Who are the stakeholders in the Private Bank The Federal Reserve?

Question

The Federal Reserve System is a privately owned bank with the right to print the official legal tender of the United States of America, the U.S. dollar.

Now it's your task to do the research and find out, who the stakeholders are, because there must be some, otherwise it wouldn't be a private bank.

I can't post that information here, because my comments get deleted then.

And the mere fact that it's a private bank, well, you can prove that by reading articles about the Federal Reserve Act of 1913 or a printed copy of the law itself as well as about the life of Paul Moritz Warburg, the banker and inventor of the Fed.

Answer 1

To say the Federal Reserve is a privately owned bank is just conspiracy theory nonsense easily disproven with a look at the law (title 12) or a good econ text book.



The Federal Reserve is a unique legal entity that can be described as an independent government agency with member bank participation. It is organized with a 100% government agency at the top (the Board of Governors), and branches beneath them that are organized like corporations with member banks as shareholders.(Ref: http://www.federalreserveeducation.org/fed101/structure/ , http://www.federalreserve.gov/generalinfo/faq/faqfrs.htm#4 )



The Board of Governors are all appointed for 14-year terms by the president and confirmed by congress. It operates per it's charter and laws set by congress. it is overseen by congress. There is no structure or mechanism for private ownership at this level; it is a government agency. You can confirm this from a number of government sites that list it as a government agency (e.g. http://www.whitehouse.gov/government/independent-agencies.html) Board members are forbidden by law to have any economic interest in a private bank. (Ref: Title 12 chapter 3 of the U.S. Legal Code). The Board determines monetary policy and provides high level oversight of the branches.



The 12 branches can be considered highly regulated corporations. Member banks are required to buy shares in their branch. Each bank has one vote. They can vote for 6 of their 9 board members, the other 3 are appointed by the Board of Governors. Though the branches are called non-profit, the member banks get a standard 6% dividend on their shares. The remaining 'profit' is turned over to the Treasury at the end of the year. All 'national banks' are members. You can review the list of national banks at http://www.helpwithmybank.gov/national_banks/bank_list.html .



For confirmation on this, check out how Hoovers classifies them:

http://www.hoovers.com/free/search/simple/xmillion/index.xhtml?query_string=Federal+Reserve&which=company&page=1&x=91&y=2#HooversCompanyNameMatchesH2



- Re: "you can prove it by reading articles (from conspiracy sites)" - Or you can prove it by actually reading the law that chartered the Fed and directs it activities. Take a look at http://www.law.cornell.edu/uscode/12/usc_sup_01_12_10_3.html . Only member banks can own shares and those are shares of participation more than ownership. And foreign ownership is explicitly prohibited.



From Edward Griffin, noted anti-fed intellect



"It's a hybrid, part corporation and part government, part private, part government.

..

Every bank that's in the system is an owner of the Federal Reserve... But that's as far as it goes because those stock certificates do not carry with them any of the attributes of private ownership. For example, the holders of these certificates cannot sell them. If you can't sell something then you don't really own it, that's one of the tests of ownership, your ability to dispose of it. You cannot sell it. Furthermore the larger banks put up more money than the smaller banks, it's a ratio to their assets, so the larger banks have more stock certificates in the system than the small ones and yet regardless of the number that they hold, every bank has just one vote. There's another violation of the principle of private ownership. Furthermore that vote doesn't buy them anything. They can't vote for anything of substance; they cannot vote for their national management which is the most important thing, isn't it? The board of directors and chairman of the Federal Reserve System are appointed by the President, they're not elected by the banks that are part of the system, the President does that."

Answer 2

The shareholders are the member banks which supply the capital that the federal Reserve uses. No matter how much money a member bank puts forward as their share of the capital (the larger the bank the more investement thay are required to make in the federal reserve) each bank get one vote.



However the member banks cannot elect the members of the Federal Reserve board. These are appointed by the President and Congress. The only time the votes of the member banks matter is if 2/3rds of the banks vote against any particular policy decided by the Board.



In effect the Federal Reserve is privately funded but run by government appointees.

Answer 3

Each of the twelve Federal Reserve Banks is organized into a corporation whose shares are sold to the commercial banks and thrifts operating within the Bank's district.

Answer 4

The Federal Reserve is solely owned by its member banks. Not all banks are members. Only the ones with "National" or "N. A." somewhere in their names. Some had rather not be. None of this is hard to find out.

