Categories » ‘Banking Fraud’
May 22nd, 2013 by olddog
By Dave Hodges
Bakersfield, CA resident, David Silva, was executed for being drunk in his own home. He was executed by the Kern County Sheriff’s Department. What happened to Silva was clearly an abuse of power but is representative of what the federal government has in store for all of America in which the people are the enemy of law enforcement and will be treated accordingly.
The Tenth Amendment provides for the division of power and law enforcement between the federal, state and local governments.
Unfortunately, The Department of Homeland Security (DHS) is changing the face of local law enforcement.
DHS’ Original Mission
In the aftermath of 9/11, DHS was created to protect the “Homeland” from further terror attacks from foreign-born terrorists. DHS kept us safe at the airports by goosing granny. They also protected us from the trauma of natural disasters through the use of FEMA, with such stellar performances like the one in New Orleans following Hurricane Katrina. And of course, FEMA has been instrumental in creating a multitude of so-called FEMA Camps which they say are to house a sudden influx of illegal aliens. Newsflash, there are 30 million illegal aliens here, you might want to roll back the covers and keep the soup warm. Of course, the camps are not for the illegal’s, they are for the citizens of this country who are deemed to be a threat to the rollout of martial law. Meanwhile, the real terrorists, al-Qaeda are being funded by the CIA in places like Libya and Syria.
DHS’ Real Mission
Meanwhile, back in reality, DHS was only created to pretend to thwart a foreign terror threat. The real reason that DHS has been created is now becoming obvious to all. With the advent of the MIAC Report which listed gun owners, Second Amendment supporters, Ron Paul supporters, Libertarians, Constitutionalists, Veterans and Christians as “domestic terrorists.” This was the real reason why DHS was created.
Recently, DHS sponsored a self-study entitled, "Homeland Security and Intelligence: Next Steps in Evolving the Mission", in which DHS proclaims that they are no longer concerned with foreign-inspired terrorism. They are only going to focus on domestic terrorism, ostensibly, against the American people. Does the DHS purchase of 2.2 billion rounds of info, the acquisition of 2700 armored personnel carriers and the beta test of martial law in Boston last April begin to make any sense?
Obfuscation of DHS’ Original Charter
Incredibly, DHS says that other agencies can deal with what once was the omnipresent and all-encompassing threat of terrorism that was initially used to justify DHS’s creation, powers and huge budget. The report went on to say that
There are enough agencies pursuing the terrorist adversary to allow DHS to build a new analytic foundation that emphasizes data, analytic questions, and customer groups that are not the focus for other agencies…
Subsequently, the real purpose behind the creation of this domestic East German Stasi secret police was to monitor and control the American population. Unfortunately, DHS has shared its high-tech toys with most local police departments and Sheriffs Departments and has, as a result, co-opted their local function. In other words, the federalization of local police forces, in violation of the 10th Amendment, is well underway. The early returns on this process are in and the results are extremely ugly.
The DHS trains police that Christians and Libertarians want to kill them as do the returning veterans. The DHS is training local law enforcement that the people are their enemy. DHS has even gone so far to use pregnant women, old people and children as cutout targets for their drills. In short, they are being trained to attack America. Local law enforcement are being trained to use deadly force, even when its use is not warranted, against average Americans.
Salt Lake City: The Federalization of Our Police
Under the creation of the Unified Police Department (UPD) in Salt Lake City, Utah local jurisdictions and municipalities which were previously controlled by the Salt Lake County Sheriff’s Office were reallocated to UPD. The UPD is a regional police force. They answer to no mayor, no city council and no county commissioners. The UPD is Salt Lake City’s new police department and serves as the model for the program which is being implemented in other police departments across the nation.
It is clear that the police departments are being trained as the local enforcers of the coming martial law and they also being trained to use horrific brutality.
The Murder of David Silva by the Kern County Sheriff’s Department
There is a new gang in Bakersfield, CA. No, it is not the Bloods, the Crips nor is it the Zetas. The new gang in town is the Bakersfield Sheriff’s Department, as they did their best imitation last week as eight Deputies beat an unarmed David Silva to death while he was lying prone on the ground. Silva’s crime was that he was drunk in his own home.
Six sheriff’s deputies and the sergeant involved in last week’s incident were placed on paid administrative leave, primarily for their own safety due to several email threats which have been sent to the department.
All of the non-cop witnesses are saying that Silva didn’t resist and the cops just murdered him. That, and the fact the cops confiscated the better videos from local citizens.
Here is what the witnesses are saying about the murder of innocent civilian, David Silva.
Film Cops and Get Life In Prison
Michael Allison, recorded police officers on duty in his front yard inspecting vehicles he was repairing. The police cited Allison for failing to properly register his vehicles, and so he requested an ordinance review hearing. Allison now faces five felony counts, with each count carrying a penalty for 15 years in prison. For videotaping police and a court proceeding, Allison faces an unbelievable total of 75 years, or the rest of his life in prison under Illinois new eavesdropping statutes.
Any Reason to Practice DHS Style Police Brutality
Look at the out-of-control stampede herd of thugs belonging to the NYPD at the 135th Street subway station when Clive Utter allegedly jumped the turnstile. Utter was slammed into the wall, dropped onto the floor and cuffed by a mob of at least 25 officers.
A bystander exercising his constitutionally protected right to film this act of police brutality was forced out to the street and was manhandled in the process. Utter was charged with resisting arrest, criminal trespass, theft of service, and criminal possession of a controlled substance. Can you imagine what would have happened to him if he pick-pocketed a wallet or snatched a purse? Utter, like Silva, would likely be in the morgue.
What’s Next? Rendition Centers for Jaywalkers?
America, we are living in unparalleled times. With the portion of the country awaiting a barrage of false flag attacks and the rollout of martial law, to be followed by war with Russia over Syria and Iran, these are uneasy times. If we had any hope that our police would defend the people from federal tyranny in the coming days and months, think again. The people are almost out of options, and options are something I will discuss in the next article.
RELATED ACTIVIST POST ARTICLES:
Justice for David Silva, Father Beaten to Death by 9 Sheriffs
The Ultimate Betrayal: Police and Military Working Together to Oppress Americans
Dave is an award winning psychology, statistics and research professor, a college basketball coach, a mental health counselor, a political activist and writer who has published dozens of editorials and articles in several publications such as Freedoms Phoenix, News With Views and The Arizona Republic.
April 29th, 2013 by olddog
THE SOVEREIGN CITIZEN by: Judge Dale, retired
Our federal government has instructed our federal, state and local police agencies that everyone who purports to be a SOVEREIGN should be TREATED as a TERRORIST! They have also brainwashed the American public into believing that being a SOVEREIGN is anti-American and unpatriotic! Perhaps this is: “The POT calling the KETTLE black?”
WHAT IS SOVEREIGNTY? It is the inherent right and prerogative of a civilized people to rule itself, and to dictate all of the forms and conditions of the institutions it sets up to carry out this rule. Ironically, the U.S. SUPREME COURT agrees with those people who claim to be SOVEREIGN citizens of the American Republic!
Bond vs. UNITED STATES, 529 US 334 – 2000, The Supreme Court held that the American People are in fact Sovereign and not the States or the Government. The court went on to define that local, state and federal law enforcement officers were committing unlawful actions against the Sovereign People by the enforcement of the laws and are personally liable for their actions.
Bond v. United States, 529 US 334 – 2000 – Supreme Court – Cited by 761 litigants in other cases.
Bond v. US, 131 S. Ct. 2355 – 2011 – Supreme Court – Cited by 306 “ “
Bond v. US, 1 F. 3d 631 – 1993 – Court of Appeals, 7th – Cited by 66 “ “
What are the implications of this 2000, U. S. Supreme Court ruling?
