Yellen: Fed won't comply with House subpoena yet

[Suzanimal]

Federal Reserve Chairwoman Janet Yellen told lawmakers Friday that the central bank will not fully comply with a congressional subpoena, saying it could jeopardize an ongoing criminal probe into a leak of sensitive information.

Yellen told House Financial Services Committee Chairman Jeb Hensarling (R-Texas) that the Fed’s inspector general, as well as the Justice Department, told her that responding to his panel’s “extremely broad” legal demand for documents could get in the way of their own investigations.

According to the Fed’s internal watchdog, “providing access at this time to these records and information would risk jeopardizing its investigation,” wrote Yellen.
“The Federal Reserve is mindful that we must not impede that open criminal investigation,” she added.

Yellen included in her letter a memo from the Fed's Inspector General, which warned that handing over records would pose a "significant risk" to its probe, and asking the Fed to hold off on doing so until its work is completed.

The Fed and Justice Department are currently probing how an investment advisory firm was able to detail for clients discussions at a private 2012 meeting one day before the meeting minutes were made public.

Yellen promised that the Fed will ultimately comply with Hensarling’s demands but only after the criminal investigation is complete. But that rationale is unlikely to sway Hensarling, who has long griped that the Fed has been slow to respond to questions about how the leak at the usually secretive Fed occurred.

A Financial Services Committee staffer called the Fed's resistance "unacceptable and disturbing."

"The Fed once again is acting in a manner that can only be characterized as resistant to accountability, transparency and oversight," the staffer said.

In May, Hensarling’s panel voted to subpoena the Fed for documents surrounding the meeting in question, arguing the central bank had not provided any “legally justifiable reason” for refusing.

In 2012, the firm Medley Global Advisors provided for clients a detailed rundown of Fed deliberations at a private meeting one day before the Fed released the minutes of that meeting.

Any and all deliberations by the central bank are hugely important to financial markets, so any advance notice of Fed thinking could give traders a significant edge.

http://thehill.com/policy/finance/244147-yellen-fed-wont-comply-with-house-subpoena-yet

[otherone]

https://sp.yimg.com/ib/th?id=JN.zCr4z0S7Gs4JX%2f6JNaLSxQ&pid=15.1&P=0

[ClydeCoulter]

Yes, and if the IRS or any other b want's my stuff, I'm currently investigating it myself, so there!

[Occam's Banana]

Federal Reserve Chairwoman Janet Yellen told lawmakers Friday that the central bank will not fully comply with a congressional subpoena, saying it could jeopardize an ongoing criminal probe into a leak of sensitive information., "Go fuck yourselves." Fixed that for them. (LMAO once again @ Congressional "oversight" ...)

[Suzanimal]

Hensarling accuses Fed of 'willful obstruction' in leak probe


Rep. Jeb Hensarling (R-Texas) is accusing the Federal Reserve of “willful obstruction” of his investigation into a 2012 leak of sensitive Fed materials.

Hensarling, the chairman of the House Financial Services Committee, on Wednesday said the central bank has no legal grounds for refusing to comply with his panel’s subpoena, and questioned whether the Fed and Justice Department launched an inquiry into the matter specifically to stymie his investigation.

In a letter sent to Fed Chairwoman Janet Yellen, Hensarling and Rep. Sean Duffy (R-Wis.) accused the bank of failing to properly investigate how investment advisers obtained information about Fed proceedings before it was made public.

According to Hensarling, the Fed’s Office of Inspector General (OIG) only ramped up its probe after lawmakers began asking about that case. At that point, the central bank said it could not hand over documents, lest it compromise its investigation.

"Following the committee's request for records ... the OIG suddenly 'reopened' its case," Hensarling wrote. "Other than this committee's request for records, what new facts suddenly came to the OIG's attention that would warrant 'reopening' a long-closed case?"

The OIG and the Justice Department are both investigating how the advisory firm Medley Global was able to detail for clients what Fed officials discussed in a private meeting, one day before the minutes of that meeting were made public.

Hensarling’s panel has attempted to dig into the matter, and went so far as to subpoena the Fed in May to compel it to produce documents. But Yellen told Hensarling the Fed would not comply with the subpoena immediately, citing the ongoing investigations.

The fact that the Fed's inspector general briefly examined the matter years ago, and only reopened the investigation after lawmakers began making inquiries, has made Hensarling suspicious. He accused the Fed of “vigorous and coordinated obstruction.”

“One plausible scenario is that the OIG merely ‘reopened’ the investigation to delay complying with the Committee’s requests,” he wrote. “That too is now the subject of the Committee’s investigation.”

But regardless of how and when other Fed investigations began, Hensarling insisted Congress has a right to the documents.

Saying his panel has the “absolute right” to requested records, the Financial Services chairman dismissed claims from the Fed’s inspector general that executive privilege allows it to not comply.

Hensarling said executive privilege can only be invoked against Congress by specific presidential request — and one has not been produced in this matter.

...

http://thehill.com/policy/finance/245275-hensarling-accuses-fed-of-willful-obstruction-in-leak-probe

[phill4paul]

Why no SWAT raids?

[roho76]

Sorry, you can't arrest me. It could jeopardize my own internal investigation. You guys go back to the police station and I'll call you.

[Sola_Fide]

I sure am thankful I have a government that polices itself. Could you imagine the alternative?

