Council on
Foreign Relations & The Federal Reserve
The Joint Chiefs of Staff DoD Publication 1
(1987) Glossary of Department of Defense Military Associated Terms defines:
"COVERT OPERATIONS: (DoD, Interpol,
Inter-American Defense Board) Operations which are so planned and executed as
to conceal the identity of or permit plausible denial by the sponsor. They
differ from clandestine operations in that emphasis is placed on concealment of
identity of sponsor rather than on concealment of the operation."
The Council on Foreign Relations has used
covert operations to conceal their identity while methodically taking control
of the Department of State, Central Intelligence Agency, and the Executive,
Legislative, and Judicial branches of the Government. The Council on Foreign
Relations established and controls the Federal Reserve System.
The Federal Reserve System has a profound
effect on the
Does the Council on Foreign Relations
practice a type of insidious McCarthyism where individuals do not get the
chance to have their side of the story heard or face their accuser? Does the
Council on Foreign Relations secretly blacklist scholars, and members of the
media who connect their sponsorship to historical events? Does the Council on
Foreign Relations discredit and destroy the careers of such people? Does the
Council on Foreign Relations see to it that such people cannot get their
material published or distributed?
The way the CFR works is clearly explained
by the famous journalist Walter Lippmann. Lippmann was a member of the
mysterious Round Table Group; editor of the publication THE NEW REPUBLIC;
member of
Chapter I, of Lippmann's book, PUBLIC
OPINION is titled "The World Outside and the Pictures in Our Heads."
Lippmann, writes, "This then, will be the clue to our inquiry. We shall
assume that what each man does is based not on direct and certain knowledge,
but on pictures made by himself or given to him. If his atlas tells him that
the world is flat he will not sail near what he believes to be the edge of our
planet for fear of falling off. If his maps include a fountain of eternal
youth, a Ponce de Leon will go in quest of it. If someone digs up yellow dirt
that looks like gold, he will for a time act exactly as if he had found gold.
The way in which the world is imagined determines at any particular moment what
men will do. It does not determine what they will achieve. It determines their
effort, their feelings, their hopes, not their accomplishments and results. The
very men who most loudly proclaim their "materialism" and their
contempt for "ideologues," the Marxian communists, place their entire
hope on what? On the formulation by propaganda of a class-conscious group. But
what is propaganda, if not the effort to alter the picture to which men
respond, to substitute one social pattern for another? What is class
consciousness but a way of realizing the world? National consciousness but
another way? And Professor Giddings' consciousness of kind [ i.e. stereotypes
], but a process of believing that we recognize among the multitude certain
ones marked as our kind?"2
Lippmann's conclusion is, "I argue
that representative government, either in what is ordinarily called politics,
or in industry, cannot be worked successfully, no matter what the basis of
election, unless there is an independent, expert organization for making the
unseen facts intelligible to those who have to make the decisions...My
conclusion is that public opinions must be organized for the press if they are
to be sound, not by the press as is the case today. This organization I
conceive to be in the first instance the task of a political science that has
won its proper place as formulator, in advance of real decision, instead of
apologist, critic, or reporter after the decision has been made..."3
The Council on Foreign Relations is the
"independent, expert organization" Lippmann is suggesting. Lippmann
is advocating the creation of a totalitarian state. If one small group is
permitted to control public opinion, that small group can use their power to
benefit the aims of the group rather than the public at large. People's actions
are strongly influenced by their knowledge base. People act on their beliefs.
By corrupting a persons knowledge base you can manipulate their actions.
Around 1935 men such as George Gallup, Elmo
Roper and Archibald Crossley, were studying opinion polling as a tool to help
social scientists and psychologists study genuine problems, to learn how people
looked at things, and to better understand why people of various backgrounds,
interests, loyalties, and information levels held certain opinions. The Council
on Foreign Relations funded early work on polling. The Council would use
knowledge gained from polls to help script and determine the effectiveness of
psycho-political operations. Gallup's and Roper's surveys appeared in Fortune
magazine. After the war Truman would choose the Director of Fortune magazine to
become head of Economic Security Policy for
"In UNWRITTEN TREATY [Warburg, James
P., Harcourt, Brace and Co., NY 1946 pg 15-16], Council on Foreign Relations
member James P. Warburg writes, " It cannot be stated with sufficient
emphasis that information is one thing - propaganda quite another. The purpose
of spreading information is to promote the functioning of man's reason.
