US Sen Sanders: NY Fed's Dudley granted AIG waiver

[cal04]

http://www.reuters.com/article/2011/07/21/usa-fed-idUSN1E76K0MX20110721

The president of the New York Federal Reserve, William Dudley, was granted one of a number of waivers that allowed Fed staff and contractors to keep investments in the financial giants they were rescuing.

That was the finding of a report from the U.S. Government Accountability Office, Senator Bernie Sanders said on Thursday. The report said the Fed needed to do more to clamp down on conflicts of interest.

Dudley, then head of the New York Fed's markets group, was allowed to continue holding investments in firms like AIG (AIG.N) and General Electric (GE.N), which were receiving bailout funds from the government and the U.S. central bank.

"No one who works for a firm receiving direct financial assistance from the Fed should be allowed to sit on the Fed's board of directors or be employed by the Fed," Sanders said.



Top Fed official got waiver on AIG holdings: GAO
http://www.reuters.com/article/2011/07/21/us-usa-fed-idUSTRE76J7AW20110721?feedType=RSS&feedName=politicsNews&utm_source=feedburner&utm_medium=feed&utm_campaign=Feed%3A+Reuters%2FPoliticsNews+%28News+%2F+US+%2F+Politics+News%29

[The Magistrate]

1. Disgusting, Ma'am, Though Hardly Surprising

The rot in our financial culture would gag a maggot.

[indepat]

2. Nothing to see here, so move on

:patriot: