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Intro: "More than $4 trillion in near zero-interest Federal Reserve loans and other financial assistance went to the banks and businesses of at least 18 current and former Federal Reserve regional bank directors in the aftermath of the 2008 financial collapse, according to Government Accountability Office records made public for the first time today by Sen. Bernie Sanders."

Sen. Bernie Sanders (I-Vt.). (photo: WDCpix)
Sen. Bernie Sanders (I-Vt.). (photo: WDCpix)



Sanders Releases Explosive Bailout List

Sen. Bernie Sanders, Reader Supported News

13 June 12

 

ore than $4 trillion in near zero-interest Federal Reserve loans and other financial assistance went to the banks and businesses of at least 18 current and former Federal Reserve regional bank directors in the aftermath of the 2008 financial collapse, according to Government Accountability Office records made public for the first time today by Sen. Bernie Sanders.

On the eve of Senate testimony by JPMorgan Chase CEO Jamie Dimon, Sanders (I-Vt.) released the detailed findings on Dimon and other Fed board members whose banks and businesses benefited from Fed actions.

A Sanders provision in the Dodd-Frank Wall Street Reform Act required the Government Accountability Office to investigate potential conflicts of interest. The Oct. 19, 2011 report by the non-partisan investigative arm of Congress laid out the findings, but did not name names. Sanders today released the names.

"This report reveals the inherent conflicts of interest that exist at the Federal Reserve.  At a time when small businesses could not get affordable loans to create jobs, the Fed was providing trillions in secret loans to some of the largest banks and corporations in America that were well represented on the boards of the Federal Reserve Banks.  These conflicts must end," Sanders said.

The GAO study found that allowing members of the banking industry to both elect and serve on the Federal Reserve's board of directors creates "an appearance of a conflict of interest" and poses "reputational risks" to the Federal Reserve System.

In Dimon's case, JPMorgan received some $391 billion of the $4 trillion in emergency Fed funds at the same time his bank was used by the Fed as a clearinghouse for emergency lending programs. In March of 2008, the Fed provided JPMorgan with $29 billion in financing to acquire Bear Stearns. Dimon also got the Fed to provide JPMorgan Chase with an 18-month exemption from risk-based leverage and capital requirements. And he convinced the Fed to take risky mortgage-related assets off of Bear Stearns balance sheet before JP Morgan Chase acquired the troubled investment bank.

Another high-profile conflict involved Stephen Friedman, the former chairman of the New York Fed's board of directors. Late in 2008, the New York Fed approved an application from Goldman Sachs to become a bank holding company giving it access to cheap loans from the Federal Reserve. During that period, Friedman sat on the Goldman Sachs board.  He also owned Goldman stock, something that was prohibited by Federal Reserve conflict of interest regulations. Although it was not publicly disclosed at the time, Friedman received a waiver from the Fed's conflict of interest rules in late 2008. Unbeknownst to the Fed, Friedman continued to purchase shares in Goldman from November 2008 through January of 2009, according to the GAO.

In another case, General Electric CEO Jeffrey Immelt was a New York Fed board member at the same time GE helped create a Commercial Paper Funding Facility during the financial crisis. The Fed later provided $16 billion in financing to GE under this emergency lending program.

Sanders on May 22 introduced legislation to prohibit banking industry and business executives from serving as directors of the 12 Federal Reserve regional banks.

To read a report summarizing the new GAO information, click here.




Jamie Dimon Is Not Alone


During the financial crisis, at least 18 former and current directors from Federal Reserve Banks worked in banks and corporations that collectively received over $4 trillion in low-interest loans from the Federal Reserve.

US Senator Bernard Sanders (I-Vt.)
Washington, DC
June 12, 2012


  1. Jamie Dimon, the Chairman and CEO of JP Morgan Chase, has served on the Board of Directors at the Federal Reserve Bank of New York since 2007. During the financial crisis, the Fed provided JP Morgan Chase with $391 billion in total financial assistance. JP Morgan Chase was also used by the Fed as a clearinghouse for the Fed's emergency lending programs.

    In March of 2008, the Fed provided JP Morgan Chase with $29 billion in financing to acquire Bear Stearns. During the financial crisis, the Fed provided JP Morgan Chase with an 18-month exemption from risk-based leverage and capital requirements. The Fed also agreed to take risky mortgage-related assets off of Bear Stearns balance sheet before JP Morgan Chase acquired this troubled investment bank.

  2. Jeffrey Immelt, the CEO of General Electric, served on the New York Fed's Board of Directors from 2006-2011. General Electric received $16 billion in low-interest financing from the Federal Reserve’s Commercial Paper Funding Facility during this time period.

  3. Stephen Friedman. In 2008, the New York Fed approved an application from Goldman Sachs to become a bank holding company giving it access to cheap Fed loans. During the same period, Friedman, who was chairman of the New York Fed at the time, sat on the Goldman Sachs board of directors and owned Goldman stock, something the Fed’s rules prohibited. He received a waiver in late 2008 that was not made public. After Friedman received the waiver, he continued to purchase stock in Goldman from November 2008 through January of 2009 unbeknownst to the Fed, according to the GAO. During the financial crisis, Goldman Sachs received $814 billion in total financial assistance from the Fed.

  4. Sanford Weill, the former CEO of Citigroup, served on the Fed's Board of Directors in New York in 2006. During the financial crisis, Citigroup received over $2.5 trillion in total financial assistance from the Fed.

  5. Richard Fuld, Jr, the former CEO of Lehman Brothers, served on the Fed's Board of Directors in New York from 2006 to 2008. During the financial crisis, the Fed provided $183 billion in total financial assistance to Lehman before it collapsed.

  6. James M. Wells, the Chairman and CEO of SunTrust Banks, has served on the Board of Directors at the Federal Reserve Bank in Atlanta since 2008. During the financial crisis, SunTrust received $7.5 billion in total financial assistance from the Fed.

  7. Richard Carrion, the head of Popular Inc. in Puerto Rico, has served on the Board of Directors of the Federal Reserve Bank of New York since 2008. Popular received $1.2 billion in total financing from the Fed's Term Auction Facility during the financial crisis.

  8. James Smith, the Chairman and CEO of Webster Bank, served on the Federal Reserve's Board of Directors in Boston from 2008-2010. Webster Bank received $550 million in total financing from the Federal Reserve's Term Auction Facility during the financial crisis.

