Fannie Mae Preferred S (FNMAS)

[loobeyondbm]

I was Shocked Initially

8/17's agreement has a lot of legal holes and the way the deal structured was so obvious that the goal was to destroy GSEs, i.e., a case of taking. It directly violated the fiduciary duty of the conservator which is to preserve and conserve assets on behalf of shareholders. It's more like what used to happen in China - the large shareholders embezzle the fund from the public company, which is even illegal in China now. LOL.

So that's the reason I think the 8/17 agreement was intentionally structured to help GSEs. DeMarco and Geithner are the ones in the know. Someday Geithner or DeMarco may write a book about how they saved GSEs, in contrary to Hank Paulson's book of destroying GSEs.