Freddie Mac Wins Dismissal of Putative Securities Class Action Suit

Freddie Mac (FMCC.OB) today announced the dismissal of a putative class action securities lawsuit filed against the company in federal court in August 2008. Judge John Keenan of the U.S. District Court for the Southern District of New York has granted Freddie Mac’s motion to dismiss all claims asserted against Freddie Mac in a putative securities fraud class action filed against the company and certain of its former senior officers.

Judge Keenan found not actionable all alleged misstatements and omissions regarding Freddie Mac’s involvement in the subprime and Alt-A mortgage markets, holding that plaintiffs failed adequately to plead that Freddie Mac’s disclosures on those issues were either false or misleading.

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