FINAL
WARNING: A HISTORY OF THE NEW
WORLD ORDER
CHAPTER TWO
CONTROLLING THE MONEY
Napoleon
said: "When a government is dependent for money upon the bankers, they and
not the leaders of the government control the situation, since the hand that
gives is above the hand that takes.... financiers are without patriotism and
without decency..." Karl Marx said in the Communist Manifesto: "Money
plays the largest part in determining the course of history." The
Rothschilds found out early, that when you control the money, you basically
control everything else. So, while their political plans were being thwarted,
they began to concentrate on tightening their grip on the financial structure
of the world.
In the
mid 1700's the Colonies were prospering because they were issuing their own
money, called Colonial Scrip, which was strictly regulated, and didn't require
the payment of any interest. When the bankers in
In 1787,
our new Constitution gave Congress the power to "coin money, (and)
regulate the value thereof (Article 1, Section 8)." After
Alexander
Hamilton, an Illuminist, and agent of European bankers, had immigrated to the
colonies in 1772 from the British colony of
In 1790,
Hamilton, who favored Central Banking, urged the Congress to charter a
privately owned company to have the sole responsibility of issuing currency, in
order to handle the country's financial situation. His Plan called for Congress
to create a Central Banking system, with a main office in
Central
Banking was initiated by international banker William Paterson in 1691, when he
obtained the Charter for the Bank of England, which put the control of
In 1791,
When
In 1819,
the Bank was declared constitutional by Supreme Court Justice John Marshall (a
Mason), who said that Congress had the implied power to create the Bank.
People
began to see how much power the Bank really had, and the voter backlash led to
the election of Andrew Jackson as President in 1828. His slogan was: "Let
the people rule."
After
fiscal mismanagement by its first President, former Secretary of the Navy,
Captain William Jones, the Bank was forced to call in loans and foreclosed on
mortgages, which caused bankruptcy, a price collapse, unemployment and a depression.
However, the Bank began to flourish under its new President, financier Nicholas
Biddle(1786-1844), who petitioned the Congress for a renewal of the Bank's
Charter in 1832, four years before its current charter expired. The Bill for
the new Charter passed the Senate, 28-20, and the House 107-85, and everyone
knew how
James K.
Polk, the Speaker of the House (who later became the 11th President in 1845)
said: "The Bank of the
The Bank
continued to operate until 1836, and it was used by Biddle to wreak havoc upon
the economy by reducing loans and increasing the quantity of money.
In 1837,
the Rothschilds sent another of their agents to
In 1857,
the Illuminati met in
In order
to begin a movement that would lead to the secession of the South from the
Union, the Illuminati used the Knights of the Golden Circle, which had been
formed in 1854 by George W. L. Bickley, to spread racial tension from state to
state, using slavery as an issue. War-time members included Jefferson Davis,
John Wilkes Booth and Jesse James(1847-1882, a Mason, who after stealing gold from
banks and mining companies, buried nearly $7 billion of it all over the western
states in hopes of funding a second Civil War). The Ku Klux Klan, formed in
1867, were the military arm of the Knights. The states which seceded, united
into the Confederate States of
Abraham
Lincoln informed the people that "combinations too powerful to be
suppressed by the ordinary machinery of peacetime government had assumed
control of various southern states." He had coastal ports blockaded to
keep supplies from being shipped in from
The
Rothschilds financed the North through emissaries August Belmont, Jay Cooke(who
was commissioned to sell bond issues, arranging with
Judah P.
Benjamin(l811-84) of the law firm of
Towards
the end of 1861,
On
Before
the
Salmon
P. Chase, Secretary of the Treasury(l861-64) under
On
In
Booth's trunk, coded messages were found, and the key to that code was found
among the possessions of Judah Benjamin. Benjamin had fled to
Journals
and coded papers by Colonel Lafayette C. Baker, Chief of the National Detective
Police, detailed
Captain
James William Boyd, a secret agent for the Confederacy, and a prisoner of war
in the Old Capitol Prison, was used by the National Detective Police to report
on the activities of the prisoners, and to inform on crooked guards. He looked
similar to Booth, and ironically, had the same initials.
Booth
failed twice in March, and then ended up shooting
Baker
and Detectives Luther and Andrew Potter, knew the case wasn't closed, and had
to find Booth to keep him from talking. They followed his trail to
Baker
broke off relations with Stanton, who was discharged from the Army, and as head
of the Secret Service in 1866. In 1867, in his book, the History of the U.S.
Secret Service, he admitted delivering Booth's diary to
Andrew
Johnson, who became President, issued the Amnesty Proclamation on
Sen.
Benjamin F. Wade, President pro tempore of the Senate, next in the line of
Presidential succession, was so sure that Johnson would be impeached, that he
already had his Cabinet picked.
Col.
Lafayette Baker, who threatened to reveal the conspiracy, was slowly poisoned
till he died in 1868.
President
James A. Garfield, our 20th President, also realized the danger posed by the
bankers and said: "Whoever controls the money of a nation, controls that
nation." He was assassinated in 1881, during the first year of his
Presidency.
In 1877,
in
They
advocated a progressive income tax; for railroads, communications, and
corporations to be regulated by the Federal government; the right to establish
labor unions; and government mediation to stabilize falling commodity prices
and the initiation of credit programs. They were against the gold standard, and
the country's private banking system, which was centered at Wall Street. They
were impressed with
This
political movement created the initial stirrings for what eventually became the
Federal Reserve Act.
THE
FEDERAL RESERVE ACT
The end
of the Civil War in 1865, ruined the Illuminati's chances to control our monetary
system, as they did in most European countries. So, the Rothschilds modified
their plan for financial takeover. Instead of tearing down from the top, they
were going to start at the bottom to disrupt the foundation of our monetary
system. The instrument of this destruction was a young immigrant by the name of
Jacob Schiff.
The
Schiff family traced their lineage back to the fourteenth century, and even
claimed that King Solomon was an ancestor. Jacob Schiff was born in 1847, in
Kuhn and
Loeb were German Jews who had come to the
In 1873,
at the age of 26, Jacob Schiff, with the financial backing of the Rothschilds,
bought into the Kuhn and Loeb partnership in
Although
John Pierpont Morgan (l837-1913), the top American Rothschild representative,
was the head of the American financial world, Schiff was rapidly becoming a
major influence by distributing desirable European stock and bond issues during
the Industrial Revolution. Besides Edward H. Harriman's railroad empire, he
financed Standard Oil for John D. Rockefeller (1839-1937), and Andrew
Carnegie's (1835-1919) steel empire. By the turn of the century, Schiff was
firmly entrenched in the banking community, and ready to fulfill his role as
the point man in the Illuminati's plan to control our economic system, weaken
Christianity, create racial tension, and to recruit members to get them elected
to Congress and appointed to various government agencies.
