US giant Fannie Mae fires 200, mostly Telugus, over salary fraud:

India Today ^ | 4/16/2025 | Priyanjali Narayan

[vespa300]

US mortgage giant, Fannie Mae, has laid off 200 employees, mostly Telugus, over salary fraud, according to a report. The employees allegedly misused the company's matching gift programme by collaborating with Telugu associations. An Indian-American Congressman has sought the company's response on the mass lay-offs.

[little jeremiah]

Telugus? Aren’t they from south India?

[citizen]

Theft or skimming from bloated government is a way of life, part of the culture, and a national sport in India. It is expected.

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Akin to the Mexican, South or Central American culture of bribery of public officials, inspectors and the like?

[little jeremiah]

So weird, Telugus!

[Liz]

indiatoday.com

FTA——The alleged ethical violations are linked to irregularities and misuse of Fannie Mae’s matching grants programme. This payment is an extension of the salaries of the employees. It is a compensation to what the employees donate under the matching gift programme. The now-sacked employees allegedly collaborated with nonprofit organisations — some linked to the Telugu community in the US — and falsified donations to exploit the programme and access company funds.

Several employees are accused of colluding with the Telugu Association of North America (TANA) to deceive companies and misuse funds, according to The Times of India report. One of the employees laid off on Thursday reportedly held the position of regional vice president at TANA, while another is the spouse of a former president of the American Telugu Association (ATA). Sources said TANA is not the only organisation involved and other associations were also under investigation.

The Telugu Association of North America (TANA) is a non-profit organization that is the largest Indo-American organization in North America. Its primary goal is to serve the Telugu community in North America by addressing their social, cultural, and educational needs. TANA also aims to preserve and promote Telugu culture and heritage.

Key activities and initiatives of TANA:

Cultural and Educational Programs:
TANA offers various programs to promote Telugu language and culture, including language schools, fine arts classes, and literary competitions.

Conventions and Events:
TANA organizes large conventions and events to bring together the Telugu community, foster social connections, and showcase cultural talents.

Community Service:
TANA provides services to address the needs of the Telugu community, including initiatives related to health, education, and immigration.

Scholarships and Awards:
TANA offers scholarships to support education and recognizes the achievements of Telugus through awards.
Networking and Collaboration:

TANA facilitates networking and collaboration among Telugu professionals and individuals in various fields.

Preservation of Heritage:
TANA actively works to preserve and propagate Telugu language, literature, and traditional art forms.

In summary, TANA plays a vital role in serving the Telugu community in North America by promoting culture, education, and community engagement.

tana.org-——TANA invites eminent Telugu singers, musicians, dancers, actors, painters, sculptors, poets and other eminent artists. TANA aims to perpetuate, integrate, and assimilate the cultural heritage of the Telugu-speaking people into the mainstream of North America. Telugu and Indian ethnic organizations around the world look up to TANA as a pioneer and role model for its various innovations in promoting culture and serving the community.

cont

[Liz]

cont

US fires 200, mostly Telugus, over salary fraud. Some people working with Fannie Mae told reporters that the lay-offs were made on April 9 and 10, and were on “ethical grounds”.

Andhra Pradesh and Telangana are the two states with the most Telugu-speaking people. Indian-American Congressman Suhas Subramanyam from Virginia said on April 9 that he had sought a response from Fannie Mae. “It has been brought to my attention that Fannie Mae has accused hundreds of my constituents in the Indian-American community of fraudulent behaviour and fired them without conducting a full investigation or providing evidence,” said Subramanyam. “I have spoken with many of these employees in our community, and they deserve due process. Fannie Mae owes them, Congress, and the American people an explanation immediately,” the Congressman added.

TELUGU ASSOCIATION FACED SIMILAR CHARGES IN APPLE CASE

In December 2024, the Northern District of California court issued a subpoena to TANA, requiring the group to testify before a grand jury. The subpoena demanded records of donations received, amounts spent, and details of organisational representatives from 2019 to 2024.

Similar allegations surfaced against employees at tech-company Apple earlier this year. The company reportedly terminated over 100 employees, including around 50 at its Cupertino headquarters, after uncovering a monetary fraud scheme designed to inflate employee compensation.

Authorities in the Bay Area had issued warrants against six of the fired Apple employees — none of whom were Indian. However, reports indicated that several Indian employees were involved in misusing Telugu charity organisations in the US for fraudulent activities.

The scheme reportedly involved employees pretending to make donations, which were later returned to them. Apple’s matching contributions were retained, and the fictitious donations were written-off on the defendants’ tax returns, defrauding the state of California in the process.

After Apple, the sacking of 200 employees, mostly Telugus, over the scam indicates that the manipulation isn’t restricted to a single American company and might be more widespread than believed. A fair probe will reveal the origins and the extent of it.