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by Sharon Rondeau

Rep. Ron Paul's "signature legislation" passed the House of Representatives on July 25, 2012, six months before Paul plans to retire

(Jul. 26, 2012) — On Wednesday the U.S. House of Representatives passed a bill for a complete audit of the Federal Reserve to be completed by Congressional investigators.

Long advocated by Rep. Ron Paul (R-TX), HR 459, which passed 327-87, has been celebrated by his supporters, and Rep. Paul’s son, Senator Rand Paul, has introduced a companion bill in the U.S. Senate.

In 1995, Sen. Harry Reid had “sponsored legislation to call for an audit of the Federal Reserve…every year…” but now reportedly opposes it.  Some Democrats are pleased that Reid says he will not allow a vote on it during this session, stating that the Congressional oversight would become a “nightmare scenario.”

Constitutionally, it is the responsibility of Congress “To coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures;…”

In December 1913, President Woodrow Wilson signed the Federal Reserve Act into law to create a new central banking system with the purpose of avoiding financial panics.  Economist and free-market advocate Milton Friedman had blamed the Federal Reserve for making the Great Depression, which began in 1929, worse.  Although brought into existence by federal legislation, the Federal Reserve has been ruled by the Ninth Circuit Court of Appeals to be a private organization.

Currently, there are 12 regional Federal Reserve banks throughout the country in 12 Federal Reserve “districts” created by the 1913 law.  Money issued by the Federal Reserve is sometimes referred to as “fiat money” and identified as a cause of financial collapse, including the current crisis in banking, housing, and the national debt.

Rep. Paul is retiring from Congress after three decades of service and says that Mitt Romney has endorsed the legislation against what Paul says is “the most powerful institution in the world.”  He added that 80% of the American people favor an audit.  One news service states that there is “zero” chance of its coming to a vote in the U.S. Senate.

Federal Reserve Chairman Ben Bernanke claims that the organization is already transparent and should not become subject to “political pressure.”

The House bill, titled “To require a full audit of the Board of Governors of the Federal Reserve System and the Federal reserve banks by the Comptroller General of the United States before the end of 2012, and for other purposes,” would require a “regular audit” of a system which Paul considers responsible for the “boom and bust” cycles in the economy.

Rep. Paul will be holding a rally prior to the Republican National Committee meeting to nominate their presidential candidate at the end of August in Tampa, Florida.

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  1. It all “sounds” good BUT according to historical or histerical political cycles, depending how you see it, “seeing is believing” and as usual, all we are hearing is “rhetoric” while the benefits and government paychecks keep on flowin’. All the “tit-a-tat” is just that and many people and media outlets are making lots of money on all the hype keeping us all just inches from the truth. Just the fact that we have arrived to this point in almost 4 years of usurpation, coverups, scams, record job loss, record corporate shams with Obama’s machine and hundreds of billions in stolen money, hoarded accounts and scemes that would dazzle Al Capone are everday occurences. While America “sleep walks” in bliss, materialism, foolish values, giddy simplistic stupidity, out of control government and gross overspending, half of the people don’t have a clue on what is really going on and to realize that Bari Shabazz is their hero.

  2. Praise God! Bernanke & pals must be shaking like leaves in a windstorm.

    As for ‘zero chance’ of the bill passing in the Senate, wishful thinking on the part of crooks. Maybe, just maybe, TRUTH is blowing across America. And it feels and smells great, even in the chambers of Congress.

    1. NAW!!, I am afraid NOT!! IF anything, they are ALL REVELING in the fact that “Harry ‘da Crook”, has their backs as the Bill will NEVER see the light of “Floor-Debate” in HIS Senate!! The Crook should have been GONE and FORGOTTEN years ago; but instead he remains “The Thorn in the Side” of America!!