Testimony from Federal Reserve Lawyer Scott Alvarez: Another Reason to Rein in the Federal Reserve

American Banking News:

"In what I consider an astounding and clear admission from the General Counsel of the Federal Reserve, Scott Alvarez, he admitted if the ongoing push to audit the Federal Reserve becomes a reality, “Foreign central banks and governments likely would be less willing to engage in financial transactions with the Federal Reserve if these transactions were subject to policy review by the GAO.”

While this may sound like some general statement from the Alvarez, its’ extraordinary in that he’s basically admitting that the Federal Reserve is making all sorts of deals and transactions with foreign governments and central banks, and if the political leaders and citizens find out about it, their foreign allies wouldn’t engage in financial transactions with us? Why not? What would we find out about them that they don’t want us to know?

Alvarez doesn’t stop there though, he has a lot more to say in his prepared statement in talking to the House Financial Services Committee hearing, he added, “These concerns likely would increase inflation fears and market interest rates and, ultimately, damage economic stability and job creation.”

This is of course all about the legislation introduced by Ron Paul to have the Federal Reserve audited by the Government Accountability Office. Of course the more the FED fights this, the more it looks like, and probably is a reality, that they have a lot to hide, of which they don’t want anyone to know about."

Read on:

http://www.americanbankingnews.com/2009/09/25/testimony-from...