Fannie Mae-No Politics (FNMA)

[kthomp19]

And what fiduciary duty does Treasury have?

Only one to taxpayers.

That is irrelevant to the AIG and FnF cases, though. Treasury feared that lawsuits against AIG's board brought by the shareholders would delay and complicate the resolution process, so Treasury took "only" a 92% stake to pre-emptively prevent those lawsuits from happening.

Three judges have already ruled that FHFA has no fiduciary duty to shareholders, and FnF's own SEC filings consistently state that the boards of directors have no fiduciary duty to shareholders either. Thus Treasury has no reason to limit the stake it takes in FnF commons to 92%, or any other number, as it did with AIG.