If Edward DeMarco is puzzled by the outrage over the revelation that Freddie Mac was investing in securities that paid off if homeowners couldn’t refinance, then call us puzzled by his puzzlement. Either he’s a bold-faced liar or he is just plain dense. Does he really not get it?
DeMarco, the acting director of the Federal Housing Finance Agency, had the gall to tell National Public Radio this morning that one of his major responsibilities was to make sure that Freddie Mac didn’t lose money. NPR, by the way, was one of the agencies that broke the story in the first place.
Eddie, you’re a now a government-run company. You were semi-private at one point, but now you are an arm of the government. You should be looking out for the homeowner, and that’s it. You can claim that these investments, which for all intensive purposes were betting against homeowners, were just routine financial transactions.
We ain’t buying it.
Freddie Mac was created solely to help ease up the mortgage market and make it easier for people to get into homes. Anything counter to that, which clearly these investments were, goes against your mission statement. We’re not interested in profit, we want to see more people in homes.
Eddie, as Donald Trump would say, You’re Fired!