Replies to post #645425 on Fannie Mae-No Politics (FNMA)

[DJVan57]

I agree they will want I keep some of the warrants but the SR Pfd will have to go. If they do this before SCOTUS and still have the hearing it makes most of the remedies moot except maybe damages/overpayments.

It also makes sense they would want to resolve this before leaving but one might also question how motivated they are at this point. Leaving money for the next admin might not be a motivation but if they can spin it as a great deal for the taxpayers then maybe and resolving last hangover from the financial crisis etc. Up to now Treasury been very tight lipped so some positive PR on the benefits would be welcome to counter the financial press.

[401kobessive]

FNMA is still under the umbrella of FHFA.
The Treasury could move funds to FHFA and on to the GSE's.
The funds have already been allocated. It would be easy to frame it in such a way that meets the definition of "relief" outlined by Congress.

[camaro4me]

I don't see it that way. There never has been congressional approval to allocate funds to the ACA, it was paid for out of the Treasury General Fund, which by the way, in a large part FnF fund. So FnF pay for the ACA, pay for FHFA, pay for the lawyer bills of congress people caught doing wrong. Congressional approval is not needed for any of that. So if Mnuchin wants to use all the $465 B he has asked for (unspent stimulus money?) he can send that to FnF if he wants to without congressional approval

Pretty sure they need congressional approval to allocate those funds ... this will get done soon - the main questions are: