Zuckerman Spaeder LLP Favorably Settles SEC Case Against Its Client, Former Freddie Mac Executive Patricia Cook

Zuckerman Spaeder LLP is pleased to have favorably settled a case brought by the Securities and Exchange Commission (SEC) against its client Patricia Cook, a former executive of Freddie Mac, arising from Freddie Mac's 2006-2008 subprime loan disclosures. The resolution reached by Zuckerman Spaeder, along with counsel for Richard Syron from Sidley Austin and counsel for Donald Bisenius from Paul Weiss, is an unprecedented resolution of a major SEC enforcement action that denied the SEC all of the standard remedies that it sought in its complaint. The Stipulation and Agreement, which may be accessed by the link below, and describes the case as having been “vigorously litigated” by the parties “for more than three years,” provides for the dismissal of the SEC case against Ms. Cook on favorable terms.

As the New York Times has reported, the SEC case "that began with great fanfare has ended with a whimper." A link to the article is available here. As the press statement issued by Zuckerman Spaeder indicated, also linked here, "Extensive discovery of facts led to this favorable outcome."

The Zuckerman Spaeder team, who began representing Ms. Cook in 2008, was led by Steven Salky and Alexandra W. Miller, and included associates Adam L. Fotiades and Vivek J. Rao.

Download the Stipulation and Settlement Agreement below.