Answer 5

Well, if you meant stake as the IDIOM: at stake = At risk , then the Americans are the stake holders in the Federal Reserve Bank, and here is the reason(s):



I have used the following in my previous answers.



Eliminate The Federal Reserve Bank. Solve 90% of the US and the world problems.



1)FR prints and lend $1 to the gov at 10% Interest rate

2) The gov has $ 1 in hand but owes $ 1.10, cycle continues.

3) The gov has no income, That's why FR created the IRS to steal Americans money

4) our Entire Federal Tax goes to pay what gov owes to FR.

and that money end's up in Europe in some Elites bankers pockets. who insults our Constitutions like this.



"Give me control of a nation's money and I care not who makes it's laws"

Mayer Amschel Buer Rothschild ( Freaking long name ! lol )

Rothschild Family Banker ; Major Stockholder in the Federal Reserve.



Best Regards.

Answer 6

@Gray Shadow: Then I guess that makes Alan Greenspan a conspiracy theorist?



Because he said on Lehrer News Hour that the Fed was private, independent and not answerable to congress.



Since then, I have not heard ANYONE try to claim that the Fed was not private, until now!



I thought you guys had given up on that argument, and retreated back to the old: "yes it is private, but it needs to be!" talking point.



Pick one lie and stick to it at least.



BTW, The Fed's own website is not a credible source in this debate. That's like defining a word using the word in the definition, or asking a murder suspect "did you murder that guy?" and being satisfied when he says: "Nope!"



Government sites classify it as an agency? Boy, I'm impressed!



Back to reality for a moment... let me try to answer the Q...



According to everything I've read, the Fed's shareholders are other major private banks, most of them foreign, i.e. the Bank of England, Deutsche Bank, etc. Who are themselves owned by some of the most influential and ruthless banking dynasties in history, including the openly-nefarious Rothschild and Rockefeller families.



(How that translates into "the Fed is not privately owned" is a logical somersault that I am not brain damaged enough to even try to understand...)



However, to the best of my knowledge, the available lists of shareholders are the product of independent research and speculation, not actual disclosure. I don't think the Fed has ever published a list of its shareholders. Being a private corporation, it is not required to.



And as for this whole fairy tale about how congress oversees and regulates the Fed, that's kind of funny considering...



... I mean, I feel stupid even having to point this out.. have you not been paying attention to the news for the last, oh, 2 years??



Here's a couple of hints, as to why that claim is ridiculous on its face:



http://www.youtube.com/watch?v=rCWXrMCGJT4

http://www.youtube.com/watch?v=oOpQkRsEfaU

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=apx7XNLnZZlc

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=aatlky_cH.tY

http://online.wsj.com/article/SB10001424052748704250104575238130707230588.html

http://www.theatlantic.com/business/archive/2010/05/watered-down-fed-audit-amendment-passes-the-senate/56551/



If the Fed answered to Congress, or if the GAO audit were meaningful, I would not have all these links showing examples of Congress and others demanding transparency (or even just translucency) and receiving only defiant refusals from Bernanke and the other representatives of the unilaterally powerful Federal Reserve.



Bloomberg would not have had to sue the Fed through FOIA to try to find out the recipients of those loans. Bernanke would have disclosed that info when Sen. Sanders requested it, or it would have been public already; included in the GAO's "audit."



There would be no need for HR 1207 and S 604, and the establishment would not have needed to pass a watered down version of the bill in order to try to diffuse the anger of the citizenry.



If the Fed were an agency of government, we (as a nation) would not be having this discussion.



So don't insult peoples' intelligence.



What kind of an audit is not complete? That defies the very definition of the word!! If the IRS audits you, do you get to decide what to disclose and what not to? Are you allowed to say "fine, but you can only audit certain things"?



NO. But for some reason, the Fed is allowed to do exactly that.



This is why we fought so hard to introduce a bill which opened all of the Fed's operations up to a GAO audit. If that were already the case, we could have spent our time doing something else.



Unfortunately, our efforts were stopped... this time... But we're not going away, and your outdated talking points aren't going to put the cat back in the bag, GS!



[Please inform your supervisor that you have been pwned. You might want to request a more current script. Also, I know you've probably been instructed not to try to debate anyone who seems more informed than you, but it would be nice if you would at least try. For old times sakes? Or was that a different person using the GS account? I suspect there is more than one of you. Am I right?]

Answer 7

That's not a reserve its a mafia Banking Cartel..... so I heard from reliable sources anyway