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Help me understand:

Does the Federal Reserve ever get audited?
http://www.federalreserve.gov/faqs/about_12784.htm

I am confused as to what HR 1207 will do. The above link shows several audits - are these the result of recent legislation?

Or are they examples of the Fed monitoring the Fed?

Thanks...

Here is the link for HR 1207:
http://www.ronpaul.com/congress/legislation/111th-congress-2...

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So then

what is on their website is untrue (or rather clever word manipulation - knowing most people won't question it).

And they do their own internal audits which is obviously a conflict of interest.

I know that Ron Paul would not introduce legislation that is moot...I find what they have on their website incredibly suspicious if not deceiving.

It seems the info on their page is an attempt to disprove Ron Paul's, et al's, efforts. Which makes me think there is some hefty teeth in Ron Paul's legislation.

Ah, the plot thickens...

The law cannot make a wicked person virtuous…God’s grace alone can accomplish such a thing.
Ron Paul - The Revolution

Setting a good example is a far better way to spread ideals than through force of arms. Ron Paul

U.S. code:TITLE 31 > SUBTITLE

U.S. code:TITLE 31 > SUBTITLE I > CHAPTER 7 > SUBCHAPTER II > § 714
Audit of Financial Institutions Examination Council, Federal Reserve Board, Federal reserve banks, Federal Deposit Insurance Corporation, and Office of Comptroller of the Currency

(b) Under regulations of the Comptroller General, the Comptroller General shall audit an agency, but may carry out an onsite examination of an open insured bank or bank holding company only if the appropriate agency has consented in writing. Audits of the Board and Federal reserve banks may not include

(1) transactions for or with a foreign central bank, government of a foreign country, or nonprivate international financing organization;

(2) deliberations, decisions, or actions on monetary policy matters, including discount window operations, reserves of member banks, securities credit, interest on deposits, and open market operations;

(3) transactions made under the direction of the Federal Open Market Committee; or

(4) a part of a discussion or communication among or between members of the Board and officers and employees of the Federal Reserve System related to clauses (1)–(3) of this subsection.

http://www.law.cornell.edu/uscode/usc_sec_31_00000714----000...

13 No servant can serve two masters; for either he shall hate the one, and love the other, or else he shall lean to the one, and despise the other. Ye cannot serve God and riches. - Luke 16

Fed "Audits"

So proclaims the Federal Reserve on its website. So why does the Fed so vehemently and vociferously fight against a full audit as per H.R. 1207? If what the fed is asserting were true, there would be no reason for it to campaign so aggressively against H.R. 1207 or any full audit. If what the fed asserts were true, a full audit would not even cost any expense or time; they would already have all the information requested readily available from the other purported “audits” and be able produce it immediately.

Unfortunately, however, the Fed’s claim that it is fully audited is untrue. It is simply more disinformation to confuse people and campaign against a full audit and keep its activites and cronyism secret. Just look at the very limited partial audit of just a single year that Dr. Ron Paul was able to achieve. It revealed $16 trillion (yes, that is trillion with a “T”) in secret bailout loans including more than $3 trillion to foreign banks. That dwarfs by far the $700 billion TARP bailout that had everyone up in arms. If these other purported “audits” the Fed claims to be subject to were so thorough why did none of them reveal this revelation? This revelation from just a tiny partial audit for a tiny period in time would not have been such a bombshell of newsworthy information if the other purported “audits” were as complete as the Fed would have us believe.

Take the Fed’s reference to the purported GAO regular “audits” for instance. Those are only audits of the Fed’s administrative operations. They tell us nothing of its secretive monetary, banking, lending, swapping operations and foreign agreements. So if you want to see what they pay for rent, buildings, utilities, desks, paper, pens, copies, payroll, travel expenses, meetings, etc , gross balance sheet numbers, income from assets on balance sheet, then that is a satisfactory audit. However if you want a substantive audit of actual monetary operations and policy then these so called “audits” are completely meaningless. What none of these purported “audits” the Fed lists tell us, and what we really want to know is:

• Currency agreements and transactions made with foreign governments and foreign central banks;
• Currency swaps with foreign government and foreign central banks;
• All agreements and transactions entered into with foreign governments and foreign central banks such as ECB, BOJ, BIS, BOE, etc. (interestingly the GAO is specifically forbidden by law from even seeing this treaty making power);
• Physical inventory audit of U.S. gold;
• Agreements and transactions with non-private international financing organizations;
• Gold Swaps with foreign governments and central banks;
• Whether any gold has been leased out, how much, and to who;
• Details of purchases, lending, swap and other transactions through the Fed’s Permanent Open Market Operations as well as any of the transactions made under the FOMC;
• What non-banks have been given access to the Fed’s discount lending window and for how much;
• Which specific banks and entities the Fed is lending to from the Fed’s discount window and for how much, when and the repayment rates;

• The specific derivatives, MBS and other non-performing assets the Fed has purchased and continues to purchase from Goldman Sachs, JP Morgue, Citibank and the rest of both the investment and holding banks and for how much and when (these are bailouts to banks buying their bad investments – talk about incentive for moral hazard);
• A complete itemization of the balance sheet (not simply broad category labels);
• An itemization of the Fed’s funding facilities and agreements with the U.S. Treasury, specifically funding the Treasury's supplementary financing accounts that fund Fed facilities allow the Treasury to funnel money to Wall Street without GAO or Congressional oversight;
• What lending and to whom, and what purchases are being made through whom, when and for what through the Fed’s Primary Dealer Credit Facility which allows the Fed to manipulate market prices and keep financial asset prices artificially inflated and subsidize poorly performing financial firms.
• What lending and to whom, and what purchases are being made through whom, when and for what through the Fed’s Term Securities Lending Facility, allow the Fed to keep financial asset prices artificially inflated and subsidize poorly performing financial firms.
• The reserve levels of member banks;
• Securities credits;

Let it not be said that we did nothing.-Ron Paul
Stand up for what you believe in, even if you stand alone.-Sophia Magdalena Scholl

As you say AZJoe -

that's why I am confused. Your words are my thoughts - which leads me to believe there is deception afoot.

The law cannot make a wicked person virtuous…God’s grace alone can accomplish such a thing.
Ron Paul - The Revolution

Setting a good example is a far better way to spread ideals than through force of arms. Ron Paul

Herman Cain (former Fed chairman) said

the Fed does plenty of internal audits. So many that it would be unnecessary and wasteful to do more.

http://www.youtube.com/watch?v=uiAkeFJXwUk&feature=player_de...

Enron was also audited (by Arthur Andersen, formerly one of the "big 8" accounting firms).

Foxes guarding henhouses, IMHO.