The FED Dances as Rome Burns

08-30-2009 • Towne For Congress

In a 47-page judgement, U.S. District Judge Lorena Preska recently ruled that the Federal Reserve, America's quasi-private central bank, must reply to Bloomberg News's request under the Freedom of Information Act (FOIA) by August 31st. The senior legal counsel for the FED, Ms. Yvonne Mizusawa, claims that the Fed and U.S. banks would suffer irreparable harm if details of the loan programs were made public. The claim was initially filed by Bloomberg last year during the public outcry following October's Banker Bailout. So far the names of the recipients of over $2 Trillion USD in off-balance sheet transactions are secret. The FED has the authority to create new money by writing a check on itself, a power that has been described as creating money "out of thin air." More details can be learned from this mini-series, "Fractional Reserve Banking in Pictures PART 1/2" and "Yes, Virginia, There Are No Reserve Requirements PART 2/2."