Network News

X My Profile
View More Activity
2.7%  Q1 GDP    4.57%  avg. 30-year mortgage     9.5%  Unemployment

Former Fannie, Freddie Heads Offer Defenses

Four former heads of Fannie and Freddie are testifying before Rep. Henry Waxman's (D-Calif.) oversight committee right now on their role in helming the two mortgage giants as they entered the sub-prime market and the subsequent damage caused to each.

Here's a summary of the testimony of each:

-- Richard Syron, Freddie chief executive from 2003-2008: By law, Freddie Mac is not a diversified financial services company and is limited to residential mortgages. Any company limited to that line of business alone would have been hurt during the mortgage meltdown.

-- Daniel Mudd, Fannie chief executive from 2005-2008: Fannie serves too many masters and needs to have its charter reworked.

-- Leland Brendsel, at Freddie from 1982 to 2003: Freddie plays a key role in the housing market, gave breaks to potential homeowners no other lenders would.

-- Franklin Raines, Fannie Mae chief executive from 1999-2004: Fannie and its 2004 accounting scandal are not to blame for the current crisis.

-- Frank Ahrens
The Ticker is Twittering!

By Frank Ahrens  |  December 9, 2008; 10:59 AM ET
Categories:  The Ticker  | Tags: Fannie, Franklin Raines, Freddie, Waxman  
Save & Share:  Send E-mail   Facebook   Twitter   Digg   Yahoo Buzz   Del.icio.us   StumbleUpon   Technorati   Google Buzz   Previous: Rep. Waxman Starts Beating Up On Fannie, Freddie Execs
Next: Internal Memos Urged Fannie To Go 'Underground'

No comments have been posted to this entry.

The comments to this entry are closed.

 
 
RSS Feed
Subscribe to The Post

© 2010 The Washington Post Company