1] The delegates to the first Federal Convention prohibited the use of corporations by all governments representing the American Republic. Therefore, all of these corporate governments and their corporate laws are a usurpation of the organic Constitution of the United States of America. All State Governments are now sub-corporations of the Federal Government, making all Courts and all law enforcement personnel, corporate federal agencies or employees. [See: James Madison Journal of the Federal Convention, Vol. 2, P. 722] and [Pull up your State Code on your PC and search the Code for the words “District of Columbia” and “Federal Government.” You will receive about 1000 references linking your state to the federal government.]
2] The state and federal government is a corporation and therefore the Congress, State Legislatures, City Councils, Municipalities and all State and Federal Courts are corporate entities posing as Constitutional branches of government.
3] Corporations are privately owned businesses, meaning that the Corporate United States belongs to one or more private individuals, which is always governed by a Board of Directors. The Corporate United States is privately owned by a group of European Royal and Elite individuals tied to the Federal Reserve System and the letters of incorporation are recorded in the Vatican. The President of the United States is actually the CEO of the United States and the Congress and all others are corporate employees. Everything they do is in the interest of the corporate owners! I can’t access those documents because of National Security.
4] In order to promulgate and enforce Criminal Laws to govern the SOVEREIGN public, government must be SOVEREIGN too, which is an accepted RULE of LAW derived from the, Ancient Law of Kings. Corporations are not and can never be SOVEREIGN. They are not real, they are a fiction and only exist on paper.
5] Therefore, all laws created by these government corporations are private corporate regulations called public law, statutes, codes and ordinances to conceal their true nature. Do the Judge and your lawyer know about this? You bet they do!
6] Since these government bodies are not SOVEREIGN, they cannot promulgate or enforce CRIMINAL LAWS; they can only create and enforce CIVIL LAWS, which are duty bound to comply with the LAW of CONTRACTS. The Law of Contracts requires signed written agreements and complete transparency! Did you ever agree to be arrested and tried under any of their corporate statutes? For that matter, did you ever agree to contract with them by agreeing to be sued for violating their corporate regulations?
[Citations and Complaints are contracts but they lack transparency because you were never told what might happen to you if you agree to contract, and that you had a right to refuse the accommodation!]
7] Do any of Americas Courts have Jurisdiction over a SOVEREIGN? Yes … but only by your consent to be judged by the Court. Can they compel [Summon or Subpoena] you to appear or participate in their process? No … they can’t compel you and Yes … they can ask but you can reject the accommodation in writing and nothing can be done about it because you have refused to give the court jurisdiction over you!
8] Enforcement of these corporate statutes by local, state and federal law enforcement officers are unlawful actions being committed against the SOVEREIGN public and these officers can be held personally liable for their actions. [Bank v. U.S., 529 US 334-2000]
9] There being no Constitutional Criminal Laws or Transparency in the American Justice System, everyone arrested, convicted and sentenced to prison under these CIVIL LAWS are in prison by CONSENT and therein, all American Jails are actually DEBTORS PRISONS!
10] Most of the County and State Prisons and all of the Federal Prisons are privately owned corporate businesses for profit, which kick back to the sentencing Judges. The Bureau of Prisons Privatization Management Branch provides general oversight, for these institutions. So if you are convicted in these Courts, you can expect to serve some jail time! Now you know why America has such high prison populations!
11] Can the State Government and Courts take Custody of your children? Only with your consent, otherwise their agents and officers can be held personally liable for their actions! Orphans are a different matter and can become wards of the Court until emancipated.
Corporate governments are a usurpation of the organic American Constitution and this corporatist onslaught in America has since its creation, been an ANTI-SOVEREIGN and TERRORIST REGIME and are in fact the real TERRORIST and TRAITORS to the American Republic.
Blessings, Judge Dale, retired
Is Our Country a Corporation?
DALE, RODNEY VS THE UNITED STATES
We are the Enemies of the State
Our Government is a Corporation . . . and so are Our Schools
See also: The Great American Adventure, by Judge Dale
April 24th, 2013 by olddog
By Gary North
This is deeply disturbing and could cause a run on gold out of banks. If you have gold, you are a cautious person and you are not going to want your gold somewhere where you can't get it during an emergency.
King World News reports:
Today legendary trader Jim Sinclair stunned King World News when he revealed that a dear friend of his who is very affluent just had a Swiss bank refuse to return his large hoard of gold when he asked for it out of an allocated account. Below is what Sinclair, who was once called on by former Fed Chairman Paul Volcker to assist during a Wall Street crisis, had to say in this remarkable and candid interview.
Eric King: “Maguire spoke on KWN yesterday about the fact that one of his clients went to the LBMA to get the metal from them and could not get it. They told him he would be cash settled. This is what you have been talking about is the failure of the physical markets.”
Sinclair: “A person that I know with significant deposits in one of the primary Swiss banks, in allocated gold, wanted to take out his gold and was just refused on the basis of directives from the central bank….
“They told him the amount was in excess of 200,000 Swiss francs and the central bank had instructed them not to do it because it has to do with anti-terrorism and anti-money laundering precautions.
I really wonder whether those are precautions or whether the gold simply isn’t there. Now you tell me that a London delivery has basically failed. It has to raise our suspicions that the lack of physical gold behind the paper gold is literally so severe that we are coming to understand that it is in fact not there.
The gold that people think is stored is not stored, and the inventory of the warehouses for exchanges may not be holding deliverable gold. There has always been speculation about whether or not the physical gold the US claims to store is in fact in those vaults.
The greatest train robbery in history might be all of the gold, and it would only be something like we have described above that would happen right before gold makes historic highs.
There simply is no gold behind the paper. One example is AMRO, a second is your example with Maguire, and a third is my dear friend who was refused his gold on the basis that its value was too high. Remember this friend of mine had his gold in an allocated account in storage at a major Swiss bank. I repeat, there is no gold.”
Given what just occurred in Cyprus and now this report, it should be clear that money, including gold, must be kept outside the system. The government money grab is on. Bitcoins are not safe. The government will eventually close down the bitcoin exchanges. At this point, money that it isn't buried in your backyard is vulnerable to the government grab .
What will it take for the people to wake up? OUR GOVERNMENT IS NOT LEGITIMATE. It is a de facto government of the International Banking Cartel ruling by force only, not constitutional law. The Federal Reserve is the stud duck of global banking and they will steal our money in every form to render us powerless to resist, and powerless to exist. If you have any, bury your money in gold or silver form before it’s too late.
American Eagle Gold Bullion Coin Sales Suspended; U.S. Inventory Depleted
Now do you believe me?
How about Simon Black, from the SovereignMan.com
When you've got a guy like Senator John McCain who says "The battlefield is the United States of America," it tells you that almost nothing is safe in the Land of the Free.
Whatever remains of civil liberties is going to feel the full brunt of the state's boot heel.
They're already regulating some of the most fundamental aspects of life, from how we are allowed to educate our children to what we can / cannot put in our bodies to the very nature of money.
People are forced to hold their savings in insolvent banks backed by insolvent insurance funds backed by insolvent governments. And those insolvent governments have demonstrated that they are perfectly willing to directly confiscate accounts.
Retirement funds have proven to be an easy, tempting target. A number of countries including Argentina, Ireland, and Hungary have appropriated private pensions. Even the US government temporarily dipped into federal employee pensions.
Western governments are making every possible effort to take over the Internet. Despite every previous attempt (SOPA, PIPA, etc.) failing due to public outcry, they keep trying and trying (ACTA, CISPA, etc.).
They're raising taxes, creating new ones (including Maryland's new 'rain tax'), imposing capital controls, racking up debt, and rapidly devaluing their currencies.
It all reeks of desperation… and it's all so obvious. At least, for anyone paying attention.
Unfortunately it's easy to lose sight of the truth. After all, how can there be any economic problems when the stock market is at an 'all-time high' and Nobel Prize winning pseudo-scientists tell us that debt levels don't matter?
Truth is, these enormous challenges shouldn't be ignored. The entire global financial system is sitting on a bed of dynamite. Central bankers are dousing the pile with gasoline while politicians are standing around smoking.
The potential for epic disaster cannot be understated.
