Seems the Banksters lost and Bloomberg won as the Supreme Court refuses to hear the Federal Reserve Appeal on releasing the names of banks who received loans during the financial crisis.
The Federal Reserve must disclose details of emergency loans it made to banks in 2008, after the U.S. Supreme Court rejected an industry appeal that aimed to shield the records from public view. The justices today left intact a court order that gives the Fed five days to release the records, sought by Bloomberg News’ parent company, Bloomberg LP.
Bloomberg issued a FOIA in 2008 to discover which banks were receiving emergency loans from the Federal Reserve. It's taken this long to wind through the court system, which makes the delay over 2 years.
Meanwhile Goldman Sachs is seemingly setting up a hedge fund, using their own assets, in China, which is supposedly against the Volcker rule. Goldman Sachs claims it is not a violation and there are so many loopholes in the financial reform bill they are probably right.
Goldman Sachs Group Inc. (GS), the fifth-biggest U.S. bank by assets, will continue making principal investments with the firm’s own money because executives don’t think the so-called Volcker rule prevents the practice, a Bank of America Corp. analyst said.
The analyst, Guy Moszkowski, published a note to investors today after meeting last week with four Goldman Sachs executives in Hong Kong. New York-based Goldman Sachs doesn’t think U.S. legislation passed last year that bans proprietary trading and limits holdings in hedge funds and private-equity funds precludes buying stakes in companies and other assets, Moszkowski wrote.
“The market interpretation of Volcker rules is that this will be off-limits ahead, but GS believes that many such investments will remain permissible, and will be closing on a ‘meaningful’ one in China shortly,” Moszkowski’s note said.
So long after the damage is done, too big to fail is bigger and little in the financial sector has actually changed, we might see some Economic Armageddon forensics in the coming days.