The History of the Money Changers The French Connection By Andrew Hitchcock, 26 Feb 2006

!cono"ists contin#a$$y try and se$$ the %#b$ic the idea that recessions or de%ressions are a nat#ra$ %art of what they ca$$ the b#siness cyc$e This ti"e$ine be$ow wi$$ %ro&e that is si"%$y not the case 'ecessions and de%ressions on$y occ#r beca#se the Centra$ Bankers "ani%#$ate the "oney s#%%$y, to ens#re "ore and "ore is in their hands and $ess and $ess is in the hands of the %eo%$e Centra$ Bankers de&e$o%ed o#t of "oney changers and it is with these %eo%$e we %ick the story #% in () B C be$ow () B C *#$i#s Caesar took back fro" the "oney changers the %ower to coin "oney and then "inted coins for the benefit of a$$ +ith this new, %$entif#$ s#%%$y of "oney, he estab$ished "any "assi&e constr#ction %ro,ects and b#i$t great %#b$ic works By "aking "oney %$entif#$, Caesar won the $o&e of the co""on %eo%$e B#t the "oney changers hated hi" for it and this is why Caesar was assassinated -""ediate$y after his assassination ca"e the de"ise of %$entif#$ "oney in 'o"e, ta.es increased, as did corr#%tion !&ent#a$$y the 'o"an "oney s#%%$y was red#ced by /0 %er cent, which res#$ted in the co""on %eo%$e $osing their $ands and ho"es 00 A 1 *es#s Christ in the $ast year of his $ife #ses %hysica$ force to throw the "oney changers o#t of the te"%$e This was the on$y ti"e d#ring the the $ife of his "inistry in which he #sed %hysica$ force against anyone +hen *ews ca"e to *er#sa$e" to %ay their Te"%$e ta., they co#$d on$y %ay it with a s%ecia$ coin, the ha$f2sheke$ This was a ha$f2o#nce of %#re si$&er, abo#t the si3e of a 4#arter -t was the on$y coin at that ti"e which was %#re si$&er and of ass#red weight, witho#t the i"age of a %agan !"%eror, and therefore to the *ews it was the on$y coin acce%tab$e to 5od 6nfort#nate$y these coins were not %$entif#$, the "oney changers had cornered the "arket on the", and so they raised the %rice of the" to

whate&er the "arket co#$d bear They #sed their "ono%o$y they had on these coins to "ake e.orbitant %rofits, forcing the *ews to %ay whate&er these "oney changers de"anded *es#s threw the "oney changers o#t as their "ono%o$y on these coins tota$$y &io$ated the sanctity of 5od7s ho#se These "oney changers ca$$ed for his death days $ater 802( The "oney changers had contro$ of Medie&a$ !ng$and7s "oney s#%%$y and at this ti"e were genera$$y known as go$ds"iths 9a%er "oney started o#t and this was si"%$y a recei%t yo# wo#$d get after de%ositing go$d with a go$ds"ith, in their safe roo"s or &a#$ts This %a%er started being traded as it was far "ore con&enient than carrying ro#nd a $ot of hea&y go$d and si$&er coins :&er ti"e, to si"%$ify the %rocess, the recei%ts were "ade to the bearer, rather than to the indi&id#a$ de%ositor, "aking it readi$y transferab$e witho#t the need for a signat#re This, a$so, broke the tie to any identifiab$e de%osit of go$d !&ent#a$$y the go$ds"iths recogni3ed that on$y a fraction of de%ositors e&er ca"e in and de"anded their go$d at any one ti"e, so they fo#nd o#t how they co#$d cheat on the syste" They started to iss#e "ore recei%ts than they had go$d to back those recei%ts and no one wo#$d be any the wiser They wo#$d $oan o#t these recei%ts which were not backed by the go$d they had in their de%ositories and co$$ect interest on the" This was the birth of the syste" we know today as Fractiona$ 'eser&e Banking, and $ike this syste" of today this "eant the go$ds"iths were ab$e to "ake astrono"ica$ a"o#nts of "oney by $oaning o#t, what was essentia$$y fra#d#$ent recei%ts, as they were for go$d the go$ds"iths didn7t e&en %ossess As they grad#a$$y got "ore confident they wo#$d $oan o#t #% to 80 ti"es the a"o#nt they had in their de%osits To si"%$ify how they "ade "oney on this, $et7s gi&e an e.a"%$e in which a go$ds"ith charges the sa"e rate of interest to creditors and debtors -n this e.a"%$e a go$ds"ith wo#$d %ay interest of 6; on go$d yo# had de%osited with the", and then charge 6; interest on "oney, - "ean fra#d#$ent recei%ts, yo# borrowed fro" the" As they wo#$d $end o#t ten ti"es what yo# had de%osited with the", whi$st they7re %aying yo# 6; interest, they are "aking 60; interest This is on yo#r go$d

The go$ds"iths a$so disco&ered that their contro$ of this fra#d#$ent "oney s#%%$y ga&e the" contro$ o&er the econo"y and the assets of the %eo%$e They e.acted their contro$ by rowing the econo"y between easy "oney and tight "oney The way they did this was to "ake "oney easy to borrow and therefore increase the a"o#nt of "oney in circ#$ation, then s#dden$y tighten the "oney s#%%$y, taking it o#t of circ#$ation by "aking $oans "ore diffic#$t to get or sto%%ing offering the" a$together +hy did they do this< =i"%$e, beca#se the res#$t wo#$d be a certain %ercentage of the %eo%$e being #nab$e to re%ay their %re&io#s $oans, and not ha&ing the faci$ity to take o#t new ones, so they wo#$d go bankr#%t and be forced to se$$ their assets to the go$ds"iths for $itera$$y %ennies on the do$$ar This is e.act$y what ha%%ens in the wor$d econo"y of today, b#t is referred to with words $ike, >the b#siness cyc$e,> >boo" and b#st,> >recession,> and >de%ression,> in order to conf#se the %o%#$ation of the "oney changers sca" 8800 ?ing Henry - s#cceeds ?ing +i$$ia" -- to the throne of !ng$and 1#ring his reign he decided to take the %ower the "oney changers had o&er the %eo%$e, and he did this by creating a co"%$ete$y new for" of "oney that took the for" of a stick@ This stick was ca$$ed, a >ta$$ey stick,> and ended #% being the $ongest $asting for" of c#rrency, $asting A26 years #nti$ 8)26 Be&en tho#gh other c#rrencies ca"e and went in that sa"e %eriod and ran a$ongside the ta$$ey sticksC The ta$$ey stick was a stick of %o$ished wood into which notches were c#t a$ong one side, to indicate the deno"ination of "oney the stick re%resented The stick was then s%$it $engthwise thro#gh the notches, so that both %ieces had a record of the notches The ?ing ke%t one ha$f to %rotect against co#nterfeiting and the other ha$f was s%ent into the econo"y and circ#$ated as "oney -t was a$so one of the "ost s#ccessf#$ "oney syste"s in history, as the ?ing de"anded that a$$ the ?ing7s ta.es had to be %aid in, >ta$$ey sticks,> so this increased their circ#$ation and acce%tance as a $egiti"ate for" of "oney This syste" wo#$d work we$$ in kee%ing the %ower away fro" the "oney changers in !ng$and 822D =t Tho"as A4#inas is born, the $eading theo$ogian of the

Catho$ic Ch#rch who arg#ed that the charging of interest is wrong beca#se it a%%$ies to >do#b$e charging,> charging for both the "oney and the #se of the "oney This conce%t fo$$owed the teachings of Aristot$e that ta#ght the %#r%ose of "oney was to ser&e the "e"bers of society and to faci$itate the e.change of goods needed to $ead a &irt#o#s $ife -nterest was contrary to reason and ,#stice beca#se it %#t an #nnecessary b#rden on the #se of "oney Th#s, Ch#rch $aw in Midd$e Ages !#ro%e forbade the charging of interest on $oans and e&en "ade it a cri"e ca$$ed, >#s#ry > 8D0/ ?ing Henry E--- s#cceeds ?ing Henry E-- to the throne in !ng$and 1#ring his reign he re$a.ed the $aws regarding #s#ry, and and the "oney changers did not waste any ti"e in re2asserting the"se$&es o&er the %o%#$ation They 4#ick$y "ade their go$d and si$&er coin syste" %$entif#$ again -t is interesting to note that #nder ?ing Henry E--- the Ch#rch of !ng$and se%arated fro" 'o"an Catho$icis", whose Ch#rch $aw %re&ented the charging of interest on "oney 8DD0 F#een Mary - s#cceeds Gady *ane 5rey7s nine day reign to the throne in !ng$and 1#ring her reign, F#een Mary -, a sta#nch Catho$ic, tightened the #s#ry $aws again The "oney changers were not a"#sed and in re&enge they tightened the "oney s#%%$y by hoarding go$d and si$&er coins and ca#sing the econo"y to %$#""et 8DD) F#een !$i3abeth - s#cceeds F#een Mary -, her ha$f sister, to the throne in !ng$and 1#ring her reign, F#een !$i3abeth - decided that in order to wrest contro$ of the "oney s#%%$y she wo#$d ha&e to iss#e her own go$d and si$&er coins =he did this thro#gh the %#b$ic treas#ry and s#ccessf#$$y took contro$ of the "oney s#%%$y fro" the "oney changers 860/ The "oney changers in the Hether$ands estab$ish the the first centra$ bank in history, in A"sterda" 86(2 :$i&er Cro"we$$ is financed by the "oney changers for the %#r%oses of fo"enting a re&o$#tion in !ng$and, and a$$owing the" to take contro$ of the "oney syste" again After "#ch b$oodshed, Cro"we$$ fina$$y %#rges the %ar$ia"ent, o&erthrows ?ing Char$es - and %#ts hi" to death in 86(/

The "oney changers i""ediate$y conso$idate their %ower and for the ne.t few decades %$#nge 5reat Britain into a cost$y series of wars They a$so take o&er a s4#are "i$e of %ro%erty in the center of Gondon which beco"es known as the City of Gondon 86)) The "oney changers in !ng$and fo$$owing a series of s4#abb$es with the =t#art ?ings, Char$es -- B8660 2 86)DC and *a"es -- B86)D 2 86))C, cons%ire with their far "ore s#ccessf#$ "oney changing co#nter%arts in the Hether$ands, who had a$ready set #% a centra$ bank there They decide to finance an in&asion by +i$$ia" of :range of Hether$ands who they so#nd o#t and estab$ish wi$$ be "ore fa&orab$e to the" The in&asion is s#ccessf#$ and +i$$ia" of :range ascends to the throne in !ng$and as ?ing +i$$ia" --- in 86)/ 86/( Fo$$owing a cost$y series of wars o&er the $ast D0 years, !ng$ish 5o&ern"ent officia$s go, ca% in hand, to the "oney changers for $oans necessary to %#rs#e their %o$itica$ %#r%oses The "oney changers agree to so$&e this %rob$e" in e.change for a go&ern"ent sanctioned %ri&ate$y owned bank which co#$d iss#e "oney created o#t of nothing This was dece%ti&e$y na"ed the, >Bank of !ng$and,> for the so$e %#r%ose of d#%ing the genera$ %#b$ic into be$ie&ing it was %art of the go&ern"ent, which it was not Gike any other %ri&ate cor%oration the Bank of !ng$and so$d shares to get started The %ri&ate in&estors, whose na"es were ne&er re&ea$ed, were s#%%osed to %#t #% I8,2D0,000 in go$d coins to b#y their shares in the bank, b#t on$y IAD0,000 was e&er recei&ed 1es%ite that the bank was d#$y chartered and began $oaning o#t se&era$ ti"es the "oney it s#%%osed$y had in reser&es, a$$ at interest A$tho#gh the Bank of !ng$and7s %ri&ate in&estors were ne&er re&ea$ed, one of the 1irectors, +i$$ia" 9aterson, stated, "The Bank hath benefit of interest on all monies which it creates out of nothing. F#rther"ore the Bank of !ng$and wo#$d $oan go&ern"ent officia$s as "#ch of the new c#rrency as they wanted, as $ong as they sec#red the debt by direct ta.ation of the British %eo%$e The Bank of !ng$and a"o#nted to nothing $ess than the $ega$ co#nterfeiting of a nationa$ c#rrency for %ri&ate gain, and th#s any co#ntry that wo#$d fa$$ #nder the contro$ of a %ri&ate bank wo#$d a"o#nt to nothing "ore than a %$#tocracy

=oon after the Bank of !ng$and was for"ed it attacked the ta$$ey stick syste", as it was "oney o#tside of the %ower of the "oney changers, ,#st as ?ing Henry - had intended it to be 86/) Fo$$owing fo#r years of the Bank of !ng$and, their %$an to contro$ the "oney s#%%$y had co"e on in $ea%s and bo#nds They had f$ooded the co#ntry with so "#ch "oney that the 5o&ern"ent debt to the Bank had grown fro" the initia$ I8,2D0,000, to I86,000,000, in on$y fo#r years That7s an increase of 8,2)0; +hy do they do it< =i"%$e, if the "oney in circ#$ation in a co#ntry is ID,000,000, and a centra$ bank is set #% and %rints another I8D,000,000, stage one of the %$an, sends it o#t into the econo"y thro#gh $oans etc, than this wi$$ red#ce the &a$#e of the initia$ ID,000,000 in circ#$ation before the bank was for"ed This is beca#se the initia$ ID,000,000 is now on$y 2D; of the econo"y -t wi$$ a$so gi&e the bank contro$ of AD; of the "oney in circ#$ation with the I8D,000,000 they sent o#t into the econo"y This a$so ca#ses inf$ation which is the red#ction in worth of "oney borne by the co""on %erson, d#e to the econo"y being f$ooded with too "#ch "oney, an econo"y which the Centra$ Bank are res%onsib$e for As the co""on %erson7s "oney is worth $ess, he has to go to the bank to get a $oan to he$% r#n his b#siness etc, and when the Centra$ Bank are satisfied there are eno#gh %eo%$e with debt o#t there, the bank wi$$ tighten the s#%%$y of "oney by not offering $oans This is stage two of the %$an =tage three, is sitting back and waiting for the debtors to the" to go bankr#%t, a$$owing the bank to then sei3e fro" the" rea$ wea$th, b#sinesses and %ro%erty etc, for %ennies on the do$$ar -nf$ation ne&er effects a centra$ bank in fact they are the on$y gro#% who can benefit fro" it, as if they are e&er short of "oney they can si"%$y %rint "ore 8ADA Ben,a"in Frank$in tra&e$s to !ng$and and wo#$d s%end the ne.t 8) years of his $ife there #nti$ ,#st before the start of the A"erican 'e&o$#tion 8A60 Mayer A"sche$ Ba#er changes hi" na"e to Mayer A"sche$ 'othschi$d and sets #% the, Ho#se :f 'othschi$d, and soon $earns that if he $oans o#t "oney to 5o&ern"ents and 'oya$ty then this is far "ore %rofitab$e than $oaning to indi&id#a$s This is beca#se the $oans "ade are bigger and backed by their nations7 ta.es He trains his fi&e sons in the art of "oney creation

8A6( Ben,a"in Frank$in is asked by officia$s of the Bank of !ng$and to e.%$ain the %ros%erity of the co$onies in A"erica He re%$ies, "That is simple. In the Colonies we issue our own money. It is called Colonial Scrip. We issue it in proper proportion to the demands of trade and industry to make the products pass easily from the producers to the consumers. In this manner creating for oursel es our own paper money! we control its purchasing power! and we ha e no interest to pay no one." As a res#$t of Frank$in7s state"ent, the British 9ar$ia"ent h#rried$y %assed the C#rrency Act of 8A6( This %rohibited co$onia$ officia$s fro" iss#ing their own "oney and ordered the" to %ay a$$ f#t#re ta.es in go$d or si$&er coins 'eferring to after this act was %assed, Frank$in wo#$d state the fo$$owing in his a#tobiogra%hy, "In one year! the conditions were so re ersed that the era of prosperity ended! and a depression set in! to such an e"tent that the streets of the colonies were filled with the unemployed...The colonies would gladly ha e borne the little ta" on tea and other matters had it not been that #ngland took away from the colonies their money which created unemployment and dissatisfaction. The iability of the colonists to get power to issue their own money permanently out of the hands of $ing %eorge III and the international bankers was the prime reason for the re olutionary war." Contro$ of A"erica7s "oney syste" wi$$ change hands ) ti"es since 8A6( 8AAD A%ri$ 8/th, start of the re&o$#tionary war in Ge.ington, Massach#setts By this ti"e the co$onies had been drained of si$&er and go$d coins as a res#$t of British ta.ation As a res#$t of this, the continenta$ go&ern"ent had no choice b#t to %rint "oney to finance the war At the start of the re&o$#tion the A"erican "oney s#%%$y stood at J82,000,000 By the end of the war it was near$y JD00,000,000 and as a res#$t the c#rrency was &irt#a$$y worth$ess An e.a"%$e of this is that a %air of shoes now so$d for JD,000 do$$ars This a$so shows the danger of %rinting too "#ch "oney The reason Co$onia$ =cri% had worked was beca#se ,#st eno#gh was #sed to faci$itate trade 8A)8 Towards the end of the A"erican 'e&o$#tion the Continenta$

Congress were des%erate for "oney, so they a$$owed 'obert Morris, their Financia$ =#%erintendent, to o%en a %ri&ate$y owned centra$ bank, in the ho%e this wo#$d sort o#t the "oney %rob$e" Morris was a wea$thy "an who had grown wea$thier d#ring the re&o$#tion by trading in war "ateria$s This first centra$ bank in A"erica was ca$$ed the Bank of Horth A"erica, which was set #% with a fo#r year charter, and was c$ose$y "ode$ed after the Bank of !ng$and -t was a$$owed to %ractice the fra#d#$ent syste" of fractiona$ reser&e banking, so it co#$d create "oney it didn7t ha&e, then charge interest on it The bank7s charter ca$$ed for %ri&ate in&estors to %#t #% J(00,000 of initia$ ca%ita$, which Morris fo#nd hi"se$f #nab$e to raise He&erthe$ess he #nasha"ed$y #sed his %o$itica$ inf$#ence to ha&e go$d de%osited in the bank, which had been $oaned to A"erica by France Morris then $oaned the "oney he needed to b#y this bank fro" this de%osit of go$d that be$onged to the go&ern"ent, or rather the A"erican %eo%$e This Bank of Horth A"erica, again dece%ti&e$y na"ed so the co""on %eo%$e wo#$d be$ie&e it was #nder the contro$ of the go&ern"ent, was gi&en a "ono%o$y o&er the nationa$ c#rrency 8A)D 1es%ite the %ro"ises of 'obert Morris that his %ri&ate$y owned Bank of Horth A"erica wo#$d so$&e the %rob$e" with the "oney s#%%$y, of co#rse the econo"y contin#ed to %$#""et, forcing the Continenta$ Congress not to renew the bank7s charter The $eader of the effort to ki$$ this bank was +i$$ia" Find$ay of 9ennsy$&ania, who stated, "This institution! ha ing no principle but that of a arice! will ne er be aried in its ob&ecti e...to engross all the wealth! power and influence of the state." Mayer A"sche$ 'othschi$d "o&es his fa"i$y ho"e to a fi&e storey ho"e in Frankf#rt, 5er"any, which he shares with the =chiff fa"i$y, Ba descendant of both 'othschi$d and =chiff, *acob =chiff, who wo#$d be born in this ho#se, wo#$d, so"e 82) years $ater, be instr#"enta$ in the setting #% of the Federa$ 'eser&eC 8A)A Co$onia$ $eaders asse"b$e in 9hi$ade$%hia to re%$ace the Artic$es of Confederation with the Constit#tion 5o&ernor Morris headed the fina$ draft of the Constit#tion and he knew the "oti&ation of the bankers we$$ as he had once worked for the" 5o&ernor Morris a$ong with his for"er boss 'obert Morris, and A$e.ander Ha"i$ton had

%resented the origina$ %$an for the Bank of Horth A"erica to the Continenta$ Congress, in the fina$ year of the 'e&o$#tion Fort#nate$y 5o&ernor Morris by this ti"e had disco&ered his conscience, defected fro" 'obert Morris, and in a $etter to *a"es Madison dated *#$y 2nd of this year he stated, "The rich will stri e to establish their dominion and ensla e the rest. They always did. They always will...They will ha e the same effect here as elsewhere! if we do not! by the power of go ernment! keep them in their proper spheres." *a"es Madison was o%%osed to a %ri&ate$y owned centra$ bank after seeing the e.%$oitation of the %eo%$e by the Bank of !ng$and Tho"as *efferson was a$so against it, and *efferson $ater "ade the fo$$owing state"ent, "If the 'merican people e er allow pri ate banks to control the issue of their currency! first by inflation! then by deflation! the banks and the corporations which grow up around them will depri e the people of all property until their children wake up homeless on the continent their fathers con(uered." =ad$y the words of wisdo" of 5o&ernor Morris and Tho"as *efferson fe$$ on deaf ears A$e.ander Ha"i$ton, 'obert Morris and Tho"as +y$ing, con&inced the the b#$k of the de$egates to this Constit#tiona$ con&ention, not to gi&e Congress the %ower to iss#e %a%er "oney They were aware that "ost of these de$egates were sti$$ ree$ing fro" the wi$d inf$ation of the %a%er "oney d#ring the re&o$#tion These de$egates a$so had short "e"ories and didn7t re"e"ber how we$$ Co$onia$ =cri% had worked before the war, or Ben,a"in Frank$in7s words of wisdo" in 8A6( As a res#$t the Constit#tion was si$ent on the iss#e of %a%er "oney by the 5o&ern"ent for the citi3ens, $ea&ing a wide o%en door for "oney changers in the f#t#re 8A/0 Gess than 0 years after the Constit#tion had been signed, the new$y a%%ointed First =ecretary of the Treas#ry, A$e.ander Ha"i$ton, %ro%osed a bi$$ to the Congress ca$$ing for a new %ri&ate$y owned centra$ bank -nteresting$y, A$e.ander Ha"i$ton7s first ,ob after grad#ating fro" $aw schoo$ in 8A)2 was as an aide to 'obert Morris, a "an who he had written to in 8A)8 stating, >a nationa$ debt if it is not e.cessi&e wi$$ be to #s a nationa$ b$essing >

8A/8 The three "ain %$ayers behind the Bank :f Horth A"erica wereK 'obert MorrisL A$e.ander Ha"i$tonL and the Bank7s 9resident, Tho"as +i$$ing These "en did not gi&e #% and A$e.ander Ha"i$ton, now =ecretary of the Treas#ry, a "an who described 'obert Morris as his, >"entor,> "anaged to get a new %ri&ate$y owned centra$ bank thro#gh the new Congress This new bank was ca$$ed the, >First Bank of the 6nited =tates,> and was e.act$y the sa"e as the Bank of Horth A"erica 'obert Morris contro$$ed it, Tho"as +i$$ing was the Bank7s 9resident, on$y the na"e had changed This bank ca"e into being after a year of intense debate and was gi&en a 20 year charter -t was gi&en a "ono%o$y on %rinting 6nited =tates c#rrency e&en tho#gh )0; of it7s stock was he$d by %ri&ate in&estors The other 20; was %#rchased by the 6nited =tates go&ern"ent, b#t this was not to gi&e it a %iece if the action, b#t to %ro&ide the ca%ita$ for the %ri&ate in&estors to %#rchase the other )0; As with the Bank of !ng$and and the o$d Bank of Horth A"erica, these %ri&ate in&estors ne&er %aid the f#$$ agreed a"o#nt for their shares +hat ha%%ened was thro#gh the fra#d#$ent syste" of fractiona$ reser&e banking, the go&ern"ent7s 20; stake which was J2,000,000 in cash, was #sed to "ake $oans to its %ri&ate in&estors to %#rchase the other )0; stake, I),000,000, for this risk free in&est"ent Again $ike the Bank of !ng$and and the o$d Bank of Horth A"erica, the na"e, >First Bank of the 6nited =tates,> was de$iberate$y chosen to hide fro" the co""on %eo%$e the fact that it was %ri&ate$y owned The na"es of the in&estors in this bank were ne&er re&ea$ed, a$tho#gh it is now wide$y be$ie&ed that the 'othschi$ds were behind it -nteresting$y in 8A/0 when A$e.ander Ha"i$ton %ro%osed this bank in Congress, Mayer A"sche$ 'othschi$d "ade the fo$$owing state"ent fro" his bank in Frankf#rt, 5er"any, >Get "e iss#e and contro$ a nation7s "oney and - care not who writes the $aws > 8A/6 The First Bank of the 6nited =tates has been contro$$ing the A"erican "oney s#%%$y for D years 1#ring this ti"e the A"erican 5o&ern"ent has borrowed J),200,000 fro" this Centra$ Bank, and %rices in the co#ntry ha&e increased by A2; -n re$ation to this, Tho"as *efferson, then =ecretary of =tate stated,

"I wish it were possible to obtain a single amendment to our constitution taking from the )ederal %o ernment their power of borrowing." 8A/) Mayer A"sche$ 'othschi$d sends his son, Hathan, at the age of 28, to !ng$and with a s#" of "oney e4#i&a$ent to I20,000, to set #% a "oney changers there 8)00 -n France, the Bank of France was set #% Howe&er Ha%o$eon decided France had to break free of the debt and he therefore ne&er tr#sted this bank He dec$ared that when a go&ern"ent is de%endent on bankers for "oney, it is the bankers and not the go&ern"ent $eaders that are in contro$ He stated, "The hand that gi es is among the hand that takes. *oney has no motherland! financiers are without patriotism and without decency! their sole ob&ect is gain." 8)00 How 9resident Tho"as *efferson, 9resident *efferson str#ck a dea$ with Ha%o$eon in France The 6nited =tates wo#$d gi&e Ha%o$eon J0,000,000 of go$d in e.change for a h#ge ch#nk of territory west of the Mississi%%i 'i&er This was ca$$ed the Go#isiana %#rchase Ha%o$eon #sed this go$d to %#t together an ar"y He then #sed this ar"y to set off across !#ro%e where he began to con4#er e&erything in his %ath The Bank of !ng$and 4#ick$y rose to o%%ose Ha%o$eon and financed e&ery nation in his %ath, as #s#a$ %rofiteering fro" war 9r#ssia, A#stria, and then fina$$y '#ssia a$$ went hea&i$y into debt in a f#ti$e atte"%t to sto% Ha%o$eon 8)0A 00 year o$d Hathan 'othschi$d, head of the !ng$ish branch of the fa"i$y in Gondon, %ersona$$y takes charge of a %$an to s"#gg$e a "#ch needed shi%"ent of go$d thro#gh France to =%ain to finance an attack by the 1#ke :f +e$$ington on Ha%o$eon, fro" there 8)88 A bi$$ was %#t before Congress to renew the charter of the First Bank of the 6nited =tates The $egis$at#res of both 9ennsy$&ania and Eirginia %ass reso$#tions asking Congress to ki$$ the bank The nationa$ %ress o%en$y attack the bank ca$$ing itK a great swind$eL a &#$t#reL a &i%erL and a cobra Hathan 'othschi$d gets in on the act and "akes the fo$$owing re&ea$ing state"ent as to who was rea$$y behind the First Bank of the 6nited =tates, +#ither the application for renewal of the charter is granted! or the

,nited States will find itself in ol ed in a most disastrous war. +hen the s"oke had c$eared the renewa$ bi$$ was c$eared by a sing$e &ote in the ho#se and was dead$ocked in the =enate At this %oint A"erica7s fo#rth 9resident, 9resident *a"es Madison was in the +hite Ho#se He was a sta#nch o%%onent of the bank and he sent his Eice2 9resident, 5eorge C$inton, to break a tie in the =enate which ki$$ed the bank 8)82 As %ro"ised by Hathan 'othschi$d, beca#se the charter for the First Bank of the 6nited =tates is not renewed, tho#sands ha&e to die and the British attack A"erica Howe&er, as the British are sti$$ b#sy fighting Ha%o$eon, they are #nab$e to "o#nt "#ch of an assa#$t and the war ends in 8)8( with A"erica #ndefeated 8)8( +e$$ington7s attacks fro" the =o#th and other defeats e&ent#a$$y forced Ha%o$eon to abdicate and Go#is ME--- is crowned ?ing Ha%o$eon is e.i$ed to the tiny is$and of !$ba, off the coast of -ta$y 8)8D Ha%o$eon esca%es his e.i$e and ret#rns to 9aris French troo%s were sent to ca%t#re hi", b#t he #ses his charis"a to con&ince these so$diers to ra$$y ro#nd hi", and they s#bse4#ent$y hai$ hi" as their e"%eror once again -n March, Ha%o$eon asse"b$es an ar"y which !ng$and7s 1#ke of +e$$ington defeated $ess than /0 days $ater at +ater$oo !&en tho#gh the o#tco"e is %redeter"ined, these bankers don7t $ike to take any sort of risk, they7re too #sed to a "ono%o$y Therefore Hathan 'othschi$d sent a tr#sted co#rier na"ed 'othworth to +ater$oo where he stayed on the edge of the batt$efie$d :nce the batt$e was decided, 'othworth took off for the Channe$, and de$i&ered the news of +e$$ington7s &ictory to Hathan 'othschi$d a f#$$ 2( ho#rs before +e$$ington7s own co#rier Hathan 'othschi$d h#rried to the Gondon =tock "arket and stood in his #s#a$ %osition A$$ eyes were on hi" as 'othschi$d had a $egendary co""#nications network 'othschi$d stood there $ooking for$orn and s#dden$y started se$$ing The other traders be$ie&ed that this "eant he had heard that Ha%o$eon had won so they a$$ started se$$ing frantica$$y The "arket s#bse4#ent$y %$#""eted, soon e&eryone was se$$ing their cons#$s BBritish 5o&ern"ent BondsC, b#t then 'othschi$d secret$y started b#ying the" a$$ #% thro#gh his agents on the f$oor, for a

fraction of what they were worth on$y ho#rs before A $ot of these cons#$s were ab$e to be con&erted to Bank of !ng$and stock, which is how 'othschi$d took o&er the contro$ of the Bank of !ng$and and therefore the British "oney s#%%$y -nteresting$y, 800 years $ater, the Hew Nork Ti"es ran a story stating that Hathan 'othschi$d7s grandson had atte"%ted to sec#re a co#rt order to s#%%ress a book with this, what we wo#$d ca$$ today, >insider trading,> story in it The 'othschi$d fa"i$y c$ai"ed the story was #ntr#e and $ibe$o#s, b#t the co#rt denied the 'othschi$ds re4#est and ordered the fa"i$y to %ay a$$ co#rt costs Hathan 'othschi$d o%en$y brags that in his 8A years in !ng$and he had increased his initia$ I20,000 stake gi&en to hi" by his father, 2D00 ti"es to ID0,000,000 =o"e %eo%$e ask, why do bankers want war< =i"%$e, bankers finance both sides in a war They do this beca#se war is the biggest debt generator of the" a$$ A nation wi$$ borrow any a"o#nt for &ictory, e&en tho#gh the banks ha&e a$ready %redeter"ined the o#tco"e The #$ti"ate $oser is $oaned ,#st eno#gh "oney to ho$d o#t a &ain ho%e of &ictory and the #$ti"ate winner is gi&en eno#gh to ens#re that he does win How do the banks ens#re they wi$$ get a$$ their "oney back< !asy, s#ch $oans are gi&en on the g#arantee that the &ictor wi$$ honor the debts of the &an4#ished He&er "ind the tho#sands of troo%s that gi&e their $i&es on the %rete.t it is for the honor of their res%ecti&e nations, when it is act#a$$y for the %rofits of bankers -n fact, d#ring the %eriod between the fo#nding of the Bank of !ng$and in 86/( and Ha%o$eon7s defeat at +ater$oo this year, !ng$and had been at war for D6 years, with "#ch of the re"aining ti"e s%ent %re%aring for war -f it7s a good b#siness for bankers7 %rofits, then why change it 8)86 The A"erican Congress %asses a bi$$ %er"itting yet another %ri&ate$y owned centra$ bank This bank was ca$$ed the, >=econd Bank of the 6nited =tates,> and it7s charter was a carbon co%y of that of its %redecessor, the First Bank of the 6nited =tates The 6nited =tates go&ern"ent wo#$d once again s#%%osed$y own 20; of the shares of the bank Their share was again %aid #% front into the bank and thanks to

fra#d#$ent fractiona$ reser&e $ending, this was transfor"ed into $oans to the %ri&ate in&estors who once again %#rchased the re"aining )0; of the shares *#st as before the na"es of these in&estors was ke%t a secret 8)26 The ta$$ey stick is taken o#t of circ#$ation in !ng$and 8)2) After 82 years d#ring which the =econd Bank of the 6nited =tates, r#th$ess$y "ani%#$ated the A"erican econo"y to the detri"ent of the %eo%$e b#t to the benefit of their own "oney grabbing ends, the A"erican %eo%$e had #ns#r%rising$y had eno#gh :%%onents of this bank no"inated =enator Andrew *ackson of Tennessee to r#n for 9resident To the dis"ay of the "oney changers, *ackson won the 9residency and "ade it 4#ite c$ear he intended to ki$$ this bank at his first o%%ort#nity He started o#t d#ring his first ter" in office, to root o#t the banks "any "inions fro" go&ern"ent ser&ice To i$$#strate how dee% this cancer was rooted in go&ern"ent, he fired 2,000 of the 88,000 e"%$oyees of the Federa$ 5o&ern"ent 8)02 The =econd Bank of the 6nited =tates, ask Congress to %ass a renewa$ of the bank7s charter, fo#r years ear$y Congress co"%$ied and sent the bi$$ to 9resident *ackson for signing 9resident *ackson &etoed this bi$$ and in his &eto "essage he stated the fo$$owing, >-t is not o#r own citi3ens on$y who are to recei&e the bo#nty of o#r 5o&ern"ent More than eight "i$$ions of the stock of the Bank are he$d by foreigners -s there no danger to o#t $iberty and inde%endence in a bank that in its nat#re has so $itt$e to bind it to o#r co#ntry< Contro$$ing o#r c#rrency, recei&ing o#r %#b$ic "oneys, and ho$ding tho#sands of o#r citi3ens in de%endence wo#$d be "ore for"idab$e and dangero#s than a "i$itary %ower of the ene"y -f go&ern"ent wo#$d confine itse$f to e4#a$ %rotection, and, as Hea&en does its rains, shower the fa&or a$ike on the high and the $ow, the rich and the %oor, it wo#$d be an #n4#a$ified b$essing -n the act before "e there see"s to be wide and #nnecessary de%art#re fro" these ,#st %rinci%$es > -n *#$y, Congress was #nab$e to o&erride 9resident *ackson7s &eto 9resident *ackson then stood for re2e$ection and for the first ti"e in A"erican history he took his arg#"ent direct$y to the %eo%$e by taking

