Alan Grayson: We Beat The FED
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Brand new editorial from Alan Grayson.
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The Senate just voted, 96-0, to audit the Federal Reserve. Soon, we will know what the Federal Reserve did with the trillions of dollars that it handed out during the financial crisis.
A few months ago, such a vote would have been unthinkable. One senior Treasury official claimed he would fight to stop an audit 'at all costs'. Senator Chris Dodd predicted that an audit would spell economic doom, while Senator Judd Gregg attacked accountability for the Fed as "pandering populism".
Today, both the Treasury Department and Senator Dodd support this amendment. As for Judd Gregg, he was just on the floor of the Senate discussing -- of all people -- 19th century populist Presidential candidate William Jennings Bryan.
What happened?
People Power is what happened. We built a coalition of people on the right and the left, ordinary citizens and economists, ex-regulators and politicians, all with one question for which we demanded an answer: "What happened to our money?"
No longer can Ben Bernanke get away with saying, "I don't know."
Now, we're going to know who got what, and why.
Releasing this information will show that the Federal Reserve's arguments for secrecy are -- and have always been -- a ruse, to cover up the handing out of hundreds of billions of dollars like party favors to the Wall Street favorites who brought the American economy to the brink of ruin.
But our work isn't quite done. The Senate audit provision isn't as strong as what we passed in the House. The Senate provision has only a one-time audit, whereas what we passed in the House would allow audits going forward. There will be a conference committee that will merge the provisions from the two bills.
The need for audits and oversight over Fed handouts going forward is great. The financial crisis isn't over, and neither are the Fed's secret bailouts. Earlier this week, the Federal Reserve announced it was going underwrite the Greek bailout by lending dollars to the central banks of Europe, England, and Japan. The loans may never be paid back, the Fed accepts the risk that the dollar will strengthen in the meantime, and the interest rate charged by the Fed is very likely at below-market rates. So such loans are in effect just a subsidy, to bail out foreigners.
The Fed has not been chastened. It is bolder and more of a rogue actor than ever. It's clear that without full audit authority going forward, the Fed will continue to give out "foreign aid" without Congressional or even Executive permission.
And it will do so in secret.
So we will be fighting on to get a full audit from the conference committee.
But let's not lose sight of what we have accomplished so far -- real independent inquiry into the Fed, and its incestuous relationships with Wall Street banks. For the first time ever.
Our calls, emails, lobbying, blogging, and support really mattered. We made it happen.
Today, we beat the Fed.
Follow Rep. Alan Grayson on Twitter: www.twitter.com/alangrayson
May 12, 2010 at 6:35 PM
Reader Comments (14)
http://www.youtube.com/watch?v=yGqPo5ofk0s
DB...Why not post this? Oh, too political and not the Tea Party or Sarah Palin.
25 SOCIAL SECURITY NUMBERS, IS THAT A LOT?
My hope is that this audit will bring more attention to the over-night-lending, Fed-Treasury-Primary-Dealer circle jerk.
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yep...and geithner's actions at the new york fed are covered by the audit...
Ah, Opra better get 10 more couchs if she plans to have them on her show and do the Tom Cruise Jump.........
Ya know what guys & gals...? We all have one thing to thank for all of this. Can You Guess..............................."The Internet" , Yup, with out it none of this could of happened.
Neaver before have the American People been able to have so much infortmation at thAre finger tips. With out it we'ed be back in the days when , what was that girls name under the desk at the White House.
We would be back in the day of Lickking a Stamp, putting the flag up on the What-Ya-Ma-Call-It, and a Fax Machine. Becouse we cant send a Hallmark Card to the Internet, im gona have 2 Extra "At-a-Boy Drinks" on the boat this weekend. 1st time this year.
May do it Fri & Sat night, just becouse. I would do the same if I were you. If ya's dont drink, GREAT, let us know how many and some of us will do our Darn'est to keep up......................
The oil rig sinking my have been a blessing from Alla for BHO, the Internet is a blessing for the American People, till Alla Boma God turns it off on us..!
http://www.itsasickness.com/lounge/adam-mordecai-obsessed-democrats-spine
I've been a seeing a few more new names in every info bucket I click on heAr. To read is GREAT. To respond is "Greater"......! At least when were all standing in the "Death Panel Line" we will know whos who by our name tags.
It just may be to late to save our once Great Country, but its not to late to meet the guy in line at the Soup-Line..?