In 1997, President Bill Clinton
appointed Cuomo to replace
Henry Cisneros as secretary of the Department of Housing and Urban Development.
In this role, Cuomo was instrumental in forcing
lending institutions—including the government-sponsored enterprises Fannie Mae
and Freddie Mac—to dramatically increase their approval rates for
mortgage loans to undercapitalized minority applicants who failed to meet
traditional borrowing criteria. (Many of these were subprime
loans, which ultimately helped trigger the housing-market crisis of 2008.)
At a 1998 press conference, Cuomo bragged
about having reached a multi-billion-dollar settlement with a major lender, even
as he acknowledged that many of the mandated loans would never be paid back....... The Moreland Commission Scandal...... There's Lots More......
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