The two loons largely responsible for the housing and mortgage debacle are Barney Frank and Chris Dodd.

Barney Frank, the Chairman of the House Financial Services Committee, and Dodd who is chairman of the Senate Banking Committee, have their fingerprints all over this mess.

After Fannie Mae reported a first quarter loss of more than $13 billion dollars, they now come back to the tax payers requesting another $8.4 billion dollars from the government.

Fannie Mae reports it lost $13.1 billion dollars in the period of January-March 2010 that takes into account $1.5 billion in dividends paid to the Treasury Department.

Did I hear some government idiot say that the recession is over and we are on an upward trend (albeit a very slow trend) toward recovery?

If I remember correctly sometime late last year, Obummer and Company pledged to cover unlimited losses through 2012 for Freddie and Fannie which lifted a cap of $400 billion.

Are either one of these mismanaged giants really too big to fail?

This new request for aid will bring Fannie Mae’s total to $83.6 billion, and that brings the total for both entities to nearly $145 billion dollars.

You might think that these two giants would be targets of some heavy duty reforms and restructuring under Senator Chris Dodd’s very controversial new Senate financial reform, but nooooooo, in fact the Senate “finance reform” bill makes absolutely no mention of Fannie or Freddie.

Together these two giant sponges own approximately $5.5 trillion dollars worth of mortgages which is about half of all the mortgages in America.

These two companies bought all sorts of highly risky loans from banks after the lenders – under pressure from Democrats to promote home ownership for a whole lot of folks who were in no way qualified borrowers.

Now comes the unbelievable part, Obummer and his stooges tell the Associated Press it is too early to draft proposals to reform the two companies or the broader housing finance system. WHY??????????

The Administration has refused to cooperate with a Freedom Of Information Act request from Judicial Watch concerning the two agencies.

The Federal Housing Finance Agency claims: “Any records created by or held in the custody of the Enterprises reflecting their political campaign contributions or policies, stipulations and requirements concerning campaign contributions necessarily are private corporate documents. They are not “agency records” subject to disclosure under FOIA. That sure sounds like legal mumbo jumbo to me!

I think their reluctace to be forthcoming is probably because through 2008 right up to the election, Obummer and Chris Dodd were the two biggest recipients of their largesse.

This should have been seen coming a long time ago.

On December 18, 2006 U.S. Regulators filed 101 civil charges against chief executive officer Franklin Rains; Chief financial officer J. Timothy Howard; and the former controller Leann G. Spencer.

The three were accused of manipulating Fannie Mae earnings to maximize their bonuses. The lawsuit sought to recoup more than $115 million dollars in bonus payments, collectively accrued by the trio from 1998 – 2004, and about $100 million dollars in penalties for their involvement in the accounting scandal.

Fast forward to June 2008, the Wall Street Journal reported that two former CEOs of Fannie Mae, James A. Johnson and Franklin Raines had received loans below market rate from Countrywide Financial (hello Senator Dodd) . Fanny Mae was the biggest buyer of Countrywide’s mortgages.

Fannie Mae and Freddie Mac have given contributions to lawmakers currently sitting on committees that primarily regulate their industry: The House Financial Services Committee (Barney Frank); the Senate Banking, Housing and Urban Affairs Committee (Chris Dodd); or The Senate Finance Committee.

The others have seats on the powerful Appropriations or Ways and Means Committee, are members of the congressional leadership or have run for president.

This is a real bag of snakes (you know, you scratch my back, I will scratch yours) and the Rubes (meaning we the people) will never know the difference.

OH REALLY?

WAKE UP AMERICA!!!

Submitted to the Federal Observer for publication, by the author, Aaron Cantor