Floyd and Mary Beth Brown, FloydReports.com
On July 2, President Obama declared, “And finally, because of this law, the American people will never again be asked to foot the bill for Wall Street’s mistakes. (Applause.) There will be no more tax-funded bailouts — period. (Applause.) If a large financial institution should ever fail, this reform gives us the ability to wind it down without endangering the broader economy. “
The occasion of his bold statement was the signing of the Dodd-Frank Wall Street Reform Act.
So imagine our surprise when less than two weeks later Fannie Mae requested $1.5 billion more from the U.S. Treasury. This request came after the 12th quarterly loss by Fannie, and with this money Fannie’s take from the taxpayers’ wallet will grow to a whopping $86.1 billion for one company. Together with its twin Freddie Mac the bailout package is over $200 billion.
Fannie Mae, aka the Federal National Mortgage Association, was created in 1938 as a government sponsored enterprise (GSE) to bolster the housing market by increasing Americans’ access to cheap home loans during the last Great Depression. Freddie Mac, aka the Federal Home Loan Mortgage Corp., was created in 1970 to end Fannie’s monopoly in the secondary mortgage market. Both are mandated by Congress to help increase home ownership.
The problem we have with this housing mandate is that not all Americans deserve, nor are they responsible enough, to go deep into debt to purchase a home.
Everyone understands that mortgage debt stands at the center of the ongoing financial crisis. Responsible analysis concludes that too much credit was extended to too many un-creditworthy buyers of homes. At the center of this debacle stand these government-sponsored private financial firms named Freddie Mac and Fannie Mae. Neither of these firms were “reformed” by the so-called Reform Act.
Fannie has long been a favorite tool of America’s political left. A revolving door has allowed politically connected White House and Congressional aides to spend time at Fannie becoming fabulously wealthy.
The examples of this revolving door are many, but the most famous and wealthiest is Obama campaign adviser Franklin Raines. Raines served on both the Carter and Clinton White House staffs before becoming Chairman and CEO of Fannie Mae. In the Fannie job this former bureaucrat earned over $100 million.
Raines was eventually pushed out of Fannie in an accounting scandal. He was accused by the Office of Federal Housing Enterprise Oversight (OFHEO), the regulator of Fannie Mae, of manipulating the firm’s accounting so that he and other senior executives could pocket ever-larger bonuses.
While at Fannie, Raines began a program in 1999 to encourage bank loans to individuals with low incomes. He also downgraded credit requirements on loans that Fannie Mae purchased from banks. Raines claimed the program would allow borrowers who were “a notch below what our current underwriting has required” to get home loans. The move was praise by liberals because they believed it would increase the number of minority and low-income home owners. We now know the program is central to the ongoing mortgage defaults still unfolding at Fannie.
So the foreclosure crisis limps on with no end in sight.
To understand Obama’s failure at financial reform, you only have to analyze his rhetoric. At the same July 21 ceremony he boldly proclaimed about the bill, “It demands accountability and responsibility from everyone.” Problem is, on its face this statement is a bold faced lie. Fannie and Freddie have been neither fixed nor reformed and both are bleeding the taxpayers daily.
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And don't forget to mention that Raines walked away with millions of our tax dollars. Raines should be in jail along with many other's that continue to bleed us dry! ie Frank and Dodd!! Did any one read this Bill before it was voted on? HELL NO!!! How much more BS do we citizens have to take before something is done with these crooks? What freaking nightmare!!!!!!!!!!! Our gov't is corrupt to it's core. I will not be surprised if the people in this Country go to DC and drag these bastards out in the streets by their white filthy collars!
Some one shold do it.
YES, MARY–HOW ABOUT THE NAVY SEALS(??!!!).
The government sector needs to leave the private sector alone. The only thing I'd like to see the government do is immediately seize every bonus dollar attributable to the bailouts. The bailouts were to keep companies from failing, not to award executives for their BAD CHOICES!!! We, the people want our misspent tax dollars back!!!
This typical of this administration,we are not going to bailout anyone ,well except maybe ahah Fannie and freddie but no more unless so and so may need help. It is the same old BS they have been putting since the dem's took control six years ago. They came up with a tax on tobbaco that tripled the cost that was to go to the children's health and school needs ,now they say they need more to save teachers jobs and those of fire and police,where the hell do they figure they are going to come up with that $26 billion,if they would kick out these sorry ass unions and their huge retirement packages that no one can afford to keep paying,this just Ovomit paying back the unions for buying him his office. Keep adding tax to the so called wealthy there is not going to be any wealthy they will either bail out and move some where that is not going to break them or go bust. He fundementaly changing this country alright to one of the poorest in the world. We need to get his half breed Muslim communist ass , his communist czars and communist supporting congress out now by any means possible and I mean ANY MEANS
Skipfoss, you have it correct. I am with you 100% plus. I read today that the muslim communist in the oval office is reallying enjoying the fact that Amricans are questioning his eligibility to be president. In other words he does not give a damn about what We Americans think or want. I also read that the house passed the 26 billion bill today. All that is left is for the low life sleezy b-s-a-d in the oval is to sign it into law!! I pray for the muslim communist , the communist czars and the communists in his administration and those worthless communists b-s-a-ds in both houses of congress to be eliminated!!!!!
