Dark Skinny

Yet more evidence of the US government’s strange, controlling agenda over its adoring masses but from within their very own political and foreign policies, their politically correct agencies only ever seem to present veiled and well-disguised excuses regarding outcomes and true intent  to their bewildered electorate. These perpetual and inaccurate excuses allow the US govt. agencies to easily withhold information and to bend the truth without  any oversight or responsibility.  Above all, the article below presents some choice examples and twists of The Convenient Truth vs The Inconvenient Reason and the article even illustrates and witnesses the ongoing destruction of the US Constitution — a document that embeds and is supposed to protect all freedoms for all Americans. But, clearly, all these freedoms are now stealthily defecting to the US govt. down a very dark and ill-lit one-way street, while the citizen must happily bear and suffer the infraction of less and less freedoms.

The article below was written by Paul Craig Roberts, a well known  American, and is perhaps a scream of frustration and a sheer condemnation against what American governance has become. This article even succeeds in suggesting or redefining a new form of American patriotism…

From GlobalReseach.com
By Paul Craig Roberts

Americans have lost their ability for introspection, thereby revealing their astounding hypocrisy to the world.

US War Secretary Robert Gates has condemned the Associated Press and a reporter, Julie Jacobson, embedded with US troops in Afghanistan, for taking and releasing a photo of a US Marine who was wounded in action and died from his injury.

The photographer was on patrol with the Marines when they came under fire. She found the courage and presence of mind to do her job. Her reward is to be condemned by the warmonger Gates as “insensitive.” Gates says her employer, the Associated Press, lacks “judgment and common decency.”

The American Legion jumped in and denounced the Associated Press for a “stunning lack of compassion and common decency.”

To stem opposition to its wars, the War Department hides signs of American casualties from the public. Angry that evidence escaped the censor, the War Secretary and the American Legion attacked with politically correct jargon: “insensitive,” “offended,” and the “anguish,” “pain and suffering” inflicted upon the Marine’s family. The War Department sounds like it is preparing a harassment tort.

Isn’t this passing the buck? The Marine lost his life not because of the Associated Press and a photographer, but because of the war criminals–Gates, Bush, Cheney, Obama, and the US Congress that supports wars of naked aggression that serve no American purpose, but which keeps campaign coffers filled with contributions from the armaments companies.

Marine Lance Cpl. Joshua M. Bernard is dead because the US government and a significant percentage of the US population believe that the US has the right to invade, bomb, and occupy other peoples who have raised no hand against us but are demonized with lies and propaganda.

For the American War Secretary it is a photo that is insensitive, not America’s assertion of the right to determine the fate of Afghanistan with bombs and soldiers.

The exceptional “virtuous nation” does not think it is insensitive for America’s bombs to blow innocent villagers to pieces. On September 4, the day before Gates’ outburst over the “insensitive” photo, Agence France Presse reported from Afghanistan that a US/Nato air strike had killed large numbers of villagers who had come to get fuel from two tankers that had been hijacked from negligent and inattentive occupation forces:

“ Nobody was in one piece. Hands, legs and body parts were scattered everywhere. Those who were away from the fuel tanker were badly burnt,’ said 32-year-old Mohammad Daud, depicting a scene from hell. The burned-out shells of the tankers, still smoking in marooned wrecks on the riverbank, were surrounded by the charred-meat remains of villagers from Chahar Dara district in Kunduz province, near the Tajik border. Dr. Farid Rahid, a spokesperson in Kabul for the ministry of health, said up to 250 villagers had been near the tankers when the air strike was called in.”

What does the world think of the United States? The American War Secretary and a US military veterans association think a photo of an injured and dying American soldier is insensitive, but not the wipeout of an Afghan village that came to get needed fuel.

The US government is like a criminal who accuses the police of his crime when he is arrested or a sociopathic abuser who blames the victim. It is a known fact that the CIA has violated US law and international law with its assassinations, kidnappings and torture. But it is not this criminal agency that will be held accountable. Instead, those who will be punished will be those moral beings who, appalled at the illegality and inhumanity of the CIA, leaked the evidence of the agency’s crimes. The CIA has asked the US Justice (sic) Department to investigate what the CIA alleges is the “criminal disclosure” of its secret program to murder suspected foreign terrorist leaders abroad. As we learned from Gitmo, those suspected by America are overwhelmingly innocent.

