Archive for 22 February, 2012

Taxpayers Have Shelled Out Millions of Dollars to Defend Fannie and Freddie Executives

22 February, 2012

Considering that Obama’s trillion dollar Stinkulus Package cost American Taxpayers more than it took to send a man to the moon AND build our interstate highway system,  $100 million in legal fees is just a drop in the bucket.  However, remind me again why it is we are shelling out money to DEFEND the very same executives at Fannie and Freddie who helped collapsed our financial system to begin with?:

Legal Fees Mount at Fannie and Freddie
Gretchen Morgenson – NYT

Taxpayers have advanced almost $50 million in legal payments to defend former executives of Fannie Mae and Freddie Mac in the three years since the government rescued the giant mortgage companies, a regulatory analysis has found.

In that time, $37 million has gone to three former Fannie Mae executives accused of securities fraud, according to the analysis by the inspector general of the Federal Housing Finance Agency [FHFA], which oversees both companies.

[...]

“F.H.F.A. and Fannie Mae believe that their options are limited in paying current legal fees for former officers and directors,” [the Inspector General of the FHFA, Steve A Linick,] said in a statement. But he called for greater oversight. The legal costs are the responsibility of taxpayers because of contracts struck by the companies before they collapsed.

[...]

But with legal outlays since 2004 reaching $99.4 million for Franklin D. Raines, Fannie Mae’s former chief executive; J. Timothy Howard, former chief financial officer; and Leanne G. Spencer, former controller, it seems unlikely that the taxpayers will ever recover the money even if some or all of them are found liable.

[...]

The inspector general’s report noted that the legal contracts could have been repudiated when the companies were taken over in September 2008. They were not, though, and taxpayers have covered the costs since then. Taxpayers are also bearing the cost of recent lawsuits by the Securities and Exchange Commission against the top executives who were running the mortgage companies when they failed.

[...]

Obama Shutting Down Cooperative Program in which ICE Trains Local Policemen for Immigration Enforcement

22 February, 2012

Yeah…  I figure Obama is going to need all those illegal voters to help him get reelected:

Obama to Shut Down Immigration Enforcement Program

USAToday – Alan Gomez

WASHINGTON – The Obama administration is starting to shut down a program that deputized local police officers to act as immigration agents.

Immigration and Customs Enforcement officials have trained local officers around the country to act as their agencies’ immigration officers. Working either in jails or in the field, the officers can check the immigration status of suspects and place immigration holds on them.

The program, known as 287(g), reached its peak under President George W. Bush, when 60 local agencies signed contracts with ICE to implement it. But that trend slowed significantly under President Obama— only eight agencies have signed up since he took office, and none has done so since August 2010.

Now, in their proposed budget for the upcoming year, Department of Homeland Security officials say they will not sign new contracts for 287(g) officers working in the field and will terminate the “least productive” of those agreements — saving an estimated $17 million. All the contracts between ICE and local police agencies run for three years, so that portion of the program could be finished by November when the last contract for field officers expires.

In its budget request, DHS said officials instead will focus on expanding Secure Communities, a program that checks the fingerprints of all people booked into local jails against federal immigration databases. The followup work in those cases is done by ICE agents, not local police.

[...]


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