his re2e$ection ca"%aign on the road >*ackson And Ho Bank@>

His ca"%aign s$ogan was,

!&en tho#gh the bankers %o#red o&er J0,000,000 into 9resident *ackson7s o%%onent, the 'e%#b$ican, =enator Henry C$ays7 ca"%aign, 9resident *ackson was re2e$ected by a $ands$ide in Ho&e"ber 9resident *ackson knew the batt$e was on$y beginning howe&er, and fo$$owing his &ictory he stated, "The hydra of corruption is only scotched! not dead-" 8)00 9resident *ackson a%%oints 'oger B Taney as =ecretary of =tate for the Treas#ry, with instr#ctions to start re"o&ing the go&ern"ent7s de%osits fro" the =econd Bank of the 6nited =tates 9resident *ackson7s %re&io#s two =ecretaries of =tate for the Treas#ry, +i$$ia" * 1#ane and Go#is McGane had both ref#sed to co"%$y with 9resident *ackson7s re4#est and were fired as a res#$t Howe&er the head of the, =econd Bank of the 6nited =tates, Hicho$as Bidd$e, #sed his inf$#ence to get the =enate to re,ect 'oger B Taney7s no"ination and e&en threatened to ca#se a de%ression if the Bank was not re2chartered Bidd$e stated, >This worthy 9resident thinks that beca#se he has sca$%ed -ndians and i"%risoned ,#dges, he is to ha&e his way with the Bank He is "istaken > Bidd$e then went on to bra3en$y ad"it that the bank was intending to "ake "oney scarce in order to force the hand of Congress into re2 chartering the bank He stated, >Hothing b#t wides%read s#ffering wi$$ %rod#ce any effect on Congress :#r on$y safety is %#rs#ing a steady co#rse of fir" restriction 2 and - ha&e no do#bt that s#ch a co#rse wi$$ #$ti"ate$y $ead to restoration of the c#rrency and re2charter of the Bank > +hat Bidd$e has done with that state"ent is %ro&e to the wor$d what centra$ banks were rea$$y abo#t He "ade good on his word, and the =econd Bank of the 6nited =tates, shar%$y contracted the "oney s#%%$y by ca$$ing in o$d $oans and ref#sing to iss#e new ones Hat#ra$$y a financia$ %anic ens#ed, fo$$owed by A"erica being %$#nged into a dee% de%ression Bidd$e then #nasha"ed$y b$a"ed 9resident *ackson for the crash,

c$ai"ing that it was *ackson7s withdrawa$ of federa$ f#nds that had ca#sed it This crash %$#nged wages and %rices, #ne"%$oy"ent soared a$ong with b#siness bankr#%tcies The 6nited =tates was in #%roar and news%a%er editors b$asted the 9resident in editoria$s 8)0D Congress asse"b$ed what was ca$$ed the, >9anic =ession,> and on 2A March 9resident *ackson was officia$$y cens#red by Congress for withdrawing f#nds fro" the =econd Bank of the 6nited =tates, in a &ote which %assed the =enate by 26 to 20 -t was the first ti"e a 9resident had e&er been cens#red by Congress and *ackson stated of the Bank, >No# are a den of thie&es &i%ers, and - intend to ro#t yo# o#t, and by the !terna$ 5od, - wi$$ ro#t yo# o#t > Howe&er, 9ennsy$&ania 5o&ernor, 5eorge +o$f, ca"e o#t in s#%%ort of 9resident *ackson and strong$y critici3ed the Bank This, co#%$ed with the fact that Hicho$as Bidd$e had been ca#ght boasting in %#b$ic abo#t the bank7s %$an to crash the A"erican econo"y, ca#sed a shift in o%inion of 9resident *ackson7s action -n a co"%$ete abo#t t#rn on A%ri$ (, the Ho#se of 'e%resentati&es &oted 80( to )2 against re2chartering the bank This was fo$$owed by another strong &ote which estab$ished a s%ecia$ co""ittee to in&estigate whether the Bank had ca#sed the crash Howe&er, when the in&estigating co""ittee arri&ed at the bank7s door in 9hi$ade$%hia with a s#b%oena a#thori3ing the" to ins%ect the books, Hicho$as Bidd$e ref#sed to gi&e the" #%, or a$$ow ins%ection of corres%ondence with Congress"en re$ating to their %ersona$ $oans and ad&ance"ents he had "ade to the" He a$so ref#sed to testify before the co""ittee back in +ashington 8)06 The Charter for the =econd Bank of the 6nited =tates e.%ires, and the Bank ceases f#nctioning as A"erica7s centra$ bank Hicho$as Bidd$e was $ater arrested and charged with fra#d He was tried and ac4#itted b#t died in 8)(( sti$$ batt$ing ci&i$ s#its 8)0) :n *an#ary )th 9resident *ackson %ays off the fina$ insta$$"ent of the nationa$ debt, which had been necessitated by a$$owing the banks to iss#e c#rrency for go&ern"ent bonds, rather than si"%$y iss#ing treas#ry notes witho#t s#ch debt He was the on$y 9resident to e&er %ay off the debt :n *an#ary 00th an assassin ca$$ed 'ichard Gawrence tried to shoot 9resident *ackson, b#t both %isto$s "isfired Gawrence was $ater fo#nd

not g#i$ty by reason of insanity Howe&er, after his re$ease he o%en$y bragged that %owerf#$ %eo%$e in !#ro%e had %#t hi" #% to the task and %ro"ised to %rotect hi" if he were ca#ght +hen asked what his "ost i"%ortant acco"%$ish"ent had been in $ife, 9resident *ackson stated witho#t hesitation, "I killed the Bank-" -t wo#$d take the "oney changers AD years to estab$ish the ne.t centra$ bank, the Federa$ 'eser&e This ti"e they wo#$d take no chances and #se one of their own, *acob =chiff, fro" the 'othschi$d b$ood$ine, to #ndertake this 8)D0 *acob B*a"esC 'othschi$d in France is said to be worth 600 "i$$ion francs, which at the ti"e was 8D0 "i$$ion francs "ore than a$$ the other bankers in France %#t together 8)D2 F#t#re British 9ri"e Minister, +i$$ia" 5$adstone, stated the fo$$owing abo#t when he beca"e Chance$$or of the !.che4#er this year, >Fro" the ti"e - took office as Chance$$or of the !.che4#er, - began to $earn that the =tate he$d, in the face of the Bank and the City, an essentia$$y fa$se %osition as to finance The 5o&ern"ent itse$f was not to be a s#bstanti&e %ower, b#t was to $ea&e the Money 9ower s#%re"e and #n4#estioned > 8)68 :ne "onth after the ina#g#ration of 9resident Abraha" Ginco$n, the A"erican Ci&i$ +ar got #nderway at Fort =#"ter, =o#th Caro$ina, after =o#th Caro$ina $eft the 6nion =$a&ery has a$ways been cited as the ca#se of the war b#t this was si"%$y not the case, as 9resident Ginco$n hi"se$f stated, >- ha&e no %#r%ose direct$y or indirect$y to interfere with the instit#tion of s$a&ery in the state where it now e.ists - be$ie&e - ha&e no $awf#$ right to do so, and - ha&e no inc$ination to do so My %ara"o#nt ob,ecti&e is to sa&e the 6nion and it is not either to sa&e or destroy s$a&ery -f - co#$d sa&e the 6nion witho#t freeing any s$a&e, wo#$d do it > The rea$ reason for the war is that the =o#thern =tates were in an a dire econo"ic sit#ation d#e to the actions of the Horthern =tates Horthern ind#stria$ists had #sed trade tariffs to %re&ent the =o#thern =tates fro" b#ying chea%er !#ro%ean goods !#ro%e s#bse4#ent$y

reta$iated by sto%%ing cotton i"%orts fro" the =o#th Th#s the =o#th were being forced to %ay "ore for goods whi$st ha&ing their inco"e s$ashed This is when the "oney changers saw the o%%ort#nity to di&ide and con4#er A"erica by %$#nging it into Ci&i$ +ar This is confir"ed by :tto Eon Bis"arck when he was Chance$$or of 5er"any B8)A8 2 8)/0C, who stated, "The di ision of the ,nited States into federations of e(ual force was decided long before the Ci il War by the high financial powers of #urope! these bankers were afraid that the ,nited States if they remained as one block and as one nation! would attain economic and financial independence which would upset their financial domination o er the world." :n$y "onths after these first shots in =o#th Caro$ina, the Centra$ bankers $oaned, Ha%o$eon --- of France Bthe Ha%o$eon of the batt$e of +ater$oo7s ne%hewC, 280 "i$$ion francs to sei3e Me.ico and then station troo%s a$ong the =o#thern border of the 6nited =tates, by taking ad&antage of the A"erican Ci&i$ +ar to ret#rn Me.ico to co$onia$ r#$e This was in &io$ation of the, >Monroe 1octrine,> which was iss#ed by 9resident *a"es Monroe d#ring his se&enth ann#a$ =tate of the 6nion address to Congress, in 8)20 This doctrine %roc$ai"ed the 6nited =tates7 o%inion that !#ro%ean %owers sho#$d no $onger co$oni3e the A"ericas or interfere with the affairs of so&ereign nations $ocated in the A"ericas, s#ch as the 6nited =tates, Me.ico, and others -n ret#rn, the 6nited =tates %$anned to stay ne#tra$ in wars between !#ro%ean %owers and in wars between a !#ro%ean %ower and its co$onies Howe&er, if these $atter ty%e of wars were to occ#r in the A"ericas, the 6 = wo#$d &iew s#ch action as hosti$e toward itse$f +hi$st the French were breaching the, Monroe 1octrine in Me.ico, the British fo$$owed s#it by "o&ing 88,000 troo%s into Canada and %ositioning the" a$ong A"erica7s Horthern border 9resident Ginco$n knew he was in tro#b$e, so he went with his =ecretary To The Treas#ry, =a$o"on 9 Chase, to Hew Nork to a%%$y for the $oans necessary to f#nd A"erica7s defense The "oney changers had engineered the war to "ake the 6nion fai$, and were not abo#t to sa&e it now, so they offered $oans at 2(; to

06; interest 9resident Ginco$n dec$ined this as they knew he wo#$d and ret#rned to +ashington, where he sent for Co$one$ 1ick Tay$or of Chicago, who he %#t in charge of the %rob$e" of how he sho#$d finance the war 1#ring one "eeting 9resident Ginco$n asked Co$one$ Tay$or what %ro%osa$s he had co"e #% with to finance the war Co$one$ Tay$or stated, "Why .incoln! that is easy! &ust get Congress to pass a bill authori/ing the printing of full legal tender treasury notes...and pay your soldiers with them and go ahead and win your war with them also." 9resident Ginco$n asked Co$one$ Tay$or if the %eo%$e of the 6nited =tates wo#$d acce%t the notes, Co$one$ Tay$or said, "The people or anyone else will not ha e any choice in the matter! if you make them full legal tender. They will ha e the full sanction of the go ernment and be &ust as good as any money! as Congress is gi en that e"press right by the Constitution." 8)62 9resident Ginco$n began the %rinting of J(D0,000,000 worth of new bi$$s These bi$$s were %rinted in green ink on the re&erse side, in order to disting#ish the" fro" other bi$$s in circ#$ation, and were ca$$ed, >5reenbacks > These were %rinted at no interest to the Federa$ 5o&ern"ent and were #sed to %ay the troo%s and %#rchase their s#%%$ies 9resident Ginco$n wo#$d be the $ast 9resident to iss#e debt free 6nited =tates notes, and on this s#b,ect he stated, "The %o ernment should create! issue and circulate all the currency and credit needed to satisfy the spending power of the %o ernment and the buying power of consumers. The pri ilege of creating and issuing money is not only the supreme prerogati e of %o ernment! but it is in the %o ernment0s greatest creati e opportunity. By the adoption of these principles...the ta"payers will be sa ed immense sums of interest. *oney will cease to be master and become the ser ant of humanity." -n res%onse to this state"ent, The Ti"es of Gondon %#b$ishes a %ro%aganda %iece ob&io#s$y %#t o#t by the bankers, containing the fo$$owing state"ent, "If that mischie ous financial policy! which had its origin in the

1orth 'merican 2epublic! should become indurated down to a fi"ture! then that go ernment will furnish its own money without cost. It will pay off debts and be without a debt. It will ha e all the money necessary to carry on its commerce. It will become prosperous beyond precedent in the history of ci ili/ed go ernments of the world. The brains and the wealth of all countries will go to 1orth 'merica. That go ernment must be destroyed or it will destroy e ery monarchy on the globe." 8)60 The bankers str#ck back +ith 9resident Ginco$n needing f#rther congressiona$ a#thority to iss#e "ore 5reenbacks, Ginco$n was forced into a$$owing the bankers to %#sh their, >Hationa$ Banking Act,> thro#gh Congress The "ost i"%ortant %art of this Act was that fro" now on, the entire 6nited =tates "oney s#%%$y wo#$d be created o#t of debt by the Hationa$ Banks b#ying 6nited =tates 5o&ern"ent Bonds and iss#ing the" for reser&es for banknotes :n to% of this "ono%o$y, the Hationa$ Banks were a$$owed to o%erate #nder a &irt#a$ ta. free stat#s This banking sca" is best e.%$ained by historian, *ohn ?enneth 5a$braith, who stated, "In numerous years following the war! the )ederal %o ernment ran a hea y surplus. It could not howe er pay off its debt! retire its securities! because to do so meant there would be no bonds to back the national bank notes. To pay off the debt was to destroy the money supply." Gater this year, Tsar A$e.ander -- ga&e 9resident Ginco$n so"e #ne.%ected he$% The Tsar iss#ed orders that if either !ng$and or France acti&e$y inter&ened in the A"erican Ci&i$ +ar, and he$% the =o#th, '#ssia wo#$d consider s#ch action a dec$aration of war To show that he wasn7t "essing abo#t, he sent %art of his 9acific F$eet to %ort in =an Francisco This wasn7t beca#se the Tsar was bene&o$ent towards A"erica, instead he was &ery c$e&er He, $ike :tto Eon Bis"arck in 5er"any, co#$d c$ear$y see what the "oney changers were #% to, indeed he had a$ready ref#sed to $et the" set #% a Centra$ Bank in '#ssia He #nderstood if A"erica was to co"e #nder the contro$ of Britain or France, then A"erica wo#$d be #nder the contro$ of Centra$ Bankers once again, and s#ch an e.%ansion of the bankers e"%ire, wo#$d "ean they wo#$d e&ent#a$$y threaten '#ssia

8)6( 9resident Ginco$n is re2e$ected on Ho&e"ber )th and on Ho&e"ber 28 he wrote a friend the fo$$owing, "The money power preys upon the nations in times of peace and conspires against it in times of ad ersity. It is more despotic than monarchy! more insolent than autocracy! more selfish than bureaucracy." =a$o"on 9 Chase, now 9resident Ginco$n7s For"er =ecretary To The Treas#ry, stated, "*y agency in promoting the passage of the 1ational Banking 'ct was the greatest financial mistake in my life. It has built up a monopoly which affects e ery interest in the country." 8)6D :n A%ri$ 8(th, (8 days after his second ina#g#ration, and ,#st D days after 5enera$ Gee s#rrendered to 5enera$ 5rant at A%%o"atto., 9resident Ginco$n is shot by *ohn +i$kes Booth, at Ford7s Theater He wo#$d $ater die of his in,#ries =#bse4#ent a$$egations that internationa$ bankers were res%onsib$e for 9resident Ginco$n7s assassination, wo#$d be "ade in the Canadian Ho#se of Co""ons, near$y A0 years $ater in 8/0( The %erson who re&ea$ed this was a Canadian Attorney, 5era$d 5 Mc5eer He had obtained e&idence de$eted fro" the %#b$ic record %ro&ided to hi" by =ecret =er&ice Agents at the tria$ of *ohn +i$kes Booth, after Booth7s death Mc5eer stated that it showed that *ohn +i$kes Booth was a "ercenary working for the internationa$ bankers His s%eech wo#$d be re%orted in an artic$e in the Eanco#&er =#n, dated, 2nd May 8/0(, which stated, "'braham .incoln! the murdered emancipator of the sla es! was assassinated through the machinations of a group representati e of the International Bankers! who feared the ,nited States 3resident0s 1ational Credit ambitions. There was only one group in the world at that time who had any reason to desire the death of .incoln. They were the men opposed to his national currency program and who had fought him throughout the whole Ci il War on his policy of %reenback currency." 5era$d 5 Mc5eer a$so stated that Ginco$n7s assassination was not %#re$y beca#se the -nternationa$ Bankers wanted to re2estab$ish a centra$ bank in A"erica, b#t a$so beca#se they wanted to base

A"erica7s c#rrency on go$d, which they of co#rse contro$$ed They wanted to %#t A"erica on a 5o$d =tandard This was in direct o%%osition to 9resident Ginco$n7s %o$icy of iss#ing 5reenbacks, based so$e$y on the good faith and credit of the 6nited =tates The Eanco#&er =#n artic$e a$so 4#oted 5era$d 5 Mc5eer with the fo$$owing state"ent, "They were the men interested in the establishment of the %old Standard and the right of the bankers to manage the currency and credit of e ery nation in the world. With .incoln out of the way they were able to proceed with that plan and did proceed with it in the ,nited States. Within 4 years after .incoln0s assassination! sil er was demoneti/ed and the %old Standard system set up in the ,nited States." 8)66 The !#ro%ean centra$ bankers wanted the re2instit#tion of a centra$ bank #nder their contro$ and an A"erican c#rrency backed by go$d They chose go$d as go$d has a$ways been re$ati&e$y scarce and therefore a $ot easier to "ono%o$i3e, than, for e.a"%$e, si$&er, which was %$entif#$ in the 6nited =tates, and had been fo#nd in h#ge 4#antities with the o%ening of the A"erican +est =o, on A%ri$ 82th, Congress went back to work at the bidding of the !#ro%ean centra$ bankers -t %assed the, >Contraction Act,> which a#thori3ed the =ecretary of the Treas#ry to contract the "oney s#%%$y by retiring so"e of the 5reenbacks in circ#$ation This "oney contraction and it7s disastro#s res#$ts is e.%$ained by Theodore ' Thoren and 'ichard F +a$ker, in their book, >The Tr#th -n Money Book,> in which they state the fo$$owing, "The hard times which occurred after the Ci il War could ha e been a oided if the %reenback legislation had continued as 3resident .incoln had intended. Instead there were a series of money panics! what we call recessions! which put pressure on Congress to enact legislation to place the banking system under centrali/ed control. # entually the )ederal 2eser e 'ct was passed on 5ecember 67rd 8987." This is how the, >Contraction Act,> %assed by Congress affected A"erica Bthe "oney s#%%$y goes down %#re$y beca#se c#rrency in circ#$ation is being withdrawnCK Near -n circ#$ation A%%ro.i"ate$y %er ca%ita

