Replies to post #344937 on Fannie Mae-No Politics (FNMA)

[Donotunderstand]

I do not see this akin to AIG in that type of outcome

As I understand it - there was a victory without money - as the court decided BOTH

Government action was wrong

Government was correct that without the (now illegal) action all of equity would have been wiped out in a typical CH 11 debt focused re organization. As no one else was stepping forward to fix things AIG would have declared CH11 and wiped out equity in all events

Heads you lose
Tails the bond holders lose

But the action - (without a special law like HERA !!) - was found to be illegal