Posted on 09/25/2009 1:10:57 PM PDT by Palin Republic
U.S. Rep. Michele Bachmann had a chance Friday morning to question the top lawyer for the Federal Reserve Bank during hearings into an audit of the Fed proposed by Rep. Ron Paul (with whom she’ll share a stage at the University of Minnesota tonight). “The Federal Reserve seems to have the power to do anything it wants to do without any restrictions whatsoever,” Bachmann said.
Bachmann was talking about Section 13.3 of the Federal Reserve Act, under which the Fed can make discount-rate loans to, for instance, bail out Bear Stearns.
The Fed’s top lawyer, Scott Alvarez (who charmingly begins every answer with “So … “), said the Fed had used its 13.3 powers only in the 1930s and 1960s, not the 1980s as Bachmann suggested. Under later questions on the same topic, he said 13.3 could only be invoked by a supermajority of the Fed’s board and under extreme circumstances.
(Excerpt) Read more at minnesotaindependent.com ...
But we all must fight like demons to get S604 through the Senate.
AuditTheFed.com
I thought Freep was knee jerk 100% against RP
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