The Federal Reserve extended hundreds of billions of dollars in emergency lending to foreign banks during the great financial crisis.
Dexia SA was one of the big ones.
Dexia SA – Excerpts from Bloomberg Nov 28, 2011:
“The biggest U.S. banks avoided the discount window, the Federal Reserve’s 97-year-old last-resort lending facility, partly out of concern that tapping it might brand them as weak. Dexia SA, a lender to local governments in Belgium, showed no such reservation.
The bank, based in Brussels and Paris, was the discount window’s biggest borrower during the crisis, tapping it for $37 billion in December 2008.
Dexia simultaneously borrowed $21.5 billion from temporary Fed programs that were primary sources of emergency funding for U.S.-based Citigroup Inc., Bank of America Corp. and JPMorgan Chase & Co. In all, Dexia owed about 120 billion euros ($168 billion) to central banks at the end of 2008. As of June 30, 2011, it still had 34 billion euros of central-bank funding.”
Peak amount of debt as of 12/31/2008: $58.5B ___________________________________________
Dexia SA suffered massive net losses during 2008 and 2009 from a stream of wild, reckless investments involving Icelandic Banks, Lehman Brothers, Washington Mutual, Greek government bonds, and of all things.. investments involving Bernard Madoff’s revolving Ponzi scheme.
Since Dexia had an office in New York, they qualified for massive liquidity infusions, courtesy of the U.S. Federal Reserve.
There is perfect justification for U.S. citizens to now be granted the same access to liquidity, to mitigate debt burdens, that was provided to major foreign banks including Dexia, Barclays, HSBC, UBS, Royal Bank of Scotland, Deutsche Bank and others.
It is now time for U.S. to level the playing field.
The Leviticus 25 Plan is a dynamic economic initiative providing direct liquidity benefits for American families, while at the same time scaling back the role of government in managing and controlling the affairs of citizens. It is a comprehensive plan with long-term economic and social benefits for citizens and government.
The inspiration for this plan is based upon Biblical principles set forth in the Book of Leviticus, principles tendering direct economic liberties to the people.
The Leviticus 25 Plan – An Economic Acceleration Plan for America