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Thank you ! Let’s all hold our breath the Gov doesn’t appeal
Thanks !
So just reading over the final judgment again. I see on page 4 (Attorney fees) to be added. Does this mean there fees come out of the settlement award ?? Sounds like it !
IT IS FURTHER ORDERED AND ADJUDGED that the Court shall retain jurisdiction to
award attorneys’ fees and nontaxable costs and expenses in this action, out of the final judgment
amounts, to counsel for Lead Plaintiffs/Class Representatives. In accordance with Federal Rules
of Civil Procedure 54(d)(2) and 23(h), the Court extends the deadline for Lead Plaintiffs/Class
Representatives and their counsel to make a motion for such attorneys’ fees and costs beyond the
https://storage.courtlistener.com/recap/gov.uscourts.dcd.163155/gov.uscourts.dcd.163155.421.0.pdf
I wonder what there invoice will charge !
I don't know that's why I'm asking if I have the calculation correct !
Calculating table of payout.
Is this correct from how I read it the table is.
Number of shares you hold x par value of JPS
value of JPS - ( number of shares you hold x par value)
Using FMCCI as an example $50 par with a value of 213,000,000
https://www.quantumonline.com/search.cfm?tickersymbol=FMCCI&sopt=symbol
Page 7
https://storage.courtlistener.com/recap/gov.uscourts.dcd.163155/gov.uscourts.dcd.163155.421.1.pdf
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?????????????? ?????????????????? ?????????? ?????????? - (???????? ?????????????????? ??h???????? ???? ?????????????? ?????????????????? ?? ???????????????????? ?????????? ?????? ??h??????)
Thanks yes I agree the award will show up in individual brokerage accounts that way brokerage firms can track the taxes if any. I just wanted to update the sticky post with as much info as I could find at short notice so it easy to go back and re-read things as needed. If anyone wants to add anything let me know and I can update it.
WIN FOR SHAREHOLDERS and final Judgement !
Final Judgement as follows
https://storage.courtlistener.com/recap/gov.uscourts.dcd.163155/gov.uscourts.dcd.163155.421.0.pdf
Allocation of award as follows.
https://storage.courtlistener.com/recap/gov.uscourts.dcd.163155/gov.uscourts.dcd.163155.421.1.pdf
https://www.blbglaw.com/news/updates/2023-08-15-blbg-achieves-significant-trial-victory-in-helping-fannie-mae-and-freddie-mac-shareholders-recoup-612-million-in-class-action-against-us-federal-housing-finance-agency
The jury awarded Freddie Mac shareholders $312 million and Fannie Mae shareholders $299 million for a combined $612 million in damages in the first court case to decide in favor of the GSEs’ shareholders.
This is a small victory, however, as the $612 million represents an extremely small fraction of the billions in dollars in profit the GSEs have subsequently sent to the government. The question of whether the GSEs’ shareholders are entitled to redress has also had a surprisingly tortured case history, with the court’s decision seemingly antithetical to the view of the Supreme Court in Collins v. Yellen. It is likely the FHFA will appeal.
Under the Fifth Amendment, private property cannot be taken for public use by the government without just compensation. Berkley v. FHFA represents the first steps taken in 15 years to provide some financial redress for shareholders. More important, it represents the first time the courts have recognized that the net worth sweep represented a breach of contract that amounted to little more than government seizure of property. If only the same progress could be seen in unwinding the GSE conservatorships.
YOU BET YA ! Lets see what Judge Lambert decisides for FNMA JP's !! I'm in the money !
FHFA's Table 1, which shows the timing and amounts of all FnF draws from Treasury, shows that Fannie has drawn a total of $119.836B. https://www.fhfa.gov/DataTools/Downloads/Documents/HPI/Market-Data/Table_1.pdf
FHFA's Table 2, which shows the timing and amounts of all FnF dividends paid to Treasury, shows that Fannie has paid a total of $181.364B. https://www.fhfa.gov/DataTools/Downloads/Documents/HPI/Market-Data/Table_2.pdf
Getting back to prep Covid days! Great feeling now see how this run plays out now the final order is out !
This is what Ano has said about cases left and why he hasn’t updated them from Dec.