[Occam's Banana]

Hensarling accuses Fed of 'willful obstruction' in leak probe


“One plausible scenario is that the OIG merely ‘reopened’ the investigation to delay complying with the Committee’s requests,” [Hensarling] wrote. “That too is now the subject of the Committee’s investigation.”

Hensarling should subpoea the OIG ...

[Warrior_of_Freedom]

The ones who don't want to tell the truth have something to hide right

[surf]

Fixed that for them. (LMAO once again @ Congressional "oversight" ...)You must spread some Reputation around before giving it to Occam's Banana again.

[anaconda]

Sorry, you can't arrest me. It could jeopardize my own internal investigation. You guys go back to the police station and I'll call you.

Uh, yeah, this seems surreal to me. How does Yellen get to tell Congress when she will comply with their orders and when she will not? Isn't the Fed directly answerable to Congress? They should simply jail her fat ass (can they do that? Or can they only impeach her?).

[anaconda]

The ones who don't want to tell the truth have something to hide right

It's irrelevant here. Congress ordered her to comply and she refused. Illegally so I suspect. But the Congress is bought-and-paid-for by the bankers so nothing is enforceable.

[libertarianMoney]

One day after a congressional request, a part of government is going to say, "Alright here you go..."
At that point, I'm going to assume it's some kind of a conspiracy and my head will likely explode.

Let's just hope that the fed doesn't have their computers crash (and happen to delete all backups!)

[Ronin Truth]

Send out the CONgressional police force. GRRR!

[Cap]

You must spread some Reputation around before giving it to Occam's Banana again.Yeah, I'm out also.

[acptulsa]

Let's just hope that the fed doesn't have their computers crash (and happen to delete all backups!)

Well, that would certainly undo all of this 'quantitative easing' and restore considerable value to the few remaining (paper) dollars.

We like to differentiate between money with intrinsic value and money without it. Interesting to think about how much the value of physical paper fiat could spike after the EMP.

[Occam's Banana]

Today on Kabuki Oversight Theater ...


Rep. Sean Duffy, R-Wis., lashed out at Federal Reserve Chair Janet Yellen on Wednesday [15 July 2015], accusing her and the Fed of willfully hiding documents that have been subpoenaed for an ongoing congressional leak probe.

https://www.youtube.com/watch?v=oogL0YGvyyk

https://www.youtube.com/watch?v=oogL0YGvyyk

[timosman]

Looks like this guy did his homework and is channeling the Donald :)

[AuH20]

If only these guys could bust into the hearing...


https://www.youtube.com/watch?v=gqq9MpbQ9uU

[Christopher A. Brown]

It's irrelevant here. Congress ordered her to comply and she refused. Illegally so I suspect. But the Congress is bought-and-paid-for by the bankers so nothing is enforceable.

Only "the rightful masters of the congress and the courts" can save it now. But they are infiltrated by covert groups pretending to be "concerned" Americans.

However when it comes right down to it they show themselves to only be "concerned" with preventing the unity "the rightful masters" need to assert themselves.

[openfire]

Update:


https://www.youtube.com/watch?v=LSI5OuiJ6Q8

[Slave Mentality]

I wonder what happened to Christopher A. Brown? Cognitive infiltrating somewhere else I guess.

We know who runs Barter Town Janet, you GILFY thang.

[fedupinmo]

https://www.youtube.com/watch?v=ZNJDV1XoEpw

[Lucille]

Update:


https://www.youtube.com/watch?v=LSI5OuiJ6Q8

Here Is The Exchange That Left A Stunned Janet Yellen Looking Like A Deer In Headlights
http://www.zerohedge.com/news/2016-02-10/here-exchange-left-stunned-janet-yellen-looking-deer-headlights


For nearly one year, Wisconsin Rep. Sean Duffy has been Janet Yellen's nemesis over the ongoing probe into Fed leakage of material inside information via Medley Global and any other undisclosed channels, one which has seen subpoeans be lobbed at the Fed which has been doing everything in its power to stall said probe, and which cost Pedro da Costa his job when he dared to ask questions at a Fed presser that were not precleared by his WSJ "Fed mouthpiece" peers.

Today, during Yellen's appearance before the House Financial Services committee, Duffy finally had enough, and in a heated exchange asked Yellen what on legal authority is the Fed exerting privilege to ignore a Congressional probe into what is clearly a criminal leak, one which has nothing to do with monetary policy and everything to do with the Fed providing material, market moving information to its favorite media and financial outlets.

The exchange highlights are below:
[...]
http://www.zerohedge.com/sites/default/files/images/user5/imageroot/2016/02/09/yellen%20deer_1_1.jpg
As for the "deer in headlights" look, and why Yellen is so adamantly refusing to comply with subpoenas and provide the US population and Rep. Duffy with the requested information regarding how it was that the Fed leaked critical information to Medley Global's (founded by Richard Medley, former chief political strategist to George Soros) Regina Schleiger, the answer as Yellen explained last May...

http://www.zerohedge.com/sites/default/files/images/user3303/imageroot/2015/05/20150504_yellen1.jpg

... is simple: Yellen herself was the source, only there is no definitive proof... yet, as confirmation that the Chairwoman herself leaked the information in question would be grounds for prison time.

And since we doubt that Janet would chose a legacy of being the first Fed Chairman thrown in jail, even if it is not that far below a legacy of totally mangling the Fed's attempt at renormalizing rates at a time when the entire world was careening into a recession, we expect absolutely no cooperation by the Fed in this ongoing criminal matter.