August 2018

Monday August 13 2018

Bill Maloni’s GSE Blog: Are things looking Up? Mostly Fannie and Freddie…and very little Trump

Benzinga: Fannie, Freddie’s Fate Could Rest On Potential Trump Nominee

Politico: Housing finance system roiled by maze of investigations: Here’s a guide

Housing Wire: Fannie Mae CEO in hot water months before he steps down

Friday August 10 2018

New filing in Fairholme vs. U.S., click here to view.

Peter Chapman writes, “Judge Sweeney granted the Jones Day client’s request to amend the protective order in Fairholme v. U.S.”

A new lawsuit has been filed, Cyrus vs. U.S.

Peter Chapman writes, “CRS Master Fund, L.P., Cyrus Opportunities Master Fund II, Ltd., Cyrus Select Opportunities Master Fund, Ltd., and Crescent 1, L.P., owning more than $230 million of junior preferred stock at the time the Net Worth Sweep was imposed, filed a lawsuit in the U.S. Court of Claims.  “At the time of purchase, Cyrus had no reasonable ground to expect that, while the Companies were in conservatorship, the United States instead would expropriate its investment and force shareholders into years of litigation to recoup their investments,” Cyrus tells Judge Sweeney in its complaint modeled on Owl Creek’s.  Cyrus is represented by a team of lawyers led by Bruce S. Bennett at Jones Day.” Click here to view the court filing.

Guru Focus: The Fate of Fannie and Freddie

Politico: Romantic relationship triggers second rebuke for Fannie Mae CEO

Thursday August 9 2018

New filing in Fairholme vs. U.S., click here to view.

Peter Chapman writes, “Owl Creek, Appaloosa, Akanthos, CSS, and Mason Capital want Judge Sweeney to enter a Third Amended Protective Order that will include them in the definition of “Parties” to ensure that Protected Information is treated consistently among all of related cases through the Read More

July 2018

Tuesday July 31 2018

New filing in Fairholme vs. U.S., click here to view.

Peter Chapman writes, “Judge Sweeney placed her stamp of approval on the government’s request to file an 85-page omnibus motion to dismiss.”

American Banker: Where GSE reform went wrong

Washington Examiner: Fannie and Freddie get frisky, drawing congressional criticism

Fannie Mae: Fannie Mae Announces Scheduled Release of Second Quarter 2018 Financial Results

Politico: Watt allegations leave Democrats speechless

Monday July 30 2018

New filing in Fairholme vs. U.S. , click here to view.

Peter Chapman writes, “In anticipation of filing its omnibus motion to dismiss the dozen cases pending in the U.S. Court of Federal Claims next week, the government is asking Judge Sweeney for permission to file an 85-page document that will exceed the 40-page default rule imposed by the court in run-of-the-mill cases.  Our government notes that if it were to file twelve separate motions to dismiss, rather than one omnibus motion, it would be entitled to drop up to 480 pages on Judge Sweeney’s desk.”

JD Supra: Qualified mortgages: The uncertain future of the GSE patch

Bloomberg: Mortgage Trade Volume May Increase Regardless of FHFA Reform

New York Times: Housing Finance Director, Mel Watt, Investigated for Sexual Harassment

Washington Post: Federal housing finance chief faces sexual harassment investigation

CBS News: FHFA Director Mel Watt under investigation for alleged sexual harassment

The Hill: Housing regulator Watt under investigation for alleged sexual harassment

American Banker: Hard to see how FHFA’s Watt survives harassment allegations

Market Watch: Fannie, Freddie regulator head accused of sexual harassment

Yahoo! Finance: The housing market is slowing down, and that’s a bad sign for the economy

Friday July 27 2018

Politico: 10 years after crisis, Fannie, Freddie trigger new alarms about growing role