Court is over, the case(s) are almost played out!
This is what he saying about the soon to be 5th Amendment! If and when the Gov makes the changes.
Re: 5th amendment, the contract aka PSPA contains numbers and demand(s) behind the numbers, amendments can be made to alter some parts or modify parts of the contract, it can not alter the complete intent of the contract by undoing the 3rd amendment as that part is now critical to the whole conservatorship and not severable from the contract, for that an addendum is nessesary and the implied consent of the old shareholder elected BOD to make it legally enforceable absent that consent FHFA thus cannot out of fiduciary duty agree to a modified contract as it is Government v. Government FHFA-C renegotiating the term of the PSPA means voluntarily ending it or voiding it!
Yes I stand corrected my mistake! I skimed read it to fast and sore the ( time to appeal had expired part)
Actually, that’s a good question? How long have they got until they can’t appeal ? Is there a status of limitations ?
Perfect thank you for this it’s a clear picture of events sometimes forgotten!
IT CAN'T BE ANY CLEARER THAN THAT ! But if Fannie has paid back 181 billion, funny number and date stamp. At what point in time did the 181 billion be reached and why did it stop there?
I've asked for an updated case review its beening worked on today and will post it.
Thanks Navy !
I LIKE THIS PART !! PAY UP OR THE BILL GOES UP WITH INTEREST UNTIL YOU PAY !!!
IT IS FURTHER ORDERED AND ADJUDGED that said judgment shall be in the
following amounts:
(1) $299,400,000.00 in favor of the Fannie Mae Preferred Class, plus $ 199,650,000.00
in prejudgment interest;
(2) $281,800,000.00 in favor of the Freddie Mac Preferred Class;
(3) $31,200,000.00 in favor of the Freddie Mac Common Class,
for a total judgment in the amount of $ 812,050,000.00;
IT IS FURTHER ORDERED AND ADJUDGED that post-judgment interest shall
accrue separately and additionally on the principal, prejudgment interest, and costs and
expenses
Case 1:13-mc-01288-RCL Document 421 Filed 03/20/24 Page 3 of 5
4
awarded to each separate Class in this Judgment from the date of entry of this judgment until paid in
full, at the rate established under 28 U.S.C. § 1961, with post-judgment interest computed daily to the
date of payment and compounded annually;
Certain events needed to release from conservatorship from a knowledgeable source!
I've hypothetically played out dozens scenario's
1) Biden releasing to support affordable housing is a when pigs fly, the GSEs already contribute a percentage to affordable housing, but aside from that the 3rd is declared "not fair" so absent consent the 3rd needs to be removed from the PSPA, but it clearly says NOTHING is severable, thus clearly the PSPA is void and the 3rd void-ab-Initio
2) Trump wants to collect the warrant, but aside from the legal issues on missing implied consent the time to collect the $100B out of the market is only 48 months, for the biggest IPO ever this is too short as we first must agree on the shareholder elected BOD
3) cashing PSPA: the 3rd amendment was not fair so paying interest on interest without paying the initial sum back is Considered self-dealing and the jury agreed the 3rd is this is unfair
4) cashing the warrant needs to happen within 48 months, relisting must happen ASAP, new shareholder elected BOD before summer 25
5) AIG asked themselves to be rescued, the circuit agreed with plaintiffs but because without help they would have,had nothing defended didn't have to pay, on appeal the case was dismissed
6) fannie,and freddie voluntarily agreed to Conservatorship, that means that implied consent is given on making the,agency profitable again, on all other things consent lacks
7) the calculaton back of a napkin
$10b annually profit with 1B shareholders
20.1% shareholders
79.9 treasury
a) current shareholders have $2B a year times 10-15 is $20-$30 per share if they execute the warrant
b) treasury cannot execute warrant
$10B times 10-15 is $100-$150 per share
c) The PSPA is already unfair so that calculation is not necessary (meaning the distributed funds under the 3rd will need to come back to the GSEs)
d) the value of the preferred shares will be "PAR" (not stated value) either 25 or 50, however the ratio between the value of common versus pref will not (7a)stay the same ( meaning if you now buy $100 of common FNMA you will have 59 shares, FNMAS you will have 23 shares, the PSPA is already declared unfair so 7b will widen the spread between common and pref as $25 is the max for pref but $12.50 not the max for common as can be seen in 7a)
Comments from a knowledgeable source to turn of events needed to happen to end conservatorship. (((( Final judgement or court docs released a few hours ago let’s see what they say!!)))
