April 2, 2004
Sol Palha & Janice Dorn, Antal E.
Fekete, Alan Lunt,
Art Soukup, Gale Bullock,
and Janice Dorn
Round Table” contributors discuss THE FED.
Who REALLY owns
the Federal Reserve? How did it originate and how has it
evolved? Is it a good thing for the people of the United
States or not?
Palha & Janice Dorn M.D., Ph.D.
Proprietor & Contributor
I won’t waste
too much time dealing with who the Fed is or how they were
created, but I am going to spend more time dealing with the
last part of the Question. Is the Fed good for the people?
There is a great site that can answer the first two parts of
the question. I am going to put a link to this site.
A banker is a fellow who lends his umbrella when the sun
and wants it back the minute it begins to rain.
Mark Twain 1835-1910, American Humorist, Writer
THE FEDERAL RESERVE: LOVE IT, HATE IT, BUT NEVER TAKE
YOUR EYES OFF OF IT.
It is rumored
that Alan Greenspan (Chairman of the Federal Reserve) spends
two hours every morning soaking in a tub while he pours over
economic data. A photograph from the book "Maestro:
Greenspan's Fed and the American Boom" by Bob Woodward,
shows Mr. Greenspan working in his office where, on a calm
day, he checks 50 charts every half hour. The charts relate
to the bond market, the Dow, the foreign currency markets,
gold and oil prices. Alan Greenspan is 78 years old, and has
been Fed Chairman since age 61 when he was appointed by
Ronald Reagan. Whether you approve or disapprove of Mr.
Greenspan's ideas and policy making decisions, you have
to admire his longevity, tenacity and devotion to his work.
How many of us would think about reading economic data while
soaking in the bathtub? Sports Illustrated Swim Suit
edition, or Playboy or even a novel, perhaps? But economic
statistics? We don't think so.
is a target. He is targeted by economists, many of whom
have, as their raison d'être, interminable discussions of
inflation vs. deflation vs. stagflation. In a March 29, 2004
article from the Financial Times, renowned economist Marc
Faber accuses Mr. Greenspan of creating" a series of bubbles
in the U.S. economy, the New Zealand and Australian dollar,
emerging market debts, government bonds, commodities,
emerging market equities and capital spending in China" and
warns of impending deflationary collapse. Others say that we
are headed for runaway inflation. Everyone has an opinion
and the debate rages on.
Good bankers, like good
tea, can only be appreciated when they are in hot water...
Mr. Greenspan is target by market
pundits who dissect and parse his every phrase. He is
ridiculed and called names such as E-Z Al, Sir Greenspin,
Alan Green Kool-Aid, etc. Endless streams of verbiage spew
from business television networks on the days before and
after that the Fed meeting. Market participants wait with
baited breath as that same old picture of Mr. Greenspan in
what appears to be the old same suit, carrying the same
old briefcase and walking down the same old street is shown
over and over. Waiting on the Fed. Fed day. Major drama in
So much drama,
in fact, that the market almost seems to go into a state of
suspended animation just before the meeting's minutes are
released. The moment the pronouncement on interest rates is
made, the markets appear to convulse and flail as if thrown
into a state of chaos. This is high drama played out in the
financial area. Then, after a while, the reactions settle
down, and markets are back to “normal." We move on with the
knowledge that this same scene will be enacted during the
next Fed meeting. Like a bad hangover, we are subjected to
endless discussions of what Mr. Greenspan said, what Mr.
Greenspan meant, what Mr. Greenspan might have been implying
or what Mr. Greenspan might say the next time. One such
example was the ad nauseum interpretation of the meaning of
the phrase:" we will be accommodative for a considerable
period of time." This particular utterance was
dissected, vivisected and bantered about for weeks. One
cannot help but be reminded of similar discussions, albeit
on another topic, which occurred surrounding of the meaning
of the word "is" which played out in a previous political
drama and filled up countless hours of TV and radio air
If I care to listen to every
criticism, let alone act on them, then this shop may as well
be closed for all other businesses. I have learned to do my
best, and if the end result is good then I do not care for
any criticism, but if the end result is not good, then even
the praise of ten angels would not make the difference...
What is the
point of all of this? Other than entertainment value and
slotting the time on business TV and radio, this is yet
another opportunity for people to either embrace Mr.
Greenspan and his ideas or to continue the criticism of Mr.
Greenspan and his policies. It never changes. The supporters
stay the same and get more vociferous. The critics stay the
same and get more vociferous. In the end, everyone pretty
much knew what was going to happen, (the markets anticipate
everything anyway) so the whole thing was a non-event. Chaos
in the markets, commentators spouting predictions, rampant
speculation--all for a non-event. This is the way it is, it
is what it is and it will be so until it changes (not
So be it.
So why do we
care at all about the Federal Reserve, Mr. Greenspan and
policy? We are not advocates for nor fans of Mr. Greenspan.
We are not economists, nor do we cater to any cults of
personality. Rather, we are students of market philosophy
and psychology and our mission is to empower individual
investors to strengthen, enrich and protect their personal
and financial foundations.
Whoever controls the volume of
money in any country is
absolute master of all industry and commerce...
