Replies to post #722308 on Fannie Mae-No Politics (FNMA)

[kthomp19]

Their "lack" of capital is a direct result of FHFA & Treasury $301 billion swindle.

The $301B number is overstated. $191B of that is cash that FnF got from Treasury.

Source: FHFA's Table 1: Quarterly Draws on Treasury Commitments to Fannie Mae and Freddie Mac per the Senior Preferred Stock Purchase Agreements
Source: FHFA's Table 2: Dividends on Enterprise Draws from Treasury

Reverse the swindle and voila the missing capital.

Wrong. The difference between what FnF received from Treasury ($191B) and what they paid to Treasury ($301B) is $110B.

However, as shown in Fannie and Freddie's actual SEC filings, they face a combined capital deficit of $313B to the lowest of their capital standards (and without buffers).

"Revers[ing] the swindle" still leaves them over $200B short, and the shortfall rises to $330B if you include the buffers.

You should also be specific on what "reverse the swindle" means, and either which court case makes this possible (using the Prayer for Relief in the applicable case) or why Treasury would voluntarily choose to do so.

[955]

Truer words have never been spoken. FAKE 'Bailout' was never needed nor requested. F&F were on solid financial footing in spite of MAJOR Gov screwups. Defendants will never permit this to go to trial, for if they do, they know their goose is cooked, assuming our 'representative' attorney's do their job this time around.