  9. Ted Cecala, the former Chairman and CEO of Wilmington Trust, served on the Fed's Board of Directors in Philadelphia from 2008-2010. Wilmington Trust received $3.2 billion in total financial assistance from the Federal Reserve during the financial crisis.

  10. Robert Jones, the President and CEO of Old National Bancorp, has served on the Fed's Board of Directors in St. Louis since 2008. Old National Bancorp received a total of $550 million in low-interest loans from the Federal Reserve's Term Auction Facility during the financial crisis.

  11. James Rohr, the Chairman and CEO of PNC Financial Services Group, served on the Fed's Board of Directors in Cleveland from 2008-2010. PNC received $6.5 billion in low-interest loans from the Federal Reserve during the financial crisis.

  12. George Fisk, the CEO of LegacyTexas Group, was a director at the Dallas Federal Reserve in 2009. During the financial crisis, his firm received a $5 million low-interest loan from the Federal Reserve's Term Auction Facility.

  13. Dennis Kuester, the former CEO of Marshall & Ilsley, served as a board director on the Chicago Federal Reserve from 2007-2008. During the financial crisis, his bank received over $21 billion in low-interest loans from the Fed.

  14. George Jones, Jr., the CEO of Texas Capital Bank, has served as a board director at the Dallas Federal Reserve since 2009. During the financial crisis, his bank received $2.3 billion in total financing from the Fed's Term Auction Facility.

  15. Douglas Morrison, was the Chief Financial Officer at CitiBank in Sioux Falls, South Dakota, while he served as a board director at the Minneapolis Federal Reserve Bank in 2006. During the financial crisis, CitiBank in Sioux Falls, South Dakota received over $21 billion in total financing from the Federal Reserve.

  16. L. Phillip Humann, the former CEO of SunTrust Banks, served on the Board of Directors at the Federal Reserve Bank in Atlanta from 2006-2008. During the financial crisis, SunTrust received $7.5 billion in total financial assistance from the Fed.

  17. Henry Meyer, III, the former CEO of KeyCorp, served on the Board of Directors at the Federal Reserve Bank in Cleveland from 2006-2007. During the financial crisis, KeyBank (owned by KeyCorp) received over $40 billion in total financing from the Federal Reserve.

  18. Ronald Logue, the former CEO of State Street Corporation, served as a board member of the Boston Federal Reserve Bank from 2006-2007. During the financial crisis, State Street Corporation received a total of $42 billion in financing from the Federal Reserve.
 

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+332 # indian weaver 2012-06-13 10:17
Thank you Congressman Sanders, one of the few good humans in our Congress. This shows that our government isn't worth the paper the Constitution is written on, no rule of law, dangerous and despicable as a government, with no support for The People anymore, only themselves and that revolving door so well illustrated here. This is just another nail in the coffin of "Rule By Law", ignored and irrelevant as far as Congress and the "Adminstration" is concerned. Eventually The People will have to revolt here like Tunisia, Libya, Egypt, on and on, all those allies of this amerikan facscist terrorist regime.
 
 
+151 # Broger 2012-06-13 11:06
I agree with indian weaver. All this money being handed out is corruption money. This corporate government could not exist without heavy infusions of bribery at every level. Our administration, congress, courts and judges, penal system, police and military, elections system, and major media are all run by the 1% who have the bulk of the wealth. They can operate in secret and answer to no one. To get an idea how endemic corruption is in America, just take a look at how long it took for the NYC police department to be exposed as a whole culture of corruption from the beat cop to the commissioners. Sure, they cleaned it up for a few years, but where is it now? They had one honest cop on the whole force who wouldn't take the shakedown money. One! Everyone else complied and justified, or presumably left the department. Doesn't nearly everyone think that our whole government is like that now. Try to get any information about the killing of JFK that they've had locked up for the past going on 50 years. Good luck! We're living a lie and it's a wasted life that makes us all accomplices for not doing what Serpico did, or what the Occupy Movement is trying to do. Remember, when your police department gets sued for
libel, the taxpayer picks up the tab! They might change police chiefs, but the beat goes on.
 
 
+26 # Califa 2012-06-15 09:07
Speaking of JFK....

There are two Presidents who tried to shut down the Federal Reserve. JFK and Lincoln. Hmmmm...what do they have in common?
 
 
+132 # HowardMH 2012-06-13 11:27
You are so right on target. The trouble is that most of the people in the US are to stupid to even understand that the banks got all that free money, and by the time the stupid people figure it out the top 400 people in the US will be so totally in control of everything it will be to late to do anything about it.
 
 
+17 # John Locke 2012-06-13 14:33
It already is too late! Obama is part of that problem and the people here continue to give this bumb a free ride by remaining in denial.

The system was established to do exactly what it has done, Congress was on the payroll of JP Morgan even before 1913 when the Federal Reserve act was passed...The Government has been owned by the Banks as far back as Hamilton!
 
 
+33 # RMDC 2012-06-14 04:42
Good point John Locke. The Federal Reserve is doing exactly what the J. P. Morgan designed it to do. The FED is a private organization, not a part of the government although it appears to be. It is owned by its member banks whose chief officers sit on its board of directors. Giving the FED the control of the money supply and interest rates handed to banks the control of the whole US economy.

There were other laws and agencies of government that regulated banks, so banks were never until now able to use the full power of the control of the money supply. Now most government reguatlions on banks are too weak to matter. The FED is now supposed to regulate banks -- i.e., banks regulate themselves.

There's no way out of the banking criminal syndicate without breaking up the FED. People laughed when Ron Paul said that. But he was right.
 
 
+59 # wrknight 2012-06-14 09:32
John, you need to take a class in civics. The president has no control over the Fed except to nominate future Fed board members. (I said nominate, not appoint.) The Fed, on the other hand, is a private institution chartered by Congress. It is, in effect, a bankers' bank -- set up by bankers, run by bankers and funded by bankers. Stockholders in the Fed are member banks and thrifts. (It is rumored that one of the major stockholders is the Rothschild family that owns much of Bank of England.)

The Fed is the third central bank in our history (the first two were dissolved earlier). Its charter was granted by Congress in 1913 under the influence of bankers who lobbied for it. It is exactly what was feared by Jefferson for the very reasons we see before us.

