WHAT: A persistent Freedom of Information drive uncovered the long-hidden news that the Federal Reserve lent banks $1.2 trillion to stop the economy from collapsing in 2008.
WHO: Almost half of the Fed’s top 30 borrowers were European firms, with the Royal Bank of Scotland taking the most at $84.5 billion. Meanwhile, the largest U.S. borrower was Morgan Stanley at $107.3 billion, followed by Citigroup at $99.5.
WHY IT’S OUTRAGEOUS: The Fed claims the emergency loans were all repaid and actually earned $13 billion in interest from 2007 to 2009. However, there can be no excuse for hiding such a huge expenditure of American taxpayers’ money.