Replies to post #175796 on Fannie Mae-No Politics (FNMA)

[Investor62]

Thank God & Our Forefathers for The Signing of the Constitution of the United States to protect us from Gov't Illegal Activities!

[Jestiron]

UNCONSTITUTIONAL! EOM

[Jestiron]

WOW! This is not the first time I have heard language like this from government entities and their ilk. From your link:

A Dec. 20, 2010, Treasury Department memo to then-Secretary Timothy Geithner from domestic finance undersecretary Jeffrey Goldstein, said the Obama administration had a “commitment to ensure existing common equity holders will not have access to any positive earnings from the G.S.E.’s (sic) in the future.”

Very similar language was included in the illegal seizure of washington mutual stock in an effort to separate shareholders from their property. In that case, the government seized the bank and handed it over to jpmchase. The language can be found under "Project West".

http://seekingalpha.com/article/185727-wamu-equity-makes-case-via-youtube

Project West was a covert operation that was conceptualized, planned and then executed by JPMChase in order to systematically weaken and finally take over Washington Mutual Bank at a fire sale price. The plan was implemented and although it took a number of years, JPMChase was finally successful when Washington Mutual Bank and its subsidiary WMB FSB were ultimately seized on September 25, 2008 and then sold to JPMC overnight on September 26, 2008 for $1.88 Billion dollars.

A sample of the Email correspondence between members of the Project West Team at JPMChase;

From: Tim Main/JPMCHASE [e-mail]
Sent: Sunday March 30, 2008 7:31 AM
To: Charlie Scharf/IL/ONE [e-mail]
Subject: Re: West

Thanks

I of course love the idea of a slightly higher price than they deserve in the form of a contingent where their shareholders pick up the first loss versus say Their high credit case until they literally get zero, then the government kicks in with some form of second loss either 75% for them and 25% for us, or they take 100% for a slice and then its all for us.

Either way, something that really really reduces our risk and gets the government comfortable than they only get involved if shareholders get zero.
It sounds to me like the government is really concerned as they should be about takinglosses, so they should like this versus alternative.

Look forward to talking today and travel safely.

Tim

There is something here....I cannot put my finger on it...but there is something that I just cannot connect the dots on...and I think it has to do with taking ownership (REAL OWNERSHIP) of the properties supposedly owned by WAMU...when all they really seized is their mortgage portfolios.

-Jest