A Bloomberg report said that said the Fed secretly loaned more than $7 trillion to the Big Banks at below-market rates, and that the banks “reaped an estimated $13 billion of income”… during a financial crisis… while many Americans who were underwater got nada, zilch, nothing.
And people are still wondering what the Occupy Wall Street movement is about.
House Oversight and Government Reform Committee ranking member Elijah Cummings (Md.) sent a letter on Monday to panel Chairman Darrell Issa (R-Calif.) requesting the committee look into how banks “benefitted from trillions of dollars in previously undisclosed government loans provided at below-market rates.”
“Many Americans are struggling to understand why banks deserve such preferential treatment while millions of homeowners are being denied assistance and are at increasing risk of foreclosure,” Cummings said. [...]
Information about the loans was withheld from Congress as lawmakers debated and passed the Dodd-Frank financial regulatory reform bill and Consumer Protection Act of 2010, Cummings said. Banks also failed to disclose the information to their shareholders.