A private shareholder in the Fannie Mae and Freddie Mac (FMCC) has filed a lawsuit on Monday and experts say that a series of lawsuits are expected to be filed by the aggrieved investors.

The complaint filed in the U. S. Court of Federal Claims in Washington showed that government's placement of Fannie and Freddie into conservatorship in September 2008 was favourable for the economic development of the country but it takeover of the corporation destroyed common stock value in the market.

The complaint said that the federal government "trampled the private ownership rights" of investors. The complaint is seeking $41 billion in damages from the government for impacting the share value of the bank. The complaint was filed by Hagens Berman Sobol Shapiro LLP and Spector Roseman Kodroff & Willis, P. C. (SRKW)and plaintiffs include subsidiary of Washington Federal (WAFD_) of Seattle, the Austin Police Retirement System.

A group of senators in the US congress are set to complete a plan to liquidate Fannie Mae and Freddie Mac (FMCC) and replace the failed bank with a government reinsurer of mortgage securities with private capital. The new plan would require private financiers to accept first-loss position for covering steep losses, according to the draft of the plan. The senators are planning to introduce the plan within this month for the plan to be implemented soon.