The acting financial chief of beleaguered mortgage giant Freddie Mac (NYSE:FRE) was found dead in his Washington, D.C.-area home early this morning. Police won't release an official cause of death until an autopsy is completed, perhaps as early as today, but officials said suicide is one possibility being investigated.
The body of David Kellermann, 41, was found today at 4:48 a.m. inside his home in the Vienna area of Fairfax County. Police said there were no signs of foul play.
Kellermann worked for Freddie Mac for 16 years and was named acting CFO in September after a government takeover of the faltering company, which has suffered billions in losses after making unsound mortgage-based investments. According to news reports, the government has since pumped roughly $60 billion into Freddie Mac and sister company Fannie Mae (NYSE:FNM) to keep the companies from failing.
Since the bailout, the companies have come under intense scrutiny and criticism from both lawmakers and the public over plans to pay out more than $200 million in retention bonuses to employees. While a search has been under way at Freddie Mac to find a permanent CFO, the troubled company has been slow to fill executive openings.
According to the Associated Press, news of Kellermann's death first reached company executives on local radio as they commuted to work at the Mclean, Va.-based company.
John Koskinen, Freddie Mac's interim CEO, posted a statement about Kellermann's passing on the company website, expressing employees' sense of loss and extending condolences to Kellermann's family "for this terrible personal tragedy."
"David was a man of great talents. He dedicated those talents to Freddie Mac for more than 16 years, serving in many business and finance capacities before recently taking the reins as acting chief financial officer," Koskinen said in the statement. "His extraordinary work ethic and integrity inspired all who worked with him. But he will be most remembered for his affability, his personal warmth, his sense of humor and his quick wit. David was a friend to many in the Freddie Mac family, and we mourn his passing."
As acting chief financial officer, Kellermann was responsible for the company's financial controls, financial reporting, tax, capital oversight, and compliance with the requirements of Sarbanes-Oxley. He also oversaw the company's annual budgeting and financial planning processes.
According to a bio posted on the Freddie Mac website, Kellermann held an M.S. in Finance from George Washington University and a B.S. in Political Science and Accounting from the University of Michigan. Kellermann was also a volunteer board member of the D.C. Coalition for the Homeless.