8)66 J8,)00,000,000 JD0 (6 8)6A J8,000,000,000 J(( 00 8)A6 J600,000,000 8))6 J(00,000,000 J8( 60 J6 6A

Therefore in the twenty years since 8)66 two thirds of the A"erican "oney s#%%$y had been ca$$ed in by the bankers, re%resenting a A60; $oss in b#ying %ower o&er this twenty years The "oney beca"e scarce si"%$y beca#se bank $oans were ca$$ed in and no new ones were gi&en 8)A2 !rnest =eyd is sent to A"erica on a "ission fro" the 'othschi$d owned Bank of !ng$and He is gi&en J800,000 which he is to #se to bribe as "any Congress"en as necessary, for the %#r%oses of getting si$&er de"oneti3ed, as it had been fo#nd in h#ge 4#antities in the A"erican +est, which wo#$d eat into 'othschi$d7s %rofits 8)A0 !rnest =eyd ob&io#s$y s%ent his "oney wise$y, as Congress %ass the, >Coinage Act,> which res#$ts in the "inting of si$&er do$$ars being abr#%t$y sto%%ed F#rther"ore, 'e%resentati&e =a"#e$ Hoo%er, who introd#ced the bi$$ in the ho#se, e&en ad"itted that !rnest =eyd had act#a$$y drafted the $egis$ation 8)A( !rnest =eyd hi"se$f ad"itted who was behind the de"oneti3ing of si$&er in A"erica, when he "akes the fo$$owing state"ent, "I went to 'merica in the winter of 84:6 ; 84:7! authori/ed to secure! if I could! the passage of a bill demoneti/ing sil er. It was in the interests of those I represented! the go ernors of the Bank <f #ngland! to ha e it done. By 84:7! gold coins were the only form of coin money." 8)A6 1#e to the "ani%#$ation of the "oney s#%%$y in A"erica, one third of the workforce is #ne"%$oyed and #nrest is growing There are e&en ca$$s for a ret#rn to 5reenback "oney or si$&er "oney As a res#$t, Congress creates the, >6nited =tates =i$&er Co""ission,> to in&estigate the %rob$e" This co""ission c$ear$y #nderstood that the nationa$ bankers were the ca#se of the %rob$e", with their de$iberate contraction of the "oney

s#%%$y An e.cer%t of their re%ort reads as fo$$ows, "The disaster of the 5ark 'ges was caused by decreasing money and falling prices ...Without money! ci ili/ation could not ha e had a beginning! and with a diminishing supply! it must languish! and unless relie ed! finally perish. 't the Christian era the metallic money of the 2oman #mpire amounted to =8!4>>!>>>!>>>. By the end of the 8?th century it had shrunk to less than =6>>!>>>!>>>...@istory records no other such disastrous transition as that from the 2oman #mpire to the 5ark 'ges..." 1es%ite this da"ning re%ort fro" the co""ission, Congress took no action 8)AA 'ioting breaks o#t fro" 9ittsb#rgh to Chicago The bankers get together to decide what to do and they decided to hang on, as they knew that des%ite the &io$ence, they were now fir"$y back in contro$ At the "eeting of the A"erican Bankers Association, they #rged their "e"bershi% to do e&erything in their %ower, to %#t down any notion of a ret#rn to 5reenbacks The A"erican Bankers Association secretary, *a"es B#e$, e&en wrote a $etter to the "e"bers in which he b$atant$y ca$$ed on the banks to s#b&ert both Congress and the %ress -n this $etter he stated, "It is ad isable to do all in your power to sustain such prominent daily and weekly newspapers! especially the 'gricultural and 2eligious 3ress! as well as oppose the %reenback issue of paper money and that you will also withhold patronage from all applicants who are not willing to oppose the go ernment issue of money.... ...To repeal the 'ct creating bank notes! or to restore to circulation issue of money will be to pro ide the people with money and will therefore seriously affect our indi idual profits as bankers and lenders. See your Congressman at once and engage him to support our interests that we may control legislation." 8)A) *a"es B#e$7s $etter c$ear$y had so"e effect, as a$tho#gh %ress#re "o#nted in Congress for change, the %ress tried to t#rn the genera$ %#b$ic away fro" the tr#th An e.a"%$e of this is fro" the Hew Nork Trib#ne in their 80th *an#ary edition in which is stated in a bankers %ro%aganda %iece, "The capital of the country is organi/ed at last and we will see

whether Congress will dare to fly in its face." This ear$y contro$ of the "edia didn7t work entire$y ne&erthe$ess, as on Febr#ary 2)th Congress %assed the, >=her"an Gaw > This $aw a$$owed the "inting of a $i"ited n#"ber of si$&er do$$ars, ending the D year hiat#s Howe&er this did not "ean that anyone who bro#ght si$&er to the 6nited =tates Mint co#$d ha&e it str#ck into si$&er do$$ars, free of charge, as in the %eriod %rior to !rnest =eyd7s Coinage Act, in 8)A0 5o$d backing of the A"erican c#rrency a$so re"ained Howe&er, this =her"an Gaw did ens#re that so"e "oney began to f$ow into the econo"y again, and co#%$ed with the fact that the bankers now rea$i3ed that they were sti$$ fir"$y in contro$, they started iss#ing $oans again and the %ost Ci&i$ +ar de%ression was fina$$y o&er 8))8 The A"erican %eo%$e e$ect the 'e%#b$ican, *a"es 5arfie$d as the 20th 9resident of the 6nited =tates This was a worry to the "oney changers, beca#se as a Congress"an, he had been Chair"an of the A%%ro%riations Co""ittee, and was a "e"ber of Banking and C#rrency The "oney changers were therefore aware that 9resident 5arfie$d was in f#$$ know$edge of their sca" on the A"erican %eo%$e -ndeed fo$$owing his ina#g#ration, 9resident 5arfie$d stated, "Whosoe er controls the olume of money in any country is absolute master of all industry and commerce...'nd when you reali/e that the entire system is ery easily controlled! one way or another! by a few powerful men at the top! you will not ha e to be told how periods of inflation and depression originate." =trange$y eno#gh within a few weeks of "aking that state"ent, 9resident 5arfie$d was assassinated on 2nd *#$y 8)/8 The "oney changers s%ent the $ast decade creating econo"ic boo"s fo$$owed by de%ressions, so that they co#$d b#y #% tho#sands of ho"es and far"s for %ennies on the do$$ar They were %re%aring to take the econo"y down again in the near f#t#re, and in a shocking "e"o sent o#t by the A"erican Bankers Association, which wo#$d co"e o#t in the Congressiona$ 'ecord "ore than twenty years $ater, the fo$$owing is stated, "<n September 8st 849A we will not renew our loans under any consideration. <n September 8st we will demand our money. We will foreclose and become mortgages in possession. We can

take two;thirds of the farms west of the *ississippi! and thousands of them east of the *ississippi as well! at our own price...Then the farmers will become tenants as in #ngland...!" 8)/8 A"erican Bankers Association, as %rinted in the Congressiona$ 'ecord of A%ri$ 2/, 8/80 8)/6 The centra$ iss#e in the 9residentia$ ca"%aign is the iss#e of "ore si$&er "oney =enator +i$$ia" *ennings Bryan fro" Hebraska, a 1e"ocrat aged on$y 06, "akes an e"otiona$ s%eech at the 1e"ocratic Hationa$ Con&ention in Chicago, entit$ed, >Crown :f Thorns And Cross :f 5o$d > =enator Bryan stated, "We will answer their demand for a gold standard by saying to them! you shall not press down upon the brow of labor this crown of thorns! you shall not crucify mankind upon a cross of gold." The bankers nat#ra$$y s#%%orted the 'e%#b$ican candidate, +i$$ia" Mc?in$ey who in ret#rn fa&ored the go$d standard F#rther"ore those in the Mc?in$ey ca"%aign, got "an#fact#rers and ind#stria$ists to infor" their e"%$oyees that if Bryan were e$ected, a$$ factories and %$ants wo#$d c$ose and there wo#$d be no work This tactic s#cceeded, Mc?in$ey beat Bryan, a$beit by a s"a$$ "argin 8)/) 9o%e Geo M--- stated the fo$$owing on the s#b,ect of #s#ry, "<n the one hand there is the party which holds the power because it holds the wealth! which has in its grasp all labor and all trade! which manipulates for its own benefit and its own purposes all the sources of supply! and which is powerfully represented in the councils of State itself. <n the other side there is the needy and powerless multitude! sore and suffering. 2apacious usury! which! although more than once condemned by the Church! is ne ertheless under a different form but with the same guilt! still practiced by a aricious and grasping men...so that a small number of ery rich men ha e been able to lay upon the masses of the poor a yoke little better than sla ery itself." 8/0A 1#ring the ear$y 8/007s, the "oney changers were an.io#s to ad&ance their b#siness of setting #% another %ri&ate Centra$ Bank for

A"erica 'othschi$d, *acob =chiff, the head of ?#hn, Goeb and Co , in a s%eech to the Hew Nork Cha"ber of Co""erce, stated, or rather threatened, +,nless we ha e a Central Bank with ade(uate control of credit resources! this country is going to undergo the most se ere and far reaching money panic in its history. They %#t 'othschi$d agent, * 9 Morgan at the forefront of their charge -nteresting$y * 9 Morgan7s father, *#$i#s Morgan, had been A"erica7s financia$ agent to the British, and after *#$i#s7 death, * 9 Morgan took on a British %artner, !dward 5ren&i$$e, who was a $ong ti"e director of the Bank :f !ng$and This year was the year of the "oney changers attack * 9 Morgan and his cohorts secret$y crashed the stock "arket They were aware that tho#sands of s"a$$ banks were so &ast$y o&er e.tended, so"e on$y had reser&es of 8; #nder the fra#d#$ent fractiona$ reser&e %rinci%$e +ithin on$y a few days, bank r#ns beca"e co""on%$ace across the nation Morgan then ste%%ed #% and %#b$ic$y anno#nced that he wo#$d s#%%ort these fai$ing banks +hat he fai$ed to "ention is that he wo#$d do this by "an#fact#ring "oney o#t of nothing And then what ha%%ened, s#r%rise, s#r%rise, Congress $et hi" do it@ =o, Morgan "an#fact#red J200,000,000 of this co"%$ete$y reser&e$ess %ri&ate "oney, %#rchased goods and ser&ices with it, and sent so"e of it to his branch banks to $end o#t at interest As a res#$t, the genera$ %#b$ic regained confidence in "oney, b#t "ost i"%ortant$y it "eant the banking %ower was now f#rther conso$idated into the hands of a few $arge banks 8/0) +ith the wides%read financia$ %anic o&er, * 9 Morgan was hai$ed as a hero by the then 9resident of 9rinceton 6ni&ersity, +oodrow +i$son, who e&en crass$y or arrogant$y stated, "'ll this trouble could be a erted if we appointed a committee of si" or se en public spirited men like B. 3. *organ! to handle the affairs of our country." 9resident Theodore 'oose&e$t had a$so signed into $aw, fo$$owing the financia$ %anic, a bi$$ creating the, >Hationa$ Monetary Co""ission >

This co""ission was s#%%osed to st#dy the banking %rob$e" and "ake reco""endations to Congress Hat#ra$$y, the co""ission was %acked with * 9 Morgan7s friends and cronies The chair"an was =enator He$son A$drich fro" 'hode -s$and, and he re%resented the Hew%ort 'hode -s$and ho"es of A"erica7s richest banking fa"i$ies His da#ghter "arried *ohn 1 'ockefe$$er *r , and together they had fi&e sons Binc$#ding He$son who wo#$d beco"e Eice 9resident in 8/A( and 1a&id who wo#$d beco"e Head of the Co#nci$ on Foreign 'e$ationsC Fo$$owing the setting #% of this Hationa$ Monetary Co""ission, =enator A$drich i""ediate$y e"barked on a 2 year fact finding to#r of !#ro%e, where he cons#$ted at $ength with the %ri&ate centra$ bankers in !ng$and, France, and 5er"any, or rather 'othschi$d, 'othschi$d, and 'othschi$d The tota$ cost of this 2 year tri% to the A"erican ta.%ayer< J000,000 Nes, three h#ndred tho#sand do$$ars, that is not a "is%rint@ 8/80 =enator A$drich ret#rns fro" his two year !#ro%ean fact finding "ission on 22nd Ho&e"ber =hort$y afterwards so"e of A"erica7s "ost wea$thy and %owerf#$ "en boarded =enator A$drich7s %ri&ate rai$car in the strictest secrecy They ,o#rneyed to *eky$$ -s$and off the coast of 5eorgia -n this gro#% were 9a#$ +arb#rg, who was earning a JD00,000 a year sa$ary fro" 'othschi$d owned fir", ?#hn, Goeb O Co"%any This sa$ary was for hi" to $obby for a %ri&ate$y owned centra$ bank in A"erica A$so %resent was *acob =chiff, a 'othschi$d who had %#rchased ?#hn, Goeb and Co"%any short$y after he arri&ed in A"erica fro" !ng$and The 'othschi$ds, +arb#rgs and =chiffs, interconnected by "arriage, were essentia$$y the sa"e fa"i$y =ecrecy at this "eeting was so tight that a$$ the %artici%ants were ca#tioned to #se on$y first na"es, to %re&ent ser&ants fro" $earning their identities Nears $ater, one %artici%ant, Frank Eander$i%, 9resident of Hationa$ Citibank and a re%resentati&e of the 'ockefe$$er fa"i$y, confir"ed the *eky$$ -s$and tri% in a /th Febr#ary 8/0D edition of the =at#rday !&ening 9ost in which he stated,

"I was as secreti e indeed! as furti e as any conspirator ...5isco ery we knew! simply must not happen! or else all our time and effort would be wasted. If it were to be e"posed that our particular group had got together and written a banking bill! that bill would ha e no chance whate er of passage by Congress." -t was not ,#st the setting #% of a Centra$ Bank that was on the agenda :ther %rob$e"s for these bankers were that the "arket share of these big nationa$ banks was shrinking fast -n the first ten years of the cent#ry the n#"ber of 6nited =tates banks had "ore than do#b$ed to o&er 20,000 By 8/80 on$y 2/; of a$$ banks were nationa$ banks and they he$d on$y DA; of a$$ de%osits As *ohn 1 'ockefe$$er %#t it, "Competition is Sin-" =enator A$drich $ater ad"itted in a "aga3ine artic$e, "Before passage of this 'ct! the 1ew Cork Bankers could only dominate the reser es of 1ew Cork. 1ow we are able to dominate bank reser es of the entire country." =o one of the ai"s of these cons%irators was to bring these new banks #nder their contro$ =econd$y the nations econo"y was so strong that cor%orations were starting to finance their own e.%ansions o#t of %rofits instead of taking o#t h#ge $oans fro" $arge banks -ndeed, in the first ten years of the cent#ry, A0; of cor%orate f#nding ca"e fro" %rofits Basica$$y, A"erican -nd#stry was beco"ing inde%endent of the "oney changers, and the "oney changers were not abo#t to $et that ha%%en There was a$so "#ch disc#ssion regarding the na"e of the new bank, which took %$ace in a conference roo" in the *eky$$ -s$and C$#b Hote$ A$drich be$ie&ed the word, >bank,> sho#$d not e&en a%%ear in the na"e +arb#rg wanted to ca$$ the $egis$ation, the, >Hationa$ 'eser&e Bi$$,> or the, >Federa$ 'eser&e Bi$$ > The idea was not on$y to gi&e the i"%ression that the %#r%ose of the new centra$ bank was to sto% bank r#ns, b#t a$so to concea$ its "ono%o$y character Howe&er it was =enator A$drich, the ego"aniac, who insisted it be ca$$ed the, >A$drich Bi$$ > =o, after nine days at *eky$$ -s$and, the gro#% dis%ersed This gro#% of cons%irators i""ediate$y set #% an ed#cationa$ f#nd of JD,000,000 to finance 9rofessors at to% #ni&ersities to endorse the new bank

