By Sunday night, when Mitch Mc, Connell required a vote on a brand-new costs, the bailout figure had broadened to more than five hundred billion dollars, with this huge amount being assigned to 2 separate propositions. Under the first one, the Treasury Department, under Secretary Steven Mnuchin, would apparently be given a budget of seventy-five billion dollars to offer loans to specific companies and markets. The 2nd program would operate through the Fed. The Treasury Department would supply the reserve bank with four hundred and twenty-five billion dollars in capital, and the Fed would utilize this cash as the basis of a mammoth loaning program for companies of all shapes and sizes.
Details of how these plans would work are vague. Democrats said the new bill would give Mnuchin and the Fed total discretion about how the cash would be distributed, with little transparency or oversight. They slammed the proposition as a "slush fund," which Mnuchin and Donald Trump could utilize to bail out favored business. News outlets reported that the federal government wouldn't even have to identify the help receivers for up to six months. On Monday, Mnuchin pushed back, saying people had misconstrued how the Treasury-Fed collaboration would work. He might have a point, however even in parts of the Fed there may not be much enthusiasm for his proposal.
throughout 2008 and 2009, the Fed dealt with a lot of criticism.