The CIA program is so indefensible that when CIA director Leon Panetta found out about it six months after being in office, he cancelled the program (assuming those running the program obeyed) and informed Congress.

Yet, the CIA wants the person who revealed its crime to be punished for revealing secret information. A secret agency this unmoored from moral and legal standards is a greater threat to our country than are terrorists. Who knows what false flag operation it will pull off in order to provide justification and support for its agenda. An agency that is more liability than benefit should be abolished.

The agency’s program of assassinating terrorist leaders is itself fraught with contradictions and dangers. The hatred created by the US and Israel is independent of any leader. If one is killed, others take his place. The most likely outcome of the CIA assassination program is that the agency will be manipulated by rivals, just as the FBI was used by one mafia family to eliminate another. In order to establish credibility with groups that they are attempting to penetrate, CIA agents will be drawn into participating in violent acts against the US and its allies.

Accusing the truth-teller instead of the evil-doer is the position that the neoconservatives took against the New York Times when after one year’s delay, which gave George W. Bush time to get reelected, the Times published the NSA leak that revealed that the Bush administration was committing felonies by violating the Foreign Intelligence Surveillance Act. The neocons, especially those associated with Commentary magazine, wanted the New York Times indicted for treason. To the evil neocon mind, anything that interferes with their diabolical agenda is treason.

This is the way many Americans think. America uber alles! No one counts but us (and Israel). The deaths we inflict and the pain and suffering we bring to others are merely collateral damage on the bloody path to American hegemony.

The attitude of the “freedom and democracy” US government is that anyone who complains of illegality or immorality or inhumanity is a traitor. The Republican Senator Christopher S. Bond is a recent example. Bond got on his high horse about “irreparable damage” to the CIA from the disclosures of its criminal activities. Bond wants those “back stabbers” who revealed the CIA’s wrongdoings to be held accountable. Bond is unable to grasp that it is the criminal activities, not their disclosure, that is the source of the problem. Obviously, the whistleblower protection act has no support from Senator Bond, who sees it as just another law to plough under.

This is where the US government stands today: Ignoring and covering up government crimes is the patriotic thing to do. To reveal the government’s crimes is an act of treason. Many Americans on both sides of the aisle agree.

Yet, they still think that they are The Virtuous Nation, the exceptional nation, the salt of the earth.

From Seeking Alpha
Article By Big Jake

Since the economy began sliding downhill in late 2007, mainstream economic and market experts have consistently erred on the sunny side.

As late as June 2008, mainstream consensus held that the U.S. was heading for a “soft landing” and would avoid recession. Several months later, the slump was acknowledged to have started in January 2008, but we were supposed to see renewed growth by mid-2009, with unemployment peaking in the eight-to-nine percent range. A quick “shovel-ready” stimulus bag was supposed to set us back on the road to prosperity.

In January, recovery projections were pushed forward to late 2009. Today, the consensus is for a mid-2010 recovery, with unemployment peaking at just over 10 percent. Clearly, the mainstream has struggled to catch up to reality for well over one year. What are the chances that they finally have it right this time?

Moreover, the mainstream continues to see what is going on as a plain-vanilla recession that will be quelled with some on-the-fly monetary and fiscal tinkering. Washington, we are told, will pull us out of this slump—as soon as the masses can be enticed back to the shopping malls. Then things will return to how they were before. But what if the experts and politicians are wrong not only on their ever-changing recovery timeline, but also on the nature—nay, the very existence—of a recovery?

America’s reigning political-economic ideology has demonstrably failed. Given that its government is obviously fumbling along without a clue, its foreign and domestic credit is tapped out, and its 300 million people are discovering that their hopes for continuous material improvement will never be met, could the U.S. be headed the way of the USSR?

Instead of a recovery as the mainstream envisions it, what if America permanently bankrupts, impoverishes, and marginalizes itself? What if its cherished institutions fail across the board? For example, what happens when the police realize that their under-funded pension plans cannot support a decent retirement? Will they stay honest, or will they opt to survive by any means necessary? These are questions that the mainstream does not even begin to contemplate.

In the interests of providing you with an alternate vision—something outside the mainstream—below are ten predictions for America through the year 2012. This is not boilerplate doom-saying. Rather, I am laying out in highly specific terms what will happen over the next three-odd years. Others have thrown around the term “Depression”, but I am going to tell you precisely what it means for you, your investments, and your community.

