Fannie Mae Investors’ Fate Decided by Courts, Crapo Says
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The U.S. Senate plan to dismantle Fannie Mae and Freddie Mac will leave it to the courts to decide how investors in the two companies are treated, Senator Mike Crapo said today in a Bloomberg Television interview.
“They have filed suit right now in order to challenge the way that the current conservatorship is managing the current profitability of Fannie Mae and Freddie Mac,” said Crapo, the Idaho Republican who is co-writing the bill with Senate Banking Committee Chairman Tim Johnson. “We are not necessarily going to dictate the outcome of that. That will be a decision that’s made in the courts.”