On Second Thought…Deep Skepticism at the 5th Circuit About the Net Worth Sweep

Thursday, January 24, 2019

The government would have us believe the Federal Housing Finance Agency (FHFA) is unconstitutional in its structure but its actions are within the law. But U.S. 5th Circuit judges are wondering anew how it could possibly have been okay for FHFA, as Fannie and Freddie’s conservator, to drain the GSEs of their capital when the […]

On Second Thought, Lamberth Agrees GSE Shareholders Can Still Press Claims

Monday, October 1, 2018

Late last week, U.S. District Judge Royce Lamberth, of all jurists, gave shareholders a small boost in the fight against the government’s ongoing seizure of the quarterly profits of Fannie Mae and Freddie Mac. On September 28, Lamberth agreed that shareholders could not have known the 2012 Net Worth Sweep was a course the government […]

Ten Terrible Years and a Prelude to More of the Same

Wednesday, September 12, 2018

It is now over ten years since Fannie Mae and Freddie Mac were placed into a government conservatorship as the U.S. economy inched toward a catastrophic free fall. And where do things stand? For one thing, what could have been a decades-long coma in the housing sector turned out to be a relatively short health […]

Which is it Mike and Ed? Ample Capital or No Capital?

Friday, July 27, 2018

After almost ten years, it is easy to assume that everything that needs to be said about Fannie Mae and Freddie Mac has been said and that everyone’s position is clear. However, recent comments about the Federal Housing Finance Agency’s (FHFA) proposed rule for revised capital requirements for the government sponsored enterprises include a few […]

Fifth Circuit Court of Appeals Upholds The Net Worth Sweep, Exposes Taxpayers

Wednesday, July 18, 2018

In an otherwise disappointing ruling handed down by a federal appeals panel July 17, a dissenting view once highlighted the damage done by the government’s ongoing abuse of its statutory authority in confiscating the profits of the government sponsored enterprises Fannie Mae and Freddie Mac. A three-judge panel of the U.S. Court of Appeals for […]