Rather Than Being Drained, the Swamp Is Draining the U.S. Treasury Via the New York Fed – Rigged Game


But while the $700 billion TARP shiny object was all over the front pages of newspapers, the New York Fed, with nary a vote in Congress or even the awareness of Congress, was running a secret $29 trillion Wall Street bailout. The New York Fed was using its unlimited ability to create money out of thin air to ply Wall Street banks and trading houses, as well as global foreign banks and central banks, with the lion’s share of $29 trillion in revolving loans, at a fraction of the interest rate these financial firms would have been charged in the open market. Those revolving loans began secretly in December 2007 and ran through at least July 21, 2010.

So desperate was the Fed to keep that $29 trillion a secret from the American people that it battled in court for more than two years, arguing that the American people had no right to this information. It lost that battle.

This time around, … What is happening at the New York Fed is the same thing that happened during the financial crisis of 2007 to 2010. Average Americans are
getting the short-end of the stick in the stimulus bill known as the CARES Act while Wall Street banks are getting astronomical sums from the New York Fed’s unlimited money spigot.