Democrats and Republicans Oppose Obama Move Giving Fannie Mae and Freddie Mac Unlimited Funding

(CNSNews.com) – Democratic and Republican lawmakers alike are blasting the Treasury Department’s Christmas Eve announcement that it will send unlimited tax money to failed mortgage giants Fannie Mae and Freddie Mac, thereby eliminating the current $400 billion cap on emergency aid that Treasury can give without having to come back to Congress for authorization.

This means Treasury can continue to manage the companies, which were seized last year, as arms of the government until the end of President Obama’s current term.

On Dec. 29, Rep. Dennis Kucinich (D-Ohio), chairman of the domestic policy subcommittee of the House Oversight and Government Reform Committee, said his committee will investigate Treasury’s decision to slash the cap on funding.