AGG Attorney, David A. Felt, was quoted in a Wall Street Journal article entitled “Berkowitz: Treasury’s Rationale for Fannie Bailout Fix Is ‘Nonsense.’”
“The wording can be interpreted in different ways that people who drew up the document didn’t expect,” said David Felt, a lawyer in private practice who headed litigation for the FHFA until 2010. “I can’t say that the Fairholme interpretation is wrong,” he added. “But even if you view [non-cash payments] as an option, was there a reason for paying a 10% dividend versus a 12% non-cash dividend? It’s pretty obvious that there is because one is cheaper.” Mr. Felt is informally advising some shareholders but isn’t involved in the Fairholme litigation.
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