the federal reserve is a member of this fsb, financial stability board. given that the financial stability board is not accountable to congress, or to any branch of the u.s. government to my knowledge, where do these financial stability board reforms fit in the u.s. regulatory system? my question is, does the federal reserve treat them as mandated directives or suggestions or what and what statutory basis does the fed have to implement the financial stability board's reforms verbatim? do you think further that the fsb decisions are important enough that they should be fully vetted by the fsoc before implemented in the u.s.? >> well, a number -- >> two are or three questions. >> a number of u.s. regulatory agencies participate in the fsb, including the administration and -- >> sure. >> other regulators. nothing that is decided in the fsb has affect in the united states unless the relevant agencies propose rules and those are publicly vetted through the normal public comment process and our rule making process. those recommendations have no force in the uni

the federal reserve is a member of this fsb. the financial stability board. given that the financial stability board is not accountable to congress or to any french of the u.s. government, to my knowledge where do these financial stability board reforms fit in the u.s. regulatory system? my question is, does the federal reserve treat them as mandated directives or suggestions or what? and what statutory basis does the fed have to implement the financial stability board's reforms verbatim? do you think, further, that the fsb decisions are important enough that they should be fully vetted by the fsoc before implemented in the u.s.? that is two or three questions but they are all tied. >> so a number of regulatory agencies include in the fsb including the administration and other regulators. >> sure. >> nothing that is decided in the fsb has effect in the united states unless the relevant agencies propose rules and those are publicly vetted through the normal public comment process and our rule-making process. so those recommendations have no force in the united

alex barade ink a moscow consult, and fsb colonel. this was a rebellion manufactured in moscow. a ceasefire was established in theory in september. since that ceasefire in september the separatists armed led financed quipped by moscow have gained 500 square kilometers. over 225 ukrainian soldiers have died in this period. we suggest giving ukraine defensive arms because mr. putin has a very serious vulnerability. his people do not want russian soldiers fighting in ukraine so mr. putin is lying to his people. >> let me jump in there. the idea that it's a serious vulnerability presumes he responds to pressure the way leaders in democracies do that when negative news comes in the midst of a conflict like they can be persuaded he can be pushed by popular opinion to do things. is there any sign of that? >> that's not what i've said. i said he has a vulnerability. if he didn't have a vulnerability he wouldn't be lying to his people about soldiers dying in ukraine or burying soldiers in secret. he wouldn't be claiming the very popular organization in russian, the committee of russian s

regulatory agencies participate in the fs the, including the use administration -- fsb, including the use administration and regulators. nothing that is decided in fsb has affected the united states unless relative agencies proposed rules and those are publicly vetted through the normal public comment process and the role making process. unless we go through all rulemaking process, but there is a good reason for us to participate in these international fora. financial markets are global. if we take actions to stiffen supervision and regulation and the united states and other major financial centers do not act in similar ways, we will just see activity move out of our borders to other parts of the world. i do not think that would make for a safer global financial system, so we do want to be part of international discussions that lead all countries to work harmoniously together to try to raise the standards and maintain a lawful playing field and that slightly participate. i think we do play a leadership in this organization. >> but you don't need to accept the fact that their recommend

russia fsb. south africa, which now faces its largest and possibly most damaging leak. >> the state security agency that hasn't yet heard of edward snow zenden. snowden i little south africans may get a shot of the slide back of the democratic control on his the security apparatus. >> reporter: over the coming days, al jazerra will reveal a wide range of stories contained within the spy cables. documents will be redacted to protect identities. the stories expose dozens of operational secrets from all over the globe. dating from 2006, right up to december last year. they include the israeli true assessment of iran as nuclear program. an a sass face property targeting an african union leader and an mi6 operation to recruit a north korean spy. >> governments and presidents, ministers, use the intelligence services for their own political purposes. but you can also have it play the other way. where the agencies manipulate the poll sins for their ona general duhs. >> reporter: the papers reveal abuses

s&p itself has since replied that the fsb asked for commentary on its proposals for senior debt.id it is yet to be seen what will happen in practice. will the government let rbs have -- i think they would like to but it is very much open to question. jonathan: beyond that, look to the debt market. we had the big headline yesterday, nestle with a negative yield. when i look at the sovereign debt markets, there is really no correlation between the cause and the yield right now. bank are costs, what is the story? john: step back and you will see that senior creditors for the banks have never really suffered a loss. they backpedaled in denmark. fewer senior creditors -- what we have seen is that when stress develops, people go oop,s maybe i am in line for a haircut after all. if you are a senior creditor at the greek bank or you know the government doesn't have any money, you knock the bonds down to 60-70 odd, whatever it is. if you are subordinated creditor, for example the austrian banks, may have problems in eastern europe and they brought in the resolution directive, the subordin

know so far is that vladmir putin has ordered the justice ministry the ministry of interior and the fsba priority and has ordered their heads to take personal interest in this case. we'll see how it unfolds over the next few weeks. i would not expect a clear answer to come until late in the spring at least. >> that is a different perspective. reports say president putin has ordered three law enforcement agencies to put toort a task force to investigate the shooting. nemtsov was very critical of russia's role in ukraine and planned a march to end vladmir putin's aggression. meanwhile, military and rebel forces have started withdrawing their heavy weapons from the front lines in eastern ukraine. one area is donetsk where they still see some fighting. hotly contested. some residents say they can't tell the cease fire actually existed. dianye >> reporter: there's not much life on these trashed streets. nearly every home has been hit. a few elderly men left, making sand bags. when was the last time this area got badly hit? >> yesterday. >> yesterday. whereabouts? translator: right here. righ

