IndyMac is under investigation by the FBI for possible fraud in connection with its home lending operations, according to Associated Press reports citing an unnamed law enforcement official.

The report said the investigation is targeting the company and not individuals who worked for IndyMac. It was not clear how long the investigation has been going on.

In the third largest banking failure in U.S. history, federal regulators last week seized IndyMac Bancorp after a $1.3 billion run on the bank left it financially depleted and unable to meet depositors' needs. The Federal Deposit Insurance Corp. reopened the bank Monday as a federally controlled institution.

Since then, nervous depositors have waited in line for hours at IndyMac branches across Southern California to withdraw money from the bank. The FDIC said as much as $1 billion of the bank's $19 billion in deposits were uninsured.

Calabasas-based Countrywide Financial Corp., which was acquired by Bank of America earlier this month, also is reported to be under FBI investigation. The FBI has declined to comment and Countrywide officials say they are unaware of any investigation.

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