Tuesday, August 25, 2009
Vern should therefore be encouraged by last night's ruling that the news agency Bloomberg will be given access to a list showing who received emergency loans from the Fed. The documents requested were to determine not only who got loans under the Fed's Primary Dealer Credit Facility but what kinds of collateral were pledged against the loans. The same was requested for three other facilities: the traditional Fed discount window, the Term Auction Facility and the Term Security Lending Facility. Just as in Vern's case, the Federal Reserve said FOIA has exceptions that permit them to deny Bloomberg's request. Separately, Bloomberg sought data on the Bear Stearns bailout, and the collateral pledged in that request to the Fed. Again, nothing. The court has ruled that the exceptions to FOIA that the Fed wished to use are not applicable to the information Bloomberg sought.
Vern rights that this ruling is "good news" for his case. Investigation of what happened in 2008 is vital; one hopes that the information will be useful in the upcoming reappointment hearings for Fed Chair Bernanke.