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"Audit The Fed" Bill Gains Momentum, Yellen Starts Damage Control

Tyler Durden's picture




 

After years of being blocked by Democratic leader Harry Reid, The Washington Times reports, the Senate will finally get a chance next year to vote on legislation to force a broad audit of the Federal Reserve's decision-making. Ron Paul's flagship legislative efforts have been picked up by his son and now has the backing of the leader of the new Republican majority, Sen. Mitch McConnell, whose office says the legislation will earn a floor vote. While the bill is not a sure thing, it appears to have The Fed worried as Reuters reports, Yellen and other Fed officials are lobbying Capitol Hill to drop the audit push.

 

As The Washington Times reports,

After years of being blocked by Democratic leader Harry Reid, the Senate will finally get a chance next year to vote on legislation to force a broad audit of the Federal Reserve's decision-making.

 

Once championed in Congress by former Rep. Ron Paul, the push to force the country's central bank to undergo a full audit has been picked up by his son, Sen. Rand Paul, and others, and has the backing of the leader of the new Republican majority, Sen. Mitch McConnell, Kentucky Republican, whose office says the legislation will earn a floor vote.

 

But despite overwhelming support in the House, where the legislation has twice passed, the bill is not a sure thing in the Senate, and the Fed itself is pushing back. Chairwoman Janet L. Yellen said earlier this month the Fed remains opposed to stricter oversight of its monetary policy decisions, and Reuters reported she and other Fed officials are lobbying Capitol Hill to drop the audit push.

 

"Back in 1978 Congress explicitly passed legislation to ensure that there would be no GAO audits of monetary policy decision-making, namely policy audits. I certainly hope that will continue, and I will try to forcefully make the case for why that's important," Ms. Yellen told reporters at a press conference two weeks ago.

 

For supporters in Congress, the fight is a matter of constitutional prerogatives and good governance. They argue that President Obama's 2009 Recovery Act, which totaled $800 billion in spending and tax cuts, was dwarfed by the trillions of dollars of stimulus the Federal Reserve oversaw.

And everything changed in the last election...

"[Harry Reid's] refusal to bring popular legislation like 'Audit the Fed' to the floor is a major reason why he's being demoted to minority leader," said Mr. Singleton, who spent years as Mr. Paul's legislative director in the House. "The change in Senate leadership does present us with the best opportunity yet to get a stand-alone vote on 'Audit the Fed.'"

 

Still, he said they aren't taking anything for granted, particularly after the report that Fed officials are quietly lobbying against more oversight.

 

"This is popular with 75 percent of the American people, but it's not popular among Wall Street; it's not popular among banks; it's not popular among foreign central banks," Mr. Singleton said. "These hold a fair amount of sway among both parties, so just to say that a change in party necessarily means we'll be able to move Audit the Fed it's better odds now than we've had before, but it's not a slam dunk."

 

The audit legislation would grant the Government Accountability Office, which is Congress's chief investigative arm, the power to retroactively review - though not actually reverse - the Fed's decision-making, particularly on monetary policy.

But the elites are worried...

Ms. Yellen and her defenders say giving the GAO audit powers could amount to having their decisions scrutinized almost in real time, which they say could influence the closed-door deliberations by the Fed.

 

"If board members know that their statements may become public, they may be inhibited from speaking candidly about the economic trends they are observing or the monetary policies they believe would best respond to current conditions," Rep. Elijah E. Cummings, Maryland Democrat, said in leading the fight against the bill in September.

*  *  *
Accountability? Consequences? Not in the New Normal... it's for your own good after all...

 

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Thu, 01/01/2015 - 19:36 | 5613379 dexter_morgan
dexter_morgan's picture

It would be fantastic......but if RINO's like McConnel are behind it I fear it wouldn't really be an audit at all but a nihil obstat and impramatuer of the Fed's actions

Thu, 01/01/2015 - 19:39 | 5613381 loveyajimbo
loveyajimbo's picture

Nice Bill to seperate the traitors from the patriots... problem is... around 60% of Americans are moronic sheep and have no clue what the Fed is... an arm of the Rothschild criminal banking cabal.  many would swing after an honest audit... but don't hold your breath... this is JPMorganLand and Obongo is the current Court Jester.

Thu, 01/01/2015 - 20:04 | 5613429 Bangalore Torpedo
Bangalore Torpedo's picture

In related news, Old MacDonald....you know, he had a farm...is having the fox drop by to audit the hen house.

Thu, 01/01/2015 - 20:16 | 5613432 NubianSundance
NubianSundance's picture

.

Thu, 01/01/2015 - 20:12 | 5613450 Midnight Rider
Midnight Rider's picture

Who wouldn't want virtually unlimited power to generate personal wealth for themselves and TBTF banker friends via the Wall Street revolving door spinning at light speed and a veil of secrecy to hide behind? You would be crazy not to want to keep this gravy train going. Exactly the reason it needs to be eliminated.

