Senate backs one-time audit of Fed bailout role

WASHINGTON (BestGrowthStock) – The Senate on Tuesday approved a proposal to examine the Federal Reserve’s role in the Wall Street bailouts of 2008-2009 as part of a broad financial regulation reform bill.

The proposal from independent Senator Bernie Sanders would order congressional investigators to conduct a single audit of the U.S. central bank’s use of its emergency lending authority since December 2007. It would require the Fed by December 1 to disclose which banks received its help.

It passed by a vote of 96 to 0.

The Senate was next expected to consider a more stringent measure, opposed by the Fed, that would subject the central bank to ongoing congressional audits.

Investment Tools

(Reporting by Andy Sullivan and Kevin Drawbaugh, Editing by Chizu Nomiyama)

Senate backs one-time audit of Fed bailout role