How did Rahm Emmanuel manage to get in the White House after his scandal plagued days at Freddie Mac?

The Obama administration extended Fannie and Freddie an UNLIMITED line of credit on December 28, 2009. (I'm sure they weren't trying to bury this news during the holidays....lol) These two entities have lost the tax payer $145 billion to date. These are the same entities Barney Frank (the guy who helped author financial "reform") said were financially sound in 2003.



What is with this seemingly corrupt and incestuous relationship between Fannie, Freddie and the Democratic Party??



http://www.chicagotribune.com/news/polit…



On Emanuel's watch, the board was told by executives of a plan to use accounting tricks to mislead shareholders about outsize profits the government-chartered firm was then reaping from risky investments. The goal was to push earnings onto the books in future years, ensuring that Freddie Mac would appear profitable on paper for years to come and helping maximize annual bonuses for company brass.



The accounting scandal wasn't the only one that brewed during Emanuel's tenure.



During his brief time on the board, the company hatched a plan to enhance its political muscle. That scheme, also reviewed by the board, led to a record $3.8 million fine from the Federal Election Commission for illegally using corporate resources to host fundraisers for politicians. Emanuel was the beneficiary of one of those parties after he left the board and ran in 2002 for a seat in Congress from the North Side of Chicago.



http://online.wsj.com/article/SB12616830…



The Obama administration's decision to cover an unlimited amount of losses at the mortgage-finance giants Fannie Mae and Freddie Mac over the next three years stirred controversy over the holiday.



The Treasury announced Thursday it was removing the caps that limited the amount of available capital to the companies to $200 billion each.



Unlimited access to bailout funds through 2012 was "necessary for preserving the continued strength and stability of the mortgage market," the Treasury said. Fannie and Freddie purchase or guarantee most U.S. home mortgages and have run up huge losses stemming from the worst wave of defaults since the 1930s.



"The timing of this executive order giving Fannie and Freddie a blank check is no coincidence," said Rep. Spencer Bachus of Alabama, the ranking Republican on the House Financial Services Committee. He said the Christmas Eve announcement was designed "to prevent the general public from taking note."



Treasury officials couldn't be reached for comment Friday.



http://www.youtube.com/watch?v=cMnSp4qEX…



"The more people, in my judgment, exaggerate a threat of safety and soundness, the more people conjure up the possibility of serious financial losses to the Treasury, which I do not see, I think we see entities which are fundamentally sound financially, and withstand some of the disaster scenarios, and even if there were a problem. the federal government doesn't bail them [Fannie Mae and Freddie Mac] out, but the more pressure there is there, then the less I think we see in terms of affordable housing"



-Barney Frank

September 10, 2003



http://www.bloomberg.com/news/2010-06-13…



Fannie and Freddie, now 80 percent owned by U.S. taxpayers, already have drawn $145 billion from an unlimited line of government credit granted to ensure that home buyers can get loans while the private housing-finance industry is moribund. That surpasses the amount spent on rescues of American International Group Inc., General Motors Co. or Citigroup Inc., which have begun repaying their debts.



“It is the mother of all bailouts,” said Edward Pinto, a former chief credit officer at Fannie Mae, who is now a consultant to the mortgage-finance industry.How did Rahm Emmanuel manage to get in the White House after his scandal plagued days at Freddie Mac?
People went to prison and the largest accounting firm in the world ArthurAndersen was put out of business for doing these very same things at ENRON.



But, since its government, and 10000x worse than ENRON, nobody goes to jail, nobody is fired, nobody pays a fine, and the people in Washington responsible for it, they reward themselves.



Maybe when the republicans take the house, a congressional investigation will be undertaken leading to the resignation of all those involved in the worst financial scandal IN THE HISTORY OF HUMANITY.
Essentially Rahm Emanuel is politically useful to Obama. that is the reason that Rahm Emanuel is there.How did Rahm Emmanuel manage to get in the White House after his scandal plagued days at Freddie Mac?
I am not impressed that Chris Dodd or Barney Frank or Rahn Emmanuel are not in prison where they should be.
Fannie %26amp; Freddie crashed our economy, yet Obama NEVER mentions them or 'reforms' them. In fact he put the two guys most responsible for killing us- Barney Frank and Chris Dodd in charge of fixing things. Dumbest move in Presidential history.How did Rahm Emmanuel manage to get in the White House after his scandal plagued days at Freddie Mac?
Emmanuel is in tight with the investment bankers (he used to be one) and his specialty in politics is fund-raising. He's the Democrats' money man, and in politics nothing talks (or shuts people up) like money. Obama probably couldn't have gotten elected without him, and despite what he's doing to the country Obama does take care of his cronies. It would take more than a scandal for Obama to turn his back on his main money man.
You have to understand with democrats the more you screw up the higher up the ladder you go.



See so just like turbo tax cheat tim. The IMF would send him a check every year with a letter stating that the check was for taxes (sounds simple right, get check and letter pay taxes) but n little timmy wanted to spend it on other things, so he did. Then when he was caught, OOOOPPPPPSSSS His lie was I used turbo tax. If I was the CEO of turbo tax I would have taken him to court for liable and sued the a*ss off him.