Senate Majority Leader Harry Reid (D-Nev.) says that before there can be a vote on Sen. Rand Paul’s Federal Reserve Transparency Act of 2012 he must have a “serious conversation” with Federal Reserve Chairman Ben Bernanke first.
The bill, S.202, lies dormant in the Senate. The companion bill, H.R. 459, was passed in a 327-98 vote back in July. The younger Paul’s bill would shed light on the monetary policy decisions of the Federal Reserve that it makes with foreign governments and foreign central banks. The current Government Accountability Office audits do not touch those decisions–although an audit last year revealed that the Federal Reserve secretly lent $16 trillion, as much as the current national debt, to financial institutions in the United States and across the world.
When asked by a reporter on Thursday if Sen. Reid still harbored prior sentiments towards the Federal Reserve, and whether he would bring the bill to the Senate floor, Reid said that much of his frustration was geared toward former Fed Chairman Alan Greenspan.
“Well, some of you may remember that I said the biggest political hack in Washington was Alan Greenspan,” Reid said. “I thought that his tenure at the Federal Reserve was very, very bad. I voted against his confirmation on more than one occasion. And so my frustration came out of my problems I had with Alan Greenspan.”
“If there’s a proposal I’ll be happy to take a look at it,” he continued. “But I think Bernanke has done a good a job as – Greenspan did a bad job. And so I have great respect for Chairman Bernanke and before I would vote on this again I would have a real serious conservation with him.”
Reid’s past statements reveals that he was passionate about auditing the Federal Reserve–although those audits weren’t calling for the same kind of information to be disclosed as the kind of information the Paul bill requests.
The Nevada senator once said: “I have sponsored legislation that would call for an audit of the Federal Reserve system. I offer that amendment every year. Every year the legislation gets nowhere. I think it would be interesting to know about the Federal Reserve. I think we should audit the Federal Reserve.”
He’s also said that “there is no entity in the world that controls our lives more than the federal reserve system” and that people don’t seem to care about the Federal Reserve.