Fed Audit Reveals Secret Bailouts

[HoustonMilfDebbie]

Originally Posted by CuteOldGuy

It's time to drive a stake through the heart of this Creature From Jekyll Island.

From the article:

The list of institutions that received the most money from the Federal Reserve can be found on page 131 of the GAO Audit and are as follows..

Citigroup: $2.5 trillion ($2,500,000,000,000)
Morgan Stanley: $2.04 trillion ($2,040,000,000,000)
Merrill Lynch: $1.949 trillion ($1,949,000,000,000)
Bank of America: $1.344 trillion ($1,344,000,000,000)
Barclays PLC (United Kingdom): $868 billion ($868,000,000,000)
Bear Sterns: $853 billion ($853,000,000,000)
Goldman Sachs: $814 billion ($814,000,000,000)
Royal Bank of Scotland (UK): $541 billion ($541,000,000,000)
JP Morgan Chase: $391 billion ($391,000,000,000)
Deutsche Bank (Germany): $354 billion ($354,000,000,000)
UBS (Switzerland): $287 billion ($287,000,000,000)
Credit Suisse (Switzerland): $262 billion ($262,000,000,000)
Lehman Brothers: $183 billion ($183,000,000,000)
Bank of Scotland (United Kingdom): $181 billion ($181,000,000,000)
BNP Paribas (France): $175 billion ($175,000,000,000)
and many many more including banks in Belgium of all places

Much of this was "loaned" at 0% interest, and not much has been returned.

We need to End the Fed now!

http://www.silverbearcafe.com/privat.../gaoaudit.html

Who racked up the debt? Did you do any research???

[pmdelites]

instead of reading some other person's opinion of the report about "secret" this and "secret" that, go read the entire GAO report!!
http://www.scribd.com/doc/60553686/G...-Investigation

"The Reserve Banks’ and LLCs’ financial statements, which include the emergency programs’ accounts and activities, and their related financial reporting internal controls, are audited annually by an independent auditing firm. These independent financial statement audits, as well as other audits and reviews conducted by the Federal Reserve Board, its Inspector General, and the Reserve Banks’ internal audit function, did not report any significant accounting or financial reporting internal control issues concerning the emergency programs." [emphasis mine -pmd]

the main recommendations were to improve their processes & procedures for
* the use of competition
* manage conflicts of interest for its employees, directors,and program vendors
* mitigate risk of losses on its emergency loans in future crisis lending programs
* consistent treatment of eligible program participants

also, look at the table "List of Federal Reserve Emergency Programs and Assistance Covered by this GAO Review"
of the roughly $3 trilliion either loaned or provided for assistance, roughly $947 billion was outstanding as of 6/29/2011 [most of that was in the Agency Mortgage-Backed Securities Purchase Program]. many of the programs are completed and closed out.

before you go off on how secretive and bad the Fed is, list in detail how you would have handled the financial crisis of fall 2008!!!!!


btw, go here for an overview of what the Federal Reserve System does.
http://www.kc.frb.org/aboutus/federalreservesystem/

here for the main FRS website
http://federalreserve.gov/

and here for purposes and functions of the FRS
http://federalreserve.gov/faqs/about_12594.htm
http://www.federalreserve.gov/pf/pf.htm

and discussions/descriptions of their balance sheet
http://federalreserve.gov/monetarypolicy/bst.htm

or dont read any of these pages and just believe whatever you hear or read about what the Fed does.


disclosure - i worked as a contractor on a business process re-design project for a FRB department back in 2005.

[CuteOldGuy]

You want to learn the truth about the Fed, here is the book for you.

http://www.realityzone.com/creature.html

[dilbert firestorm]

didn't know the Fed was bailing out foreign banks.