The Federal National Mortgage Association (Fannie Mae) is facing a hefty penalty for violating regulations for oil and hazardous material cleanup at a residence it recently foreclosed on.

The Massaschusetts Department of Environmental Protection (MassDEP) assessed a $43,463.25 penalty for Fannie Mae regarding the residence on 135 Front St. in Winchendon. MassDEP reported that the company failed to notify and take action in a timely fashion to address a release of heating oil in the basement.

MassDEP was first notified of the problem in July 2013, however the agency found out that Fannie Mae had knowledge of the issue as early as April 2013 and had performed cleanup actions without approval or a written cleanup response plan. The law requires that the company notify MassDEP within two hours of learning about the oil spill. Fannie Mae also did not response to various requests from MassDEP seeking information surrounding the circumstances of the oil release.

“Fannie Mae’s local agents and contractors failed to recognize or communicate their cleanup obligations to Fannie Mae,” MaryJude Pigsley, director of MassDEP’s Central Regional Office in Worcester, said in a statement. “Fannie Mae is responsible for the actions or inactions of its agents that resulted in violations of the cleanup regulations.”

Fannie Mae agreed to establish a single point of contact for environmental matters within the Commonwealth in a consent order and to provide that contact information to its real estate brokers. Additionally, Fannie Mae agreed to provide them with a response plan in the event of a future release of oil or hazardous materials at its Massachusetts properties. The Winchendon oil release is currently being addressed.