President James A. Garfield
from Bob Woodward: "The title of this book,
Maestro, was chosen carefully, and was intended to
convey that Greenspan is conducting the orchestra but does
not play an instrument. He sets the conditions for the
players to play well, if, they choose to do so and if they
That is the
point we are making here. It doesn't matter at all what the
Fed does or does not do. It only matters if you are ready
with your instrument in tune and ready to perform. It's up
to you to make the decisions about what to do with your
money. AND--the Fed can help you make those choices.
reality is that 90% or so of investors lose money in the
stock market. So taking it one step further, why don’t we
examine the issue backwards and ask the question does anyone
benefit from the Feds actions. The answer is a resounding
yes. The Gold bugs have profited enormously from Fed action
over the past few year. The fact that all of you are looking
for higher prices, means you want the Fed to continue with
their inflationary actions and keep increasing the money
supply. Those of you who jumped on the gold bull bandwagon
and "followed the money train" have made in excess of 600%
on some of your gold and silver shares. Are you ready to
give all those gains back in return for a Gold standard?
Remember that your purchasing power has increased several
times over. The price of most goods has not gone up as much
as your shares. So this inflationary process has been one
that has rewarded you tremendously.
How about real
estate? Those of you who were smart enough to correlate
extremely low interest rates with higher property prices
made a fortune if you bought real estate from 1999-2001.
there are those who made bags of money by going short the US
dollar and the list goes on and on. So the real question
should be is do we really care if the Fed is good for the
People of America or are we more concerned with the issue of
is the Fed good for me or not. There are many individuals
out there, who will state that the Fed has been nothing but
good for them as far as their financial health is concerned.
think that if we were to get rid of the feds, some other
rotten evil force would replace them, as human nature still
has not changed. The desire to get everything for nothing is
still within most of us and until that desire is eliminated
or controlled, getting rid of a group of individuals, will
do nothing but temporarily stop the problem.
The desire to
get everything for nothing is everywhere. Just look at the
frivolous law suits being raised. One of the most incredible
ones to date was when this individual won several million
dollars against McDonalds because she spilled coffee on
herself. What was her excuse? She stated that they did not
put a label stating that the coffee was hot; otherwise she
would have been more careful.
would like nothing better than to see the abolishment of the
Fed and a return to some sort of Gold standard, where the
amount of money that governments are allowed to print is
limited by the amount of gold at hand. I don’t think that
getting rid of the Fed will cure anything right now.
Corruption, greed and the “me only principal” rule
everything now. As the world stands if we were to get rid of
this bunch of devils, we will simply open a power vacuum,
where all the other sharks out there will try to rip
everyone to pieces in their quest to get it all. At least
for the moment we have one foe as opposed to a bunch of
little nefarious evil miscreants.
How often have you heard:
"Don't fight the Fed?"
What kind of a message is that anyway? If we aren't
supposed to fight, what are we supposed to do? The message
"Don't Fight the Fed"
implies that one should do nothing. Just run away or wait
for the Fed to run over them. We propose to change this to
WITH THE FED."
That is a positive message because it requires that we do
something. Respond, don't react. Do something. Go with the
Fed and make money by following the money. Make money by
being positive and going with the trend. The most money in
the markets is made by identifying major tends, be they
bullish or bearish and riding them to their natural, highly
This is not a
moral, ethical or political discussion. This is not about
liking someone or something or hoping and wishing for events
to occur. Naturally, we care about the future and the fate
of the world and world markets and humanity. However, our
goal as investors is to make money. For that reason, it is
unimportant to us if policies are inflationary or
deflationary. We are concerned with taking up our
instruments, making certain that they are tuned, and getting
ready to play as soon as the Maestro raises his baton. We
care that each of you is prepared to do this, ready for any
change in pitch or intonation or rhythm. We want you to
listen to the music of the markets, watch the Maestro
closely and prepare to be carried away by the music. You may
find yourself immersed seamlessly in a beautiful and most
You are the music while
the music lasts...
T. S. Elliot
was jointly written by Sol Palha and Janice Dorn, M.D.,
© 2004 Sol Palha & Janice Dorn,
Memorial University of Newfoundland
St. John’s, Canada, A1C 5S7
Reserve System (Fed), the guardian and advocate of the
regime of the irredeemable dollar, is very different from
the Fed as it was created by Congress in 1913 at a time when
no sane man would have questioned the legitimacy or even the
indispensability of the gold standard. The Fed was set up to
provide an elastic currency for the United States that
flowed and ebbed together with commerce, industry, and
agriculture which, according to Adam Smith’s “Real Bills
Doctrine”, was fully compatible with a gold standard. The
Fed was conceived as a commercial paper system. Assets
balancing the note and deposit liabilities of the Federal
Reserve banks were supposed to be no less than 35 percent
gold, with real bills (also known as self-liquidating bills
of exchange) making up the rest. Treasury bonds could only
be held in the asset portfolio if a penalty tax was paid,
which provided a powerful incentive to replace them with
real bills at the first opportunity. The alternative was,
horribile dictu, the contraction of credit.
preposterous to suggest that the Fed, as it exists today,
has come about through evolution rather than revolution. In
fact, the change has involved nothing less than the
overthrowing of the U.S. Constitution making it incumbent
upon the federal government to establish the U.S. Mint and
to keep it open for the free and unlimited coinage of gold
and silver by the people. In this way the Constitution has
delegated the power of creating money directly to the
people. It is this power that, as a result of the
revolution, is now usurped by the Fed. As all usurpers, the
Fed is a law unto itself that tolerates no restriction on
who really owns the Fed, no less than the question who
really owns the gold confiscated from the people in 1933 and
now held at Fort Knox, with gold certificates against it
held by the Fed, is a red herring. The Fed is nominally
owned by its member banks, but its modus operandi
betrays the truth. After the gold standard was destroyed by
the U.S. government, the Fed has been hijacked by a clique
that runs it without any regard to ownership, the
Constitution, the law or, for that matter, to the vital
interests of the American people.