American Banker: Seven contenders to become Read More

June 2018

Thursday June 14th 2018
Good news everyone. I have found someone to take over gselinks. This site will continue to be a source for daily GSE news. Check back next week for more.
Monday June 11th 2018
Bad news everyone, this is going to be the last daily update. I find myself with less and less time each day to run the site. Thanks for visiting and in the end I know the truth will prevail.
Follow @DoNotLose for the court filings.
Dalrymple column: Let Fannie and Freddie do what they do well – postindependent.com
Freddie Mac Announces Securitization of Reperforming Loans – DS News
Affordable Housing vs. GSE Reform – The MReport
Sunday June 10th 2018
Back and rested; point me toward the bad guys! – Bill Maloni’s GSE Blog
Friday June 8th 2018
Reviewing GSE Recapitalization Mechanics And Potential Outcomes – Seeking Alpha by Glen Bradford
Fannie Mae: Change in Mortgage Market ‘Remarkable’ and ‘Intense’ – biglawbusiness.com
Thursday June 7th 2018
New filing in the Angel case, click here to view.
Peter Chapman writes, “Fannie, Freddie and FHFA have asked the Court to extend their time to file a motion to dismiss Mr. Angel’s lawsuit to July 12, 2018.”
Peter Chapman writes further, “Judge Boasberg entered a paperless order this morning directing Mr. Angel to file any objection by June 11, 2018.”
Jerome Corsi Live Stream – Thursday, June 7, Review Current Events – Youtube
Jerome Corsi discusses the Net Worth Sweep.
Wednesday June 6th 2018
In Multifamily Finance, Fannie and Freddie Are Still the Elephant in the Room – Commercial Observer
Short Takes: Hey, Hands Off of GSE Multifamily / What Ed DeMarco Wanted To Do… – Inside Mortgage Finance
GSE Outlook Stays the Course – multihousingnews.com
Tuesday June 5th 2018
Shifting the risk of mortgage defaults
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May 2018

Thursday May 31st 2018
The Government Creates Another Housing Bubble – The Wall Street Journal
Subscription required for access.
Washington Post: Fannie and Freddie will soon offer modern mortgages for the gig economy – HousingWire
Owning a home important in the Valley; that’s why I voted for this act – mercedsunstar.com
“In Congress, I have opposed loan limit reductions which would make it harder for Californians to get mortgages. I supported federal housing finance reform that winds down Freddie Mac and Fannie Mae while maintaining an explicit federal guarantee to create stability in the housing market.” By Jim Costa
Wednesday May 30th 2018
New filing in the Jacobs and Hindes case, click here to view.
The Beat Goes On: GSE Credit Scores Much Higher Than on Ginnie Product – Inside Mortgage Finance
Tuesday May 29th 2018
Putting The Real H In HUD – American Action Forum
Short Takes: All FHFA Wants is Parity… – Inside Mortgage Finance
Fannie, Freddie want to make mortgages easier for gig-economy workers – Miami Herald
U.S. taxpayers need stronger protection from the next housing crash – MarketWatch
Moody’s: Looser GSE mortgage guidelines credit negative for CRT transactions, some prime deals – Business Insider
Rescission Package Threatens Promise of the Capital Magnet Fund – novoco.com
Friday May 25th 2018
The Dodd-Frank vote stands in the way of helping working class and low-income families – The Hill
Jerome Corsi Live Stream – Friday, May 25, 2018 – update current events – Youtube
Jerome Corsi calls for the end of the Net Worth Sweep.
Thursday May 24th 2018
ICBA Statement on Capital Proposal from FHFA Director Mel Watt – icba.org
CDS Creativity Is Everywhere – Bloomberg
Scroll down to ‘Fannie and Freddie.’
Senators Divided on Prospects for Housing-Finance Reform Legislation this Year – Inside Mortgage Finance
U.S. Fed
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April 2018

