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Thursday, November 12, 2015

The Stench Of Freddie Mac Is Back——$18 Billion In Crony Capitalist Thievery

http://davidstockmanscontracorner.com/the-stench-of-freddie-mac-is-back-5-billion-in-crony-capitalist-thievery/

Washington’s capacity to foster crony capitalist larceny and corruption never ceases to amaze. But according to the Bloomberg story below, Wall Street’s shameless thievery from US taxpayers is about to get a whole new definition.
To wit, Freddie Mac is handing three private equity billionaires deeply subsidized debt financing in order to undertake $18 billion in rental apartment deals. According to no less an authority than Morgan Stanley, the subsidy embedded in this cheap financing amounts to 150 basis points or roughly $150 million per year on the loan amounts in play.

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