This is not to say that the world is coming to an end. Far from it. History is quite generous with past example of once-great civilizations that collapsed under the weight of their own hubristic debt.
Things didn't end. They changed. Simple. And that's what's happening now in a textbook fashion.
Governments in trouble almost ALWAYS resort to the same destructive tactics. When things are clearly on the decline, rather than INCREASING freedom and opportunity, they try to control EVERYTHING.
We're already seeing the early stages of this with competitive devaluation, basic capital controls, and bank withdrawal limits.
These will soon give way to wider capital controls, increased border controls, wage and price controls, asset confiscation, and more.
It only delays the inevitable. The more they control, the more rapid the deterioration becomes. Again, this isn't some sensationalist prediction; it is the very common historical trend.
The other thing that history shows us, however, is that there are always a handful of people who see the writing on the wall and take action. And that action has almost universally involved looking abroad and diversifying internationally.
This is a time-tested strategy that was once available only to the wealthy landed class. But with modern air transport, digital communication, and global competition, solutions are now available to just about anyone.
I'll be honest with you– moving one's assets, business, and even family overseas isn't easy. These are complicated topics with numerous tax, financial, and professional implications. So go carefully and rationally.
But when structured properly, history shows that a well-informed offshore strategy can have a generational impact should chaos ensue.
And, should nothing ever go wrong in the world, you won't be worse off for it.
Senior Editor, SovereignMan.com
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IGNORANCE IS VOLUNTARY!
April 23rd, 2013 by olddog
The airwaves are still blanketed with coverage of the Boston bombings, with some in the media morbidly displaying pictures of the young suspects, battered, bloodied, dead and hurt. There was dancing in the streets simultaneous with the capture of the second alleged teen terrorist.
I understand the jubilant relief of the Boston people; they can now try to return to some semblance of normalcy. But one terror act has heavily overshadowed another. At least 15 people were killed and over 150 were injured in the massive explosion at a fertilizer plant in West, Texas, on Wednesday. First responders are among the dead, but the media has virtually ignored that carnage.
I Day Before Boston Bomb & Texas Missile Attack: CIA, Bill Clinton, George Bush Jr., & Barack Obama Indicted By Congressional “Constitutional Task Force” For Crimes Against Humanity!
Waco Texas Fertilizer Company Hit By Drone/Laser Strike After Lawsuit Filed Against Monsanto!
Waco Texas Fertilizer Company Hit By Drone/Laser Strike After Lawsuit Filed Against Monsanto!
Daily wall-to-wall “terror experts” dissect, analyze and expound on the evil, the dangers and the psychology of a terrorist. But no talk on the even more dangerous white-collar terrorists sitting in plush offices in corporate America. Those who put huge profits above human safety. Those whose gross negligence cost countless loss of lives and widespread, long-term environmental pollution.
Like Nation of Change aptly put it, the “real terrorists” are the corporate execs who’ve bought government regulators.
Moreover, that corruption which often leads to explosions, oil spillage, toxic chemical leakage, environmental pollution, deaths, terminal illnesses, deadly fires, deformities and more is global, for coporate America exports its kind of terror even more efficiently than the religious and ideological extremists.
Of course the media aren’t eager to expose the deadly negligence; after all, most of our news is controlled by just six giant corporations, which makes conflict of interest an understatement.
So as the small Texas town of West continues to dig out their dead and their homes smolder in rumble around them, the “terrorists” over at the West Fertilizer Co. who purposely violated many laws, are not even mentioned in the news.
Which brings up another bewildering question: Why was this plant, which handled toxic anhydrous ammonia, built in the middle of the town? Why do corporations continue to operate plants with deadly chemicals in residential areas?
West Fertilizer was reportedly built in 1962, and records show that in 2006 the Environmental Protection Agency cited several violations at the plant, namely the lack of a risk plan. A plant which handled highly toxic materials located in the middle of a small town reportedly had no sprinklers, water-deluge systems, blast and firewalls and other safety measures needed.
This kind of unconscionable neglect is rampant throughout the globe. Remember the devastating BP Deepwater Horizon oil spill in the Gulf of Mexico in April 2010, the worst in environmental history?
How about oil spills in Africa or in Asia, where oversight is even more lax than in the US and corporations can literally get away with murder, or even worse, wipe out an entire village’s livelihood?
In November 2012, a raging fire that engulfed a factory in Bangladesh killed 112 workers who were making clothes for Walmart and others while being paid shockingly low wages and laboring under abhorrent working conditions. A few months later, another fire killed several more workers. Since 2006, more than 600 workers have reportedly died in factory fires in that country, which is a mecca for outsourcing US labor.
The lack of safety measures is the sole cause of the rising death toll, but this kind of “terrorism” does not strike terror or incite revulsion, anger or mass objection in the media or beyond.
We declare martial law-type security measures in a town, bring in the entire battalion to capture two alleged terrorists, while the white-collar fat cats continue their brand of crime unopposed.
Justice seems to have 50 shades of grey in the US.
Details How The International Banking Elite Richest 1% And CFR Collude To Hide The Deliberate Murder Of Over 1 Million Children Every Month.
Obama Regime Using Computer-Generated Twitterbots: Appearance Of Social Media Support For Anti “Bill Of Rights” Gun Regulations!
Slavery By Consent: “Every War In The Past 50 Years Is A Result Of Media Lies” ~ Julian Assange Movie
Waco Texas Fertilizer Company Hit By Drone/Laser Strike After Lawsuit Filed Against Monsanto! (politicalvelcraft.org)
Eyewitness in Waco CONFIRMS LIVE DRILL AND MILITARY PRESENCE PRIOR TO EXPLOSION @ FERTILIZER PLANT [W/ VIDEO] (secretsofthefed.com)
Fertilizer plant explodes near Waco, Texas (theatlanticwire.com)
UPDATED: Explosion At fertilizer Plant North Of Waco, Texas(patdollard.com)
Breaking News Explosion in Waco Texas!
In answer to your question about material which may provide answers to some of your questions, you may find some solace in the following two year investigative report on how ‘SUSPECTED’ prisoners were treated contrary to Our United States Constitution that was sworn by Mr. Obama to be upheld while he is in office.
The investigative report about Barack Obama, William Clinton, & George Bush Jr. is the most comprehensive, bipartisan investigation into the detention and treatment of suspected terrorists yet published.
The product of more than two years of research, analysis and deliberation by the Task Force members and staff, it provides the American people with a broad understanding of what is known — and what may still be unknown — about the past and current treatment of suspected terrorists detained by the U.S. government during the Clinton, Bush and Obama administrations, and across multiple geographic theatres, including Iraq, Afghanistan, Guantánamo and the so-called “black sites.”
Lets hope The Congressional Constitutional Task Force Members Are Not added to his “kill list” not so…
I DAY BEFORE BOSTON BOMB & TEXAS MISSILE ATTACK: CIA, BILL CLINTON, GEORGE BUSH JR., & BARACK OBAMA INDICTED BY CONGRESSIONAL “CONSTITUTIONAL TASK FORCE” FOR CRIMES AGAINST HUMANITY!
I feel terrible sorrow for the people of Waco and the ordeal they are having to cope with. Words cannot even remotely succeed to bring those who lost dear ones any form of comfort or even inspire them at this time to believe they even have a future left when their sense of despair must be beyond imagining and one can only hope that all those who perpetrated this deed are brought to justice.
But how do you fight these corporate fiends? Why has Obama himself not even showed his face in West, whose tragedy in a way is far worse than even Boston’s, when considering the loss of life suffered? And on top of it, when it is clear that these were actions of ruthless corporate criminality, as shown by the tell tale video footage. Not only was there loss of life, homes were destroyed and along with it the futures of many, scarring adults to the depths of their beings while the psychological shock it caused children must surely be the worst and can never be obliterated.
How are ordinary honest Americans going to fight and root out the inhuman corporations behind this hideous act?
