This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Bill Ackman Attacks 'Brazen' U.S. Conduct Over Fannie and Freddie

Stocks in this article: FNMA FMCC BX

Representing the plaintiffs is the law firm Jones Day. An email message to Jim Gauch, a Washington, D.C.-based partner at Jones Day, was not immediately returned.

Read More: Senator Stumbles in Fannie and Freddie Shareholder Defense

Some 20 lawsuits have been filed against the Treasury and other U.S. government entities on behalf of Fannie and Freddie shareholders. Among the most prominent plaintiffs is Perry Capital, which is represented by Ted Olson, a former U.S. solicitor general under President George W. Bush and a partner at Gibson Dunn and Crutcher. Olson, who has had regular success litigating against the U.S. government, may be the most prominent Republican plaintiffs' attorney in the U.S. Also representing GSE shareholders against the government in another related suit is David Boies, Chairman of Boies, Schiller & Flexner. Boies may be equal in stature to Olson, though he is a Democrat.

Despite the presence of Ackman and Pershing Square, which acquired their shares after the 2012 sweep, this latest lawsuit attempts to turn the spotlight on individual investors such as Louise Rafter, a 90-year-old widow with 36,000 shares of Fannie Mae, "some of which she and her late husband purchased more than 25 years ago and which she and/or her late husband have held continuously since then," the claim states.

In addition to Rafter and Pershing Square, the other plaintiffs are Josephine and Stephen Rattien, a married couple who live in Washington D.C. and have held 1,000 Fannie Mae shares continuously for 15 years, according to the claim. 

"Josephine Rattien is a retired psychiatric social worker and inner-city school counselor. Stephen Rattien is a retired senior science and technology policy manager," the claim states.

The highest profile spokesman for individual investors in Fannie and Freddie has been Ralph Nader, the storied consumer advocate and occasional presidential candidate, but Nader has been quiet of late. Nader is not suing the government. The Treasury Department has tried to characterize the battle as being led by greedy hedge funds. 

Follow @dan_freed

Read More: Ralph Nader Discusses Fannie and Freddie Shareholder Fight

Disclosure: TheStreet's editorial policy prohibits staff editors, reporters and analysts from holding positions in any individual stocks.
2 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,804.80 +26.65 0.15%
S&P 500 2,070.65 +9.42 0.46%
NASDAQ 4,765.38 +16.9840 0.36%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs