As others who have replied, that's not quite correct. However, substantially all the net income of the Federal Reserve is remitted to the Treasury Department.
Some of it is remitted to the "owning" banks, as a kind of rebate for the token capital they pay. But "ownership" here is not the same as beneficial ownership.
In other words, the Federal Reserve is designed to be not directly linked to the Executive Branch. But it is also designed not to be a profit-making private enterprise.
Some of it is remitted to the "owning" banks, as a kind of rebate for the token capital they pay. But "ownership" here is not the same as beneficial ownership.
In other words, the Federal Reserve is designed to be not directly linked to the Executive Branch. But it is also designed not to be a profit-making private enterprise.