Fed Refuses to Release Bank Data, Insists on Secrecy

[RTchoke]

Here's some more of that transparency we keep hearing about but never do see. i don't understand why they think we should not be allowed to see the info.

Fed Refuses to Release Bank Data, Insists on Secrecy (Update1)

By Mark Pittman
March 5 (Bloomberg) -- The Federal Reserve Board of Governors receives daily reports on loans to banks and securities firms, the institution said in response to a Freedom of Information Act lawsuit filed by Bloomberg News.

The Fed refused yesterday to disclose the names of the borrowers and the loans, alleging that it would cast “a stigma” on recipients of more than $1.9 trillion of emergency credit from U.S. taxpayers and the assets the central bank is accepting as collateral.

http://www.bloomberg.com/apps/news?pid=washingtonstory&sid=aG0_2ZIA96TI

[coolhead]

Here's some more of that transparency we keep hearing about but never do see. i don't understand why they think we should not be allowed to see the info.


http://www.bloomberg.com/apps/news?pid=washingtonstory&sid=aG0_2ZIA96TI

Yeah this stinks to high heaven....let's see the banks own the fed the fed is giving out money to the banks and the banks and the fed only can have the info on who it's going too and why? Would there not be a case made for illegal insider trading on the stocks of the member banks of the fed and the companies that are getting the fed money? Example the fed could be paying CDS defaults on behalf of AIG to Goldman Sachs of let's say 25 billion and to other institutions....but the only people who have this information are the fed and member/owner banks (citi, boa, goldman, ect...) yet these are publicly traded companies. The member banks have an unfair advantage as they only have info on who is getting this money and why so how are we the public supposed to make an informed investment decision with out the benefit of this same info?

[Old_Mil]

This - combined with yesterday's comment by FDIC chair Shelia Bair that the FDIC would be out of funds in 6 months - is very troubling. Truly, a depression-era economic disaster is upon us.

[coolhead]

This - combined with yesterday's comment by FDIC chair Shelia Bair that the FDIC would be out of funds in 6 months - is very troubling. Truly, a depression-era economic disaster is upon us.

She pulled an Obama she wants to raise the FDIC fees on banks so she had to scream the sky is falling in order to get the fees/taxes raised. I think we are all toast when they say it's all fine

[clarobert]

This does stink to high heaven. Here we are, on the hook for trillions of dollars and the "transparent" administration will do nothing to tell us who got the funds we are backing. Where is the common sense and outrage from congreed or liberal MSM?

[7426k]

This does stink to high heaven. Here we are, on the hook for trillions of dollars and the "transparent" administration will do nothing to tell us who got the funds we are backing. Where is the common sense and outrage from congreed or liberal MSM?
The administration has no authority to demand that the Federal Reserve be transparent in its TARP actions.

[coolhead]

The administration has no authority to demand that the Federal Reserve be transparent in its TARP actions.

Most people don't fully understand that the fed is owned by member banks and is privately owned.....that being said the fed should be made to show what is happening with the bail out funds.

Further I don't think most people as upset as they are with the bank bail outs to AIG, citi, ect realize that those companied actually own the fed. It's the ultimate insider trading going on IMHO.

[7426k]

Most people don't fully understand that the fed is owned by member banks and is privately owned.....that being said the fed should be made to show what is happening with the bail out funds.

Further I don't think most people as upset as they are with the bank bail outs to AIG, citi, ect realize that those companied actually own the fed. It's the ultimate insider trading going on IMHO.

AIG is not a Fed member bank. Citi is, however.

While it's true that the Fed is privately owned to some degree, it's also a public entity - which is why it was subject to review under an FOIA.

[coolhead]

AIG is not a Fed member bank. Citi is, however.

While it's true that the Fed is privately owned to some degree, it's also a public entity - which is why it was subject to review under an FOIA.

Yes you are correct I made a mistake stating AIG a member...it is true though that prior to AIG getting a fed bail out the only other party present was Goldman which is a member bank and it is thought that Goldman then was paid 25 billion out of CDS contracts by AIG through the bail out funds.

[PhantomPholly]

AIG is not a Fed member bank. Citi is, however.

While it's true that the Fed is privately owned to some degree, it's also a public entity - which is why it was subject to review under an FOIA.

However, there has never been an open audit of the Fed - the agency supposedly responsible for safeguarding our Nation's money and money supply.

Basically, our country has been sold out ever since it's inception.

It would be an interesting experiment, once the full backlash against Obozo and our experiment with Socialism occurs, to simply Federalize the Fed. Then audit it, and release the results publicly.

Kind of poetic justice.

[LoudAnimalAttack]

The administration has no authority to demand that the Federal Reserve be transparent in its TARP actions.

Thats the problem man. Its time to abolish the Fed. We don't need a central bank. We need a free market.

[LoudAnimalAttack]

Most people don't fully understand that the fed is owned by member banks and is privately owned.....that being said the fed should be made to show what is happening with the bail out funds.

