New York expands appraisal probe to Fannie, Freddie

Attorney General Cuomo announces subpoenas

New York’s attorney general, who last week launched a lawsuit against First American Corp. and a subsidiary charging appraisal inflation, today announced an expanded investigation and subpoenas for mortgage entities Freddie Mac and Fannie Mae seeking details about loans they purchased from banks and information about appraisal practices.

The subpoenas announced by Attorney General Andrew M.