I know you don't like Obama, and there are things that you can legitimately criticise him for. But keep your criticisms to those things that are legitimate.
 
 
+3 # John Locke 2012-06-14 10:21
wrknight: Thank you for your thought, but I could teach a Civic's class! Would you like to enroll?

Morgan had several members of congress on his payroll going back before the turn of the century, and including the sugar trust and the tarrifs to control the US domestic price of Sugar...the Depression of 1907 was a set up to bring in the Federal Reserve system in two phases. The 1909 act and the act of 1913.

In 1907, J.P. Morgan published rumors that the Knickerbocker Trust Company was insolvent. This was a deliberate act of market manipulation which precipitated the Panic of 1907, and consolidated the preeminence of the banks controlled by Morgan. The panic itself led to the passage of the Aldrich–Vreelan d Act in 1908, (Aldrich was closely associated with Morgan, and the Rockefeller banking interest) The act established the National Monetary Commission, sponsored and headed by Aldrich. After issuing a series of 30 reports, this commission drew up the Aldrich Plan, forming the basis for the Federal Reserve system.

Nelson W. Aldrich worked with several key bankers and economists, including Paul Warburg, Abram Andrew and Henry Davison, to design the plan for an American central bank in 1911. they designed the plan for the Federal Reserve.

JP Morgan did the same thing with Washington Mutual when they wanted to take over that banking operation, they spread rumers that Wamu was insolvent and immediately the FDIC gave it to Morgan
 
 
+35 # wrknight 2012-06-14 11:12
Very good! But that has nothing to do with Obama.
 
 
-1 # John Locke 2012-06-14 15:05
The point to the comment is that Obama is also on their payroll! As have been Congress and the Presidents going back into our own history...and it has involved JP Morgan who is a Rothschild associate in America....But I guess the "readers" didn't figure that out! Oh well, I can only give information, I can't make anyone absorb it!
 
 
+7 # wrknight 2012-06-16 08:07
You say that you can only give information and the information you say you are giving is that Obama is on their payroll. First of all, that statement is incorrect as it is illegal for a president to accept gifts, gratuities or salaries from anyone. He can however accept election campaign contributions. (PACs can accept anything from anyone.) So let's look at what has been donated to this year's campaign.

Here's a list of top donors to Obama's campaign.

Microsoft Corp. $347,916
DLA Piper $297,027
Univ.of California $261,846
Sidley Austin LLP $240,846
Google Inc $212,719

Now here's a list of top donors to Romney's campaign.

Goldman Sachs $573,080
JPMorgan Chase & Co $415,075
Bank of America $398,850
Morgan Stanley $373,850
Credit Suisse Group $317,410

Notice the first list has no bankers and the second list is all bankers. Now, who is on who's payroll?

BTW The source is the Federal Election Commission.

PS The subject of the discussion is Obama, not the Congress, so don't obscure the issue by including the Congress.
 
 
+5 # John Locke 2012-06-17 07:33
wrknight: Your wrong! Obama, Barack (D) received from Goldman Sache $91,574
 
 
+5 # John Locke 2012-06-17 07:46
President Barack Obama has $500,001 to $1 million in a JPMorgan Chase private client asset management checking account, according to financial disclosures released by the White House on Tuesday.

http://news.yahoo.com/obama-assets-jpmorgan-accounts-white-house-222254071--sector.html
 
 
+3 # John Locke 2012-06-17 07:50
President Obama has received $76,675 in campaign donations from JP Morgan company's employees...Tha t is how they donate! This list is endless, but You take the time to correct your post...I don't have the time!

http://content.usatoday.com/communities/onpolitics/post/2012/05/jp-morgan-chase-campaign-donations-obama-romney-/1
 
 
+3 # John Locke 2012-06-17 08:18
wrknight: This is for you, so you will be educated in how campaign contributions from banks work...

They provide money to their employees who make the donation (wink--Wink) if you want to find out how much a particular bank has donated look up the bank and ask the question...it will not show at the source you quoted!
 
 
+5 # rebelle 2012-06-16 18:01
How about the fact Obama's biggest donor is goldman suchs? Or the fact he hired the CEO's etc of goldman suchs as advisers and refuses to tell us how much WE are paying them? Or the fact obama has also hired goldman suchs lobbyist as advisers and he has hired chase and JP thieves advisers also and will not tell us how much WE are paying them? The president can buy elections and appointments better than most.
 
 
+40 # RLF 2012-06-14 05:44
Except revolt and put them all in prison...there will be a lot of room left when we let the pot smokers out.
 
 
+18 # John Locke 2012-06-15 09:27
Your comment reminded me of this!

"whenever any Form of Government becomes destructive of these ends, it is the Right of the People to alter or to abolish it, and to institute new Government, laying its foundation on such principles and organizing its powers in such form, as to them shall seem most likely to effect their Safety and Happiness." -

In case this is not recognized....i ts the United Stated Declaration of Independence.
 
 
+59 # paulrevere 2012-06-13 11:28
SENATOR Sanders...
 
 
+15 # LeeBlack 2012-06-13 14:02
I assume you are pointing to the use of Congressman above - aren't both representatives and senators Congressmen and Congresswomen?
 
 
+11 # cjequine 2012-06-13 19:02
Thank you
 
 
+85 # paulrevere 2012-06-13 11:37
privatize profits...

socialize losses...

I am clueless as to how this happens over and over and over. The very treasury of WETHEPEOPLE is looted over and over and over, and the (graphic, descriptive expletiveS deleted) sociopaths whine and complain about protesters?

How about that selFRIGHTeous rant by the pig Rick Santelli on CNBC back in '09
http://video.cnbc.com/gallery/?video=1039849853

"subsidize LOOSERS mortgages"...

souless knee-jerk little piggies, imho.
 
 
+17 # brux 2012-06-13 13:13
let's assume that the idea of "privatizing profits and socializing losses" PPSL is a "competing meme" with other ideas that we are programmed to think about in our heads.

i think there is often a dynamic where PPSL makes sense, as in war.

the problem is that this is not the only meme, but casting the world and the economy and even social life as a competition ultimately war by its nature creates a selfish belligerent, arrogant, elite that has the will, the resources and the power to grow to take over the society.

it makes sense to support some very brilliant talented people and when they make mistakes to socialize those losses because we all in sense vote to do that … but today there is not voting, there is not informing, there is lying, coercion, threats, EXISTENTIAL threats, as in no American can any longer survive in this country unless they pay tribute and lip service to the machine … whose mask is the Republican party - behind which are the people who would be God's … festering and corrupt and unable to see any of the rest of us as real human beings with right to exist in this world.
 
