Monday, November 2, 2009

Federal Reserve Policy Audit Legislation ‘Gutted,’ Paul Says

The secrets of the Federal Reserve shall remain secret. The Fed got to Barney Frank (Probably not hard to do) The heart of the legislation has been ripped out. Very curious is the continued emphasis on not letting us see what transactions the Fed has been conducting with foreign central banks. The Fed is really hiding something here, and the US citizens will now have no insight into what it is. Get the word out on this. The people need to know everything the Fed is doing, but especially what transactions the Fed is conducting with foreign banks.

Here are the gory details.

According to Ron Paul, the Federal Reserve legislation he introduced to audit monetary policy has been “gutted” while moving toward a possible vote in the Democratic-controlled House.

The bill, with 308 co-sponsors, has been stripped of the following provisions:

audits of transactions with foreign central banks

audits of monetary policy deliberations

audits of transactions made under the direction of the Federal Open Market Committee

audits of communications between the Board, the reserve banks and staff

“There’s nothing left, it’s been gutted,” he said in a telephone interview with Bloomberg. “This is not a partisan issue. People all over the country want to know what the Fed is up to, and this legislation was supposed to help them do that.”

This is a bolder cover up than the Warren Commission's JFK Assassination cover-up. They aren't even giving us a bogus report or doctored photos. It's stay away, the door is closed. Whatever they are hiding it's big.

(Thanks to Bob Murphy)


Paul, a member of the House Financial Services Committee, said Mel Watt, a Democrat from North Carolina, has eliminated “just about everything” while preparing the legislation for formal consideration. Watt is chairman of the panel’s domestic monetary policy and technology subcommittee.

What's up with Watt?

I explained that here, when trying to get to the bottom of Watt's absurd and very aggressive questioning of Tom Woods during the hearing on the bill.


  1. No surprise.

    A few months back, I had heard that the Fed actually hired a lobbyist to combat this bill. When the hell has that ever happened? The lobbyist in question used to work for Enron and therefore has the requisite experience with fraud and criminal organizations.

    To me, it means they take even the concept of an audit very seriously. Like Dracula fears sunlight, the Fed fears an audit. To pull back the curtain and see all the fraud and crime they and their accomplices have committed would be very damaging.

    There's still a few more chances for things to get put right. Right now it's in subcommittee. It still has to get to the actual committee and if it gets past that, a congressional vote. But I don't expect much. Save for one exception, there are no people in the house or senate that have the ethics to do what is right. While I would welcome the passing of the original bill, I would be very surprised if the bill makes it unscathed, if at all.

  2. You cannot walk into a den of thieves and expect them to confess. Worse - by allowing the appearance of an audit Paul is enabling the FED to gain strength.

    Political action won't work. We need to think outside the box.

  3. When I heard Ron Paul say that Barney Frank was involved in the bill I knew it would be for no good purpose. Some day Mr. Frank will be tried for treason for this, and for his culpability in the sub-prime crisis.