September 2nd, 2011
05:08 PM ET

Government sues 17 banks over risky mortgages

The Federal Housing Finance Agency, the conservator that oversees Fannie Mae and Freddie Mac, sued 17 financial firms Friday to recoup losses from risky mortgage loans.

The targets of the lawsuits include Bank of America, Citigroup, J.P. Morgan Chase, Goldman Sachs and even General Electric, among others.

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Filed under: Economy • Finance
soundoff (41 Responses)
  1. leeintulsa

    Hey, maybe someone will pay. That'd be cool.

    Gobama.

    September 2, 2011 at 5:20 pm | Report abuse |
  2. banasy©

    It's a step in the right direction.

    September 2, 2011 at 5:28 pm | Report abuse |
  3. Andreas Moser

    If only these banks had been destroyed on 11 September 2001.

    September 2, 2011 at 5:31 pm | Report abuse |
  4. infinity546

    Banks are probably affraid. the progammers have messed up. Let the ego go.

    September 2, 2011 at 5:42 pm | Report abuse |
  5. Tim

    So, give them money to keep them in business. Then sue them out of business?

    September 2, 2011 at 5:44 pm | Report abuse |
    • Tim

      Will we be suing Fannie and Freddie also? Or just the private banks that had to compete with the govt. agency loans.

      September 2, 2011 at 5:45 pm | Report abuse |
  6. Serious

    Its about time!

    September 2, 2011 at 5:45 pm | Report abuse |
  7. confused

    So they are going to sue the banks over risky mortgages after bailing them out, all the while they are yelling at them to LOOSEN their lending standards and distribute some of that money their holding on to, hmmmm?...what if the banks stopped lending? Bank of America is selling their correspondent lending division right now...where will you go to get a loan if every bank did that?? Let me give you a hint....it would be some of the targets in this lawsuit

    September 2, 2011 at 5:57 pm | Report abuse |
  8. Andrew

    Aaaaaaand the lawyers make out like bandits. Again.

    September 2, 2011 at 6:11 pm | Report abuse |
  9. DBS

    Lets go back a bit further to when our Washington Politicians wanted every family to be in their "dream homes". Our political brain trusts loosened up the requirements for laons and instructed banks that they should lend and then bundle them. NOW the same agency that forced Banks to make these loans (Fannie and Freddie) is sueing the banks for making bad loans. What are they thinking? I wish they would stop trying to lay blame on others when they made the original blunder.

    September 2, 2011 at 6:12 pm | Report abuse |
  10. Xasthur

    I wish the government would move to China along with the too big to fail corporations.

    September 2, 2011 at 6:15 pm | Report abuse |
  11. the prophet

    Follow me I am organizing the bigest antigovernment cue ever,

    September 2, 2011 at 6:54 pm | Report abuse |
    • leeintulsa

      @the prophet: but that's *our* plan.. We thought of it first..

      We're gonna kidnap pilot's wife, and issue demands. We're gonna cut all her bits off, to show them we're not to be trifled with. And above all, we shall not submit to blackmail. NO BLACKMAIL!

      September 2, 2011 at 7:17 pm | Report abuse |
  12. gung hoe

    @ DBS That that you wanted to talk about At your 6 12 post The people in charge and wanting the banks to loosen their purse strings was Chris Dodd and Barney rubble Frank both democrats

    September 2, 2011 at 7:03 pm | Report abuse |
  13. gung hoe

    @The prophet Iam yours my dear sir TELL ME WHEN AND WHERE AND ITS COUP NOT CUE

    September 2, 2011 at 7:08 pm | Report abuse |
  14. banasy©

    @leeintulsa:
    You're going to cut off her naughty bits?
    Ok, Mr. Python!

    September 2, 2011 at 7:24 pm | Report abuse |
  15. gung hoe

    Ok mr prophet sir when and where are we meeting I have had enough of this government

    September 2, 2011 at 8:24 pm | Report abuse |
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