 
+41 # John Locke 2012-06-13 14:37
brux: If you believe in socializing Losses, then we have to also socialize their profits...One without the other isn't fair or equitable...ret hink your position! It isn't sound in any scenario
 
 
-4 # brux 2012-06-14 22:59
> brux: If you believe in socializing Losses, then we have to also socialize their profits..

EXACTLY … for the big losers to be supported the big winner have to chip in.

The country is too big to fail, as are we all. It is very sad to see almost the whole country being treated like it is an expendable liability, and treated like we can just be jettisoned any time the Koch brothers or their buddies want to kick the dog - so to speak.

I'm not like a lot of Liberals, I think the US has a role to play as the policeman of the world, the world is a mess and needs someone to kick ass the start to clean it up. We are the only ones who can do that and have gotten demostrably better at it over the years … ie. compare Iraq with Viet Nam.

So, in order for that facet of our being to be fullfilled, the social and domestic side of things need to be taken care of too … both sides need to recognize the other - even if they hate each other ,and figure out a way to move forward together.

If we want to have a giant military and expect Americans to fight, then we need to treat them as part of the family and support then with health care, education, jobs, etc. And if Americans want their government to serve them they must take on the responsbility of managing the massive problems of the world that always make it to our shores.
 
 
+11 # John Locke 2012-06-15 09:32
brux: "compare Iraq with Viet Nam"
We lost both wars! and were in them for the spoils, The CIA wanted the Drugs from the Golden Triangle...In Iraq would you believe its Oil? and as for being the worlds police department, we have along way to go to clean up our own mess here first. We have supported every dictator around the world, do you think that was by accident?
 
 
+1 # AMLLLLL 2012-06-14 15:24
Claw-backs, anyone?
 
 
+14 # Rita Walpole Ague 2012-06-15 09:08
Bernie Sanders - hard to find grander. Or braver and more determined. How he must be hated and feared by our 1% villainaire rulers. Suppose he, like Michael Moore, has a ring of Navy Seal security guards? Sure hope so.
 
 
+172 # bingers 2012-06-13 10:39
Too big to fail is too big to be allowed to exist. Break up the banks and prosecute everyone involved in okaying the loans they knew were bad.

The banks are far worse than Ma Bell ever was.
 
 
+57 # mdhome 2012-06-13 12:18
Yes, too big to fail should be too big to exist. Bust them up, break them up, shut them down fire their whinny asses, let them go buy their island with their stolen money, then nuke the island. Greedy SOBs!
 
 
+28 # brux 2012-06-13 13:29
But it is not really the institutions that are too big to fail it is the people behind it that want to maintain their status even though by the CONSITUTIONAL measure of how they have done for the rest of us they are utter failures and even enemies of the American peolpe and middle class.
 
 
+61 # SOF 2012-06-13 14:22
Please note that it is the FED that did this. The Fed is a private bank that masquerades as US Central bank.
 
 
+17 # pamitty 2012-06-13 19:58
Quoting SOF:
Please note that it is the FED that did this. The Fed is a private bank that masquerades as US Central bank.

This is true. I was surprised to find this out. They sound so official but it's just the bank as they wanted to seem.
 
 
+5 # brux 2012-06-14 23:01
To big to fail should be too big to be managed by a small elite in secret without serving the country.
 
 
0 # Mo Rage 2013-05-27 14:17
Well said and so simply true (on Ma Bell).

Mo Rage
the blog
 
 
+46 # bingers 2012-06-13 10:40
Oh, I almost forgot to add, Bernie Sanders is a Senator now and has been for a while. I met him in St Louis when he was still a congressman and was surprised to find that in person he's very funny.
 
 
+124 # BradFromSalem 2012-06-13 10:52
Now we know why Republicans are against abortions even in the case of incest. The Fed Board of Governors and the Banks those Governors run are in the most incestuous relationship possible.

The solution is obviously simple. The Fed has lost all moral authority to have any role in our fiscal policy so change must be made. First the head of the Fed cannot be someone who has been employed by any bank above the level of Bank Teller. Second, restore Glass-Steagall. Restore it it without caveats, exceptions or fine print. Third, each state should have its own state run Bank. The regionals answer to the states in its regions, who elect the regional governor. No governor can work for any bank that would be eligible for bailouts or be insured by the Fed.

Lastly, new rule Number 0. Any bank or financial institution that is too big to fail is too big.

After that part is done, get Bernie and Elizabeth Warren together in a room and let them write up the regulating rules around usury and no b.s. financial contracts.

Probably end up with less regulation, less hair splitting, and smaller bubbles.

(the above will never happen unless we insist on having Progressive candidates, this is a local issue)
 
 
+49 # mdhome 2012-06-13 12:21
Quoting LiberalLibertarian:
Now we know why Republicans are against abortions even in the case of incest. The Fed Board of Governors and the Banks those Governors run are in the most incestuous relationship possible.

The solution is obviously simple. The Fed has lost all moral authority to have any role in our fiscal policy so change must be made. First the head of the Fed cannot be someone who has been employed by any bank above the level of Bank Teller. Second, restore Glass-Steagall. Restore it it without caveats, exceptions or fine print. Third, each state should have its own state run Bank. The regionals answer to the states in its regions, who elect the regional governor. No governor can work for any bank that would be eligible for bailouts or be insured by the Fed.

Lastly, new rule Number 0. Any bank or financial institution that is too big to fail is too big.

After that part is done, get Bernie and Elizabeth Warren together in a room and let them write up the regulating rules around usury and no b.s. financial contracts.

Probably end up with less regulation, less hair splitting, and smaller bubbles.

(the above will never happen unless we insist on having Progressive candidates, this is a local issue)


I like the part about Sanders and Warren writing the new rules that banks have to live by.
 
 
+52 # fredboy 2012-06-13 11:03
So the new American Dream is to get a seat on the board of the Fed--and access to unlimited cash!
 
