Irked that the Federal Housing Finance Agency decided to continue supplying money to the National Housing Trust Fund despite the financial plights of Fannie Mae and Freddie Mac, House Financial Services Chairman Jeb Hensarling (R-TX) demands an explanation for the move from FHFA Director Mel Watt. Hensarling’s pique revolves around Fannie Mae’s request for a $3.7 billion taxpayer bailout after the government-sponsored enterprise depleted its reserves through Treasury Department seizures of its profits since 2012 to help bolster the financially strained U.S. operating budget.In a terse letter to former Congressman Watt (D-NC) and committee colleagues before being named FHFA director by President Barack Obama, Hensarling said Watt could have avoided the need for a Treasury bailout by suspending GSE annual payments of a portion of their profits to the housing trust and the Capital Magnets Fund. “Given your 2015 remarks to members of this committee and the letter of the 2014 su [...]
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2/23/18 6:01 PM