In one of the most under-reported stories today, it is now revealed that
the Federal Reserve Board pumped a "secret bailout" fund of perhaps $7
trillion into major banks that had not previously been disclosed. Check
out the excellent story in The Hill
by Vicki Needham about this. I am thrilled that Democrats have already
begun calling for hearings. This could be a golden moment for Rep. Ron
Paul (R-Texas) to hold hearings of the subcommittee he chairs.
One issue I have always agreed with Dr. Paul about is the need for much greater disclosure of Federal Reserve policy. I do not always agree with him about what the policy should be, but I strongly agree with him that secret bailouts are bad news.
As chairman of a subcommittee with jurisdiction over monetary policy, this "secret bailout" creates enormous opportunity for Ron Paul to hold and chair highly visible hearings. I am thrilled some Democrats have started running with this. It would be a home run for Ron Paul to take the initiative and hold hearings that would be critically important for the nation and better define a key issue in the campaign.