Monday, January 28, 2008

Clear as Mudd

In reading the commentary today's Washington Post by Fannie Mae chief Daniel Mudd all I can say is Hola Suckers. His attempt to use this taxpayer backed organization to help banks in the disguise of helping clear the current economic mess is pathetic. But of course it's not what he says it's how he says it. Here are some of the money quotes:

"Fannie Mae is not exempt from the housing cleanup. We have spent three years and billions of dollars repairing our accounting and our governance. We are taking our lumps along with the industry, but are now prepared to be part of the solution."

"Repairing your accounting and governance"? Don't you mean Mr. Mudd: waste fraud and abuse? Or is it just corruption and incompetence? And by the way where did the billions of dollars come from to make these "repairs"?

"New Americans in particular face a tortuous path to homeownership. Over the past 10 years, the Internal Revenue Service has issued more than 8 million tax identification numbers to immigrants. People who pay taxes and reside here legally deserve a chance to own a home. Some lenders use these numbers to verify identity and provide loans; others do not because there is no clear standard. We need one."

Why don't all lenders use tax identification numbers to verify identity Mr. Mudd? Because just about anyone can get a tax payer identification number. Yes, even illegal immigrants! Giving loans out to people like illegal immigrants who already show a proclivity to break U.S. laws is not a good business model as the sub prime debacle has already shown. Your lack of knowledge regarding taxpayer identification and the law does not give me much hope that this sub prime mess will get better soon.

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