The Street is reporting that Fannie Mae has had $4 billion in mistakes in its earnings statements, going back to last quarter of 2011.

Fannie Mae quietly acknowledged several errors in its financial statements that have largely gone unnoticed, even by sophisticated investors who made daring contrarian bets on the turnaround of the controversial mortgage giant.

Fannie Mae reported the errors, which add up to nearly $4 billion, during five consecutive quarters from the fourth quarter of 2011 through the fourth quarter of 2012 and also in the second quarter of 2010. 

Olga Usvyatsky, an accountant with a research firm called Audit Analytics, believes the errors may point to "control deficiencies" — a catch-all accounting phrase that encompasses issues such as poorly trained or inadequate staffing, inadequate technological capabilities or ineffective business processes, among other examples.

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