The complexities and deceptions of the government are impossible to fully comprehend. Programs with stated purposes are used in ways that have little relationship with their mission. Effectively, much of government is a giant slush fund with monies are shifted around by the political winds. The problem du jour rather than the cause for which money was allocated quickly takes precedent. The obvious example of this is the criminal diversion of Social Security funds into general spending. But there are more examples.
The Federal Home Loan Bank is just the most recent example of the “slushiness” in government accounting. According to the Economic Policy Journal US Home Loan Banks are overexposed — in Europe! The source of their information is a Bloomberg report.
If business ran itself the way government does, its operators would be put in jail for false advertising, assuming they didn’t go broke before that occurred.
The Journal ends their report by putting the matter into perspective:
None of this nuttiness and activity that favors global banksters would ever occur in a free market. Indeed, the private sector is running away from eurozone debt as quickly as it can. The FHLB banks totally bizarre activity can only be understood with an understanding of how banksters work and how desperate they are to keep the crashing global bankster system afloat. Using the FHLB as a propping up measure is really off the charts.
When the criminal class is forced to run between cookie jars like this, the charade must be close to ending.