Fed Reserve Lends Money to Gaddafi's Bank

[Eric Johnson]

They reprinted a direct quote from Ron Paul, regarding nullification. I found that disappointing, as I am a supporter of Ron's.

Are you suggesting they fabricated his quotation? If so, please let me know, as that is a "game changer" if he truly said those words.

I have never heard of capitolhillblue, let along read anything of theirs or that author, but I find it unlikely they would just make up a quote like that.

No. Roger posted a message which quoted only secondary sources. Then Roger started confusing Representative Ron Paul and his son Senator Rand Paul. However, if you've never seen CapitalBlue, you need to check Roger's posts more closely. A couple of weeks ago, an article was cited (primary source) in which the CapitalBlue editor admitted to mis-quoting and other shoddy research in preparation of his stories.

Basically it was a tawdry episode at which Roger got caught mixing and matching as he saw fit, regardless of the truth or source.

Eric

[dnf777]

No. Roger posted a message which quoted only secondary sources. Then Roger started confusing Representative Ron Paul and his son Senator Rand Paul. However, if you've never seen CapitalBlue, you need to check Roger's posts more closely. A couple of weeks ago, an article was cited (primary source) in which the CapitalBlue editor admitted to mis-quoting and other shoddy research in preparation of his stories.

Basically it was a tawdry episode at which Roger got caught mixing and matching as he saw fit, regardless of the truth or source.

Eric

I don't take anything I read on the internet at face value. That is why I'm asking if anyone has evidence one way or the other, as to the validity of that quote. It is very damaging, at least to anyone who understands nullification. As a Ron Paul supporter, I am especially interested to know if that is true or not. Not sure why that inquiry elicits name calling from some. (not you)

That was the first time I've been to or heard of capitolblue's website. Most of what Roger posts I've heard or verify through other sources.

[Nate_C]

You do realize the Fed is self funded from the banks themselves right? When they bails out a bank or loan money out is it the banks own money (or other banks). The Fed is there to stabilize and for the good of the banks.
It also doesn't get into politics. If the bank was in good standing it gets the money. If the government didn't want to have dealings with Libya then the commerce department needed to put them on the banned list and force it to sell the US subsidiary.

[Franco]

You do realize the Fed is self funded from the banks themselves right? When they bails out a bank or loan money out is it the banks own money (or other banks). The Fed is there to stabilize and for the good of the banks.
It also doesn't get into politics. If the bank was in good standing it gets the money. If the government didn't want to have dealings with Libya then the commerce department needed to put them on the banned list and force it to sell the US subsidiary.

You may want to research that first comment.

Yes, we all know the Fed is there for the banks and not tax payers.

You forgot to mention that they are very good in having the Treasury print money.

P S
Why do you suppose the Fed has fought so long and hard against being audited?

[troy schwab]

You do realize the Fed is self funded from the banks themselves right? When they bails out a bank or loan money out is it the banks own money (or other banks). The Fed is there to stabilize and for the good of the banks.
It also doesn't get into politics. If the bank was in good standing it gets the money. If the government didn't want to have dealings with Libya then the commerce department needed to put them on the banned list and force it to sell the US subsidiary.

Somebody just stepped out of economics class.......LOL

[Nate_C]

You may want to research that first comment.

Yes, we all know the Fed is there for the banks and not tax payers.

You forgot to mention that they are very good in having the Treasury print money.

P S
Why do you suppose the Fed has fought so long and hard against being audited?

What are you talking about. Certainly the Fed and the Treasury work together and make suggestions to one another but the Fed has absolutely no direct control on new currency creation (except to replace damaged bills). It does control currency circulation through open market and bank policy actions but that is a different subject. The fed gets its money from Bank fees and deposits into the fed, open market operations, and currency holdings. When a fed makes a lone it does not represent tax payer dollars. Infact the Fed often deposits 20-30 billion a year into the treasury's general account.

If you are talking about TARP that is a treasury program not a FR one. It is funded by tax revenue but I have heard estimates that to total loss for that program will be as low as 19 billion (not the 700 billion) people throw around.

[Franco]

I've asked you twice and here is the third, why has the Fed fought every attempt to be audited?

Why did the Treasury(USA Tax Payers) have to bailout both domestic and foreign banks since the Fed is so solvent?

And, lets not forget that the Fed is the enemy of a Free Market with the way they try and manipulate interest rates, thus hampering any real recovery!

From Reason.com

Mr. Bernanke for the first time addressed concerns that the impasse in Congress over tough spending cuts and tax increases needed to bring down deficits will eventually force the Fed to accommodate deficits by printing money and buying Treasury bonds — effectively financing the deficit on behalf of Congress and spurring inflation in the process.
>>>>>>>>>>>>>>>>>>>>>>>

An UnAmerican policy to me!

[Nate_C]

The Fed is audited multiple times per year by the GAO and private firms. Yes there are limits and not all the information is public. Mainly because they don't want a bunch of ignorant congressmen questioning everything they do.

First off, the TARP was just a back stop for the financial sector to sure up markets. Most of the firms they gave money too didn't really need it and were forced to take it (Chase, Wells, Bank of America). Also remember it was alone. Within 2 years every one of the top 50 banks paid back the money with interest. At the same time they have had to write off 10's of billion in defaulted mortgages and credit cards.

It is the American people that wanted something for nothing. Now congress it trying to force them to write down the balance of troubled mortgages. They loaned a guy 400K but it is their fault that the guy bit off more than he could chew, and now have to eat the loss by writing down the mortgage to 350K? Which by the way, he probably can't pay either. What are banks suppose to be people financial babysitters. No, I loaned you 400K and I want 400K plus the agreed upon interest. If you cannot pay it I am sorry but I will take the house back.

A lot of bad stuff happened on Wall Street that shouldn't have happened. The Fed should have stepped in more sure but 90% of the issue falls in the hands of the American people, the Wall Street regulatory groups (SEC mostly), and the congressmen that have been pushing home ownership though HUD, Fred, Fannie...ect..... That is why the treasure had to step in and help.

That quote is wrong. The Fed cannot print money. If he said anything like that he was saying that if the treasury started printing money to monetize the debt, the Fed would have to start buying bonds to keep inflation under control.