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Posted: 6/17/2009 3:01:18 AM EST
Federal Reserve to gain power under plan
Targets dangers to economy
http://www.washingtontimes.com/news/2009/jun/16/plan-gives-fed-sweeping-power-over-companies/?feat=home_headlines
By Patrice Hill (Contact) | Tuesday, June 16, 2009

The Federal Reserve, already arguably the most powerful agency in the U.S. government, will get sweeping new authority to regulate any company whose failure could endanger the U.S. economy and markets under the Obama administration's regulatory overhaul plan.

The final plan due to be released on Wednesday –– which originally aimed to streamline and consolidate banking and securities regulation in one or two agencies –– now is expected to sidestep most jurisdictional disputes and simply impose across the board standards to be applied by all financial regulators, according to administration and industry sources.

The most likely candidate for elimination is the Office of Thrift Supervision, whose failure to detect and forestall problems at Countrywide, IndyMac, Washington Mutual and other freewheeling mortgage lenders is thought to have contributed to the financial crisis.

The decision to concentrate sweeping new powers at the already overstretched Fed is not without controversy. Sen. Christopher J. Dodd, chairman of the Committee on Banking, Housing and Urban Affairs, which must approve any regulatory overhaul, has raised objections to that approach, and so has Federal Deposit Insurance Corp. Chairman Sheila C. Bair.

Ms. Bair advocates an alternative where a council of top bank regulators would make decisions on whether to step in, regulate or close major corporations like the American International Group whose failure posed a risk to the whole economy and financial system. The Fed stepped in to save AIG last year without having such powers, but the result was a costly and muddled bailout that no one wants to repeat.

To accommodate dissenting views, the administration will propose that a council of regulators advise the Fed, although the Fed will have the final say, according to administration officials. The new powers augment the Fed's existing broad authorities to intervene to prevent crises that could seriously damage the markets and economy.

"What we're trying to do is focus on the things that were at the core of the problems we saw in the crisis," said Treasury Secretary Timothy F. Geithner at a Time Warner Economic Summit in New York on Monday.

"When you have too many people involved, there's an accountability problem," he said. "At the core of making the system stronger is to give one place in the system clear accountability, responsibility and authority for preventing future crises."

Mr. Geithner said that while the administration would have preferred a more streamlined regulatory structure with fewer agencies, ensuring fewer gaps in oversight and less opportunity for "regulatory arbitrage" by lenders, it would have had to start "from scratch" to accomplish that. It decided instead to work within the patchwork of multiple agencies established over the past century or so in response to various financial crises.

While the administration decided against merging the Securities and Exchange Commission and Commodity Futures Trading Commission, it will insist on plugging the extensive gaps that have allowed some of the largest securities markets in world history, known as derivatives, to develop without oversight or regulation.

"All derivatives contracts will be subject to regulation and all derivatives dealers subject to supervision," Mr. Geithner said in an opinion piece Monday co-authored by National Economic Council Director Lawrence H. Summers, adding that "regulators will be empowered to enforce rules against manipulation and abuse."

Mr. Geithner said a key part of the plan will impose stiffer requirements for setting aside reserve capital by large financial institutions whose far-flung and risky activities around the world pose the greatest threat of disrupting markets.

Strengthening protections for consumers and investors, possibly through a new commission charged with monitoring the development of new loans and instruments in the marketplace, also will be an important new element of the plan, he said.

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Copyright 2009 The Washington Times, LLC
Link Posted: 6/17/2009 3:03:01 AM EST
Alex Jones said so.
Link Posted: 6/17/2009 3:10:04 AM EST
The FED is consolidating power, as is the executive branch.

For you and me = not good.

The money supply can easily be manipulated. The FED needs an outside audit, but that won't happen.
Link Posted: 6/17/2009 3:13:43 AM EST
Originally Posted By Semiautots:
The FED is consolidating power, as is the executive branch.

For you and me = not good.

The money supply can easily be manipulated. The FED needs an outside audit, but that won't happen.


Not even that, the FED will be given basically cart blache to do whatever it wishes to any corporation in the name of "stability".
Link Posted: 6/17/2009 3:13:50 AM EST
From wikipedia

"The System derives its authority and public purpose from the Federal Reserve Act passed by Congress in 1913. As an independent institution, the Federal Reserve System has the authority to act on its own without prior approval from Congress or the President.[40] The members of its Board of Governors are appointed for long, staggered terms, limiting the influence of day-to-day political considerations.[41] The Federal Reserve System's unique structure also provides internal checks and balances, ensuring that its decisions and operations are not dominated by any one part of the system.[41] It also generates revenue independently without need for Congressional funding. Congressional oversight and statutes, which can alter the Fed's responsibilities and control, allow the government to keep the Federal Reserve System in check. "

It is not owned or fully controlled by the government. If it was a fully owned govenment entity why would we need to borrow money from it and then pay it back with interest??
Link Posted: 6/17/2009 3:17:49 AM EST


Read this.
Link Posted: 6/17/2009 3:28:11 AM EST
Originally Posted By Semiautots:
The FED is consolidating power, as is the executive branch.

For you and me = not good.

The money supply can easily be manipulated. The FED needs an outside audit, but that won't happen.


the FED has been outside its lines for nearly 100 years...and growing with more to come. POWER, Total Govt control of every aspect of our lives is Coming



Link Posted: 6/17/2009 3:30:03 AM EST
They USED to be relatively independant.

But Clinton and then Bush jr started bending their will. Now they are about as independant as GM.
Link Posted: 6/17/2009 3:49:45 AM EST
Yea sure, every private entity has the authority to regulate other private businesses. I think I'm going over to the Power Company later today and tell them I don't feel like paying their increased rates, then I think I'll stop by the Shell Station and deliver the same memo to them, hell, I've got a weeks worth of stops to make....What do you think my reception will be?....

The Fed as a private entity is a crock of shit that anyone could see through...... unless of course you have your head so far up the Governments' ass that you can't see anything but how great they are.....But then it's pretty tough to see the "big picture" when you're sucking the Government teat I suppose.....
Link Posted: 6/17/2009 5:55:32 AM EST
I don't see how that article disproves that the Fed isn't a government agency. What specifically in the article makes you so sure?
Just because they are given power doesn't mean they are governmental.
Link Posted: 6/17/2009 6:01:53 AM EST
Originally Posted By Sparkym37:
I don't see how that article disproves that the Fed isn't a government agency. What specifically in the article makes you so sure?
Just because they are given power doesn't mean they are governmental.


Only government has the power to seize private property.
Link Posted: 6/17/2009 6:04:25 AM EST
Just because they are given power doesn't mean they are governmental.


How many "private entities" do you know that have regulatory authority, given to them (which means in reality a grant of authority from "the people") and backed by the US Government?

Again, I own a business. If I showed up at the SuperMarket and told them they had to fire their manager, only sell Alvacados on Tuesday and only for $1 a pound they would lock me the fuck away. But if the FED does it somehow it's ok? Why? Because they have been given GOVERNMENT REGULATORY AUTHORITY. At best they are a bastardized government/private hybrid creation.....Fascism/National Socialism anyone?
Link Posted: 6/17/2009 6:08:32 AM EST


+1

amazing the shit these people like the OP believe.
Link Posted: 6/17/2009 6:09:52 AM EST
Link Posted: 6/17/2009 6:11:43 AM EST
Originally Posted By VTHOKIESHOOTER:

Only government has the power to seize private property.


Nope. In Georgia the electric companies have power of emminent domain. This is true in several states.
Link Posted: 6/17/2009 6:12:25 AM EST
Yes, the FED is a private entity. Just like Congress.
Link Posted: 6/17/2009 6:12:31 AM EST
From Wiki:

"The Federal Reserve System (also the Federal Reserve; informally The Fed) is the central banking system of the United States. Created in 1913 by the enactment of the Federal Reserve Act (signed by Woodrow Wilson), it is a quasi-public and quasi-private (government entity with private components) banking system[1] that comprises (1) the presidentially appointed Board of Governors of the Federal Reserve System in Washington, D.C.; (2) the Federal Open Market Committee; (3) twelve regional Federal Reserve Banks located in major cities throughout the nation acting as fiscal agents for the U.S. Treasury, each with its own nine-member board of directors; (4) numerous other private U.S. member banks, which subscribe to required amounts of non-transferable stock in their regional Federal Reserve Banks; and (5) various advisory councils. Since February 2006, Ben Bernanke has served as the Chairman of the Board of Governors of the Federal Reserve System. Donald Kohn is the current Vice Chairman (Term: June 2006–June 2010).
Link Posted: 6/17/2009 6:17:02 AM EST
Originally Posted By Ctrachomatis:
Originally Posted By VTHOKIESHOOTER:

Only government has the power to seize private property.


Nope. In Georgia the electric companies have power of emminent domain. This is true in several states.


So you are telling me that eminent domain domain should be granted to one company to have the unregulated ability to arbitrarily cease private sector companies? How many private sector institutions have regulatory power?


Also, with regards to the power companies. They don't own the property for powerlines, it is nothing more than an easement.

There are many abuses of eminent domain which are equally contemptible.
Link Posted: 6/17/2009 6:18:05 AM EST
Originally Posted By PUBBOY:
From Wiki:

"The Federal Reserve System (also the Federal Reserve; informally The Fed) is the central banking system of the United States. Created in 1913 by the enactment of the Federal Reserve Act (signed by Woodrow Wilson), it is a quasi-public and quasi-private (government entity with private components) banking system[1] that comprises (1) the presidentially appointed Board of Governors of the Federal Reserve System in Washington, D.C.; (2) the Federal Open Market Committee; (3) twelve regional Federal Reserve Banks located in major cities throughout the nation acting as fiscal agents for the U.S. Treasury, each with its own nine-member board of directors; (4) numerous other private U.S. member banks, which subscribe to required amounts of non-transferable stock in their regional Federal Reserve Banks; and (5) various advisory councils. Since February 2006, Ben Bernanke has served as the Chairman of the Board of Governors of the Federal Reserve System. Donald Kohn is the current Vice Chairman (Term: June 2006–June 2010).


Just like Fanny and Freddy, and those were sooooooooo successful.
Link Posted: 6/17/2009 6:20:06 AM EST
Same way they can tell you that the Jews did 9/11, or that we never landed on the moon, or that Obama was born in Kenya, or that FEMA is building concentration camps.

Link Posted: 6/17/2009 6:21:17 AM EST
For me the worst part of this plan is the abolishment of Office of Thrift Supervision and the placement of all credit unions under the Comptroller of the Currency.The big banks will run roughshod over them.
Link Posted: 6/17/2009 6:21:19 AM EST
Originally Posted By azmjs:
Same way they can tell you that the Jews did 9/11, or that we never landed on the moon, or that Obama was born in Kenya, or that FEMA is building concentration camps.



You never get tired of trolling do you?
Link Posted: 6/17/2009 6:22:41 AM EST
Originally Posted By VTHOKIESHOOTER:

So you are telling me that eminent domain domain should be granted to one company to have the unregulated ability to arbitrarily cease private sector companies?

FUCK NO! It's an abomination, just like government weilded emminent domain.

How many private sector institutions have regulatory power?

Many. Look up Monsanto, just for fun. That ought to shrivel your nut sack.

Also, with regards to the power companies. They don't own the property for powerlines, it is nothing more than an easement.

Maybe in your state, but not mine, and not in others. I bet you think the rail roads don't own the tracks and the beds either, do ya?

There are many abuses of eminent domain which are equally contemptible.


No shit.

Link Posted: 6/17/2009 6:25:27 AM EST
Same way they can tell you that the Jews did 9/11, or that we never landed on the moon, or that Obama was born in Kenya, or that FEMA is building concentration camps.


