Freddie Lobbyists Scattered to the Wind

The recent financial crises has broken up the Freddie Mac and Fannie Mae lobbying shops, according to this report.

Before they were taken over by the government, Fannie Mae and Freddie Mac spent millions of dollars a year on internal and outside lobbyists to keep politicians at bay, countering legislative efforts to regulate them more closely.  …

The people who were let go include registered federal lobbyists and others who support the lobbying team, such as state lobbyists or teams that work on advocacy with other companies. A handful of members of the lobbying groups remain at the companies.

The new chief executives are still deciding what the remaining members of the government and industry relations teams, as they were called, will do.

In 2006, Freddie Mac paid the largest civil penalty ever to the Federal Election Commission.

Between 2000 and 2003, Freddie Mac used corporate resources to facilitate 85 fundraising events that raised approximately $1.7 million for federal candidates.  Freddie Mac documents, prepared by former Senior Vice President of Government Relations R. Mitchell Delk and others and directed to Freddie Mac’s Board of Directors and CEO, described the fundraisers as “Political Risk Management” undertaken because Freddie Mac differed from most major corporations which have “a well-funded PAC to buttress their lobbying activities.” The fundraisers were organized by Mr. Delk and former Vice-President Clark Camper, and benefited members of the House Financial Services Committee and other members of Congress. Consulting firms were hired to plan and organize the fundraising dinners, many of which were held at the Galileo Restaurant in Washington. Freddie Mac paid monthly retainers to those firms that grew to more than $25,000 per month by the end of 2002.

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