Think Enron Was Bad? ‘Fredron’ and ‘Fanron’ May Be Worse
freddie & Fannie were notorious for their heavy Washington lobbying. They bought the support of Congressmen & Senators who managed to get onto the financial oversight committees so that they would be in a position to collect campaign financing from Wall street that wanted to make sure that no real regulation would take place. Fan & Fred have have been loading up on risky mortgages for ages, under-stating the risks largely to increase their stock price so that their CEO’s can pay themselves tens of millions of dollars in salary & stock options. Now they are essentially insolvent, as the principal itself is in question. There was widespread criticism of this year after year. Why was nothing done? Answer is below:
“Capital must protect itself in every way….Debts must be collected and loans and mortgages foreclosed as soon as possible. When trough a process of law the common people have lost their homes, they will be more tractable and more easily Governed by the strong arm of the law applied by the Central power leading financiers. People without homes will not quarrel with their leaders. This is well known among our principle men now engaged in forming an imperialism of capitalism to govern the world. By dividing the people we can get them to expend their energies in fighting over questions of no importance to us except as teachers of the-common herd.”__JP Morgan
