US Subprime meltdown began with a love affair - WTF??!!!

This is totally fubar. From
http://www.businessandmedia.org/articles/2008/20080924145932.aspx

Barney Frank, the Chairman of the House Financial Services Committee, was having a love affair with Herb Moses, one of the officials at Fannie Mae, the Federal mortgage lending institute. "Moses was the assistant director for product initiatives at Fannie Mae and had been at the forefront of relaxing lending restrictions at the company for rural customers, according to the Feb. 23, 1998, issue of National Mortgage News (NMN).

"The July 3, 1998, Reliable Source column in The Washington Post reported Frank, who is openly gay, had a love affair with Herb Moses, an executive for the now-government controlled Fannie Mae. Frank was referring to Moses as his “spouse.” Another Washington Post report said Frank called Moses his “lover” and that the two were “still friends” after they broke up.

While the relationship reportedly ended 10 years ago, Frank was serving on the House Banking Committee the entire 10 years they were together. The committee is the primary House body which along with the Office of Federal Housing Enterprise Oversight (OFHEO) has jurisdiction over the government-sponsored enterprises.

While Moses served at Fannie Mae and was Frank’s partner, Frank was actively working to support GSEs, according to several news outlets.

According to an article by Kathleen Day in the Oct. 8, 2003, Washington Post, Frank opposed giving the Bush administration the right to approve or disapprove business activities that “could pose risk to the taxpayers.” He told the Post he worried the Treasury Department “would sacrifice activities that are good for consumers in the name of lowering the companies’ market risks.

That's a major breakdown in conflict of interest. School raffles have more integrity than this organization.

This can't seriously be happening. WTF, is going wrong with America? And why has the media ignored this issue?

The problems with Fannie Mae and the mortgage industry doing yoga accounting was well known back in 2004. However, the Democrats did their utmost to prevent greater scrutiny of the issue. Its amazing that they have the audacity to blame George Bush for the problems.

Read the Wall Street Journal article on the crisis at Fannie Mae here.

See here for the Democrat defending Fannie Mae. Disgusting. And here. "We're trying to fix something that ain't broke.

What wicked people. Its so sad to see people placed in positions of responsibility acting so badly.