The Senate approved an amendment to the regulatory-overhaul bill authorizing a one-time audit of the Federal Reserve’s emergency-lending programs, and defeated a second proposal that would have allowed continuous inquiries.
The Federal Reserve would be subject to a one-time audit of its emergency lending programs under an amendment passed by the Senate while dodging a more far-reaching proposal to allow continuous inquiries into central bank policy.
The Federal Reserve Bank of New York’s William C. Dudley got a waiver in 2008 to keep personal financial holdings of American International Group Inc. after the company received a Fed rescue, a U.S. senator said.
U.S. regulators closed Chicago- based Park National Bank in October 2009 when it owed $345 million to one of the lowest-cost lenders in town: the Federal Reserve’s discount window . Park National had been a constant customer at the window for more than 18 months before it failed, records show.
Deutsche Bank AG and Credit Suisse Group AG led bond dealers that entered contracts to buy and sell government-backed mortgage securities to the Federal Reserve as the central bank acquired $1.25 trillion of the debt beginning in January 2009.