Is there any question that supports the possibility that Obama is perhaps a fatally threatened man, completely controlled by the corporate monsters who actually rule the US? Maybe his family too is threatened? Is he forced to be a puppet or face the death or even torture of his daughters and his wife? Is he wracked and torn apart inside by what he has been forced to do to America? Are tears he has cried perhaps genuine, as he is a completely broken human being? I mean he must know that for ordinary citizens the shock of the last few days must be soul wrenching — especially when he knows that he in fact is the cause of the slaughter happening in West and in Boston and maybe all the other events of naked terror such as Sandy Hook and Benghazi, but that he had been helpless to prevent it?
Surely the passionate Barack Obama the World saw during his campaign was not an act? Did he only find out after he won the presidency that he would never be able to fulfill, what seemed at the time, his unbelievably heartfelt and sincere promises to the American People? Is he perhaps hoping desperately that someone in the halls of power of America, who is still honest and incorruptible, would come to realize that Obama is a prisoner – hostage as it were, watched every moment and that somehow, they would come and rescue him and his family?
Nonetheless, when I think it through, I know there are so many holes in the above reasoning. Surely any real American president would have made some plan to rescue his family or himself from such a terrible situation and with his family safely out of the way, would then have had the loyalty to his country and her people to protect and save everything and everyone against her enemies with his life — as the seals laid down their lives in Benghazi!
I pose the above scenarios because I am baffled to the core about Obama’s behavior which one would think he may be afflicted by some rare touch of madness or even possessed by an evil spirit (laughable if it was not so tragic). I am no psychiatrist but God alone knows, this man acts like an automaton; akin to someone whose been “taken over” – does that sound a bit crazy?
I just don’t know, but I so hoped he’d be one of the best president’s in American history – the whole Western world did — saw him as man bringing world peace. I just cannot believe how he can live with the taunts and insults that are thrown at him daily and remain almost unaffected by it?
Maybe I just have not grasped the full picture and that Obama is affected by it, but not as I would hope, as those opposing him just get added to his ‘kill list’ not so…
What to me is so terrible, is that in 1990 when I was there, US citizens would never even have given a thought that these horrifying atrocities would ever hit their home soil – it is the type of things they’d naturally assume only occurred in uncivilized Third World countries far away. Then so much started happening to shatter the American Dream, yet of all, the worst was 9/11 and while all thought it would change their lives forever it did not, as to this day MSM lapdogs report 9/11 as an attack by al qaeda and not the false flag it had been proven to be.
I can only say that I look forward to the day when my inbox pings continually with news that America has been saved and freed from the evil ones bent on destroying her and her people. You are all constantly in my meditation and in those of many all over the Planet.
If I may be so forward, I hope you can compile and present some article which to some extent may provide answers to some of my most burning questions, which may be questions and reasoning others may be asking and wondering about too…
May another Thomas Jefferson be closely placed in the wings to rebuild America….thanks.
April 18th, 2013 by olddog
By Staff Report
The Daily Bell
In a SPIEGEL interview, Harvard economist Carmen Reinhart argues governments are incapable of reducing their debts and that central banks are now stepping up to resolve the crisis themselves. In the end, she argues, everyday savers will pay the price. Reinhart: No central bank will admit it is keeping rates low to help governments out of their debt crises. But in fact they are bending over backwards to help governments to finance their deficits. This is nothing new in history. After World War II, there was a long phase in which central banks were subservient to governments. It has only been since the 1970s that they have become politically more independent. The pendulum seems to be swinging back as a result of the financial crisis. – Der Spiegel
Dominant Social Theme: Thank goodness for central banking.
Free-Market Analysis: Der Spiegel interviews Harvard economist Carmen Reinhart who has the novel idea that central banks are acting like the "adults" in the room by cleaning up after spendthrift governments.
"Governments are incapable of reducing their debts and now central banks are stepping in."
Perhaps this argument sounds reasonable to a Martian that has not been following exactly what central banks have been doing and continue to do, but last time we looked we weren't Martian.
The idea that monopoly central bankers are "responsible" and politicians are not seems a spurious question, in our humble view. A pox on both their houses.
Politicians spend money as fast as they can and central bankers work for instrumentalities that facilitate that spending.
A monopoly central bank is built to print money. That is what it is supposed to do. To deny it is to deny that a horse is configured to run, or a tiger to hunt, or an elephant, occasionally, to trample.
Here's some more from this "illuminating" interview:
SPIEGEL: Ms. Reinhart, central banks around the world are flooding the markets with cheap money in order to spur economies and support governments. Are these institutions losing their independence?
Reinhart: No central bank will admit it is keeping rates low to help governments out of their debt crises. But in fact they are bending over backwards to help governments to finance their deficits. This is nothing new in history. After World War II, there was a long phase in which central banks were subservient to governments. It has only been since the 1970s that they have become politically more independent. The pendulum seems to be swinging back as a result of the financial crisis …
SPIEGEL: But the danger of such a central bank policy is already well known: It can lead to high inflation.
Reinhart: True. But it is certainly more difficult for a central banker to raise interest rates with a debt to gross domestic product ratio of over 100 percent than it is when this ratio stands at 39 percent. Therefore, I believe the shift towards less independence of monetary policy is not just a temporary change.
SPIEGEL: As a historian who knows the potential long-term consequences very well, doesn't such short-sighted decision-making frighten you?
Reinhart: I am not opposing this change, I am just stating it. You have to deal with the debt overhang one way or the other because the high debt levels are an impediment to growth, they paralyze the financial system and the credit process. One way to cope with this is to write off part of the debt …
SPIEGEL: In other words: When the inflation rate is higher than the interest rates paid on the markets, the debts shrink as if by magic. The downside, though, is that this applies to the savings of normal people.
Reinhart: The technical term for this is financial repression. After World War II, all countries that had a big debt overhang relied on financial repression to avoid an explicit default. After the war, governments imposed interest rate ceilings for government bonds. Nowadays they have more sophisticated means.
SPIEGEL: … with the consequence that people are going to lose their savings?
Reinhart: No doubt, pensions are screwed.
We learn a lot here in a short period of time. Monopoly central banks as virtual appendages of government are doing what governments are incapable of doing – which is cutting spending and reducing debt.
We also learn this is not new, that in previous generations (and monopoly central banking in Europe has been around for much of the past century) the word for this policy is "repression."
Finally, we learn – inevitably – that people's savings are going to be massively affected by all this deliberate money printing.
We could also sum up these insights differently. First, monopoly central banking is an invitation to spend, as politicians are always aware that central banks stand ready to monetize debt.
Second, central bankers will print money to "stimulate" economies, but if we believe what is said in this interview, a deeper game is played. The stimulus is also aimed at inflating currency, thus reducing the amount of debt that governments owe.
A third insight provided by this interview is that central bankers and politicians really don't care about people's savings in a fiat money economy. The savings that people have are merely fungible pools of money that in aggregate have little or no relationship to policy.
There is, of course, a fourth reason that the interview does NOT mention – and that is monopoly central banking is very effective at enriching those who are closest to it. Fresh money, first issued, is very powerful money that has not suffered the ravages of price inflation.
Even more importantly, central bank money printing creates first booms and then busts, centralizing power further in the hands of those conducting and controlling monetary power.
Monopoly central banking aggravates economic cyclicality, encourages government profligacy, inflates the currency and despoils people's savings and retirements. Additionally, it centralizes power and control in the hands of the few at the expense of the many.
It is incredible in this Internet Era that smart people issue forth from European and American schools of "higher learning" still trying to defend and endorse this degraded system.
Even when its defenders such as Ms. Reinhart provide us with a steady stream of justifications and positive analyses, anyone even remotely aware of central banking functionality must see the negatives outweigh the putative positives.
Are there any benefits to central banking? Only if you believe that price fixing and abuse of monetary power is generally a good thing.
Conclusion: Professor Reinhart no doubt believes she is providing us with a realistic – and in a sense positive – perspective about monopoly central banking. She's fooling herself … but not (these days) so many others.
