Update on Audit the Fed - Legislation Stripped of Substance
Washington D.C. November 4, 2009 - Late last week, it was learned
that H.R. 1207, the Federal Reserve Transparency Act, a bill intended
to bring greater transparency to the Federal Reserve, has been stripped
of many of its most substantial reforms by House Financial Services
Monetary Policy Subcommittee Chairman Congressman Mel Watt of North Carolina.
"This move by Watt is just part of the usual strategy used by politicians to stop people from affecting change," said John Tate, President of Campaign for Liberty. "We're not giving up on this; we are still calling for a standalone vote on the bill as it was originally introduced."
Congressman Ron Paul, who has championed the bill
on Capitol Hill, has pledged to introduce an amendment in the full
Committee to restore the bill's thorough audit provisions. Many are
questioning the move by Watt to remove the critical language from a
measure that has garnered overwhelming support in Congress and from the
American people. To date, the bill has 306 cosponsors in the House, and
30 in the Senate, with a poll boasting 75% of Americans in favor of a
Federal Reserve audit.
There has been speculation that Watt, who serves a district in North
Carolina that happens to include the headquarters of Bank of America,
is being influenced by the powerful banking lobby. The final
legislation could be included in a larger financial regulation package
to be offered by House Democrats later in the session.