Replies to post #350566 on Fannie Mae-No Politics (FNMA)

[whipstick]

Oh you fail to see how it was different than the TBTF bank's? Try looking at the outlay of $ borrowed vs the amount of money paid back. The GSEs ratio is way worse than the banks. I cannot remember which filing it was in but the plaintiff's council had it pretty clearly displayed in a bar graph.. again the misdirection... Always the misdirection.

[Zargis]

An equity position, to my knowledge, was not legal in any entity until HERA, TARP or DODD-FRANK was passed. (Forget which as I know there is more specific language in HERA also relating to the GSEs which in of itself is outrageous.)

Though I disagree with the government being allowed any equity position at all due to many reasons, including conflict of interest; which also bred the executive and Congressional pieces of our government to once again make personal stock purchases of their own "private" in 2013, the public has accepted this for another reason.

GM was bailed out and FAILED to pay back the federal government, whereas AIG and the GSEs have done so but then additionally sacrifice 80% of their company - in a forced agreement as proven in AIG and argued by some in relation to the GSEs.

With GM, they first were in bankruptcy and the government still took a 61% stake which I'd say is a vast difference in percentage of stake in a much smaller company.

Be well,

-Zargis