What does it take for the people to wake up and admit, “this is a them or us situation”? All one has to do is a little reading of central banking history, and the horrible truth will fall on you like a ton of bricks. Common sense would tell one and all, these International Banking Cartels should be exterminated! There are just a few families that have caused the death of hundreds of millions of people, and unknown billions of dollars in asset destruction over the last two hundred years, and their power over governments have come to the point of absolute despotism over all governments. In their pursuit of global dominance, they have constructed a global army of every profession needed to control every human being on earth in one way or another. Either by direct physical force, monetary manipulation, commodities needed to sustain life, or their chemicals and medicine. They poison our atmosphere, food and water, and force our people to accept their vaccines that slowly kill us. And if that’s not enough, they have turned our government into a police state, and voided our constitution. What horrible creatures like this deserve to live? Our education and news media have convinced half of our citizens to accept the slaughter of other Nations citizens by our government just to make them more powerful. So! If we are willing to murder husbands, mothers and children of other countries, and accept that as humane, why not take these scumbags to the crematories? If I had it my way we would throw them in alive and turn on the gas. Never in all of history, has anyone deserved it more than them. Just ten hours of reading will assure you its either them or us, and they are winning! SO FAR! Ask yourself if anyone could possibly be stupid enough to publish this, and expect to stay alive, or free much longer. Living in their world is not hard to give up!
WAKE THE HELL UP, AND DEMAND YOUR FREEDOM!
April 10th, 2013 by olddog
If I had the opportunity to address the parents of the Sandy Hook School shooting, and the supporters of more gun control laws, the first thing I would do is ask them
WHAT PART OF “SHALL NOT BE INFRINGED” DO YOU NOT UNDERSTAND?
Has your grief completely over-powered your mind? Do you not see how much authority the federal government has stolen from the people already? Do you really want the federal government to have the last word on the people being able to defend their country from a tyrannical federal government? Are you blind to the loss of liberty that has already occurred in America?
Are you willing to watch your country descend into another civil war because of your personal grief? Do you really believe the government’s firepower will defeat the majority of the people who will fight them to a stand still? Do you really want the politicians to be afraid to come out of hiding for the rest of their life? Don’t you understand that this tragedy was most likely a black opps. operation by your government to stimulate the dull and ignorant into believing gun control will prevent future loss of life? Don’t you understand that this is going to result in an attempt to disarm the people and leave them helpless to defend themselves and their families, as has been done so many times by other governments? Were your children’s lives worth more than the hundreds of thousands of lives’ that will be lost when the government tries to disarm America? Is a nation of managed servants what you really want? Have you no idea what life will be like when the government is no longer afraid of the people? In the first place, why were your children in a public school if it is not because of your manipulated word view? Do you not see what public education has done to this country? My dear grieving parents, why do you want the government to continue manipulating the minds of innocent children, when the cause of liberty is being destroyed there? Have you forgotten how your minds were manipulated in public education? Why were you so trusting of an organization that has failed it’s stated purpose for generations? Was it because it is the cheapest baby sitting service available? If public education is the safest place to have your children protected, why is it not working? Did a gun destroy the mind of some whacko, and convince him to murder little children? Dear parents, why did you not know you were sending your children into a dangerous environment? Why are you unaware that the social manipulation in public schools is directly responsible for creating uncontrollable rage in the minds of many children? Why didn’t you, like most observant parents, notice a change in your child’s attitude after the first year of public education? Did you think that change was a normal thing in children? Why are you so anxious to place the blame of your failure on a man made object, when that object is the most indispensible tool left to protect our nation?
Why have you abandoned the principle, that adherence to a set of immutable principle’s is the only way to control governments world over? Why do you put your confidence in humanity’s ability to adapt to new challenges, over time-tested methods of controlling excessive permissiveness, and excessive control? Why do you not see the limitations placed on humanity by excessive government control?
If public education made you so smart, why are you so intellectually limited, that you believe more government control will make life better, or safer?
Why are you so willing to give up the freedom that so many Americans died to preserve? Is it because you hate guns, or is it because you are afraid to defend freedom? In the first place, why would you hate guns when they have been the only thing that our past Americans had to gain their freedom? How can you be so ignorant to believe any nation would be safe without guns? Do you really believe a defenseless nation would be a safer nation? Why are you ignorant of the fact that freedom of choice is the only way to identify those who have lost self-control, or have evil natures and plan to do more evil? Have the lies you were taught in public education and the media industry convinced you that the world would be a safer place if the governments were unconstrained like ours presently is?
Why are you unaware of and not infuriated over, the governments claims that your children really belonged to the government, and you were held responsible for them? Why are you so willing to let an unconstrained government rule this nation, or why do you think it will not be unconstrained if you want it to control your every minute of life? How can you believe the government will feel responsible to us, if we let it rule our very existence?
Let me remind you that, better/smarter men than you, declared that, the right of the people to be armed SHALL NOT BE INFRINGED, and your personal tragedy is not sufficient reason to change that. If you want the loss of your dead children lives to be remembered forever, let their loss be the reason the government forever honors our God given right to remain armed. Self-defense is a God given right, and having guns is how we preserve it. Unconstrained governance, and government-controlled education, are the greatest evils the world has ever known.
In closing, let it be known that you are now responsible to the whole world for making it cognizant of the real reason for the consistent loss of liberty, and the rise of submissiveness in the people. It is because the government is hiding and protecting the International Investment Bankers who are really controlling our governments and taking control of the world’s resources. Since you have been manipulated into believing it is permissible for the government to manipulate the minds of our children into preemptive wars being an acceptable excuse to kill innocent children and their parents, why don’t you support the complete elimination of these Bankers forever, and protecting the lives of billions of people in the future? That, my dear parents is what will immortalize the loss of your children! Make your terrible loss the reason for the return of sanity, and self-responsibility, in the whole world. Killing the banksters would be like removing a thorn from an infected wound. The whole world would heal.
If anyone thinks this article is obscenely insensitive towards people suffering inconsolable grief, let it be known that governments all over the world, including America, and throughout history have murdered millions of people in order to establish governance by force, and if that does not offend you, then go to hell. Mass murder is always relative to the numbers involved, and hundreds of thousands of Americans dying defending their freedom is by far much worse than twenty children dying for no other reason than pleasing a putrid media industry. If you simply cannot accept the government’s involvement in this tragedy, you have not been paying attention to their modus operandi. Direct your rage where it belongs, and demand the end of central banking by the international banking cartel. They are the rotten bastards, who profit from and proliferate human depravity.
April 8th, 2013 by olddog
Subject: In-state tuition for illegals & Founding Principles were from enlightened settlers, not "immigrants"
Me, Senator Linda Chesterfield & The Facts: April 7, 2013
Recently I have written missives faulting Arkansas Senator Joyce Elliott for offering up Senate Bills each session, in this case SB 915, which grants unconstitutional largesse to children of illegal Mexican alien parents, legal & illegal, and OTM’s in the form of in-state tuition. The unconstitutional largesse Senator Elliott proposes is more outright theft taken by force from the producers.
Senator Chesterfield, in response to my missives has labeled me “uncivil, making nasty accusations against her colleagues” and further stating my writings are “unwelcome & unwarranted”.
Like all progressives/Marxists she hurls incendiaries, e.g. racist, xenophobe, bigot, but in this case she uses the aforementioned denigrations without one shred of evidence or a defense of her statements. Never do they produce evidence. Many times the truth causes gastric discomfort.
She offers up her academic profile as being one of History & Political Science, injecting the statement that she was “confounded by reference to our Founding Principles” and that our Founders were “immigrants”. You would expect a history major and an Arkansas State Senator would indeed be more knowledgeable and understanding regarding the Founding of our Republic.
My emails contain no statements regarding the immigration status of the Founders, but the Senator for some reason ties her non-point of the Founders immigration status to the aforementioned Founding Principles.
