Fannie Mae-No Politics (FNMA)

[jeddiemack]

Problem here as i read the most recent judicial opinion is what they are saying is under HERA the fhfa can do anything it deems in its best interest as conservator of F&F. And that includes, anything.

However, the key boot here is that all of which they do is beyond judicial review. Therefore, anything done, any agreement any contract any any thing is not subject to review and is not controlled by any boundaries.

So, yes it say, it can give away all the assets of the company if in the fhfa's opinion its in their best interest. And no you can't argue it.

Seems then the real problem is with HERA.

Hera, provides such broad powers as to be unconstitutional - that is the key thing.

For example, normally in the takings clause you have to provide fair value for what you take. Under Hera, you don't. Under Hera, all you had to do is create a dummy contract, give some money that is fully collateralized and repaid, and then change the agreement to take whatever you want. And do so at NO cost to the fhfa.

That is where the rubber meets the road. Hera is what provides these unencumbered powers that needs to be challenged. Not the effects of it. They've been challenging the wrong thing.

Challenge HERA!