The new centra$ bank wo#$d be &ery si"i$ar to the o$d Bank :f The 6nited =tates, in that it wo#$d be gi&en a "ono%o$y o&er 6nited =tates c#rrency and create that "oney o#t of nothing A$so in order to "ake the %#b$ic think it was #nder contro$ of the 5o&ern"ent, the %$an ca$$ed for the centra$ bank to be r#n by a board of go&ernors a%%ointed by the 9resident and a%%ro&ed by the =enate This wo#$d not ca#se any #nd#e %rob$e"s for the bankers, as they knew they co#$d #se their "oney to b#y inf$#ence o&er the %o$iticians, in order to ens#re the "en they wanted got a%%ointed to the board of go&ernors 8/82 The A$drich bi$$ is %resented to Congress for debate This was &ery 4#ick$y identified as a bi$$ to benefit the bankers, or an e.%ression for the" which was coined at the ti"e, >The Money Tr#st > 1#ring the debate, the 'e%#b$ican, Char$es A Gindbergh stated, "The 'ldrich plan is the Wall Street 3lan. It means another panic! if necessary! to intimidate the people. 'ldrich! paid by the go ernment to represent the people! proposes a plan for the trusts instead." As this debate contin#ed on, the bankers rea$i3ed they didn7t ha&e eno#gh s#%%ort, so the 'e%#b$ican $eadershi% ne&er bro#ght the A$drich bi$$ to a &ote -nstead the bankers decided to switch their attention to the 1e"ocrats and started hea&i$y financing +oodrow +i$son, the 1e"ocratic 9residentia$ no"inee The +a$$ =treet banker, Bernard Bar#ch, was %#t in charge of the +i$son %ro,ect, and as historian, *a"es 9er$off, stated, "Baruch brought Wilson to the 5emocratic 3arty head(uarters in 1ew Cork in 8986! 0leading him like one wood a poodle on a string.0 Wilson recei ed an! 0indoctrination course!0 from the leaders con ened there...." 1#ring the 1e"ocratic 9residentia$ ca"%aign, +i$son and the r#$ers of the 1e"ocratic 9arty %retended to o%%ose the A$drich bi$$ As 'e%#b$ican re%resentati&e, Go#is T McFadden, e.%$ained twenty years $ater, when he was was Chair"an :f The Ho#se Banking And C#rrency Co""ittee, "The 'ldrich Bill was condemned in the platform...when Woodrow Wilson was nominated...The men who ruled the 5emocratic 3arty promised the people that if they were returned to power there would

be no central bank established here while they held the reins of go ernment. Thirteen months later that promise was broken! and the Wilson administration! under the tutelage of those sinister Wall Street figures who stood behind Colonel @ouse! established here in our free country the worm;eaten monarchical institution of the! 0$ing0s Bank!0 to control us from the top downward! and to shackle us from the cradle to the gra e." :n Ho&e"ber Dth, +oodrow +i$son was e$ected, and * 9 Morgan, 9a#$ +arb#rg, Bernard Bar#ch et a$, ad&anced a new %$an which +arb#rg ca$$ed the Federa$ 'eser&e =yste" The $eadershi% of the 1e"ocratic 9arty hai$ed this new bi$$ ca$$ed the, >5$ass2:wen Bi$$,> as tota$$y different to the A$drich bi$$, when in fact it was &irt#a$$y identica$ F#nni$y eno#gh the 1e"ocrats were so &ehe"ent in their denia$ of the si"i$arity of the, >5$ass2:wen Bi$$,> to the, >A$drich Bi$$,> that 9a#$ +arb#rg, the creator of both bi$$, had to infor" his %aid friends in Congress, that the two bi$$s were &irt#a$$y identica$ and therefore they "#st &ote to %ass it +arb#rg stated, "Brushing aside the e"ternal differences affecting the! 0shells!0 we find the! 0kernels!0 of the two systems ery closely resembling and related to one another." Howe&er this ad"ission by +arb#rg was not "ade %#b$ic -nstead, =enator A$drich, and Frank Eander$i%, the 9resident of 'ockefe$$er7s Hationa$ Citibank of Hew Nork, were to %#b$ic$y state their o%%osition to the bi$$ in order to "ake %eo%$e think that the bi$$ %ro%osed was radica$$y different to the A$drich bi$$ -ndeed, Frank Eander$i% stated years $ater in the =at#rday !&ening 9ost, "'lthough the 'ldrich )ederal 2eser e 3lan was defeated when it bore the name 'ldrich! ne ertheless its essential points were all contained in the plan that finally was adopted." 8/80 +ith Congress nearing a &ote on the 5$ass2:wen Bi$$, they ca$$ed :hio Attorney, A$fred Cro3ier, to testify Howe&er, Cro3ier noticed the si"i$arities between the A$drich Bi$$ and the 5$ass2:wen Bi$$, and s#bse4#ent$y stated, "The...bill grants &ust what Wall Street and the big banks for twenty;fi e years ha e been stri ing for ; pri ate instead of public

control of currency. It Dthe %lass;<wen billE does this as completely as the 'ldrich bill. Both measures rob the go ernment and the people of all effecti e control o er the public0s money! and est in the banks e"clusi ely the dangerous power to make money among the people scarce or plenty." The debate on this bi$$ was not going we$$ for the banks, with "any =enators inti"ating the bi$$ was corr#%t and deceitf#$, howe&er the bi$$ was a%%ro&ed thro#gh the =enate on 1ece"ber 22nd How did this ha%%en< Beca#se "ost of the =enators had $eft town to ret#rn ho"e for the Christ"as ho$idays F#rther"ore, these =enators had been ass#red by the $eadershi%, that nothing wo#$d be done regarding this bi$$ #nti$ $ong after the Christ"as recess 'e%resentati&e Char$es A Gindbergh =r stated, "This 'ct establishes the most gigantic trust on earth. When the 3resident signs this bill! the in isible go ernment of the monetary power will be legali/ed. The people may not know it immediately! but the day of reckoning is only a few years remo ed...The worst legislati e crime of the ages is perpetrated by this banking and currency bill." -nteresting$y, on$y a few weeks ear$ier, in :ctober, Congress fina$$y %assed a bi$$ $ega$i3ing direct inco"e ta. of the %eo%$e This was in the for" of a bi$$ %#shed thro#gh by =enator A$drich, which is now co""on$y known as the 86th a"end"ent The inco"e ta. $aw was f#nda"enta$ to the Federa$ 'eser&e This is beca#se the Federa$ 'eser&e was a syste" which wo#$d r#n #%, essentia$$y, an #n$i"ited Federa$ debt The on$y way to g#arantee the %ay"ent of interest on this debt was to direct$y ta. the %eo%$e, as they had done with the Bank :f !ng$and -f the Federa$ 'eser&e had to re$y on contrib#tions fro" the =tates, they wo#$d be dea$ing with bigger entities, who co#$d re&o$t and ref#se to %ay the interest on their own "oney, or at $east bring %o$itica$ %ress#re to bear in order to kee% the debt s"a$$ Act#a$$y, this 86th a"end"ent was ne&er ratified, and therefore "any A"erican citi3ens do not %ay their inco"e ta. and there is nothing the 6nited =tates 5o&ern"ent can do abo#t it For f#rther infor"ation on this go to the$awthatne&erwas co" A$so, back in 8)/D, the =#%re"e Co#rt had a$so fo#nd an inco"e ta. $aw si"i$ar to the 86th a"end"ent, as #nconstit#tiona$ The =#%re"e Co#rt a$so fo#nd a

Cor%orate Ta. Gaw #nconstit#tiona$ in 8/0/ Another i"%ortant a"end"ent that was %#t thro#gh this year is the 8Ath a"end"ent This %ro&ided for the direct e$ection by the %eo%$e of two =enators fro" each state as o%%ose to the origina$ syste" of ha&ing state $egis$at#res e$ect 6nited =tates =enators More de"ocratic, yo# wo#$d think, #nti$ yo# rea$i3e these bankers co#$d now %ro&ide the f#nds for their hand %icked %eo%$e to r#n for the =enate, and th#s a&oid f#t#re %rob$e"s $ike getting the Federa$ 'eser&e thro#gh the =enate Anyway, back to the Federa$ 'eser&e, if yo# are in any do#bt as to whether the Federa$ 'eser&e is a %ri&ate co"%any, a basic check the %#b$ic can carry o#t is in their %hone book Gook #nder the go&ern"ent %ages and it is not $isted, b#t yo# wi$$ find it $isted within the b#siness %ages Act#a$$y so"e recent e&idence has co"e forward as to who rea$$y owns the Federa$ 'eser&e, and they are the fo$$owing banksK * * * * * * * * * * Rothschild Bank of London Warburg Bank of Hamburg Rothschild Bank of Berlin Lehman Brothers of New York Lazard Brothers of Paris Kuhn Loeb Bank of New York srael !oses "eif Banks of tal# $oldman% "achs of New York Warburg Bank of &msterdam 'hase !anhattan Bank of New York

A$so so"e arg#e that the Federa$ 'eser&e is a 4#asi2go&ern"enta$ agency, yet the 9resident a%%oints on$y 2 of the A "e"bers of the Federa$ 'eser&e Board of 5o&ernors, e&ery fo#r years, and he a%%oints the" to 8( year ter"s, which is far $onger than any ter" he co#$d %ossib$y ser&e as 9resident The =enate confir"s these a%%oint"ents, b#t as we ha&e seen, that is the idea, beca#se these are the &ery %eo%$e hand %icked by the bankers who a$so finance their ca"%aigns, ens#ring $oya$ty to the", not the %eo%$e Get7s s#""ari3e how the Federa$ 'eser&e creates "oney o#t of nothing -t is a fo#r ste% %rocessK () The Federa$ :%en Market Co""ittee a%%ro&es the %#rchase of

6nited =tates Bonds* *) The bonds are %#rchased by the Federa$ 'eser&e +) The Federa$ 'eser&e %ays for these bonds with e$ectronic credits to the se$$er7s bank, these credits are based on nothing ,) The banks #se these de%osits as reser&es They can $oan o#t o&er ten ti"es the a"o#nt of their reser&es to new borrowers, a$$ at interest * Bonds are si"%$y %ro"ises to %ay or 5o&ern"ent -:67s 9eo%$e %#rchase bonds in order to get a sec#re rate of interest At the end of the ter" of the bond, the go&ern"ent re%ays the bond, %$#s interest and the bond is destroyed Get7s $ook at an e.a"%$e of how this works with a Federa$ 'eser&e %#rchase of J8,000,000 of bonds This then gets t#rned into o&er J80,000,000 in bank acco#nts The Federa$ 'eser&e in effect creates 80; of this tota$$y new J80,000,000 and the banks create the other /0; To red#ce the a"o#nt of "oney in circ#$ation this %rocess is si"%$y re&ersed The Federa$ 'eser&e se$$s these bonds to the %#b$ic and the "oney f$ows o#t of the %#rchaser7s $oca$ bank Goans "#st be red#ced by ten ti"es the a"o#nt of the sa$e, so a Federa$ 'eser&e sa$e of J8,000,000 in bonds, res#$ts in J80,000,000 $ess "oney in the econo"y How does this benefit the bankers, whose re%resentati&es "et at *eky$$ -s$and< () -t %re&ented any f#t#re banking refor" efforts, as the Federa$ 'eser&e was to be the on$y %rod#cer of "oney *) This in t#rn %re&ented a %ro%er debt free syste" of go&ern"ent finance, $ike 9resident Ginco$n7s 5reenbacks, fro" "aking a co"eback -nstead, the bond based syste" of go&ern"ent finance, forced on Ginco$n after he created 5reenbacks, was now cast in stone +) -t de$egated to the bankers the right to create /0; of o#r "oney s#%%$y based on a fra#d#$ent syste" of fractiona$ reser&e banking and a$$owed the" to $oan o#t that /0; at interest ,) -t centra$i3ed o&era$$ contro$ of o#r nations "oney s#%%$y in the hands of and for the %rofits of a few "en -) -t estab$ished a %ri&ate centra$ bank with a high degree of inde%endence fro" effecti&e %o$itica$ contro$ 8/8( The start of +or$d +ar - -n this war, the 5er"an 'othschi$ds $oaned "oney to the 5er"ans, the British 'othschi$ds $oaned "oney to the British, and the French 'othschi$ds $oaned "oney to the French

:ne year after the %assage of the Federa$ 'eser&e Bi$$, 'e%resentati&e Char$es A Gindbergh =r , o#t$ined how The Federa$ 'eser&e created the, >b#siness cyc$e,> and how they "ani%#$ated that to their own ad&antage He stated, "To cause high prices! all the )ederal 2eser e Board will do will be to lower the rediscount rate...! producing an e"pansion of credit and a rising stock market! then when ...business men are ad&usted to these conditions! it can check... prosperity in mid;career by arbitrarily raising the rate of interest. It can cause the pendulum of a rising and falling market to swing gently back and forth by slight changes in the discount rate! or cause iolent fluctuations by a greater rate ariation! and in either case it will possess inside information as to financial conditions and ad ance knowledge of the coming change! either up or down. This is the strongest! most dangerous ad antage e er placed in the hands of a special pri ilege class by any %o ernment that e er e"isted. The system is pri ate! conducted for the sole purpose of obtaining the greatest possible profits from the use of other people0s money. They know in ad ance when to create panics to their ad antage. They also know when to stop panic. Inflation and deflation work e(ually well for them when they control finance." 8/8D * 9 Morgan beca"e the sa$es agent for the, >+ar Materia$s Board,> to both the British and the French engaged in +or$d +ar -, and beco"es the biggest cons#"er on the %$anet, s%ending 80 "i$$ion do$$ars a day F#rther"ore, 9resident +oodrow +i$son a%%ointed banker, Bernard Bar#ch, to head the, >+ar -nd#stries Board > According to historian, *a"es 9er$off, both Bernard Bar#ch and the 'ockefe$$ers %rofited by a%%ro.i"ate$y 200 "i$$ion do$$ars d#ring +or$d +ar A $ot of %eo%$e be$ie&e the key to an effecti&e "oney s#%%$y is to ens#re it is backed by so"ething of worth s#ch as go$d Howe&er, who do yo# think wo#$d contro$ that go$d< As 'e%#b$ican, Char$es A Gindbergh stated this year, "'lready the )ederal 2eser e Banks ha e cornered the gold and gold certificates."

8/86 9resident +i$son began to rea$i3e the gra&ity of the da"age he had done to A"erica, by #n$eashing the Federa$ 'eser&e on the A"erican %eo%$e He stated, "We ha e come to be one of the worst ruled! one of the most completely controlled go ernments in the ci ili/ed world ; no longer a go ernment of free opinion! no longer a go ernment by ...a ote of the ma&ority! but a go ernment by the opinion and duress of a small group of dominant men. Some of the biggest men in the ,nited States! in the field of commerce and manufacture! are afraid of something. They know there is a power somewhere so organi/ed! so subtle! so watchful! so interlocked! so complete! so per asi e! that they had better not speak abo e their breath when they speak in condemnation of it." 8/8A The "oney changers ne&er forga&e the Tsars of '#ssia for both contin#a$$y o%%osing their re4#est to set #% a centra$ bank in '#ssia, as we$$ as their s#%%ort of 9resident Ginco$n d#ring the Ci&i$ +ar Therefore, *acob =chiff, a 'othschi$d, s%ent 20 "i$$ion do$$ars thro#gh his fir", ?#hn, Goeb O Co , in financing the '#ssian 'e&o$#tion -t is co""on$y be$ie&ed that Co""#nis" is the o%%osite of Ca%ita$is", so why wo#$d these ca%ita$ists s#%%ort it< 'es%ected researcher, 5ary A$$en, e.%$ains it as fo$$ows, "If one understands that socialism is not a share;the;wealth program! but it is in reality a method to consolidate and control the wealth! then the seeming parado" of super;rich men promoting socialism becomes no parado" at all. Instead it becomes logical! e en the perfect tool of power seeking megalomaniacs. Communism! or more accurately socialism! is not a mo ement of the downtrodden masses! but of the economic elite." 8/8/ -n *an#ary the 9aris 9eace Conference takes %$ace fo$$owing the end of +or$d +ar - The bankers %#t +or$d 5o&ern"ent at the to% of their agenda, and 9a#$ +arb#rg and Bernard Bar#ch attend this conference with 9resident +i$son To the bankers dis"ay, the wor$d was not yet ready to disso$&e nationa$ bo#ndaries and acce%t +or$d 5o&ern"ent, so that %art of their %$an had fai$ed The %$an for +or$d 5o&ern"ent was ca$$ed the, >Geag#e :f Hations,> and a$tho#gh "any nations acce%ted this %ro%osa$, the 6nited =tates Congress wo#$d not s#%%ort it, and th#s witho#t the s#%%ort of "oney

fro" the 6nited =tates Treas#ry, the bankers had fai$ed and the Geag#e :f Hations died 8/20 +arren 5 Harding is e$ected 9resident of the 6nited =tates, and s#cceeds +oodrow +i$son in 8/28 This wi$$ be the start of a %eriod which beca"e known as the, >roaring twenties > 1es%ite the fact that +or$d +ar - had sadd$ed A"erica with a debt that was ten ti"es $arger than its ci&i$ war debt, the 6nited =tates econo"y grew in ab#ndance A$so, go$d had %o#red into A"erica d#ring the war and contin#ed d#ring the 8/207s The reason for this growth is that 9resident Harding red#ced ta.es do"estica$$y, and increased tariffs on i"%orts to record $e&e$s 8/28 The -n&entor of the e$ectric $ight, Tho"as !dison, said in an artic$e %#b$ished in the Hew Nork Ti"es, on 1ece"ber 6, "If our nation can issue a dollar bond! it can issue a dollar bill. The element that makes the bond good! makes the bill good! also...It is absurd to say that our country can issue 7> million dollars in bonds and not 7> million dollars in currency. Both are promises to pay! but one promise fattens the usurers and the other helps the people." 8/22 9resident Theodore 'oose&e$t who died in 8/8/ was 4#oted in the March 2Ath edition of the Hew Nork Ti"es with the fo$$owing state"ent, "These International bankers and 2ockefeller;Standard <il interests control the ma&ority of newspapers and the columns of these newspapers to club into submission or dri e out of public office officials who refuse to do the bidding of the powerful corrupt cli(ues which compose the in isible go ernment." The reason the Hew Nork Ti"es ran this artic$e, was d#e to the Mayor of Hew Nork, *ohn Hy$an, who had been re%orted in the sa"e %a%er the %re&io#s day, March 26th, with the fo$$owing state"ent, "The warning of Theodore 2oose elt has much timeliness today! for the real menace of our republic is this in isible go ernment which like a giant octopus sprawls its slimy length o er city! state! and nation...It sei/es in its long and powerful tentacles our e"ecuti e officers! our legislati e bodies! our schools! our courts! our newspapers! and e ery agency created for the public protection...

