Replies to post #406475 on Fannie Mae-No Politics (FNMA)

[Steelhead9]

The deferred tax asset impairment of 2008 was not accounting chicanery. GAAP rules allows for a company to determine whether they believe they qualify for an impairment through a more than 50% certainty rule. What was chcancery was FnF requiring to ensure badly written low credit mortgages originated by banks that went too far in trying to create profits for their shareholders. Writing off the DTA due to future expectations was not fraudulent which is why in my opinion it can't possibly be considered chicanery.

It is also my understanding that there were provisions for Fannie to "put back" certain bad loans to the originating banks, which were "temporary suspended", forcing Fannie to keep these loans on their books, suspiciously ... shortly before the NWS was put into effect.