Upside Down Mortgage

Posts Tagged ‘subprime regulations’

Subprime Regulation

Question: Is Bernie Frank a combinat. of economic success of AIG, the ethics of Enron and accountability of Ruth Madoff?

Michael Graham of Boston Herald calls Barney Frank an unmitigated disaster and asks whether Bernie Frank a combination of economic success of AIG, the ethics of Enron and accountability of Ruth Madoff.

The author points out that he sat on the regulation committee of Fannie while his partner was a senior exec there.

In 2003, he famously said that Freddie and Fannie were “not in a crisis,” that they were “fundamentally sound financially.” He repeated that expert testimony in 2005, all the while rejecting the argument that the taxpayers were responsible for Freddie and Fannie’s bills.

And in 2007, he actually proposed raising the caps on Fannie/Freddie’s portfolios - exposing taxpayers to even more risk - and then dumping the new money into (drum roll, please) even more subprime mortgages.

What's your take?

http://www.bostonherald.com/news/opinion/op_ed/view.bg?&articleid=1159543&format=&page=1&listingType=opi#articleFull

Answer: "Bernie Frank" is the epitome of today's politicians.

One doesn't know if one should cast a vote or throw a stone.

Part 1/2 Bird & fortune - Financial crisis - Silly Money, Nov 08

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