Fannie Mae is the company that by itself props up half of the US real estate market. Fannie Mae is the company that not two years after the Enron debacle was unable to publish its accounting books – it took Fannie Mae eighteen months to present its books.
ALL THIS HAPPENED NOT ONLY ON THE HEELS OF ONE OF THE LARGEST BANKRUPTCIES IN THE HISTORY OF THE WORLD BUT ALSO IN THE AFTERMATH OF A SEVERE ECONOMIC SLUMP.
Yet, nobody thought it appropriate to go take a closer look at what Fannie Mae was up to.
And by the way. Just like in the Madoff case, Fannie Mae was highlighted as a company whose business model was not sustainable and likely self defeating. There was no shortage of warning coming from sundry commentators and professionals.
Yet, nobody thought it appropriate to go take a closer look.
Today Fannie Mae is coming back to the trough for the fourth time (or is it the fifth time?) asking for $15Billion.
This at a time when European countries will effectively be asking for several hundred Billion Euros to front their own debt debacle.
Yet, nobody seems to think anything is amiss.
“The company lost $11.5 billion in the first three months of this year, it said today in a Securities and Exchange Commission filing. Fannie Mae had posted $136.8 billion in losses in the preceding 10 quarters, and the new aid request would bring its total draw from the Treasury to $84.6 billion since April 2009.“