Tuesday, September 8, 2015

Ron Paul: Bernie Sanders Destroyed the Audit the Fed Bill at the Last Minute

I have never been a fan of the Audit the Fed Bill.

In May 2009, I wrote:

I Smell A Trap

Ron Paul's House bill calling for an audit of the Fed is getting support from the strangest places.

Lew Rockwell today links to a column by Dean Baker who now supports an audit of the Fed.

The problem with Baker's column is that he doesn't quote Ron Paul. He doesn't even mention that Paul introduced the bill. He does, however, mention Elizabeth Warren, who heads a congressional oversight panel, dealing with bailout money.

I've discussed Warren before, her oversight committee went so out of bounds that two members of the five member panel dissented. She is a big time Obama operative. You don't want columnists using Warren as a signal flag to support Paul's bill.


This what Baker would like to see come from an audit:

The proposal for a GAO audit of the Fed is a first step towards reasserting democratic control over this institution...In a democracy, it is difficult to justify a situation in which the most important economic policy making body is, by design, more answerable to the banking industry than democratically elected officials.
I hope Congressman Paul knows what he is doing, to me it sounds like this may evolve into a power play over who controls Fed money rather than an investigation into whether the Fed should be printing money in the first place. If Democrats start signing on to the bill in heavier numbers, it may be a sign that an audit may come, but it will end with a restructured Fed controlled by left wing radicals, who believe money is for handing out and who have no fear of inflation.

In August 2009, I wrote:
One of the group's supporting Ron Paul's legislation to audit the Federal Reserve is the National People's Action Network (NAPAN). Their top target right now is the Fed. Their executive director, George Goehl, recently told me in a private conversation, when I asked him what he thought of Paul's bill to audit the Fed, without hesitating he said, "I think it's great."
Don't take his anti-Federal Reserve stance as an anti-big government stance, though. He is a big supporter of government nationalized healthcare, intervention to stop mortgage foreclosures and government heavy handed control interest rates. He is protesting the Fed because he wants more representation "by the people" at the Fed...[Ron] Paul better be very careful on his audit the Fed legislation as it is very vulnerable to being hijacked by the radical left. This needs to be shifted to an End the Fed program real fast.

That said, it is important to note who a key player was, in 2010, in attempting to hijack the bill and make it worse; Bernie Sanders.

In 2010, when Dr. Paul was still in Congress, reported this himself:

Sanders is a very dangerous dude. He must be stopped in his current presidential campaign, by any political means possible.



  1. Very interesting. So he's not truly anti-war and killed auditing the fed. Two major strikes in areas he supposedly is better on than economics.

  2. From a doctrinaire libertarian perspective, Sanders is obviously no good. However, like immigration policies, so many things are occurring outside of a libertarian utopia where the least harmful actions actually on the table may not conform to libertarian principles. That being said, how much worse could it get if the money printing was directed to areas other than banks and MIC/war? I might prefer that to the status quo.

  3. This actually occurred on the very day of the September 6, 2010, Flash Crash. Sanders introduced one bill in the morning and another (watered down) in the afternoon.

  4. Correction the date was May 4, 2010.