Monday April 30th 2018
New filings in the Jacobs and Hindes case.
17-3794-0018
17-3794-0019
Peter Chapman writes, “Treasury and FHFA filed their briefs in the Third Circuit last week.”
New filing in the Rafter case, click here to view.
Peter Chapman writes, “The Rafter Plaintiffs ask Judge Sweeney to join Fannie Mae as a nominal defendant to their lawsuit in the U.S. Court of Federal Claims against the government. The Rafter Plaintiffs tell Judge Sweeney that joinder is necessary at this time for the court to properly consider the Rafter Plaintiffs’ derivative shareholder claims. The government has advised the Rafter Plaintiffs it opposes the request, saying it is premature, and Fannie Mae’s indicated it opposes the request.”
Mnuchin on the future of Fannie Mae and Freddie Mac – Fox Business Video
Treasury unveils ‘fix’ for restoring Fannie Mae, Freddie Mac – Fox Business
Steven Mnuchin: Legislation on Fannie, Freddie won’t happen this year – Washington Examiner
GSE reform unlikely to happen this year: Mnuchin – American Banker
Mnuchin wants GSE reform in 2019. There’s a problem with that – American Banker
Analyst Now Sees Less Than 10% Chance Congress Tackles Fannie, Freddie Reform This Year – benzinga
Fannie Mae Announces Scheduled Release of First Quarter 2018 Financial Results – markets.businessinsider.com
“Fannie Mae today announced plans to report its first quarter 2018 financial results on Thursday morning, May 3, 2018, before the opening of U.S. financial markets.”
Friday April 27th 2018
New Mortgage Bonds May Prove a Double-Edged Sword for Investors – Bloomberg
What We’re Hearing: GSE Reform? How About 2021? / The Return of Ed DeMarco? / No Political ‘Protection’ for Fannie and Freddie… – Inside Mortgage Finance
Thursday April 26th 2018
Redacted Complaint Analysis Reveals Clues About GSE Discovery Material – Seeking Alpha by Glen Bradford
US housing: how
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March 2018

Friday March 30th 2018
Time’s up: GSE reform ain’t happening this year – American Banker
Treasury’s Vampire Strategy Towards Mortgage Giants Fannie Mae and Freddie Mac (Draw Lets Treasury Feed Off Of Fannie and Freddie Profits For Years To Come) – confoundedinterest.net
What We’re Hearing: Not Much Time Left for the GSE ‘Gang of Four’ / Don (Heart) Fannie and Freddie… – Inside Mortgage Finance
Fannie Mae Completes First Credit Insurance Risk Transfer Transaction of 2018 on $16.9 Billion of Single-Family Loans – PR Newswire
Table 1: Quarterly Draws on Treasury Commitments to Fannie Mae and Freddie Mac per the Senior Preferred Stock Purchase Agreements – fhfa.gov
The draw is documented on page 2.
Thursday March 29th 2018
FHFA Updates Progress on Fannie Mae and Freddie Mac Credit Risk Transfer Programs – fhfa.gov
FHFA Report Details Progress on the 2017 Scorecard for Fannie Mae and Freddie Mac – fhfa.gov
FHFA: Here are 10 things the GSEs did to improve access to credit in 2017 – HousingWire
Risks of lax underwriting far outweigh the rewards, MBA chief warns – National Mortgage News
U.S. Fed buys $2.9 bln of mortgage bonds, sells none – kitco.com
A Lost Decade – American Action Forum
Wednesday March 28th 2018
NLIHC Joins Civil Rights and Other Stakeholder Groups on GSE Reform – nlihc.org
Column: End crony housing trust funds – detroitnews.com
New York foreclosure firm accused of cheating Fannie Mae out of millions – HousingWire
FHFA Announces June 2019 Implementation of the New Uniform Mortgage-Backed Security – fhfa.gov
Freddie Mac Statement on the June 2019 Implementation of the New UMBS – marketwired.com
Tuesday March 27th 2018
New filing in the Voacolo case, click here to view.
Peter Chapman writes, ‘FHFA delivered its motion to dismiss to Judge Martinotti (yesterday). FHFA echoes Treasury’s arguments and adds to
Read More