To depart from mere generali/ations! let me say that at the head of this octopus are the 2ockefeller;Standard <il interest and a small group of powerful banking houses generally referred to as international bankers. This little coterie of powerful international bankers irtually run the ,nited States %o ernment for their own selfish purposes. They practically control both parties! write political platforms! make cats paws of party leaders! use the leading men of pri ate organi/ations! and resort to e ery de ice to place in nomination for high public office only such candidates as will be amenable to the dictates of corrupt big business ...these International Bankers and 2ockefeller;Standard <il interests control the ma&ority of newspapers and maga/ines in this country." 8/20 :n A#g#st 2nd, 9resident +arren Harding died on a train in "ysterio#s circ#"stances The ca#se was gi&en as either food %oisoning or a stroke a$tho#gh no a#to%sy was %erfor"ed He was s#cceeded by his Eice29resident Ca$&in Coo$idge 9resident Coo$idge contin#ed Harding7s ta. c#tting and tariff raising %o$icies This %o$icy was so s#ccessf#$ that the econo"y sti$$ contin#ed to grow, and the h#ge Federa$ 1ebt b#i$t #% d#ring +or$d +ar -, #nder Harding and Coo$idge was red#ced by 0); down to 86 bi$$ion do$$ars This was when the Federa$ 'eser&e started f$ooding the co#ntry with "oney, increasing the "oney s#%%$y by 62; 'e%resentati&e Char$es A Gindbergh =r stated, "The financial system...has been turned o er to...the )ederal 2eser e Board. That board administers the finance system by authority of ...a purely profiteering group. The system is pri ate! conducted for the sole purpose of obtaining the greatest possible profits! from the use of other people0s money." 8/2( =hort$y before his death this year, 9resident +oodrow +i$son "ade the fo$$owing state"ent in re$ation to his s#%%ort for the Federa$ 'eser&e, "I ha e unwittingly ruined my country." 8/2A -n *#$y, in !#ro%e, Bank of !ng$and 5o&ernor Montag# Hor"an, Ben,a"in =trong of the Federa$ 'eser&e Bank, and 1r H,a$"ar =chacht of the 'eichsbank, "et in conference Ho %#b$ic re%orts were e&er

"ade of these conferences, which ha%%ened on n#"ero#s occasions and were who$$y infor"a$, b#t which co&ered "any i"%ortant 4#estions of go$d "o&e"ents, the stabi$ity of wor$d trade, and wor$d econo"y Montag# Hor"an was obsessed with getting back the go$d that !ng$and had $ost to A"erica d#ring +or$d +ar - and ret#rning the Bank of !ng$and to its for"er %osition of do"inance in wor$d finance 'e%#b$ican Congress"an, Go#is T McFadden, Chair"an of the Ho#se Banking O C#rrency Co""ittee, fro" 8/20 to 8/08, wo#$d co""ent on this Bank of !ng$and %$an in the "idst of the 5reat 1e%ression in Febr#ary 8/08 when he stated, "I think it can hardly be disputed that the statesmen and financiers of #urope are ready to take almost any means to reac(uire rapidly the gold stock which #urope lost to 'merica as a result of World War I." 8/2/ -n A%ri$, 9a#$ +arb#rg sent o#t a secret warning to his friends that a co$$a%se and nationwide de%ression had been %$anned for $ater that year -t is certain$y no coincidence that the biogra%hies of a$$ the +a$$ =treet giants of that eraK *ohn 1 'ockefe$$erL * 9 MorganL *ose%h ?ennedyL Bernard Bar#chL et a$, a$$ "ar&e$ed at the fact these %eo%$e got o#t of the stock "arket co"%$ete$y ,#st before the crash and %#t their assets into cash or go$d =o, as a$$ the bankers and their friends a$ready knew, in A#g#st the Federa$ 'eser&e began to tighten the "oney s#%%$y Then on 2(th :ctober the big Hew Nork bankers ca$$ed in their 2( ho#r broker ca$$ $oans This "eant that both the stockbrokers and their c#sto"ers had to d#"% their stocks on the stock "arket to co&er their $oans, irres%ecti&e of what %rice they had to se$$ the" for As a res#$t of this the stock "arket crashed on a day that wo#$d go down in history as, >B$ack Th#rsday > -n his book, The 5reat Crash 8/2/, *ohn ?enneth 5ai$braith "akes the fo$$owing shocking state"ent, "'t the height of the selling fren/y Bernard Baruch brought Winston Churchill into the isitors gallery of the 1ew Cork Stock #"change to witness the panic and impress him with his power o er the wild e ents on the floor." 'e%#b$ican Congress"an, Go#is T McFadden, Chair"an of the Ho#se Banking O C#rrency Co""ittee, fro" 8/20 to 8/08, was as #s#a$

4#ite candid as to who was res%onsib$e

He stated of this crash,

"It was not accidental. It was a carefully contri ed occurrence...The international bankers sought to bring about a condition of despair here so that they might emerge as rulers of us all." C#rtis B 1a$$, the son2in2$aw of Frank$in 1e$ano 'oose&e$t, who was working for Geh"ann Brothers as a broker, on the f$oor of the Hew Nork =tock !.change, on the day of the crash, stated in his 8/6A book, F 1 ' My !.%$oited Father2-n2Gaw, "'ctually! it was the calculated 0shearing0 of the public by the World;*oney powers triggered by the planned sudden shortage of call money in the 1ew Cork *oney *arket." 1es%ite the c$ai"s of how the Federa$ 'eser&e wo#$d %rotect the co#ntry against de%ressions and inf$ation, they contin#ed to f#rther contract the "oney s#%%$y Between 8/2/ and 8/00, they red#ced the "oney s#%%$y by an additiona$ 00; !&en, Mi$ton Fried"an, the Hobe$ 9eace 9ri3e winning econo"ist stated the fo$$owing in a radio inter&iew in *an#ary 8//6, "The )ederal 2eser e definitely caused the %reat 5epression by contracting the amount of currency in circulation by one;third from 8969 to 8977." -n on$y a few weeks fro" the day of the crash, 0 bi$$ion do$$ars of wea$th &anished +ithin a year, (0 bi$$ion do$$ars of wea$th &anished Howe&er, it did not si"%$y disa%%ear, it ,#st ended #% conso$idated in fewer and fewer hands, as was %$anned An e.a"%$e of this is *ose%h 9 ?ennedy, *ohn F ?ennedy7s father -n 8/2/ he was worth ( "i$$ion do$$ars, in 8/0D that had increased to o&er 800 "i$$ion do$$ars This is why de%ressions are ca#sed As stated %re&io#s$y the to% bankers and their friends got o#t of the stock "arket and %#rchased go$d ,#st before the crash, which they shi%%ed o&er to Gondon This "eant that the "oney $ost by "ost A"ericans d#ring the crash didn7t ,#st &anish, it ,#st ended #% in these %eo%$e7s hands -t a$so was s%ent o&erseas, as whi$st the 5reat 1e%ression was occ#rring, "i$$ions of A"erican do$$ars was being s%ent on reb#i$ding 5er"any fro" da"age s#stained d#ring +or$d +ar -, in %re%aration for the bankers +or$d +ar -- 'e%#b$ican Go#is T McFadden, Chair"an of the Ho#se Banking O C#rrency Co""ittee fro" 8/20 to 8/08,

stated the fo$$owing in re$ation to this, "'fter World War I! %ermany fell into the hands of the %erman International Bankers. Those bankers bought her and now they own her! lock! stock! and barrel. They ha e purchased her industries! they ha e mortgages on her soil! they control her production! they control all her public utilities. The international %erman bankers ha e subsidi/ed the present %o ernment of %ermany and they ha e also supplied e ery dollar of the money 'dolph @itler has used in his la ish campaign to build up a threat to the go ernment of Bruening. When Bruening fails to obey the orders of the %erman International Bankers! @itler is brought forth to scare the %ermans into submission... Through the )ederal 2eser e Board o er 7> billion of dollars of 'merican money...has been pumped into %ermany...Cou ha e all heard of the spending that has taken place in %ermany ...modernistic dwellings! her great planetariums! her gymnasiums! her swimming pools! her fine public highways! her perfect factories. 'll this was done on our money. 'll this was gi en to %ermany through the )ederal 2eser e Board. The )ederal 2eser e Board...has pumped so many billions of dollars into %ermany that they dare not name the total." The "oney %#"%ed in to 5er"any to b#i$d her #% in %re%aration for +or$d +ar --, was into the 5er"an Thyssen banks which were affi$iated with the Harri"an interest in Hew Nork 8/00 The Bank for -nternationa$ =ett$e"ents BB-=C was estab$ished by Char$es 5 1awes B'othschi$d agent and Eice 9resident #nder 9resident Ca$&in Coo$idge fro" 8/2D28/2/C, :wen 1 No#ng B'othschi$d agent, fo#nder of 'CA and Chair"an of 5enera$ !$ectric fro" 8/22 #nti$ 8/0/C, and H,a$"ar =chacht of 5er"any B9resident of the 'eichsbankC The B-= is referred to the bankers as the, >Centra$ bank for the centra$ banks > +hereas the -MF and the +or$d Bank dea$ with go&ern"ents, the B-= dea$s on$y with other centra$ banks A$$ its "eetings are he$d in secret and in&o$&e the to% centra$ bankers fro" aro#nd the wor$d For e.a"%$e the for"er head of the Federa$ 'eser&e, A$an 5reens%an, wo#$d go to the B-= head4#arters in Base$, =wit3er$and, ten ti"es a year for these %ri&ate "eetings

The B-= a$so has the stat#s of a so&ereign %ower and is i""#ne fro" go&ern"enta$ contro$ A s#""ary of this i""#nity is $isted be$owK () 1i%$o"atic i""#nity for %ersons and what they carry with the" Bi e , di%$o"atic %o#chesC *) Ho ta.ation on any transactions, inc$#ding sa$aries %aid to e"%$oyees +) !"bassy2ty%e i""#nity for a$$ b#i$dings andPor offices o%erated by the B-= wor$dwide inc$#ding China and Me.ico ,) Ho o&ersight or know$edge of o%erations by any go&ern"ent a#thority, they are not a#dited -) Freedo" fro" i""igration restrictions .) Freedo" to encry%t any and a$$ co""#nications of any sort /) Freedo" fro" any $ega$ ,#risdiction, they e&en ha&e their own %o$ice force B-=7 c#rrent board of directors, on$y fi&e of which are e$ected and the rest of which are %er"anent, areK * Nout H 0 ! Wellink% &msterdam 1'hairman of the Board of 2irectors3 * Hans 4ietme#er% 5rankfurt am !ain 16ice7'hairman3 * &8el Weber% 5rankfurt am !ain * 6incenzo 2esario% Rome * &ntonio 5azio% Rome * 2a9id 2odge% :ttawa * 4oshihiko 5ukui% 4ok#o * 4imoth# 5 $eithner% New York * &lan $reens;an% Washington * Lord $eorge% London * Her9< Hannoun% Paris * 'hristian No#er% Paris * Lars Heikensten% "tockholm * !er9#n King% London * $u# =uaden% Brussels * >ean7Pierre Roth% ?@rich * &lfons 6icomte 6er;laetse% Brussels 5eorgetown 9rofessor and historian, Carro$$ F#ig$ey, co""ented on the creation of this centra$ bank in his 8/AD book, Tragedy And Ho%e, as fo$$ows, "The powers of financial capitalism had DaE far reaching DplanE! nothing less than to create a world system of financial control in

pri ate hands able to dominate the political system of each country and the economy of the world as a whole. This system was to be controlled in a feudalist fashion by the central banks of the world acting in concert! by secret agreements arri ed at in fre(uent meetings and conferences. The ape" of the system was to be the Bank )or International Settlements in Basel! Swit/erland DFE! a pri ate bank owned and controlled by the world0s central banks which were themsel es pri ate corporations. #ach central bank ...sought to dominate its go ernment by its ability to control treasury loans! to manipulate foreign e"changes! to influence the le el of economic acti ity in the Country! and to influence cooperati e politicians by subse(uent economic rewards in the business world." Q Ho"e of first +or$d Rionist Congress, chaired by Theodor Her3$ in 8)/A A handf#$ of 6nited =tates =enators $ed by Henry Cabot Godge, fo#ght to kee% the 6nited =tates o#t of the Bank for -nternationa$ =ett$e"ents Howe&er, e&en tho#ght the 6nited =tates re,ected this +or$d Centra$ Bank, the Federa$ 'eser&e sti$$ sent "e"bers to %artici%ate in its "eetings in =wit3er$and, right #% #nti$ 8//( when the 6nited =tates was, >officia$$y,> dragged into it 8/02 'e%#b$ican 'e%resentati&e Go#is T McFadden of 9ennsy$&ania, the For"er Chair"an of the Ho#se Banking O C#rrency Co""ission d#ring the great de%ression, states, "We ha e in this country one of the most corrupt institutions the world has e er known. I refer to the )ederal 2eser e Board...This e il institution has impo erished...the people of the ,nited States...and has practically bankrupted our go ernment. It has done this through...the corrupt practices of the moneyed ultures who control it." -n his fina$ year in office, 9resident Herbert Hoo&er %#ts forward a %$an to bai$ o#t the fai$ing banks, he see"ed to fee$ that they took %riority o&er "i$$ions of star&ing A"ericans, howe&er this %$an did not recei&e s#%%ort fro" the 1e"ocratic Congress Hoo&er7s 9residency fai$ing, Frank$in 1 'oose&e$t is e$ected 9resident $ater this year

8/00 :n March (th, d#ring his ina#g#ra$ address, 9resident 'oose&e$t "ade the fo$$owing state"ent, >9ractices of the #nscr#%#$o#s "oney changers stand indicted in the co#rt of %#b$ic o%inion, re,ected by the hearts and "inds of "en The "oney changers ha&e f$ed fro" their high seats in the te"%$e of o#r ci&i$i3ation > Howe&er, $ater that year, 9resident 'oose&e$t o#t$awed %ri&ate ownershi% of a$$ go$d b#$$ion and a$$ go$d coins with the e.ce%tion of rare coins Most of the go$d in the hands of the a&erage A"erican was in the for" of go$d coins and this decree by 'oose&e$t was effecti&e$y a confiscation -n s"a$$ town A"erica, the %eo%$e did not tr#st 'oose&e$t Howe&er, the %eo%$e were gi&en a si"%$e choice !ither t#rn in yo#r go$d and be %aid the officia$ %rice for it of, J20266 an o#nce, or yo# wi$$ be $iab$e for a J80,000 fine and a ten year %rison sentence This confiscation order was so #n%o%#$ar, it7s a#thor has ne&er been disco&ered Ho Congress"an e&er c$ai"ed ha&ing written it, 9resident 'oose&e$t stated he had not written it, nor had he e&en read it 'oose&e$t7s =ecretary of the Treas#ry, +i$$ia" H +oodin, c$ai"ed he7d ne&er read it either, b#t that it was, he stated, "What the e"perts wanted." - wonder to what, >e"perts,> he refers@ 8/0( -n its 20th *#ne iss#e, Hew Britain "aga3ine of Gondon %#b$ished a state"ent "ade by for"er British 9ri"e Minister 1a&id G$oyd 5eorge that, "Britain is the sla e of an international financial bloc." A$so in the artic$e was the fo$$owing words written by Gord Bryce, >5emocracy has no more persistent and insidious foe than money power ...(uestions regarding Bank of #ngland! its conduct and its ob&ects! are not allowed by the Speaker Bof the Ho#se of Co""onsC > Go#is T McFadden, 'e%#b$ican Congress"an and Chair"an of the Ho#se Banking O C#rrency Co""ittee fro" 8/20 to 8/08 stated,

"Through the )ed the people are losing their rights guaranteed to them by the Constitution ...common decency re(uires us to e"amine the public accounts of the go ernment and see what kind of crimes against the public welfare ha e been committed...the people of these ,nited States are being greatly wronged... # ery effort has been made by the )ed to conceal its powers;but truth is;the )ed has usurped the %o ernment...the sack of these ,nited States by the )ed is the greatest crime in history...what $ing e er robbed his sub&ect to such an e"tent as the )ed has robbed us...it is a monstrous thing for this great nation of people to ha e its destinies presided o er by a traitorous go ernment board acting in secret concert with international usurer. When the )ed was passed! the people of these ,nited States did not percei e that a world system was being set up here ...a super state controlled by international bankers! and international industrialists acting together to ensla e the world for their own pleasure." 8/0D A$$ the go$d he$d by A"erican citi3ens had fina$$y been t#rned in #nder 9resident 'oose&e$t7s 8/00 confiscation order at the %rice of J20266 an o#nce +itho#t e.%$anation the officia$ %rice of go$d was then raised to J0D %er o#nce The on$y catch was that on$y foreigners co#$d se$$ their go$d at the new higher %rice +here is the wor$d %rice of go$d set< =ince 8/8/, in the sa"e roo" of %ri&ate bank H M 'othschi$d O =ons in Gondon, at 88K00 a " , on a dai$y basis Therefore +arb#rg and his banking friends who %#t their "oney into go$d at J20266 before the stock "arket crash and shi%%ed it to Gondon, co#$d now shi% it back and se$$ it to the 6nited =tates 5o&ern"ent for the new higher %rice The "oney changers ha&e a go$den r#$e, "@e who has the gold! makes the rules." 9resident 'oose&e$t orders the b#i$ding of a new go$d b#$$ion de%ository to ho$d the &ast a"o#nt of go$d the 6nited =tates go&ern"ent had i$$ega$$y confiscated That de%ository was Fort ?no. 8/06 :n :ctober 0, 'e%#b$ican Congress"an, Go#is T McFadden, Chair"an of the Ho#se Banking O C#rrency Co""ittee, fro" 8/20 to 8/08, is %oisoned to death This was the third assassination atte"%t on his $ife, he had s#ffered an ear$ier %oisoning and had had shots fired at hi"