 
+19 # BradFromSalem 2012-06-13 12:25
Its safer than kissing your "Godfather's" ring, and morev profitable too!
 
 
+3 # wrknight 2012-06-14 09:42
Sorry, you have to be a banker in order to get a seat on the board. Board members are elected by the stockholders who must be bankers. (The Fed, in reality, is the bankers' bank -- owned, operated and financed by banks.) Your chances of being elected to the board are slim to none if you are not a member banker.
 
 
+82 # MEBrowning 2012-06-13 11:04
I am beyond disgusted with the machinations of government in this country. "Little guys" get beaten down at every turn, but the well-heeled "captains of industry" (in this case, the banking industry) rake in billions of your dollars and mine through their greed and contempt for the law. And with the exception of the principled and courageous Sen. Sanders, those charged with "promoting the general welfare" and upholding the rule of law are nowhere to be seen, because they are bought and sold by these same corporate low-lifes.

I am this far from voting third-party, because I can no longer stomach the Democrats. Socially, they appear to be more evolved than their Republican brethren, but fiscally they appear to be just as hostile to laws that are designed to protect small businesses and the 99% as their Teabagging colleagues.

Of course, given nationwide voter purges and pre-programmed Diebold machines, that presupposes that my vote even counts.
 
 
+40 # SOF 2012-06-13 14:26
Please note that dates show this was done prior to Obama taking office. Also that the FED is a private bank masquerading as the US central bank.
 
 
+19 # pamitty 2012-06-13 20:09
I had just read that about the machines and it sure does seem likely. When the count doesn't add up it always breaks to the right.
Of course the owner of the Diebold are republicans. There is no paper trail to prove or dis-prove a bunch of Election fraud. That is on a much bigger scale that voter fraud. The state I'm living in took a 10 year survey and found 7 cases of voter fraud in 10 whole years! It seems like the recent anti-voter fraud case is like a sledge hammer to a ladybug .
 
 
+96 # Feral Dogz 2012-06-13 11:15
Thank you again Bernie. You seem to be the only sane voice for the people in congress. Identifying specific criminal activity and naming names is the important first step in understanding and ending the inherent conflict in allowing bankers to determine how the economy functions.

They continue to demonstrate their incompetence and avarice while regulators collect their salaries and mark time waiting for their jobs in the "industry".

I'm not going to hold my breath waiting for convictions of these thieves, but I hope Bernie's work will change peoples' conception of where all the money went and continues to go.

What we need is to have economists like Stiglitz, Krugman and Reich overseeing the economy, not MBA, Ayn Rand/Milton Freidman-worshi pping banksters.
 
 
+52 # Virginia 2012-06-13 11:21
Well, there ya go Barbara K... It took an INDEPENDENT to expose this... Where are your ostrich Dems now? I believe in voting Dem - I just don't believe in voting for compromised Democrats and I think they should stand up and be counted. It's now or never - before it's too late.
 
 
+77 # AndreM5 2012-06-13 11:32
"Citigroup received over $2.5 trillion in total financial assistance from the Fed."

Yikes! That is some serious lunch money.

Sanders might be the only Senator left with a functioning conscience.
 
 
+10 # Virginia 2012-06-13 21:05
Wouldn't you think that would pay off a pretty good chunk of mortgages and set people free? It would if it wasn't the debt and privacy information they were gambling with...
 
 
+52 # petevokos 2012-06-13 11:38
One of the most disturbing aspects of this list is the lack of oversight. We need to hold the Fed Governors and board members to a higher standard. These back room deals,low interest rates and financial assistance are being handed out to a chosen few. The chosen few are banks and businesses that have ties to the Fed. If this money was made available to the small business community we would be closer to getting this economy back on track. Peter V.
 
 
+38 # obx1212 2012-06-13 11:39
I'm shocked that there's gambling going on in this establishment. I'm equally shocked about conflicts of interest.
And just how many other members of Congress are standing up to the gamblers?
Maybe if Elizabeth Warren gets elected we'll have two.
 
 
+50 # Billsy 2012-06-13 11:42
The refusal of Congress to simply reinstate Glass-Steagall and force break up of banks too big to fail is one of the most egregious failures of our legislative branch. Would it be too much for them to pass a bill forcing banks to renegotiate the rates of loans rather than foreclose on them? As Joseph Stiglitz points out, a market is NOT efficient when homes are left empty while Americans go homeless.
 
 
+34 # Adoregon 2012-06-13 11:46
RTFO Bernie and indian weaver...

The gentle reader will notice the corrupt scum named in this article and their related banks and businesses take the risks they take with OPM (other people's money).
You can bet these hotshots are not risking their own loot. This is standard operating procedure for the frauds in this arena.
 
 
+30 # tutu 2012-06-13 11:49
yes. just imagine how good life would be if this money were loaned at 0% interest to small businesses.
we do need more bernie sanders and elizabeth warrens.

i'm not picky. i'll vote for integrity and disclosure. too bad the majority of utahns vote republican straight ticket. the only real option we have is between republicans and tea partyers.
 
 
+25 # Jyl 2012-06-13 11:49
During Obama's campaign and after he was elected, I felt elated that the country was finally to be out from under lying, corrupt, self-serving, electorate-hati ng, disdainful elitists. I soon began to realise how stupid and gullible I'd been, for actually falling for the audacity to hope. So, what has changed? People lose more, lack more, suffer more and hope so much less. How can a select few have absolute control over an electorate which increasingly sacrifices everything, so as to remain ever-subservien t to those few who wallow in their own pseudo-superior ity?
 
 
+14 # pamitty 2012-06-13 20:26
It is true that power corrupts, but to expect one man to fix the economy after 8 years of financial misuse and abuse of power.
Most of us were unhappy with our new hero, but I still give him a good chance, because after all, even before he took office the likes of Mitch McConnell were telling his fellow legislators TO MAKE as their number one TOP priority to make Obama a one term president.
They DID make it TOP priority, over the good of we the people, over the good of the Nation, and over the debt!
They passed the same thing for BUsh 17+ times during his 8 years.
Even if they were the ones who had brought the bill, even if they had repeatedly passed things, even when it made NO Sense, the still put that as top priority!
They obstructed all they could in votes and filibusters.

