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HUD OIG No. 10-01
Contact: Michael G. Zerega
(202) 402- 8441



FOR RELEASE
Monday
September 13, 2010
DONOHUE LEAVING HUD'S OFFICE OF THE INSPECTOR GENERAL

WASHINGTON – U.S. Department of Housing and Urban Development (HUD) Inspector General, Kenneth M. Donohue today announced that he is leaving federal service in October.

Mr. Donohue was nominated and confirmed in March of 2002 after retiring from the federal law enforcement community.

During his tenure, he guided the HUD Office of Inspector General (OIG) through the most tumultuous years of the Department’s history.

Early on, the HUD OIG was at the epicenter of the attack on the World Trade Center (WTC) on September 11th when the HUD OIG New York field office was destroyed. Mr. Donohue ordered HUD OIG agents from across the country to New York City to assist in the investigation that followed the attack.

Throughout the reconstruction of the WTC site, HUD OIG auditors have continually audited the expenditure of funds thereby reducing the exposure of funds to fraudulent activities.

HUD OIG joined other federal law enforcement agencies in the investigation following the Space Shuttle Columbia disaster and also participated in the investigation and search for the DC Sniper.

When the Gulf Coast region was devastated by hurricanes, the HUD OIG was called upon to conduct oversight and was instrumental in auditing programs and leading investigations of improper activities.

Eighteen months before the subprime-related crisis, Mr. Donohue testified in the Congress to the dangers facing the U.S. mortgage industry and housing sector. His strident efforts then against certain proposed changes in Federal Housing Administration practices and programs mitigated the impact on the FHA insurance fund that would have likely negatively influenced FHA’s financial position. He likewise testified his concerns regarding Ginnie Mae’s posture as its portfolio greatly expanded.

The HUD OIG has persistently pursued public corruption among HUD’s grantees and within the Department and as a testament to its reputation has been regularly asked to audit and investigate other inspector general operations within government.

The HUD OIG has maintained a well-trained and motivated staff of auditors and investigators employing forward-thinking and innovative techniques and systems solutions.

Mr. Donohue is leaving the HUD OIG to join the private sector.

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