Contact: Barbara Riley
Monday, September 15, 2008

WASHINGTON, DC – United States Senator John Sununu (R-NH) today ( 9/15) issued the following statement on Monday regarding the financial markets:    

“Almost every aspect of our economy has been affected by the current housing and credit crisis, but under no circumstance should taxpayers bail out the shareholders or executives at Lehman Brothers.

“During the past several weeks the Federal Reserve has provided liquidity to firms that can put up appropriate collateral, and investors have had time to prepare for the bankruptcy that was announced today. The changes that we’re seeing in the marketplace are very significant, but in many ways they serve to underscore how important it is for Congress to always place taxpayers interests’ first.”   

Sununu, a member of the Senate Finance Committee, former member of the Senate Banking Committee, and former Vice-Chairman of the House Budget Committee, has a lengthy record of advocating for strong reforms for Government Sponsored Enterprises (GSE’s). He issued the following statement on September 7 regarding the Government takeover of Fannie Mae and Freddie Mac.

“I introduced legislation to reign in these mortgage giants over five years ago, but was fought every step of the way by their executives, lobbyists, and liberals like Chuck Schumer who stood in the way of a tough bill. Fannie and Freddie were allowed to grow too quickly and for too long without the strong oversight required of such government chartered firms.

“In July, Congress finally passed the basic reforms I called for years ago; now the Treasury Department and their new regulator should use every power they have to protect American taxpayers from the risks posed by these companies today and in the future.”


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