The purpose of propaganda is to mobilize
certain of man's emotions in such a way that they will dominate his reason...
The function of an information agency is to
disseminate truth - to a make available fact and opinion, each carefully
labeled and separated from the other. The aim of an information agency is to
enable as many people as possible to form their own individual judgments on the
basis of relevant fact and authoritative opinion.
The function of a propaganda agency is
almost the exact opposite: it is not to inform, but to persuade. In order to
persuade it must disseminate only such fact, such opinion, and such fiction
masquerading as fact as will serve to make people act, or fail to act in the
desired way."
James Paul Warburg was a financier, author,
and government official. In 1939 Warburg was strongly opposed to American
isolationism and neutrality. He became a leading spokesman for the Committee to
Defend
The Office of Coordinator of Information
was created in 1941. One purpose of the agency was to pool information gathered
by all of the Intelligence Services. The second purpose of the agency was
psychological warfare. The Office of Coordinator of Information mobilized the
talents of psychoanalysts across the country to study domestic morale, and the
effects of psychological warfare techniques on morale. At the same time it also
studied Hitler and his influence on the German people. Sometime in 1942 the
agency was reorganized into two independent agencies -- the Office of Strategic
Services and the Office of War Information. The psychological warfare study was
in the domain of the Office of War Information.6
James P.'s father, Paul M. Warburg was a
founding father of the Council on Foreign Relations and the Federal Reserve
system. To this day the Federal Reserve system is staffed and run by Council on
Foreign Relations members. Conspicuously absent from history books, and
economic courses are any mention of the role of the Council on Foreign
Relations in establishing and running the Federal Reserve System.
In "The Anglo American
Establishment," Carroll Quigley writes, "The Rhodes Scholarships,
established by the terms of Cecil Rhodes seventh will, are known to everyone.
What is not so widely known is that
The Council on Foreign Relations was
formally established in
Many American members were American
intelligence officers that belonged to the first American Intelligence Agency
-- THE INQUIRY. Many British members were British Intelligence Agents. THE
INQUIRY and its members, who included such notable Americans as Col. Edward
Mandel House, Walter Lippmann, Isaiah Bowman, and James Shotwell, wrote most of
Woodrow Wilson's 14 points. The INQUIRY members attended the Paris Peace
conference and traded off most of the Fourteen Points to establish the
Col. House was an active member of the
American Round Table Branch before becoming a Council on Foreign Relations
founding father. House would play a key role in establishing a Graduated Income
tax and the Federal Reserve System. In 1886 a group of East Coast Millionaires
including William Rockefeller, Joseph Pulitzer, J.P. Morgan, Henry Goodyear,
and Edwin and George Gould bought
The Senate created the National Monetary
Commission to study the problem. Senator Nelson Aldrich (John D. Rockefeller's
father-in-law) headed the commission. To investigate the matter the Commission
toured the continent of
The purpose of the 1910
In December of 1963, on the fiftieth
anniversary of the Federal Reserve, the fifth edition of a book titled,
"THE FEDERAL RESERVE SYSTEM: PURPOSES AND FUNCTIONS," was printed. As
with earlier editions, the stated purpose of the book was "to better
public understanding of the System's trusteeship for the nations credit."
The real purpose of the book was not to inform but to persuade Americans to
accept the massive control the Federal Reserve had upon the American Economy. A
small group of Americans, the Council on Foreign Relations, was using
psychological warfare techniques not only as a means of systematic
nationalistic aggression, but as a means of deceiving their own countrymen. 12
The 50th anniversary edition, and the former editions, were collaborative
products of the Federal Reserve Board of Governors staff. The book tells us
that the Federal Reserve's, "original purposes, as expressed by its
founders, were to give the country an elastic currency, to provide facilities
for discounting commercial paper, and to improve the supervision of
banking." It then explains, "From the outset, there was recognition
that these original purposes were in fact parts of broader objectives, namely,
to help counteract inflationary and deflationary movements, and to share in
creating conditions favorable to a sustained, high level of employment, a
stable dollar, growth of the country, and a rising level of consumption.
"13
That the broader objectives were recognized
from the outset are anything but clear. The first edition of "THE FEDERAL
RESERVE SYSTEM: PURPOSES AND FUNCTIONS " wasn't printed until a quarter of
a century after the founding of the Fed. The first edition was printed in May
of 1939 just as the World was about to go to war. The stress of war made it
easier to persuade people to accept the broader objectives of the Federal
Reserve system. The threat of world war made the threat of a Central Bank
inconsequential. The first edition of the book was part of a ongoing massive
propaganda campaign financed with tax-payer money and focused at the average
American citizen. These campaigns are nothing more then psychological warfare
operations written about by James Paul Warburg. In "THE FEDERAL RESERVE
SYSTEM: PURPOSES AND FUNCTIONS," we learn, the Federal Reserve is a
corporation, accountable to the United States government, but owned by banks
which have purchased shares of stock. The Federal Reserve Bank is the bankers
banker. If a commercial or savings bank wants to lend more money to customers,
it borrows money from its bank - the Federal Reserve. The Federal Reserve is a
watchdog that audits every banks records to make sure loan decisions are based
on sound judgments and that regulations are being followed. The Federal Reserve
is the controller of the currency, the US Governments bank where the Treasury
has its bank account. The Federal Reserve is the nation's check-clearing system
- processing over 15 billion checks a year. The Federal Reserve is the keeper
of the worlds gold. The gold is kept in a vault at the New York Federal Reserve
bank. Most of the gold stored in the Fed belongs to other nations and
represents about one-third of the official gold reserves of the the world's
non-communist countries.14
In "THE FEDERAL RESERVE SYSTEM:
PURPOSES AND FUNCTIONS," we learn, the Federal Reserve is run by a
seven-member board of Governors appointed by the President and confirmed by the
Senate. Terms of office last 14 years to insulate governors from political
pressures. Terms are staggered, with one expiring every two years. There's one
chairman and one vice-chairman, both of whom hold terms of four years. The
seven members of the board of Governors, the President of the Federal Reserve
bank of
Conspicuously absent from "THE FEDERAL
RESERVE SYSTEM: PURPOSES AND FUNCTIONS ," is any mention of the role of the
Council on Foreign Relations in establishing and running the Federal Reserve
System; and the power the Council on Foreign Relations (or any small group)
would realize by controlling the FED. While long terms on the board of
governors were established to to insulate governors from political pressures no
safeguards were established to insulate governors from pressures from a private
group such as the Council on Foreign Relations. The Federal Reserve, through
its influence on credit and money, affects indirectly every phase of American
enterprise and commerce and every person in the
In 1913, CFR founding father Colonel House
helped pick the charter members of the original Federal Reserve Board. Among
those chosen were Paul Warburg [ House Warburg and House of Khun-Lobe & Co.
] and Benjamin Strong [ House of Morgan and House of Khun-Lobe & Co. ].
House, Warburg, and Strong were American Round Table group members. According
to Round Table Group historian, Carroll Quigley, the aim of the dynastic
banking houses was, "...nothing less than to create a world system of
financial control in private 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 arrived at in frequent private meetings and
conferences. The apex of the system was to be the Bank for International
Settlements in
Montague Norman was a member of the British
Round Table Group, Benjamin Strong was a member of the American Round Table
Group. According to Quigley, "Strong owed his career to the favor of the
Morgan Bank, especially of Henry P. Davison, who made him secretary of Bankers
Trust Company of New York (in succession to Thomas W. Lamont) in 1904, used him
as Morgan's agent in the banking rearrangements following the crash of 1907,
and made him vice-president of the Bankers Trust (still in succession to
Lamont) in 1909. He became governor of the Federal Reserve Bank of
Alan Greenspan, Paul Volcker, G. William
Miller, and William McChesney Martin have all chaired the Federal Reserve board.
All are members of the Council on Foreign Relations. As of September 1993, the
Congressional Budget Office estimated that handling losses in failed savings
and loan institutions would cost $120 billion from 1990 through 1998 (this
figure does not include $60 billion spent before 1989). The loss figure has
recently been reported to be over $250 billion, double the original estimate.