justify this outrageous claim by discussing the real
question how the earnings of the Federal Reserve banks are
disposed in violation of the law. The Federal Reserve Act,
Section 7 (as amended, June 16, 1933) mandates that the net
earnings of each Federal Reserve bank be paid into the
surplus account of that bank. Note that this provision does
not add to the profits of the member banks, which is limited
by law to 6 percent per annum of the value of their paid up
stock. It merely strengthens the capital structure of the
Federal Reserve banks and, therefore, increases their
capacity to serve commerce, industry, and agriculture. The
law as it stands does not allow the U.S. Treasury to
participate in the earnings of the Federal Reserve banks.
Yet in 1947
Fed Chairman Marriner Eccles set a precedent, establishing a
practice that has continued year after year down to this
day, to hand over 90 percent of net earnings to the U.S.
Treasury. Instead of presenting to Congress a proposal for
amendment of the Federal Reserve Act, as proper procedure
required, Chairman Eccles decided to violate the law and to
dissipate the earnings of the Federal Reserve banks.
issue makes this official violation of the law particularly
significant. The bulk of the Federal Reserve banks’ assets,
contrary to the original intention to run the Fed as a
commercial paper system, are Treasury bonds. The bulk of
their earnings are interest income derived from Treasury
bonds. Most of these interest payments are quietly and
illegally refunded to the Treasury. Thus the assets backing
Federal Reserve notes are, for the most part,
non-interest-bearing Treasury bonds or “strips”, the value
of which is grossly overstated in the balance sheet. The
interposition of the Fed between the U.S. Treasury and the
public in the money-creating process is a sham. The “open
market operations” of the Fed is a sham. The dollar is being
created in violation of the law, by pure fiat, at the whim
of appointed officials arrogating unlimited power to
themselves; this in a republic where government is supposed
to be based on limited and enumerated powers. The roundabout
nature of the dollar-creating process serves the purpose of
fooling people. The Fed could very well be abolished, and
the U.S. Treasury could issue fiat dollars directly,
reducing the budget deficit of the federal government in the
process. If it doesn’t, it is because it wants to pull the
wool over the eyes of the public. It wants to maintain the
pretense that a central bank independent of the government
does the issuing as dictated by market forces. Hereby the
true fiat nature of the dollar is revealed. Only simpletons
believe that there are solid assets backing the dollar.
A Tale of
market has been turned into a casino. The gamblers are bond
speculators, including all the major banks. The manager of
the casino has hired twelve “shills” who play and win big at
the gaming tables in order to perk up gambling spirit and to
keep it high. At the end of the day the shills must return
their winnings to the owner of the casino. These shills are
none other than the twelve Federal Reserve banks.
of Treasury bonds is maintained through fraud. Today nobody
in his right mind would hold his savings in bonds, as was
the case before 1913 when the rate of interest and bond
prices were stable and, hence, bond speculation was
non-existent. Thus the logical basis of the value of bonds
has been shattered. In the present environment the value of
Treasury bonds is maintained by virtue of letting them serve
as chips at the casino. People have to buy them if they want
to play. As more and more chips are issued, the shills must
become more and more active to prevent gambling spirit from
sagging. The fraud of pretending that Treasury bonds have
any real value at all, and that the destiny of the
underlying debt is to be paid, is exposed. If it wasn’t for
the $100 trillion derivatives markets in bond futures and
options, Treasury bonds would become worthless, and so would
the dollar. These derivatives markets must spin ever faster
in order to keep the value of Treasury bonds from
collapsing. The shills can postpone the day of reckoning but
cannot avoid it. Messrs. Greenspan and Bernanke could be
reckless in using the printing press, as they have publicly
said that they would do, but that should only make the
dénouement, whenever it came, even more horrible.
© 2004 Antal
FSO Expert Page
Others writing on this topic will have
stated the facts as
G. Edward Griffin laid them out in the excellent book
"The Creature from Jekyll Island." Suffice to say that
Aldrich hoodwinked Congress and set in motion the founding
of the Fed. What interests me is how the Fed policies in
America affect the globe, and American nationals in the
I suspect that
the Fed was a long term plan created by the moneymen, for
the benefit of the moneymen, to the detriment of the common
man. So I will skip the first part and go on to the piece
about how the Fed affects people.
The Federal Reserve of the USA is nothing
more than a modern day "Merlin the Magician", a conjuror, an
illusionist and a manipulator. What the Fed does is
interrupt the natural cycles by tightening then loosening
monetary policy. If it did not do one then it could not do
the other. Like Merlin, Alan Greenspan and his sidekick Ben
use fresh air to make money. That money is valueless, but
because it smells like money, acts like money and looks like
money, the existing money pool is diluted, it is
counterfeit. The illusion is that we are better off
financially. Poppycock!!!! We, you and me, are being raped
of our savings, but at the same time are holding more
assets. What an illusion. The illusion is wealth. The effect
Aldrich's plan to part us all from our money, if so it seems
to be working. The printing press money is debt creation,
that is the only way money can come into existence. But the
problem is further compounded by the fractional reserve
banking system whereby the money issued is loaned out in
multiples. What happens when the banks want that money back?