When these predictions come true, I expect to be rewarded with a seven-figure consulting gig, a book contract, or a high-level position in whatever administration succeeds the doomed Obama team—that is, if anyone succeeds it at all.

Prediction one. The twenty-five-year equities bubble pops in 2009. U.S. and foreign equities markets will stop treading water and realign with economic reality. Stock prices will cease to reflect the “greater fool” mentality and will return to being a function of dividend yields, which have long been miserable. The S&P 500 will sink below 500. In a bid to stem the panic, the government will enforce periodic “stock market holidays”, and will vastly expand the scope of its short-selling prohibitions—eventually banning short-selling altogether.

Prediction two. With public pension systems and tens of millions of 401k holders virtually wiped out—and with the Baby Boomers retiring en masse—there will be tremendous pressure on the government to get into the stock market in order to bid up prices.

Therefore, sometime in 2010, the Federal Reserve will create and loan out hundreds of billions of fresh dollars to the usual well-connected suspects, instructing them to buy up stocks on the public’s behalf. This scheme will have a fancy but meaningless name—something like the “Taxpayer Assurance Equities Facility”. It will have no effect other than to serve as buyer of last resort for capitulating smart-money types who want to get out of stocks entirely.

Prediction three. Millions of new retirees—including white-collar people with high expectations for a Golden Retirement—will be left virtually penniless. Thousands will starve or freeze to death in their own homes. Hundreds of thousands will find themselves evicted and homeless, or will have to move in with their less-than-enthusiastic children. Already strained by the rising tide of the working-age unemployed, state and local welfare services will be overwhelmed, and by 2012 will have largely collapsed and ceased to function in many parts of the country.

Prediction four. “Quantitative easing” will fail to restart previous patterns of lending and consumption. As the government sends out additional “rebate” checks and takes ever-more drastic measures to force banks to lend, hyperinflation could take hold. However, comprehensive debt relief via a devaluation of the dollar is even more likely. This would entail the government issuing one “new” dollar for some greater number of “old” dollars—thus reducing both debts and savings simultaneously. This would make for a clean slate a la Fight Club.

As there are many more debtors than savers in the U.S., the vast majority would support devaluation. The Chinese and other foreign holders of our bonds would be screaming mad, but unable to do anything. Every country that has not found a way out of dollar-denominated reserve assets by 2012 will see its reserves eliminated.

Prediction five. The government will stop pretending that it can finance continuous multi-trillion-dollar deficits on the private market. By late 2010, the sole buyers of new U.S. Treasury and agency bonds will be the Federal Reserve and a few derelict financial institutions under government control. This may or may not lead to hyperinflation. (See prediction four).

Prediction six. As the need for financial industry paper-pushers declines and people have less money to spend on lawyers and Starbucks (SBUX), unemployment will rise until the private sector has eliminated all of its excess capacity and superfluous or socially needless jobs. The government’s narrow unemployment figure (U3) will rise into the high teens by late 2010. The government’s broader unemployment figure (U6) will cease to be reported when it reaches 25 percent—it will simply be too embarrassing. Ultimately, one in three work-eligible Americans will be unemployed, underemployed, or never-employed (e.g. college grads permanently unable to find suitable work).

Prediction seven. With their pension dreams squashed, and their salaries frozen or cut, police and other local government workers will turn to wholesale corruption in order to survive. America’s ideal of honest, courteous, and impartial cops, teachers, and small-time local functionaries will have come to an end.

Prediction eight. Commercial overcapacity will strike with a vengeance. By 2012, thousands of enclosed malls, strip malls, unfinished residential developments, motels, truck stops, distribution centers, middle-of-nowhere resorts and casinos, and small-city airports across America will turn into dilapidated, unwanted, and dangerous ghost towns. With no economic incentive for their maintenance or repair, they will crumble into overgrown, plywood-and-sheet-rock ruins.

Prediction nine. By the end of 2010, tens of millions of households will have fallen behind on their mortgages or stopped paying altogether. Many banks will be unable to process the massive volume of foreclosure paperwork, much less actually seize and resell the homes.

Devaluation (as mentioned in prediction four) could ease the situation for those mortgage holders still afloat, but it would also eliminate any incentive for most banks to stay in the mortgage business. In any case, the housing market in many parts of the country will lock up completely—nothing bought or sold.

