Wednesday morning House Committee on Oversight and Government Reform Ranking Member Elijah Cummings (D-MD) issued a press release detailing a letter he sent to the conservator of Fannie Mae and Freddie Mac, FHFA Acting Director Ed DeMarco.
The letter requested information on $150 million in penalties that the two mortgage giants levied on mortgage servicers for "failing to conduct foreclosures fast enough."
"I am concerned that these penalties, at least some of which were ordered by the Federal Housing Finance Agency (FHFA), may have contributed to widespread abuses by mortgage servicing companies and law firms attempting to meet arbitrary deadlines to expedite foreclosures," Cummings wrote, according to the release.