Mnuchin will put clawed-back Fed funds out of Yellen's reach: Bloomberg

FILE PHOTO: Steven T. Mnuchin, Secretary, Department of the Treasury during the Senate’s Committee on Banking, Housing, and Urban Affairs hearing examining the quarterly CARES Act report to Congress, in Washington, DC, U.S., September 24, 2020. Toni L. Sandys/Pool via REUTERS

WASHINGTON (Reuters) – Treasury Secretary Steven Mnuchin will put the over-$400 billion in CARES ACT funding he took back from the Federal Reserve last week into an account that needs Congressional approval to be tapped, Bloomberg reported on Tuesday here.

Moving the money into Treasury’s “General Fund” will leave Mnuchin’s expected successor, Janet Yellen, dependent on legislation in Congress to use the funds. The money includes $429 billion that was to back the Fed’s emergency lending facilities and $29 billion in Treasury funds earmarked for business loans.

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