S&P says the current AA+ rating enjoyed by the GSEs is a function of their government support. Because of their capital shortfalls, both GSEs have a B- standalone credit profile rating.

Fannie and FHFA accused the employees of fraud and deceitful actions, but provided no details of wrongdoing.

Neither Fannie or FHFA provided details about which employees were implicated in unethical activities or what evidence there was of potentially criminal behavior.

A number of Democrats in the Senate demanded that Pulte appoint qualified independent board members to bring the GSEs back into compliance with the law.

GSE watchers believe that, to appropriately compensate the taxpayer for their government guarantee, Fannie and Freddie would have to pay a commitment fee as high as $46 billion a year.

FHFA Director Bill Pulte gets a glimpse of what congressional oversight looks like as leading Democrats criticize him for actions in his first weeks in office.

Among other requests, the coalition of lender trade groups wants FHFA to conduct a cost/benefit analysis of the initiative.

Don Layton noted that administrative reform of the GSEs will inherently retain most of the structures and obligations in the GSE charters.

FHFA under the leadership of Bill Pulte has rescinded, deleted or closed at least eight agency directives without providing notice on the agency’s website or announcing the changes in a press release.

The new FHFA director’s whirlwind first week resulted in widespread staffing cuts at the regulator and a dramatic change in leadership at the GSEs. So far, criticism has been muted.