You got it, a credit squeeze.
The interesting thing is, as I see it,
that the money has not all stayed in America. The carry
trade and speculation has created a flight of newly printed
money to offshore. This is born out by the spectacular
performance of the currencies of commodity nations. Far and
beyond what is reasonable. In the case of New Zealand
lending to primary production has remained fairly static,
but lending to the consumer has surged ahead. The basis of
wealth is production, and the policies of the Fed is
curtailing production in foreign lands. (Except China where
the currencies are linked.) The effect is that the business
cycle is interrupted offshore. That is the long arm of the
Fed working. There is nothing our Government or Central Bank
can do to stop it, we are at the mercy of the Fed and the
printing press. The Fed has deemed it that all other nations
will have a strong dollar policy whether they want it
or not. Natural transitions that take years are now taking
months, there is no way any producer can adjust or plan in
such an environment. All they can do is batten down the
The Fed seems
to be the banker to the world. To have so much power
residing in one place is not a good thing. As George Orwell
said, "All power corrupts, absolute power corrupt
absolutely". The owners of the Fed are out to get your
money. Be prudent, don't willingly give it to them. On a
global scale I will use Jim Puplava's words, this has the
makings of a "Perfect Financial Storm". All created by
Greenspan's Federal Reserve.
yourselves now, buy as much gold and silver as you possibly
can. All other money is going to be trash when people wake
up to what inflation really is.
© 2004 Alan Lunt
Edmonton, Washington USA
The question of the Federal
Reserve Bank is an important one. When trying to
communicate, it is necessary to agree on the basic facts. If
I believe point A is north and you think it is south, there
is no point in talking about the best way to get there.
The following facts are easily
verifiable in various books and many other sources. If you
have never spent any time looking at alternative and other
sources of information, you are probably not aware of these
facts. Assuming this information is true, what effect it has
on the country is for each to decide on their own.
Firstly, the Fed is not federal
in any sense of the word. It is a PRIVATE COMPANY. It
consists of twelve Central banks owned by international
bankers in Europe and New York. They are all connected to
the Rothchild banking interests centered in London. However,
it actually makes no difference who the owners are. The
effect on the world and us is the same.
As far as Reserve is concerned,
they can print as much money as they want any time they
want. Other than that, I am not sure what reserves they
really have. Certainly none that are guaranteed.
The Federal Reserve Bank was
formed in 1913 on Jekyll Island, Georgia. In top secret
meetings, where some of the participants arrived in
disguise, chief architect Paul Warburg, along with other
international bankers plotted the creation of a national
bank. While Congress was on vacation, using their vast
influence, it was passed into law.
I do not think this bank is
different from other central national banks in the past,
like those opposed by Andrew Jackson and Thomas Jefferson.
The purpose of the banks is to create money with no backing,
by either printing or computer blips. That money is then
loaned out with interest. The banks have no interest in you
paying back the loan. The worthless money you borrowed is
worthless to them. The idea is to have you contractually
obligated to them, hopefully not being able to pay back the
loan, under threat of imprisonment, taking from you real
value, your tangible assets.
The same thing occurs at all
levels. Internationally through the IMF and World Bank,
poorer countries are put into debt that they cannot repay.
For relief of some of the debt, the bank takes over the
land, resources and labor. Nationally, the Fed has our
government indebted to them, and locally banks have the same
relationship to individuals.
If the country
wants to be in the banking business, creating money and
loaning it with interest, why doesn't the government print
the money itself. That alone would be a savings of billions
of dollars to the citizens.
Obviously, at one point, the debt
to the Fed will officially not be repaid. What will happen
then? For those taking the equity out of your homes and
spending money you do not have, beware. Perhaps, owning
gold, silver, other precious metals, and tangible items is
one of the better strategies to have.
© 2004 Chuck Cornell
some research on this very subject a long time ago. All of
the found answers shocked me. The shock is caused by finding
out that the "History" or "Civics" class that you were
probably taught in school did not tell the whole story.
Therefore, you may wish to slow up on the publication date,
to allow for plenty of reading time (a couple of months or
so) and then plenty of pondering time (a couple of years or
so), because it has very, very, deep implications because
there is a lot more to the story. I have put some links at
the very end. When you have read them, it would bee a good
idea to save a copy as "web page complete". Just in case
they vanish. It’s up to you, of course. Still... it is hard
to learn, without the correct data, so here is some input
for your article. Thread it together as you see fit....
something like, Wow look what I discovered while surfing the
data is the definitions of three words, "issue", "issued",
"rent”; and "something said" in a pdf file that I dug up on
the net. It’s important to not look at the pdf file. (Just
save it for now.)
AFTER you have studied the words. So going a little deeper
we need an understanding of the words as follows:
IMPORTANCE of the words "issue" and "issued" and "rent."
A web link to the definitions:
you get there look at the definitions for the word "issue”
as a NOUN, as a past participle, and as a verb tense.
Guiding insight: I have picked a few of the definitions out
to point your mind along a certain thought thread of
thinking. Guiding insight: I have changed certain phrases to
all UPPER CASE to serve as focus and pivot points of the
mind. Inserted insight: I have inserted a few thoughts along
the way. definitions numbers ” issue n 1: an important
question that is in DISPUTE and MUST BE settled;...." "2.
