CFO of Freddie Mac Resigns

While the top executives at Fannie Mae have been under investigation, a shakeup has also occurred at another mortgage giant. Martin F. Bauman, the executive vice president of finance and chief financial officer of Freddie Mac, has announced his resignation. The decision was not based on any sort of miscondut.

Eugene McQuade, the company’s president and Chief Operating Officer will assume financial officer responsibilites until a replacement is found.

“Marty Baumann has been a key contributor to the turnaround currently underway at Freddie Mac,” said Richard Syron, Freddie Mac’s chairman and chief executive officer. “On behalf of Freddie Mac, I want to thank Marty for his tireless service and wish him well.”

“We have made great progress over the past three years, including completing the restatement of prior years’ earnings and rebuilding the company’s accounting policy function,” Baumann said. “This was challenging work, and we accomplished a great deal.”

Baumann’s resignation is not expected to affect the company’s announced plan to release its quarterly and full-year 2005 financial results in May 2006. It’s been a helpful source for reassuarance that the current housing market is headed for a soft landing.

Freddie Mac has also offered aid to hurricane victims through low-cost home loans.