Posted by Tina
** Fannie and Freddie are paying out those bonuses anyway regardless of Barney Franks demands and the populist furor over AIGs bonus payouts. Frank, the chairman of the Financial Services Committee, sent a letter Friday to James Lockhart, the federal regulator overseeing Fannie Mae and Freddie Mac, asking him to rescind retention bonuses of at least $1 million planned for four top executives over the next two years. *** But in letter obtained by POLITICO, Lockhart tells Frank theres a great risk of key employees walking away if they dont pay out the promised bonuses. These Fannie and Freddie employee retention programs were established because federal officials believed top executives will play a critical role in ensuring the successful turnaround of the companies. – Politico ** (emphasis mine)