In 1636,
Miles, John, and James Morgan landed in
John
Pierpont Morgan, or as he was better known, J. P. Morgan, was born on
During
the Civil War, J. P. Morgan had sold the Union Army defective carbine rifles,
and it was this government money that helped build his Guaranty Trust Co. of
New York. In 1880, he began financing and reorganizing the railroads. After his
father died in 1890, and Drexel died in 1893, the Temporary National Economic
Committee revealed that J. P. Morgan held only a 9.1% interest in his own firm.
George Whitney owned 1.9%, and H. B. Davison held 1.2%, however, the Charles W.
Steele Estate held 36.6%, and Thomas W. Lamont(whose son, Corliss Lament, was
an active communist) had 34.2%. Researchers believe that the Illuminati
controlled the company through these shares.
In 1901,
Morgan bought out Andrew Carnegie's vast steel operation for $500,000,000 to
merge the largest steel companies into one big company known as the United
States Steel Corporation(in which, for a time, the Rockefellers were major
stockholders).
A speech
by Senator Norris which was printed in the Congressional Record of
The
House of Morgan grew larger in 1959, when the Guaranty Trust Co. of New York
merged with the J. P. Morgan and Co., to form the Morgan Guaranty Trust Co.
They have four branch offices, and foreign offices in
Paul
Moritz Warburg(1868-1932), and his brother Felix(1871-1937), came to the
Their
brother Max(1867-1946), a major financier of the Russian Revolution (who in his
capacity as Chief of Intelligence in
Siegmund
Warburg, Eric's brother, established the banking firm of S. G. Warburg and Co.
in
The
Warburgs are another good example of how the Illuminati controls both sides of
a war. While Paul Warburg's firm of Kuhn, Loeb and Co.(who had five
representatives in the U. S. Treasury Department) was in charge of Liberty Loans,
which helped finance World War I for the
Paul and
Felix Warburg were men with a mission, sent here by the Rothschilds to lobby
for the passing of a central banking law in Congress. Colonel Ely Garrison (the
financial advisor to Presidents Theodore Roosevelt and Woodrow Wilson) wrote in
his book
In 1903,
Paul Warburg gave Schiff a memo describing the application of the European
central banking system to
In 1906,
Frank A. Vanderlip, of the National City Bank, convinced many of
On
In 1908,
Schiff laid out the final plans to seize the American monetary system. Colonel
(an honorary title) Edward Mandell House(1858-1938), the son of British
financier Thomas W. House, a Rothschild agent who made his fortune by supplying
the south with supplies from France and England during the Civil War, was
Schiff's chief representative and courier; and Bernard Baruch(1870-1965), whose
stock market speculating made him a multi-millionaire by the early 1900's, and
whose foreign and domestic policy expertise led Presidents from Wilson to
Kennedy
to seek his advice; were the two who were relied on heavily by Schiff to carry
out his plans. Herbert Lehman was also a close aide to Schiff.
President
Woodrow Wilson wrote about House (published in The Intimate Papers of Col.
House): "Mr. House is my second personality. He is my independent self.
His thoughts and mine are one. If I were in his place, I would do just as he
suggested...If anyone thinks he is reflecting my opinion, by whatever action he
takes, they are welcome to the conclusion." George Sylvester Viereck wrote
in The Strangest Friendship in History: Woodrow Wilson and Colonel House:
"When the Federal Reserve legislation at last assumed definite shape,
House was the intermediary between the White House and the financiers."
Schiff, who was known as the "unseen guardian angel" of the Federal
Reserve Act, said that the U. S. Constitution was the product of 18th century
minds, was outdated, and should be "scrapped and rewritten."
In 1908,
Sen. Nelson W. Aldrich (father-in-law of John D. Rockefeller, Jr. and
grandfather of Nelson and David Rockefeller) proposed a bill, in which banks,
in an emergency situation, would issue currency backed by federal, state, and
local government bonds, and railroad bonds, which would be equal to 75% of the
cash value of the bonds. It was harshly criticized because it didn't provide a
monetary system that would respond to the seasonal demand, and fluctuate with
the volume of trade. Aldrich was the most powerful man in Congress, and the
Illuminati's head man in the Senate. A member of Congress for 40 years, 36 of
them in the Senate, he was Chairman of the powerful Senate Finance Committee.
In the
House of Representatives, Rep. E. B. Vreeland of
The Bill
approved by the National Monetary Commission was known as the Aldrich Bill, and
formed the legislative base for the Federal Reserve Act. It was introduced as
an amendment to the Republican sponsored Payne-Aldrich Tariff Bill, in order to
have Republican support. It was based on Warburg's plan, except it would only
have 15 districts; half of the directors on the district level would be chosen
by the banks, a third by the stockholders, and a sixth by the other directors.
On the National Board: two chosen by each district; nine chosen by the
stockholders; and seven ex-officio members to be the Governor, Chairman of the
Board, two Deputy Governors, Secretary of the Treasury, Secretary of Commerce
and Labor, Secretary of Agriculture, and Comptroller of the Currency. Most people
were against the Bill, because it finally identified the banking institution as
a central bank, and the Democratic Party opposed it in the 1912 Party platform.
Aldrich
was appointed as head of the National Monetary Commission, and from 1908 -10,
at a cost of $300,000, this 16-man committee traveled around
In 1910,
Warburg gave a speech entitled, "A United Reserve Bank of the United
States", which called for a United Reserve Bank to be located in
Washington, D.C., having the capital of $100 million. The country would be
divided into 20 districts, and the system would be controlled by a Board of
Directors, which would be chosen by the banking associations, the stockholders,
and the government. Warburg said that the
President
Theodore Roosevelt said, concerning the criticism of finding capable men to
head the formation of a central bank: "Why not give Mr. (Paul) Warburg the
job? He would be the financial boss, and I would be the political boss, and we
could run the country together."
After a
conference was held at
On
All
those summoned to the secret meeting, were members of the Illuminati. They met
on a railroad platform in
Those
attending the meeting at the private hunting lodge, were said to be on a
duck-hunting expedition. They were sworn to secrecy, even addressing each other
by code names or just by their first names. Details are very sketchy,
concerning who attended the meeting, but most scenarios agree that the
following people were present: Sen. Aldrich, Frank A. Vanderlip (Vice-President
of the Rockefeller owned National City Bank), Henry P. Davison (of the J. P.
