I was going to post this a few days ago but held back as not to dilute the news regarding the democrat’s exodus from the Johnson/Crapo bill.
The status conference on Wednesday showed us that the government will continue to stall and delay, this is the only course they can take because their arguments are so absurd. For them to cooperate with discovery would only prove their guilt.This is one of my favorite parts of the hearing- “Sweeney interrupted to remind Schwinn that ‘I tend to allow broad discovery. I will allow the plaintiff’s every opportunity; this is a citizen’s court, after all. I think this court has jurisdiction, and plaintiffs will have their day in court.’” In one sentence, she reminded the governments attorneys that she is not going to treat them any different than she would a common citizen, Remember the government has argued that Judges Sweeneys court does not have jurisdiction.
The government claims they can not get documents from Fannie and Freddie because they are “private corporations? This has not stopped them from taking every penny of their profits?
The government will not provide documents related to government expectations in 2012 of future FnF profitability. This is the entire basis for the third amendment sweep! If they did nothing wrong as they claim wouldn’t they be anxious to prove that?
I love this one.. “the government will not provide documentation of when, how and if at all Fanne and Freddie will be released from conservatorship or whether private shareholders will be allowed to participate in future profits at the companies”. How can they possibly comply with this request without admitting that they are committing securities fraud? The fact that Judge Sweeney has ordered the government to comply with such broad based discovery it’s clear to me that she knows the government is dead wrong. This is like forcing a murder defendant to provide documentation as to where they hid the body while they are still pleading innocently. I can not reiterate enough how in their arrogance the government is making a huge mistake by ignoring Judge Sweeneys orders. In this conference, they were trying to reargue for the third time the same points that they argued leading up to the discovery order and during the discovery schedule proceedings. The government’s time is running out, if they push much further they will be held in contempt. Every legal opinion I have received tells me that the Government does not stand a chance. Remember “The wheels of justice grind slowly but exceedingly fine…” Keep the Faith!