Twentieth century—the hangover years.
I think it will take all of the
21st to recover from the 20th.
The Federal Reserve, a Different View
by Jim Carter
Special to L. Neil Smith’s The Libertarian Enterprise
Thanks for your prior support. Much research has been added to complete the following writing.
The pasted writing details the precise method Wall Street utilizes the Federal Reserve to embezzle money from the US government. The FRBNY maintains exclusive control over the disbursement and handling of funds from the auction accounts of Treasury securities. The accounts currently handle >$10T annually and have never been audited. They are client accounts; not operational accounts. Ref. 31 CFR 375.3.
It is a tribute to my professor who taught a graduate course of Money and Banking. His inspiration has resulted in a mathematical conclusion from TreasuryDirect identification of accounts, GAO reports, inherent economic parameters, and other sources.
The “ultimate goal” for Wall Street—to collect on the [fraudulent] $21 trillion U.S. national debt in the manner of Greece—is identified by others in footnotes 20 and 21.
Perhaps the research may be of interest.
“What difference does an increase in the National Debt make? We owe it to ourselves.” virtually every congress-critter has declared. Such a paraphrased statement, reflecting on the exoskeleton structure of the Federal Reserve, ignores the inner historic mechanisms of Rothschild banking, the intense subterfuge and arm-twisting of the Fed’s creation, and the proven destructive forces inherent but hidden therein. 1
The medieval Rothschild Banks established a line of credit for the King provided the King issued a written promise to pay gold, with interest, to the bank at a time in the future. The book-entry Rothschild credit was used to pay for obligations incurred by the king. The credit continued to be circulated in the kingdom between merchants. The bankers sold the king’s interest bearing promise of gold to investors. The promise was renewed by the king on its maturing date and became perpetually rolled-over. 2
voila !!! the king made the suppliers of services happy with rothschild credit; the bankers had the gold from investors; the investors had a promise the king would eventually pay them in gold— which would never happen. 3 Everything went smoothly as long as the bankers could sell the promise and the investors did not demand the gold. 4 As Benjamin Ginsburg has lamented in FATAL EMBRACE; (bankers) AND THE STATE 5 , eventually the schemes, which stole the wealth from the people with book-entry fiat money, would come to a catastrophic climax. 6
The Federal Reserve system, claimed to be “staffed and run by Council on Foreign Relations members” 7 does the same thing for the U.S. government’s deficit spending. Their wizard is hiding behind Frank Baum’s curtain as obscurant to any public inquiry.8
The Federal Reserve Bank of New York will grant credit (not “create money”) in an account of the US government with an amount that the government will pledge. 9 The government will expend the book-entry-credit account (deficit spending) to pay for goods and services consumed by the government. The suppliers are content. Evidence that the supplier has received a credit voucher is obvious. [It is touted to the public as a loan. 10 ] The heading of the currency given to the supplier by a local commercial bank is Federal Reserve Note; i.e., a debt obligation of the Federal Reserve also identified as a “tender” (substitute) required by law to be accepted for an imprinted number of dollars. 11 In times past, the Note pledged it could be redeemed in gold or silver, or redeemed in lawful money, but now what you have is what you get [a legal tender].
To sell the pledge from the government (the Treasury security) at the highest price, the Federal Reserve will hold an auction but will camouflage it as an auction by the government. 12 Acceptance of bids, determining the interest rate, and the amount of deficit spending permitted is controlled by the BOG. 13 Government regulations clearly establish the funds from the auctions are controlled exclusively by the FRBNY (as a fiscal agent of the government); i.e., a franchisee of the BOG. 14
In addition to the approximate $1 trillion annually auctioned for deficit spending (new cash), the roll-over of approximately $10 trillion debt from prior years (publicly held maturing) is annually auctioned and disbursed by the FRBNY. 15 In actual practice, deficit spending security (new cash) is identified as a decimal percentage of a roll-over security.
The difference in handling of the two accounts is the supreme camouflage. Funds for roll-over securities are credited by the FRBNY (as a fiscal agent of the US government) to a government account. The FRBNY then pays the Primary Dealers (from the government account) for their task in collecting the maturing securities from the public. There is no increase in the National Debt nor is there any inflationary resultant from these transactions.
If the funds from deficit spending securities were to be used in redeeming Treasury securities in the market (i.e., paid by the FRBNY to the government), it would eliminate any increase in the National Debt. It would also eliminate any increase in money in circulation (inflation). That clearly does not occur.
WHERE DO FUNDS FROM THE AUCTIONS OF DEFICIT SPENDING SECURITIES GO ??
The only viable dispersal of funds identifiable to this writer is the funds are commingled with funds to select Primary Dealers. If the Primary Dealers include shareholders of a privately held incorporated Board of Governors of the Federal Reserve, they would not have to reveal corporate records. 16 The profit could be completely hidden from view. 17 The deficit spending amount 18 would be clear profit for the owners of the BOG.
