The chief regulator who oversees the Federal Home Loan Bank system is the subject of a criminal probe regarding possible obstruction-of-justice charges, according to a report by Dow Jones.The news wire reported that Federal Housing Finance Board Chairman John Korsmo and his wife, Michelle Larson Korsmo, were told by federal prosecutors last summer that they had evidence linking them to a crime. For several months, the FHFB's office of inspector general has been investigating whether Mr. Korsmo violated any laws by lending his name to a political fund-raiser. Mr. Korsmo has maintained that he did nothing wrong in regard to the fund-raiser. As for the obstruction-of-justice allegations, Mr. Korsmo could not be reached for comment by MortgageWire's deadline on Thursday. An FHFB spokesman said he could not comment on the matter, noting that it "isn't agency business." Mrs. Korsmo also could not be reached for comment.

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