Suit hits ex-Fannie Mae chief over pay Ohio

The Boston Globe reports:

Former Fannie Mae chief executive Franklin Raines received more than $40 million in bonuses and other pay as a result of inflated earnings at the biggest US mortgage finance company, according to a supplement of a lawsuit filed by Ohio Attorney General Jim Petro.

Fannie Mae added ''tens of millions of false revenue" to meet ''Raines' 1999 publicly announced goal to double" earnings over the next five years, Petro alleged in a Nov. 23 filing with the US District Court in Washington. ''Raines personally profited by over $40 million by this false earnings history."

There probably will be more lawsuits over this issue.