Nice attempt at distraction. The fact is that the FED is dependent for their existence and their regulatory authority on the Government. That makes them at best an entity similar to that envisioned in Fascist states....an "industry partner" with Government. They are NOT a private entity despite statist protestations to the contrary. Trot down to the corner eggroll vendor and try what they are supposedly going to do and see what they tell you....the difference is that THEY have the backing and authority of the US Government.
Link Posted: 6/17/2009 6:31:31 AM EST
Originally Posted By Will:
Same way they can tell you that the Jews did 9/11, or that we never landed on the moon, or that Obama was born in Kenya, or that FEMA is building concentration camps.


Nice attempt at distraction. The fact is that the FED is dependent for their existence and their regulatory authority on the Government. That makes them at best an entity similar to that envisioned in Fascist states....an "industry partner" with Government. They are NOT a private entity despite statist protestations to the contrary. Trot down to the corner eggroll vendor and try what they are supposedly going to do and see what they tell you....the difference is that THEY have the backing and authority of the US Government.


This thread is asking why lunatics believe that the fed is a private entity.

it's the anarchist/constitution rangers/lunatics who claim it is a private entity.

We "statists" all know it is part of the state.

Link Posted: 6/17/2009 6:32:34 AM EST
Originally Posted By VTHOKIESHOOTER:
Originally Posted By azmjs:
Same way they can tell you that the Jews did 9/11, or that we never landed on the moon, or that Obama was born in Kenya, or that FEMA is building concentration camps.



You never get tired of trolling do you?


You asked and I gave a very accurate analogy.

Just because it's popular here to gurgle the "kenyan" piss, doesn't mean it's not as loopy a load of bullshit as the others.

Link Posted: 6/17/2009 6:33:27 AM EST
We "statists" all know it is part of the state.


I can respect an honest man, wouldn't piss on him if he was on fire... but I respect the honesty.
Link Posted: 6/17/2009 6:35:59 AM EST
Originally Posted By Will:
We "statists" all know it is part of the state.


I can respect an honest man, wouldn't piss on him if he was on fire... but I respect the honesty.


Its the anti-statists who claim it's a private institution, not the statists.

I think you're confused on that one particular point.

Link Posted: 6/17/2009 6:39:55 AM EST

Originally Posted By VTHOKIESHOOTER:
Originally Posted By PUBBOY:
From Wiki:

"The Federal Reserve System (also the Federal Reserve; informally The Fed) is the central banking system of the United States. Created in 1913 by the enactment of the Federal Reserve Act (signed by Woodrow Wilson), it is a quasi-public and quasi-private (government entity with private components) banking system[1] that comprises (1) the presidentially appointed Board of Governors of the Federal Reserve System in Washington, D.C.; (2) the Federal Open Market Committee; (3) twelve regional Federal Reserve Banks located in major cities throughout the nation acting as fiscal agents for the U.S. Treasury, each with its own nine-member board of directors; (4) numerous other private U.S. member banks, which subscribe to required amounts of non-transferable stock in their regional Federal Reserve Banks; and (5) various advisory councils. Since February 2006, Ben Bernanke has served as the Chairman of the Board of Governors of the Federal Reserve System. Donald Kohn is the current Vice Chairman (Term: June 2006–June 2010).


Just like Fanny and Freddy, and those were sooooooooo successful.


(signed by Woodrow Wilson),

Wilson, as well as Teddy Roosevelt, were both Progressives as is much of the current administration.



5sub
Link Posted: 6/17/2009 6:44:43 AM EST
Originally Posted By azmjs:
Same way they can tell you that the Jews did 9/11, or that we never landed on the moon, or that Obama was born in Kenya, or that FEMA is building concentration camps.



Normally I don't agree with you but on this you beat me to it.

Tin Foiling about the Fed has it's origins in the same synaptic misfires as the 9/11 Troofers and anti-Moon Landers.
Link Posted: 6/17/2009 7:05:44 AM EST
Originally Posted By azmjs:
Same way they can tell you that the Jews did 9/11, or that we never landed on the moon, Dave_A is for small government, Obama was born in Kenya, or that FEMA is building concentration camps.




