David Johnson’s appointment at Fannie Mae as its third CFO in 12 months has been met with some controversy because the last two companies he worked for have been the subjects of financial scandals. But his crisis management experience will be critical for the government-rescued mortgages giant.
Johnson joined Fannie in November 2008 following his departure from Hartford
Financial Services, where he served as CFO. Prior to Hartford, Johnson was CFO
for Cendant.
Johnson replaced David Hisey who has been made Johnson’s deputy CFO. Hisey
was only made CFO last August when his predecessor Stephen Swad left after just
a year in the job; Swad served as CFO-designate for just under a year prior to
that.
Hisey will continue to look after Fannie’s financial planning and analysis
functions, its business unit finance, accounting, financial controls, financial
reporting and income tax departments – freeing up Johnson to oversee the vast
reorganisation of group assets following its $100m conservatorship.
Johnson’s appointment to Fannie Mae as its conduct is under question raised
some eyebrows. He was CFO of Hartford in 2006 when the company made a settlement
on charges of making concealed payments to brokers selling its annuities
products.
He was months into his role with Cendant when, in 1998 – the year after it
was formed from the merger of CUC International and HFS – CUC executives were
accused by the SEC of massive accounting fraud.
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