Among those found guilty of bank fraud were Neil Bush and Lance Benson. Neil is
the son of CFR member George Bush, Lance is the son of CFR member Bill
Clinton's Secretary of the Treasury Lloyd Benson. Despite being found guilty of
fraud Neil Bush and Lloyd Benson escaped punishment and didn't pay back any
money. So much for taking responsibility for ones actions! Wasn't one of the
jobs of the Federal Reserve to be watchdog?
In 1987 leaders of
of Chase, Lewis Preston of Morgan, and Tom
Clausen of the Bank of
Title 50 War and National Defense clearly
spells out such a role for the Federal Reserve. Title 50 Section 101 is the
National Security Emergency Preparedness Policy. In this policy in Part 15 -
Department of the Treasury in Section 1501 Lead Responsibilities we find that
"the Secretary of the Treasury shall: (1) Develop plans to maintain stable
economic conditions and a market economy during national security emergencies;
emphasize measures to minimize inflation and disruptions; and minimize reliance
on direct controls of the monetary, credit, and financial systems. These plans
will include provisions for: (a) Increasing capabilities to minimize economic
dislocations by carrying out appropriate fiscal, monetary, and regulatory
polices and reducing susceptibility to manipulated economic pressures; (b)
Providing the Federal Government with efficient and equitable financing sources
and payment mechanisms."
Has the Federal Reserve been acting as if
we have been in a perpetual National Security Emergency? Has the federal
reserve been fine tuning the economy of the United States and advertising that
it had the legal powers to do so when it really does not?Allen Greenspan, head
of the Federal Reserve, Clinton's Economic Advisor Laura Dandrea Tyson,
Clinton's International Security Advisor Lynn Etheridge Davis (who is also a
Vice President of Chase Bank) and President Bill Clinton are all Council on
Foreign Relations members.
Is the destiny of the American people being
controlled by a group who have and hold the power to direct the credit policy
of our nation. A group that has circumvented the check and balance safe-guards
built into the system to prevent any one group from having this kind of power
over the American citizen. A group whose self-proclaimed drive is for personal
profit and who lack the honesty and integrity to make decisions based on public
good.
Are Council on Foreign Relations members
furthering a plan for a world order based on an economy of unrest? Are Council
on Foreign Relations members subtle fascists intently interested in private
ownership of property, under their control? Did the Council on Foreign
Relations instigate and perpetuate the cold war? Did they do this to accumulate
and protect Council holdings? Was this done by establishing and maintaining the
most powerful
Is the next stage in the plan to co-opt and
divide eastern Europe and the rest of the world? Is the next stage in the plan
for powerful World-Wide military establishment of "volunteer"
military forces under UN command in the role of Peacekeepers? Was detonation of
the first nuclear bomb, in
Was Nuclear Proliferation, and Mutually
Assured Destruction (MAD) part of a Council on Foreign Relations
psycho-political operation to keep the world in a state of controlled insanity?
Is the current threat of Nuclear terrorism by some rogue nation part of a
Council on Foreign Relations psycho-political operation to rationalize keeping
the
The following book review, by Jane H.
Ingraham, tells the story of the Founding of the Federal Reserve by the Round
Table, and provides insight into how they really operate:
( http://www.execpc.com/~jfish/bkrvws/jekyll.txt
) Book Review: The Creature From
Killing the Banking Beast
Jane H. Ingraham
The New American
Vol 10, Number 18 September 5, 1994
The Creature From Jekyll Island, by G. Edward
Griffin,
Has it ever occurred to you that the
federal government has no need of taxes for revenue? Are you aware that banks
prefer lending to governments because governments seldom repay loans? Do you
realize that if all debts, both public and private, were paid, there would be
no money at all in circulation?
These are only a few of the startling facts
that fill the pages of this illuminating expose of the Insider scam called The
Federal Reserve System (Fed). Although author G. Edward Griffin admits to
having wondered if another book on the Federal Reserve is necessary (his six
pages of bibliography suggest that the subject may have previously attracted
attention), it is unlikely that any book has ranged across 2,000 years of money
and banking from Diocletian to the Rothschilds to Alan Greenspan -- and tied it
into the new world order -- as thoroughly as The Creature From Jekyll Island.
Although
His explanations and definitions are
meticulously worded; one can sense the care with which each word was chosen,
leaving no room for confusion.