Baskin Robbins is introducing a new ice cream in honor of the inauguration, “Barocky Road”. It’s half vanilla, half chocolate, surrounded by fruits and nuts!
Q: What's the definition of a Democrat running for Congress for the first time?
A: A mouse trying to become a rat.
Q: What's the difference between God and a Democrat?
A: God knows He's not a Democrat.
Q: What is the Democrat doing when he holds his hands tightly over his ears?
A: Trying to hold on to a thought.
Q: What the difference between a Democrat and the rear end of a horse?
A: I don’t know either.
Q: How many Democrats does it take to change a light bulb?
A: None. They prefer to walk in the dark.
Q: How do you plant dope?
A: Bury a Democrat.
Husband:
Whenever I get mad at you, you never seem to get upset.
How do you manage to control your temper?
Wife:
I just go and clean the toilet.
Husband:
How does that help?
Wife:
I use your toothbrush.
I don't believe a word obummer says.
I agree. Why should ANYONE believe what he says? He's a liar and an idiot!
I don't know about you, but I really believe that if we are unable to turn this country around in Nov. it will be too late! There are so many political evils being done, which will worsen immensly within a year. I believe the constitution will be totally shredded, and a Dictatorship and Fascism will follow, and the NWO and one world government it in close order.
If Obama is able to get Amnesty, and it gets him more Democratic voters…it will be over for us as a Nation…I hope to God I'm wrong!!! I am no prophet, but it's what I see coming down!
You've spoken the truth, the problem is, still some people don't seem to have woken up!
People are waking up in droves!!! The latest polls have CNN totally bewildered…they can't spin the resluts…have you been part of Constitutional emergency chat? bunch of really good people there…here's a link…one has to sign in and scroll down for the chat page…but give it a look…we have a Col there, several military guys, some nights it gets busy and can hardly get a word in edgewise, but still it's fun! http://patriotsforamerica.ning.com/?xg_source=msg…
Do you really think there will be anykind of election in november? There will be intimidation, lies and outright fraud in all the voting booths over the whole country. True election results when out with paper ballots. On an electronic voting machine how do you know where your vote is being routed to. Obummer and the demorats know they are toast so they can`t allow the election to go against them. The people that program the machines can be bought. I`m been honest all my life and even feel for road kill but for enough money I could live out of country in my golden years. Can we trust the ones programming the voting machines? So don`t be surprised when the Demorats pull out upsets all over the country and stay in power.
Do you remember when Obama got in? the republicans couldn't "fix" the election, because far too many people were clammoring for Obama…well, we have the same thing nowin every election Democrats are being slaughtered!! To fix the election in Nov, when so many people are so angry, it would be far too obvious!!! one can only fix really close election like Bush vs Kerry!! If Obama had cause amnesty and garner Democratic voters that way, even so that would be 21 million…there are far more than that angry with the way things are going…but if we don't win in Nov..I'f afraid our freedoms are over, and there will be no elelction in following years!! Hello Fascism and slavery!!
Fannie and Freddie are funded indefinitely. It's nationalism and it's just the start.
Today it was 26B for Pension and Health for Public Workers (AKA Unions) and we will pay for it.
Two months ago they were bailed out for 123B. If the members ever woke up and wondered what their dues are now for, it might help.
The lies are of such length there is no following them from day to day, from Guantanamo to today it's in the higher 100's and creeping towards 1000. Barry is a puppet and needs to go to jail for sins against humanity.
According to unofficial presidential statistician Mark Knoller of CBS News, Obama has left the White House to play basketball 16 times so far, in addition to the countless times he has played on his home court. He's shot 44 rounds of golf, gone fishing and played tennis. Total sporting-related events hosted at the White House: 45. That's about six times the number of news conferences he has held.
And that's not the half of it for the "jock-in-chief," Milbank says. George W. Bush, much maligned for his 24 golf outings in 8 years, had nothing on Obama's 44 thus far. Obama's also "gone fishing and played tennis," Milbank complains, while hitting Nationals games and WNBA games, and leaving the White House to play basketball. "Total sporting-related events hosted at the White House: 45. That's about six times the number of news conferences he has held."
Yup looks like being president these days are just being on a continual vacation!
Read more: http://www.newser.com/story/97718/all-hail-the-sp…
Horse droppings on what obama said. How much longer will the people put up with his lies. I know that mr. Dodd and Mr. Franks sandbox Fanny and Freddy are now asking for more money. What he going to do about that. Thats not a wall street mistaske or doings. Just yesterday the houise voted to bailout the states so they can hire some nitwit teachers. Most schools today don't do the job they get paid for. Many of the kids are coming out with less know how. I expect the states to kind of earmark some of that money on other things that don't need to be done. Like most of the money that has gone out before.