by Congressman Dennis J. Kucinich
Washington, Oct 20, 2011
Congressman Dennis Kucinich (D-OH) released the following statement in response to the release of the second of two reports on the Government Accountability Office’s (GAO) audit of governance at Federal Reserve banks.
“The GAO report adds details to what we already know. The Federal Reserve operates with brazen disregard for the best interests of the American economy and with very serious conflicts of interest,” Kucinich stated.
The GAO report presents the results of its audit of the governance of the Federal Reserve 12 regional member banks. GAO found that the behavior and rules governing the Federal Reserve’s own Boards of Directors led to major and direct conflicts of interest.
“The reality is that our monetary system was privatized long ago, and the Federal Reserve is a private institution. If we have given over to a private entity the task and the privilege of handling our monetary system, we can expect that entity to consistently protect its own interests over the interests of the American people.
“We shouldn’t put the CEO of Pfizer in charge of regulating drug safety. We shouldn’t put the CEO of BP at the helm of the Environmental Protection Agency. And we shouldn’t put the kingpins of the financial sector in charge of the nation’s money supply,” said Kucinich.
Congressman Kucinich introduced legislation that would eliminate these conflicts of interests by reasserting Congress’ authority over monetary policy. The National Emergency Employment Defense (NEED) Act, HR 2990 would incorporate the Federal Reserve within the United States Treasury. The bill would establish fiscal integrity, reassert Congressional sovereignty and allow the federal government to correct crippling national deficiencies in infrastructure repairs and education nationwide by spending money into circulation without increasing the national debt or causing inflation.
Learn more about the NEED Act here.