'Our member banks are very concerned about real-time disclosure of information that could cause a

[Subdivisions]

run on the banks,” said Paul Saltzman, general counsel of The Clearing House Association LLC, a group that includes Bank of America Corp. and JPMorgan Chase & Co., in an interview yesterday. “We’re not going to let the Second Circuit opinion stand without seeking a review.”

Continued legal appeals will delay or block the first public look at details of the central bank’s $2 trillion in emergency lending during the 2008 financial crisis. The Clearing House Association LLC, a group that includes Bank of America Corp. and JPMorgan Chase & Co., joined the Fed in defense of a lawsuit brought by Bloomberg LP, the parent company of Bloomberg News, seeking release of records related to four Fed lending programs.

The U.S. Court of Appeals in Manhattan ruled March 19 that the central bank must release the documents. A three-judge panel of the appellate court rejected the Fed’s argument that disclosure would stigmatize borrowers and discourage banks from seeking emergency help.

“Our member banks are very concerned about real-time disclosure of information that could cause a run on the banks,” said Paul Saltzman, the group’s general counsel, in an interview yesterday. “We’re not going to let the Second Circuit opinion stand without seeking a review.”

...snip...

http://www.bloomberg.com/apps/news?pid=newsarchive&sid=ax8ulGXswn4E

Here to break this down for us:

The government endorsed racket continues. First we bail them out, then the court says they have to disclose the bailout loans they received (courtesy of Mark Pittman's last great deed), and still they refuse to tell America just who and how received $2 trillion in rescue aid. The Clearing House Association of America, the very people who would not exist without taxpayer bailouts, and who are now pocketing hundreds of billions thanks to the same steep curve which results in $10 billion of new US debt every day, has threatened it will appeal every decision that forces it to disclose the details of the Fed's bailout, all the way to the Supreme Court, flipping off the very people who permitted the bankers to continue to steal and pillage every single day in the biggest government facilitated wealth transfer in the history of this country. We are now convinced that the animosity toward the banks is the primary reason why the Primary Dealers have decided to not allow even one downtick in the market (that and the hope that they will finally find greater idiots to sell all their massive paper holdings to): should there be one substantial correction, with liquidity about to be drained (2099 is one day closer today than it was yesterday), it will be followed by another, and another.... And then the public anger may finally come crashing on the heads of the megalomaniacs from the CHAA, both metaphorically and literally. By then, however, we are confident they will find a way to extract diplomatic immunity and/or renounce their US citizenship, from the administration that cost them so little to purchase.

http://www.zerohedge.com/article/banks-threaten-go-supreme-court-prevent-fed-disclosing-details-2-trillion-bailout-loans-they

[DJ13]

1. If the info is so bad it might cause a run

then the info needs to be disclosed so investors and depositors are fully informed.

[Subdivisions]

2. Or else everyone involved would be subject to prosecution, no? n/t

[BadgerKid]

3. Or to the IRS? n/t

[gratuitous]

4. Real time disclosure might interfere with a clean getaway

Look proles, just keep handing over the money and never you mind where it goes or how it's spent. If a bank is in a bit of a jam up, it's nobody's business, see? Now, quit your snooping around, and go back to American Idol or whatever you losers like to watch for entertainment. The Big Money Boys are working out deals that don't concern you, see? Besides, the FDIC will cover all the little depositors, and that's practically free money!

[Raineyb]

5. In other words, they're still insolvent, and if people knew the truth they'd pull

their money.

Looks like the banks are scared evidence of their thievery will get out.

[anigbrowl]

6. I would be too...but this information is 18 months old

I think it's reasonable for a delay to exist between emergency action (ie that necessitated by an emerging situation whose outcome cannot be clearly predicted) and the release of the information about it. without such a delay, the exercise of executive power (by federal agencies) would be hopelessly impractical. On the other hand, this pressure will only continue until the Fed comes up with a counter-proposal that balances the ability to act effectively in the short term with the public interest in transparency over the long term.

[krispos42]

7. "disclosure would stigmatize borrowers and discourage banks from seeking emergency help"

Duh, that's kind of the point... don't fuck up to the point that you need Federal help.

Be fiscally prudent. Build up a cash reserve. Diversify your investments, and the companies that insure them. Don't jump onto the newest financial craze.

Ta-da!