Further I don't think most people as upset as they are with the bank bail outs to AIG, citi, ect realize that those companied actually own the fed. It's the ultimate insider trading going on IMHO.

The Fed is a total scam. Why is it when the Fed counterfeits money it's fine, but if any of us counterfeited money we'd go to jail. When the Fed prints money or basically buys Treasuries, its essentially counterfeit. That is the situation. They're trying to procure the situation. No more inconsequential conversation.

[Studebaker_Hawk]

I agree with the FED Vice chairman. We do not need to put AIG in a worse situation than they are now.

[LoudAnimalAttack]

I agree with the FED Vice chairman. We do not need to put AIG in a worse situation than they are now.

We should have allowed AIG to go bankrupt. The way the system is supposed to work is that the competent people are supposed to take over the assets. Instead, the gov't is taking money from the competent people (in future taxes or inflation) and giving it to the incompetent people (AIG, Citi, etc.). Its called lunacy.

[BBiggs]

Most people don't fully understand that the fed is owned by member banks and is privately owned.....that being said the fed should be made to show what is happening with the bail out funds.

Further I don't think most people as upset as they are with the bank bail outs to AIG, citi, ect realize that those companied actually own the fed. It's the ultimate insider trading going on IMHO.

Congress should be able to levy that authority, especially to entity that really has no true standing other than a "name".

[lwdc]

It stinks to "high heaven" as did the lofty Tower of Babel (Babylon). It is consummately criminal and warrants retribution of the utmost ferocity.

[Tigerdrafted]

The Fed is a total scam. Why is it when the Fed counterfeits money it's fine, but if any of us counterfeited money we'd go to jail. When the Fed prints money or basically buys Treasuries, its essentially counterfeit. That is the situation. They're trying to procure the situation. No more inconsequential conversation.

Which reminds me, I need to stop at Staples to get some more color for my ink jet.

[7426k]

However, there has never been an open audit of the Fed - the agency supposedly responsible for safeguarding our Nation's money and money supply.

Basically, our country has been sold out ever since it's inception.

It would be an interesting experiment, once the full backlash against Obozo and our experiment with Socialism occurs, to simply Federalize the Fed. Then audit it, and release the results publicly.

Kind of poetic justice.

The GAO and private sector audits occur regularly.

[Tigerdrafted]

NEW YORK (Reuters) – Where, oh where, did AIG's bailout billions go? That question may reverberate even louder through the halls of government in the week ahead now that a partial list of beneficiaries has been published.

The Wall Street Journal reported on Friday that about $50 billion of more than $173 billion that the U.S. government has poured into American International Group Inc since last fall has been paid to at least two dozen U.S. and foreign financial institutions.

The newspaper reported that some of the banks paid by AIG since the insurer started getting taxpayer funds were: Goldman Sachs Group Inc, Deutsche Bank AG, Merrill Lynch, Societe Generale, Calyon, Barclays Plc, Rabobank, Danske, HSBC, Royal Bank of Scotland, Banco Santander, Morgan Stanley, Wachovia, Bank of America, and Lloyds Banking Group.

Morgan Stanley and Goldman Sachs declined to comment when contacted by Reuters. Bank of America, Calyon, and Wells Fargo, which has absorbed Wachovia, could not be reached for comment.

The U.S. Federal Reserve has refused to publicize a list of AIG's derivative counterparties and what they have been paid since the bailout, riling the U.S. Senate Banking Committee.



http://news.yahoo.com/s/nm/20090308/bs_nm/us_aig

apparently foreign banks are too good to fail also.

I heard that banks owe 600 Trillion with a T to hedge funds who shorted the banks stocks.

600 Trillion.

[lwdc]

http://news.yahoo.com/s/nm/20090308/bs_nm/us_aig

apparently foreign banks are too good to fail also.

I heard that banks owe 600 Trillion with a T to hedge funds who shorted the banks stocks.

600 Trillion.Many of those banks are not "foreign". They are not "American" either.

They are global entities, and have never had fealty to any particular country. Never.

Goldman Sachs etc. were never "American" companies, yet they call many of the shots.

Getting the picture yet?

[Tigerdrafted]

Many of those banks are not "foreign". They are not "American" either.

They are global entities, and have never had fealty to any particular country. Never.

Goldman Sachs etc. were never "American" companies, yet they call many of the shots.

Getting the picture yet?

I suppose. I heard that the banks are in for 600 Trillion to hedge funds who bet against the mortgage insurance companies. Which is all the more reason they should let the insurance agencies like AIG to fail because there is no way we can bail them all out. The shorts should have realized that the AIGs were overstretched.

[PhantomPholly]

The GAO and private sector audits occur regularly.

The GAO is not the Fed, nor does it audit the Fed to my knowledge.

There is no public information available on any audit of the Fed either.

It's mere existence is Unconstitutional, and the lack of information on it a sure guarantee that it does not operate under an ethical charter.