THE @US1stCircuitCt SLAMS THE CONSPIRATORS' SLOGANS REGARDING
-The SPSPA is a contract
-The SPSPA is the backstop
-FHFA went out there to find financing in 08
Actions PURSUANT TO AN AUTHORITY IN THE CHARTER.Guess what! There are more provisions!#Fanniegate @TheJusticeDept @Scotus
The judge cites an authority of UST(added by HERA)to purchase UNLIMITED YIELD obligations SPS +Warrant(iii)to protect the taxpayer.
But a provision W/ THE SAME NAME,already existed in the Charter w/ low cost funding,consistent w/ the provision FEE LIMITATION that bars the Warrant
The UST backstop is the Charter,not the PA.
HERA allowed the 10%/NWS div,but the FHEFSSA restricts the Capital distributions unless it's applied towards SPS repayment(exception B).FHFA added(2011)a fraudulent exception(1)for Recap.
Low cost funding prevails: 0% due to collateral.
The warrant is a security,so we must see whether it was authorized in the law.
The law is related to the PURCHASE of securities and obligations,but it turns out that the UST hasn't PURCHASED a damned thing(either it gets SPS for free or LP increases)to evade the Dec2009 deadline.
THE WARRANT
I don't care whether the requirement(iii)to protect the taxpayer applies or not.If you say it doesn't because it wasn't purchased but the UST got it for free as compensation(like today's SPS)➡️illegal in the Fee Limitation.Both lead to COLLATERAL.
REMINDER:restriction
Share this Scrolly Tale with your friends.
A Scrolly Tale is a new way to read Twitter threads with a more visually immersive experience.
Discover more beautiful Scrolly Tales like this.