Morgan and Co.), Abram Piatt Andrew (Assistant Secretary of the Treasury, an
Assistant Professor at Harvard, and Special Assistant to the National Monetary
Commission during their European tour), Paul Moritz Warburg (of Kuhn, Loeb and
Co.), Benjamin Strong (Vice- President of Morgan's Bankers Trust Co.), Eugene
Meyer (a former partner of Bernard Baruch, and the son of a partner in the
Rothschild-owned Lazard Freres, who was the head of the War Finances
Corporation, and later gained control of the Washington Post), J. P. Morgan,
John D. Rockefeller, Col. House, Jacob Schiff, Herbert Lehman (of Lehman
Brothers), Bernard Baruch (appointed by President Wilson to be the Chairman of
the War Industries Board, which gave him control of all domestic contacts for
Allied war materials, which enabled him to make $200 million for himself while
working for the government), Joseph Seligman (a leading Jewish financier, who
founded J. & W. Seligman and Co., who had helped to float bonds during the
Civil War, and were known as "World Bankers", then later declined
President Grant's offer to serve as the Secretary of Treasury), and Charles D.
Norton (President of the First National Bank of New York).
About
ten days later, they emerged with the groundwork for a central banking system,
in the form of, not one, but two versions, to confuse the opposition. The final
draft was written by Frank Vanderlip, from Warburg's notes, and was
incorporated into Aldrich's Bill, in the form of a completed Monetary
Commission report, which Aldrich railroaded through Congress by avoiding the
term "central bank". No information was available on this meeting
until 1933, when the book The Federal Reserve Act: It's Origins and Problems,
by James L. Laughlin, appeared; and other information, which was supplied by B.
C. Forbes, the editor of Forbes Magazine. In 1935, Frank Vanderlip wrote in the
Saturday Evening Post: "I do not feel it is any exaggeration to speak of
our secret expedition to
The
banker-initiated mini-depressions, the last of which had occurred in 1907,
helped get Congressional support for the Bill, and on
Once the
new version was ready, they were a little apprehensive about introducing it in
Congress, because even if it would be passed by Congress, President Taft would
veto it, so they had to wait until they could get their own man elected. That
man was Woodrow Wilson.
The
Democrats, with the exception of Grover Cleveland's election, had been out of
power since 1869. Being a "hungry" Party, the Illuminati found them
easier to infiltrate. During the late 1800's, they began the process of changing
the Democrats from conservative to liberal, and the Republicans, from liberal
to conservative.
Rabbi
Stephen Wise, a leading Jewish activist, told an audience at the Y.M.C.A. in
The main
problem of the Democrats, was the Republican voting edge, and the lack of
money. After the Illuminati made the decision to support
The
problem of the voter registration edge was a bit more difficult, but that was a
project that the Illuminati was working on. The Russian pogroms of 1881 and
1882, in which thousands of Russians were killed; and religious persecution and
anti-Semitism in
In 1912,
with President William Howard Taft running for re-election against
Illuminati-controlled
The
Illuminati was able to get the support of perennial Democratic Presidential
candidate, William Jennings Bryan, by letting him write the plank of the Party
Platform which opposed the Aldrich Bill. Remember, the second version of the
Bill prepared at
Because
of the voting split in the Republican Party, not only was Woodrow Wilson able
to win the Presidency, but the Democrats gained control of both houses in
Congress.
DEMOCRAT
(Wilson) 435 electoral votes 6,286,214 popular votes
PROGRESSIVE
(
REPUBLICAN
(Taft) 8 electoral votes 3,483,922 popular votes
Rep.
Carter Glass of
The Wall
Street crowd was generally referred to as the "money trust". However,
a
To avoid
the mention of central banking, Wilson himself suggested that the regional
banks be called "Federal Reserve Banks", and proposed a special
session of the 63rd Congress to be convened to vote on the Federal Reserve Act.
On
The
Glass Bill (HR7837) was introduced in the House of Representatives on
Sen.
Robert Latham Owen of
In the
Senate, the Glass Bill was referred to the Senate Banking Committee, and
reported back to the Senate on
Since
different versions had been passed by both Houses, a Conference Committee was
established, which was stacked with six Democrats and only two Republicans, to
insure that certain portions of the original Bill would remain intact. It was
hastily prepared without any public hearings, and on December 23, 1913, two
days before Christmas, when many Congressmen, and three particular Senators,
were away from Washington, the Bill was sent to the House of Representatives,
where it passed 298-60, and then sent to the Senate, where it passed with a
vote of 43-25(with 27 absent or abstaining). An hour after the Senate vote,
Although
Wilson, and Rep. Carter Glass were given the credit for getting the Federal
Reserve Act through Congress, William Jennings Bryan played a major role in
gaining support to pass it.
Eustace
Mullins, in his book The Federal Reserve Conspiracy, wrote: "The money and
credit resources of the United States were now in complete control of the
banker's alliance between J. P. Morgan's First National Bank, and Kuhn &
Loeb's National City Bank, whose principal loyalties were to the international
banking interests, then quartered in London, and which moved to New York during
the First World War."
The
Reserve Bank Organization Committee, controlled by Secretary of the Treasury,
William Gibbs McAdoo, and Secretary of Agriculture David F. Houston (who along
with Glass, later became Treasury Secretaries under Wilson), was give $100,000
to find locations for the regional Reserve Banks. With over 200 cities
requesting this status, hearings were held in 18 cities, as they traveled the
country in a special railroad car.
On
Col.
House, who
House
hand-picked the first Federal Reserve Board, naming Benjamin Strong as its
Chairman. In 1914, Paul M. Warburg quit his $500,000 a year job at Kuhn, Loeb
and Co. to be on the Board, later resigning in 1918, during World War I,
because of his German connections.
The
Banking Act of 1935 amended the Federal Reserve Act, changing its name to the
Federal Reserve System, and reorganizing it, in respect to the number of directors
and length of term.
Headed
by a seven member Board of Governors, appointed by the President, and confirmed
by the Senate for a 14 year term, the Board acts as an overseer to the nation's
money supply and banking system,
The
Board of Governors, the President of the Federal Reserve Bank in
There
are twelve Federal Reserve Banks, in twelve districts: Boston (MA), Cleveland
(OH), New York (NY), Philadelphia (PA), Richmond (VA), Atlanta (GA), Chicago(
IL) , St. Louis (MO), Minneapolis (MN), Kansas City (KS), San Francisco (CA),
and Dallas (TX). The twelve regional banks were set up so that the people
wouldn't think that the Federal Reserve was controlled from New York. Each of
the Banks have nine men on the Board of Directors; six are elected by member
Banks, and three are appointed by the Board of Governors.
