The Fed Audit - $16 TRILLION in secret loans. [Archive]

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Irish

07-22-11, 01:03

I really don't know what to say... Information here (http://sanders.senate.gov/newsroom/news/?id=9e2a4ea8-6e73-4be2-a753-62060dcbb3c3).

The first top-to-bottom audit of the Federal Reserve uncovered eye-popping new details about how the U.S. provided a whopping $16 trillion in secret loans to bail out American and foreign banks and businesses during the worst economic crisis since the Great Depression.

montanadave

07-22-11, 03:31

I believe The Atlantic published an article several years ago with both charts and graphs detailing the multitude of programs and the extent of the debt obligations and loan guarantees taken on by the Federal Reserve, the majority of which predated the Lehman Brothers failure and financial meltdown in the fall of 2008.

The powers that be were well aware the shit was gonna hit the fan and were solidifying their positions, arranging the necessary backstops to protect themselves, and getting ready to hold a gun to Washington's head, demanding Congress either cover their ass with taxpayer money or they were gonna burn the whole ****ing house down.

And, to this day, none of the top execs at these "too big to fail" banking and insurance corporations have gone to jail.

Washington is Wall Street's bitch, always has been, and the US taxpayer picks up the check.

Irish

07-22-11, 10:12

This makes the recent Congressional talks about the deficit and our money issues trivial in comparison. $16 TRILLION!!!

Jellybean

07-22-11, 11:55

:eek:

:suicide2:

That's just.....nuts.

Suwannee Tim

07-22-11, 13:11

The arguments for limited government just get stronger and stronger. Too bad the left is seized of invincible, willful ignorance.

Suwannee Tim

07-22-11, 16:45

Newt Gingrich has an answer. Crush and replace. (http://www.youtube.com/watch?v=qtjfMjjce2Y&feature=related)

Moose-Knuckle

07-22-11, 17:26

Wake from your slumber oh sleeper. . .

“I am a most unhappy man. I have unwittingly ruined my country. A great industrial nation is controlled by its system of credit. Our system of credit is concentrated. The growth of the nation, therefore, and all our activities are in the hands of a few men. We have come to be one of the worst ruled, one of the most completely controlled and dominated governments in the civilized world. No longer a government by free opinion, no longer a government by conviction and the vote of the majority, but a government by the opinion and duress of a small group of dominant men”. – President Woodrow Wilson 1913

“Most Americans have no real understanding of the operation of the international money lenders. The accounts of the Federal Reserve System have never been audited. It operates outside of the control of Congress and manipulates the credit of the United States”.
– Barry Goldwater

“When the President signs this act [Federal Reserve Act of 1913], the invisible government by the money power -- proven to exist by the Monetary Trust Investigation -- will be legalized. The new law will create inflation whenever the trusts want inflation. From now on, depressions will be scientifically created”. – Charles A. Lindbergh Sr.

“This Act (the Federal Reserve Act, Dec. 23rd 1913) establishes the most gigantic trust on earth. When the President (Woodrow Wilson) signs this bill, the invisible government by the Monetary Power will be legalized. The people may not know it immediately, but the day of reckoning is only a few years removed. The trusts will soon realize that they have gone too far even for their own good. The people must make a declaration of independence to relieve themselves from the Monetary Power. This they will be able to do by taking control of Congress. Wall Streeters could not cheat us if you Senators and Representatives did not make a humbug of Congress... The greatest crime of Congress is its currency system. The worst legislative crime of the ages is perpetrated by this banking bill. The caucus and the party bosses have again operated and prevented the people from getting the benefit of their own government”.
– Charles A. Lindbergh Sr.

“We have in this country one of the most corrupt institutions the world has ever known. I refer to the Federal Reserve Board and the Federal Reserve Banks, hereinafter called the FED. They are not government institutions. They are private monopolies which prey upon the people of these United States for the benefit of themselves and their foreign customers”. – Louis McFadden

“The Federal Reserve (Banks) are one of the most corrupt institutions the world has ever seen. There is not a man within the sound of my voice who does not know that this Nation is run by the International Bankers”. – Louis McFadden

“What is needed here is a return to the Constitution of the United States. We need to have a complete divorce of Bank and State. The old struggle that was fought out here in Jackson's day must be fought over again... The Federal Reserve Act should be repealed and the Federal Reserve Banks, having violated their charters, should be liquidated immediately. Faithless Government officers who have violated their oaths of office should be impeached and brought to trial. Unless this is done by us, I predict that the American people, outraged, robbed, pillaged, insulted, and betrayed as they are in their own land, will rise in their wrath and send a President here who will sweep the money changers out of the temple”. – Louis McFadden

“Some people think the Federal Reserve Banks are US government institutions. They are not... they are private credit monopolies which prey upon the people of the US for the benefit of themselves and their foreign and domestic swindlers, and rich and predatory money lenders. The sack of the United States by the Fed is the greatest crime in history. Every effort has been made by the Fed to conceal its powers, but the truth is the Fed has usurped the government. It controls everything here and it controls all our foreign relations. It makes and breaks governments at will”. – Louis McFadden

“The dollar represents a one dollar debt to the Federal Reserve System. The Federal Reserve Banks create money out of thin air to buy Government Bonds from the U.S. Treasury...and has created out of nothing a ... debt which the American people are obliged to pay with interest”. – Wright Patman

“We have what is known as the Federal Reserve Bank System. That system is not owned by the Government. Many people think that it is because it says “Federal Reserve.” It belongs to private banks, private corporations. So we have farmed out to the Federal Reserve Banking System that which is owned exclusively, wholly, one hundred percent to the private banks—we have farmed out to them the privilege of issuing the Government’s money”! – Wright Patman

“The dirty little secret is that both houses of Congress are irrelevant. ... America's domestic policy is now being run by Alan Greenspan and the Federal Reserve, and America's foreign policy is now being run by the International Monetary Fund [IMF]. ...when the president decides to go to war, he no longer needs a declaration of war from Congress”. – Robert Reich

Irish

07-22-11, 17:28

Wake from your slumber oh sleeper. . .

