Author Topic: Elizabeth Warren’s Pet Regulator Is Unconstitutionally Funded, Federal Court Finds  (Read 478 times)

0 Members and 1 Guest are viewing this topic.

Offline Free Vulcan

  • Technical
  • *****
  • Posts: 23,686
  • Gender: Male
  • Ah, the air is so much fresher here...


A federal appeals court ruled Wednesday that the Consumer Financial Protection Bureau’s (CFPB) method of funding is unconstitutional under the premise that it bypasses Congress, directly pulling funding from the Federal Reserve.

A three-judge panel of the 5th U.S. Circuit Court ruled that the CFPB lacks significant methods of accountability and violates the Constitution’s separation of powers, arguing that Congress unconstitutionally ceded its power of the purse to the Bureau in 2011, according to the court ruling. The CFPB was formed as a result of the Dodd–Frank Wall Street Reform and Consumer Protection Act of 2010 and was the brainchild of Democratic Massachusetts Sen. Elizabeth Warren, who helped establish the bureau.

“Congress’s decision to abdicate its appropriations power under the Constitution, i.e., to cede its power of the purse to the Bureau, violates the Constitution’s structural separation of powers,” the ruling read.

https://www.conservativereview.com/elizabeth-warrens-pet-regulator-is-unconstitutionally-funded-federal-court-finds-2658480684.html
The Republic is lost.

Offline DefiantMassRINO

  • Hero Member
  • *****
  • Posts: 9,942
  • Gender: Male
How is the overall Federal Reserve System funded, and is it via Congressional appropriations?
Self-Annointed Deplorable Expert Chowderhead Pundit

I reserve my God-given rights to be wrong and to be stupid at all times.
"If at first you don’t succeed, destroy all evidence that you tried." - Steven Wright

Offline unite for individuality

  • Hero Member
  • *****
  • Posts: 851
  • Gender: Male
  • I think, therefore I am... a misfit!
How is the overall Federal Reserve System funded, and is it via Congressional appropriations?

The Federal Reserve System receives "contributions"
from member banks (your "local" bank)
and CREATES all the money that everybody uses!

ALL money is LOANED into circulation.
Member banks borrow money from the Federal Reserve at the Discount Rate,
and loan it to businesses and consumers at a markup.

The federal government does not fund the Federal Reserve.
The Federal Reserve funds the government!

But not directly. 
The Federal Reserve loans money to member banks,
who then buy Treasury bonds, which pay higher interest than the Discount Rate.
The Federal Reserve indirectly loans money to the government.
Their cronies (the member banks) get to charge a markup on every dollar the government borrows.

Interest is being paid to the Federal Reserve on every dollar that exists, worldwide.
The only way the economy can obtain the money to pay that interest is to
BORROW MORE from the Federal Reserve!

Of course, whenever money is borrowed, the lender requires the pledging of collateral.
Eventually the whole world will be pledged as collateral to the Federal Reserve!
(and to its counterparts, all the other central banks around the world,
who, as it turns out, are all owned by the same people who own the Federal Reserve!)

It's like being on a ship.  You can work hard and climb to the higher decks of the ship,
but the ship (the global economy) is still slowly sinking because of the interest payments to the Federal Reserve.

If all mankind minus one, were of one opinion, and only one person were of the contrary opinion,
mankind would be no more justified in silencing that one person, than he, if he had the power, would be justified in silencing mankind.
   -- John Stuart Mill

Here are the 10 RINOs who voted to impeach Trump on Jan. 13, 2021 - NEVER forget!
WY  Liz Cheney      SC 7  Tom Rice             WA 4  Dan Newhouse    IL 16  Adam Kinzinger    OH 16  Anthony Gonzalez
MI 6  Fred Upton    WA 3  Jaime Herrera Beutler    MI 3  Peter Meijer       NY 24  John Katko       CA 21  David Valadao

Online Hoodat

  • Hero Member
  • *****
  • Posts: 35,821
How is the overall Federal Reserve System funded, and is it via Congressional appropriations?

If a political party does not have its foundation in the determination to advance a cause that is right and that is moral, then it is not a political party; it is merely a conspiracy to seize power.

-Dwight Eisenhower-


"The [U.S.] Constitution is a limitation on the government, not on private individuals ... it does not prescribe the conduct of private individuals, only the conduct of the government ... it is not a charter for government power, but a charter of the citizen's protection against the government."

-Ayn Rand-

Offline Kamaji

  • Hero Member
  • *****
  • Posts: 57,889
How is the overall Federal Reserve System funded, and is it via Congressional appropriations?


The Federal Reserve is not funded via Congressional appropriations.  From the Fed itself:

Quote
The Federal Reserve is not funded by congressional appropriations. Its operations are financed primarily from the interest earned on the securities it owns—securities acquired in the course of the Federal Reserve’s open market operations. The fees received for priced services provided to
depository institutions—such as check clearing, funds transfers, and automated clearinghouse operations—are another source of income; this income is used to cover the cost of those services.  After payment of expenses and transfers to surplus (limited to an aggregate of $6.785 billion), all the net earnings of the Reserve Banks are transferred to the U.S. Treasury.

Source:  https://www.federalreserve.gov/aboutthefed/files/the-fed-explained.pdf

Offline unite for individuality

  • Hero Member
  • *****
  • Posts: 851
  • Gender: Male
  • I think, therefore I am... a misfit!
Its operations are financed primarily from the interest earned on the securities it owns
—securities acquired in the course of the Federal Reserve’s open market operations.


The quote above corresponds to what I said in Reply #2.

The securities the Federal Reserve owns
are the bonds that the commercial banks sell to the Fed.
The interest that the Fed earns on those securities
is paid by the commercial banks at the Discount Rate.
The principal on those securities
is the money that the Fed loans to the commercial banks.

Where does the Federal Reserve get the money (the principal)
to loan to the commercial banks?

They make it up!  The Federal Reserve CREATES the money!

THAT'S the big secret they keep trying to hide!
And that would be documented if the Federal Reserve would ever be audited!

THAT'S the whole reason that Ron Paul, and now Rand Paul
have been pushing legislation to AUDIT THE FEDERAL RESERVE !!!

Every state's finances get audited every year.
The Federal Reserve's finances have NEVER been audited!
In over 100 years of operation!  Since it was created in 1913!

If all mankind minus one, were of one opinion, and only one person were of the contrary opinion,
mankind would be no more justified in silencing that one person, than he, if he had the power, would be justified in silencing mankind.
   -- John Stuart Mill

Here are the 10 RINOs who voted to impeach Trump on Jan. 13, 2021 - NEVER forget!
WY  Liz Cheney      SC 7  Tom Rice             WA 4  Dan Newhouse    IL 16  Adam Kinzinger    OH 16  Anthony Gonzalez
MI 6  Fred Upton    WA 3  Jaime Herrera Beutler    MI 3  Peter Meijer       NY 24  John Katko       CA 21  David Valadao