A DIVISION OF FOX NEWS in December filed a lawsuit against the U.S. Treasury Department seeking details regarding the bailout of three major companies.
A week earlier, 78 organizations, including the National Taxpayers Union and Openthegovernment.org, sent a letter to Congress demanding that it force the Treasury Department, Federal Reserve and other agencies to reveal to the public exactly where the federal money is being spent.
FOX filed the complaint in federal court in New York asking the court to make the Treasury provide the information the news organization sought in two separate requests made under the federal Freedom of Information Act. The FOIA complaint was filed by FOX News Network, LLC, as owner of FBN.
In late November, Fox Business Network used the federal FOIA to seek details about the bailout funds for AIG and Bank of New York Mellon. The organization also filed another FOIA request seeking information about the Citigroup bailout.
Among other information, the network is seeking details about the troubled assets purchased, any collateral extended, and any restrictions placed on the companies for accepting the federal money.
"The Treasury has repeatedly ignored our requests for information on how the government is allocating money to these troubled institutions. In a critical time like this amidst mounting corruptions and an economic crisis, we as a news organization feel it's more important than ever to hold the government accountable," Kevin Magee, the media giant's executive vice president, said in a press release.
The network's lawyer, Steven Mintz, added, "Despite the several requests for expedited information filed by FBN, it has become apparent that the Treasury will not cooperate without mounting legal pressure."*