Federal Reserve Says Disclosing Loans Will Hurt Banks

Discussion in 'Wall St. News' started by ASusilovic, Aug 27, 2009.

  1. Aug. 27 (Bloomberg) -- The Federal Reserve argued yesterday that identifying the financial institutions that benefited from its emergency loans would harm the companies and render the central bank’s planned appeal of a court ruling moot.

    The Fed’s board of governors asked Manhattan Chief U.S. District Judge Loretta Preska to delay enforcement of her Aug. 24 decision that the identities of borrowers in 11 lending programs must be made public by Aug. 31. The central bank wants Preska to stay her order until the U.S. Court of Appeals in New York can hear the case.

    “The immediate release of these documents will destroy the board’s claims of exemption and right of appellate review,” the motion said. “The institutions whose names and information would be disclosed will also suffer irreparable harm.”

    The Fed’s “ability to effectively manage the current, and any future, financial crisis” would be impaired, according to the motion. It said “significant harms” could befall the U.S. economy as well.

    http://www.bloomberg.com/apps/news?pid=20601109&sid=aAOhgVw78e3U

    Ha, ha, ha, ha, ha, ha....:D :) :p
     
  2. Didn't we just go through a "give us what we want or there will be a financial meltdown" scenario last year?
     
  3. the1

    the1

    The credit crisis was caused by a massive increase in the supply of money. Now the money supply is enourmously massive. There will certainly be another crisis. I wonder if Big Ben will raise interest rates before Dow 15,000?

     
  4. In short words :

    the FED is making of every single living person in the US public fools !
     
  5. taipan77

    taipan77

    Wow. Don't we ever learn there must always be full disclosure for free market economies to work. That is how it works because once the people lose faith in the system they will not invest in it again. Ben is saying that not being transparent is the greater good since it may cause banks that should of gone bust to go bust. Didn't we learn from Enron, Madoff, and Sanford. We are doing exactly what they were doing saying that were making money and hiding what was really going on.
     
  6. S2007S

    S2007S


    He should have started raising rates months ago. Like I said a million times, the only way to create any growth in our economy is through bubbles, they are trying very hard to create the next bubble so that we can create more wealth that will be taken over by higher inflation and a worthless dollar. The economy is upside down, the credit crisis is so big that nothing can help it at this point, throwing monopoly money at the problem is not going to create a solution.
     
  7. wow more interesting news for the United Banks of America.