The statutory charter of the Federal Reserve stipulates profit of the operation belongs to the government. Concealment of funds that belong to the government appear to be embezzlement, among other crimes. 19
Various theories abound on how the purloined funds have been utilized to the detriment of society. 20
If the scheme is not exposed, Wall Street internal memos identify collection of the $20 trillion debt is the “ultimate goal” and would reduce the United States to the status of Greece. 21 The financiers’ objective in Greece 22 is not to exploit, but is to destroy the nation. 23 Indeed, national sovereignty has been acquiesced by Greece to the Troika (financiers) as the terminal end of Goldman Sach’s “shitty” three billion Euro debt. 24
The proposed Goldman Sachs government budget (whoops, Trump’s budget) includes huge deficit spending increases (increased military spending with cuts in social programs) with unrealistic increases in national productive/tax base. 25 This is the same scheme Wall Street and the CIA have used to bankrupt other nations for four decades. 26 The psychopathic Wall Street warmongers demand a humongous deficit busting military expenditure, but this statement may reverse cause and effect. 27 The people will submit to anything if they are induced to fear a foreign threat.
Get ready to kiss your 401(k), your government benefits, your pension, and your bank accounts goodbye, with strikes prohibited, health care costs escalated, perpetual war, mass layoffs (including government personnel), and economic chaos—among other dire occurrences. 28 This is the utopian government controlled by bankers that David Rockefeller 29 so proudly promised for the world in his autobiography MEMOIRS and Carroll Quigley touted in TRAGEDY AND HOPE.
We can rest assured the same scheme is used by the ECB with the Euro.
The U.S. has two options:
The entire situation can be ignored with the public meekly submitting to Wall Street’s collection of the fraudulent $21 trillion National Debt and accept the fate of Greece [Greece has surrendered national sovereignty control to Goldman Sachs/Troika. Approval by Troika is required for all government actions.
They can assert public pressure on congress-critters to audit relevant accounts and indict Wall Street. The GAO has authority to review the handling of government funds by any entity. It has made at least two reviews of the FRBNY’s handling of funds [but not audits] from auctions of Treasury securities. The FRBNY has exclusive handing of such funds.... Ref. 31 CFR 375.3.... All that is required for the GAO to review the handling of government funds is a request by a Congressional committee chair.
PS: How can banks with (deficit spending) liquidity that borrowers will not accept for loans laundry the money? Well, they can buy stocks (and watch the price go up and say the corporations are buying their own stock) or they can buy bonds (and watch the yield go down as demand increases). Have you seen any evidence of this happening ?
Footnotes are available at Ref. https://thedailycoin.org/2018/08/16/a-look-at-the-federal-reserve-through-a-different-lens/ if they are deleted by software or they can be emailed to an address.
4 After the hook was set, the bankers would clandestinely demand token payments of gold from the king until his coffers were emptied and he was bankrupt. After the king was bankrupt and the people resisted increased taxes, bankers (who controlled the roll-over of prior debt and the paying of interest) would demand the king sell his assets to the bankers (for the banker’s make-believe book entry credit) at fire-sale prices (as in Greece) so interest on the king’s promises could be paid. Consider the irony of it. For the king to have a bit of purchasing power to advance the kingdom, the kingdom was lost. The people finally wised up and revolted. [back]
5 The Magna Carta as a rebellion against the war-mongering of London financiers is an interesting observation by Ben. It has been omitted from history books. 1000 years hasn’t changed financiers’ war-mongering obsession. Ref. Michel Chossudovsky, GLOBALIZATION OF WAR; Douglas Valentine, CIA AS ORGANIZED CRIME ; https://www.commondreams.org/views/2017/07/08/us-state-war-july-2017; http://farmwars.info/?p=15338 A FACE FOR THE SHADOW GOVERNMENT. [back]
6 A debt-based national economy without specie backing is a Ponzi scheme inherently destined for bankruptcy but that is another story. Ref. https://www.scribd.com/doc/99860711/rip-off-by-the-fed-5-rtf. p4. [back]
7 http://www.bilderberg.org/roundtable/emfed.html The “Federal Reserve” name is a first camouflage to disguise the bank with a facade of government agency for sovereign immunity and to mitigate public animosity from bankers exposure. The claim of agency status does not appear to comply with Supreme Court adjudication of parameters for agencies. Nor is status of agency available for the economic benefit of private entities. The status of the BOG is not known to have been adjudicated. Ref. https://www.scribd.com/doc/153024003/Amended-Complaint-Federal-Reserve-whistleblower [back]
