Congressmen Boehner demands Federal Reserve identify recipients of loans

November 12, 2008 by · Leave a Comment
Filed under: Legal News 

Looks like this is picking up steam and will make for an interesting response from the Chairman of the Federal Reserve Ben Bernanke.  This also comes on heels of the current Treasury Secretary, Henry Paulson stating that they are going to shift gears in the TARP (Troubled Asset Relief  Program)  program to take the remaining funds to inject liquidity into student loans, consumer credit cards and auto loans.  Right off the back, I support giving money to the college loan market.  

The rest is just wrong, why not spend that money on creating jobs that provide a living wage so that people can save for the types of purchases that come with a credit card and auto purchase.   The other startling statistic I heard this morning is that 10% of all jobs in the U.S. are connecting with our auto industry.  At the end of the day we will prop up our auto industry and the sad fact is they will still make cars most people will not want or afford to buy.

News:

House Republican leader John Boehner is calling for the Federal Reserve to disclose the recipients of almost $2 trillion of emergency loans from American taxpayers and the troubled assets the central bank is accepting as collateral.

Boehner, in a prepared statement, is also calling on the Federal Reserve to comply with a Freedom of Information Act request from Bloomberg News requesting detail about the loans.

The Fed “should comply with this Freedom of Information Act request, and in the interest of full and fair disclosure, they must begin providing lawmakers and taxpayers all information about how they are using federal tax dollars,” Boehner said.

Fed Chairman Ben S. Bernanke and Treasury Secretary Henry Paulson said in September they would comply with congressional demands for transparency in a $700 billion bailout of the banking system. Two months later, as the Fed lends far more than that in separate rescue programs that didn’t require approval by Congress, there is little disclosure about how the program is being implemented.  

Source: Bloomberg  

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