February 2018

Wednesday February 28th 2018
A new lawsuit has been filed. Owl Creek v. U.S., click here to view.
Peter Chapman writes, “Owl Creek filed a lawsuit against the government in the U.S. Court of Federal Claims late last week. Owl Creek is represented by a team of corporate restructuring lawyers led by Bruce Bennett at Jones Day. Owl Creek owned approximately $2 billion of junior preferred stock in the GSEs acquired post-conservatorship and prior to imposition of the Net Worth Sweep. Count III of the complaint, at pp. 43-44, says HERA’s succession clause imposed duties on the government to honor the GSEs’ contracts and look out for non-controlling shareholders’ interests, and the government breached those duties. Count IV of the Complaint, at pp. 44-47, says the government breached its implied-in-fact contract with Owl Creek and other junior preferred shareholders.”
Peter Chapman further writes, “Owl Creeks’ team of lawyers at Jones Day has requested access to non-public discovery materials, and an updated chart showing who has access to those materials is (linked here).”
New note in the Collins case.
Peter Chapman writes, “Chief Judge Stewart and Judges Haynes and Willett are the three-judge panel who will hear argument in the Collins case before the Fifth Circuit one week from today in Fort Worth. See
http://www.ca5.uscourts.gov/clerk/calendar/1803/27.cthse.htm
“ICBA’s @HaynieRon on GSE reform: There are modifications and reforms that need to happen…” via @ICBA – Twitter
Get the Housing Industry Out of the U.S. Tax Code – Bloomberg View
The GSEs are not mentioned.
End of Watt’s Term as FHFA Director Seen as Leverage for Republicans in Congress – Inside Mortgage Finance
Freddie Mac Portfolio Up $2.4 Billion – The MReport
Fannie & Freddie Bailout Request Highlights Need for Housing Finance Reform – atr.org
From February 19th.
Tuesday February 27th 2018
New
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January 2018

Wednesday January 31st 2018
Redline Comments On Bob Corker’s GSE Bill Draft 29 – Scribd
By Josh Rosner
Corker’s GSE Bill Raises a Host of Questions. Five or Six MBS Guarantors Need to be Up and Running For it to Work – Inside Mortgage Finance
“Elizabeth Warren throwing some pretty cold water on the draft Corker-Warner housing overhaul…” via @peteschroeder – Twitter
Housing Policy Didn’t Cause the 2007 Crash – The Wall Street Journal
Subscription required for access.
Tim Howard comments on the Corker/Mnuchin meeting – Howard on Mortgage Finance
Tim Howard comments on the Draft of C-W 2.0 – Howard on Mortage Finance
Blog: Treasury’s Mnuchin talks GSE reform – Scotsman Guide
Trump speech bodes ill for banks’ D.C. priorities – American Banker
Mayor, Senator…Now What? – chattanoogapulse.com
Milken Institute White Paper: GSE duopoly must end, enabling new firms to compete with Fannie Mae (or any successors) – ValueWalk
Tuesday January 30th 2018
New filing in the Cacciapalle case (U.S. Supreme Court), click here to view.
Peter Chapman writes, “The Class Plaintiffs delivered a reply brief to the High Court today reminding the Justices that there is a split of authority among the Circuit Courts of Appeal that requires resolution.”
New filing in the Fairholme case (U.S. Supreme Court), click here to view.
Peter Chapman writes, “Fairholme delivered a reply brief to the U.S. Supreme Court today urging the Justices to accept its appeal for review and rein in the unlimited power FHFA thinks it has under HERA.”
New filing in the Perry case (U.S. Supreme Court), click here to view.
Peter Chapman writes, “Perry Capital delivered a reply brief to the High Court today. Perry tells the Justices that review is warranted to halt the “lawless government overreach” exemplified by the Net Worth Sweep and to prevent the
Read More