They
have 25 branch Banks, and many member Banks. All Federal Banks are members, and
four out of every ten commercial banks are members. In whole, the Federal
Reserve System controls about 70% of the country's bank deposits. Ohio Senator,
Warren G. Harding, who was elected to the Presidency in 1920, said in a 1921
Congressional inquiry, that the Reserve was a private banking monopoly. He
said: "The Federal Reserve Bank is an institution owned by the
stockholding member banks. The Government has not a dollar's worth of stock in
it." His term was cut short in 1923, when he mysteriously died, leading to
rumors that he was poisoned. This claim was never substantiated, because his
wife would not allow an autopsy.
Three
years after the initiation of the Federal Reserve, Woodrow Wilson said: The
growth of the nation...and all our activities are in the hands of a few men...
We have come to be one of the worst ruled; one of the most completely
controlled and dominated governments in the civilized world...no longer a
government of free opinion, no longer a government by conviction and the free
vote of the majority, but a government by the opinion and duress of a small
group of dominant men."
In 1919,
John Maynard Keynes, later an advisor to Franklin D. Roosevelt, wrote is his
book The Economic Consequences of Peace: "Lenin is to have declared that
the best way to destroy the capitalist system was to debauch the currency...By
a continuing process of inflation, governments can confiscate secretly and
unobserved, an important part of the wealth of their citizens...As the
inflation proceeds and the real value of the currency fluctuates wildly from
month to month, all permanent relations between debtors and creditors, which
form the ultimate foundation of capitalism, become so utterly disordered as to
be almost meaningless..."
Congressman
Charles August Lindbergh, Sr., father of the historic aviator, said on the
floor of the Congress: "This Act establishes the most gigantic trust on
Earth...When the President signs this Act, the invisible government by the
Money Power, proven to exist by the Money Trust investigation , will be
legalized...This is the Aldrich Bill in disguise...The new law will create
inflation whenever the Trusts want inflation...From now on, depressions will be
scientifically created... The worst legislative crime of the ages is
perpetrated by this banking and currency bill." Lindbergh supposedly paid
for his opposition to the Illuminati. When there appeared to be growing support
for his son Charles to run for the Presidency, his grandson was kidnapped, and
apparently killed.
Rep.
Henry Cabot Lodge, Sr. said of the Bill (Congressional Record, June 10, 1932):
"The Bill as it stands, seems to me to open the way to vast expansion of
the currency...I do not like to think that any law can be passed which will
make it possible to submerge the gold standard in a flood of irredeemable paper
currency."
On
December 15, 1931, Rep. Louis T. McFadden, who for more than ten years served
as Chairman of the Banking and Currency Committee in the House of
Representatives, said: "The Federal Reserve Board and banks are the duly
appointed agents of the foreign central banks of issue and they are more
concerned with their foreign customers than they are with the people of the
United States. The only thing that is American about the Federal Reserve Board
and banks is the money they use..." On June 10, 1932, McFadden, said in an
address to the Congress: "We have in this country one of the most corrupt
institutions the world has ever known. I refer to the Federal Reserve Board and
the Federal Reserve Banks...Some people think the Federal Reserve Banks are
United States Government institutions. They are not Government institutions.
They are private credit monopolies which prey upon the people of the United
States for the benefit of themselves and their foreign customers...The Federal
Reserve Banks are the agents of the foreign central banks...In that dark crew
of financial pirates, there are those who would cut a man's throat to get a
dollar out of his pocket...Every effort has been made by the Federal Reserve
Board to conceal its powers, but the truth is the FED has usurped the
government. It controls everything here (in Congress) and controls all our
foreign relations. It makes and breaks governments at will...When the FED was
passed, the people of the United States did not perceive that a world system
was being set up here...A super-state controlled by international bankers, and
international industrialists acting together to enslave the world for their own
pleasure!"
On May
23, 1933, McFadden brought impeachment charges against the members of the
Federal Reserve:
"Whereas
I charge them jointly and severally with having brought about a repudiation of
the national currency of the United States in order that the gold value of said
currency might be given to private interests..."
"I
charge them...with having arbitrarily and unlawfully taken over $80,000,000,000
from the United States Government in the year 1928..."
"I charge
them...with having arbitrarily and unlawfully raised and lowered the rates on
money...increased and diminished the volume of currency in circulation for the
benefit of private interests..."
"I
charge them...with having brought about the decline of prices on the New York
Stock Exchange..."
"I
charge them...with having conspired to transfer to foreigners and international
money lenders, title to and control of the financial resources of the United
States..."
"I charge
them...with having published false and misleading propaganda intended to
deceive the American people and to cause the United States to lose its
independence..."
"I
charge them...with the crime of having treasonably conspired and acted against
the peace and security of the United States, and with having treasonably
conspired to destroy the constitutional government of the United States."
In 1933,
Vice-President John Garner, when referring to the international bankers, said:
"You see, gentlemen, who owns the United States."
Sen.
Barry Goldwater wrote in his book With No Apologies: "Does it not seem
strange to you that these men just happened to be CFR and just happened to be
on the Board of Governors of the Federal Reserve, that absolutely controls the
money and interest rates of this great country. A privately owned
organization...which has absolutely nothing to do with the United States of
America!"
Plain
and simple, the Federal Reserve is not part of the Federal Government, it is a
privately held corporation owned by stockholders. That is why the Federal
Reserve Bank of New York (and all the others) is listed in the Dun and
Bradstreet Reference Book of American Business (Northeast, Region 1,
Manhattan/Bronx). According to Article I, Section 8 of the U. S. Constitution,
only Congress has the right to issue money and regulate its value, so it is
illegal for private interests to do so. Yet, it happened, and because of a
provision in the Act, the Class A stockholders were to be kept a secret, and
not to be revealed. R. F. McMaster, who published a newsletter called The
Reaper, through his Swiss and Saudi Arabian contacts, was able to find out
which banks held a controlling interest in the Reserve: the Rothschild Banks of
London and Berlin; Lazard Brothers Bank of Paris; Israel Moses Seif Bank of
Italy; Warburg Bank of Hamburg and Amsterdam; Lehman Brothers Bank of New York;
Kuhn, Loeb, and Co. of New York; Chase Manhattan Bank of New York; and Goldman,
Sachs of New York. These interests control the Reserve through about 300
stockholders.
Because
of the way the Reserve was organized, whoever controls the Federal Reserve Bank
of New York, controls the system, About 90 of the 100 largest banks are in this
district. Of the reportedly 203,053 shares of the New York bank: Rockefeller's
National City Bank had 30,000 shares; Morgan's First National Bank had 15,000
shares; Chase National, 6,000 shares; and the National Bank of Commerce (Morgan
Guaranty Trust), 21,000 shares.
