8th Circuit Court of Appeals Admits Federal Reserve is Privately Owned

I cannot believe that I have never seen this court case before. The wording is plain as day. The Federal Reserve is not run by the government, it is privately owned.

Everyone should read this court case.

caselaw.lp.findlaw.com...

And it seems there is another court case where it was also decided that the Federal Reserve is privately owned, but I haven't had time to research this one yet:

Katsiavelos v. Fed. Reserve Bank of Chicago, 859 F. Supp. 1183,
1185 (N.D. Ill. 1994).

Originally posted by Diplomat
The Federal Reserve is not run by the government, it is privately owned.

never has been, never will be.

Oddly enough, the Fed seems to like it that way...
 

[edit on 25-9-2008 by 12m8keall2c]

I thought it was common knowledge that the Fed was a private entity..

I learned that in Junior High

Originally posted by Tiloke
I thought it was common knowledge that the Fed was a private entity..

I learned that in Junior High

Apparantly not. People who are in "conspiracy theory" circles are usually up to date on the status of the FED, but the average person has no clue that it is privately owned.

I have even had business teachers at my university give me crap for even mentioning the idea of the FED being privately owned.

Even my own Dad thinks the FED is Federal.

I expect most people on this forum to already know that it's privately owned, but I bet a lot of people here didn't know about these court cases.

These cases are pretty good evidence in my book and I think they should be shown to everyone, especially the ignorant people who laugh and think it's ridiculous that the FED is privately owned.

This case does not say the Federal Reserve is privately owned. It says that one (out of very, very many) of its member banks is privately owned so the Federal Government is not responsible for the actions of that particular member bank.

In light of the definition of agency in Title 28, the Hoag analysis, and the fact that the purpose of Rule 4 is not particularly well-served by declaring the banks to be federal agencies, we conclude that the Federal Reserve Bank of Kansas City is not a federal agency. Accordingly, the motion to dismiss the appeal is granted.

The decision does not say The Federal Reserve it says Federal Reserve Bank of Kansas City. The Federal Reserve Bank of Kansas City is not the same as the Federal Reserve. Of course it isn't! It is not connected to the government. It is one bank.

The Federal Reserve is not privately owned. Its hundreds of member banks are each privately owned, each with their own boards and shareholders. The member banks are corporations whose purpose is to make a profit.

The Federal Reserve has no owners, no shareholders, it makes no profit. The Reserve functions as a means of yes, controlling money supply. Yes, it's huge. Yes, most of what its Board does is pretty incomprehensible. Whether or not it is effective or who's interests it works for, is a debatable topic.

[edit on 25-9-2008 by Phage]

Okay I'm confused.

is is privately owned or Not?

The Federal Reserve is a sham...Created in the early 1900s, but why? Minds came together with a plan to create a system that devalues the US Currency. W/O the backing of a product the money is only paper. As we see, the more into debt we go, the less our money is worth. Several entities are behind this idea of American Financial Crisis, but why? Create a spiral of downgrading currency, immense speculation, and ideas to print more currency, and thus our currency devalues again. So when it's all said and done, what is left? You drop that currency, and do you possibly create another? I hope not.

The plan adopted in the original Federal Reserve Act called for the creation of a System that contained both private and public entities. There were to be 8 to 12 private regional Federal reserve banks (12 were established) each with its own branches, board of directors and district boundaries (Sections 2, 3, and 4) and the System was to be headed by a seven member Federal Reserve Board made up of public officials appointed by the President (strengthened and renamed in 1935 as the Board of Governors of the Federal Reserve System with the Secretary of the Treasury and the Comptroller of the Currency dropped from the Board - Section 10). Also created as part of the Federal Reserve System was a 12 member Federal Advisory Committee (Section 12) and a single new United States currency, the Federal Reserve Note (Section 16). Congress decided in the Federal Reserve Act that all nationally chartered banks were required to become members of the Federal Reserve System. It requires them to purchase specified non-transferable stock in their regional Federal reserve bank and to set aside a stipulated amount of non-interest bearing reserves with their respective reserve bank (since 1980 all depository institutions have been required to set aside reserves with the Federal Reserve and be entitled to certain Federal Reserve services - Sections 2 and 19). State chartered banks have the option of becoming members of the Federal Reserve System and to thus be supervised, in part, by the Federal Reserve (Section 9). Member banks are entitled to have access to discounted loans at the discount window in their respective reserve bank, to a 6% annual dividend in their Federal reserve stock and to other services (Sections 13 and 7). The Act also permits Federal reserve banks to act as fiscal agents for the United States government (Section 15).

