Frank Partnoy, law professor at the University of San Diego, agrees that the Fed didn’t provide enough information. “The Fed’s new data have revealed too little,” Partnoy wrote in a Financial Times of London column on December 3. “The Fed charged low rates, often almost zero percent. It says these rates were justified because loans were ‘fully secured.’ However, unlike some Fed disclosures, the data include only the face amount of the collateral, and vague categorical labels. The Fed admits some collateral was inadequate. But without more details we can’t know whether the loans were fully secured, or whether the Fed, by lending at low rates without adequate collateral, was effectively gifting money to borrowers around the world.”
The Fed gave trillions of dollars to institutions and individuals, receiving smelly collateral in return. Then when legally forced to reveal what it had done, the Fed gave misleading information. People go to prison for that.