Wednesday, August 20, 2014 10:24:54 AM
Aug 20th, 2014 @ 09:58 am › Alan Ackerman
Pershing Square’s initiation of an action against the United States government for the stripping of profits from Fannie Mae provides the issue of whether Fannie Mae and its sister entities are effectively government agencies or really for-profit corporations.
Those who invested in these companies thought they were buying something that did not exist. If the government cannot regulate the funds of government controlled entities, what can investors expect? At the same time, when investors buy into corporations, they take the risk that the corporation may not be profitable. Here, the investors probably thought that the profitability was a “guarantee” because of the government’s involvement.
Today Online
“The net worth sweeps make plaintiffs – and all of the other common shareholders – ‘shareholders’ in name only,” according to the complaint, which three retirees who own Fannie Mae stock have joined as plaintiffs.
Pershing accused the government of violating the Fifth Amendment of the U.S. Constitution by taking private property for public use without just compensation. It seeks damages and other remedies.
The Treasury Department declined to comment. The Federal Housing Finance Agency, which is Fannie’s and Freddie’s conservator, did not immediately respond to a similar request.
Pershing’s lawsuit adds to public battles being waged by Ackman, including a bid with Valeant Pharmaceuticals International Inc for Botox maker Allergan Inc , and a campaign against nutrition company Herbalife Ltd , which he calls a pyramid scheme, a characterization the company denies.
http://www.nationaleminentdomain.com/2014/08/articles/national-eminent-domain/mortgage-bailout-taking-or-regulation/
VHAI - Vocodia Partners with Leading Political Super PACs to Revolutionize Fundraising Efforts • VHAI • Sep 19, 2024 11:48 AM
Dear Cashmere Group Holding Co. AKA Swifty Global Signs Binding Letter of Intent to be Acquired by Signing Day Sports • DRCR • Sep 19, 2024 10:26 AM
HealthLynked Launches Virtual Urgent Care Through Partnership with Lyric Health. • HLYK • Sep 19, 2024 8:00 AM
Element79 Gold Corp. Appoints Kevin Arias as Advisor to the Board of Directors, Strengthening Strategic Leadership • ELMGF • Sep 18, 2024 10:29 AM
Mawson Finland Limited Further Expands the Known Mineralized Zones at Rajapalot: Palokas step-out drills 7 metres @ 9.1 g/t gold & 706 ppm cobalt • MFL • Sep 17, 2024 9:02 AM
PickleJar Announces Integration With OptCulture to Deliver Holistic Fan Experiences at Venue Point of Sale • PKLE • Sep 17, 2024 8:00 AM