Part 2 - Exposing Fannie Mae and Freddie Mac: Corruption

http://investing.meetup.com/21 - New York Investing meetup organizer Daryl Montgomery discusses Fannie Mae and Freddie Macs record of corruption in Part 2 of this series. The New York Investing meetup is a group of 1800 independent traders and investors that provides unbiased stock market education and analysis. We also have our own blog, "The Helicopter Economics Investing Guide" at: http://nyinvestingmeetup.blogspot.com.

Category:

News & Politics

Tags:

• Fannie
• Mae
• Freddie
• Mac
• GSE
• political
• corruption
• accounting
• fraud
• earnings
• restatement
• OFHEO
• IOUSA
• government
• bailout
• intervention
• Federal
• Reserve
• Fed
• Bernanke
• Paulson
• subprime
• mortgage
• market
• crisis
• housing
• bubble
• economy
• investing
• inflation
• recession
• national
• debt
• congress

[kjclark1963]

Funny how everything in this video is "Fannie did this" and "Fannie did that..." Not one claim of Freddie having done anything. And oh yeah, Freddie did have to restate its earning, because they UNDER REPORTED their profits. Unlike Fannie who inflated their earning for the exec's bonuses, Freddie stashed its extra profits away in a rainy day sluch fund. Hardly in the same bucket as Fannie, Worldcom or Enron.

[NYInvestingMeetup]

Freddie Mac had to be nationalized by the U.S. government and it has received billions in bailout money. The feds are still pumping taxpayer money into it and this is likely to continue for many more years. That doesn't exactly sound like a company that under reported their profits, nor a company that even had any profits. If they did, the American taxpayer wouldn't have to shell out every quarter to keep them operating.

[sirbadman]

Thank you for exposing these facts about Fannie Mae and Freddie Mac! I had no idea about this stuff, then again I am not an American. What a shame there are no references to the fraud in these institutions in the mainstream media stories I have recently read.

[NYInvestingMeetup]

There are few references in the U.S. press about this corruption either. And who is motivated to expose it when both the Republicans and Democrats are paid off? In my opinion there are few people Fannie and Freddie wouldn't attempt to bribe and no one so powerful they wouldn't try to intimidate. I would think the foreign press would handle this better.

[bootyraider]

I just said they aren't left or right! lol

[tryptala]

Nope, the Fed is not left or right. They will sway in whatever direction will keep them in charge of the money.The Act was passed through a very clever little game played by the international bankers and their cronies and by a duped Wilson. If enough Americans knew the story there might be enough outrage--but not if it conflicts with watching American Idol. Greenspan told these mortgage holders to switch to a variable rate, and then the Fed raised its rates over and over and over again.

[bootyraider]

Come on hack, the Fed is not left or right.

If you want to blame anyone blame those in charge during the Federal Reserve Act!

[tryptala]

The old socialist/communist conspiracy raises its hoary head. Russia and China did not fall because of the socialists. They fell because of the bankrupting crimes and abuses of the conservative right. The communists were just the most successful opportunists to fill the void. The United States is not being brought down by socialists. It is being brought down by the Fed and the others that want whatever wealth is left. Guess how much gold is in Ft. Knox? Guess what, the Fed pawned it all off. $0

[ECwashr]

These Senators are all highly educated. They have people who work for them who are experts in the financial market and other areas. I don't believe for a minute they are court jester idiots who were duped. On the other hand, have you heard Barney Frank, he may be a court jester idiot...

[tryptala]

You've got to be joking. This was all done by people who have money and people who want money, not people who want political position. Those congressmen are just bystanders being duped by your standard high-finance gangster.

[ECwashr]

I think frank,dodd, obama did this on purpose. They are all socialist and want our system of gov destroyed. What better way to get it done? Listen to obama,"global economy,global initiative, global this and global that" Thats all the clown talks about. Have you ever heard him say anything positive about the US Constitution? NO and u never will. His mentor Saul Alinsky-Communist. This is whole fannie mess is a socialist movement, take and give to those who dont have AND couldnt afford to have.

[Dealit707]

Congressman Barney Frank (D Mass), is the prime reason America is in the financial mess they're in today. He is a pure socialist, and a disgrace in the way he relentlessly pressured banks to give away huge sums of money to totally unqualified people via "sub-prime" mortgages. He hasn't the slightest clue about even basic economics, yet the Democrats in DC made him head of House Banking Committee. Working Americans are handed a 700 BILLION dollar bill.

Thanks Barney! Great job!

Resign!!