Thu, 01/01/2015 - 20:15 | 5613457 Angus McHugepenis
Angus McHugepenis's picture

How does one "audit" a time-warp-worm-hole?

Thu, 01/01/2015 - 21:47 | 5613472 are we there yet
are we there yet's picture

Janet Reno and Nanci Pilosi will do a nude lap dance for Harry Reed in congress while in session before the FED is audited willingly. Also, Fort Knox will be audited only with an M-1 tank ahead of the accountans. Congress has become nothing more than a condom for TPTB for their protection.

Thu, 01/01/2015 - 20:23 | 5613474 AgeOfJefferson
AgeOfJefferson's picture

In China we call this a "face project". It won't happen. They just want to give the appearance of wanting to do it. Trickster congressters as usual. Their days are counted anyway..

Thu, 01/01/2015 - 21:34 | 5613622 CaptainMoonlight
CaptainMoonlight's picture

Hang em all the fk high.

Thu, 01/01/2015 - 20:31 | 5613478 piratepiet
piratepiet's picture

 

 

For me, gold stands in part for greed, distrust, deceit and conflict.  What we need is self-sacrifice, trust, loyalty and cooperation.

I understand the tradition has a 4000 year history.  But maybe the gold bugs bet against humanity itself.   

 

Thu, 01/01/2015 - 20:40 | 5613503 Fuku Ben
Fuku Ben's picture

What a coincidence it is almost as if this has risen from the dead in the 3rd year after Ron Paul's death in office

Don't get your hopes up it's probably just the satanists mocking the monsters

After all the Supreme Traitors just effectively eliminated your 4th Amendment they have to offer up some hope for you

Stop waiting for the hope and change presented to you and praying it will happen because it never will

Carpe Diem bitches Freedom awaits you

Thu, 01/01/2015 - 20:49 | 5613532 proLiberty
proLiberty's picture

Old physician's axiom: obstruction begets infection. It is a great organizational axiom as well. When a function has funding but doesn't have sufficient accountability, human nature alone makes it highly probable that an "infection" will set in. In the case of the Federal Reserve, it has festered a long time. The Fed must regularly be audited and the audit must have full transparency.

Fri, 01/02/2015 - 00:15 | 5613896 talisman
talisman's picture

Old physician's axiom: piss and pus must come out----and there is a lot of septic pus in the Fed.

Thu, 01/01/2015 - 21:31 | 5613619 U4 eee aaa
U4 eee aaa's picture

If this goes anywhere I guess we'll see who is truly in charge

Thu, 01/01/2015 - 21:35 | 5613629 luna_man
luna_man's picture

 

 

Not only audit, abolish these CRIMINALS!

 

Tired of CRIMINALS manipulating my life!...Fed., is as good a place to start as any..."Wall street", who you gonna call?

 

Right?

Thu, 01/01/2015 - 21:59 | 5613673 Bumbu Sauce
Bumbu Sauce's picture

In realville the Fed would be audited annually.  It is time to demagogue this issue.  Burn up the mics and cameras.

Thu, 01/01/2015 - 22:25 | 5613707 Quantum Darwinism
Quantum Darwinism's picture

Why are they so afraid of an audit?

 

Aren't we the ones always being told that "if you've got nothing to hide, you've got nothing to fear"...?

Fri, 01/02/2015 - 05:13 | 5614140 dreadnaught
dreadnaught's picture

pure devastating CORRUPTION

Thu, 01/01/2015 - 22:35 | 5613721 shovelhead
shovelhead's picture

This bill is an impacted colon.

Nobody really wants to stand behind it.

Thu, 01/01/2015 - 22:42 | 5613730 Bemused Observer
Bemused Observer's picture

It all depends on how the economy goes...if things hang on, the Fed is safe.
But if something real bad happens, desperate pols may throw the Fed under the bus rather than take blame themselves.

Fri, 01/02/2015 - 13:05 | 5615046 Livermore Legend
Livermore Legend's picture

Self-Interest is the "Mother's Milk" of Politics.......

Those who Fail to Understand AND Heed this, no matter who they may be, will Pay the Price.....

The "Greed Equilibrium" is whereby Parties through their own Actions bring on the very results they sought to avoid......

You see, Size or Power doesn't matter - beause neither can extinguish the Confluence of Mathematics and Human Nature.......

Past is Prologue.......

 

Thu, 01/01/2015 - 22:54 | 5613731 TomGa
TomGa's picture

But, but, but Harry Reid was for "Audit the Fed" before he was against "Audit the Fed."  In fact, he co-sponsored an Audit the Fed bill for years back in the '90's, but it never got anywhere. What a sewer rat.  From C-SPAN (1995):

 

Harry Reid: "I think we should audit the Federal Reserve"

https://www.youtube.com/watch?v=oXOsZ7Ad7dM

 

 

Thu, 01/01/2015 - 23:10 | 5613785 WTFUD
WTFUD's picture

Mr Yellen is ' pushing back '. Not easy with that CUNT's little dwarf legs.

