Fannie Mae (FNMA)

[Red Cloud]

"...Criminal intent and Criminal actions..." Spot On!


I posted previously the notion that either the Shareholders have rights, or the Government has committed Securities Fraud.

So far, the Courts have adopted the Government's position that HERA denies the Shareholders any rights. But, if that were the case, why are we, or anyone, able to buy, sell and own shares in Fannie and Freddie?

The idea of prosecuting our case on the basis of Securities Fraud allows us an option in the event that the Supreme Court ultimately validates HERA's denial of Shareholder rights. Further, prosecuting as Securities Fraud has a few other aspects: 1) Shareholders would not be suing in the capacity of "shareholders", but in the capacity of "Victims of Fraud", thereby circumventing HERA's elimination of shareholder rights; 2) The rules of discovery are different in a Securities Fraud case - the Government's repeated invocations of a variety of "privileges" (executive, bank examination, ect.) can be overcome in a civil case seeking damages for fraud. So, conceivably, Shareholders would be able to see all of those documents being withheld under claims of privilege.

https://www.law.com/insidecounsel/2014/08/25/litigating-the-crime-fraud-exception-ichevron-corp/?slreturn=20180022150852


To be clear: I'm not suggesting that the current arguments being presented in the ongoing court cases should be abandoned in favor of suing on the basis of Securities Fraud. I'm suggesting that this is a legal avenue which remains in the event that ultimately our Shareholder rights are denied by the Supreme Court.

Finally: suing the Government for perpetrating Securities Fraud might allow us to hold some of the individuals involved personally liable for stealing our property. The next best thing to putting them in jail and taking all of their money is: taking all of their money.