Article: Fannie Mae to seek more federal funds

WASHINGTON - Fannie Mae said Monday it may have to ask the government for more financial assistance because the company cannot sell $5.2 billion in tax credits.

The Treasury Department last week blocked the mortgage giant from selling about $2.6 billion in low-income housing tax credits to investors that included Goldman Sachs Group Inc.

Because the investors could use the credits to reduce their own tax bills, Treasury said the sale would result in a loss of tax revenue greater than the savings to the government.

"We have said all along that we would make determinations based on what is in the taxpayers' interests," said Andrew Williams, a Treasury spokesman.

Fannie Mae requested $15 ...

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