The other thing that is important is that no matter how disappointed you are,, He is Way Better than Romney!

Every vote for democrat and you weaken those trying to kill your spirit.
 
 
+6 # dick 2012-06-13 11:54
Now we know the names of Obama's total constituency. When the WHOLE WORLD wanted these economic terrorists held accountable, Obama shielded them, labor took the heat instead, & the Crash enabling GOP took the 2010 elections, Barry's most unforgivable sin. He refused to seek splitting middle class tax cuts away from the B-M billionaire-mil lionaire tax cuts. He sought healthcare insurance designed by Big Pharma & Predatory Insurers. He refused to seek a transformative Stimulus, & went with Goldman Sachs trickle down. He discredited Keynes & nuked progressivism. His DISASTROUS reign benefits from T-Party misdirection. REMEMBER: He had an election MANDATE to clean up Wall St;
a progressive majority in the House; & a filibuster proof majority in the Senate. No excuses, just BETRAYAL.
 
 
+33 # SOF 2012-06-13 14:29
PLEASE NOTE, Dates shown were before Obama took office. The culprit is the FED which is a secretive Private bank that cannot even be audited.
 
 
-25 # Matt2h 2012-06-13 15:25
Knowledgeable people DO know what the Fed is. You haven't uncovered a massive conspiracy. Thanks for playing. Please try again.
 
 
+22 # pamitty 2012-06-13 20:36
No matter how badly you feel that Obama let you down, Can you really think that a republican would have done better?
They want to de-regulate the banks, they want to give even Bigger tax breaks to the corrupt 1%.
A Democrat is Always a better vote for the common people!
You forgot maybe that the republicans took the unemployed hostage, and that they tooK the debt ceiling hostage.
And evn before he took office the republicans were UNIted against him in every way.
 
 
+2 # Billy Bob 2012-06-14 12:17
Dick IS a repugnican.
 
 
-59 # Matt2h 2012-06-13 11:55
Where do you think that the loans to small businesses come from? The Federal Reserve has neither the authorization nor the responsibility to lend to small businesses. It is charged with ensuring the stability of the economy and the financial system. A run on the banks hurts everyone. Bank runs threaten to destroy the economy. I love Bernie Sanders but he is doing some populist grandstanding on this one.
 
 
+32 # jwb110 2012-06-13 11:59
The American Public must be reminded that this money is theirs and that the Fed doles it out knowing that tax payers will ultimately pay the bill.
In REAL Capitalism businesses that behave badly and unethically fail. That is the real self-regulation of the system. These banks and financial institutions should have been allowed to fail and individual depositors should have been reimbursed.
 
 
-46 # Matt2h 2012-06-13 14:04
That's suicidally crazy, jwb110, and that is NOT how capitalism works. Banks are not hardware shops. Even Adam Smith admitted that banks are a special case because economic activity depends on the ability to finance projects. Remember the Great Depression, jwb? I think you need to reread that chapter.
 
 
+59 # ABen 2012-06-13 12:00
Write your congressperson and senators and demand that Glass-Steagle be reinstated. Do so relentlessly!
 
 
+45 # Doll 2012-06-13 12:03
Did anyone else notice? Not one woman on the list.
 
 
+33 # nancyw 2012-06-13 12:12
And still the masses blame Obama when it happened under Bush-watch. Still.... who knows the complications involved with setting it all legal and right, and getting these banks to pay back loans... Some have. There is a website showing who has paid back and who hasn't and what interest was also paid to the government. Most of the big banks have not paid back.

Sorry... can't recall website. But it probably could be googled.
 
 
+28 # tanis 2012-06-13 12:33
Kucinich has stated that a new system of gov't is in order. As an insider he has seen the works as they exist today, he says it is corrupt. Citizens United is where to begin. How many reps and senators would be willing to propose a whole new system? It seems impossible to simply begin again all at once. Where to start, besides laying the whole responsibility on Bernie. Anyone else?
 
 
+26 # Billy Bob 2012-06-13 12:40
This is a good indicator of who really is the so called "liberal" media. Anyone who doesn't report this has an obvious conservative bias.
 
 
+17 # Jorge 2012-06-13 17:55
We can print this article out (and comments) and drop off at our local newspapers. E-mail the article to the News and Business desks of the newspapers and TV/radio. People need to know of the extent of the U.S. corruption.
 
 
+41 # LiberalRN 2012-06-13 12:54
Okay, folks... get ready to support Sen. Sanders' re-election campaign with your checkbooks. Because after this, Big Money is going to go after him with a vengeance. I just hope the citizens of Vermont have better sense than those of Wisconsin.
 
 
+19 # Merschrod 2012-06-13 13:03
Krony Kapitalism at its Krapiest.

The Fed should be set up like a non-partisan OMB, but neither aspiring nor ex-banksters should be allowed on it. The goal would be non-profit, aimed at all classes of banking needs, but most of all, stability to the labor market.

If business and farmers (latest desire of the peanut farmers for insurance against losses) need stability in the market place to survive - why not the average working stiff?

Stability or a steady life style as in "Life liberty and the pursuit of happiness" shpould be the goal of the "system" for all, but, alas, the 1% crowd has coöpted the system to the extent that they have destroyed it.
 
 
+24 # brux 2012-06-13 13:06
DAMMIT, WHY DO WE SEEM TO HAVE ONLY 1 or 2 PEOPLE IN OUR GOVERNMENT THAT SEEM TO CARE ABOUT THE PEOPLE AND ANSWER TO THEM ?

THIS IS INSUFFERABLE AND THERE SHOULD BE NO REASON FOR IT - there is no reason for it other than the consolidation of political power by a small group of people that justify by their exploitation of the rest of us for reasons that over time as we get more data and think more about it - MAKES LESS AND LESS SENSE AND HAS LESS AND LESS JUSTICE OR EFFICIENCY TO IT.
 
 
+6 # Trueblue Democrat 2012-06-13 13:12
What are a Wells, a Smith and two Jones doing on this list of scumbags?

Legal name changes or are these sneaky AKAs?
 
 
-2 # dick 2012-06-13 13:16
"Populist Grandstanding"? Bernie is outing Obama's closest pals, a tremendous public service. TRILLIONS have gone to these criminals without a single ounce of opposition from Obama. He supported increasing the power of Too Big to Jails. He is their #1 flunky. He's had 3 1/2 years to restructure Big Finance after winning an electoral mandate & Senate & House working majorities. It's PAINFUL to admit, but face it, he BETRAYED US.
 