8 A favorite line is the government borrows money. It is impossible to see that what was not there before the event could be borrowed. It would appear that the Fed did not put up any legal consideration for the agreement. A contract without legal consideration by both parties is void from its inception. Nor can it be rational that the Federal Reserve had $20 trillion a century ago while they purchase $100 Ben Franklins for 15 cents each from the US government. [The Fed does not ‘print money’ (sic); it buys it from the government.] Another inane concept is that the government borrows from the public. If there is any logic to this concept, how is the public then in debt ? Dr. Daniel R. Sanches, a frequent economics writer for the Philadelphia FRB, recently circulated such a perfidious writing—but not on the FRB website. [back]
9 A Treasury Bill, Bond, or Note is backed by the taxing power of the U.S. President Nixon removed the pledge of gold. Cynics might conclude the FRBOG had confiscated the government’s gold by that time. [back]
11 The FR Notes at one time carried a covenant of redeemable for gold or silver, then the promise was redeemable for lawful money. They are now identified as a legal tender (a substitute for money) for public or private debts. What you have is what you get. [back]
12 http://www.gao.gov/assets/80/75792.pdf: “... To sell marketable public debt, the Treasury, through the 12 Federal Reserve district banks and their branches, acting as fiscal agents for the Treasury, sells securities to the public through a competitive auction process.” page 22 of 161. [back]
13 This was a surprise for President Clinton. Appointees to the BOG are selected from a short list submitted to the government (by the Wall Street owners of the corporate Board of Governors ?). [back]
14 The 1992 GAO report reveals the FRBNY electronically receives auction bids [ http://www.gao.gov/assets/90/82783.pdf ] and 31 CFR 375.3 grants exclusive authority to disburse auction funds and any related action to the FRBNY. [back]
15 Ref. https://www.treasurydirect.gov/instit/annceresult/press/press_cashpydwn.htm The tabulated entries do not include government account holdings. The public holds 72.41% of total government debt. Your Social Security payment goes toward the purchase of a Treasury security. [back]
16 NOTE: The 12 Federal Reserve banks have been adjudicated as privately owned corporations each with a board of directors of nine members (also identified as franchisees). The private ownership of the FRBNY has been the subject of numerous writers. This should not be confused with the privately owned closely held corporate ownership of the Board of Governors of the Federal Reserve alleged herein. The BOG can remove any director of any FR bank without cause or recourse. Administrative and regulatory control is statutorily vested in the Board of Governors. A query of “Who owns the Fed ?” allows an evasion of ownership allegation.
The gold hoard at IMF is 2,814 metric tons. The IMF, controlled by Wall Street, want $64 billion from the U.S. government. [back]
17 Audit reports (by professional accounting firms) of the Federal Reserve are conducted in accordance with guidelines established by the BOG. The accounts relevant to this writing are private client accounts, not operational accounts, and have never been audited. [back]
20 Ref. A FACE FOR THE SHADOW GOVERNMENT ; GLOBALIZATION OF POVERTY and GLOBALIZATION OF WAR, both by Michel Chossudovsky; https://www.newscientist.com/article/mg21228354-500-revealed-the-capitalist-network-that-runs-the-world/. [back]
21 http://www.gregpalast.com/larry-summers-and-the-secret-end-game-memo http://farmwars.info/?p=12078 NEW WORLD ORDER DEAD AHEAD [back]
22 It was started with a mere $2.8 billion loan foisted by Goldman Sachs and known to be unpayable. http://america.aljazeera.com/blogs/scrutineer/2015/7/14/did-wall-street-enable-greek-debt-crisis.html [back]
24 http://99getsmart.com/life-in-a-modern-day-debt-colony-the-truth-about-greece/ Smedley Butler declined an offer from Wall Street to be the leader of a U.S. coup in the 1930’s. Ref. WAR IS A RACKET by Smedley Butler. [back]
25 http://www.huffingtonpost.com/entry/mark-sanford-trump-budget_us_5925b607e4b00c8df2a10b40 ; http://www.cbsnews.com/news/trumps-budget-is-unrealistic-economists-say/ Robert K. Wilcox alleges in TARGET PATTON that Patton was assassinated by the U.S. government because of his planned crusade against U.S. war mongering. [back]
26 John Perkins, CONFESSIONS OF AN ECONOMIC HIT MAN. Congressional funding of some covert foreign political action by the CIA in the 1980’s is detailed in https://consortiumnews.com/2017/09/13/reagan-documents-shed-light-on-u-s-meddling/. [back]
27 https://consortiumnews.com/2016/08/15/us-war-crimes-or-normalized-deviance/ Robert Stinnett in DAY OF DECEIT uses government documents to show FDR and his cronies on Wall Street developed a 17 month agenda to pressure Japan to hostile action. Codes were broken; Pearl was not a surprise. Douglas Valentine in CIA AS ORGANIZED CRIME concludes the CIA has repeatedly initiated US military action for the economic benefit of Wall Street. Nomi Prins relates in ALL THE PRESIDENTS BANKERS that World War I was foisted on the US to safeguard many billions in loans by Wall Street with a set-up false flag HMS Lusitania. David Swanson gives a lengthy list of US invasions. Ref. http://davidswanson.org/warlist/. THE GLOBALIZATION OF WAR by Michel Chossudovsky. [back]
28 http://www.informationclearinghouse.info/article42782.htm Bankers have successfully lobbied for bankers to receive super priority, including for derivatives, in the event of government default. [back]
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