Replies to post #744528 on Fannie Mae (FNMA)

[Robert from yahoo bd]

If there is any future IPO, under the MATERIAL RISKS SECTION this Disclosure would seem necessary:

"Under HERA during any future conservatorship there would be no violation of a Shareholders property rights under the 5th Amendment of the US Constitution if the federal government takes all the future profits for itself into perpetuity in order to salt the Earth with the shareholders carcasses and make sure that they never go private again, despite upcoming world record profitability."

[clarencebeaks21]

I agree that’s a critical section. The pivotal wording here is:

“Upon so deciding, Saratoga understood, with what may only be viewed as a historically rooted expectation, that the federal government would take possession of its premises and holdings as conservator or receiver if …”

(1) “premises” plus, “and holdings”. So, both tangible and intangible.

(2) Replace “Saratoga” with shareholders and that’s exactly what the CAFC said on 2/22/22.

Agree that in shareholders’ case it’s a classic tragedy (with IMO a complicit actor), and now with the referee denying review on a call in the CAFC’s home court, that is pretty much a buzzer sounding. Booo.