With virtually no loans being made, even the government will finally acknowledge that most banks are fundamentally insolvent. A general bank run will only be averted through a roughly one trillion-dollar recapitalization of the FDIC, courtesy of new money from the Federal Reserve.

Prediction ten. As an economy is never independent of the society within which it functions, the next few paragraphs will focus on social and political factors. These factors will have as much of an impact on market and consumer confidence as any developments in the financial sector.

Whether rightly or not, President Obama, having come to power at the dawn of this crisis, will be blamed for it by over 50 percent of the population. He will be a one-term president. In response to his perceived socialization of America, there will be a swarm of secessionist and extremist activity, much of it violent. Militias and armed sects will be more prominent than in the early 1990s. Stand-off dramas, violent score-settlings, and going-out-with-a-bang attacks by laid-off workers and bankrupted investors—already a national plague—will become an everyday occurrence.

For both economic and social reasons, millions of immigrants and guest workers will return to their home countries, taking their assets and skills with them. The flow of skilled immigrants will slow to a trickle. Birth rates will plummet as families struggle with uncertainty and reduced (or no) income.

Property crime will explode as citizens bitter over their own shattered dreams attempt to comfort themselves by taking what is not theirs. Mutinies and desertions will proliferate in an increasingly demoralized, over-stretched military, especially when states can no longer provide the educational and other benefits promised to their National Guard troops.

There will be widespread tax collection issues, and a huge backlash against Federal and state bureaucrats who demand three-percent annual pay raises while private sector wages remain frozen or worse. In short, the “Tea Parties” of tomorrow will likely not be so restrained.

Finally, between now and 2012, we are likely to see another earth-shaking national embarrassment on the scale of the 9/11 attacks or Hurricane Katrina and its aftermath. This will demonstrate conclusively to all Americans that their government, even under a savior-figure like Obama, cannot, in fact, save them.

By 2012, there will be a general feeling that the nation is in immediate danger of blowing up or coming apart at the seams. This fear will be justified, given that the U.S. has always been held together by the promise of a continuously rising material standard of living—the famous “pursuit of happiness”—rather than any ethnic or religious ties. If that goes, so could everything else. We were lucky in the 1930s—we may not be so lucky again.

In a special economic research white paper entitled Dangerous Unintended Consequences: How The Government Understates the Dimension of the Banking Bailouts, Buyouts and Nationalizations by Martin D. Weiss, president of Weiss Research, Inc., an independent research firm - this white paper outlines three reasons why the bailouts will fail. The paper recommends a series of steps that the government should take that will lead to a faster recovery.

The white paper recommends steps the government should take that will lead to a speedier recovery. The research lists America’s weakest banks and uses the data to demonstrate how the US government has greatly underestimated the scope of the credit and debt problem while at the same time overestimating its ablility to save troubled institutions without adverse consequences.

The article further goes on to say:

The most dangerous consequence of federal bailouts is growing market anxiety about an eventual Treasury default, raising the specter of potentially fatal damage to the credit of the U.S. Treasury.

“Including the Fed’s commitment yesterday to buy $1.15 trillion in additional bonds, the U.S. government has now spent, loaned, guaranteed or committed an astronomical sum of $12.7 trillion in an all-out attempt to bail out failing companies, save Wall Street from a financial meltdown, and prevent an economic disaster,” said Dr. Weiss. “Yet, despite these Herculean efforts, American households have already lost $12.9 trillion in wealth, millions are losing their jobs, and, despite short-lived stock market rallies, the economy is sinking into a depression.”

The debt crisis is much greater than the government has reported, according to the white paper. The FDIC’s ‘Problem List’ of troubled banks includes 252 institutions with assets of $159 billion. An analysis by Weiss Research, however, shows that a total of 1,568 banks and thrifts are at risk of failure with assets of $2.32 trillion due to weak capital, asset quality, earnings and other factors. In addition, four large U.S. banks have credit exposure related to their derivatives trading that exceeds their capital, with two in particular - Citigroup and JPMorgan Chase - taking especially large risks.

AIG is only one of many potential triggers to a global chain reaction of failures, the white paper reports, and financial institutions are vulnerable to the contagion of mass withdrawals despite expanded FDIC insurance coverage and other government guarantees.

Turning to recent anti-crisis measures, Dr. Weiss writes: ‘Forced mergers involving troubled financial institutions have accomplished little more than move toxic assets up the food chain from smaller to larger institutions, while government plans to buy up the toxic assets have backfired. The ‘too-big-to-fail’ doctrine has proven disastrous and in its place we recommend a series of steps that will bring our nation closer to a recovery.’

