Former Fannie Mae Contractor Employee Indicted For Computer Intrusion

Alleged Attempt to Destroy Fannie Mae Computer Data Foiled by Fannie Mae Personnel

January 27, 2009

Baltimore, Maryland - A federal grand jury indicted Rajendrasinh Babubhai Makwana, age 35, of Glen Allen, Virginia, formerly of Gaithersburg, Maryland, today for computer intrusion arising from the transmission of malicious script to Fannie Mae’s computer servers, announced United States Attorney for the District of Maryland Rod J. Rosenstein.

According to the one count indictment and affidavit in support of a criminal complaint previously filed on January 6, 2009, Makwana was a contractor employee, working at Fannie Mae’s Urbana, Maryland facility from 2006 to October 24, 2008. He was a computer programer proficient in a computer language designed to operate Fannie Mae’s 4,000 computer servers, and was part of a group that created computer scripts for Fannie Mae. As such, Makwana had access to Fannie Mae’s servers throughout the United States.

The indictment and affidavit allege that Makwana was terminated on October 24, 2008, and advised to turn in all of his Fannie Mae equipment, including his laptop. According to the affidavit, on October 29, 2008, a Fannie Mae senior engineer discovered a malicious script embedded in a routine program. The legitimate and malicious script were removed that day. The engineer and his supervisors ordered a standard lock down of all access to the servers. The indictment alleges that Makwana entered the malicious code on October 24, 2008, and that it was set to execute on January 31, 2009. The malicious code was designed to propagate throughout the Fannie Mae network of computers and destroy all data.

Makwana faces a maximum sentence of 10 years in prison. He had his initial appearance in federal district court on January 6, 2009 following the filing of the complaint. Arraignment is scheduled for January 30, 2009.

An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.

United States Attorney Rod J. Rosenstein thanked the Federal Bureau of Investigation for its investigative work and commended Assistant United States Attorney P. Michael Cunningham, who is prosecuting the case.


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