He had been trying for years to get the Federa$ 'eser&e, and as yo# wi$$ ha&e read th#s far, had "ade &ery re&ea$ing state"ents abo#t the Federa$ 'eser&e He had been warned to back off, b#t this great A"erican 9atriot, %#t the %eo%$e he re%resented before hi"se$f, as a$$ e$ected officia$s are s#%%osed to do, and was ki$$ed by the bankers as a res#$t 8/0A +ith Fort ?no. ha&ing been co"%$eted on$y the %re&io#s year, the go$d now began to f$ow into it 8/0) +ith the Federa$ 'eser&e ha&ing been in contro$ of the 6nited =tates econo"y for 2D years #nder the %rete.t of %ro"oting "onetary stabi$ity, it has ca#sed three "a,or econo"ic downt#rns inc$#ding the 5reat 1e%ression As Hobe$ 9ri3e winning econo"ist Mi$ton Fried"an %#t it, "The stock of money! prices and output was decidedly more unstable after the establishment of the 2eser e System than before. The most dramatic period of instability in output was! of course! the period between the two wars! which includes the se ere DmonetaryE contractions of 896>;68! 8969;77! and 897:;74. 1o other 6> year period in 'merican history contains as many as three such se ere contractions. This e idence persuades me that at least a third of the price rise during and &ust after World War I is attributable to the establishment of the )ederal 2eser e System...and that the se erity of each of the ma&or contractions ; 896>;68! 8969;77! and 897:;74 ; is directly attributable to acts of commission and omission by the 2eser e authorities... 'ny system which gi es so much power and so much discretion to a few men! DsoE that mistakes ; e"cusable or not ; can ha e such far reaching effects is a bad system. It is a bad system to belie ers in freedom &ust because it gi es a few men such power without any effecti e check by the body politic ; this is the key political argument against an independent central bank...To paraphrase Clemenceau money is much too serious a matter to be left to the central bankers." Mi$ton Fried"an wo#$d a$so state, "I know of no se ere depression! in any country or any time that was not accompanied by a sharp decline in the stock of money! and

e(ually of no sharp decline in the stock of money that was not accompanied by a se ere depression." 8/(8 =ir *osiah =ta"%, director of the Bank of !ng$and d#ring the years 8/2)28/(8, "ade the fo$$owing state"ent with regard to banking, "The modern banking system manufactures money out of nothing. The process is perhaps the most astounding piece of sleight of hand that was e er in ented. Banking was concei ed in ini(uity and born in sin. Bankers own the #arth. Take it away from them! but lea e them the power to create money! and with the flick of the pen they will create enough money to buy it back again... Take this great power away from them and all great fortunes like mine will disappear! and they ought to disappear! for then this would be a better and happier world to li e in. But if you want to continue to be sla es of the banks and pay the cost of your own sla ery! then let bankers continue to create money and control credit." 8/(( The 6nited =tates inco"e is r#nning at 8)0 bi$$ion do$$ars, yet 800 bi$$ion do$$ars is being s%ent on +or$d +ar -- This was thirty ti"es the s%ending rate d#ring +or$d +ar - Act#a$$y, it was the A"erican ta.%ayer that %icked #% DD; of the tota$ a$$ied cost of the war -n Bretton +oods, Hew Ha"%shire, the -nternationa$ Monetary F#nd B-MFC, and the +or$d Bank Binitia$$y ca$$ed the -nternationa$ Bank for 'econstr#ction and 1e&e$o%"ent or -B'1 2 the na"e, >+or$d Bank,> was not act#a$$y ado%ted #nti$ 8/ADC, were a%%ro&ed with f#$$ 6nited =tates %artici%ation The %rinci%a$ architects of the Bretton +oods syste", and hence the -MF, were Harry 1e.ter +hite and *ohn Maynard ?eynes -nteresting$y Harry 1e.ter +hite who died in 8/(6, was identified as a =o&iet s%y whose code na"e was, >*#rist,> on :ctober 86, 8/D0, in an FB- "e"o A$so, *ohn Maynard ?eynes was a British citi3en +hat these two bodies essentia$$y did, was re%eat on a wor$d sca$e what the Hationa$ Banking Act of 8)6(, and the Federa$ 'eser&e Act of 8/80 had estab$ished in the 6nited =tates They created a banking carte$ co"%rising the wor$d7s %ri&ate$y owned centra$ banks, which grad#a$$y ass#"ed the %ower to dictate credit %o$icies to the banks of a$$ nations

-n the sa"e way the Federa$ 'eser&e Act a#thori3ed the creation of a new nationa$ fiat c#rrency ca$$ed, Federa$ 'eser&e Hotes, the -MF has been gi&en the a#thority to iss#e a wor$d fiat "oney ca$$ed, >=%ecia$ 1rawing 'ights,> or =1'7s Me"ber nations were s#bse4#ent$y %ress#red into "aking their c#rrencies f#$$y e.changeab$e for =1'7s The -MF is contro$$ed by its board of go&ernors, which are either the heads of different centra$ banks, or the heads of the &ario#s nationa$ treas#ry de%art"ents who are do"inated by their centra$ banks A$so, the &oting %ower in the -MF gi&es the 6nited =tates and the 6nited ?ingdo" Bthe Federa$ 'eser&e and the Bank of !ng$andC, effecti&e contro$ of it 8/(D The second, >Geag#e :f Hations,> now rena"ed the, >6nited Hations,> was a%%ro&ed The bankers, +or$d +ar --, had been a s#ccess this ti"e as a res#$t of the %hysica$, e"otiona$, and "enta$ e.ha#stion the wor$d had fe$t after yet another +or$d +ar This b$#e%rint for wor$d go&ern"ent wo#$d soon ha&e its own internationa$ co#rt syste" as we$$ 8/(6 The Bank of !ng$and was nationa$i3ed, which "ight see" at first sight to be a far reaching "eas#re, b#t act#a$$y "ade $itt$e difference in %ractice Nes, the state did ac4#ire a$$ the shares in the Bank of !ng$and, they now be$ong to the Treas#ry and are he$d in tr#st by the Treas#ry =o$icitor Howe&er, the go&ern"ent had no "oney to %ay for the shares, so instead of recei&ing "oney for their shares, the shareho$ders were iss#ed with go&ern"ent stocks A$tho#gh the state now recei&ed the o%erating %rofits of the bank, this was offset by the fact that the go&ern"ent now had to %ay interest on the new stocks it had iss#ed to %ay for the shares =o, a$tho#gh the Bank of !ng$and is now state2owned, the fact is that the British "oney s#%%$y is once again a$"ost entire$y in %ri&ate hands, with /A; of it being in the for" of interest bearing $oans of one sort or another, created by %ri&ate co""ercia$ banks As a res#$t of this, the bank is $arge$y contro$$ed and r#n by those fro" the wor$d of co""ercia$ banking and con&entiona$ econo"ics The "e"bers of the Co#rt of 1irectors, who set %o$icy and o&ersee its f#nctions, are drawn a$"ost entire$y fro" the wor$d of banks, ins#rance, econo"ists and big b#siness

A$tho#gh the Bank of !ng$and is ca$$ed a centra$ bank it is now essentia$$y a reg#$atory body that s#%%orts and o&ersees the e.isting syste" -t is so"eti"es referred to as >the $ender of $ast resort,> in so far as one of its f#nctions as the bankers7 bank is to s#%%ort any bank or financia$ instit#tion that gets into diffic#$ties and s#ffers a r#n on its $i4#id assets -nteresting$y, in these circ#"stances, it is not ob$iged to disc$ose detai$s of any s#ch "eas#res, the reason being so as to a&oid a crisis in confidence 8/D0 !&ery nation in&o$&ed in +or$d +ar -- great$y "#$ti%$ied their debt Between 8/(0 and 8/D0, 6nited =tates Federa$ 1ebt went fro" (0 bi$$ion do$$ars to 2DA bi$$ion do$$ars, a D/); increase 1#ring that sa"e %eriod *a%anese debt increased by 8,0();, French debt increased by D)0;, and Canadian debt increased by (8A; *a"es 9a#$ +arb#rg a%%earing before the =enate on Ath Febr#ary states, "We shall ha e World %o ernment! whether or not we like it. The only (uestion is whether World %o ernment will be achie ed by con(uest or consent." This is when the centra$ bankers got to work on their %$an for g$oba$ go&ern"ent which started with a three ste% %$an to centra$i3e the econo"ic syste"s of the entire wor$d These ste%s wereK () Centra$ Bank do"ination of nationa$ econo"ies wor$dwide *) Centra$i3ed regiona$ econo"ies thro#gh s#%er states s#ch as the !#ro%ean 6nion, and regiona$ trade #nions s#ch as HAFTA +) Centra$i3e the +or$d !cono"y thro#gh a +or$d Centra$ Bank, a wor$d "oney, and ending nationa$ inde%endence thro#gh the abo$ition of a$$ tariffs by treaties $ike 5ATT 8/D0 9resident !isenhower orders an a#dit of Fort ?no. Fort ?no. is fo#nd to contain o&er A00 "i$$ion o#nces of go$d, A0; of a$$ the go$d in the wor$d A$tho#gh Federa$ Gaw re4#ires an ann#a$ %hysica$ a#dit of Fort ?no.7s go$d, it is #nder !isenhower7s %residency that the $ast a#dit is carried o#t, for reasons that wi$$ soon beco"e c$ear 8/60 9resident ?ennedy iss#es do$$ar bi$$s carrying a red sea$, and ca$$ed 6nited =tates Hote A $ot of %eo%$e be$ie&e he was a$ready %rinting his own debt free "oney and that is why he was ki$$ed, in "#ch the sa"e way as 9resident Ginco$n Howe&er, these 6nited =tates Hotes carrying the red sea$ were "ere$y a reiss#e of the

5reenbacks introd#ced by 9resident Ginco$n +hat co#$d ha&e been "oti&e tho#gh, is that on *#ne (, 9resident ?ennedy signed !.ec#ti&e :rder Ho 88880 that ret#rned to the 6nited =tates go&ern"ent the %ower to iss#e c#rrency, witho#t going thro#gh the Federa$ 'eser&e This order ga&e the Treas#ry the %ower to iss#e si$&er certificates against any si$&er b#$$ion, si$&er, or standard si$&er do$$ars in the Treas#ry This "eant that for e&ery o#nce of si$&er in the 6nited =tates Treas#ry7s &a#$t, the go&ern"ent co#$d introd#ce new debt free "oney into circ#$ation 8/6A Congress"an +right 9at"an, then the Chair"an :f The Ho#se Banking And C#rrency Co""ittee, stated in Congress, "In the ,nited States today! we ha e in effect two go ernments...We ha e the duly constituted go ernment...Then we ha e an independent! uncontrolled and uncoordinated go ernment in the )ederal 2eser e System! operating the money powers which are reser ed to Congress by the Constitution." 8/6/ Congress a%%ro&es $aws a#thori3ing the Federa$ 'eser&e to acce%t the -MF7s, >=1'7s,> as reser&es in the 6nited =tates and to iss#e Federa$ 'eser&e Hotes in e.change for =1'7s 8/A8 A$$ the %#re go$d had been secret$y "o&ed fro" Fort ?no., so$d to internationa$ "oney changers for the J0D %er o#nce %rice, and is be$ie&ed to now be ke%t in Gondon This is a$so when 9resident Hi.on re%ea$s 'oose&e$t7s 5o$d 'eser&e Act of 8/0(, a$$owing A"ericans to once again b#y go$d As a res#$t of this go$d %rices began to soar -n fact, / years $ater, in 8/)0, go$d so$d for J))0 %er o#nce, a staggering 2D ti"es what the go$d in Fort ?no. was so$d to the internationa$ bankers for 8/A( A Hew Nork %eriodica$ %#b$ishes an artic$e c$ai"ing that the 'ockefe$$er fa"i$y were "ani%#$ating the Federa$ 'eser&e for the %#r%ose of se$$ing off Fort ?no. go$d at bargain base"ent %rices to anony"o#s !#ro%ean s%ec#$ators 0 days after the %#b$ication of this story, its anony"o#s so#rce, $ong ti"e secretary to He$son 'ockefe$$er, Go#ise A#chinc$oss Boyer, "ysterio#s$y fe$$ to her death fro" the window of her ten storey a%art"ent b$ock in Hew Nork 8/AD !dith 'oose&e$t, the grand2da#ghter of 9resident Theodore 'oose&e$t 4#estioned the actions of the go&ern"ent in a March 8/AD

edition of the Hew Ha"%shire =#nday Hews, in which she stated, "'llegations of missing gold from our )ort $no" aults are being widely discussed in #uropean financial circles. But what is pu//ling is that the 'dministration is not hastening to demonstrate conclusi ely that there is no cause for concern o er our gold treasure! if indeed it is in a position to do so." The 6nited =tates go&ern"ent sti$$ did not #ndertake an a#dit of the go$d in Fort ?no. to 4#e$$ this s%ec#$ation 8/)8 +hen 9resident 'ona$d 'eagan took office, his conser&ati&e friends s#ggested to hi" that he ret#rn to a go$d standard, as a "eans to c#rbing go&ern"ent s%ending 9resident 'eagan was on board with this idea and so he a%%ointed a gro#% of "en ca$$ed the, >5o$d Co""ission,> to #ndertake a feasibi$ity st#dy and re%ort their findings back to Congress 8/)2 9resident 'eagan7s, >5o$d Co""ission,> re%orts back to Congress and "akes the fo$$owing shocking state"ent concerning go$d, "The ,. S. Treasury owned no gold at all. 'll the gold that was left in )ort $no" was now owned by the )ederal 2eser e! a group of pri ate bankers! as collateral against the 1ational 5ebt." 8/)0 -n order that !c#ador7s go&ern"ent be a$$owed a $oan of 8 D bi$$ion do$$ars fro" the -MF, they were forced to take o&er the #n%aid %ri&ate debts !c#ador7s e$ite owed to %ri&ate banks F#rther"ore in order to ens#re !c#ador co#$d %ay back this $oan, the -MF dictated %rice hikes in e$ectricity and other #ti$ities +hen that didn7t gi&e the -MF eno#gh cash they ordered !c#ador to sack 820,000 workers !c#ador were re4#ired to do a &ariety of things #nder a ti"etab$e i"%osed by the -MF These inc$#dedK raising the %rice of cooking gas by )0; by Ho&e"ber 8 2000L transferring the ownershi% of its biggest water syste" to foreign o%eratorsL granting British 9etro$e#" the rights to b#i$d and own an oi$ %i%e$ine o&er the AndesL and e$i"inating the ,obs of "ore workers and red#cing the wages of those re"aining by D0; 8/)D -n order to i$$#strate that the great "a,ority of "oney is not e&en %rinted these days, %$ease see the fo$$owing s%eech by the $ate Gord Beswick which a%%eared in HAH=A'1, 2Ath Ho&e"ber 8/)D, &o$

(6), co$#"ns /0D2/0/, #nder the tit$e, >Money =#%%$y and the 9ri&ate Banking =yste",> which states, ".ord Beswick rose to call attention to the statement made by the Chancellor of the 5uchy of .ancaster on 67rd Buly 894? that the 9G.9 per cent increase in money supply o er a fi e;year period has been created by the pri ate banking system and without %o ernment authorityH. The noble .ord said! 0*y .ords! on 8>th Bune this year I asked @er *a&estyIs %o ernment by what amount the money supply had increased in the fi e;year period to mid;'pril 894?. Interestingly! they ga e me the answer in percentages and not in pounds. @a ing gi en him prior notice! perhaps the *inister would be good enough later to gi e me the answer in money terms. The %o ernment reply on 8>th Bune was that the increase had been by 8>8.9 per cent! and that of that ery large amount only ? per cent was accounted for by the state minting of more coins and the printing of more notes. That 9G.9 per cent increase represented not only an enormous sum of money but also a crucially important factor in our economy. I wanted to know by whom it had been created! and on 67rd Buly I again asked @er *a&estyIs %o ernment to what e"tent this increase had %o ernment appro al. I was told by the Chancellor of the 5uchy! speaking for the %o ernment! 0The 9G.9 per cent represented new bank deposits created in the normal course of banking business and no %o ernment authority is necessary for this.0 @ad he said that some counterfeiter of coins or forger of notes had been at work there would of course ha e been an immediate and indignant outcry! yet here we ha e a go ernment statement that pri ate institutions ha e created this enormous amount of e"tra purchasing power and we are e"pected to accept that it is normal practice and that the go ernment authority does not come into it. When I asked whether we ought not to consider more deeply who was benefiting from this money;creating power! the *inister said that the implications! though interesting! were maybe too far reaching for Juestion Time! and so I raise the matter again in debate and hope to get more enlightenment. The issues are important! they are certainly under;discussed!

perhaps not ade(uately understood! and I hope that I am not being unduly unfair if I say that those who understand the mechanisms often do ery well out of them. I make no party pointK it is all much bigger and wider than that." Hotice how the Chance$$or of the 1#chy ga&e the ga"e away when he said that no go&ern"ent a#thority was needed for this %resent syste" of credit creating 8/)A !d"ond de 'othschi$d creates the +or$d Conser&ation Bank which is designed to transfer debts fro" third wor$d co#ntries to this bank and in ret#rn those co#ntries wo#$d gi&e $and to this bank This is designed so the 'othschi$ds can gain contro$ of the third wor$d which re%resents 00; of the $and s#rface of the !arth 8/)) The three ar"s of the +or$d Centra$ Bank, the +or$d Bank, the B-= and the -MF, now genera$$y referred to as the +or$d Centra$ Bank, thro#gh their B-= ar", re4#ire the wor$d7s bankers to raise their ca%ita$ and reser&es to ); of their $iabi$ities by 8//2 This increased ca%ita$ re4#ire"ent %#t an #%%er $i"it on fractiona$ reser&e $ending To raise the "oney, the wor$d7s bankers had to se$$ stocks which de%ressed their indi&id#a$ stock "arkets and began de%ressions in those co#ntries For e.a"%$e in *a%an, one of the co#ntries with the $owest ca%ita$ in reser&e, the &a$#e of its stock "arket crashed by D0;, and its co""ercia$ rea$ estate crashed by 60;, within two years The idea is for the -MF to create "ore and "ore =1'7s backed by nothing, in order for str#gg$ing nations to borrow the" These nations wi$$ then grad#a$$y co"e #nder the contro$ of the -MF as they str#gg$e to %ay the interest, and ha&e to borrow "ore and "ore The -MF wi$$ then decide which nations can borrow "ore and which wi$$ star&e They can a$so #se this as $e&erage to take state owned assets $ike #ti$ities as %ay"ent against the debt #nti$ they e&ent#a$$y own the nation states 8//8 At the Bi$derberg Conference on *#ne 6 to /, in Baden2Baden, 5er"any, 1a&id 'ockefe$$er "ade the fo$$owing state"ent, "We are grateful to the Washington 3ost! the 1ew Cork Times! Time *aga/ine! and other great publications whose directors ha e attended our meetings and respected their promises of discretion for almost A> years. It would ha e been impossible for us to de elop our plan for