I've hypothetically played out dozens scenario's
1) Biden releasing to support affordable housing is a when pigs fly, the GSEs already contribute a percentage to affordable housing, but aside from that the 3rd is declared "not fair" so absent consent the 3rd needs to be removed from the PSPA, but it clearly says NOTHING is severable, thus clearly the PSPA is void and the 3rd void-ab-Initio
2) Trump wants to collect the warrant, but aside from the legal issues on missing implied consent the time to collect the $100B out of the market is only 48 months, for the biggest IPO ever this is too short as we first must agree on the shareholder elected BOD
3) cashing PSPA: the 3rd amendment was not fair so paying interest on interest without paying the initial sum back is Considered self-dealing and the jury agreed the 3rd is this is unfair
4) cashing the warrant needs to happen within 48 months, relisting must happen ASAP, new shareholder elected BOD before summer 25
5) AIG asked themselves to be rescued, the circuit agreed with plaintiffs but because without help they would have,had nothing defended didn't have to pay, on appeal the case was dismissed
6) fannie,and freddie voluntarily agreed to Conservatorship, that means that implied consent is given on making the,agency profitable again, on all other things consent lacks
7) the calculaton back of a napkin
$10b annually profit with 1B shareholders
20.1% shareholders
79.9 treasury
a) current shareholders have $2B a year times 10-15 is $20-$30 per share if they execute the warrant
b) treasury cannot execute warrant
$10B times 10-15 is $100-$150 per share
c) The PSPA is already unfair so that calculation is not necessary (meaning the distributed funds under the 3rd will need to come back to the GSEs)
d) the value of the preferred shares will be "PAR" (not stated value) either 25 or 50, however the ratio between the value of common versus pref will not (7a)stay the same ( meaning if you now buy $100 of common FNMA you will have 59 shares, FNMAS you will have 23 shares, the PSPA is already declared unfair so 7b will widen the spread between common and pref as $25 is the max for pref but $12.50 not the max for common as can be seen in 7a)
That much is true as said by Fannie's CEO in her lastest interview ! Question is, when will the Gov see it that way and cancel the SPSA? even knowning now it's void.
There's been a few on this board and freddie board stating it will climb towards election of possible trump win and hopeful that because of his letter to Ron Paul would release them and convert the warrants raise the cash for release. Now we know Trumps intentions if he wins. Mark or Steve any of there friends they are in business with must see the same business models so they were in it for the money! With all this Gov insider trading it's NUTS completely NUTS why these guys an't buying truck loads of shares for the release. OR ARE THEY????? Is that why it's slowly creeping up with this volume????
If John Paulson gets the job hes best buddy is Steve and yet there lies the problem. He will work with him to flogg shareholders of any recap release of the twins. They are greedy B's
Believe me I have thought of it to I'm up 800k, it's temping but I'm greedy!!!
Yer the part I don't like is that they state F & F have paid ( $301 billion in dividends) not repayment of the loan ! God dam thieves !!
Here you go!
https://www.inman.com/2024/03/11/bidens-relaxed-new-freddie-fannie-refi-requirements-irk-title-industry/
The moment has arrived — the moment to take charge. This summer, at Inman Connect Las Vegas, July 30-Aug 1, 2024, experience the complete reinvention of the most important event in real estate. Join your peers and the industry’s best as we shape the future — together. Learn more.
A move by the Biden administration to allow some homeowners to refinance their mortgage without paying for title insurance has raised the ire of the title insurance industry, which has fought previous initiatives to relax title insurance requirements.
The pilot program announced Thursday would allow lenders to sell some of the mortgages they refinance to Fannie Mae and Freddie Mac without having to provide independent verification that there are no clouds on the property’s title through a legal opinion or a lender’s title insurance policy.