A June
15, 1978 Senate Report called "Interlocking Directorates Among the Major
U.S. Corporations" revealed that five New York banks had 470 interlocking
directorates with 130 major U.S. corporations: Citicorp(97), J. P. Morgan
Co.(99), Chase Manhattan(89), Manufacturers Hanover(89), and Chemical Bank(96).
According to Eustace Mullins, these banks are major stock holders in the FED.
In his book World Order. he said that these five banks are "controlled
from London." Mullins said: "Besides its controlling interest in the
Federal Reserve Bank of New York, the Rothschilds had developed important
financial interests in other parts of the United States...The entire
Rockefeller empire was financed by the Rothschilds."
A May,
1976 report of the House Banking and Currency Committee indicated: "The
Rothschild banks are affiliated with Manufacturers Hanover of London in which
they hold 20 percent...and Manufacturers Hanover Trust of New York." The
Report also revealed that Rothschild Intercontinental Bank, Ltd., which
consisted of Rothschild banks in London, France, Belgium, New York, and
Amsterdam, had three American subsidiaries: National City Bank of Cleveland,
First City National Bank of Houston, and Seattle First National Bank. It is
believed, that the Rothschilds hold 53% of the stock of the U.S. Federal
Reserve.
Each
year, billions of dollars are "earned" by Class A stockholders, from
U. S. tax dollars which go to the FED to pay interest on bank loans.
How
about our Gold reserves. First, lets take a brief look at the history of the
two metals used for currency. The Coinage Act of 1792 established a dollar
consisting of 371.25 grains of pure silver, but was later replaced with a gold
dollar consisting of 25.8 grains of gold. In 1873, the Coinage Act was passed,
prohibiting the use of Silver as a form of currency, because the quantity being
discovered was driving the value down. In 1875, after temporarily suspending
gold convertibility during the Civil War greenback period, the U. S. was put
more firmly on the gold standard by the Gold Standard Act of 1900. From 1900 to
1933, gold was coined by the U. S. Mint, and our paper currency was tied into
the amount of gold held in the U. S. Treasury reserves.
In July,
1927, the directors of the Bank of England, the New York Federal Reserve Bank,
and the German Reichsbank, met to plan a way to get the gold moved out of the
United States, and it was this movement of gold which helped trigger the
depression. By 1928, nearly $500 million in gold was transferred to Europe.
President
Franklin D. Roosevelt accepted the advice of England's leading economist, John
Maynard Keynes(1883-1946), a member of the Illuminati, who said that deficit
spending would be a shot in the arm to the economy. Most of the New Deal
spending programs to fight economic depression, were based on Keynes theories
on deficit spending, and financed by borrowing against future taxes. In 1910,
Lenin said: "The surest way to overthrow an established social order is to
debauch its currency." Nine years later, Keynes wrote: "Lenin was
certainly right, there is no more positive, or subtler, no surer means of
overturning the existing basis of society than to debauch the currency...The
process engages all of the hidden forces of economic law on the side of
destruction, and does it in a manner that not one man in a million is able to
diagnose."
A
Presidential Executive Order by Roosevelt on April 5, 1933, required all the
people to exchange their gold coins, gold bullion, and gold-backed currency,
for money that was not redeemable in precious metals. The Gold Reserve Act of
1934, known as the Thomas Amendment, which amended the Act of May 12, 1933,
made it illegal to possess any gold currency(which was rescinded December 31,
1974). Gold coinage was withdrawn from circulation, and kept in the form of
bullion. Just as the public was to return all their gold to the U. S.
Government, so was the Federal Reserve. However, while the people received
$20.67 an ounce in paper money issued by the Federal Reserve, the Reserve was
paid in Gold Certificates. Now the Federal Reserve, and the Illuminati, had
control of all the gold in the country.
In 1934,
the value of gold increased to $35 an ounce, which produced a $3 billion profit
for the Government. But when the price of gold increases, the value of the
dollar decreases. Our dollar has not been worth 100 cents since 1933, when we
were taken off of the Gold Standard. In 1974, our dollar was worth 221/2 cents,
and in l983 it was only worth 38 cents. Since our money supply had been limited
to the amount of gold in Treasury reserves, when the value of the dollar
decreased, more money was printed.
The
first United Nations Monetary and Financial Conference, held in Bretton Woods,
New Hampshire, from July 1 to July 22, 1944, which was under the direction of
Harry Dexter Wnite(CFR member, and undercover Russian spy), established the
policies of the International Monetary Fund. Its goals were to strip the United
States of its gold reserves by giving it to other nations; and to merge with
their industrial capabilities; and their economic, social, educational and
religious policies; to facilitate a one-world government.
Because
of paying off foreign obligations and strengthening foreign economies, between
1958 and 1968, the amount of gold bullion in the possession of the U. S.
Treasury dropped by 52%. Of the amount remaining, $12 billion was reserved by
law for backing the paper money in circulation. Our money had been backed by a
25% gold reserve in accordance to a law that was passed in 1945, but it was
rescinded in 1968. The amount of gold slipped from 653.1 million troy ounces in
1957, to 311.2 million ounces in 1968, which according to the Treasury
Department, was due to sales to foreign banking institutions, sales to domestic
producers, and the buying and selling of gold on the world market to stabilize
prices. This was a loss of 341.9 million troy ounces. In August, 1971, gold was
used only for world trade, because foreign countries wouldn't accept U. S.
dollars. As of November, 1981, sources had indicated that the gold reserve had
dropped to 264.1 million troy ounces.
Title 31
of the U. S. Code, requires an annual physical inventory of our gold supply,
but a complete audit was never done, so officially, nobody knows what has
occurred. After World War II, America had 70% of the World's supply of loose
gold, but today, we may have less than 7%. Sen. Jesse Helms seemed to think
that the OPEC nations have our gold, while others believe that 70% of the
world's gold supply is being held by the World Bank, which is dominated by the
financial grip of the Rothschilds and the Rockefellers. I have received
information from a gentleman in Michigan which indicates that counterfeit
$5,000 and $10,000 Federal Reserve Notes have been used to steal U.S. gold
reserves. Illegal to
own,
these notes are actually checks which are used to transfer ownership of large
amounts of gold without actually moving the gold itself. Using public records,
he shows the serial numbers of the bills which were originally printed, and how
there are now more in existence.
It has
been reported that 40%(13,000 tons) of the world's gold is five levels below
street level, in a sub-basement of the New York Federal Reserve Bank, behind a
90-ton revolving door. Some of it is American-owned, but most is owned by the
central banks of other countries. It is stored in separate cubicles, and from
time to time, is moved from one cubicle to another to satisfy international
transactions.
