Three years ago, I put former Fannie Mae and Freddie Mac CEOs Daniel Mudd, Frank Raines and Richard Syron at the top of the list of those responsible for the financial crisis.
Since then, the Securities and Exchange Commissionand various class-action groups have filed lawsuits alleging these former executives committed all sorts of accounting and securities fraud. Sounds great, right? We the people are finally getting justice, right?
Wrong. Guess who’s footing the roughly $200 million in legal bills to defend these alleged crooks against all those legal actions? You are. The taxpayers. The same is true of $400 million that Fannie Mae already paid to settle an SEC fraud suit. And that’s just the tab to date; this will go on for years and years.
Even worse, this shouldn’t be happening. Crony federal regulators and executives appointed by those same regulators after the flailing pseudo-government entities were brought under the federal government’s conservatorship are letting it happen instead of doing their job of protecting the American people.
Steve Tobak, CBS News, March 5, 2012