israel's and britain mi 6 and russia fsb and south africa which now faces the largest and possibly mostaging leak. >> security agency that hasn't yet talked about edward snowden and people will get a shock of the democratic controls on the security apparatus. >> reporter: over the coming days al jazeera will reveal a wide range of stories contained within the spy cables and documents redacted to protect identities and expose operational secrets from all over the globe dating from 2006 right up to december last year and include the israeli masad assessment of the nuclear program, assassination plot targeting an african union leader and an mi 6 operation to recruit a north korean spy. >> governments and presidents ministers use the intelligence services for unpolitical services but you can will have it flow the other way where the agencies manipulate the politicians. >> reporter: the papers reveal abuses of power and cover ups carried out by the world intelligence agencies and expose unethical actions and secret companies and embarrassing security failures over all the spy cables offer an

for example, the secret police archives, the former kgb the current fsb exists in five different incarnations i know of. military counterintelligence is in siberia and unfortunately they wouldn't let me into the military counterintelligence archives. counterintelligence is normally in the military archives but in the soviet system is in the secret police. that's where they put counterintelligence. even though the archive itself wouldn't let me in -- i went there and person and was denied access -- i was still able to access a tremendous amount of military counterintelligence documentation. how? because some other people have been granted access to those documents, for example dimitri who left in the united states 55 microfilms of original documents, much of which are military and police documents. so if you read through those documents that dimitri used for his book, you get a lot of access to things like military counterintelligence, which otherwise you'd be blocked from seeing. in addition the military counterintelligence archives is bragging about its history, and publishing document colle

for example, the secret police archives, the former kgb the current fsb exists in five different incarnations i know of. military counterintelligence is in siberia and unfortunately they wouldn't let me into the military counterintelligence archives. counterintelligence is normally in the military archives but in the soviet system is in the secret police. that's where they put counterintelligence. even though the archive itself wouldn't let me in -- i went there and person and was denied access -- i was still able to access a tremendous amount of military counterintelligence documentation. how? because some other people have been granted access to those documents, for example dimitri who left in the united states 55 microfilms of original documents, much of which are military and police documents. so if you read through those documents that dimitri used for his book, you get a lot of access to things like military counterintelligence, which otherwise you'd be blocked from seeing. in addition the military counterintelligence archives is bragging about its history, and publishing document colle

the most egregious example in the mike is alexander portmac off, head of the russian fsb. he is not on the u.s. list but is on the eu and canadian lives. he was here as a matter-of-fact in the u.s. last week during president obama's cve conference. so i'm puzzled and could you shed any light on that? >> yeah. we each have different choices about who we thought might be more effective to have a sanctions on and what entity to sanction, individuals and entities. and so we both agreed that each would take their steps and that would place pressure on all. and the next step i think if we take one in the next days, which is under consideration depending on what unfolds, will bring us into sync. so not only will become into sync but there will probably be additional sanctions to boot. >> senator johnson. >> thank you, mr. chairman. mr. secretary, welcome again. i want to go back to isil. i just want to ask reasonable questions. what does defeat look like? what does destroyed mean? specifically. >> destroy means eliminate their presence on field of battle and their ability threate

kremlin had to send an fsb colonel, because as he complained to the kremlin, the locals will not fight. eventually--of course there is a lot of suffering in the east right now. there are refugees. there are twice as many idp's in ukraine than russia. most of all, they want fighting to stop. but if you look at any poll in ukraine taken before all this, there was no support i have of people. even in crimea, to lead ukraine and become part of -- leave ukraine and become part of russia. >> i think one of the problems in a war situation is we quickly lose any hold on being able to understand the people on the ground. there is so much propaganda from all sides. it becomes very difficult for us to know what they think anymore. their views change. there is a lot of sense that people are very angry for the tactics the government has used. but we don't really down the degree -- know the degree to which that is the case. i think the fundamental point which we see across the world is that people on the ground generally want the war to end. they care more about the war ending than anything else. wh

the most egregious example in my mind is alexander, head of the russian fsb. he is not on the u.s. list in relation to either ukraine or magnitski but on the eu and canadian list. he was here, as a matter of fact, in the u.s. last week during president obama's cve conference. so, i'm puzzled. could you shed any light on that? >> yeah. we each had different choices about who we thought might be more effective to have a sanction on and what entity and individuals. so, we both agreed that each would take their steps and that would place pressure on all. and the next step, i think, if we take one in the next days, which is under consideration depending on what unfolds, will bring us into sync. not only will we come into sync there will probably be additional sanctions to boot. >> thank you. senator johnson. >> secretary welcome again. i want to go back to isil. i just want to ask a pretty simple question. what does defeat look like? what does destroy mean? specifically. >> destroy means eliminate their presence on the field of battle and their ability to threaten the united states and

geerken is a criminal in the fsb. russia had to send them in to stoke the rebelion.nd then russia has to send in its own forces to fight in this rebelion. host: finally we began the conversation, you are not optimistic that the cease fire is going to last. then what? irgets one of the reasons why i am mess mystic is the leaders of the rebel forces said they don't believe the ceasefire applies to the strategic town where most of the fighting has been. so they've already indicated they have no intention of observing the ceasefire. secondly they've already mentioned there have been a bunch of shellings coming from the rebel side since it went into effect more than 12 hours ago. finally most importantly it is not in the kremlin's interest to have a seerfire. they need to destabilize ukraine so it cannot develop as a democratic country. host: now the director of the eurasia center at the atlantic council. you can get more information on line. thank you for being with us. guest: thank you. host: we'll be live with it on tuesday. we'll continue our conversation with former