Fannie Mae’s “arrogant and unethical” corporate culture led employees to massage earnings to trigger bonuses for senior executives, and the board of directors contributed by failing to act independently, the company’s regulator said on Tuesday.
The U.S. Office of Federal Housing Enterprise Oversight, in its report on Fannie’s nearly $11 billion accounting scandal, said it was going to announce a settlement with the mortgage finance giant. Sources have said the settlement would total $400 million.