Those are some of my favorite quotes. Well done!

ForTehNguyen

07-22-11, 20:41

"Permit me to issue and control the money of a nation and I care not who makes the laws."
--Mayer Amschel Rothschild, founder of the Rothschild international Banking Dynasty, 1790

Moose-Knuckle

07-22-11, 20:44

"Permit me to issue and control the money of a nation and I care not who makes the laws."
--Mayer Amschel Rothschild, founder of the Rothschild international Banking Dynasty, 1790

We have a winner!

obucina

07-22-11, 20:52

I have read that GE received the money to fund is lending arm, GE Capital, which is NOT an FDIC institution. That they supplemented one of its subsidiaries, a little known company called MSNBC. Thus this cash has paid such winners at life, namely, Ed the meatball Shultz and my favorite oxygen thief...Rachel Maddow.

obucina

07-22-11, 20:54

Belmont31R

07-22-11, 22:02

As much as I would like to see the Eccles Building go down in flames, after watching Scott Pelley on 60 minutes interview the head Bankster, I have a feeling that the (fringe)MSM will help perpetuate their existence.

All their buildings in NYC are within a stones throw.

All of the DC offices of each other are very close.

So you have, at most, 20 square miles controlling the other millions of square miles.

Then we wonder why shit happens as it does.

:rolleyes:

GermanSynergy

07-24-11, 14:44

Don't worry about it. Bernanke and Turbo Tax Timmy will run those printing presses 24/7 till the situation is resolved.

Caeser25

09-03-12, 19:39

How the hell did I miss this? Not that any of the results will be surprising.

austinN4

09-03-12, 20:32

I really don't know what to say... Information here (http://sanders.senate.gov/newsroom/news/?id=9e2a4ea8-6e73-4be2-a753-62060dcbb3c3).]
July 2011 - this is old news.

Safetyhit

09-03-12, 20:42

You people act like we will eventually run out of trees. We can always print more, relax.

Sensei

09-03-12, 20:50

ChicagoTex

09-03-12, 21:31

I'm not too thrilled about the source. Bernie Sanders is an avowed socialist who is know to twist the facts. Does anyone have other links with more details.?For example, the GAO Report link on Sanders' website doesn't mention anything about the $16T. I'm not saying that it didn't happen, I just want more data before I go believing anything Sanders has to say.

Took the words right out of my mouth. Extraordinary claims require extraordinary evidence and the source is both biased and doesn't reference his data for shit.

It wouldn't surprise me at all if this is real, but I need to see some more objective information before I can accept it as fact.

a0cake

09-03-12, 22:52

glocktogo

09-03-12, 23:19

All you need to know is that Brawndo's got electrolytes! :(

Sensei

09-03-12, 23:30

Page 131 of the GAO document:

http://www.scribd.com/doc/60553686/GAO-Fed-Investigation#outer_page_144

Same document as linked in the original post:

http://www.sanders.senate.gov/imo/media/doc/GAO%20Fed%20Investigation.pdf

I've not dug too deep, so don't crucify me if something is off. Just showing you where he got his numbers from in case you missed it.

OK, it looks like a majority of that $16T that Sanders reports appears large due to the way in which PDCF loans were reported. Here is the pertinent exerpt from the report:

Table 8 aggregates total dollar transaction amounts by adding the total dollar amount of all loans but does not adjust these amounts to reflect differences across programs in the term over which loans were outstanding. For example, an overnight PDCF loan of $10 billion that was renewed daily at the same level for 30 business days would result in an aggregate amount borrowed of $300 billion although the institution, in effect, borrowed only $10 billion over 30 days.

Table 9 on page 132 puts it in a little more realistic numbers with term-adjusted total transaction amounts - a mere $1.14T which is pocket change for most of us ;). Also, we should note that most of the top borrowers were largely US-based institutions like BOA and Citi which were labeled as "global organizations." The foreign banks like UBS got funds for their US subsidiaries branches and agencies which is not that shocking.

What did surprise me was the fact that the top 20 borrowers accounted for only 53% of the volume. Now, I wonder who got that other 47%…:secret:

montanadave

09-04-12, 05:48

What did surprise me was the fact that the top 20 borrowers accounted for only 53% of the volume. Now, I wonder who got that other 47%…:secret:

Look, it's not as if I was hounding them for cash. But they just kept calling and sending those ****ing emails. And the loan terms and interest rates, my god. I mean, I'm only human. And who doesn't want a customized Unimog?

And I intend to pay back every penny. Right after I take care of that pesky student loan (class of '82).