Skip to main content

  • Comment Detail

  • Date: 10/17/17
    First Name: jose
    Last Name: Cairella
    Email: mariocairella@yahoo.com
    Organization Type: federal government
    Organization: Mr.

  • Comment

    I encourage FHFA to allow Director Mel Watt to exercise his statutory authority under the Housing and Economic Recovery Act of 2008 (HERA) and end the GSEs’ woefully inadequate capital reserves by ending the Net Worth Sweep. As instructed under HERA, FHFA has guided the Enterprises back to a safe and solvent condition, accounting for future market liquidity and stability. A continued conservatorship and ongoing quarterly dividend payments will leave the Enterprises at danger’s doorstep in two short months, come January 1, 2018, when each entity is operating on zero capital.

    The government has been paid back and there is no logical reason to continue the Net Worth Sweep, a practice that is counter to the interests of taxpayers and shareholders – a concern that has been echoed by Members of Congress, Director Mel Watt and Treasury Secretary Steven Mnuchin. As conservator, it is the Agency’s rightful duty to protect taxpayers from another bailout and to uphold the rule of law.

    After nine long years of the GSEs in conservatorship, returning the entities back to their rightful owners – the shareholders -- will be welcome, long awaited news for so many Americans (seniors, common savers, veterans, etc ..) as well as int'l investors who always believed in the USA rule of law sticking.

    My full cell number is +5491144101635