 
+1 # Matt2h 2012-06-13 14:01
These (necessary) bailouts mostly happened before Obama took office. The financial crisis was not caused by criminal behavior. I know that it shocks people to learn that markets can fail so catastrophicall y and do so much harm absent criminality, but they can and they did. You need 60 votes to accomplish anything in the senate these days - that's why nothing has gotten done. The Republicans have staged a coup and changed the rules. I voted for Nader in 2008 when 99.9% of the left was going gaga over Obama - I sleep fine at night.
 
 
+15 # pamitty 2012-06-13 20:52
the republicans have indeed pulled several fast ones, while in power. The 60 day thing is a good example.
If they get into the white house they WILL rig it So that no Democrat can ever again get elected. That is almost what happened in Wisconsin.
So wake up stand up for what is right and true, and vote a democrat every where possible!
 
 
+3 # brux 2012-06-13 14:12
you really look so biased with your every point has to tie in with some already discredited Republican slogan.

i agree that obama has really done nothing for average people, but the average people have not really made enough of a noise - like nowhere near the whining level of Republicans, how do we expect to get him to act when we will not?

as to calling them pals … it's really just an emotion laden word with no meaning and no basis. individual politicians even the president do not have to work together or like each other in order to be pulled in the direction of money.
 
 
+13 # SOF 2012-06-13 14:33
He betrayed us with NDAA, but note these transactions happened while Bush II was in office, before Obama inauguration.
 
 
+23 # swami1034 2012-06-13 13:49
Private central banking exists solely for the profit of the 1%. It's a rigged game with guaranteed winners and losers. Compare private central banking for private profit with the Bank of North Dakota, where the profits are returned directly to the people of North Dakota, where there is no banking 'crisis' (i.e. planned manipulation to funnel power and wealth even faster up to the top 1%) and you have all you need to know about perhaps the biggest con job ever perpetrated on earth.
 
 
-22 # Matt2h 2012-06-13 15:27
It's not private. Go read about the Great Depression. The Fed DOES transfer surpluses from its operations to the U.S. Treasury. It's not a con job. You just don't understand what the Federal Reserve is and what it does.
 
 
+22 # Michael Lee Bugg 2012-06-13 13:53
I read somewhere over a year ago that the Fed actually handed out around $13 trillion to prop up banks that were insolvent after the bubble burst. By law the federal government is supposed to close and take over all "under water" insolvent banks. Not a good thought since the federal government on Bush's watch were the ones who looked the other way while banker greed was running rampant! The $787 billion bailout demanded by Bush on his way out the door was just a smoke screen for what the Fed was doing. Now the Republicans and the lap-dog news media have shifted the blame to Obama. I'll bet a trillion that I don't have that they will now blame Obama for what the Fed has done, particularly since Obama foolishly picked so many miscreants to be on his staff!
 
 
+14 # LeeBlack 2012-06-13 14:05
Number 2, Immelt, was selected to head the Council on Jobs and Competitiveness by Obama. Bad choice.
 
 
+24 # kitster 2012-06-13 14:08
is there anyone out there who doesn't know who the real rulers of this country are after this article? in fact, the financial-milit ary-industrial complex of the good ol' u.s. of a. holds sway over much of the rest of the developed world as well.

and whomever wins the fake election of 2012 will genuflect at their feet.

"ask not what corporate america can do for you...ask what you can do for corporate america."
 
 
+22 # railroadmike 2012-06-13 14:22
Thank you Bernie. You have shown the nation a good picture of the hippocracy in politics. Laying off teachers,cuts to education and social programs, busting unions and destroying voting rights. "The end of Democracy and defeat of the American Revoulution will occur when the government falls into the hands of the lending institutions and moneyed incorporations" . Thomas Jefferson 1816.
 
 
+11 # carlos joven 2012-06-13 14:38
4T IS "pocket change" compared to the $16 TRILLION the FRB dispursed between 2007&2010 to both U.S.&foreign banks as disclosed in the July,2011 GAO audit report of the Fed. Page#131 of this report lists who the receipents were &how much each received. If the U.S. economy was indeed in a defecit, how could such "loans" have happened? How much,if any amount has been repaid? How much better off would our current economy be if WE had those resources. Would our current economy be in a surplus if these transactions had NOT taken place? Why hasn't the media reported on this? I't long past time for U.S. citizens to demand answers from both the media and elected officials. WAKE UP AMERICA!!
 
 
+25 # CoyoteMan50 2012-06-13 14:40
Would Sanders list make more sense if the names in bold in it were:
Al Capone
Meyer Lansky
The O'Bannion Brothers
Vito Genevese
Joey "Bananas" Bonano

My problem with the list I just named is the people in the list would blush at the current length and depth of Wall Street and bankster Criminality
 
 
+19 # video4315 2012-06-13 14:48
And then, within the Administration, Tim Geithner and Larry Summers, were brought onto the Obama team, following the departure from the burning ship of Hank Paulson. Close ties to the Fed and to Goldman Sachs have made the revolving door spin very fast over the last few years. Obama let the heads of the banks off the hook in hopes that they would play ball, but they preferred to play their own game without the rest of us. Who's willing to bet that someone or multiple someones will go to prison for all this mess? I don't think it will happen. We've been told that the FBI is investigating it, but 2008 was four years ago and the trail is getting cold and expensive to follow.
 
 
+31 # angelfish 2012-06-13 17:04
It would have been cheaper to give EVERY Tax Paying American Citizen low interest loans to pay off Cars, Mortgages, College Educations, Medical Bills, etc. than to give it to THESE Thieves. The money would have gotten back into the system, jobs would have been saved and the people who bailed these Greed-Meisters out, would still have homes and nice lives to live. Thanks for all you do, Bernie. Hopefully, this kind of abuse will be prohibited in the future.
 