The ACT of sending out ... the issue of money from a
Hmmm.... Congress is always passing an "ACT" via HR (House
Res) or HB (House bill). If you watch c-span for a long
time, you notice something, ... some strange words sometimes
at the end of the reading done by the Clerk of the House on
a great many of the acts. It goes something like this. The
Clerk of the House reads the act. Clerk speaking: "HR-1234
An ACT to establish landing ponds for migrating birds
along migration paths,...bla,bla,bla,....increases public
safety...bla,bla,bla... AND FOR OTHER PURPOSES."
never seem to dig out just what the "OTHER PURPOSES" are. I
have tried. Maybe I am looking in the wrong place. Then
Congress votes and we go into the hole deeper.
Clearly, there is something going on here; things that are
announced and things that are secret (the OTHER PURPOSES
\Is"sue\, v. t.
“1. To send out; to put into circulation; as, to ISSUE NOTES
FROM A BANK."
point in DEBATE or controversy on which the parties take
affirmative and negative positions; a presentation
of alternatives between which to choose or decide."
DEBATE.... Hmmmmm. Like "The Declaration on Independence."
the ACT of issuing printed materials [syn: publication]
ACT...Hmmmm. like when they issue Federal reserve notes, a
form of publication. "v 1: prepare and issue for public
distribution or sale; "publish a magazine or newspaper"
[syn: publish, bring out, put out, release]"
income arising from land or OTHER PROPERTY; "the average
return was about 5%" [syn: RETURN, proceeds, TAKE, TAKINGS,
yield, PAYOFF]" TAKINGS....Hmmmm...Like when they take your
income through taxation.
IMPORTANCE of the word "RENT":
GRANT use of OCCUPATION of under a term of CONTRACT; "I am
leasing my country estate to some foreigners" [syn: lease,
let] GRANT Hmmm... sounds like some kind of treaty to me.
OCCUPATION under CONTACT Hmmm... Like "The Declaration of
Independence," FOLLOWED by some treaties, then the
Constitution of the United States.
charge (Law), a rent reserved on a conveyance of land in
free simple, or granted out of lands by deed; --- so called
because, by a COVENANT or CLAUSE in the deed of conveyance,
the land is CHARGED with a DISTRESS for the payment of it.
-- Bouvier." Hmmm... Wonder if a covenant is a treaty???
"Rent (Isa. 3:24), probably a rope, as rendered in the LXX.
and Vulgate and Revised Version, or as some prefer
interpreting the phrase, "girdle and robe are torn [i.e.,
are 'a rent'] by the hand of violence."
that, Right from ISAIAH number 3 statement number 24. Actual
shall come to pass, that instead of a sweet smell there
shall be a STINK; and instead of an ornamental girdle, a
worker's apron; and instead of curled hair, baldness; and
instead of purple robes, a girding of sack-cloth; for their
beauty shall be destroyed." Hmmmm. Purple robes, long white
curly hair wigs, barrister court...
"Something" is issued, the issuer still deems ownership, and
can RENT its use through an internal re-venue service;” I am
leasing my country estate to some foreigners"; because "it
is just a hobby."
IMPORTANCE of the attached pdf file.
attached pdf file (filename opnot0004.pdf) you will find
"some strange words" on page 6 of 48 pages. The words start
with: "(vi) .....debt ISSUED BY ....." Amazing!!!! You now
KNOW who owns the debt as in” This note is legal tender, for
all debts public and private"
title has four questions. It probably should have five
questions; with question number five being: "Is it a good
thing for the people of The United States of America, or
a small thumbnail picture, permit me to re-paint your
article title with the fifth question added to the title.
REALLY owns the Federal Reserve?
[Answer] Via the Bank of England, the Queen of
England, via the house of Windsor.
did it originate?"
[Answer] Continuation of the money changers in the temple
that J.C. got angry about, which set the origin of the first
common wealth. And how has it evolved? [Answer] skipping
over tons and tons of back data, the current events are:
it a good thing for the people of the United States or
[Answer] Yes, but only for a while longer.
it a good thing for the people of The United States of
America, or not?"
[Answer] No, but only for a while longer. "The United
States" and "The United States of America" are two groups of
are the links that you should save a copy of, maybe print
out and discuss.
A MASSIVE COMPLEX SUBJECT THAT CAN NOT BE COVERED IN A
for the home page top link, each link has a cut and paste
from the article that the link points to.
Hamilton Opinion as to the Constitutionality of the Bank of
the United States, 1791 <<<<
"Every contract which has been made for moneys borrowed in
Holland, induces stipulations that the sum due shall bedded
from taxes, and from sequestration in time of war, and
mortgages all the land and property of the United States for
first six letters of the word "stipulations" contains an
anagram. It is "TULIPS" as in Dutch tulip bulbs. That's why
the phrase"...the sum due shall BEDDED from taxes”. If you
have any tulips growing on any of the property that you”
THINK YOU OWN"... well... get a shovel, dig them up and
destroy them. Then "the STIPULATION" does not attach.
