The Housing Chronicles Blog: Would the last honest person in the U.S. please turn out the lights?

Wednesday, December 10, 2008

Would the last honest person in the U.S. please turn out the lights?

I remember last week my reaction to a report that students who cheat still consider themselves "good people" -- a complete and total lack of surprise. I'm sure the heads of Fannie Mae and Freddie Mac also thought the same thing. At least drug dealers and armed robbers know what they're doing is illegal; in some twisted way, that actually makes them more honest than the so-called professionals who've been running the housing industry over the last decade. From an AP story via MSNBC:

Top executives at mortgage finance companies Fannie Mae and Freddie Mac ignored warnings that they were taking on too many risky loans years before the housing market plunged, according to documents released Tuesday by a House committee.

E-mails and other internal documents released by the House Oversight and Government Reform Committee show that former Fannie Mae CEO Daniel Mudd and former Freddie Mac CEO Richard Syron disregarded recommendations that they stay away from riskier types of loans.

Click here for full story.

No comments: