TARP finds CEO at troubled lender
(27 April 2009 – USA) The US Government has nominated Fannie Mae Chief Executive, Herb Allison, to oversee the Treasury Department's Troubled Asset Relief Programme (TARP).
The chief executive of one of the mortgage lenders at the forefront of the global financial crisis was selected to oversee the government’s rescue plan from the crisis.
Mr Allison has only been chief executive of the lender since it went under conservatorship in September last year. The lender is said to be one of the key tools that the Government is using to aid home owners in America.
Allison took over from Daniel Mudd, who was forced out as Fannie Mae’s CEO when the Government took control in September.
Once confirmed by the US Senate, Allison will become assistant Treasury secretary for financial stability and counsellor to Treasury Secretary, Tim Geithner.
Mr Allison would succeed Neel Kashkari, who has run TARP since its creation during the previous George W. Bush administration.
Fannie Mae also announced that it would promote Michael Williams from chief operating officer to the posts of president and chief executive.
Under the conservatorship that Fannie Mae is currently under, US regulators have veto power over major decisions, including executive appointments, compensation and pricing.
Amid such scrutiny, Mr Williams’ compensation has been kept at its current level.
Mr Allison has only been chief executive of the lender since it went under conservatorship in September last year. The lender is said to be one of the key tools that the Government is using to aid home owners in America.
Allison took over from Daniel Mudd, who was forced out as Fannie Mae’s CEO when the Government took control in September.
Once confirmed by the US Senate, Allison will become assistant Treasury secretary for financial stability and counsellor to Treasury Secretary, Tim Geithner.
Mr Allison would succeed Neel Kashkari, who has run TARP since its creation during the previous George W. Bush administration.
Fannie Mae also announced that it would promote Michael Williams from chief operating officer to the posts of president and chief executive.
Under the conservatorship that Fannie Mae is currently under, US regulators have veto power over major decisions, including executive appointments, compensation and pricing.
Amid such scrutiny, Mr Williams’ compensation has been kept at its current level.
Subscribe