Dr. Weiss went on to outline seven action items that U.S. government should take now:

• Abandon the unrealistic goal of saving all failing financial institutions or preventing a depression, focusing instead on the goal of rebuilding the economy’s foundation in preparation for an eventual recovery.
• Switch priorities from the battles we can’t win to the war we can’t afford to lose, including emergency assistance for the millions most severely victimized by a depression.
• Pro-actively shut down the weakest institutions no matter how large they may be; provide opportunities for borderline institutions to rehabilitate themselves under a strict regulatory regime; and give the surviving well-capitalized, liquid and prudently-managed institutions better opportunities to gain market share.
• Seriously consider breaking up mega-banks, following the model of the Ma Bell breakup in 1984.
• Build confidence in the banking system with better disclosure and transparency, including the public release of the confidential international Bank rating system called CAMELS (Capital, Adequacy, Management Qualifications, Earnings, Liquidity and Sensitivity to Market Risk) on all banks.
• Promptly restore FDIC coverage limits to $100,000.
• Prepare the public for the worst, recognizing that a clear vision of dark clouds is healthier than wanton fear of the unknown.

Due to the nation’s solid infrastructure and knowledge base, Weiss is optimistic “We can overcome this crisis”, while warning: “My optimism comes with no guarantees, and ultimately, we’re going to have to choose: The wrong choice is to take the easy way out, try to save most big corporations, print money without bounds, debase our dollar, and ultimately allow inflation to destroy our society. The right choice is to step up, make shared sacrifices, take responsibility for future generations, let deflation do its work, and start regenerating the economic forces that have made the United States such a great country.”

About Weiss Research

Weiss Research, Inc., based in Jupiter, Florida, is a subsidiary of industry-leading Weiss Group, one of the largest, most reputable sources of global investment information. Martin D. Weiss, Ph.D., along with Weiss analyst Mike Larson, are the only analysts in the U.S. who have specifically named nearly all of the major institutions that have suffered a financial failure in this crisis, whether in the form of a forced buyout, a government bailout or outright bankruptcy. Moreover, Weiss failure warnings were issued without ambiguity and with months of advance lead time, giving the public ample time to escape the dangers.

Weiss predicted the demise of Bear Stearns 102 days prior to its failure, Lehman Brothers (182 days prior), Fannie Mae (eight years prior), and Citigroup (110 days prior). Similarly, the U.S. Government Accountability Office (GAO) reported that, in the 1990s, Weiss greatly outperformed Moody’s, Standard & Poor’s, A.M. Best and D&P (now Fitch) in warning of future insurance company failures. (See http://archive.gao.gov/t2pbat2/152669.pdf.)
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While the financial riots continue in Iceland and in the European border states of Ukraine, Latvia, Bulgaria and Hungary, we now have confirmation that the United Kingdom is officially in recession which, so the pundits are saying, is likely to bottom into a Depression equal in magnitude and effect to that of the 1930s.

These writhing European countries do not have all the advantages of the US economy or the dollar. They don’t have a world reserve currency, they are not the largest debtor nation in the world whom the world supports, these countries  can’t sell they’re debt to any great extent, they do not have a high comparative GDP and they do not have a Fed printing truckloads of zero-value fiat paper to hold the whole Ponzi scheme together. This ‘quantitative easing’ by the Fed has recently skyrocketed to astonishing heights. Don’t believe me ? Have a look at this graph from the St Louis Fed:

It took 200-years for the monetary base to go from $0 to $800 billion, but in just the past 3-months it has grown from around $800 billion to $1.5 trillion. The sheer right-angled upturn of this graph is astounding and frightening. Sometimes I can’t help wondering whether there really is any US gold left in Fort Knox. Has anybody seen it ?

From the UK Telegraph newspaper - in an article headed “Britain on the brink of an economic depression, say experts”:

“Families must brace themselves for a slump of far greater severity and longevity than the recessions of the 1980s and 1990s, they warned. They said the current crisis will be of a scale to rival the biggest peace-time crisis in modern history — the Great Depression.

The news sent the pound sliding to its lowest level since 1985. Sterling dropped more than three quarters of a cent to $1.3688 as investors speculated that the Bank of England may be forced to cut interest rates towards zero in response to the recession.