One of several housing initiatives unveiled by President Biden during his State of the Union address Thursday, The White House estimates it will save thousands of eligible homeowners an average of $750, and up to $1,500.
For many aspiring and current homeowners, closing costs represent a substantial affordability barrier to purchasing or refinancing a home,” Sandra Thompson, the head of Fannie and Freddie’s federal regulator, said in a statement. “Homeowners who want to refinance their mortgages are often surprised to learn that the out-of-pocket costs can make that difficult. One of those costs is a new lender’s title insurance policy that covers the lender, but not the homeowner.”
Thompson said the program will apply only to “low-risk refinance transactions where there is confidence that the property is free and clear of any prior lien or encumbrance,” and is designed “to test whether allowing lenders to sell these refinance loans is a responsible approach to reducing the closing costs incurred by existing homeowners.”
The American Land Title Association (ALTA), the title industry’s Washington, D.C.-based advocacy group, dismissed the pilot program as a “purely political gesture offering a false promise of savings for homeowners while exposing consumers, lenders, and taxpayers to greater financial risk.”
ALTA has been engaged in extensive public relations and lobbying campaigns opposing “unregulated title insurance alternatives” such as attorney opinion letters, which threaten to cut into the business of the association’s members.
ALTA hired a public relations firm, Marathon Strategies, in 2021 to conduct “a corporate rebranding campaign” around the theme “Our Title Is Protection.” The campaign was aimed at “educating consumers and policymakers and shaping public perceptions of the industry,” according to an ALTA webinar.
But Fannie Mae and Freddie Mac in 2022 began allowing lenders the option of using an attorney opinion letter instead of traditional title insurance for some loans, to the consternation of title insurers.
Last year ALTA boosted spending on lobbying by 61 percent, to $1.34 million, according to records tracked by OpenSecrets
In December, Fannie Mae expanded the use of attorney opinion letters to include loans secured by condominiums and properties subject to restrictive covenants.
Fannie Mae’s decision to expand the allowance for attorney opinion letters in lieu of title insurance to loans purchased on condominium units will expose additional consumers and lenders to unneeded risk and weaken protection of property rights,” ALTA CEO Diane Tomb said in a statement at the time. “Title insurance provides more comprehensive coverage, particularly related to risks not easily discoverable by a simple public records search.”
Tomb also called it “troubling” that Fannie Mae’s decision to expand the use of attorney opinion letters in December was made “without engagement with the title insurance industry despite ongoing outreach from the ALTA and its members” to Fannie Mae and its federal regulator, the Federal Housing Finance Agency (FHFA).
ALTA took a similar stance Thursday.
By announcing this only hours before the State of The Union address, without outreach to, or engagement with, the title insurance industry, the [Biden] administration has reduced the crucial role of the industry to nothing more than a politicized talking point,” ALTA said in a press release.
Analysts at Fitch Ratings said they don’t expect the title acceptance pilot will impact its ratings of title insurers given that the program as approved “would initially apply to a very limited number of refinance transactions, while still allowing lenders to ensure clear title through a title insurance policy or AOL [attorney opinion letter].”
“The ultimate usage of this product and the impact on title insurance policy issuance and premium volume remain uncertain,” Fitch analysts said in commentary released Friday.
In a November 2023 analysis published by the Mortgage Bankers Association, attorneys at the law firm Blank Rome concluded that “there is room for both types of products [title insurance and attorney opinion letters] to exist in today’s market.”
“Enhanced” attorney opinion letters that are coupled with insurance “offer more coverage than their traditional AOL predecessors,” Blank Rome attorneys wrote. Although “enhanced AOLs” can’t insure against unknowable risks, “title defects are relatively rare, and some consumers and lenders may be willing to assume these risks where cost savings can be achieved through purchasing an enhanced AOL in lieu of a title insurance policy.”
Another recent analysis by the Urban Institute noted that while providers of traditional forms of insurance pay out 70 percent of the premiums they collect as claims, title insurers pay just 5 percent. Title insurers point out that much of the cost of providing title insurance is wrapped up in researching and clearing clouds from titles. But the Urban Institute put the cost of title searches at less than $200.