December 2017

Friday December 29th 2017
Time to reform Fannie and Freddie is now – American Banker
Fannie and Freddie regain capital reserves; withhold billions from Treasury – HousingWire
What We’re Hearing: The Biggest Story of 2018? Fannie and Freddie, Of Course… – Inside Mortgage Finance
MBS Analysis: Looks Like the GSEs are Taking Market Share from FHA – Inside Mortgage Finance
Tax Overhaul Tops Tumultuous Year for Finance, With GSE Reform Possible in 2018 – Morning Consult
Thursday December 28th 2017
Better luck next year… – Bill Maloni’s GSE Blog
FHFA seeks input on GSE credit scoring system – Dodd Frank Update
Subscription required for access.
Fannie and Freddie make more money per employee than almost any other company – HousingWire
Expected on GSE Reform: Reconstituted Versions of Fannie and Freddie but… – Inside Mortgage Finance
Wednesday December 27th 2017
Schroder GAIA Paulson Merger Arbitrage Quarterly Fund Update Third Quarter 2017 – schroders.com
Private Capital, Not Crony Government Housing Trust Funds, Should Finance Housing Markets – The Daily Signal
Credit risk transfer bonds rise to one of best performing debts of 2017 – HousingWire
Investors are betting billions that your neighbor won’t default on his mortgage in 2018 – The Real Deal
Tuesday December 26th 2017
Fannie and Freddie Continue in Limbo while Congress Looks for a Permanent Fix for the Housing Finance Market – cato.org
50 Companies to Watch – Bloomberg
GSEs are number 21.
The Next Big Trade for Bond Investors Is Betting on U.S. Homeowners – Bloomberg
Add civil rights voices to housing policy reforms – The Philadelphia Tribune
10 top mortgage stories of 2017 – National Mortgage News
GSEs are on slide 10.
Federal Housing Finance Agency, Treasury reinstate capital reserves for Fannie, Freddie – Financial Regulation News
Financials, Fannie And Freddie: One Analyst’s Big Ideas For
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November 2017

Thursday November 30th 2017
The Economics of Reform – Howard on Mortgage Finance
ICBA Statement on GSE Profit Sweep Discussions – icba.org
Fannie And Freddie Watch: The Latest News Out Of Washington – benzinga
How Tax Reform Could Accelerate GSE Reform And Not Necessarily In A Good Way – Forbes
Acting Ginnie Mae President Michael Bright Makes His Pitch to Have Ginnie be the Big Kahuna of Government MBS – Inside Mortgage Finance
U.S. Fed buys $3.4 billion of mortgage bonds, sells none – Reuters
Wednesday November 29th 2017
New filing in the Roberts case, click here to view.
Peter Chapman writes, “FHFA lawyer Howard Cayne at Arnold & Porter advised the Seventh Circuit about the Sixth Circuit’s decision to reject Ms. Robinson’s challenge of the Net Worth Sweep based on her APA claims and Judge Sleet’s decision to reject Messrs. Jacobs and Hindes’ state law claims to invalidate the Third Amendment.”
New notation in the Bhatti case.
Peter Chapman writes, “The Court Clerk made a notation (Doc. 50) on the docket sheet indicating that Judge Schlitz has rescheduling the hearing on FHFA and Treasury’s motions to dismiss and the Bhatti Plaintiffs’ motion for summary judgment. The hearing will be held at 9:00 a.m. on Thurs., Dec. 21, 2017, in Minneapolis.”
Fannie-Freddie Watchdog Stokes Quiet Fight With White House – Bloomberg
Fannie and Freddie are fighting with the Trump administration over $7.7B – The Real Deal
Short Takes: Watt and Treasury, is there a Deal? / GSE MBS Investors May Want More Yield… – Inside Mortgage Finance
Fannie Mae Completes Final Credit Insurance Risk Transfer Transaction of 2017 on $16 Billion of Single-Family Loans – fanniemae.com
Fannie Mae transfers $16 billion in credit risk for last transaction of 2017 – HousingWire
Tax reform threatens to drain GSEs’ dwindling capital –
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