The U.S. Senate on Wednesday approved an amendment that would partially reverse the long-time restriction barring the Government Accountability Office from auditing the Federal Reserve.

The measure would allow the government watchdog to audit the Fed when it comes to actions the central bank took under its emergency authority that relate to a specific company or partnership.

For example, the GAO would be able to probe the Fed's moves to facilitate the fire sale of Bear Stearns and to prop up American International Group Inc. (AIG). But it would not be able to investigate the various Fed programs that bolster a broad swath of companies, such as the Term Asset-backed liquidity facility or its backstop for the commercial-paper market.

The GAO has been barred from auditing the Fed for about 30 years.

-By Jessica Holzer, Dow Jones Newswires; 202-862-9228; jessica.holzer@dowjones.com