Setting the Stage
In order to help us fully understand our
present predicament, Mr. Griffin ranges far afield in explaining the historical,
economic, and political antecedents of today's money system. We are given a
crash course on the nature of money; the origin of banks and the concept of
fractional reserves; how this led to the seductive idea of using the same money
over and over; how this inevitably led to economic disaster wherever and
whenever tried. We are instructed about the Rothschild formula, which perfected
the art of making enormous profits from loans to governments, especially for
wars; how this led to preventing any one nation from becoming strong enough to
establish peace (the famous balance of power); how those who could instigate
wars or revolutions were financed (including the Bolsheviks in 1917); how we
Americans were sucked into World War I in order to save J.P. Morgan's loans to
England; how environmentalism is now the weapon of choice replacing war.
We are taken to the super-secret meeting of
Insider financiers and Rothschild agent Paul Warburg on Jekyll Island in 1910
where the basic plan for what became the Federal Reserve Act was formulated; we
learn that these plotters were already affiliated with the conspiratorial
British one world Round Table group which preceded the Council on Foreign
Relations (our secret government); we are astounded by the brazen deception of
Congress that pushed through this unconstitutional act creating the Insiders'
fundamental tool -- a central bank with the ability to inflate. We are told how
this same tool has been expanded internationally through the International
Monetary Fund (IMF) and World Bank in order to create worldwide inflation, pay
enormous sums of perpetual interest on never paid-up loans to Insider banks,
and socialize the
Money Multiplied
Commercial banks, like the Federal Reserve,
also create money out of nothing -- and collect interest on it -- by
multiplying every dollar deposited nine times. This amazing feat is
accomplished through the device of fractional reserves, whereby the Fed allows
90 percent of deposits to be loaned out. As deposits become loans and loans
become deposits, this process repeats with smaller numbers each time around.
For instance, $1 million in government money (first wave) gives birth to
$900,000 (second wave), which gives birth to $810,000 (third wave), etc., until
the process plays itself out. Thus, the banking cartel creates an amount of
money that is nine times the amount of the original government debt that made
the process possible.
Without realizing it, Americans have paid over
the years, in addition to their federal income taxes and excise taxes, a
completely hidden tax equal to approximately ten times the national debt!
There are many more threads to
* How holders of Treasury bonds can be paid
off only by the creation of an identical bond out of nothing.
* Why the
* How the Discount Window (Fed loans to
banks) creates more phony money.
* How the federal government could operate
without levying any taxes whatsoever.
* How the Fed causes booms and busts.
* How, since 1913, our money has
depreciated by over 1,000 percent.
* How a gold standard automatically
stabilizes prices.
* How the Fed can now monetize the debts of
foreign governments!
Without the extensive knowledge offered by
Understanding the Game
Also critical to our reality check is an
understanding of how the Fed protects and enriches the banking brotherhood in
the international arena. The game our Insiders are playing makes the
Rothschilds look like novices. Here it is in a nutshell: The game starts with a
mammoth loan (created out of nothing through the magic of fractional reserves)
from one of our megabanks (Citicorp, Chase Manhattan, Bank of America, etc.) to
a
So, says
Now money moves through various foreign aid
channels to the deadbeat borrower, who continues to pay perpetual interest to the
bank. Almost all of this money is generated by the Federal Reserve; as it moves
out into the economy it dilutes the value of the money already there. The
American people, says
Readers may be surprised to learn that the
Federal Reserve is the fourth central bank the
* George Mason of
* John Langdon of
* George Reed of
* Thomas Paine: "The punishment of a
member of Congress who should move for such a law ought to be death."
Life in the
What will life be like in the Insiders' new
world order?
But, says
Here, explains
The barrage of propaganda has had a
phenomenal result. Politicians are now being elected on nothing but
"concern for the environment and a promise to clamp down on nasty
industries," with no one caring about the damage done to the economy or
our freedoms. Just as no sacrifice is too great in time of war, what happens to
the economy or our freedom is of no consequence "when the very planet on
which we live is sick and dying."
