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Replies to post #217536 on Fannie Mae-No Politics (FNMA)
05/17/14 10:15 AM
I don't appreciate that Ms Feinstein sent me a form letter, I think she's gonna be new new pen pal
Dear Senator Feinstein,
Allow me to enlighten you.
In an interview in July of 2008 (at which time Fannie Mae's stock was valued at less than $10, down from $65.73 a year earlier), Barney Frank said the following about Fannie Mae:
"I think this is a case where Fannie and Freddie are fundamentally sound, that they are not in danger of going under. They're not the best investments these days from the long-term standpoint going back. I think they are in good shape going forward. They're in a housing market. I do think their prospects going forward are very solid. And in fact, we're going to do some things that are going to improve them." (Source)
Then this from the New York Times 2/15/2014
This month, an internal United States Treasury memo that outlined this restriction came up at a forum in Washington.
The memo was addressed to Timothy F. Geithner, then the Treasury secretary, from Jeffrey A. Goldstein, then the under secretary for domestic finance. In discussing Fannie and Freddie, the beleaguered government-sponsored enterprises rescued by taxpayers in September 2008, the memo referred to “the administration’s commitment to ensure existing common equity holders will not have access to any positive earnings from the G.S.E.’s in the future.”
I don't need to be a lawyer to know this is fraud, you don't allow a company to trade if you intend to take all the profits. I find it very disturbing that no one has been prosecuted, could this be a case of too rich to jail? I think so. Odd Eric Holder is not addressing Barney Frank's statement, Timothy Geithner's memo or any of the banks who's greed caused this enormous crisis. I want my stock re-listed on the NYSE and I want C-ship to end, Fannie is a profitable company that is being pillaged by this corrupt administration, and it has to end.
Furthermore telling part of the truth is still lying. Fannie was bailed out to save too big to fail banks, that out of greed made sub-prime loans to people who would never and in some cases never intended to repay them. In June 2005 I called my mortgage holder Citibank and requested a line of credit. Over the telephone they appraised my home at $630,000!!!!, and wanted me to borrow $400,000!!!!, however I only needed $75,000 so that's what I borrowed. I would never have been able to re-pay that amount of money and being a responsible adult saw no reason why I should take a loan that I'd never be able to re-pay on a house that was not worth $630,000. These garbage loans were pushed off on Fannie and Freddie. So falling back on "Fannie wouldn't exist if we didn't bail them out" is not the truth, Fannie would not have needed any help without sub-prime lending standards. This is not a communist country and turning your head to this kind of lawlessness is not acceptable.
In closing I want to remind you, not only am I a shareholder, but I'm a taxpayer, and constituent and I expect to be represented and not blown off with a " If we didn't help you you'd have nothing" form letter.
Very Truly
HollyK
05/17/14 4:12 PM
05/18/14 2:07 PM
