Freddie Mac has hired Bruce Witherell, former co-head of Morgan Stanley’s residential mortgage business, as its chief operating officer.

Mr Witherell’s appointment will help fill an important gap in the government-run mortgage financier’s executive offices, which earlier this year saw the departure of chief executive David Moffett after just six months on the job and the death of chief financial officer David Kellermann. The chief operating officer position has been vacant since September 2007.