“If title insurance were similar to other types of insurance, the premium the homeowner pays could be dramatically lower,” Urban Institute researchers concluded in their analysis, “Rethinking Title Insurance Could Dramatically Lower Costs for Homebuyers.”
Alita Group, a startup that’s building a platform to allow service providers to issue insured title opinion letters, estimates homebuyers can save $1,500 on average.
An insured title opinion letter “combines the strength of a legal opinion, the efficiency of a data-driven title review, and the protection of comprehensive liability insurance to provide an alternative to title insurance that meaningfully reduces closing costs for consumers,” the company claims.
Get Inman’s Mortgage Brief Newsletter delivered right to your inbox. A weekly roundup of all the biggest news in the world of mortgages and closings delivered every Wednesday. Click here to subscribe.
Confucius say ! Fat man at airport, going to walk though doorway sideways. He's going to Bangkok.....lol
Same as shareholders for Fannie and Freddie, we keep banging our heads waiting for the Gov to stop the steel and return to shareholders.
Actually, JPS ARE THE BEST RIGHT NOW SHORT TERM FOR THE PAYOUT. I own 75% Freddie and Fannie JPS and the rest freddie commons. Commons are a wild card play for quick cash flippin. Most of my JPS were around $1.50ish like you I got in early and my commons I averaged down to $0.74 from $1.20ish so the the account is looking GREEN !! right now!
Latest reports show Mnuchin not even in the Trump team and had a falling out over the Jan 6th thing. He has not been included in meetings with Trumps core so him and Cat man won't be in the next Trump admin to help release the GSE's for hostage !
I agree time to shake the tree and wake up the GSE train !!
Where’s the Lambert when you need him?
FINAL ORDER SIGNED ?????6 months now !
The Health system has been broken since Lydon Johnson decided that BIG Farmer and drugs companies were a better way after getting kick backs. His Campain speech was to setup a nation wide health system like in the UK and france and other countries but when it came time he did a complete 180,,, hhh money talks!
LOOKS GREAT ! SOUNDS GREAT ! Now let the plan follow though and get the final judgement signed !! FOR THE LOVE OF SHAREHOLDERS
Well it better hurry up and Lambert better get his A into G and get this ruling finalized ! Christmas is coming!!!
Thanks to all new Mods for joining in and helping keep this board fare and friendly and fun!
I agree with you! This case is imploding and Miss Fani is in big trouble with a GOP Gov in GA. The more this plays out the better for Trump. Thats the angle they are playing to get this thrown out and Brain Kemp to drop the case. The headlines will be a huge victoriy for Trump and a massive boost. What will this do for Fannie and Freddie? Well word on the is Trump will get the ball rolling and release them. The best part about Trumps team is there 2 BIG flakes are not part of his cabnet, aka Steve and Mark...
Well Done great move!!!! Sure worth it !
Seems to be spot on BUT - lawyer fees aka pro bono cases range from 15% to 25% so that $612 million going to get a BIG haircut !!
It seems it’s about Exbit A
https://storage.courtlistener.com/recap/gov.uscourts.dcd.163155/gov.uscourts.dcd.163155.417.1.pdf
Hey can you explain this more? I seem to read over the document last year about it written in a way the warrants were repaid .thanks
Yer but ! Fannie and Freddie spend all there cash buying back the warrants then they have NO capital Reserve !!! They then would have to do an IPO for common and maybe more JPS???
WAIT WHAT ????
https://www.sec.gov/Archives/edgar/data/310522/000031052220000121/descriptionofsecuritie.htm
It says even when if they’re not in conservatorship they won’t pay dividends ?
dividends may not be paid on the common stock without the prior written consent of Treasury, regardless of whether we are in conservatorship, see “Business—Conservatorship, Treasury Agreements and Housing Finance Reform—Treasury Agreements” in Fannie Mae’s Annual Report on Form 10-K.
THAT’S WERID ! I own a ton of FNMAJ, it’s not listed on the link ???
Isn’t most pro bono cases won is 15% to 25% of all settlement ? So of the $612 million + interest still cuts alot into shareholders payout !
Oh fantastic ! I’m not the only one !!!!
Quote:
most of us end up confused, and he comes off a bit crazy about the history of Fannie & Freddie