Bloomberg.com reported on August 27th that the Federal Reserve has won yet another reprieve as it seeks to escape rulings requiring it to comply with a Freedom of Information Act request for the names of firms receiving approximately $2 trillion in taxpayer loans:
The Federal Reserve Board was given 60 days to decide whether to take a Freedom of Information Act case to the U.S. Supreme Court or disclose documents about loans it made to banks during the credit crisis.
The U.S. Court of Appeals in New York today acceded to the Fed’s request to delay implementation of a ruling that compels the central bank to release the reports, giving the bank until Oct. 19 to appeal. The clock began to run on Aug. 20 when the court refused to revisit its earlier ruling against the Fed.
At issue are 231 “term sheets” documenting Fed loans to financial firms during 2008. The records, which include the banks’ names and the amounts borrowed, were originally requested by the late Bloomberg News reporter Mark Pittman through the FOIA, which allows citizens access to government papers.
Expect an appeal to be filed by the Fed on the Oct. 19 deadline to avoid if at all possible having to disclose the explosive information before the Nov. 2 midterm elections.
