JONES VOTES TO STOP TAXPAYER FUNDED BONUSES FOR FANNIE AND FREDDIE

WASHINGTON, D.C. – Today in the House Financial Services Committee, Congressman Walter B. Jones (NC-3) voted for H.R. 1221, the Equity in Government Compensation Act.  The bill would to stop future bonuses at government-owned mortgage giants Fannie Mae and Freddie Mac and suspend the current multi-million dollar compensation packages for top executives.  Fannie and Freddie were taken over by the federal government and put into conservatorship in September 2008.  Since then, over $150 billion in taxpayer money has been used to bail out these firms.  H.R. 1221 passed the House Financial Services Committee by a vote of 52 to 4, and is expected to go to the House floor soon for further consideration.  

“It is unacceptable for the taxpayers of this country to be stuck with the tab for the lavish bonuses of Fannie Mae and Freddie Mac executives,” said Jones.  “Fannie Mae and Freddie Mac received the biggest bailout in history and it is time to stop rewarding their failure.”

While Fannie and Freddie continue to report massive quarterly losses and receive billions in addition bailout federal bailout money, the executives of these companies have received millions in compensation and bonuses.  Earlier this month the Obama Administration revealed that Fannie and Freddie would award $12.8 million in bonuses to the top executives.