Freddie Mac, Accounting Violations, Suicide

Freddie Mac Acting CFO David Kellermann Found Dead by Police: " Freddie Mac Acting Chief Financial Officer David Kellermann was found dead early today in his home in the Washington suburbs, police said.

The “unintended” death is under active investigation and a cause has yet to be determined, Fairfax County Officer Shelley Broderick said. Kellermann’s body was found around 4:48 a.m. local time at a home in Reston, Virginia, police said. There were no signs of “foul play,” Broderick said."

FN: The Wall Street Journal (WSJ) is digging deeper and has linked the probable suicide to accounting fraud. Rumors are flying about RECENT accounting violations.

Freddie's Acting CFO Found Dead: "Investigators from the Securities and Exchange Commission and Justice Department have been questioning officials of Freddie Mac about possible accounting violations and other matters in recent months, the company disclosed in March.

Freddie disclosed in the recent SEC filing that in September it received a federal grand jury subpoena from the U.S. Attorney's Office for the Southern District of New York seeking documents related to accounting, disclosure and corporate governance matters. That subpoena was later withdrawn, Freddie has disclosed, and the investigation was taken over by the U.S. Attorney's Office for the Eastern District of Virginia.

Freddie said the SEC also is investigating and has told the company to preserve documents. Freddie has said it is "cooperating fully in these matters."
... "


FN: Where have we seen this before? Or right, ENRON. A trip down memory lane...

Former Enron exec dies in apparent suicide: "Former Enron Corp. vice chairman J. Clifford Baxter was found dead in his car in a Houston suburb early Friday, the victim of an apparent suicide, police said.

Baxter made millions on the sale of Enron stock, but reportedly was unhappy with Enron's business practices and resigned as vice chairman in May. He had remained as an Enron consultant.

Enron, once a giant energy corporation, has collapsed in the biggest bankruptcy filing in U.S. history amid accusations of mishandling of funds and shredding of crucial documents. Enron and its accounting firm, Andersen LLP, are under congressional investigation."