Nate C

Bear Stearns’ Bailout by the Fed, JPM: A Century Old Conspiracy

Hi Lee,

Thank you so much for writing this article. Talking about the legality of the Federal Reserve has become taboo. We never ask wether it is constitutional. The truth of course is that the Fed is an illegal institution that was created for the banks to bail them out with taxpayer money. The Fed Reserve banks are all owned by corporations.

If you read the constitution only Congress can issue currency. The Fed, through its criminal operations devalues the dollar and severely reduces our purchasing power through inflation.

If we want to solve the financial crisis, we should abolish the Fed and let the banks solve their own problems. I assure you that if the FED was not there to bail out the banks, the banks would not be handing out sub-prime loans.

'Fedization': Bear's Rescue Presents a Major Moral Hazard

The Feddoes not give a damn about "moral hazards." The Fed is owned and operated for the benefit of the banks. The Fed is just doing their job--bailing out their owners who are got into trouble with MBS. The Fed is an illegal institution that can do anything it wants with almost no oversight by Congress. Most of the simpletons in Congress do not even know what a MBS is. They only know the buzz words like "liquidity" and "bring stability."

The Federal Reserve needs to be closed. They recklessly debase our currency and reduce our purchasing power by lowering interest rates to rescue the wall street banks. And guess who gets to pay for all of this: the US taxpayer as usual.