Court Grants Fed Stay in Bloomberg / FOIA Bailout Disclosure CaseSubmitted by Michael Nystrom on Tue, 10/06/2009 - 21:41
Arguments before the appeals court in New York are set for Jan. 4, 2010
WASHINGTON, Oct 6 (Reuters) - A U.S. appeals court on Tuesday granted the Federal Reserve's request for a stay of a ruling that would have forced the U.S. central bank to release the names of banks that participated in its emergency lending programs.
The U.S. Court of Appeals for the Second Circuit granted the stay of a lower court ruling in August that ordered the release of the data sought by Bloomberg News under a Freedom of Information Act request, according to Justice Department spokesman Charles Miller.
The Fed last week said it was appealing the lower court decision and requested a stay arguing that releasing the information could stigmatize participating financial institutions and threaten to undermine the U.S. economy which is trying to recover from the worst recession since the Great Depression.