Now lets
look at Silver. After March, 1964, Silver certificates were no longer convertible
to Silver dollars; and in March, 1968, near the conclusion of the Johnson
Administration, Silver backing of the dollar was removed. On the 1929 series of
notes, it read: "Redeemable in gold on demand at the United States
Treasury, or in gold or lawful money at any Federal Reserve Bank." This
was just like the Silver Certificate, which was guaranteed by a dollar in
silver that was on deposit. On the 1934 series of notes, it read: "This
note is legal tender for all debts, public and private, and is redeemable in
lawful money at the United States Treasury, or at any Federal Reserve
Bank." The 1950 series bore the same information, but reduced it to three
lines, and reduced the size of the type. In the 1953 series, the wording was
totally removed, although the bottom portion contained a promise to "pay
the bearer on demand." However, in 1963, even that message was removed,
and our dollars became nothing more than worthless pieces of paper because they
no longer met the legal requirements of a note, which meant it had to list an
issuing bank, and amount payable, a payee or 'bearer', and a time for payment,
which was 'on demand'.
Since
1933, the Reserve has been printing too much money, compared to the declining
Gross National Product(GNP). The GNP is the accumulated values of services and
goods produced in the country. If the GNP is 4%, then the money produced should
only be about 5-6%, thus insuring enough money to keep the goods produced by
the GNP in circulation. Additional social services, which are promised during
election year rhetoric to gain votes, increase the Federal Budget, so more
money is printed. Then the Government will cut the Budget, establish wage and
price controls. The extra money in circulation decreases the value of the
dollar, and prices go up. Simply put, too much money in circulation causes
inflation, and that is what the Reserve is doing, purposely printing too much
money in order to destroy the economy. On the other hand, if they would stop
printing money, our economy would collapse.
The
Reserve is responsible for setting the interest rate that member banks can
borrow from the Reserve, thus controlling the interest rates of the entire
country. So what it boils down to, the Federal Reserve determines the amount of
money needed, which is created by the International Bankers out of nothing.
Besides the face value, they charge the government 3¢ to produce each bill. The
Federal government pays the Reserve in bonds(which are also printed by the
Reserve), and then pay the bonds off at a high rate of interest. That interest
will very soon become the largest item in the Federal Budget.
William
McChesney Martin, a member of the Council on Foreign Relations, and Chairman of
the Federal Reserve during the 'New Frontier' years of the Kennedy Administration,
testified to the Federal Banking Committee, that the value of the dollar was
being scientifically brought down each year by 3-31/2 %, in order to allow
wages to go up. The reasoning behind this, was that the people were being made
to think that they were getting more, when in fact they were really getting
less.
The
Congress has also contributed to this process, by approving Federal Budgets,
year after year, which requires the printing of more money to finance the debt,
which is now over $ 4,800,000,000,000(4.8 trillion). When Wilson was President,
the debt was about $1 billion, and in 1974, the debt was about $1 trillion.
In 1937,
Rep. Charles G. Binderup of Nebraska, realizing the consequences of the Federal
Reserve System, called for the Government to buy all the stock, and to create a
new Board controlled by Congress to regulate the value of the currency and the
volume of bank deposits, thus eliminating the FED's independence. He was
defeated for re-election. Others have also tried to introduce various Bills to
control the Federal Reserve: Rep. Goldborough (l935), Rep.Jerry Voorhis of
California(l940, 1943), Sen. M. M. Logan of Kentucky, and Rep. Usher L. Burdick
of North Dakota.
Rep.
Wright Patman of Texas (who was the House Banking Chairman until 1975), said in
1952: "In fact there has never been an independent audit of either the
twelve banks of the Federal Reserve Board that has been filed with the
Congress...For 40 years the system, while freely using the money of the
government, has not made a proper accounting." Patman, said that the
Federal Open Market Committee (who, in addition to the Board of Governors,
decide the country's monetary policy) is "one of the most secret
societies. These twelve men decide what happens in the economy...In making
decisions they check with no one - not the President, not the Congress, not the
people." Patman also said:
"In
the United States we have, in effect, two governments...We have the duly
constituted Government...Then we have an independent, uncontrolled and
uncoordinated government in the Federal Reserve System, operating the money
powers which are reserved to Congress by the Constitution." During his
career, Patman has sought to force the FED to allow an independent audit,
lessen the influence of the large banks, shorten the terms of the FED
Governors, expose it to regular Congressional review just like any other
Federal agency, and to have only officials nominated by the President and
confirmed by Congress to be on the Federal Open Market Committee. In 1967,
Patman tried to have them audited, and on January 22, 1971, introduced HR11,
which would have altered its organization, diminishing much of its power. He
was later removed from the Chairmanship of the House Banking and Currency
Committee, which he held for years.
On
January 22, 1971, Rep. John R. Rarick of Louisiana introduced HR351: "To
vest in the Government of the United States the full, absolute, complete, and
unconditional ownership of the twelve Federal Reserve Banks." He said:
"The Federal Reserve is not an agency of government. It is a private
banking monopoly." He was later defeated for re-election. During the
1980's, Rep. Phil Crane of Illinois introduced House Resolution HR70 that
called for an annual audit of the FED (which never came to a full vote); and
Rep. Henry Gonzales of Texas introduced HR1470, that called for the repeal of
the Federal Reserve Act.
The
Federal Reserve System has never been audited, and their meetings, and minutes
of those meetings, are not open to the public. They have repelled all attempts
to be audited. In 1967, Arthur Burns, the Chairman of the Federal Reserve, said
that an audit would threaten the independence of the Reserve.
In 1979,
after dismissing Secretary of Treasury, Michael Blumenthal, President Jimmy
Carter offered the position to American Illuminati chief, David Rockefeller,
the CEO of Chase-Manhattan Bank, as did Nixon, but he turned it down. He also
turned down the nomination for the Chairmanship of the Federal Reserve Board.
Carter then appointed Paul Volcker as Chairman. Volcker graduated from
Princeton with a degree in Economics, and from Harvard, with a degree in Public
Administration. He was an economist with the Federal Reserve Bank of New
York(1952-57), worked at the Chase Manhattan Bank(1957-61), was with the U.S.
