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New York attorney general to lead 'risky mortgages' team

By Jessica Yellin, CNN Chief White House Correspondent
updated 5:50 AM EST, Wed January 25, 2012
STORY HIGHLIGHTS
  • Eric Schneiderman is New York's attorney general
  • President Obama says a "Financial Crimes Unit" is in the works

(CNN) -- New York Attorney General Eric Schneiderman will head a task force to investigate housing practices, a senior administration official said early Wednesday.

During Tuesday night's State of the Union address, President Barack Obama said he was asking U.S. Attorney General Eric Holder to create a special unit made up of prosecutors and state attorneys general to "expand our investigations into the abusive lending and packaging of risky mortgages."

Obama also said a "Financial Crimes Unit" was in the works. The group will be charged with cracking down on "large-scale fraud" in an effort to protect the public's investments.

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