Mortgage in French language is "Mort" "Gage" ,a.k.a. "Death"
Preliminary Articles of Peace: November 30, 1782
".....but so soon as the same or either of them shall be
settled, it shall not be lawful for the said Fishermen to
dry or cure Fishat such Settlement, without a previous
Agreement for that purpose with the Inhabitants, Proprietors
or Possessors of the Ground." "The Navigation of the River
Mississippi from its Source to the Ocean, shall for every
remain free and open to the Subjects of Great Britain and
the Citizens of the United States."
it should so happen that any Place or Territory belonging to
Great Britain, or to the United States, should be conquered
by the Arms of either, from the other, before the Arrival of
these Articles in America, It is agreed that the same shall
be restored, without Difficulty, and without requiring any
case it should so happen" allowed the delay of part two of
the treaty (The Paris Peace Treaty of 1783) till the 20th
century. It stayed on the kings mail boat for over 125
ship never docked anywhere. Re-supply, re-crewing, re-pair
all done on the high seas.
Paris Peace Treaty of 1783" top page. Many related articles
which treaty was not to be concluded until terms of peace
should be agreed upon between Great Britain and France..."
NOTE: I'm still digging for the this "terms of peace"
treaty. It is a missing third leg of the puzzle. So far I
have not been able to find it. "It is agreed that creditors
on either side shall meet with no lawful impediment to the
recovery of the full value in sterling money of all bona
fide debts heretofore contracted." "The navigation of the
river Mississippi, from its source to the ocean, shall
forever remain free and open to the subjects of Great
Britain and the citizens of the United States." [See]
that's about it for now Sol. There is much more involved in
your article title, but I'm getting tired of writing. The
Avalon takes a long time to read.
important book to read that can shed more light on the whole
Fed issue is “The
© 2004 Art
(AKA Ole Bear)
owns the Federal Reserve? How did it originate and how has
it evolved? Is it a good thing for the people of the United
States, or not?"
Wilson, you are a Traitor!
Woodrow Wilson was a Traitor to the U. S. Constitution. Mr.
House from Texas saw to that. The Fed is owned by key
American Family Interests, and there are linkages to the
House of Rothschild in the United Kingdom, and the Bank
of Rome in the House of Europe. There is nothing Federal
about it, and it is not a reserve, nor a depository of any
kind. The name of this American central fractional reserve
bank is a Fraud. It can rig the heavy metals markets on the
COMEX and in NYC through JPChase Manhattan, Goldman Sachs,
and the other Neanderthals, if you know how to follow the
www.lemetropolecafe.com. Chairman Mao, aa the
Grand Vizier, and his pack of thieves are the greatest
monetary Charlatans since John Law. Nope, this is not an
original idea -- I stole it from Reg Howe, Howe versus BIS
www.goldensextant.com. I have no respect for the Green
Man, as Sage Richard Russell calls him at
www.dowtheoryletters.com, and the Green Man’s continued
destruction of the Founding Fathers’ Republic. I hate the
word Democracy, for all democracies since the Ancient
Greeks, have failed. Benjamin Franklin indicated at the time
of the Constitution, that we created a Republic… as long as
we could keep it. Our Founding Fathers created a
Constitutional Republic. These were some of the most
brilliant minds of the 18th Century… assembled in
13 Original Colonies under the Bank of England, the first
central bank on the planet… with linkages to the Bank of
Rome. I like to call Chairman Mao, the Grand Vizier, because
I understand his game of the
prime directive of total banking consolidation in the
united states in america… but then, Folks, I read
Larry Becraft down in Huntsville, Alabama.
Southerner from the Mississippi Delta, I have an affinity
for President Andrew Jackson and his delicious fight to kill
Nickolaus Biddle and the Second Bank of the United States in
his second bid for the Presidency of the united states in
America. I don’t have much use for Alexander Hamilton and
his creation of the First Bank of the United States, the
first central bank. The american educational system dumbs us
all down, saying how Kool Woodrow Wilson was helping
establish the League of Nations and fighting the war to end
all wars. You, Morons! Mr. Wilson was a Traitor to the U. S.
Constitution and the legacy of the Founding Fathers of This
Republic. All democracies eventually fail. All legal tender
fiat paper funnie monie currencies, eventually fail. History
wins! You lose!
don’t have much respect for the American dumbing down on mr.
lincoln, either. It was the War of American Secession, and
it was street legal under the U. S. Constitution. It was, in
fact, Mr. Lincoln’s war. It was an economic war of the
Northern Manufacturing/Industrial States against the
Agrarian Economy of the South. Nope, it wudn’t about slavery
until it became expedient in 1863 with the Emancipation
Proclamation as a political maneuver -- (Nope, I don’t like
the slavery thing either – morally wrong, in my view, and
against the Bible, Jesus, and the Almighty!). mr. lincoln,
when quoted a usurious interest rate by the House of
Rothschild in Great Britain, and the Bank of Rome, decided
to finance the War of Northern Aggression, by printing his
own federal reserve funnie monie…. It was called the
Greenback. Nope, you ain’t gonna find this stuff in the
American educational system or in any college or university,
especially Harvard or Yale. Mr. Lincoln did some other
really nasty stuff like suspend habeas corpus, shut down
some anti-war newspapers in the free states which were
unionists, and locked folks up much like that AG from
Missouri, Ashcroft. Bless his Religion and we all fall down
and pray to his patriot acts, complete with the New
Internment camps for terrorists, or the new alternative for
debtors prison, thank you Law Professor
Jonathan Turley at George Washington University –
Liberty Ebbs by Degrees
for Camps for Citizens – essays by a Patriot!
all this have to do with Pox Americana, you ask? I am
laughing to myself. Since I am a also a pianist, and a
composer, let's compose a tango, and do a Picardy Third,
Folks!… taking you where the composer will lead, not where
you think I composed the music!
compose a tango! Let’s begin by the
Histories of the Markets, shall we? All legal tender
fiat paper funnie monie currencies, aka Ponzi Shell Games,
eventually collapse. Fact. All democracies, which is
synonymous with mobocracy, eventually fail. Fact. The United
States in America are currently somewhere between a
socialist state and a totalitarian state, economically
speaking. I have a dictionary-linked essay on this subject
Government and Politics 101 for you dummies out there.