SOURCE

The 12 member banks are private!

Ok, so only the 12 member banks are privately owned, but not the entire Federal Reserve system itself?

Then why does everyone always say that people like the Rockefellers, Warburgs, and Rothschilds own the entire thing and make a profit from the interest on the money they loan to the United States? Is there any proof of this?

still digging maybe this will help its mixed both private and public

The Federal Reserve System (also the Federal Reserve; informally The Fed) is the central banking system of the United States. Created in 1913 by the enactment of the Federal Reserve Act, it is a quasi-public (government entity with private components) banking system[1] composed of (1) the presidentially appointed Board of Governors of the Federal Reserve System in Washington, D.C.; (2) the Federal Open Market Committee; (3) 12 regional Federal Reserve Banks located in major cities throughout the nation acting as fiscal agents for the U.S. Treasury, each with its own nine-member board of directors; (4) numerous private U.S. member banks, which subscribe to required amounts of non-transferable stock in their regional Federal Reserve Banks; and (5) various advisory councils. As of February 1, 2006, Ben Bernanke serves as the Chairman of the Board of Governors of the Federal Reserve System.

Source

Who owns the Federal Reserve?

The Federal Reserve System is not "owned" by anyone and is not a private, profit-making institution. Instead, it is an independent entity within the government, having both public purposes and private aspects.As the nation's central bank, the Federal Reserve derives its authority from the U.S. Congress. It is considered an independent central bank because its decisions do not have to be ratified by the President or anyone else in the executive or legislative branch of government, it does not receive funding appropriated by Congress, and the terms of the members of the Board of Governors span multiple presidential and congressional terms. However, the Federal Reserve is subject to oversight by Congress, which periodically reviews its activities and can alter its responsibilities by statute. Also, the Federal Reserve must work within the framework of the overall objectives of economic and financial policy established by the government. Therefore, the Federal Reserve can be more accurately described as "independent within the government."

Fed reserve bank of atlanta

this is taken from the fed bank in Atlanta FAQ section. you decide

Originally posted by Diplomat
Ok, so only the 12 member banks are privately owned, but not the entire Federal Reserve system itself?

Then why does everyone always say that people like the Rockefellers, Warburgs, and Rothschilds own the entire thing and make a profit from the interest on the money they loan to the United States? Is there any proof of this?

There are 12 regional banks which are owned (sort of) by many private banks. All are part of the System.

Those banker dudes you mention do own a lot of shares in those private banks. It is the function of a private bank to make a profit. One way they do that is by charging interest on money they loan. Our government spends a lot more money than it takes from us so it has to borrow money to pay its bills. It borrows from member banks, it borrows from other countries, it borrows from its citizens. If you buy a Savings Bond, you are loaning the government money and making interest (a bit) from it. The more you loan, the more interest you earn. The big boys loan a lot!

I don't complain about the interest. I complain about the spending that requires the borrowing.

reply to post by Phage


You idea is hogwash. There are twelve Federal Reserve Banks in twelve districts, and they are corporations owned by their member banks. That is in the Federal Reserve act plain as day. Those banks pay postage on their mail. If they were owned by the Government why do they pay postage? The Eccles building in D.C. is the building for the Board of Governors, it is not a Bank. When the Federal reserve Board of Governors enacts policy it is done through one of the twelve Federal Reserve Banks. Technically speaking, The Federal Reserve does not exist as one unit. It is Twelve separate corporations, with the Board of Governors in D.C., which is not a bank.