On April 16, three senators urged the FHFA Inspector General to investigate the agency’s purported noncompliance with federal laws and regulations concerning corporate governance at Fannie Mae and Freddie Mac. Sens. Jack Reed (D-RI), Elizabeth Warren (D-MA), and Lisa Blunt Rochester (D-DE) noted that Director Pulte’s recent actions, including removing a majority of directors at Fannie Mae and Freddie Mac, and installing himself and associates in key positions, appeared to violate federal statutes requiring independent board members and audit committees.

The senators expressed concern that as a result of the governance changes, the boards of Fannie Mae and Freddie Mac lacked representation for consumer and community interests as well as financial expertise. The senators requested the Inspector General open an investigation of the FHFA and publicly announce it to deter further violations.