‘Merca (thank you, LBJ for correcting all of us) – we call
it social capital – at the hands of the politicos and
elitists inside the Beltway in DC. We have the makings of
the modern socialist welfare state where the Neo-Cons can
pull the fraud of pre-emptive war on Iraq, and hide the
shams and cover-ups to Ma and Pa Kettle on Main Street
America regarding the
on 9/11. These are crimes against the U.S. Constitution
and The Republic. These crimes wouldn't be possible without
the Mandrake Mechanism and the symbiotic relationship of the
Big Central government and that which is nothing Federal,
nor a Reserve of any kind -- nothing but a private central
bank, run for the bank and their interests. This private
central bank is everything contrary to the intent of the
Founding Fathers, the Constitution, and the Bill of Rights.
This Pox American is stealing your wealth and prosperity,
and that of your children under the Mandrake Mechanism of
printing monie out of thin air – using dept to Ponzi the
Scheme. Thank you my good friend
G. Edward Griffin, author of The Creature from Jekyll
Island – a second look at the federal reserve.
Since the inception of the Federal Reserve Act in December
1913 with Wilson asleep at the switch, the Jackass FED,
including the current smoke and mirrors privateers Bernanke
who has a helicopter’s license to throw money out of a jet
helicopter with a FRN printing press on-board, McTeer who
urges us to all hold hands and buy a new SUV, and the
multifarious obfuscations from the Grand Vizier on the
economy, has destroyed about 95% of the purchasing power of
the Constitutional U.S. Dollar, as a weight of measure at
371.25 grains of fine silver. Add to that, Socialist
Franklin Delano Roosevelt’s Great Scam and Rape of the
wealth of America by recalling the gold money, and then,
redefining the value at gold from $24+- per ounce to $35+-
per ounce, after the banking holiday just after his first
term election – and you realize just how ignorant folks
really are on Main Street America. Behind the scenes, the
Federal Reserve, the House of Rothschild, the Bank of
Rome... And the big American families were smiling….
Shipping their gold to the House of Rothschild. Grin! See
how this works? See how to follow the monie? Yeah Fast Mel
Martinez at HUD… We are watching your behind, too!
Where is that $59 Billion you lost at HUD? How’s that
Senate Election going in Florida where you can rig an
election on a dangling chard, Pal? Mel, ya know, if the
Grand Vizier hadn’t pumped and dumped so much, you probably
would have less to account for!
Dear Reader, are lost, you might as well turn on the TV and
watch a FED induced silly sitcom to dumb you down through
the web of media control. If you think you are a smart
because you graduated from Harvard Magna Cum Laude, or have
a Ph.D. in economics or business on Wall Street, and you
this stuff, you have
been dumbed down also, by the FED. The fact is I read
Dr. Larry Parks,
Dr. Edwin Vieira, G. Edward Griffin, James Ewart, and
Larry Becraft. I real some really esoteric stuff
by Lawrence Reed, Thomas DiLorenzo, Frank Shostak,
Ludwig von Mises, Murray Rothbard, Beverly K. Eakman,
Catherine Austin Fitts, Lt. Colonel Karen Kwiatkowsi,
William Rivers Pitt, Jonathan Turley, Lew Rockwell, Charlie
Reese, Christopher Mayer, Thomas Fryer, and a global cast of
wrote a great piece called The
Federal Reserve: A Fatal Parasite on the American Body
Here is my
Bastille = The Federal Reserve
Reserve will continue until the Constitution is shredded by
the AG’s hands, along with it, the
Bill of Rights, in the game of the prime directive of total
banking consolidation in the united states in America. As
my other research and essays indicate -- through a
methodical and controlled burn in real estate using the GSE
money pump mechanism of the GSEs, in the wonderful game of
smoke and mirrors called two-tiered structured finance…..
while the FED hides behind the curtain like the
Great Oz pulling the levers. Welcome to Debtors’ Prison
That was a
like to see
Ole Hickory challenge Mr. Wilson to a duel on the Money
Issue… I know where I am placing my bets! Black Jack, Baby!
some great companion essays from some great minds:
The Power to
Destroy -- William H. Peterson
Law of the Sea Treaty and… -- Devvy Kidd
Inflation or Deflation? How about just 'Flation'? -- Alex
How Healthy are the Banks -- Frank Shostak
Bullock, aka Ole Bear
Dorn, M.D., Ph.D.
of years, the establishment has claimed that chronic rises
in the cost of living have been a mystery; or resorted to
faulty logic such that soaring CPI is due to rising energy
history, there are many examples of appropriate explanation
of the "mystery" of "inflation". The earliest known was by
Aristophanes in his play, "The Frogs", who explained the
phenomenon as due to over-issuance of bad money. This was
rediscovered by Oresme in the 1300s and Copernicus in the
The public has
shown a surprising tolerance to the rip-off of chronic
inflation, but it has also shown the ability to eventually
figure it out and react to the scam.
