The relationship between the Office of Federal Housing Enterprise Oversight and Fannie Mae and Freddie Mac could get ugly if the regulator tries to toughen up its oversight of the GSEs without new authority mandated by Congress. That was the message one of the GSE CEOs recently delivered to OFHEO Director James Lockhart, the regulator revealed last week. Speaking to reporters after making a presentation on GSE reform at a National Economists Club luncheon in Washington, DC, Lockhart said, “It would be ugly for everybody...