Replies to post #741924 on Fannie Mae (FNMA)

[basesloaded]

It is quite clear but like all other clear injustices in the history of this “great” nation, no one cares or gives a damn, unfortunately. The majority of the population is overconfident but undereducated. If we don’t want to spend money educating the masses, what do we expect.

[Wise Man]

Imagine that you haven't read the laws in force, where the NWS dividend, a capital distribution (like the 10% dividend), is restricted unless it's applied towards the reduction of the SPS and then, with the July 20, 2011 CFR 1237.12, towards their recapitalization and build a capital reserve. Both also pursuant to the FHFA-C's mandate: put FnF in a sound and solvent condition.
So, it wasn't really a dividend. The FHFA fooled us all using its Incidental Power as conservator: "Take any action authorized by this section, in the best interests of FHFA". Lying to the world is its best interests.
Why don't you tell us that you don't know what a capital distribution, soundness and solvency, mean?
The cover-up of a material fact is a crime of Making False Statements. This is why the corrupt plaintiffs and attorneys are terrified.
The JPS holders are entitled to par value upon winding up the companies or liquidation (Liquidation Right). This is why they seek a declaration of Nationalization and they repeat the Govt theft story all the time, in court and through their weirdos on internet message boards.
They gain the same (par value) with the actual scenario: Separate Account plan: FnF hold $216 billion of Core Capital as of end of September 2022, versus a Leverage Capital requirement of $205 billion. Adequately Capitalized, the dividend is resumed and the JPSs' fair value fetches par value.
Both roads lead to the same outcome, but the hedge funds and Co rather see the one that enriches the Govt (also exercising the Warrant), so that later the UST or Congress grant secured deals for them: either stock offerings at rigged prices or new schemes.