Fannie Mae-No Politics (FNMA)

[TieetCoolee]

This greedy pig is a billionaire...

rocco2 Member Level Sunday, 10/05/14 02:54:46 PM
Re: mrfence post# 252878
Post # of 252898

I believe Paulson's egotistical mind enjoyed it.

"“Mr. President, we’re going to move quickly and take them by surprise,” the U.S. Treasury secretary told George W. Bush. “The first sound they’ll hear is their heads hitting the floor.”


Treasury Secretary Henry Paulson stepped off the elevator into the Third Avenue offices of hedge fund Eton Park Capital Management LP in Manhattan. It was July 21, 2008, and market fears were mounting


Around the conference room table were a dozen or so hedge- fund managers and other Wall Street executives -- at least five of them alumni of Goldman Sachs Group Inc. (GS), of which Paulson was chief executive officer and chairman from 1999 to 2006. In addition to Eton Park founder Eric Mindich, they included such boldface names as Lone Pine Capital LLC founder Stephen Mandel, Dinakar Singh of TPG-Axon Capital Management LP and Daniel Och of Och-Ziff Capital Management Group LLC.

Paulson explained that under this scenario, the common stock of the two government-sponsored enterprises, or GSEs, would be effectively wiped out. So too would the various classes of preferred stock, he said.

The fund manager says he was shocked that Paulson would furnish such specific information -- to his mind, leaving little doubt that the Treasury Department would carry out the plan. The managers attending the meeting were thus given a choice opportunity to trade on that information.



Yet he had told reporters on July 13 that the firms must remain shareholder owned and had testified at a Senate hearing two days later that giving the government new power to intervene made actual intervention improbable.


A Times article the next day said the Federal Reserve and the Office of the Comptroller of the Currency were inspecting Fannie and Freddie’s books and cited Paulson as saying he expected their examination would give a signal of confidence to the markets.


Would like to see him humiliated in any fashon

take all his money would be fine by me, net worth about 1 Billion

$$ FNMA $$