Roger Bootle, the managing director of Capital Economics, said: “I think there’s a very good chance this recession will be the worst since the 1930s. I suspect the economy could shrink by 6 per cent from last year to the end of next year — and that might not be the end.

The plight facing Britain is uncannily similar to the 1930s, since prices of many assets —from shares to house prices — are falling at record rates, but the value of the debt against which they are held remains unchanged.

This “debt deflation” is among the most painful of all economic phenomena, since it means the amount families owe increases each year even if they borrow no more.

Albert Edwards, a strategist at Société Générale, likened the British economy to a Ponzi scheme — a fraudulent debt mountain like that allegedly used by the New York hedge fund manager Bernard Madoff. “What I find amazing is that people aren’t really nailing Gordon Brown and [Bank of England Governor] Mervyn King for this,” he said. “At least in the US they had the excuse of the arrival of sub-prime — a new sector of the market. We didn’t really have anything similar but we ended up with a bigger national Ponzi scheme than the US.”

Regarding the state of the US Markets, I had a quick look at my US stock practice portfolios today and was amazed at what I saw. I created these practice US portfolios on Google Finance in August 2008 - not five months ago - as a real gauge to the US financial crisis and market confidence. And here are the meager results - Commodities -41.49%, Water and Waste -25.66%, Energy and Oil -43.50%, My Portfolio -39.81%, Berkshire Hathaway -26.06%, Dividend Portfolio -31.89%. And that’s only in the last five months !!

I would guess that it’s only a matter of time before these riots spread around the world - and as Gerald Celente has already predicted -  these financial riots will soon start appearing in all the western developed countries as well. Today, on the BBC Oracle TV program - in a sort of European market watch assessment, the expert debaters all confirmed their belief that there would be a run on pound sterling by April 2009, and that a run on the Euro would ensue by December 2009.

Of course the US dollar will also collapse, and my guess is that there is a high probability of a dollar crash occurring when Israel decides to bomb the hell out of Iran at some point this year.

References :

“Prime Minister Steps Down Amid Violent Protests” - Der Speigel

“The bond bubble is an accident waiting to happen” - Ambrose Evans-Pritchard(UK Telegragh)

“Super Baaaddd” - Bill Bonner(Daily Reckoning)

“UK recession: what the experts say” - UK Guardian

“UK Economy Shrinks Most Since 1980, in Recession” - Bloomberg

In 1910, in a quiet backwater in Georgia at The Jekyl Island Hunt Club, there was a meeting whose simple purpose was the formation of US The Federal Reserve. Those who attended were: Senator Nelson Aldrich (Nelson Rockefeller’s maternal grandfather); A. Piatt Andrew, Economist and Assistant Secretary of the Treasury; Frank Vanderlip, President of the National City Bank of New York; Henry P. Norton, President of Morgan’s First National Bank of New York; Paul Moritz Warburg, a German who was partner in the New York banking house of Kuhn, Loeb Co.; Benjamin Strong, an aid to J. P. Morgan.

The Federal Reserve was incorporated in 1913 and has been creating a completely unnecessary National Debt ever since. In simple terms, the Fed creates money as debt. They create money  and credit out of thin air by nothing more than the ruse of “fractional lending” and a book entry. Whenever the members of the Fed make any loans, that debt money is the US money supply.

THE TEN ORIGINAL MEMBER BANKS OF THE FEDERAL RESERVE

All owned by the Rothschilds

Rothschild Bank of London
Warburg Bank of Hamburg
Rothschild Bank of Berlin
Lehman Brothers of New York
Lazard Brothers of Paris
Kuhn Loeb Bank of New York
Israel Moses Seif Banks of Italy
Goldman, Sachs of New York
Warburg Bank of Amsterdam
Chase Manhattan Bank of New York

Please note that The Rothschild family owns and runs all the above so-called “American Banks”. Therefore you could safely assume that the Rothschild family both runs and controls the whole of the American Banking System. Indeed, Rothschilds is an old European family which has dominated the European banking system for centuries. So not even an American runs the US banking system - a European family cartel manipulates it completely with impunity.

