“The people you have installed as directors do not seem to have the required experience to maintain the safe and solid functioning of these companies. Many seem to have been selected on the basis of their personal, political and business connections with you or members of the Trump administration,” the second letter explained.
The full coalition of signatories of the Letters also includes Senate Bank Committee Member Elizabeth Warren (Mass.), Senate -Minderheid leader Chuck Schumer (NY), Catherine Cortez Masto (Nev.), Andy Kim (NJ), Tina Smith (Md.), Chris van Hollen).
‘Sweeping changes’
Rochester’s letter contains a series of questions about the documented movements of Pulte at the GSEs. It requires clarity about why he changed the composition of their boards; wonders whether to name himself as chairman is consistent with the federal law; and asks for American Doge Service Access to FHFA and GSE data.
The letter is also looking for more information about the number of FHFA employees that have been placed on administrative leave; Public engagement plans If the status of the Conservatory of the GSEs changes whether or not such changes would be made administratively or legally; The impact on the credit reviews of Fannie and Freddie if they are removed from the conservatory; And an obligation from Pulte that a release of conservatory will not increase house prices.
The letter from Reed also pointed out that the Pulte actions were taken with minimal communication with the public, the media and Congress.
“Again, you have made these radical changes without any explanation or justification only a week in your term of office as FHFA director,” said Reed’s letter. “This indicates that during the confirmation process during the confirmation process you were not frank with the banking committee or that you entered this task without the capacity to follow the articles of association and regulations that arrange the effect of Fannie and Freddie.”
During his hearing of the Senate in February, Pulte told the legislators that he was looking forward to working with them to tackle the issues they found important. But Reed accuses Pulte of actions that would yield a higher level of control if they were to occur in the private sector.
“If even one of these violations had taken place at a normal listed company, shareholders would ask serious questions about the competence of management,” the letter said. “To restore some trust, FHFA’s lack of compliance must [be] immediately corrected. “
The office has been adopted since last month, FHFA has not issued announcements through traditional media channels with regard to a series of important policy changes. Pulte has chosen to announce these movements with photos of signed letters and orders placed on his social media account on Xwhere he has 3 million followers.
These photos generally do not contain any additional comments from the director, nor have associated press releases have been on such announcements so far. The changes in the boards of the GSEs and the leadership positions of the FHFA were passed on Securities and Exchange Commission (SEC) files and research report.
Recently, Pulte published a photo of an order On March 28, it will close a directive for FHFA to collaborate with other agencies on the best practices for the industry for the financing of multi -family homes that include equipment for solar energy.