Reading this section will forever change
the way in which you view government. Yet, says
To order: "The Creature From Jekyll
Island" send $19.50 + $2.00 shipping to: American Opinion Book Services
P.O. Box 8040 Appleton, WI 54913 or by credit card: 414-749-3783
roundtable
[1] Quigley, Carroll, Tragedy and Hope, Macmillan,
New York 1966, p. 939; The Anglo-American Establishment, Books In Focus, New
York 1981 pg. 182-183, 232-233. "The Anglo-American Establishment"
was written in 1949. It contains one brief reference to a "group of
experts, " the INQUIRY"", present at the Paris Peace Conference
on page 182. On page 233 Quigley warps history by disassociating the secret
society from the authorship of Wilson's 14 points. Quigley never refers to the
INQUIRY in writing again, even in his later and more well known 1300 page tomb
"Tragedy and Hope," published 1966.
[2] Lippmann, Walter PUBLIC OPINION,
Harcourt, Brace and Co., NY, 1922 pgs 25-26
[3] Lippmann, Walter PUBLIC OPINION,
Harcourt, Brace and Co., NY, 1922 pg 31-32
[4] Hadley Cantril, The Human Dimension:
Experiences in Policy Research, Rutgers The State University, 1967 pg 22-25
[5] Dictionary of American Biography
Supplement Eight 1966-1970, Garraty, John A., Carnes Mark C., Charles
Scribner's Sons, NY, Collier Macmillan Publishers London, 1936, pgs 679-680
[6] Langer, Walter C. The Mind of Adolf
Hitler, The Secret Wartime Report, Basic Books Inc., New York, London (1972)
Foward ( by William L. Langer) v-vi, 3-8
[7] Quigley, Carroll, The Anglo-American
Establishment, Books in Focus, PO Box 3481, Grand Central Station, NY, NY
10163, 1981 pg ix [ Quigley died in 1977.
[8] AAA Publishing, Georgia - North
Carolina - South Carolina TourBook, Heathrow, FL 32746-5063, pg 46
[9] Larry Abraham, Call it Conspiracy,
Double A. Publications, Seattle Washington, 1985, 52-53; Cleon Skousen, The
Naked Capitalist - A Review and Commentary on Dr. Carroll Quigley's Book
'Tragedy and Hope - A History of the World In our Time', published as a private
edition by W. Cleon Skousen, 2197 Berkeley Street, Salt Lake City, Utah, 84109,
1971, 8th Printing, pgs 16-18
[10] Larry Abraham, Call it Conspiracy,
Double A. Publications, Seattle Washington, 1985, 52-53; Cleon Skousen, The
Naked Capitalist - A Review and Commentary on Dr. Carroll Quigley's Book
'Tragedy and Hope - A History of the World In our Time', published as a private
edition by W. Cleon Skousen, 2197 Berkeley Street, Salt Lake City, Utah, 84109,
1971, 8th Printing, pgs 16-18
[11] Larry Abraham, Call it Conspiracy,
Double A. Publications, Seattle Washington, 1985, 52-53; Cleon Skousen, The
Naked Capitalist - A Review and Commentary on Dr. Carroll Quigley's Book
'Tragedy and Hope - A History of the World In our Time', published as a private
edition by W. Cleon Skousen, 2197 Berkeley Street, Salt Lake City, Utah, 84109,
1971, 8th Printing, pgs 16-18
[12] Board of Governors of the Federal
Reserve System, The Federal Reserve System - Purposes and Functions, 1913-1963,
50th Anniversary Edition, Washington, DC, 1963 Library of Congress Catalog Card
Number 39-26719 pg. vii [First Edition 1939, Second Edition - 1947, Third
Edition - 1954. Fourth Edition - 1961 ]
[13] ibid pg 1-2
[14] Board of Governors of the Federal
Reserve System, The Federal Reserve System - Purposes and Functions, 1913-1963,
50th Anniversary Edition, Washington, DC, 1963 Library of Congress Catalog Card
Number 39-26719 pg. 166-169,270-273
[15] Board of Governors of the Federal
Reserve System, The Federal Reserve System - Purposes and Functions, 1913-1963,
50th Anniversary Edition, Washington, DC, 1963 Library of Congress Catalog Card
Number 39-26719 pg. 15-27, 215-266
[16] Quigley, Carroll, Tragedy and Hope,
Macmillan, New York 1966, p. 325
[17] Quigley, Carroll, Tragedy and Hope,
Macmillan, New York 1966, p. 324
[18] Quigley, Carroll, Tragedy and Hope,
Macmillan, New York 1966, p. 326