At this juncture I will offer a definition of what an immigrant is, for Senator Chesterfield and any others in the House & Senate who may not know the correct definition of an immigrant. I will use Howard Sutherland’s definition. Without going into a lot a lot of peripheral information, it can simply be stated “Immigrants are people who leave one country, one society and move to another society. But there has to be a recipient society to which the immigrants move. In our case, the recipient society was created by settlers who came here in the 17th & 18th centuries. It was the settlers’ (of which the Founders were a part) Anglo-Protestant society and culture that attracted subsequent generations of immigrants to this country.”
The Founders were settlers, not immigrants. We are a nation with immigrants, not a nation of immigrants.
The Founding Principles were solidly based on concepts of the Enlightenment, e.g. individual rights & liberties, according to philosophers John Locke, et al. (Read the Declaration of Independence). What is “confounding” about that fact?
Certainly not what is occurring today at all levels of government: Observe the present unconstitutional practices being proposed in the Arkansas House & Senate, i.e. the bill SB915 previously described and the Marxist/Obamacare proposal to add ¼ million more add-ons to terminal welfare (citizens & illegals) and the moment this legislation, if passed, the ¼ million people will automatically become eligible for all entitlement programs as everyone should know, bringing the grand total of Arkansans on welfare to over 1 million, accompanied by inherent abuses.
Citizens—this legislative behavior proves once more that Collectivism (Socialism/Fascism/Communism) is winning the battle over the individual rights to life, liberty, property and the pursuit of happiness.
Joe McCutchen www.arkansasfreedom.com
Let’s take a look at Obama’s real game plan.
#1 Let’s give the immigrants a free ride to prosperity on the backs of the citizens so we will have a national majority of the voters.
#2 The immigrants are too stupid to understand that what is given can be taken away, and now they must do their masters bidding.
#3 Indoctrinate their children with free education so we can keep the next generation as stupid as their parents, and we’ll maintain the majority.
#4 Surreptitiously indoctrinate everyone through the education and media industry that the attainment of wealth is anti social, thereby keeping them dependent.
#5 Make them stay in debt by inflation and price controls.
#6 Disarm the masses so they cannot rebel.
#7 Burden them with regulations to suppress small business.
#8 Record their every word, action, and movement.
#9 Shorten their life span to fifty years.
#10 Make them feel responsible for their neighbors.
April 8th, 2013 by olddog
By Pastor Roger Anghis
April 7, 2013
We have been bombarded over the last few months with information as to the enemies that are a threat to the United States. Those that are paying attention don’t have to be told who the enemy is. Those that are not informed have to be told. Rush Limbaugh calls them uninformed voters. For the most part they look for the (D) after the name when voting and pay no attention to the character of the man/woman nor the platform behind that name.
The Department of Justice has declared that any person that believes that the government should operate according to the Constitution, as they have sworn to do, are probably terrorist. This may sound off the wall but they are training police, firefighters and employees of Department of Homeland Security that those that support what our Founding Fathers fought and died for are the biggest threat to America’s security. Here is a quote from a recent article concerning a DOJ training manual.
“A leaked training manual used in the State and Local Anti-Terrorism Training (SLATT) program for law enforcement and funded by the Department of Justice lists political bumper stickers expressing opposition to the United Nations and support for the bill of rights as indications of terrorist activity.
The presentation documents, leaked to the Public Intelligence website, are entitled Terrorism Training For Law Enforcement and are marked “law enforcement sensitive.” The program is funded by grants from the Department of Justice’s Bureau of Justice Assistance.
Slides for the presentation depict the kind of behavior that law enforcement officials should be wary of in spotting potential terrorists during highway patrols.
One of the slides – entitled “Fourth Amendment Issues” – notes that “a suspicious map located on the passenger seat” could warrant further investigation as a potential indicator of terrorism.
Another slide entitled “General Right Wing Extremist” – depicts suspicious bumper stickers that should warrant further investigation by cops conducting traffic stops.
The bumper stickers read, “Know Your Rights Or Lose Them,” and “If You Love Your Country, the U.N. Is Not Your Friend!,” and “Get US Out Of the United Nations”.
Under the category of “Special-Interest/Single Issue Terrorism,” the slide characterizes people who hold political opinions that “represent a fairly popular point of view” as terrorists. Anti-abortion activists are also listed as terrorists under this category.
Another slide lists people who are “antigenetic engineering” as terrorists. Presumably, that includes people who are concerned about a new study which found that rats fed with genetically-engineered Monsanto corn suffered premature deaths.” [Source Link].
In 2001 a FEMA training program called Christians terrorists. Called the Founding Fathers terrorists. You can see a video here. The opposition for the Patriot Act is continuing to grow because it violates so many aspects of our Constitution. I am not the biggest fan of Senator Rand Paul as his stance on the NDAA which violates our 1st, 2nd, 5th, 6th, 8th, 9th and 14th Amendments as well as parts of the Constitution itself and immigration, I believe, are in direct violation of so many of our Constitutional rights and the laws of America that they are almost too many to discuss, but he has opposed many provisions of the Patriot Act. In a letter to his colleagues on February 15, 2011 he stated: “My main objection to the PATRIOT Act is that searches that should require a judge’s warrant are performed with a letter from an FBI agent—a National Security Letter (“NSL”).
I object to these warrantless searches being performed on United States citizens.
I object to the 200,000 NSL searches that have been performed without a judge’s warrant.
I object to over 2 million searches of bank records, called Suspicious Activity Reports, performed on U.S. citizens without a judge’s warrant.
Congress instead hastily passed a long-standing wish list of power grabs like warrantless searches and roving wiretaps. The government greatly expanded its own power, ignoring obvious answers in favor of the permanent expansion of a police state.
Other provisions of the PATRIOT Act previously made permanent and not scheduled to expire present even greater concerns. These include the use and abuse by the FBI of so-called National Security Letters. These secret demand letters, which allow the government to obtain financial records and other sensitive information held by Internet Service Providers, banks, credit companies, and telephone carriers—all without appropriate judicial oversight—also impose a gag order on recipients.” [Source Link]
These are all legitimate concerns about the violations they pose to an American’s constitutional rights. If you are not a citizen, that is another story as I do not believe that a non-citizen should have the same rights as an American citizen.
When you look at how our government is reacting to an American’s concern about the deterioration of our rights granted by our Constitution, it is the government that is now the biggest threat to our national security. If you are a pro-gun supporter, you are considered a national security threat. If you are pro-life you are considered a national security threat.
If you don’t support the U.S.’s involvement with the UN you are considered a national security threat. If you support traditional marriage you are considered a national security threat. And now the latest from Big Sis, Janet Napalitano, if you are a veteran you are considered a national security threat and there have been pieces of legislation introduced to Congress to disarm our veterans.
The movement within the federal government to restrict our gun rights which has been supported by virtually ever Democrat in every State is growing ever stronger. Senator Harry Reid is proposing legislation to tax Americans that exercise their 2nd Amendment rights. Another Democrat has introduced legislation to fine a gun owner $10,000 for not carrying liability insurance to cover the cost of the damage done by someone who steals their gun and commits a crime. That is effectively making one of the victims of a crime pay for the crime. I would like to see how our Constitution supports that. Our 4th Amendment guarantees that we cannot be charged without ‘probable cause’. Owning a gun that was stolen is not ‘probable cause’.
The US has agreed to the UN Arms Treaty which calls for the disarming of anyone over the age of 55 because, as the report states: . “And as we do, our reflexes diminish, our senses become impaired and our cognitive skills weaken … Therefore, as we enter our twilight years – clinically speaking, age 50 and above [Global life expectancy is only 67 years] – science tells us that we are in no shape to be handling or using a deadly weapon.” [Source Link]
Here is another violation of our 4th Amendment that DHS now has the right to do: Department of Homeland Security Can Seize Gold, Silver, Guns in Safety Deposit Boxes According to in-house memos now circulating, the DHS has issued orders to banks across America which announce to them that “under the Patriot Act” the DHS has the absolute right to seize, without any warrant whatsoever, any and all customer bank accounts, to make “periodic and unannounced” visits to any bank to open and inspect the contents of “selected safe deposit boxes.”
