Wells Fargo & Co. will pay $335 million to resolve claims that it allegedly misled Fannie Mae and Freddie Mac about risky mortgage securities that it sold them before the housing collapse.
The San Francisco-based bank disclosed in a regulatory filing Wednesday that it settled the claims with Fannie Mae in its first quarter and Freddie Mac in its third quarter. According to the filing, the settlement with the organizations, which fall under the Federal Housing Finance Agency, totaled about $335 million.
Wells Fargo and FHFA declined to comment further. Wells Fargo shares added 15 cents to $42.48 in afternoon trading.
Source: AP. Read full article. (link)