Updated from 3:16 pm Wednesday with changes to final four paragraphs.
NEW YORK (TheStreet) --Fannie Mae (FNMA) and Freddie Mac (FMCC) shareholders found a friend in the Senate last week, though the efforts of Pat Toomey (R., Pa.) to pass himself off as a defender of regular folks as opposed to wealthy hedge funds could use a bit of work.
In a question submitted Friday to Treasury Secretary Jack Lew, Toomey defended the rights of investors in Fannie and Freddie. But the only investor he identified by name, the York County pension fund in Pennsylvania, doesn't have any exposure to the government-backed mortgage giants.
York County Commissioner Chris Reilly told me this week he made a mistake in a Feb. 11 letter he wrote to Senator Toomey.
Urging the Senator to reject proposed housing reform legislation from Senators Bob Corker (R., Tenn.) and Mark Warner (D., Va.), Reilly wrote:
The biggest issue at play is my county's pension investments in Fannie and Freddie. We have millions invested in the two GSEs [Government Sponsored Entities] that would be wiped out completely if the Corker-Warner bill passes. I don't have to explain to you the harsh economic impacts this would have on the county and our pension.
When I called him this week to discuss the matter, however, Reilly said something quite different.
"While we are invested in GSEs to some extent, it's not Fannie Mae and Freddie Mac, so my original letter to Senator Toomey was erroneous in some respects," Reilly told me.