Fannie & Freddie And Why It Came Crashing Down

Accountability be damned, then insult the regulator who is alerting over site committees to violations at Fannie and Freddie.

This Version of Financial Regulatory Reform is a Disaster

“We know how this financial meltdown occurred. It was because of the federal government passing the Community Reinvestment Act that lowered our lending standards, and also Freddie [Mac] and Fannie [Mae], which made very risky loans.

Goldman Sachs investment firm, which received $13 billion in federal bailout funds and gave $4.3 billion of the taxpayers’ money to 32 entities including overseas banks, hedge funds and pensions.

“It’s highly offensive how this money has been used for political payoffs,” she says.

“Remember that President Obama received almost $1 million in campaign donations from Goldman Sachs. I think we need to look into the connection between President Obama, his campaign contributions, and the fact that Goldman Sachs was one of the first recipients of taxpayers’ money.

“We had to borrow money from China in order to pay this money to Goldman, which in turn gave the money to foreign banks. It’s the American taxpayer that is hurt, and it’s hurting private job creation more than anything.“None of those entities that got us into this mess were even touched. Instead, dramatic new powers were given to the president of the United States, and that effectively institutionalizes what got us into this mess in the first place. It’s a very bad bill and deserves to be repealed.”


FANTASTIC article on the Community Reinvestment Act
http://ht.ly/2hNuH

“The purpose of the Tea Party Caucus is to listen to the concerns of the mainstream people who are very concerned about the overwhelming growth of government and the growth of government spending.

Probe Reveals Fannie Mae and Freddie Mac Handed out VIP Loans to Executives

Countrywide probe snares Fannie, Freddie execs
By: Jake Sherman
July 20, 2010 02:34 PM EDT

Employees at Fannie Mae and Freddie Mac — including top executives — received 173 cut-rate loans from Countrywide Financial, according to a congressional probe, the latest accusation that the lender tried to curry influence with people in power.

A Republican-led investigation revealed that Fannie Mae employees — including an assistant to the CEO, a government relations lobbyist and a vice president for sales — received 153 favorable loans, while 20 VIP loans were issued to employees at Freddie Mac. Countrywide Financial collapsed in the 2008 housing meltdown and was swallowed by Bank of America, but its connections to powerful political figures continue to reverberate in Washington.

These are the same type of special loans that created an ethics controversy for Democratic Sens. Kent Conrad of North Dakota and Chris Dodd of Connecticut. The senators were accused of getting VIP mortgages because of their political positions but were later cleared by the Senate Ethics Committee.

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http://dyn.politico.com/printstory.cfm?uuid=F121416D-18FE-70B2-A85D4E4E5081A5B5