Funding Failure: Fannie & Freddie Execs Paid Millions in Bonuses

4 Apr

From Hot Air (emphasis mine):

If any organization should see a big restriction in executive compensation, it should be the government-seized, taxpayer-rescued Fannie Mae and Freddie Mac. Congress has expanded the bailout of the two GSEs at the heart of the global economic collapse a number of times, with the potential cost to the Treasury estimated as high as $363 billion dollars.  Recall, too, that the Obama administration created a “pay czar” to regulate executive compensation at private-sector banks that took TARP money to discourage excessive compensation.  As the Wall Street Journal reported last week, the White House seems to care less about that issue in the public sector:

A federal watchdog criticized federal regulators’ oversight of executive pay packages for top officials at Fannie Mae and Freddie Mac in a report published Thursday.

The top six executives at the mortgage giants earned $35 million in the last two years, according to the report from the inspector general of the Federal Housing Finance Agency, which regulates the mortgage giants.

The Obama administration felt it necessary to create a “pay czar” to monitor the pay and bonuses of executives in the private sector who took TARP money to “discourage excessive compensation,” but have no problem with “excessive compensation” at government-funded organizations like Fannie and Freddie.

Hypocrisy on parade.

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