The SEC Buys Treasurys

Did you know the SEC was engaged in its own QE? Er, planning on it that is:

As of September 30, 2010, there are no investments made from the Investor Protection Fund. The SEC plans to invest the Investor Protection Funds in short-term Treasury securities, whenever practicable. As the funds are collected, the SEC will hold them in a special receipt fund account and may invest them in overnight and short-term market-based Treasury bills through a facility provided by the Bureau of the Public Debt (“BPD”), pending their distribution. The interest earned on the investments is a component of the SEC fund balance and available to be used for expenses of the Investor Protection Fund. The SEC is working with BPD in establishing an account and process to invest these funds in FY 2011.

The government pays the SEC (a "government" agency) interest on these short-term Treasurys so the SEC can "reinvest" its "funds" in Treasurys. If that isn't a whole hot mess of money laundering left hand job bullshit I don't know what is. It's nearly as bad as the one where the Fed buys our all debt and then sends a bunch of it back to the Treasury calling it "profits" and record ones at that. BWHAHAHA.

And you thought Bernanke was a diabolical genius who knew how to pay the bills!

This video was appropriate before and is appropriate again in this context. Enjoy.

Jr Deputy Accountant

Some say he’s half man half fish, others say he’s more of a seventy/thirty split. Either way he’s a fishy bastard.