Ron Paul’s bill to audit the Fed has been approved by the House Services Committee. The Bill is intended to bring congressional oversight and transparency to one the most secretive institutions. The bill reached 300 congressional co-sponsors and passed 43/26 as an amendment to another financial reform bill. The Bill is awaiting its final approval by the Committee.
Fed Chairman Ben Bernanke opposes the Bill, claiming it will interfere with Monetary Policy. There has been a three decade ban on audits of the Fed. The Bill still has to face the Senate and awaits Obama’s approval, who has proven to favor the status quo in regards to Monetary Policy.
Rep. Barney Frank who chairs the House Financial Services Committee opposes the Bill saying, “It’s going to be seen as weakening the independence of monetary policy with consequent negative implications.” Frank supports a competing measure sponsored by Democrat Mel Watt that Paul says will make it even more difficult to audit the Fed.
That is false propaganda because the Fed is beholden to private bankers rather than Congressman who can be held accountable by the electorate. Paul says, that “this is the bill that would allow the people to win over the special interests, and that “There is no doubt that the individuals opposing this amendment represent the secrecy of the Federal Reserve. An audit shouldn’t hurt them in any way.” Paul blames the financial crisis on lack of oversight of financial institutions.
Ron Paul who has long been an opponent the Federal Reserve and advocate for a sound constitutional currency was joined by leading democratic Fed critic as a Co-sponsor to the Bill. Grayson said, “there’s a crying need to expand it because the Federal Reserve has completely changed the way it’s done business since a year and a half ago.”
What most people do not know is that the Fed is a private bank. The Fed continues to print money out of thin air to bail out Wall Street, subsidize our nation building overseas, as well as to pay our debt to private bankers. With the recent financial crisis and the bailouts of Wall Street, Congressman Ron Paul’s warnings about our unsustainable financial policies have been vindicated. Ron Paul believes that the Federal Reserve should be abolished all together and replaced with a Constitutional sound currency such as a gold standard. The Constitution grants Congress the right to issue currency, therefore the Federal Reserve in Unconstitutional.
While Paul is a lone voice for abolishing the Fed all together, the movement to audit the Fed has gained popular support in congress. His campaign was responsible for making the Federal Reserve and Monetary Policy a major issue. This Bill is the first major milestone since the Fed was created Secretly and Unconstitutionally in 1913.