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Why are Democratic Politicians so protective of Fannie Mae?

Over 150 officials at Fannie Mae got preferential treatment by Countrywide.

First it was the Friends of Angelo program that included Chris Dodd and others on Capitol Hill among its beneficiaries.
Now, the scale of the income involved for Fannie Mae execs along with their reach within government (Barney Frank, Raines, etc...) is bringing about MORE allegations

In this era of supposed Accountability and Transparency~ shouldn't the current administration have scrutinized and call for oversight of Fannie Mae just as the Obama Administration has done for banks and private industry?

 
grlygrlz2

Asked by grlygrlz2 at 3:14 PM on Jul. 21, 2010 in Politics & Current Events

Level 39 (106,530 Credits)
This question is closed.
Answers (16)
  • The FOA program at counrtywide happened under the Bush Administration. Unless Obama has a time machine i don't think there is a lot he can do about it now.



    New Agency Proposed to Oversee Freddie Mac and Fannie Mae
    By STEPHEN LABATON
    Published: September 11, 2003

    WASHINGTON, Sept. 10— The Bush administration today recommended the most significant regulatory overhaul in the housing finance industry since the savings and loan crisis a decade ago.

    Under the plan, disclosed at a Congressional hearing today, a new agency would be created within the Treasury Department to assume supervision of Fannie Mae and Freddie Mac, the government-sponsored companies that are the two largest players in the mortgage lending industry.

    mustbeGRACE

    Answer by mustbeGRACE at 5:28 PM on Jul. 21, 2010

  • The FOA program at counrtywide happened under the Bush Administration.

    What does that have to do with it? The point is career politicians benefited from it, are still in office, and continue to shield the program. It doesn't matter if Bush, Gore, Clinton or Gandhi had been in office at that point - the president wasn't the one who had fingers buried in the mess, individual dem congressmen did.
    NotPanicking

    Answer by NotPanicking at 4:11 PM on Jul. 21, 2010

  • Here you go, Wifey!! LOL :o)


    http://www.opensecrets.org/news/2008/09/update-fannie-mae-and-freddie.html


    ...and the TOP THREE were Democrats...Obama coming in 2nd place!!

    LoriKeet

    Answer by LoriKeet at 5:32 PM on Jul. 21, 2010

  • It's blatantly obvious what companies are giving people like Dodd and Frank their money. Any politicians who gets a lot of money from a corporation is going to defend them to the bitter end. It all comes down $$$ no matter who they screw and how shady the deals are. Dodd is the worst of them when it comes to Freddie and Countrywide and he's not going to be missed in November.
    Izsarejman

    Answer by Izsarejman at 3:38 PM on Jul. 21, 2010

  • Can't wait to here what the liberal & progressive spin is going to be on this question. LOL


    I bet they will ignore your question.

    Natesmom507

    Answer by Natesmom507 at 3:28 PM on Jul. 21, 2010

  • The new agency would have the authority, which now rests with Congress, to set one of the two capital-reserve requirements for the companies. It would exercise authority over any new lines of business. And it would determine whether the two are adequately managing the risks of their ballooning portfolios.

    The plan is an acknowledgment by the administration that oversight of Fannie Mae and Freddie Mac -- which together have issued more than $1.5 trillion in outstanding debt -- is broken. A report by outside investigators in July concluded that Freddie Mac manipulated its accounting to mislead investors, and critics have said Fannie Mae does not adequately hedge against rising interest rates.

    ''There is a general recognition that the supervisory system for housing-related government-sponsored enterprises neither has the tools, nor the stature, to deal effectively with the current size, complexity and importance of these enter
    mustbeGRACE

    Answer by mustbeGRACE at 5:29 PM on Jul. 21, 2010

  • The Bush administration tried!
    mustbeGRACE

    Answer by mustbeGRACE at 5:31 PM on Jul. 21, 2010

  • Thats politics grly. It has nothing to do with which side of the auditorium you sit on.

    UpSheRises

    Answer by UpSheRises at 4:05 PM on Jul. 21, 2010

  • prises,'' Treasury Secretary John W. Snow told the House Financial Services Committee in an appearance with Housing Secretary Mel Martinez, who also backed the plan.
    mustbeGRACE

    Answer by mustbeGRACE at 5:30 PM on Jul. 21, 2010

  • grlygrlz2

    Comment by grlygrlz2 (original poster) at 3:18 PM on Jul. 21, 2010

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