Judge Sweeney's ruling on derivative vs direct claims provides important insight. There will be no 'conversion'. She effectively killed that Wall Street golden goose. And JPS conversion is the primary rationale for shorts. No conversion means shorts are 'de trope'. An increasingly dangerous game. Cuz FINRA is finally kicking azz and taking names. Making ruthless naked-shorting (aka counterfeiting FnF shares via OTC) VERY risky. Make no mistake. They will jail bagmen. Perhaps not the protected cabal. But cut-outs will be swept-up. And eventually flip. Which may be the reason this situation has festered so long and POTUS didn't shut-it-down sooner. They are collecting EVIDENCE. It's key to understanding this saga. And 11+ year slog we've endured. And the importance of releasing those 11,000 documents. And the freeing of honest judges who were in fear of 'doing the right thing'. Tumblers are falling into place.
At the end of each administration there are hundreds (affecting maybe thousands of individuals) of sealed executive pardons. If, for example, TSY, FHFA and Wall Street co-conspirators were granted 'pardons' for GSE malfeasance one would need to gather NEW evidence AFTER January 20, 2017 to charge them with crimes, non? Those who are executing the shorts (mostly off-shore entities) will be arms-length from those directing it. POTUS has signed EO's which threaten individuals involved in these activities. Both foreign and domestic. Cuz RICO against America's 'financial system' is terrorism baby. And these crimes are NEW. Remember the term 'disgorgement'. It's how this administration will cure the sins of the past. Restore FnF. And protect US taxpayers. Watch for it.
Someone asked yesterday why Freddie PPS is lagging behind Fannie by much wider margins than normal. Current Freddie management is sketchy. They are constantly hiring new management and staff. Lots of open positions. No institutional knowledge nor loyalty to the company and its shareholders. Fannie retained more good management and staff. And the combined shelf (which only Freddie uses) makes consolidation more feasible. Fannie and its management would be the winners in any merger. And Freddie just selected McKinsey to direct strategy and actions for (and after) release. McKinsey has a very shady reputation. It's DS spook-central 'consulting'. Most everyone at McKinsey was either MI6, CIA or Mossad. This is a huge red-flag. Freddie is risking its future. Hence its PPS lag. And may explain (in part) FHFA hiring its own consultant. To monitor McKinsey? And develop merger scenarios? As a long-term Freddie investor none of this is a hopeful sign.
Finally (sorry for so much text but am still in the penalty box with only one post per day) am beginning to think I was wrong about Cat-man. His twitter feed is pure gold. So many levels to his tweets. Did I underestimate him? Surely he's working from some script. But his posts are FABULOUS. And want him to know I appreciate the humor AND the not-so-subtle meaning. Then again I followed FBIanon real-time in 2015. So am clearly hooked on twists-and-turns.
P.S. Can't wait to see Paulson, Geitner and frens giving sworn testimony. They may have secret pardons. But NOT from public censure. And shame.
AI
