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“The New York Fed works diligently to execute its supervisory authority in a manner that is most effective in promoting the safety and soundness of the financial institutions it is charged with supervising,” it said.
Sounds pretty, doesn't it.
Absolutely, the Fed takes care of its' own.
Such as the 2008 theft of TRILLIONS from the US Treasury with the full co-operation of Treasonous Tiny Timothy Franz Geithner, an American economic policy maker and central banker who served as the 75th United States Secretary of the Treasury, under President Barack Obama, from 2009 to 2013.
Geithner was previously the president of the Federal Reserve Bank of New York. ... and his partner in crime Hank 'The Predator' Paulson, the former CEO of Goldman Sachs.
(Congress and the Fed called the theft 'bailouts')
This lady will be lucky just to scratch the surface of the Fed monstrosity, where extortion and other assorted fraudulent, criminal activity are built into the SOP of the operation.
Lion
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: The Federal Reserve Bank of New York says it “categorically
: rejects” allegations made by a former examiner that the Fed
: has become deferential to America’s biggest banks and fails
: to effectively regulate them.
: The New York Fed was responding to a story on news site
: ProPublica and radio show This American Life that alleges a
: culture of deference to banks such as Goldman Sachs.
: The report critical of the Fed is driven by secret recordings
: made by New York Fed bank examiner Carmen Segarra, who was
: fired after just seven months on the job.
: She had been stationed inside Goldman Sachs in 2012, as is the
: practice for all Fed examiners. She alleges she attempted
: to make constructive criticism of the bank, only to be
: contradicted and eventually fired by Fed managers.
: ‘Absence of exercise of power’
: “I think it would’ve been just as scary if I had gone in there
: and found like an aggressive Fed that was really mean and
: sort of you know trying to nitpick,” she told This American
: Life.
: “I think that all that power sort of being abused, that’s a
: very scary thing. But when you find the opposite, the
: absence of exercise of power, the absence of the exercise
: of responsibility, then you are just like, this is a
: problem, because you’ve been made the overarching
: regulator, and the country is looking to you to make things
: better after the crisis, and if you can’t do it, then we
: need to talk about who can.”
: The New York Fed denies Segarra was fired for failing to be
: deferential to Goldman, saying the firing was “based
: entirely on performance grounds, not because she raised
: concerns as a member of an examination team about any
: institution.”
: Regulator defends role
: The Fed defended its role in regulating Goldman Sachs in a
: statement posted on its website today.
: “The New York Fed works diligently to execute its supervisory
: authority in a manner that is most effective in promoting
: the safety and soundness of the financial institutions it
: is charged with supervising,” it said.
: Segarra, who lost a wrongful dismissal case against the Fed,
: said she began taping meetings with Goldman executives and
: Fed managers after finding an alarming level of compliance
: with the bank by the regulator.
: Among her allegations: She heard a Goldman executive say “once
: clients were wealthy enough, certain consumer laws didn’t
: apply to them,” a statement recorded in the meeting’s
: minutes. When she raised the issue with a Fed manager, he
: told her the executive did not say that, or if he did, he
: didn’t mean it.
: A deal by Goldman to take over risky assets from Spanish bank
: Santander was not properly disclosed to the Fed, but
: managers did not follow through to reprimand the bank.
: In 2012, Goldman was rebuked by a Delaware judge for its
: behaviour during a corporate acquisition. Goldman had
: advised one energy company, El Paso Corp., as it sold
: itself to another energy company, Kinder Morgan, in which
: Goldman actually owned a $4-billion stake. Segarrra asked
: questions and was told by a Goldman executive that the bank
: did not have a conflict of interest policy. The Fed found
: some divisions of the bank did have a policy, though not a
: comprehensive one. The Fed pressured Segarra not to mention
: the inadequate conflict of interest policy at Goldman in
: her reports and, she alleges, fired her after she refused
: to recant.
: ProPublica reporter Jake Bernstein, who previously won a
: Pulitzer for his investigative reporting on Wall Street,
: points out a 2009 probe of the Fed by Columbia University
: professor David Beim that also found a culture of
: compliance with the big banks.
: That probe was meant to determine why the Fed, which regulates
: the banks by stationing its examiners inside the
: institutions, failed to foresee the problems that led to
: the 2008 financial crisis.
: “The New York Fed had become too risk-averse and deferential
: to the banks it supervised,” Bernstein wrote.
:
: http://www.cbc.ca/news/business/new-york-fed-denies-deference-to-big-banks-1.2779263