Ron Paul's 'Audit-the-Fed' bill passes the House

Friday, July 27, 2012 by: J. D. Heyes
Tags: Ron Paul, audit the Fed, Congress

eTrust Pro Certified

Most Viewed Articles
Popular on Facebook
CDC issues flu vaccine apology: this year's vaccine doesn't work!
The five biggest lies about Ebola being pushed by government and mass media
Ultraviolet light robot kills Ebola in two minutes; why doesn't every hospital have one of these?
Tetanus vaccines found spiked with sterilization chemical to carry out race-based genocide against Africans
Biologist explains how marijuana causes tumor cells to commit suicide
Companies begin planting microchips under employees' skin
The best way to help your body protect itself against Ebola (or any virus or bacteria)
NJ cops bust teenagers shoveling snow without a permit
Russia throws down the gauntlet: energy supply to Europe cut off; petrodollar abandoned as currency war escalates
McDonald's in global profit free fall as people everywhere increasingly reject chemically-altered toxic fast food
W.H.O. contradicts CDC, admits Ebola can spread via coughing, sneezing and by touching contaminated surfaces
Top ten things you need to do NOW to protect yourself from an uncontrolled Ebola outbreak
Chemotherapy kills cancer patients faster than no treatment at all
FDA targets Dr. Bronner's Magic Soaps for sharing health benefits of coconut oil
U2's Bono partners with Monsanto to destroy African agriculture with GMOs
Why flu shots are the greatest medical fraud in history
Governments seize colloidal silver being used to treat Ebola patients, says advocate
Flu vaccine kills 13 in Italy; death toll rises

(NaturalNews) Ron Paul doesn't have many legislative victories, but when he does, it's a monumental event.

Paul, the Libertarian-leaning Republican lawmaker from Texas with a penchant for upsetting the GOP establishment and a loathing for the status quo, just happens to also be the Federal Reserve's biggest critic.

For years Paul - who has still yet to officially withdraw from his quest for the GOP presidential nomination that is now Mitt Romney's in everything but name - has pushed for more transparency at the Fed. From within the organization and from Congress itself, he's been stymied at every turn.

That all changed earlier this week when - finally - he found satisfaction.

Time for Congress to 'reassert ourselves'

The House on Wednesday voted overwhelmingly - 327-98 - in favor of legislation he offered that would require a full audit of all the central bank's practices. The bill, called the Federal Reserve Transparency Act (H.R. 459) "essentially removes the prohibitions against a full audit," Paul said.

Current rules allow the non-partisan Government Accountability Office to audit most aspects of the Fed's activities. But an examination of the central bank's monetary policy decisions is off limits.

Paul's bill will close that regulatory gap.

"It is up to us to reassert ourselves," Paul said during floor debate earlier this week, referring to lawmakers in general.

"To audit, we should know what kind of transactions there are," he said. "We should know about the deals that they made when they were fixing the price of Libor. These are the kinds of things that have gone on for years that we have no access to."

Libor refers to the London Interbank Offered Rate. Earlier this month the New York Federal Reserve bank said it knew that London banks were under-reporting borrowing costs, which in turn altered the Libor - a tactic the NY Fed believes was done to boost profits.

Some still want secrecy

Opponents of the measure, including Fed Chairman Ben Bernanke, testified earlier that giving the government full audit capabilities over the central bank would amount to a "nightmare scenario," because he believes it will lead to political interference.

"It seems to me what we're talking about is taking some fake punches at the Federal Reserve but not doing anything serious," Rep. Barney Frank, D-Mass., chairman of the House Financial Services Committee, added.

"They will see it as political interference, not with the contracting procedures, not with the budget, not with how many cars they have, but with how they decide on interest rates," Frank said. "And the perception that the Congress is going to politicize the way in which interest rates are set will in itself have a destabilizing effect."

Paul says if its politicization of the Fed that some are worried about, that's already been occurring. He said the Fed, through political and corporate cronyism, has picked industries to support - and to ignore. Some financial institutions have been bailed out by the Fed, which essentially created the bailout money out of thin air, while others have not.

"It's very political when you have a Federal Reserve that can bail out one company and not another company," Paul said. "That's pretty political."

The House passed it - But now what?

House Oversight and Government Reform Committee Chairman Darrell Issa agreed, noting that Congress - purposefully or by accident - has, through the years, relinquished its oversight role.

"In recent years, the Fed's extraordinary interventions into the economy's fiscal markets have led some to call into question its independence," said Issa, R-Calif. "We do not ask for an audit for that reason, we ask for an audit because the American people ultimately must be able to hold the Fed accountable, and to do so, they must know at least in retrospect what the Fed has done over these many year."

The bill has moved to the Senate where its majority leader, Harry Reid of Nevada, once favored an audit of the Fed.

Now; however, since it is no longer his idea, he seems to have changed his mind.





Join over four million monthly readers. Your privacy is protected. Unsubscribe at any time.
comments powered by Disqus
Take Action: Support NaturalNews.com by linking back to this article from your website

Permalink to this article:

Embed article link: (copy HTML code below):

Reprinting this article:
Non-commercial use OK, cite NaturalNews.com with clickable link.

Follow Natural News on Facebook, Twitter, Google Plus, and Pinterest

Colloidal Silver

Advertise with NaturalNews...

Support NaturalNews Sponsors:

Advertise with NaturalNews...


Sign up for the FREE Natural News Email Newsletter

Receive breaking news on GMOs, vaccines, fluoride, radiation protection, natural cures, food safety alerts and interviews with the world's top experts on natural health and more.

Join over 7 million monthly readers of NaturalNews.com, the internet's No. 1 natural health news site. (Source: Alexa.com)

Your email address *

Please enter the code you see above*

No Thanks

Already have it and love it!

Natural News supports and helps fund these organizations:

* Required. Once you click submit, we will send you an email asking you to confirm your free registration. Your privacy is assured and your information is kept confidential. You may unsubscribe at anytime.