Americans for Limited Government (ALG) President Bill Wilson today issued the following statement on the pending nomination of Rep. Mel Watt (D-NC) to head the Federal Housing Finance Agency, highlighting his past support of mortgage principal reductions for as many as 10.4 million borrowers who are $628 billion underwater on their mortgages, owing more on their homes than they are worth:
“Mel Watts’ ill-conceived support of mortgage principal reduction creates a giant red flag about his potential leadership of Fannie Mae and Freddie Mac. It is time for the Senate to reject appointees who would so cavalierly give away other people’s money.”
