Fannie Mae-No Politics (FNMA)

[Wise Man]

The litigants claim damages when the NWS goes on with the SPS increased for free every quarter, in the same amount as the Net Worth increase, imposed by Trump with Mnuchin, but it started out with Mel Watt and Mnuchin on December 31, 2017 with a one-time $3B SPS LP increased for free, when they were warned that the SPSPA had a goal of $0 Net Worth (at the time, it was a true "Applicable Capital Reserve" = amount of NW above the capital stock) as of end of 2017 (the rest, swept), which was a breach of the Charter Act that requires the management to have always a minimum Net Worth, without specifying more.
The "Applicable Capital Reserve" fetched $0 as was first planned in the 3rd amendment ($600 mll annual reduction), but the Net Worth increased in $3B SPS LP increased for free out of the blue, so the Charter Act is upheld. These gifted SPS and the offset, absent from the balance. This is why Watt-Mnuchin are considered allies and it started out the current scam of increasing the Net Worth with SPS, pretending that it's Capital Reserve.
The same Common Equity Sweep (Retained Earnings account) as before with the dividend payments. This is why now, it's called NWS 2.0.
The adjusted Capital Reserve is stuck at $0 as of December 2017, not the $118B on September 30, 2023.

This effect cannot be seen because FnF don't post on the Balance Sheet these gifted SPS and their corresponding offset with reduction of the Retained Earnings account.
The objective is to conceal that the Common Equity is held in escrow (image) in order to comply with the exception (Recap) to the Restriction on Capital Distributions (CFR 1237.12) which, in turn, complies with the restriction by statute U.S. Code 4614(e) ("it supplements and shall not replace"), because a restriction is for Recap, you don't need to be told that it's for Recap.. The difference is that now the Recap is in a Separate Account: "a capital distribution to meet the minimum capital level and risk-based capital requirement".
Freddie Mac:


Capital Reserve is an invalid capital metric in the FHEFSSA, badly assessed because it's $0 in reality, aiming to divert attention from the Separate Account plan, and pitch the "Rehab" required by the SCOTUS, which, by the way, it begins on day one, not whenever the conservator wants.
"Capital Reserve End Date": when the Capital Reserve meets the capital requirements, wrote Trump-Mnuchin in the January 2021 SPSPA amendment, instead of being met with C.C., Total Capital, CET1 and T1 under the 1992 FHEFSSA (ERCF).

The litigants use this Financial Statement fraud as basis for their constitutional claim, because in the Balance Sheet, the Retained Earnings account is growing, alleging that the "for cause" removal restriction prevented this wonderland where the UST gets rich with SPS and, at the same time, FnF are recapitalized, from happening sooner firing Mel Watt well before.
FnF are not building regulatory capital but SPS.

You may say that I'm talking about the almighty attorney David Thompson and the Collins case in the 5th Circuit after the SCOTUS. But no. It's this omnipresent attorney again and with the same claim, now in the Bhatti case (he also showed up in the Rop case in the middle of the game. Attorney for Fairholme as well and Robinson, an important case in 2017)
Today, Oral Arguments in the 8th Circuit Court of Appeals.

This attorney has already stated publicly that he isn't a securities lawyer.