Thu, 01/01/2015 - 23:21 | 5613807 fishwharf
fishwharf's picture

If after all the huffing and puffing to audit the Fed things don't return to business as usual after this act of political theater I will be amazed.

Thu, 01/01/2015 - 23:32 | 5613830 Buster Cherry
Buster Cherry's picture

I wonder if there is a stationery company out there that can make greeting cards that have an image of Musollini and his wife strung from a streetlamp.

I would use it to write my senators.and congressman when I give tbem guidance and direction.

Fri, 01/02/2015 - 00:18 | 5613900 db51
db51's picture

InstaPrint.  lmao.   $ 5.00   and don't forget the return address.

Fri, 01/02/2015 - 00:11 | 5613888 talisman
talisman's picture

[Yellen said earlier this month the Fed remains opposed to stricter oversight of its monetary policy decisions]

An audit is not "oversight"of policy decisions, it only assures accountability that the numbers are kept straight

Fri, 01/02/2015 - 00:16 | 5613898 db51
db51's picture

A fucking Audit?   Please....and just who do you suppose will be doing the auditing and to whom will the audit be available to?  Fucking joke.  Ain't gonna happen, and if it did, it will be some 45,000 page document with so much mumbo jumbo everyone will simply go Meh.  Fuck it.  Audit Over.  Move along.

Fri, 01/02/2015 - 00:42 | 5613930 Hamm Jamm
Hamm Jamm's picture

END THE FED !

 

no need for this fraud to keep going

then make an example of the crook bankers

Fri, 01/02/2015 - 01:09 | 5613965 DarthVaderMentor
DarthVaderMentor's picture

Does it have a House Bill Number yet?

Fri, 01/02/2015 - 01:44 | 5613999 TeethVillage88s
TeethVillage88s's picture

Not sure which one it is.

Here are a couple:

H.R. 24: Federal Reserve Transparency Act of 2014
Passed House on Sep 17, 2014
Prognosis
15% chance of being enacted Sponsor: Rep. Paul Broun [R-GA10]
https://www.govtrack.us/congress/bills/113/hr24
The Federal Reserve Transparency Act calls for an audit of Federal Reserve system by the Comptroller General within 1 year of the passing of this bill. The report will also ...

---

H.R. 5018: Federal Reserve Accountability and Transparency Act of 2014
https://www.govtrack.us/congress/bills/113/hr5018#summary
Reported by Committee on Jul 30, 2014
Prognosis
31% chance of being enacted

Fri, 01/02/2015 - 05:46 | 5614161 maneco
maneco's picture

Don't audit the Fed just END IT!

Fri, 01/02/2015 - 06:16 | 5614170 tumblemore
tumblemore's picture

On the surface this is a good thing however the layer under the surface contains a bunch of good reasons (listed in the comments above) why it's all smoke but then there's also the possibility of a third layer under that where different gangs of rats are starting to fight over who goes down with the sinking ship and who gets to fly to Shanghai with their loot.

Fri, 01/02/2015 - 10:46 | 5614490 Quinvarius
Quinvarius's picture

Corozine and Madoff also opposed audits of their operations.

Fri, 01/02/2015 - 11:21 | 5614603 Deathstar
Deathstar's picture

Does anyone really believe that this has a snowballs chance in hell of passing?

If anyone out there would like to wager, I will take the side it'll never see the light of day let alone passing. The jews scamming the goyum will never let this happen. Ever.

10K in fiat bet anyone?

Hey, what does it matter anymore, it's just monopoly(ponzi) money anyway...

Fri, 01/02/2015 - 11:53 | 5614718 Jabotinsky_USA
Jabotinsky_USA's picture

Yes, a lot more than snowball's chance.  Democrats will try to filibuster.  

 

Lesson: Vote!   Always vote! And vote early.  And yes, there are massive differences between the two parties.

Fri, 01/02/2015 - 12:19 | 5614855 Jabotinsky_USA
Jabotinsky_USA's picture

Major lesson: elections matter.  So vote.  Vote all the time and early.   Vote Republican, at let in the near future.  

 

Sure the audit may not happen as Republicans may be short of 60 Senate votes, but in politics you never get everything you want at once.  Gradual process.

Sat, 01/03/2015 - 02:18 | 5617768 demur
demur's picture

The goverbank will never audit itself. The psyop will appease the dipshit masses just like it always does on every issue. Republicans are experts operators.  They remind me of Catholic priests pounding pulpits against sexual immorality while pounding little boys behind curtains.  

Sat, 01/03/2015 - 17:46 | 5618842 thebigunit
thebigunit's picture

A respectful request:

Would all of you people who fervently believe that: it's hopeless, they're all the same, there is no difference, the game is rigged, nothing is ever going to change, we're all fools and suckers, blah, blah, blah . . .

Would all of you people KINDLY STOP POSTING!

There is nothing ... NOTHING ... anyone can do with your information . . . except maybe overeat and put on weight or commit suicide or both.

Thank you.

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