Freddie Mac-No Politics (FMCC)

[trunkmonk]

September 19, 2014
Good Afternoon Investors,

It has been a busy week for GSE reform discussions. Yesterday, FHFA announced their next town hall event will be in Detroit, Michigan. Any Michiganders who want to stay plugged in to activity around the FHFA Detroit meeting, please email us at [e-mail] for more details.

Earlier this week, the Bipartisan Policy Center hosted its 2014 Housing Summit on finding solutions for reforming our housing finance industry. Investors Unite attended the event and live-tweeted many of the sessions. Make sure to check out our feed if you missed it and our headlines section for relevant news on the summit.

Executive Director Tim Pagliara was quoted in an article by the Washington Examiner entitled, "Obama's chances to wind down Fannie and Freddie before November slipping away." The article points out the Johnson-Crapo bill is expected to stall and most likely will not be addressed before the elections. As Pagliara points out, "The Johnson-Crapo bill, which failed to pass the Congress in 2014, is a fundamentally flawed bill that would have violated the rule of law, wiped out shareholders and disrupted mortgage affordability. Congress needs to start over in 2015, and Investors United looks forward to being part of this discussion."

Also this week 17 groups sent a letter to Representative Patrick McHenry, Representative Al Green and the House Committee on Financial Services and Subcommittee on Oversight and Investigations. The letter asks that any documentation that comes out of the discovery process during litigation involving the Treasury be made public. It urges Congress to demand greater transparency and accountability by requesting the Treasury turn over all documents to their committee. Check out our blog post on the letter and its implications. Other coverage of the letter can be found HousingWire, ValueWalk, and Seeking Alpha.

ValueWalk reported on a recent legal paper by Steven Davidoff Solomon and David Zaring titled, "After the Deal: Fannie, Freddie and the Financial Crisis Aftermath." We took the opportunity to read and evaluate the legal paper in our blog. Davidoff and Zaring make several very compelling legal arguments for the missteps of the Treasury's dealing with Fannie and Freddie. Though we come to different conclusions, the paper is an excellent resource and further support of the Federal government's illegal taking of investor dividends.

Below is a compilation of recent news coverage which provides an overview of the current GSE reform landscape. These articles and other relevant news items can be found at www.investorsunite.org.

Have a great weekend!

Investors Unite
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