IndyMac Sale Hits Snag Due To Defaulted Loans Sold To Fannie Mae

image Housing Wire journalist Teri Buhl writes that the sale of IndyMac to the private equity consortium known as HoldCo has run into problems due to repurchase requests from Fannie Mae.  According to the article:

Fannie Mae is now holding the deal hostage and threatening to jeopardize the potential sale, according to sources close to the sale negotiations on Tuesday evening.

After IndyMac was seized by regulators this summer, Fannie quickly — and quietly — handed the bank a bill for $1 billion, one source said under condition of anonymity, claiming the failed Pasadena, Calif.-based thrift had violated representations and warranties on various loans sold to the GSE. The IndyMac-originated loans had early payment defaults or were made under fraudulent conditions, according to the source. IndyMac, now under the control of FDIC officials, responded with an offer in kind to settle the repurchase claims for only $100 million, an offer that the GSE did not accept.

To read the rest of the story click the link below.

Fannie Mae Holding IndyMac Deal ‘Hostage,’ Sources Say

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