Fannie Mae-No Politics (FNMA)

[JosephS]

In fact, they could do a "fourth amendment" under these scenarios and put the Senior preferred in front of the debt. If they can change the securities to wipe out all common and preferred, they certainly can decide that this is now "debt" and they need all of the assets of the company and none of the liabilities. Delaware State law doesn't matter in this case. They would not be "issuing new securities", merely "changing the coupon to get the "monies owed" for "helping" America and taking on these huge risks and bailing these companies out. The backstop they gave has an "incaculable value" as Warner and Corker said. The taxpayers can never be paid back for the huge risks taken bailing out these companies. 30 times 200 billion is 6 trillion. Corker and Warner said they would need 40x returns. Perfect way to "achieve this" for "the taxpayer" We don't care about these big, rich bond funds and huge nations that have trillions of dollars. The rich people won't even notice a few trillion.

Since HERA is invincible, it only makes sense that we pay down 5 trillion(or we can use it to fund something)


Those rich people had to have known there were risks to those bonds. Nobody in Congress gave a contract in writing they would be paid in full.