Russia, "false moneyers" were eventually attacked and had
molten metal poured down their throats. Dante even reserved
a special place in Hell for false moneyers. The Father of
Modern Central Banking, John Law, was lucky to escape the
mob when the 1720 bubble burst.
In a slightly
different format, the following essay was published in the
Financial Post on December 29, 1999 and, for new readers, it
includes a vivid description of a monetary reform conducted
during one fateful Christmas.
One would have
hoped that financial rip-offs committed by medieval princes
would have been permanently shelved when liberal
enlightenment ended the divine right of kings.
Century liberals, so rational and principled in their views,
could not have imagined the greedy craft developed by many
modern governments in confiscating private wealth earned by
productively working citizens. Are we seeing medieval
financial tyranny replicated by today's proponents of the
divine right of bureaucrats? A look at history provides
outrageous when imposed, the passage of time makes early
examples of princely finance somewhat amusing: the colourful
Richard I (1189-1199) sold property to finance his joining
the crusade of Peter the Hermit. Upon returning, he took it
back on the pretense that originally he had no right to sell
King John (prompted the Magna Carta in 1215) introduced the
clever plan of imprisoning and ransoming the mistresses of
priests; confident that the funds he could not obtain from
their greed he would from their lust.
(1272-1307) confiscated money and silver or gold plate from
monasteries and churches, faked a voyage to the Holy Land
and, in keeping the money, refused to go.
(1461-1483) was described as the handsomest tax-gatherer in
the country; and when he kissed a widow because she gave him
more than he expected, it is said she doubled the amount in
hopes of another kiss.
sound Henry VII (1485-1509) approached wealthy families with
two arguments. If the household was not extravagant in
expenditure, then he attacked what they had saved by thrift;
while if they lived extravagantly they were considered
opulent and could afford any exaction. Named after his
minister of finance, the ploy was called "Morton's Fork".
A broader form
of wealth confiscation capable of tapping even the poor was
accomplished by currency debasement and extreme examples in
ripping off everyone provoked severe social disorder. No
matter what method employed, financial outrage prompted the
evolution of parliament as a necessary means of constraining
fiscal ambitions of the governing classes.
between individual freedom and authoritarian state proceeded
until the late 1600s when growing commercial wealth and
political power in London began to become influential with
its financial common sense. The specific event that
formalized the victory over the ancient status quo was the
"Glorious Revolution" of 1688, which maneuvered the
pro-business and Protestant William of Orange into the
British Crown and displaced James II as the last absolutist
king. How refreshing this was is indicated by the
oppressive politics of his and his predecessor, Charles II.
Starting with the restoration of the monarchy with Charles
in 1660, both kings were bribed by France to change the
culture of England - consistently in an authoritarian
direction. Scornful remarks by miffed establishment were
similar to those directed to the pro-business "religious
No matter how
imaginative or despotic princely financing was, it can't
compare with the long- running compulsion to spend other
people's money by bureaucrats in Washington, unrestrained by
the checks and balances of congress, constitution, or
expanding this point, consideration should be given to the
other event that formally ended the old world, which was the
beginning of modern finance with the incorporation of the
Bank of England in 1694. As history shows, central banking
is fine when disciplined by a convertible currency and, when
not, it becomes a tool of state ambition to confiscate
wealth though currency depreciation. That the dollar has
lost 90% of its value in only 50 years exceeds most princely
devaluations and, like those, has been no accident.
Regrettably, modern financial agencies such as the Federal
Reserve and Treasury have become almost medieval in
As outlined in
The Federal Reserve System, Purposes and Functions,
the Fed Board of Governors touted the usual claims that high
growth in consumption and high unemployment could be
accomplished with "stable values". Obviously, price
stability was impossible due to the insatiable demands of
the state which, even with a 90% depreciation in the dollar,
has yet to be satisfied. Corruption is chronic.
princely cunning really comes together with Washington's
finesse in running the currency down and moving everyone up
the confiscation ladder of "progressive" taxation. Sadly,
until recently no matter which party sat on the other side
of the House there was no serious opposition to today's
intemperate collusion of state and religion (interventionist
government). Without desperately needed constraint, the
combination of currency depreciation and bracket creep with
eventually force those below the "poverty line' into
unconscionable tax rates.
history provides some antidotes to governmental abuse of the
productive sector. Short of rebellion, the most effective
of course has been a parliament accountable to the
taxpayer. As for those who have wrecked the currency (also
a parliamentary responsibility), Dante, in his Inferno,
reserves a special place in hell for "false moneyers".
Anglo-Saxon Chronicles record something equivalent, albeit
A.D. In this year before Christmas King Henry sent from
Normandy to England and gave instructions that all moneyers
... be deprived of their members ... Bishop Roger of
Salisbury commanded them all to assemble at Winchester by
Christmas. When they came hither they were then taken one
by one, and each deprived of the right hand and the
testicles below. All this was done in twelve days between
Christmas and Epiphany, and was entirely justified because
they had ruined the whole country by the magnitude of their
fraud which they paid for in full." - The Laud Chronicle
deserve reliable protection and with sufficient outrage will
likely move rationally to at least limit financial
adventurers in government.
© 2004 Janice
Dorn, M.D., Ph.D.
credits are to be given to Bob Hoyle for the above article.
BOB HOYE, INSTITUTIONAL ADVISORS
Contrarian Round Table Series