Former Countrywide Trader Behind Fannie/Freddie ‘Reform’ Bill

Countrywide signAlana Goodman of the Washington Free Beacon today reports that Michael Bright, a senior advisor to Sen. Bob Corker (R-TN) who was instrumental in crafting a bill to reform Fannie Mae and Freddie Mac, has a controversial background.

He worked as at Countrywide Financial from 2002 to 2006, and as a senior trader for Wachovia from 2006 to 2008. Countrywide was the center of a major financial and political scandal, and was a major contributor to the sub-prime loan crisis.

From the article:

Bright joined Corker’s office in 2010, and has been a key figure in crafting the Corker-Warner housing reform bill and the successive legislation spearheaded by Sens. Mike Crapo (R., Idaho) and Tim Johnson (D., S.D.).

The Corker-Warner bill has been criticized by ethics groups and free-market advocates for preserving a federal role in the secondary mortgage market, again putting taxpayers on the hook for losses.

Also from the article:

Ken Boehm, chairman of the National Legal and Policy Center said this activity does not violate congressional rules, but raises questions about what Bright’s primary interests are as a senate staffer.

“The question is, is he really doing the people’s business or is he feathering his own nest for future advancement? And the folks who do that a lot do things like run around the all the trade association meetings,” said Boehm. “The public’s entitled to know what he’s doing, and they can decide for themselves if that’s what they want there.”


Johnson-Crapo Fannie Mae/Freddie Mac Repeal Bill Misses Larger Issues

Fannie Mae/Freddie Mac Shareholders Publicize Suit against Federal Taking of Assets

Mel Watt Sworn in as Fannie Mae/Freddie Mac Conservator

Senate Republicans Block Mel Watt FHFA Nomination; White House to Try Again

Senate Bill to Repeal Fannie Mae/Freddie Mac Repackages Old Problems

FHFA Nominee Melvin Watt Would Prolong Fannie Mae/Freddie Mac Bailout