Mass Layoffs Of Indian-Americans In US Firm: In a developing controversy involving the American mortgage finance giant Fannie Mae, over 100 employees, many from the Telugu-speaking community, have reportedly been laid off for alleged misuse of the company’s matching grants programme. A report by the Times of India reveals that these employees are accused of collaborating with non-profit organisations, some linked to the Telugu diaspora in the US, to falsify donations and access corporate funds.
Among the organisations named is the Telugu Association of North America (TANA), which is reportedly at the heart of the scandal. One of the sacked employees is said to be a regional vice-president of TANA, while another is allegedly married to a former president of the American Telugu Association (ATA).
Misuse Of Matching Grants Programme
Fannie Mae's matching gift programme is intended to extend employees’ charitable donations by offering company funds as a matching contribution. According to media reports, the employees under investigation allegedly falsified donation records, enabling them to claim large matching grants fraudulently.
In response to mounting scrutiny, Priscilla Almodovar, President and CEO of Fannie Mae, issued a statement on April 8, 2025, confirming that more than 100 employees had been let go. She stated, “I would like to thank Director Pulte for his empowering of Fannie Mae to root out unethical conduct, including anyone facilitating fraud. We hold our employees to the highest standards, and we will continue to do so.”
Indian-American Lawmakers Intervene
The mass termination, reportedly affecting over 200 Telugu-speaking employees in total, has triggered sharp responses from the Indian-American political community. Three lawmakers of Indian origin have taken up the issue, demanding an official explanation from Fannie Mae regarding the grounds for dismissal and whether due process was followed.
An Indian-American Congressman has already initiated formal communication with the company, seeking answers over the allegations of “salary scams” and raising concerns about the transparency and fairness of the layoffs.