Fannie Mae and Freddie Mac, both controlled by the U.S. government, stuck the four biggest U.S. banks with losses of about $5 billion on buybacks in 2009, according to company filings made in the past two weeks. … With more loans going bad, the agencies are demanding that banks turn over loan files, so they can scour the records for missing documentation, inaccurate data and fraud . … The most common include inflated appraisals or falsely stated incomes in the loan …

Read this article:
Banks Swallow Another $30 billion or So in More Losses as Their …