Freddie Mac Official Found Dead

Reports: Freddie Mac official found dead

Wednesday April 22, 2009
WASHINGTON (AP) — David Kellermann, the acting chief financial officer of Freddie Mac, was found dead at his home Wednesday morning in what broadcast reports said was an apparent suicide.

WUSA-TV and WTOP Radio reported that David Kellermann was found dead in his Northern Virginia home. The 41-year-old Kellermann has been Freddie Mac’s chief financial officer since September.

Sabrina Ruck, a Fairfax County police spokesman, confirmed to The Associated Press that Kellermann was dead, but she could not confirm that he committed suicide.

Kellermann’s death is the latest blow to Freddie Mac, a government controlled company that owns or guarantees about 13 million home loans. CEO David Moffett resigned last month.

McLean, Va.-based Freddie Mac and sibling company Fannie Mae, which together own or back more than half of the home mortgages in the country, have been hobbled by skyrocketing loan defaults and have received about $60 billion in combined federal aid.

Kellermann was named acting chief financial officer in September 2008, after the resignation of Anthony “Buddy” Piszel, who stepped down after the September 2008 government takeover. The chief financial officer is responsible for the company’s financial controls, financial reporting and oversight of the company’s budget and financial planning.

Before taking that job, Kellerman served as senior vice president, corporate controller and principal accounting officer. He was with Freddie Mac for more than 16 years.

Yahoo Finance

We note the conclusion from The Housing and Economic Recovery Act of 2008 by Catherine Austin Fitts,

“Whatever the outcome, if you hold a position in which you manage large databases covering the U.S. mortgage or government bond markets, or any other markets with symptoms of significant collateral or securities fraud, you might want to consider finding a new job.”

9 Comments

  1. 21 Horses Poisoned:

    http://www.nydailynews.com/news/us_world/2009/04/21/2009-04-21_vets_ponder_what_killed_21_polo_ponies.html

    Who owned them?:

    “The team is owned by Victor Vargas, a Venezuelan multimillionaire who started playing polo when he was 24 years old, according to the North American Polo League.

    According to the league website, Vargas has various banking and oil holding in the United sates, Venezuela, Panama and the Dominican Republic. The site reports that the man is also president of the Venezuelan Bank Association and director of the Latin American Banks Federation.”

    source: http://www.palmbeachdailynews.com/news/content/sports/2009/04/20/pbppoloside0420.html

    Comment: A little covert op to let folks know that while Obama shakes hands with Chavez – the old boy network is still calling the shots? Remember this happened in the shadow of the Summit of the Americas.

    Also there is the little incident of the “mentally challenged” man in Jamaica taking hostage crew and passengers of a flight bound for Cuba.

    http://www.nytimes.com/2009/04/21/world/americas/21briefs-Jamaica.html?ref=global-home

  2. There is always the “why” of a tragedy like this that rarely makes the reporting outlets. Maybe this is an indicator of what drove Mr Kellerman: http://globalresearch.ca/index.php?context=va&aid=13283

    “Are you ready to see the future? Ten’s of thousands of foreclosures are only 1-5 months away from hitting that will take total foreclosure counts back to all-time highs. This will flood an already beaten-bloody real estate market with even more supply just in time for the Spring/Summer home selling season…Foreclosure start (NOD) and Trustee Sale (NTS) notices are going out at levels not seen since mid 2008. Once an NTS goes out, the property is taken to the courthouse and auctioned within 21-45 days….The bottom line is that there is a massive wave of actual foreclosures that will hit beginning in April that can’t be stopped without a national moratorium.”

    JP Morgan Chase, Wells Fargo and Fannie Mae have all stepped up their foreclosure activity in recent weeks. Delinquencies have skyrocketed foreshadowing more price-slashing into the foreseeable future.

  3. So I guess the 64 trillion dollar question is when will the devastating information concerning the total collapse of the banking industry be revealed?

    This was gleaned from the comments on http://www.maxkeiser.com on April 22, 2009 :

    “This was posted today on a traders board. No one knows if it’s ‘true’ but Turner Radio isn’t a bit player.
    If it’s only half true …
    ” The Turner Radio Network has obtained “stress test” results for the top 19 Banks in the USA.
    The stress tests were conducted to determine how well, if at all, the top 19 banks in the USA could withstand further or future economic hardship.
    When the tests were completed, regulators within the Treasury and inside the Federal Reserve began bickering with each other as to whether or not the test results should be made public. That bickering continues to this very day.
    The Turner Radio Network has obtained the stress test results. They are very bad. The most salient points from the stress tests appear below.
    1) Of the top nineteen (19) banks in the nation, sixteen (16) are already technically insolvent.
    2) Of the 16 banks that are already technically insolvent, not even one can withstand any disruption of cash flow at all or any further deterioration in non-paying loans.
    3) If any two of the 16 insolvent banks go under, they will totally wipe out all remaining FDIC insurance funding.
    4) Of the top 19 banks in the nation, the top five (5) largest banks are under capitalized so dangerously, there is serious doubt about their ability to continue as ongoing businesses.
    5) Five large U.S. banks have credit exposure related to their derivatives trading that exceeds their capital, with four in particular – JPMorgan Chase, Goldman Sachs, HSBC Bank America and Citibank – taking especially large risks.
    6) Bank of America`s total credit exposure to derivatives was 179 percent of its risk-based capital; Citibank`s was 278 percent; JPMorgan Chase`s, 382 percent; and HSBC America`s, 550 percent. It gets even worse: Goldman Sachs began reporting as a commercial bank, revealing an alarming total credit exposure of 1,056 percent, or more than ten times its capital!
    7) Not only are there serious questions about whether or not JPMorgan Chase, Goldman Sachs,Citibank, Wells Fargo, Sun Trust Bank, HSBC Bank USA, can continue in business, more than 1,800 regional and smaller institutions are at risk of failure despite government bailouts!
    The debt crisis is much greater than the government has reported. The FDIC`s “Problem List” of troubled banks includes 252 institutions with assets of $159 billion. 1,816 banks and thrifts are at risk of failure, with total assets of $4.67 trillion, compared to 1,568 institutions, with $2.32 trillion in total assets in prior quarter.
    Put bluntly, the entire US Banking System is in complete and total failure.””

    This, if true, verifies what I have been saying since locating the bank by bank chart of derivative holdings I located in June of 2007….which amounted to $1200 trillion …on http://www.worldreports.org that the banks are insolvent….and the system has crashed…or as Catherine would/might say a “slow burn” as always Richard D. Gordon CP

  4. This poor man hangs himself in his basement, a place where surely the first person to find him would be a member of his family (press reports state that it’s his five year old daughter who finds him). Deborah Jeane Palfrey, the DC madame, after stating in public that she would never kill herself, hangs herself in a shed next to her mother’s mobile home, almost guaranteeing that her mother would be the one to find her body (she did).
    It’s terrible to take your own life, even more horrible to do it in such a way that the discovery of your body haunts the memory of someone you love for the rest of his or her life.

Leave a Reply