 
+4 # pzznrd3@earthlink.net 2012-06-13 21:39
The answer to the little Federal Reserve puzzle is very simple: the administration must enforce the law, especially that known as Anti-trust, which good old Ronnie Reagan cast totally adrift as he outsourced our energy business to the Middle East and that famous family, cousins to the Bushes, .....Ben Laden! Ronnie also built a secret underground military city in Saudi Arabia so Exxon and friends can buy finished products like gasoline at about $0.50/gal. Enforcing the law is hard to beat! A guy named Yergan (?sp) wrote the book on this called "The Prize".
 
 
+5 # Dr. OH 2012-06-13 23:00
Dear HowardMH and the rest of the peoples who missed his slur: "most people are too stupid" and by the time they realize it will be too late?? As a high school teacher -- in a very poor segregated town -- and also holding a PH.D. in Political Economy and related subjects, surely Howard you are aware of the information most people receive and whence it comes from. For you to choose the notion of "stupidity" to explain the political and social views and the actions and or inactions of the majority of folks you live in the U.S., half of which have a family income less than $45,000 and a very large group existing on $45 to $55 thousand, perhaps you might think a bit and read a bit about the "mis-education" of your neighbors, and also figure out how you got so smart. I really cringe at that type of comment as social analysis: "they" are just too stupid!!! To me, it is sad.
 
 
+4 # Capn Canard 2012-06-14 07:56
Dr. OH, I agree that calling people stupid is ... stupid. But it appears to be the easiest way to get a point across. Certainly the MSM is the issue and it is fully owned and operated by the very people who seek to keep any contrary information out of the public's consciousness. The distribution of information is very uneven with the poor getting only the dregs from MSM sources.
 
 
+6 # dwightrigby 2012-06-14 01:14
Nothing will be changed through rules, investigations or new laws. These people need to be stopped at the personal level. These matters need to be taken back to their neighborhoods where they can't hide behind lawyers and crony Congressmen.
 
 
-4 # johndee 2012-06-14 11:05
please visit www.understandingmoney101.com
 
 
-4 # Fillade 2012-06-14 17:37
We all clearly see the corruption, we all knew it was there, most of us have been aware for 20,30,40 years. Realisticaly can anyone contemplate these rotten humans fixing our system when we have allowed it to be poisened since 1913.
On 5/14/12 I received the following message from a Pentagon interest in Belgium to his family. "You must all be out of the United States by 1st July or you will never leave the United States."
Does anyone think barry's puppet masters have come this far in destroying this nation they will slam on the breaks now.
There will be no November election, we will be in Martial Law, there will be no Legslature or Supreme Court, there will be King barry with his police state to protect him and destroy us. This is the world behind the 932 executive orders he has signed in 40 months, the 15,000 drones in production. This is only the very beginning of the American Holocaust.
Fillade
 
 
0 # ABen 2012-06-16 07:35
Perhaps you should put in a call to Jason Bourne.
 
 
0 # Aaron Tovish 2012-06-14 18:04
It is misleading to harp on the one trillion figure. These are loans that must be paid back. So the figure that needs to be calculated should include:
-- over the period of the loan, what is the difference between the interest paid on these loans versus on regular loan (for the likes of you and me)?
-- and how many of the loans have (or will!) default through bankruptcy? Lehman for example.
The figure will still be astronomical, but it will be the correct figure for outright robbery and waste.
 
 
-1 # Ellioth 2012-06-14 20:21
Obama is such a disappointment. But - of the two running, we've got to support him.
The bankers - put them in jail now. Such dogs. What is happening to our nation? We cannot let this continue. Is it time for the revolution yet?
 
 
+2 # indian weaver 2012-06-15 13:06
yes, revolutionary war or civil war, whatever you call it, is overdue. amerika's form of government is no longer functional, and can never be functional again. the corruption is now built in deep and wide, along with "capitalism" as its foundation. what's next? are you ready? remember, the last time you go out to fill up on gas, fill up on ammo, it'll be far more valuable soon. i read that somewhere but i'll bet that thought is on millions of disaffected patriotic minds by now.
 
 
+1 # indian weaver 2012-06-15 13:13
"What's happening to our nation?" The nation appears to have been defeated by bin Laden flying 2 of our own passenger airplanes. that is how strong our constitution and government is, idiots in it for the money, running for the gates with bags of it as the country is gutted and now imploding, the usual. The government is following a very explicit script for the collapse of all Imperial powers since Rome, enough Hubris and our dream is over, and we have enough Hubris in the government to do it.
 
 
+3 # Scott Baker 2012-06-15 04:07
The only solution is not to reform the Fed, but to retake the Money Power back from the banks.
The gov't itself must perform its constitutional obligation and right to "coin Money" (Art. 1, Sec. 8, clause 5), as it did in Lincoln's time - the first United States Notes - as it still does, with coins and stamps (for a limited purpose). These are all forms of debt-free money. They can be issued any time, in any amount, for any reason. There are and have been several proposals to do this (HR2990 is just the most recent one; transportation secretary Ray LaHood tried to reissue U.S. Notes when he was in Congress).
When private banks will not issue sufficient money to meet the productive capacity of the nation, Congress must step in for "We The People."
We lost our Monetary Sovereignty in 1913, and MUST take it back from the private banking cartel that now rules our nation.
 
 
+1 # rainbowsally 2012-06-15 05:37
Henry Gonzalez is gone. The House Record is no longer interesting enough to follow through its twists and turns.

But this is good, so hang in there Bernie.

Hey, this is a bit off topic but not really.

Why not ask these politicians and the dimwits that elect them why they seem to think the enemy won WWII. (FDR)

And if they don't think that, why do they act like it?

I don't mean for this to seem in the least like a polite or civil question. It's serious.
 
 
0 # politicstahl 2012-06-16 07:49
Here is what you are supporting; here is what you owe allegiance to:

http://www.youtube.com/watch?v=jbejGzw3-E0&feature=related
 
 
+1 # radiomankc 2012-06-19 08:27
Something really smells over at the Fed.

The Occupiers were right....they just don't have the foresight to work through the political system for change. The fed needs to be overhauled.

It's imperative the Democrats regain the House, get more Senators, and reelect Obama. Else the Republic is in danger of being overtaken by Corporations.
 
 
0 # Mo Rage 2013-05-27 14:14
Yet more reasons why we need to end--totally end--all campaign contributions.

We need to get the big, ugly, corrupting money of the wealthy and corporations our of our election system and so, our government. If we don't do that, nothing will change.

Mo Rage, the blog
 

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