NEW YORK (Reuters) – A U.S. judge on Thursday denied a bid by Fox News Network LLC seeking details from the Board of Governors of the Federal Reserve about the central bank’s loans to companies affected by the financial crisis.
The owner of the Fox Business cable network made an initial request for documents in November last year under the Freedom of Information Act (FOIA) about the companies and funds they received between August 2007 and November 2008.
“In all other respects, I grant the Board’s motion and deny Fox’s motion, finding that the Board performed an adequate search and that Exemption 4 permits the Board not to disclose the documents that Fox seeks.”
Under Exemption 4 of the FOIA, an agency must demonstrate that the information sought is a “trade secret” or “commercial or financial” in character and “obtained from a person” and “privileged and confidential.”
In short, the Federal Reserve is not part of the Federal Government; it’s a private company that is federally chartered to manage federal monies. So, no Freedom of information act applies.
I’m reasonably certain that established a precedent. I can’t think of any private company that was engaged by the Federal Government that didn’t have to comply wiht FOIA requests before. I may be wrong . . . but I doubt it.
Meanwhile Senator Chris Dodd, in the political fight of his life, has a fellow Democrap covering his substantial behind:
WASHINGTON (AP) – House Democrats have declined to subpoena available records that might reveal whether other members of Congress got discounted VIP mortgages from subprime lender Countrywide Financial Corp. similar to the sweetheart deals given Democratic Sens. Chris Dodd and Kent Conrad.
Republicans say they are willing to risk that the records now held by Bank of America may show that GOP lawmakers were also “friends of Angelo” who got preferential terms on personal mortgages at the behest of then-Countrywide CEO Angelo Mozilo.
Countrywide, after losing billions of dollars on defaulted subprime loans that triggered last year’s financial crisis and the consequent recession, was taken over by Bank of America a year ago.
Rep. Edolphus Towns, D-N.Y., chairman of the House Oversight and Government Reform Committee, said he has other work to do on the causes of and fixes for the financial crisis and will not interfere with other investigations of the VIP loans.
Yep. “Most Ethical Congress in the Last Fifty Years.” Yep. Suuuuuuure it is.