In an decision released last week in a lawsuit unrelated to the Net Worth Sweep, Judge Rakoff says (at p. 53 of the slip opinion attached to this e-mail message) that the $87 billion excess the GSEs returned to Treasury in connection with the PSPAs “does not represent a profit, as none of the Treasury’s principal investment has been repaid. Rather the dividends that Treasury has received are equivalent to interest payments owed to the taxpayers for putting their capital at risk.”12-cv-07199-0180