You missed one.
Link Posted: 6/17/2009 7:11:14 AM EST
Originally Posted By Will:
Just because they are given power doesn't mean they are governmental.


How many "private entities" do you know that have regulatory authority, given to them (which means in reality a grant of authority from "the people") and backed by the US Government?

Again, I own a business. If I showed up at the SuperMarket and told them they had to fire their manager, only sell Alvacados on Tuesday and only for $1 a pound they would lock me the fuck away. But if the FED does it somehow it's ok? Why? Because they have been given GOVERNMENT REGULATORY AUTHORITY. At best they are a bastardized government/private hybrid creation.....Fascism/National Socialism anyone?


Uh, if you owned a 60% holding in the Supermarket and told them to fire their manager.... guess what they'd do.
Link Posted: 6/17/2009 7:17:58 AM EST
Would you prefer I told you with a gay face?
Link Posted: 6/17/2009 7:46:49 AM EST
The FED has to be a private corporation.

The government is only authorized in the Constitution to Mint Coin. So to print up Fiat paper money (which used to be actual silver certificates redeemable in coin) it has to be outsourced and the paper moneys treated as government endorsed checks.

Its partly a way to side step a direct Constitutional conflict. They been doing this a long time.

Just like they wanted to outlaw items now considered NFA items - courts said you can't - so they create a tax & registration system that made it near impossible for the common citizen of the time to afford.

Same with income tax - courts kept throwing it out until they figured a way to call it "voluntary" and added over the years thousands of legitimate legal traps to prosecute those who fail to volunteer...
Link Posted: 6/17/2009 8:07:31 AM EST
Because the Fed IS private! oh sure the public is "represented" by the board of governors appointed by our president and confirmed by the senate. They're pawns, and talking heads to put up on the TV and reassure the public that their money is safe. The private entities (banks) and most politicians are always looking out for #1, themselves.

Good video on the subject:
http://video.google.com/videoplay?docid=5232639329002339531&hl=en

More reading:
http://theburningplatform.com/economy/grand-illusion––-the-federal-reserve
Rothschild, J.P. Morgan & the Federal Reserve

"Those few who can understand the system (check book money and credit) will either be so interested in its profits, or so dependent on it favors, that there will be little opposition from that class, while on the other hand, the great body of people mentally incapable of comprehending the tremendous advantage that capital derives from the system, will bear it burdens without complaint, and perhaps without even suspecting that the system is inimical to their interests."

Rothschild’s Bros. of London

The House of Rothschild had been the dominant banking family in Europe for two centuries. They were known for making fortunes during Panics and War. Some claimed that they would cause Panics in order to take advantage of those who panicked. The Panic of 1907 was the used as the reason for creating the Federal Reserve. The Federal Reserve Bank of Minneapolis attributed the causes of the Panic of 1907 to financial manipulation from the existing banking establishment.

"If Knickerbocker Trust would falter, then Congress and the public would lose faith in all trust companies and banks would stand to gain, the bankers reasoned."

Before he became a tool of the political ruling elite and the bankers who truly control the country, Alan Greenspan actually understood and supported a currency backed by gold which couldn’t be manipulated by corrupt politicians. The confiscation of middle class wealth through the insidious use of inflation has proceeded unchecked for 96 years.

In the absence of the gold standard, there is no way to protect savings from confiscation through inflation. There is no safe store of value. If there were, the government would have to make its holding illegal, as was done in the case of gold. If everyone decided, for example, to convert all his bank deposits to silver or copper or any other good, and thereafter declined to accept checks as payment for goods, bank deposits would lose their purchasing power and government-created bank credit would be worthless as a claim on goods. The financial policy of the welfare state requires that there be no way for the owners of wealth to protect themselves. This is the shabby secret of the welfare statists' tirades against gold. Deficit spending is simply a scheme for the confiscation of wealth. Gold stands in the way of this insidious process. It stands as a protector of property rights. If one grasps this, one has no difficulty in understanding the statists' antagonism toward the gold standard.

Alan Greenspan – 1966
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