Fannie Mae-No Politics (FNMA)

[obiterdictum]

"Fannie and Freddie have taken $187.5 billion in aid since 2008. They have returned $185.2 billion — counted as a return on the 80% stakes the government holds — not as repayment"

This statement is incorrect.

The $185.2 billion taken by the US Treasury is counted as dividends by signed agreement. There is no repayment schedule so repeated talk of repayment is nonsense and brainwash.

The US Treasury currently does not have an 80% stake in the GSEs since the warrants have not been exercised and the senior preferred have no voting rights. So the senior preferred stock and warrants the US Treasury has in its possession does not give control to the US Treasury over the GSEs at the present time.

However, the US Treasury and the FHFA via the conservatorship powers, the PSPAs and subsequent amendments to the PSPAs, do have control over portions of the GSEs net profits and it is through those agreements that US Treasury is taking billions from the GSEs on one sided terms, terms that contradict the mandates of HERA 2008 to preserve and conserve the assets of the GSEs.

The PSPA third amendment and net worth sweep was formed and enacted using arbitrary and capricious procedures in violation of the Administrative Procedure Act and the monies received constitutes an uncompensated taking under the takings clause of the Fifth Amendment of the US Constitution.