Bloomberg News

Gingrich Firm Says It Will Release Second Freddie Mac Contract

January 24, 2012

(For more 2012 campaign stories, go to ELECT.)

Jan. 24 (Bloomberg) -- Newt Gingrich’s former consulting firm has found a second contract between the Republican presidential hopeful and Freddie Mac and will release it after 10 p.m., a company spokeswoman said.

The release of the second document comes a day after the firm, the Center for Health Transformation, posted a contract for Gingrich’s service to the mortgage company in 2006. Freddie Mac paid Gingrich at least $1.6 million for advice over a period of eight years, from 1999 to 2007.

The contract to be released tonight covers the work Gingrich did beginning in 1999, said Center for Health Transformation spokeswoman Susan Meyers, who is also a spokeswoman for the Gingrich campaign.

The former U.S. House speaker has faced mounting calls for more details about his work with the home mortgage company. Many Republicans have criticized Freddie Mac because the company invested in risky mortgages and then needed billions of dollars in taxpayer money for a bailout after the housing market meltdown.

Gingrich, who is trying to win Florida’s Jan. 31 primary after defeating rival Mitt Romney in South Carolina’s race Jan. 21, has repeatedly said that he didn’t lobby for Freddie Mac.

The 2006 contract contained just one sentence describing the “scope of services” that Gingrich provided to the office headed by Freddie Mac’s chief lobbyist. In exchange for $25,000 a month, the Gingrich Group would “provide consulting and related services as requested by Freddie Mac’s director, public policy,” according to the contract. The Gingrich Group was subsequently absorbed by the Center for Health Transformation.

--Editors: Robin Meszoly, Laurie Asseo

To contact the reporter on this story: Clea Benson in Washington at cbenson20@bloomberg.net

To contact the editor responsible for this story: Jeanne Cummings at jcummings21@bloomberg.net


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