Watch Our Government Make Insiders Even Richer
September 7, 2008 by Frank Lynch.
In previous posts I criticized regulators for not shutting down trading in insolvent stocks like Fannie Mae and Freddie mac.
Watch the details of the takeover of those companies. I guarantee the regulators will not do the right thing and take them over the same way as banks are taken over, by eliminating the common stock completely.
We know 9 percent of m ortgages are bad and Fannie and Freddie only have 3 percent capital so they are insolvent by 300 percent, so the stock is worthless.
Watch the regulators do a takeover sufficiently complex that you and I do not dare buy the stock immediately, yet the Wall Street insiders will know the true value and will get even richer by having access to information that you and I don’t.
Put em all in jail.