WP:Both Sides Critical At Fannie Hearing, CEO denounces Regulator's report

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http://www.washingtonpost.com/wp-dyn/articles/A11729-2004Oct6.html

Both Sides Critical At Fannie Hearing
CEO Denounces Regulator's Report, Methods

By David S. Hilzenrath
Washington Post Staff Writer
Thursday, October 7, 2004; Page E01

-snips-

Fannie Mae chairman and chief executive Franklin D. Raines yesterday criticized the giant mortgage funding company's federal regulator for airing allegations that the company cooked its books so executives could receive bonuses.

"This entire examination has been the most unusual regulatory endeavor I've seen in the 30-some-odd years I've been in this business," Raines told a House subcommittee in his first public response to a critical report by the Office of Federal Housing Enterprise Oversight. "I don't believe there has been an adequate explanation of why they followed this path."

The release of the report triggered a $14 billion decline in Fannie's stock market valuation, he said. But Armando Falcon Jr., OFHEO's director, countered in a separate appearance that Fannie Mae deliberately flouted accounting rules to make its earnings growth appear steady and to boost executive compensation.

Others suggested that Falcon was trying to redeem his reputation after he and his agency were roundly criticized last year as weak and inattentive for failing to detect billions of dollars of accounting errors and distortions at Fannie's rival, McLean-based Freddie Mac.

Fannie had enlisted lawyer Kenneth W. Starr, who led the investigation of President Bill Clinton's relationship with Monica S. Lewinsky, to try to keep Baker from disseminating that information. The chart Baker released showed that 21 Fannie Mae executives, including lobbyists, each received more than $1 million in 2002, not including stock options. At rival Freddie Mac, seven executives received more than $1 million in 2002, the chart showed.

[The Backlash Cometh]

1. Fannie Maes, Indian Trust Funds, Pension Plans for the Middle Class...

hey, who's keeping count? It's a Machiavelli Libertarian world we live in today.

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2. hold onto your seat....this bush* scandal will be the ENRON of the housing

market.....no wonder bush* has been pushing his 'ownership' society....bush* minions just grab all the money and leave the taxpayer holding the bag....for bush*, 'ownership' means that WE THE PEOPLE give all our money and bush* OWNS it....

when Kerry takes office, there'll be some prison time coming for these criminals....it's just massive THEFT of millions and billions, in broad daylight....OUTRAGEOUS...

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3. and from the New York Times....bushies stole over $245 MILLION

-snip-

"He also reacted visibly when Mr. Baker made public a document showing that Mr. Raines had received $17.7 million in compensation for 2002, and that 19 other executives received payments that year of more than $1 million. Mr. Baker said that over the last five years, the company had awarded $245 million in bonuses, a figure that stunned even the company's strongest supporters and seemed to deflate the image long put forward by Mr. Raines that the company's sole mission was to provide financing for low- and moderate-income housing."

http://www.nytimes.com/2004/10/07/business/07fannie.html?oref=login

all these bushies should GO TO JAIL and stay there for a long long time....stealing MILLIONS from low- and moderate-income people....and feeling no remorse when caught....

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4. a Democratic KICK for this MAJOR BUSH SCANDAL.....read it and weap....

:kick: