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Freddie Mac naming ex-E*Trade head as new CEO

WASHINGTON — Mortgage giant Freddie Mac is naming the former head of E*Trade Financial Corp. as its new CEO.

Donald Layton, 62, is expected to be named next Freddie’s chief executive as early as this week, a person with direct knowledge of the matter said Wednesday. The person spoke on condition of anonymity because that person was not authorized to speak ahead of an announcement.

The Wall Street Journal reported earlier of Layton’s expected appointment. Layton declined to comment.

Freddie CEO Charles E. Haldeman Jr. announced in October that he would resign this year.

The government rescued Fannie and sibling company Freddie Mac in September 2008 to cover losses on soured mortgage loans. Taxpayers have spent about $170 million to rescue them.

One comment

  1. Jim Puzzanghera of the LA Times rightly places the amount of taxpayer money, just for Freddie, at approximately $120 billion and counting. Between Freddie, Fannie, and AIG, taxpayers will have a portfolio of $600 billion in subprime loans moved onto its books by Wall Street last decade. The $25 billion settlement of course was a mere parking ticket penalty towards recovering these fraudulent profits made on these taxpayer owed subprime loans. I’m sure State’s Attorney General Gansler and US Attorney Holder are busy strategizing how to recover the bulk of these fraudulent profits for the US citizens.