By 1850, the House of Rothschild represented more wealth than all the families of Europe. Shortly after William Patterson formed the Bank of England(est. 1695),  its control passed to Nathan Rothschild and here is how he did it:

Nathan Rothschild was an observer on the day the Duke of Wellington defeated Napoleon at Waterloo, Belgium. He knew that with this information he could make a fortune. He later paid a sailor a big fee to take him across the English Channel in bad weather. The news of Napoleon’s defeat would take a while to hit England. When Nathan arrived in London, he began selling securities and bonds in a panic. The other investors were deceived into believing that Napoleon won the war and was eyeing England so they began to sell their securities too. What they were unaware of is that Rothschild’s agents were buying all the securities that were being sold in panic. In one day, the Rothschild fortune grew by one million pounds. They literally bought control of England for a few cents on the dollar. The same way the Rockefeller’s went into Japan after World War 2 and bought everything 10 cents on the dollar. SONY=Standard Oil New York, a Rockefeller Company.

Nathan Mayer von Rothschild(1840-1915), 1st Baron Rothschild, once boasted:

“I care not what puppet is placed upon the throne of England to rule the Empire on which the sun never sets. The man that controls Britain’s money supply controls the British Empire, and I control the British money supply.”

Frederick Morton wrote in his book, The Rothschilds:

“…the wealth of the Rothschilds consists of the bankruptcy of nations.”

But the Fed staunchly maintains that they are a private institution who’s only function is to serve the US government and its citizens. Well of course they do !! So, purely out of interest, lets look at those Financial Institutions that Hank Paulson (ex-CEO of Goldman Sachs) and Ben Bernanke have “saved” in the recent TARP bail-out:

• Morgan Stanley
• Citibank
• Wells Fargo
  
• Goldman Sachs
• Bank of America
• Merrill Lynch
• State Street
• Bank of New York

Every single one of these institutions is either related or has interests and connections to the original Fed forming cartel of 1910, ultimately run by the Rothschilds family. These financial institutions have all been saved as a priority by their cartel buddies within the Fed brotherhood. How many Mainstreet banks (that’s ordinary non-Investment Banks) have been saved or helped by the Fed? I would suggest that the Fed brotherhood’s Wall Street tentacles and influence spreads long, dirty and deep into the very heart of the US political infrastructure - which is the only possible explanation that could adequately explain their inexplicable untouchableness and apparent freedom of agenda.

Now some other facts about the the Fed:

• The Fed, as a private US institution, pays no corporate or any other income tax at all to the US government.
• The Fed is allowed to look after US prices and the money supply - “at their own discretion”.
• The Fed charges interest to the US government for every single Federal Note it produces. This charge, in the form of seignorage, is then passed on to the US citizens as an invisible “inflation tax”.
• The Fed has NEVER been properly audited.
• At their top-level meetings, the Fed keeps no written records or memoranda.
• The Fed, as a private institution, is headed by an American banking cartel which, in turn, is under the complete influence of the European-based Rothschild banking family.

As a result of The Fed’s unstoppable financial activity and due to all the rash debt they have caused within America so consistently over the years, 22 cents in every single US dollar is now foreign owned through all their self-serving and mutifarious debt instruments. If these debt instruments were being used properly, then surely the US National Debt would be coming down wouldn’t it ?  But instead, it becomes painfully evident that the Fed uses these foreign loans, multiplied hugely by the practice of “Fractional Reserve Lending” to further create  credit, leading to unstable and untenable mountains of corporate, personal and financial debt. The US Fiscal Debt is currently running at about $60 trillion now, which is 6 X the reported National Debt and about 15 X GDP. These comparisons become even more ridiculous when compared against the dollar notes in circulation - which is approximately $600 billion. The Fiscal Debt is therefore 100 X more than the dollar notes in circulation !! Is this the measure of a strong economy ? Remember that  the total production of the world economy amounts to $60 trillion alone. David Walker, ex-Comptroller General of the government GAO has said that in order to pay back this US Fiscal Debt, every citizen in America would have to pay its government $480,000 just to break even.

In these current hard economic times, it seems that the forefathers of the  American Constitution had some real vision. In 1826, the second bank’s charter was soon to expire and presidential candidate Andrew Jackson - an avid and honest constitutionalist - campaigned fiercely against a central bank which was owned and operated by the international banking element. Here is Jackson’s opinion of those bankers:

“You are a den of vipers. I intend to wipe you out, and by the Eternal God I will rout you out…If people only understood the rank injustice of the money and banking system, there would be a revolution by morning.”

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References:

The Federal Reserve History and Conspiracy

The Federal Reserve: History of Lies, Thievery, and Deceit

David Walker Interview on CBS(Youtube)