the world! if we had been sub&ected to the lights of publicity during those years. But the world is now more sophisticated and prepared to march towards a world go ernment. The super;national so ereignty of an intellectual elite and world bankers is surely preferable to the national auto;determination practiced in past centuries." HoteK C$ick here for a Microsoft !.ce$ s%readsheet with a $ist of %eo%$e at the Bi$derberg Conferences 8//2 The third wor$d debtor nations who had borrowed fro" the +or$d Bank, %ay 8/) "i$$ion do$$ars "ore to the centra$ banks of the de&e$o%ed nations for +or$d Bank f#nded %#r%oses than they recei&e fro" the +or$d Bank This on$y goes to increase their %er"anent debt in e.change for te"%orary re$ief fro" %o&erty which is ca#sed by the %ay"ents on %rior $oans, the re%ay"ents of which a$ready e.ceed the a"o#nt of the new $oans This year Africa7s e.terna$ debt had reached 2/0 bi$$ion do$$ars, which is two and a ha$f ti"es greater than its $e&e$ in 8/)0, which has res#$ted in deterioration of schoo$s, deterioration of ho#sing, sky2 rocketing infant "orta$ity rates, a drastic downt#rn in the genera$ hea$th of the %eo%$e, and "ass #ne"%$oy"ent The +ashington Ti"es re%orts that '#ssian 9resident, Boris Ne$tsin, was #%set that "ost of the inco"ing foreign aid was being si%honed off, and he stated, "Straight back into the coffers of Western Banks in debt ser ice." This year A"erican ta.%ayers %ay the Federa$ 'eser&e 2)6 bi$$ion do$$ars in interest on debt the Federa$ 'eser&e %#rchased by %rinting "oney &irt#a$$y cost free 8//( The 'ega$ Act is introd#ced in the 6nited =tates to a#thori3e the re%$ace"ent of 9resident Ginco$n7s 5reenbacks with debt based notes They had $asted for 802 years 8//6 !&er wondered why a$$ the wor$d7s %rod#ction see"s to be "o&ing to China< -n a re%ort entit$ed, >China7s !cono"y Toward the 28st Cent#ry,> re$eased this year, it %redicts that the %er ca%ita inco"e in China in 2080, wi$$ be a%%ro.i"ate$y A0D do$$ars This is $ess than 00 do$$ars higher than the +or$d Bank definition of a $ow inco"e

co#ntry 8//A Gess than two "onths before Tony B$air ca"e to %ower in !ng$and, another interesting entry can be fo#nd in HAH=A'1, Dth March 8//A, &o$#"e DA), Ho 6), co$#"ns 8)6/28)A8, in which the !ar$ of Caithness is recorded as ha&ing stated, "The ne"t go ernment must grasp the nettle! accept their responsibility for controlling the money supply and change from our debt;based monetary system. *y .ords! will theyL If they do not! our monetary system will break us and the sorry legacy we are already lea ing our children will be a disaster." :n 6 May, on$y fo#r days after Tony B$air7s e$ection as 9ri"e Minister, his Chance$$or of the !.che4#er, 5ordon Brown, anno#nces he is going to gi&e f#$$ inde%endence fro" %o$itica$ contro$ to the Bank of !ng$and -n his 8//A book, The 5rand Chessboard, Rbigniew Br3e3inski re&ea$s that 5er"any is the $argest shareho$der in the +or$d Bank +hen yo# bear in "ind that bankers of the 'othschi$d b$ood$ine were said to own 5er"any, >$ock, stock and barre$,> at the end of +or$d +ar -, it is not diffic#$t to see who contro$s the +or$d Bank now 8//) The -MF e$i"inate food and f#e$ s#bsidies for the %oor in -ndonesia At the sa"e ti"e the -MF soaked #% tens of bi$$ions of do$$ars to sa&e -ndonesia7s financiers or rather the internationa$ banks fro" who" they had borrowed A doc#"ent $eaks o#t of the +or$d Bank, ca$$ed, >Master 9$an for Bra3i$ > -n it it s%e$$s o#t fi&e re4#ire"ents to ens#re a f$e.ib$e %#b$ic sector workforce These are as fo$$owsK * * * * * Reduce "alar#ABenefits Reduce Pensions ncrease Work Hours Reduce >ob "tabilit# Reduce 0m;lo#ment

8/// -n Bra3i$, 'io7s %ri&ati3ed e$ectric co"%any na"ed, >'io Gight,> is res%onsib$e for re%eated b$acko#ts in neighborhoods The co"%any b$a"es the weather in the 9acific :cean for the b$acko#ts, when 'io is on the At$antic The b$acko#ts wo#$dn7t ha&e anything to do with the fact that after %ri&ati3ation 'io Gight a.ed (0; of the co"%any7s workforce wo#$d it< Ho %rob$e" for 'io Gight, as a res#$t of that their

share %rice went #% 00; 2000 The -MF re4#ire Argentina to c#t the go&ern"ent b#dget deficit fro" its c#rrent JD 0 bi$$ion to J( 8 bi$$ion the fo$$owing year, 2008 At that %oint #ne"%$oy"ent was r#nning at 20; of the working %o%#$ation They then #%%ed the ante and de"anded an e$i"ination of the deficit The -MF had so"e ideas of how this co#$d be achie&ed C#t the go&ern"ent7s e"ergency e"%$oy"ent %rogra" fro" J200 a "onth to J860 a "onth They a$so asked for an across the board 82 2 8D; c#t in sa$aries for ci&i$ ser&ants and the c#tting of %ensions to the e$der$y by 80; By 1ece"ber of 2008, "idd$e c$ass Argentineans sick of $itera$$y h#nting the streets for garbage to eat, started b#rning down B#enos Aires -n *an#ary Argentina de&a$#ed the 9eso wi%ing o#t the &a$#e of "any co""on %eo%$e7s sa&ings acco#nts 1is"ayed that they can7t ra%e that co#ntry f#rther, *a"es +o$fensohn, 9resident of the +or$d Bank, states, "'lmost all ma&or utilities ha e been pri ati/ed." How do they contro$ the #nrest within the %o%#$ation< Get "e see, an Argentinean b#s dri&er, a thirty se&en year o$d father of fi&e, $ost his ,ob as a b#s dri&er fro" a co"%any that owed hi" / "onths %ay 1#ring a de"onstration against this and other in,#stices %er%etrated #%on hi" and the %o%#$ation, the "i$itary %o$ice shot hi" dead with a b#$$et thro#gh the head -n Tan3ania with a%%ro.i"ate$y 8 0 "i$$ion %eo%$e dying of A-1=, the +or$d Bank and the -MF decided to re4#ire Tan3ania to charge for what were %re&io#s$y free hos%ita$ a%%oint"ents They a$so ordered Tan3ania to charge schoo$ fees for their %re&io#s$y free ed#cation syste" then e.%ressed s#r%rise when schoo$ enro$"ent dro%%ed fro" )0; to 66; The -MF and +or$d Bank ha&e been in charge of Tan3ania7s econo"y since 8/)D d#ring which ti"e Tan3ania7s 519 dro%%ed fro" J00/ to J280 %er ca%ita, standards of $iteracy fe$$ and the rate of ab,ect %o&erty increased to en&e$o% D8; of the %o%#$ation +hen the -MF and +or$d Bank took charge in 8/)D, Tan3ania was a socia$ist nation -n *#ne 2000 the +or$d Bank re%orted arrogant$y, "<ne legacy of socialism is that most people continue to belie e the State has a fundamental role in promoting de elopment and pro iding

social ser ices." There is rioting in Bo$i&ia after the +or$d Bank drastica$$y increase the %rice of water The +or$d Bank c$ai" this is necessary to %ro&ide for des%erate$y needed re%airs and e.%ansion This is %o%%ycock, "y own water s#%%$ier is +esse. +ater, a %ri&ati3ed water co"%any that was act#a$$y owned by !nron@ =ince %ri&ati3ation B!ng$and was the first co#ntry to %ri&ati3e the %#b$ic water s#%%$yC, the 4#a$ity dro%%ed and the %rices e.%$oded A$"ost a$$ %ri&ati3ed water co"%anies in Britain ha&e consistent$y fai$ed to "eet go&ern"ent targets on $eakages 2008 9rofessor *ose%h =tig$it3, for"er Chief !cono"ist of the +or$d Bank, and for"er Chair"an of 9resident C$inton7s Co#nci$ of !cono"ic Ad&isers, goes %#b$ic o&er the +or$d Bank7s, >Fo#r =te% =trategy,> which is designed to ens$a&e nations to the bankers - s#""ari3e this be$ow, "te; :neB Pri9atization) This is act#a$$y where nationa$ $eaders are offered 80; co""issions to their secret =wiss bank acco#nts in e.change for the" tri""ing a few bi$$ion do$$ars off the sa$e %rice of nationa$ assets Bribery and corr#%tion, %#re and si"%$e "te; 4woB 'a;ital !arket Liberalization) This is the re%ea$ing any $aws that ta.es "oney going o&er its borders =tig$it3 ca$$s this the, >hot "oney,> cyc$e -nitia$$y cash co"es in fro" abroad to s%ec#$ate in rea$ estate and c#rrency, then when the econo"y in that co#ntry starts to $ook %ro"ising, this o#tside wea$th is %#$$ed straight o#t again, ca#sing the econo"y to co$$a%se The nation then re4#ires -MF he$% and the -MF %ro&ides it #nder the %rete.t that they raise interest rates anywhere fro" 00; to )0; This ha%%ened in -ndonesia and Bra3i$, a$so in other Asian and Gatin A"erican nations These higher interest rates conse4#ent$y i"%o&erish a co#ntry, de"o$ishing %ro%erty &a$#es, sa&aging ind#stria$ %rod#ction and draining nationa$ treas#ries "te; 4hreeB !arket Based Pricing)

This is where the %rices of food, water and do"estic gas are raised which %redictab$y $eads to socia$ #nrest in the res%ecti&e nation, now "ore co""on$y referred to as, >-MF 'iots > These riots ca#se the f$ight of ca%ita$ and go&ern"ent bankr#%tcies This benefits the foreign cor%orations as the nations re"aining assets can be %#rchased at rock botto" %rices "te; 5ourB 5ree 4rade) This is where internationa$ cor%orations b#rst into Asia, Gatin A"erica and Africa, whi$st at the sa"e ti"e !#ro%e and A"erica barricade their own "arkets against third wor$d agric#$t#re They a$so i"%ose e.tortionate tariffs which these co#ntries ha&e to %ay for branded %har"ace#tica$s, ca#sing soaring rates in death and disease There are a $ot of $osers in this syste", b#t a few winners 2 bankers -n fact the -MF and +or$d Bank ha&e "ade the sa$e of e$ectricity, water, te$e%hone and gas syste"s a condition of $oans to e&ery de&e$o%ing nation This is esti"ated at ( tri$$ion do$$ars of %#b$ic$y owned assets -n =e%te"ber of this year, 9rofessor *ose%h =tig$it3 is awarded the Hobe$ 9ri3e in econo"ics 2002 :n A%ri$ 82th e&ery "a,or %a%er in the 6=A r#ns a story that Eene3#e$an 9resident H#go Cha&e3 had resigned as he was, >#n%o%#$ar and dictatoria$ > -n fact he had been kidna%%ed #nder a co#%, where he was i"%risoned on an ar"y base Fo$$owing sy"%athy fro" the g#ards, the co#% fa$$s a%art and 9resident Cha&e3 is back in his office one day $ater -nteresting$y he has &ideo e&idence that whi$st he was i"%risoned on that base a 6nited =tates "i$itary attachS entered the base 9resident Cha&e3, de"oni3ed by the contro$$ed western "edia, gi&es "i$k and ho#sing to the %oor, and gi&es $and not #sed for %rod#ction by big %$antation owners for "ore than two years, to those witho#t $and His big cri"e howe&er, was in %assing a %etro$e#" $aw that do#b$ed the roya$ty ta.es fro" 86; to 00; on new oi$ disco&eries, which affected !..on Mobi$ and other internationa$ oi$ o%erators He a$so took f#$$ contro$ of the state oi$ co"%any, 91E=A, which before was no"ina$$y owned by the go&ern"ent, b#t in act#a$ fact was in thra$$ to these internationa$ oi$ o%erators Hot on$y that b#t 9resident Cha&e3 is a$so the 9resident of :9!C B:rgani3ation of 9etro$e#" !.%orting Co#ntriesC The "ain reason is, howe&er, that 9resident

Cha&e3 f#$$y re,ects the +or$d Bank7s, >Fo#r =te% =trategy,> and %$an to red#ce wages of the %eo%$e for the benefit of the bankers -ndeed 9resident Cha&e3 has increased the "ini"#" wage by 20;, which has increased the %#rchasing %ower of the $ower %aid workers and strengthened the econo"y His "inister, Mig#e$ B#sta"ante Madri3, f#$$y aware of the danger Eene3#e$a %oses to the bankers when %eo%$e contrast the fact it wo#$dn7t $et the" in, for e.a"%$e, with Argentina who did, stated, >A"erica can7t $et #s stay in %ower +e are an e.ce%tion to the new g$oba$i3ation order -f we s#cceed, we are an e.a"%$e to a$$ the A"ericas > 2006 A"erica and Britain is now at war in both Afghanistan and -ra4, and $ooking toward an in&asion of -ran As - "entioned before the greatest debt generator of the" a$$ is war This has %#shed A"erica to the brink of financia$ co$$a%se This ti"e$ine is intended as a record of the %ast, b#t before yo# $ook at the conc$#sions, yo# "ay $ike to $ook at one %erson7s %rediction for the near f#t#re in this "ind2b$owing artic$e Conc$#sions -n "y research, - ha&e disco&ered those critics who c#rrent$y conde"n the "onetary syste" a$"ost #ni&ersa$$y s#ggest that the on$y so$#tion is to restore a go$d backed c#rrency - don7t think any readers of this ti"e$ine can be in any do#bt, that s#ch a syste" wi$$ be o%en to ab#se by those &ery %eo%$e who ab#se it today -ndeed if we introd#ced a c#rrency backed by chairs, - be$ie&e we wo#$d find o#rse$&es with nothing to sit on@ The on$y "onetary syste" that see"s to ha&e worked in history is one which is backed by the goodwi$$ of a go&ern"ent and is debt free, s#ch as 9resident Ginco$n7s, >5reenbacks > Fort#nate$y, the Hobe$ 9eace 9ri3e winning econo"ist, Mi$ton Fried"an ca"e #% with an ingenio#s so$#tion of wresting back contro$ of the "oney s#%%$y fro" the bankers, %aying off a$$ o#tstanding debt, and %re&enting inf$ation or def$ation whi$st this %rocess is co"%$eted - s#""ari3e this be$ow 6sing A"erica as the e.a"%$e here, Fried"an s#ggests that debt free 6nited =tates notes be iss#ed to %ay off the 6nited =tates Bonds BdebtsC on the o%en "arket -n con,#nction with this, the reser&e re4#ire"ents of the day to day bank the reg#$ar %erson banks with, be %ro%ortiona$$y raised so the "o#nt of "oney in circ#$ation re"ains

constant As those %eo%$e ho$ding bonds are %aid off in 6nited =tates notes, they wi$$ de%osit the "oney in the bank they bank with, th#s "aking a&ai$ab$e the c#rrency then needed by these banks to increase their reser&es :nce a$$ these 6nited =tates bonds are %aid off with 6nited =tates notes, the banks wi$$ be at 800; reser&e banking instead of the fractiona$ reser&e syste" and then fractiona$ reser&e banking can be o#t$awed -f necessary, the re"aining $iabi$ities of financia$ instit#tions co#$d be ass#"ed or ac4#ired by the 6nited =tates go&ern"ent in a one2off o%eration Therefore these instit#tions wo#$d e&ent#a$$y be %aid off with 6nited =tates notes for the %#r%ose of kee%ing the tota$ "oney s#%%$y stab$e The Federa$ 'eser&e Act of 8/80 and the Hationa$ Banking Act of 8)6( "#st a$so be re%ea$ed and a$$ "onetary %ower transferred back to the Treas#ry 1e%art"ent The effects of this wi$$ be seen &ery soon by the a&erage %erson as their ta.es wo#$d start to go down as they wo#$d no $onger be %aying interest on debt based "oney to a handf#$ of centra$ bankers A $aw "#st be %assed to ens#re that no banker or any %erson in any way affi$iated with financia$ instit#tions, be a$$owed to reg#$ate banking A$so the 6nited =tates "#st withdraw fro" a$$ internationa$ debt based centra$ banking o%erations ie the -MFL the B-=L and the +or$d Bank -f a$$ the co#ntries of the wor$d ado%ted the conc$#sions abo&e, then h#"anity wi$$ at $ast be free of these centra$ bankers and their debt based c#rrency -t7s a $o&e$y idea, b#t first we ha&e to get it %ast o#r corr#%t %o$iticians "any of who" are 4#ite aware of the sca" that %$ays #s on a dai$y basis, howe&er rather than do the ,ob we ha&e e$ected the" to do, they kee% their "o#ths sh#t and instead $ook after the"se$&es and their fa"i$ies, whi$st the rest of #s contin#e to be e.%$oited >For what wi$$ it %rofit "en that a "ore %r#dent distrib#tion and #se of riches "ake it %ossib$e for the" to gain e&en the who$e wor$d, if thereby they s#ffer the $oss of their own so#$s< +hat wi$$ it %rofit to teach the" so#nd %rinci%$es in econo"ics, if they %er"it the"se$&es to be so swe%t away by se$fishness, by #nbrid$ed and sordid greed, that,
'hearing the Commandments of the Lord, they do all things contrary." Pope Pius XI

=o#rces
The Gife :f +i$$ia" !wart 5$adstone *ohn Mor$ey 8/00 =ecrets :f The Federa$ 'eser&e !#stace M#$$ins 8/D2 The 5reat Crash 8/2/ *ohn ?enneth 5ai$braith F 1 ' My !.%$oited Father2-n2Gaw 8/DD 8/6A Go#is T

C#rtis B 1a$$

Co$$ecti&e s%eeches of Congress"an Go#is T McFadden McFadden 8/A0 A Monetary History of the 6nited =tates, 8)6A28/60 Mi$ton Fried"an and Anna * =chwart3 8/A8

Hone 1are Ca$$ -t Cons%iracy 5ary A$$en 8/A2 Tragedy O Ho%eK A History of the +or$d in :#r Ti"e Carro$$ F#ig$ey 8/AD The Tr#th in Money Book +arner 8/)( Theodore ' Thoren and 'ichard F 8//A

The 5rand Chessboard Rbigniew Br3e3inski

The Creat#re fro" *eky$$ -s$andK A =econd Gook at the Federa$ 'eser&e 2 0rd !dition 5 !dward 5riffin 8//) The Money Changers 9atrick = * Car"ack 8//)

The =hadows of 9owerK The Co#nci$ on Foreign 'e$ations and the A"erican 1ec$ine 2 2002 !dition *a"es 9er$off 2002 5$oba$i3ation and -ts 1iscontents *ose%h ! =tig$it3 2000