Replies to post #9033 on Fannie Mae Preferred S (FNMAS)

[Joe Stocks]

Would love to know if these plaintiffs still hold their shares.

I would think at minimum the police retirement system has sold their shares. Often pension funds in their by laws have rules about OTC stocks, and also securities that do not produce income.

Here is something I think many of you are missing. The plaintiffs do not have to still own their shares to show damages. They held a asset with value, the govt took action on such and such day (an event)that took away that value, or most of it. And, they were damaged. That is the taking. The courts are not going to hold anything against them for selling shares and trying to avoid potential additional losses.

I would love for someone that bought preferred shares for a $1.00 tell me how they were damaged, and what grounds they would have to file a lawsuit. Lawsuits are about finding a remedy to a loss. I think are only hope is that FnF be given a plan to repay the taxpayers and be released from consevatorship. We do know that some of the hedge funds are basically in for the eventual liquidation. I doubt any of them are thinking lawsuits.

There is one other thing I hold out hope for. I think Aug 17th 2012 was another event that some may be able to argue as a taking. That is a case that may be able to be dismissed with a change and some retroactive action on the PSPA.