Replies to post #545798 on Fannie Mae-No Politics (FNMA)

[AuntyMamie]

These monies were due to FnF from TBTF cuz rep-n-warrant violations. Cuz they delivered loans to FnF which were NOT compliant with FnF credit and underwriting rules. And the loans became delinquent. Which in turn supported the 'illusion' FnF were insolvent. The money and damages paid to FnF went directly to Treasury. It's ALL such a tired scam. The longer this continues the more one is convinced the current administration and their cadre of "special secret insiders" who send their minions here to harass and manipulate honest shareholders are fully compromised and complicit. I'd rather see it all destroyed than enable the thieving perps one more shekel. Pull it.

[AuntyMamie]

P.S. The penalties, buybacks and reimbursements also due to underwriting standards on collateral of AAA tranches was fraudulent. Read any book about 2008 mortgage banking crisis. FnF bought and wrapped AAA tranches to satisfy CRA requirements. When those securities began to tank, FnF were left holding tranches (experiencing losses) which did not meet investment rules. TSY knew ALL ALONG that FnF would bring down every underwriter and investment bank structuring those fraudulent deals. So they took-down the twins instead. And used our capital to back-stop their perps. And continue to pay their frens and super-secret-special-clubmembers handsomely for destroying middle-class shareholders and savers.

[AuntyMamie]

Finally. TSY used bogus accounting rules to tie the twins hands years before the crisis peaked. Cuz the street used maybe 5 years of 'loss history' (years of an unprecedented housing finance boom) to predict default on their structured securities. And on those forecasts they got their ratings from a complicit S+P, Moody's, Fitch. Whilst FnF used 30+ years of default history to forecast performance. Hence FnF tried to compensate by prudently building reserves. And got slammed by auditors in the pockets of TSY and TBTF. The twins were FORCED to under-reserve for losses they KNEW would likely happen. These perps continue to run the entire table. Our market. Our economy. Our country. Sad.

[Here I am]

In a post about the MHA program, Guido responds that he doesn't understand what Carlos says and begins to explain what he understands about the post, talking about the FHFA's lawsuit with regard to a $200 billion PLMBS portfolio, etc.
Don't say you don't understand Carlos. Just say that you don't understand what the MHA program is about, and what Carlos claims about FnF not being reimbursed of the cost for participating in that program.