Further, the DHS “shall, at the discretion of the agent supervising the search, remove, photograph or seize as evidence” any of the following items “bar gold, gold coins, firearms of any kind unless manufactured prior to 1878, documents such as passports or foreign bank account records, pornography or any material that, in the opinion of the agent, shall be deemed of to be of a contraband nature.” [Source Link] Along with this it is also illegal for the bank to inform anyone who’s safety deposit box has been viewed or the contents been onsti! Who is the enemy of America?
Looking very briefly at what is happening in our schools we see not education but outright indoctrination. Just recently at John Hopkins University a pro-life group wanted to organize, however the University refused to allow them that right. The Student Government Association at Johns Hopkins University compared pro-life students to white supremacists and denied them official club status at the school. White Supremacist? For being pro-life? This is indoctrination for the global agenda where population control is number one. [Source Link]
Here is another case where a 15 year old was harrased so bad by his teacher for being a Republican that he had to transfer to another school. Even after complaining to the school official, nothing was ever done to the teacher. This is not education but indoctrination into the left’s political ideology. [Source Link]
Information is out now about the ‘Underware Bomber’ that he was actually an operative for the CIA! Why has it taken over three years for this information to come out. [Source Link]
Our members of Congress have sworn an oath to uphold the Constitution of the United States and the laws of this nation. Most have never read the Constitution and could care less about the restrictions that it imposes. When the fed’s and some States began imposing gun laws that are in direct violation of our onstitutionally protected 2nd Amendment rights many sheriffs declared that they would not enforce the laws that violate the 2nd Amendment. In Texas Democrats have introduct legislation that would have these sheriffs removed from office if they uphold the oath they swore. [Source Link]
In Colorado they have 30 elected sheriffs and all of them testified before the Colorado Senate Judiciary Committee and stated that the 8 laws they were debating were all violations of the Constitution and our 2nd Amendment rights and they could not and would not enforce any of them. Two Democrat State legislators proposed a bill that would hold up a pay raise they have been waiting for, for over seven years to be withheld until they do violate their oath to uphold the Constitution. Kudos to the people of Colorado as they have started recall petitions for 4 Democrats that voted for these guns restrictions. Two have been granted and are now collecting signatures and two are in the process of approval.
When you look at all of this, and this is just scratching the surface of what is going on, it is not the average American citizen that is a threat to our national security, the ones who demand that we operate by the Constitution, the ones who demand we be left free to exercise their 2nd Amendment rights, the ones who demand that America support the institution of traditional marriage, the ones who demand that we support a pro-life position.
But maybe the biggest problem with our government is We the People. Congress has a 9% approval rating yet we returned 90% of Congress to Washington! Abraham Lincoln once said “Now more than ever before, the people of the United States are responsible, for the Character of Their Congress. If That Body be Ignorant Reckless and Corrupt, it is Because the People Tolerate Ignorance Recklessness and Corruption”. We the People have tolerated those that wish to destroy America. That is the only reason that we are in the shape that we are in.
I see it as the government’s complete abandonment of the ideals and principles given to us by our Founders that is a threat to our national security. They have become the threat to our freedoms and rights and we must recognize this and use our election process to correct the problems that we ourselves have created by not paying attention to whom we put into office. The choice is ours. Thomas Paine stated “It is the duty of the Patriot to protect his country from its government.”
This statement by Samuel Adams is just as meaningful for today’s generation as it is for his generation: “The liberties of our country, the freedom of our Constitution, are worth defending at all hazards; and it is our duty to defend them against all attacks. It will bring an everlasting mark of infamy on the present generation, enlightened as it is, if we should suffer them to be wrested from us by violence without a struggle, or to be cheated out of them by the artifices of false and designing men.”
Daniel Webster also warned us about complacency: “Hold on, my friends, to the Constitution and to the Republic for which it stands. Miracles do not cluster and what has happened once in 6,000 years may not happen again. Hold on to the Constitution!”
The battle is ours. Do you hear the call to war?
© 2013 Roger Anghis – All Rights Reserved
Pastor Roger Anghis is the Founder of RestoreFreeSpeech.org, an organization designed to draw attention to the need of returning free speech rights to churches that was restricted in 1954.President of The Damascus Project,TheDamascusProject.org, which has a stated purpose of teaching pastors and lay people the need of the churches involvement in the political arena and to teach the historical role of Christianity in the politics of the United States. Married-37 years, 3 children, three grandchildren.Web site: RestoreFreeSpeech.orgE-Mail: firstname.lastname@example.org
The battle is ours. Do you hear the call to war?
WELL, DO YOU?
Have you not yet realized that our government is a rogue government, hell bent on merging America into a U.N. dominated one world government? ARE YOU SO AFRAID TO FIGHT FOR YOUR FREEDOM THAT YOU WILL ACCEPT THE PRESENT TREASON IN OUR GOVERNMENT? If you are, when the SHTF you better be prepared to answer to your patriotic neighbors, because they won’t have much concern for your welfare.
“It is the duty of the Patriot to protect his country from its government.”
AND YOU CANNOT DO THAT WITHOUT KNOWING WHICH SIDE IS RIGHT AND WHICH SIDE IS WRONG.
YOUR FIRST AND MOST IMPORTANT OBLIGATION IS TO BECOME, AND STAY INFORMED.
April 2nd, 2013 by olddog
By Lisa Guliani, Serendipity [Originally published in Babel Magazine in 2002]
“We the People of the United States, in Order to form a more perfect Union, establish Justice, insure domestic Tranquility, provide for the common defense, promote the general Welfare, and secure the Blessings of Liberty to ourselves and our Posterity, do ordain and establish this Constitution for the United States of America.” — Preamble of the original “organic” Constitution.
“We hold these truths to be self-evident. That all men are created equal; that they are endowed by their Creator with certain unalienable rights; that among these are life, liberty, and the pursuit of happiness; that to secure these rights, governments are instituted among men, deriving their just powers from the consent of the governed; that whenever any form of government becomes destructive of these ends, it is the right of the people to alter or abolish it, and to institute new government, laying its foundation on such principles, and organizing its powers in such form, as to them shall seem most likely to effect their safety and happiness.” — Excerpt from the Declaration of Independence of the original thirteen united states of America, July 4, 1776.
Fourth of July 2002 has come and gone, and Americans honored the holiday with a renewed patriotic fervor that reminded me of the Bicentennial celebrations of 1976. As is customary, traditional fireworks displays took center stage and scores of people turned out to witness the dazzling show in the summer sky. With mixed feelings, I sat with friends on a crowded Pennsylvania sidewalk beneath a glittering, mesmerizing explosion of color, pondering the keen sense of sadness and betrayal that overwhelmed my spirit. Looking around at the huge crowds gathered for the annual events, I thought silently, “We are not free.” In truth, we have not been a free people for a very long time.
We celebrate this day in honor of our “independence”. We call ourselves a free people in a land of liberty. Our anthems proudly sing the praises of this nation, and we raise our voices, wave our flags and join in song — but how many Americans realize they are not free? This is a myth perpetuated by the powers-that-be in order to avoid any major civil unrest, and to keep us all living under the thumb of a militaristic corporate Big Brother within the illusions that have been created for us. The truth of the matter is this: what freedom has not been stolen from us, we have surrendered willingly through our silence and ignorance. As Americans, most of us have no idea how our freedoms are maintained — or lost. Apparently, our ancestors didn’t have a good grasp of this either. It is sad, but it is also very true.
Don’t point to that beloved parchment, the Constitution, as a symbol of your enduring freedom. It is representative of a form of government which seemingly no longer exists in this country today. The Constitution has been thrown out the window, the Republic shoved aside and replaced with a democracy. The thing is; most people in this country remain unaware that this is so because they simply do not know the truth — what lies beyond the myths. Your so-called government is not going to tell you, either.
