Fannie & Freddie bailout in the works: Congressman confirms intervention
dunkelberg | September 6, 2008 at 01:38 pmby
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Reports say the bailout of Fannie and Freddie is imminent.
SAN FRANCISCO (MarketWatch) Rep. Barney Frank (D., Mass.) confirmed Saturday that Treasury Secretary Henry Paulson is planning government intervention to back troubled mortgage giants Fannie Mae and Freddie Mac. The chairman of the House Financial Services Committee said in a statement Saturday that Paulson "intends to use the powers that Congress provided it" in a law passed in July to keep Fannie Mae and Freddie Mac stable and functioning, according to a report from the Wall Street Journal. But Frank said he didn't "know the details of the proposed interventions," and a Treasury spokeswoman declined to comment, according to the Journal.