For decades Congress has meekly submitted to whatever the U.S. Federal Reserve Board has asked for and has given all Federal Reserve Board Chairmen obsequious receptions whenever they testified before Congress. Those days have come to an end. Previous blogs have cited Rep. Ron Paul’s bill to “audit the Fed” now has enough co-sponsors in the House of Representatives to pass easily, and the number of sponsors to the Senate companion bill is growing. I expect the Fed will desperately fight to prevent any audit of its books and actions as it does not want its backroom deals to ever be made known to either Congress or the public.

However, it is the Senate which is launching the next attack against the Federal Reserve Board. The first link below, from FOX News, reports that “Senate Democrats …proposed stripping the Federal Reserve of its supervisory powers.” Sen. Dodd (D-CT) called the Fed’s efforts at consumer protection “abysmal.” Sen. Warner (D-VA) said “swift action was necessary to prevent future government bailouts of big banks.” This effort to reign in the Fed is far-reaching. The bill before the Senate would also “strip the FDIC and the Fed of their bank supervision duties…regulate privately-traded derivatives…and limit the Fed’s ability to provide emergency loans to mostly healthy institutions…”  The House of Representatives has a similar bill to restrict the Fed’s powers, but its specific provisions are different than the Senate bill. Rep. Frank (D-MA) expects a floor vote on this “Fed limitation” bill as soon as next month. The second link (from USA Today) adds more information about these bills. It reports that the Senate bill “would take away the Fed’s ability to monitor credit cards and mortgages,” and would “dismantle complex financial firms if they threaten the broader economy.” That last piece of information is crucial as it would dismantle the firms which are “too big to fail.” In other words, it would give a new regulatory body the authority to dismantle mega-firms in the financial industry (i.e. such firms as AIG, Citibank, Morgan Stanley, Goldman Sachs, etc.).

Can you imagine such bills being considered just two years ago? A consensus is evidently growing that Congress now regards the Fed not as part of the solution to the nation’s fiscal chaos, but rather part of the problem itself. It is evident that the Federal Reserve Board has really angered Congress. It is my view that the Congress now realizes that it was hoodwinked by then-Treasury Secretary Paulson near the end of the Bush Administration when Congress was virtually ordered by an arrogant Sec. Paulson to give almost dictatorial powers to Paulson himself “or else.” The USA Today article also states that many lawmakers blame the Fed for the current crisis. They aren’t alone in that opinion. My previous blogs on this subject have noted that German Prime Minister Angela Merkel (whose hand was strengthened in the recent German elections) has publicly criticized the U.S. Federal Reserve Board’s policies. A public rebuke from a powerful ally’s leader vs. the U.S. Fed speaks volumes about what is being said behind closed doors!

This is another step toward the eventual fulfillment of the prophecies in Revelation 17 and 18 that near the end of this age, the global system of world finance and commerce called “Babylon the Great” will collapse (or be dismantled) and be replaced by a new global system which will become the prophesied “beast” power of Revelation. Babylon the Great is characterized in Revelation 18:3 as a global system which enriches the insiders called the “kings of the earth” (government politicians and regulators) and the “merchants of the earth” (a remarkably accurate phrase written two millennia ago to describe today’s multinational corporations). The beating heart of Babylon the Great’s current system is the U.S. Federal Reserve Board because the U.S. dollar is the global reserve currency. More people are noticing that the Fed is debauching the U.S. currency and indebting the nation in order to help its buddies on Wall Street whose recklessness and greed almost collapsed the global financial system in September, 2008. Its not surprising that the Fed puts the well-being of the big banks ahead of the national interests of the U.S. nation, its government and its taxpayers. The Fed is not a government agency. It is a privately-owned bank, and its primary fiduciary role is, therefore, to serve the interests of the big banks which own it, not the interests of the U.S. nation, its government or its people. Maybe Congress is starting to realize this!

If you would like to understand why Bible prophecy calls the modern global financial system “Babylon the Great,” please read my article entitled “What Kind of Captivity?” at the articles link at this website. I think you will be surprised to learn how many aspects of the modern global banking/financial system began in ancient Babylon.