I caught this story on both Bloomberg News and The Drudge Report as I was going to bed last night and it made me cringe. While the incestuous relationship between the Federal Reserve and Wall Street Banks it caters to comes as no surprise(the FED is a private entity who in addition to setting monetary policy primary purposes as stated in the Federal Reserve Act, is “to furnish an elastic currency, to afford means of rediscounting commercial paper, to establish a more effective supervision of banking in the United States, and for other purposes”) I was however puzzled and disgusted to learn how much money we decided to just give away to seemingly insolvent foreign banks, with the majority being in Europe. A lot of kudos must go out to Bloomberg News, who after years of requesting the documents and being stonewalled by the FED at every corner, used the court system and the Freedom of Information Act to open up the data to the general public in the form of 29,346pages of data.
What should begin to become an apparent theme as you continue to check out this blog, is that the secret relationship between Wall Street and the Fed, Wall Street and Washington and Washington and the Fed, only points to one thing, that the concerted effort between those in power to continue to defend and back the ponzi scheme known as the US financial system, is ongoing; and will continue to happen at the expense of us, usually behind closed doors unless we put a stop to it. That the information and its content leaking out now is simply perfect timing, ahead of Jackson Hole where the Federal Reserve is so inclined to push for QE3(it’s the 3rd round of printing money and monetizing debt solely to prop up the US Stock market to make its rich friends whole at the expense of future inflation felt and borne mostly by the other 99% of Americans aren’t so wealthy and looked out for.
Bloomberg as done an absolutely fantastic job of creating an interactive chart where you can poke around and compare the Fed’s Secret Liquidity Lifelines of who got what, when and how much. While I can’t promise you won’t get sick looking through the data, I think it’s important to at least gain an understanding of how loosely our tax dollars where sent flying around the world as almost half of the Fed’s top 30 borrowers, measured by peak balances, were European firms. They included Edinburgh-based Royal Bank of Scotland Plc, which took $84.5 billion, the most of any non-U.S. lender, and Zurich-based UBS AG (UBSN), which got $77.2 billion. Germany’s Hypo Real Estate Holding AG borrowed $28.7 billion, an average of $21 million for each of its 1,366 employees.
And the irony from Bloomberg News:
Fed Chairman Ben S. Bernanke’s unprecedented effort to keep the economy from plunging into depression included lending banks and other companies as much as $1.2 trillion of public money, about the same amount U.S. homeowners currently owe on 6.5 million delinquent and foreclosed mortgages. The largest borrower, Morgan Stanley (MS), got as much as $107.3 billion, while Citigroup took $99.5 billion and Bank of America $91.4 billion.
As the numbers begin to get digested and reported in secondary media and the blogosphere (don’t even think for a second that you will see any major news service report this as Mainstream Media has a way of pretending things aren’t important such as the ongoing taking of Tripoli by rebels forces(does anyone find it strange that you can’t find that anywhere?? Check Sky News or Al Jazeera English which have become the CNN of Operation Desert Storm if interested)) the bullseye on the FED’s back is only going to get bigger and bigger as we are all beginning to wake up and start agreeing to what Ron Paul has been saying for over 30yr now during his 12 terms of congress; that its time to END THE FED. Its no wonder Rick Perry has hooked on to this ideal like its his own and why the rest of the “TOP 3” will be parroting this concept as well.