Fannie Mae-No Politics (FNMA)

[11L]

Expose: Craig Phillips knows what the govt knew in 2008 before they were taken into conservatorship.
Timothy's post
Mnuchin has hired a guy who knows what the govt knew in 2008 before they were taken into conservatorship.

"His stint there may complicate his current work on the future of Fannie Mae and Freddie Mac because at that time, his BlackRock unit was acting as a consultant to F.H.F.A., analyzing Fannie and Freddie’s loss and capital projections. The companies were taken into conservatorship by the government over Labor Day weekend in 2008.

It is unclear what the BlackRock analyses showed. But it must be interesting reading given the great efforts the government has made to keep the documents from seeing the light of day in a lawsuit brought by shareholders of Fannie and Freddie.

The suit involves the government’s abrupt decision in 2012 to seize all the companies’ profits every quarter. The BlackRock Solutions analyses from 2008 are among thousands of documents the government has asserted are covered by privileges associated with the deliberative process and bank examinations."