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Sen. Mark Warner: Bureaucrats over Shareholders
Friday, October 24th, 2014

Sen. Mark Warner: Bureaucrats over Shareholders

Virginia Senator Mark Warner has been crisscrossing the state campaigning hard for re-election. He talks about all the good things he’s done for Virginia – the federal dollars he’s brought back to the state, his support for programs and policies that he says will make Virginians lives better, as well as the direction he wants the state to head in the future.

In other words, typical campaign rhetoric when someone doesn’t want to talk about what they’ve really done. And what has Sen. Warner done?

Residential ObamaCare.

From a Weekly Standard piece:

“It’s hard to understand why legislators think that government can restructure this one-sixth of the economy any better than they are restructuring the one-sixth represented by health care.”

Sen. Warner is, of course, one of the main proponents of the Corker-Warner housing reform bill that does not uphold the rights of shareholders in its attempt to restructure Fannie Mae and Freddie Mac. Instead of returning the GSEs to full profitability with better safeguards, Corker-Warner effectively tosses the baby out with the bathwater. More from The Weekly Standard:

“In going through contortions to reinvent the housing finance system, the senators have avoided the obvious solution: keep the basic platform that has generally served American homeowners well but reform it to reduce risks. Instead, Johnson and the others have come up with a contraption that resembles the Affordable Care Act in its convolutions and its potential for unintended consequences.”

We’re not so sure about the “unintended consequences” part. The ink was barely dry on the papers forming the conservatorship before Treasury bureaucrats started twisting it to their own designs. And elected officials like Mark Warner, when they saw they would have to choose a side, chose to stand with the bureaucrats instead of their constituents. We don’t know how many Fannie and Freddie investors live in Virginia but it’s inevitable, given the overall numbers of investors, of which there are thousands.

So it raises the question: how many of those investors aren’t aware of the full extent of Sen. Warner’s betrayal of them and are considering voting for him? Warner-Corker as the predecessor to Johnson-Crapo is losing steam, but make no mistake, neither of those bills protects shareholders; in fact, both eliminate shareholder rights and will continue to hold Fannie and Freddie captive by bureaucrats.

Look at it this way, Virginia voters: every vote cast for Mark Warner is a vote against the rule of law and against the possibility of preserving and restoring shareholder rights.

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Real Reform for Fannie & Freddie

Current legislation needs to be amended in order for all investors – pensioners, community banks and individuals – to be repaid and create a solid platform for the mortgage market to thrive.

  1. Repayment of Pensioners, Community Banks and Individuals invested in Fannie and Freddie.
  2. Stricter lending standards and oversight of Fannie and Freddie.
  3. Affordable housing goals reinstated and upheld under stricter oversight.

Click here for more information

Investors Unite works to educate Fannie Mae and Freddie Mac shareholders and lawmakers of the importance of reforming the GSEs in a way that will reimburse shareholders what they are contractually and legally owed, but have not been paid.

Issue Background

The United States Congress is considering Government Sponsored Enterprise (GSE) reform that would wipe out Fannie Mae and Freddie Mac shareholders for good. These shareholders include everyday Americans such as public service retirees, teachers, firefighters and police officers. These individuals and pension funds invested in the GSEs before, during, and after the conservatorship and should be made whole under any reform. Taxpayers have been repaid with interest for their 2008 bailout of the GSEs.

Our country’s respect for the rule of law demands that private property rights be protected and Investors Unite gives Fannie Mae and Freddie Mac shareholders a voice in that fight.