The Truth to the Federal Reserve Bailout

             At the height of the financial crisis in the fall of 2008, the Federal Reserve loaned as much as 3 trillion dollars worth through its "discount" loan window.  Hardly any loans are now being made through the program because banks are in stronger financial shape and economic conditions have improved.  Earlier this week the government released the names of the company's and banks that received bailout money.  The biggest borrowers from the 97 year old discount window as the program reached its crisis era peak were foreign banks.  Accounting for at least 70 percent of the $110.7 billion borrowed during the week in October 2008 when use of the program surged to a new record.  

            The central bank is being forced to take the action because commercial banks had lost a court battle to keep the information private.  With the current turmoil happening in Libya, a current company part owned by the central bank of Libya also received a substantial sum of bailout money.  Six European banks were among the top 11 companies that sold the most debt overall for a combined 274.1 billion to the Commercial Paper Funding Facility.  The disclosures may stoke a reexamination of the risks posed to United States taxpayers by the central bank’s role in global financial markets.  Other foreign discount window borrowers on October 29, 2008, included Society Generale (GLE)SA, France’s second largest bank, and Norinchukin Bank, which finances and provides services to Japanese agricultural, fishing and forestry cooperatives.  A Paris based Society Generale borrowed $5 billion that day, and Tokyo based Norinchukin borrowed $6 billion. 

              Makes you think what is our government doing passing out money that we don't have to foreign banks and companies over seas?  We have our own financial problems here in the United States with hard working citizens not being able to pay their mortgage's on their homes and the unemployment rate being so high.  The problem with our government is that they are always putting other foreign countries problems first and not focusing about ours first as a country.