Treasury Department(l961-65), Deputy Under Secretary for Monetary
Affairs(1963-65), Under Secretary for Monetary Affairs(1969-74), and President
of the New York Federal Reserve Bank(1975-79). In the Nixon Administration, as
the Under Secretary for Monetary Policy and International Affairs, the
executive branch official who works most closely with the Federal Reserve, he
and Treasury Secretary John Connally helped formulate the policy that took us
off the gold standard in 1971, because of the dwindling gold reserves at Fort
Knox. Volcker was chosen because he was the "candidate of Wall
Street". He was a Trilateralist, and a major Rockefeller supporter. Bert
Lance, the Georgia banker and political advisor to Carter who became his Budget
Director, and was later forced to resign, contacted Gerald Rafshoon, a Carter
aide, and said that if Volcker would be appointed, he would be "mortgaging
his re-election to the Federal Reserve." Lance predicted that he would
bring high interest rates and high unemployment. He was confirmed by the Senate
Banking Committee in August, 1979, replacing Arthur Burns, an Austrian-born
economist who was a CFR member with close ties to the Rockefellers. Volcker was
against a gold-back dollar, and gold being used as a form of currency. He
attempted to tighten the money situation in order to curb the 10% annual growth
in the money supply, and to ease the pressure of loan demand. The result was a
dramatic increase in interest rates, which climbed to 131/2 % by September,
1979, and then soared to 211/2 % by December, 1980.
Conjecture
could dictate that this economic decline was purposely engineered to cause the
political decline of Carter. In response to the rising interest rates, Carter
said: "As you well know, I don't have control over the FED, none at all.
It's carefully isolated from any influence by the President or the Congress.
This has been done for many generations and I think it's a wise thing to
do." Even though inflation had skyrocketed to all-time highs, Reagan kept
Volcker on. It was Volcker who started the collapse of the U. S. economy.
During
the 1970's, many banks had left the Federal Reserve, and in December, 1979,
Volcker told the House Banking Committee that "300 banks with deposits of
$18.4 billion have quit the FED within the past 41/2 years," and that
another 575 of the remaining 5,480 member banks, with deposits of $70 billion,
had indicated that they intended to withdraw. He said that this would curtail
their control over the money supply, and that led Congress, in 1980, to pass
the Monetary Control Act, which gave the Federal Reserve control of all banking
institutions, regardless if they are members or not.
Alan
Greenspan, who became the Chairman of the Federal Reserve Board in 1987, is a
member of the Council of Foreign Relations. He has a bachelor's and master's,
degree, and a doctorate in Economics from New York University. He met Ayn Rand,
the author of Atlas Shrugged, in 1952, and they became friends. It is from her that
he learned that capitalism "is not only efficient and practical, but also
moral." In February, 1995, the seventh increase in the interest rate,
within the period of a year, took place. This put Greenspan in the limelight,
as well as the Federal Reserve. It was very interesting how the media spin
doctors churned out information that totally skirted the issue concerning the
FED's actual role in controlling our economy.
In the
mid-1970's, Paper 447, Article 3, from the World Bank, said that the World economy
would be fairly stable until 1980, when it would begin falling, in domino
fashion. On October 29, 1975, the Wall Street Journal printed a comment by H.
Johannes Witteveen, Managing Director of the United Nation's International
Monetary Fund, that the IMF "ought to evolve into a World Central
Bank...to prevent inflation." Dr. H. A. Murkline, Director of the
International Institute University in Irving, Texas, wrote in World Oil: 1976,
that he projected that the Federal Government could only hold out till the end
of 1981. Dow Theory Letters, Inc. reported that by 1982, the cost of dealing
with the national debt "would eat up all the government tax money
available."
The
Robbins Report of January 15, 1978, said: "If Carter introduces Bancor,
which will be the yielding of our dollar to the ECU (European Currency Unit),
this is what will happen: look for hyperinflation and collapse of all the
world's paper money before 1985." Julian Snyder said in the International
Money Line of February, 1978: "The United States is trying to solve its
problem through currency depreciation (debasement)...it will not work. If the
crash does not occur this year, it could be postponed until 1982."
On March
13, 1979, while meeting at Strasbourg, France, the Parliament of Europe, which
governs the European Economic Community (Common Market), oversaw the
establishment of a new European money system. Known as the ECU, it was backed
by 20% of the participating countries' gold reserves (about 3,150 tons). What
little strength our dollar had, came from the fact that all nations buying oil
from OPEC, had to use U. S. dollars. Then came the word in March, 1980, from
Arab diplomatic sources at the United Nations that the Chase Manhattan Bank was
making plans to drop the dollar in lieu of the ECU.
Dr.
Franz Pick, a well known authority on world currency, said in December, 1979,
in the Silver and Gold Report: "The most serious problem we face today is
the debasement of our currency by the government. The government will continue
to debase the dollar until...within 12-24, months it will shrink to l¢...at
which time Washington will be forced to create the new hard currency...A
currency reform is nothing but a fancy name for state bankruptcy...A currency
reform completes the expropriation of all kinds of savings...it will wipe out
all public and private bonds, most pensions; all annuities, and all
endowments."
Even
though our economy continues to hang on, more and more financial analysts are
talking about the disastrous condition of our financial system. In 1992,
independent Presidential candidate H. Ross Perot garnered nearly 20% of the
vote by making the state of the economy an issue during the campaign. In 1993,
Sen. Bob Kerrey (Democrat, NE) promised to support President Bill Clinton's
Budget Plan, if Clinton would appoint a Committee to study the condition of the
American economy. The President established a 32-member bipartisan committee
and in August, 1994, they issued their report. According to the committee's
findings, by the year 2012, unless drastic changes are made, we won't even be
able to pay the interest on the national debt. Knowing this, if the federal
government allows the current trend to continue, then it is obvious that the
destruction of the American economy has been part of a deliberate plot to
financially enslave our nation.
Dr. Pick
said that late 1983, or early 198~ was the target date for the "new
money". Carl Mintz, a staff member of the House Banking Committee, had
said: "I believe it's in the billions of dollars, and it's buried in lots
of places." It is believed to be already printed, and stored at the
Federal Reserve Emergency Relocation Facility in Culpepper, Virginia, which is
built into the side of a mountain, and would be able to continue functioning
during the aftermath of a nuclear or natural disaster; and the 200,000 sq. ft.
Federal Reserve underground facility in Mt. Weather, Virginia (near
Berryville), which is the primary relocation area for the President, Cabinet
Secretaries, Supreme Court Justices, and several thousand federal employees
(Congress would be relocated to an underground facility in White Sulphur
Springs, West Virginia). When our monetary system is finally destroyed, the new
money will be issued.
Rep. Ron
Paul, Republican from Texas, who was on the Committee on Banking, Finance and
Urban Affairs, wrote about the new money in a letter to Charles T. Roberts,
Executive Vice-President of the Hull State Bank in Texas: "In a closed
briefing for the members of the House Banking Committee on November 2nd,
representatives of the Bureau of Engraving and Printing, the Federal Reserve,
and the Secret Service described plans for making changes in Federal Reserve
Notes beginning in 1985(although the long range target is 1988)...These
changes, which will probably include taggents, security threads, and colors,
and may include holograms, diffraction gratings, or watermarks, will be made in
coordination with six other nations: Canada, Britain, Japan, Australia, West
Germany and Switzerland. Japan, for example, will begin recalling its present
currency in November, 1984, and have it nearly completed within six
months...According to the government, the only reason for the currency changes
is to deter counterfeiting. Although it was admitted by one spokesman in the group
that there would have to be a call-in of our present currency for new currency
to work, the spokesmen for the government were adamant in saying that there was
no other motive for a currency change..." According to law, the Treasury
Secretary has the authority to change the currency.
