Lawyers Dream....Taxpayers nightmare

[El Presidente]

In October, Freddie Mac (the government-sponsored but privately owned home mortgage financier -- whose massive debts have been assumed in a federal "bailout" administered by the Treasury Department) filed a claim in Tax Court against the Internal Revenue Service, denying IRS's claim that it owes $3 billion in back taxes from 1998-2005. Should taxpayers care? If Freddie Mac wins, IRS (which is also housed in the Treasury Department) loses out on the $3 billion in alleged back taxes. If IRS wins, it gets its $3 billion, which will undoubtedly be paid with taxpayer bailout money. Lawyers for both sides seem to think that pursuing the lawsuit is important. [bloomberg News, 11-10-10]

[PigFish]

F--- Fannie and Freddie!

One of these days I will take some time to blog a little that I know of these institutions. These two institutions via a pathway referred to as Moral Hazard caused the CDO meltdown! The former CEO of this "government sponsored entity" took nearly 90 million dollars out of this institution, likely paid on originations and not on underwriting prudence as he and his political cronies ****ed the secondary and tertiary mortgage markets for self interests.

This entity should BK and the government should stay out of underwriting anything, including mortgages! -Piggy

[Jesuscookies]

3 billion to save a room full of lawyers jobs? Close enough for Government work.

[jawofboston]

F--- Fannie and Freddie!

One of these days I will take some time to blog a little that I know of these institutions. These two institutions via a pathway referred to as Moral Hazard caused the CDO meltdown! The former CEO of this "government sponsored entity" took nearly 90 million dollars out of this institution, likely paid on originations and not on underwriting prudence as he and his political cronies ****ed the secondary and tertiary mortgage markets for self interests.

This entity should BK and the government should stay out of underwriting anything, including mortgages! -Piggy

+1!!!!!

[sblevit]

It's a silly issue for obvious reasons.

[cigcars]

....And if Freddie Mac is found to owe those taxes and they don't pay up, I take it that it would be naive to even show puzzlement if THOSE executives don't go to prison.

[Ken Gargett]

In October, Freddie Mac (the government-sponsored but privately owned home mortgage financier -- whose massive debts have been assumed in a federal "bailout" administered by the Treasury Department) filed a claim in Tax Court against the Internal Revenue Service, denying IRS's claim that it owes $3 billion in back taxes from 1998-2005. Should taxpayers care? If Freddie Mac wins, IRS (which is also housed in the Treasury Department) loses out on the $3 billion in alleged back taxes. If IRS wins, it gets its $3 billion, which will undoubtedly be paid with taxpayer bailout money. Lawyers for both sides seem to think that pursuing the lawsuit is important. [bloomberg News, 11-10-10]

ahh, if only you knew just how unfair that is.

the fiorm i usewd to work with in DC had fannie may as a client, a major one. we did a lot of good work with them in the old days. think we also did some freddie stuff tho i was not involved with that.

even lawyers have to eat (well).

[PigFish]

ahh, if only you knew just how unfair that is.

the fiorm i usewd to work with in DC had fannie may as a client, a major one. we did a lot of good work with them in the old days. think we also did some freddie stuff tho i was not involved with that.

even lawyers have to eat (well).

... you bottom feeder!!! -LOL That where all the good stuff hangs out. Halibut, lobster, crab... my old waders! -Piggy