The Real Story Behind Fannie and Freddie



Comments (9)

  1. MM says:

    If the GSE’s aren’t released, then we no longer live in the United States of America. We will then live in a country where the government can confiscate private property without cause. This is theft of the worst kind. Watergate is child’s play compared to this. JMHO

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    Pisong Reply:

    Watergate has 60 plus indicted. Fnf case, nada. 11k docs hidden. USSR.

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  2. Nick says:

    Factual and well described piece.

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  3. DWS says:

    Excellent article, thank you so much!

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  4. John says:

    Freddie and Fannie are two of the most profitable companies in the world. Fannie And Freddie Have Made $15B/annum combined since Conservatorship started.

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  5. Drew says:

    Sweeney will not only set it straight but will also show the world just how “off” it was. I don’t know about the warrants but I predict damages imposed by the court to be 45-50 billion for Fannie Mae alone.

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  6. frank says:

    I do not think you all understand how the GSEs fund themselves nor do you understand that they ventured deep into the subprime mortgages prior to 2008. They fund closer to Treasuries than any other entities due to the implied guarantee given to them by the US government charters. So that means US tax dollars. Do any of you who have commented understandt that the retained portfolios of Freddie and Fannie were in trouble in 2008. Please stop talking up your own portfolios at the expense of US taxpayers

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  7. Jan says:

    I have covered Fannie and Freddie as a reporter since 2004 and the long knives were out for them from my very first story. The Republicans wanted them dead because of the competition they presented to private and investment banks. There was that helping the poor afford housing thing as well.

    The GSEs have paid dividends since they were put in receivership far above the draws they took from Treasury yet still owe every cent they borrowed. They have been treated differently from any of the banks that were bailed out, AIG, or the auto industry all of which were allowed to redeem their stock and return to self-governance.

    To ensure they were held hostage the agency created to act as their regulator and conservator was headed by a Bush holdover (Edward DeMarco) who put in place policies that prolonged the foreclosure crisis and worked with Timothy Geithner, another recycled Wall Streeter, to put the profit sweep Goldberg references in place. The Clinton Administration was blocked for five years in their attempt to replace DeMarco.

    Goldberg writes a fine article – and only scratches the surface of the abuses.

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  8. Steve diwnskit says:

    I hope all involved go to jail. Corker, warner, lew, and Obama administration

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