Over $3
million had been spent under "counterfeit prevention" authority for
the development of the new money, which according to the Currency Design Act
(HR6005) hearings, would be issued by the Federal Reserve Board. It was first
reported by the Patterson Organization in Cincinnati, Ohio, that in a July,
1983 market survey in Buena Park, California, people were shown proposed
designs for "new U. S. dollar bills." The variations shown, consisted
of each denomination being a different color; Federal Reserve seals replaced
with a design utilizing reflective ink; and other optical devices like
holograms (a process which produces a 3-dimensional image which can change
color depending on the angle it is viewed), and multilayer diffraction gratings
(similar to a hologram); as well as bills containing metal security threads,
and planchettes (red and blue colored discs incorporated into the paper,
similar to threads) to trigger scanning equipment which would detect its
presence, and to sort cash faster. A consumer research firm from Illinois was
hired by the Treasury Department to gauge the public's reactions to the various
designs.
It was
shown that a drastic change would not be accepted, so a process of
incrementalism was adopted. It was decided that the Bureau of Printing and
Engraving would have a fine metallic strip running through the currency,
leaving the basic design intact; however, they later decided to use a clear
imprinted polyester strip, woven into the paper, running vertically on the left
side of the Federal Reserve Seal. The length of the translucent polyester
filament reads "USA1OO" for $100 bills, and "USA5O" for $50
bills, and can only be read if held up to direct light. It was reported that a
company called Checkmate Electronics, Inc., which manufactures the equipment
needed to scan checks, scanned the new money, and found the strip to contain
"machine detectable" aluminum. Their scan produced an indecipherable
bar code. Though the basic design did not change, there is microscopic type
printed around the picture which reads, "The United States of
America", but appears to only be a line. This currency was introduced in
August, 1991, with $100, $50 bills and $20 bills, and the Government
discontinued printing any of the old money, and began emptying their vaults to
get rid of the old bills.
The
International Monetary Fund has been responsible for the decline of our dollar,
and our present economic situation. The first step to initiating this
"crash" was the Monetary Control Act of 1980, which instead of a 6:1
ratio, mandated the Federal Reserve to only have one dollar on deposit for
every twelve they create. Further plans were made during a meeting of Western
leaders at Williamsburg, Virginia, on May 28-30, 1983.
International
cooperation has been intense to coordinate currency changes among its member
governments. In 1985, officials from the Morgan Bank in New York met with the
Credit Lyonnais Bank in France. They established the European Currency Unit
Banking Association (ECUBA), to get world cooperation for a unified currency,
and had support from bankers in Europe, Japan, and the United States. It was an
offshoot of the Banking Federation of the European Community (BFEC), which has
been engaged in shutting down small banks in order to develop a conglomerate of
a few huge banks. In October, 1987, the Association for the Monetary Union of
Europe (AMUE), secretly met and recommended that the ECU (European Currency
Unit) replace existing national currencies; and that all European Central Banks
be combined into one and issue the ECU as the official unified currency (which
is scheduled to occur in the year 2000). It is believed that the plan is to
have only three central banks in the world: The Federal Reserve Bank, the
European Central Bank, and the Central Bank of Japan. In a June, 1989 hearing
of the Senate Banking Securities Subcommittee, Alan Greenspan, Chairman of the
Federal Reserve, said that exchange rates could be fixed in order to solve the
problem of uniformity between the currencies of various nations.
Many
countries had planned to come out with new money, such as Switzerland, the
United Kingdom, Japan, Canada, France, Germany, Australia, and Brazil. Of the
countries that already had, most currencies had a common 1" square,
usually on the left side of the bill. Held over a light, a hologram appears on
the spot, barely visible to the naked eye, which cannot be reproduced on a
copier. It is believed that this spot is reserved for a central World Bank
overprint. They also contain metallic strips that can be detected when they
pass through scanners at airports and international borders.
On May
10, 1994, USA Today carried a page-one article concerning major changes in the
design of the paper currency, which is expected to take place by the end of the
year. Officials from the Department of the Treasury, the Secret Service, and
the Bureau of Engraving said that the changes were necessary to combat
counterfeiters. The minor changes they had made before, for the same reason,
had stopped with the twenty dollar bill, which kind of leads me to believe that
the changes were just a smokescreen to prepare us for bigger changes in the
appearance of the money. The article was accompanied with a picture of the new
$100 bill, with a larger portrait of Benjamin Franklin which has been pushed to
the right side of the bill, and the Eagle in the center. The line "United
States of America" appears along the top right, and the line "One Hundred
Dollars" appears on the lower left, with the serial number being placed
over that. There is a conspicuous open spot on the left side of the bill, very
similar to the new currency in other countries.
Some
financial experts have theorized that when every denomination is changed over
to the new money, that the business sector may not want to accept old bills,
which would then become worthless, and could create a financial emergency.
Federal officials have said that the old money would be accepted, but
scrutinized. It has been suggested that the government could really take
advantage of the situation, that in order for people to exchange their old
money for new, an exchange rate may be determined which would benefit the
economy. For example, it may take two old dollars to exchange for a new one.
Or
perhaps, the new money is just a transitional currency, the first step in
testing the public's willingness to accept economic change. The Reserve had
about seven currency sorting machines which counted up to 55,000 bills per minute,
but by the end of 1983, they were to receive 110 new machines which could count
up to 72,000 bills per minute. Jane Kettleson, an economic consultant to the U.
S. Paper Exchange, said that shortly, "the FED will have the capability to
physically replace the entire U. S. currency in circulation in just four days
time."
The
institution of a common world-wide currency may be delayed because of the
possibility of moving right to a cashless system, making paper money obsolete.
If this is the case, there would be a massive campaign to promote debit cards
and a move to accommodate their use in all aspects of business. The Visa
MagiCard seems to be the first step towards a national debit card. With this
card, you can make purchases at any of the 10 million merchants who accept
Visa, and have the amount electronically deducted from your checking account.
Financial experts believe that in only a few years, there will be more debit
cards than credit cards.
In a
letter to Edward M. House (President Wilson's closest aide), dated November 23,
1933, Franklin D. Roosevelt said: "The real truth of the matter is, and
you and I know, that a financial element in the large centers has owned the
government of the