Fannie Mae-No Politics (FNMA)

[navycmdr]

"The Conservatorship of Fannie Mae and Freddie Mac: Actions Violate HERA
and Established Insolvency Principles,"

'By Michael Krimminger and Mark A. Calabria

https://object.cato.org/sites/cato.org/files/pubs/pdf/working-paper-26_1.pdf

FHFA and Treasury have radically
departed from HERA and the principles underlying all other U.S. insolvency frameworks and

sound international standards through a 2012 re-negotiation of the original conservatorship
agreement. Known as the “net worth sweep” or “Third Amendment,” this decision ignored

HERA and decades of established practice, undermined public trust in the government role in
insolvencies, and undercut the vital role that fair treatment in insolvencies plays in a market
economy.