U.S. SECURITIES AND EXCHANGE COMMISSION
Lit. Release No. 23630 / August 30, 2016
Securities and Exchange Commission v. Daniel H. Mudd, 11-CIV-9202 (PAC) (S.D.N.Y.), complaint filed December 16, 2011
The Order resolves the Commission's case against defendant Mudd arising out of his role in Fannie Mae's disclosure of its exposure to subprime and reduced documentation mortgage loans between December 6, 2006, and August 8, 2008.
Pursuant to the Order, defendant Mudd, for 12 months, is prohibited from violating the antifraud provisions of the federal securities laws, subject to reinstitution of the action for noncompliance. Additionally, defendant Mudd is required to cause $100,000 to be paid to the United States Treasury. By Order dated September 22, 2015, the Commission resolved its case against defendants Enrico Dallavecchia, the former Chief Risk Officer of Fannie Mae, and Thomas A. Lund, Fannie Mae's former Senior Vice President and head of its single-family guarantee business. See Lit Release No. 23358 (September 22, 2015).
For further information, see Lit. Release No. 22201 (December 20, 2011) (announcing institution of action and Non-Prosecution Agreement with Fannie Mae).