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Thursday, September 12, 2013 4:25:32 PM
To get into receivership by law requires the FHFA and the US Treasury to draw all profits, reduce income, and in other ways diminish GSE capital until they are undercapitalized.
The current lawsuits address this. More lawsuits from other quarters may come if there is an attempt to further decimate the capital of the GSEs in violation of the law (HERA 2008) and the fiduciary and statutory duties of the US Treasury and the FHFA.
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