ6AEwAg#v=onepage&q=%22Office%20of%20Corporate%20Jushttp://books.google.com/books?id=iD8-bWporl8C&pg=PA243&lpg=PA243&dq=%22Office+of+Corporate+Justice%22&source=bl&ots=tbLzKwZWSb&sig=NGRgwVhXchTmAE1-MPc8P4hb1IA&hl=en&sa=X&ei=y1b8UKGnCZH88QSNk4HIBA&ved=0CEwQ6AEwAg#v=onepage&q=%22Office%20of%20Corporate%20Jushttp://webcache.googleusercontent.com/search?q=cache:0UWcqVgR6ukJ:s3.documentcloud.org/documents/289482/lavalle-report-small-printed.pdf+&hl=en&gl=ushttp://webcache.googleusercontent.com/search?q=cache:0UWcqVgR6ukJ:s3.documentcloud.org/documents/289482/lavalle-report-small-printed.pdf+&hl=en&gl=ushttp://www.nytimes.com/2012/02/05/business/mortgage-tornado-warning-unheeded.html?pagewanted=all&_r=0http://www.nytimes.com/2012/02/05/business/mortgage-tornado-warning-unheeded.html?pagewanted=all&_r=0http://www.fhfa.gov/webfiles/24863/FHFAStmtSettlement.pdfhttp://www.fhfa.gov/webfiles/24863/FHFAStmtSettlement.pdf

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/s/ Richard Davet

CC:

Thomas Forrester, Chair of Audit Committee, Fannie MaeMembers of Audit Committee Board of Directors, Fannie MaeBoard of Directors, Fannie MaeTimothy J. Mayopoulos, CEO Fannie MaeAlfred Pollard, General Counsel Fannie Mae, Office of Corporate JusticeRegulatoryInterested Parties