To even begin to understand what has happened to the Republic, we must look backward in time to the period following the Civil War. We must go back to the year 1871, which was the beginning of the decline of the Republic. When we examine what happened during that time in our history, we begin to piece together this troubling, perplexing puzzle that is “America” — only then should we answer as to whether we are indeed a “free” people or not.
So, let’s roll backward into the past for a moment. It is time we learned what they didn’t teach us in school. It is far more interesting than what they DID tell us. I think you’ll stay awake for this lesson.
The date is February 21, 1871 and the Forty-First Congress is in session. I refer you to the “Acts of the Forty-First Congress,” Section 34, Session III, chapters 61 and 62. On this date in the history of our nation, Congress passed an Act titled: “An Act To Provide A Government for the District of Columbia.” This is also known as the “Act of 1871.” What does this mean? Well, it means that Congress, under no constitutional authority to do so, created a separate form of government for the District of Columbia, which is a ten mile square parcel of land.
What??? How could they do that? Moreover, WHY would they do that? To explain, let’s look at the circumstances of those days. The Act of 1871 was passed at a vulnerable time in America. Our nation was essentially bankrupt — weakened and financially depleted in the aftermath of the Civil War. The Civil War itself was nothing more than a calculated “front” for some pretty fancy footwork by corporate backroom players. It was a strategic maneuver by European interests (the international bankers) who were intent upon gaining a stranglehold on the neck (and the coffers) of America.
The Congress realized our country was in dire financial straits, so they cut a deal with the international bankers — (in those days, the Rothschilds of London were dipping their fingers into everyone’s pie) thereby incurring a DEBT to said bankers. If we think about banks, we know they do not just lend us money out of the goodness of their hearts. A bank will not do anything for you unless it is entirely in their best interest to do so. There has to be some sort of collateral or some string attached which puts you and me (the borrower) into a subservient position. This was true back in 1871 as well. The conniving international bankers were not about to lend our floundering nation any money without some serious stipulations. So, they devised a brilliant way of getting their foot in the door of the United States (a prize they had coveted for some time, but had been unable to grasp thanks to our Founding Fathers, who despised them and held them in check), and thus, the Act of 1871 was passed.
In essence, this Act formed the corporation known as THE UNITED STATES. Note the capitalization, because it is important. This corporation, owned by foreign interests, moved right in and shoved the original “organic” version of the Constitution into a dusty corner. With the “Act of 1871,” our Constitution was defaced in the sense that the title was block-capitalized and the word “for” was changed to the word “of” in the title. The original Constitution drafted by the Founding Fathers, was written in this manner:
“The Constitution for the united states of America.”
The altered version reads: “THE CONSTITUTION OF THE UNITED STATES OF AMERICA”. It is the corporate constitution. It is NOT the same document you might think it is. The corporate constitution operates in an economic capacity and has been used to fool the People into thinking it is the same parchment that governs the Republic. It absolutely is not.
Capitalization — an insignificant change? Not when one is referring to the context of a legal document, it isn’t. Such minor alterations have had major impacts on each subsequent generation born in this country. What the Congress did with the passage of the Act of 1871 was create an entirely new document, a constitution for the government of the District of Columbia. The kind of government THEY created was a corporation. The new, altered Constitution serves as the constitution of the corporation, and not that of America. Think about that for a moment.
Incidentally, this corporate constitution does not benefit the Republic. It serves only to benefit the corporation. It does nothing good for you or me — and it operates outside of the original Constitution. Instead of absolute rights guaranteed under the “organic” Constitution, we now have “relative” rights or privileges. One example of this is the Sovereign’s right to travel, which has been transformed under corporate government policy into a “privilege” which we must be licensed to engage in. This operates outside of the original Constitution.
So, Congress committed TREASON against the People, who were considered Sovereign under the Declaration of Independence and the organic Constitution. When we consider the word “Sovereign,” we must think about what the word means.
According to Webster’s Dictionary, “sovereign” is defined as:
1. chief or highest; supreme.
2. Supreme in power, superior in position to all others.
3. Independent of, and unlimited by, any other, possessing or entitled to, original and independent authority or jurisdiction.
In other words, our government was created by and for “sovereigns” — the free citizens who were deemed the highest authority. Only the People can be sovereign — remember that. Government cannot be sovereign. We can also look to the Declaration of Independence, where we read: “government is subject to the consent of the governed” — that’s supposed to be us, the sovereigns. Do you feel like a sovereign nowadays? I don’t.
It doesn’t take a rocket scientist or a constitutional historian to figure out that this is not what is happening in our country today. Government in these times is NOT subject to the consent of the governed. Rather, the governed are subject to the whim and greed of the corporation, which has stretched its tentacles beyond the ten-mile-square parcel of land known as the District of Columbia — encroaching into every state of the Republic. Mind you, the corporation has NO jurisdiction outside of the District of Columbia. THEY just want you to think it does.
You see, you are presumed to know the law. This is ironic because as a people, we are taught basically nothing about the law in school. We are made to memorize obscure factoids and paragraphs here and there, such as the Preamble, and they gloss over the Bill of Rights. But we are not told about the law. Nor do our corporate government schools delve into the Constitution in any great depth. After all, they were put into place to indoctrinate and dumb down the masses — not to teach us anything. We were not told that we were sold-out to foreign interests and made beneficiaries of the debt incurred by Congress to the international bankers. For generations, American citizens have had the bulk of their earnings confiscated to pay on a massive debt that they, as a People, did not incur. There are many, many things the People have not been told. How do you feel about being made a beneficiary of somebody else’s massive debt without your knowledge or consent? Are we gonna keep going along with this??
When you hear some individuals say that the Constitution is null and void, think about how our government has transformed over time from a municipal or service-oriented entity to a corporate or profit-oriented entity. We are living under the myth that this is lawful, but it is not. We are being ruled by a “de facto,” or unlawful, form of government — the corporate body of the death-mongers — The Controllers.
With the passage of the Act of 1871, a series of subtle and overt deceptions were set in motion — all in conjunction and collusion with the Congress, who knowingly and deliberately sold the People down the river. Did they tell you this in government school? I doubt it. They were too busy drumming the fictional version of history into your brain — and mine. By failing to disclose what THEY did to the American People, the people became ignorant of what was happening. Over time, the Republic took it on the chin to the point of a knockdown. With the surrender of their gold in 1933, the People essentially surrendered their law. I don’t suppose you were taught THAT in school either. That’s because our REAL history is hidden from us. This is the way Roman Civil Law works — and our form of governance today is based upon Roman Civil Law and Admiralty/Maritime Law — better known as the “Divine Right of Kings” and “Law of the Seas”, respectively. This explains a lot. Roman Civil Law was fully established in the original colonies even before our nation began and is also known as private international law.
The government which was created for the District of Columbia via the Act of 1871 operates under Private International Law, and not Common Law, which was the law of the Constitutional Republic. This is very important to note since it impacts all Americans in concrete ways. You must recognize that private international law is only applicable within the District of Columbia and NOT in the other states of the Union. The various arms of the corporation are known as “departments” such as the Judiciary, Justice and Treasury. You recognize those names? Yes, you do! But they are not what you assume them to be. These “departments” all belong to the corporation known as THE UNITED STATES. They do NOT belong to you and me under the corporate constitution and its various amendments that operate outside of the Constitutional Republic.
I refer you to the UNITED STATES CODE (note the capitalization, indicating the corporation, not the Republic) Title 28 3002 (15) (A) (B) (C). It is stated unequivocally that the UNITED STATES is a corporation. Realize, too, that the corporation is not a separate and distinct entity from the government. It IS the government. YOUR government. This is extremely important. I refer to this as the “corporate empire of the UNITED STATES,” which operates under Roman Civil Law outside of the Constitution. How do you like being ruled by a cheesy, sleazy corporation? You’ll ask your Congressperson about this, you say? HA!!
Congress is fully aware of this deception. You must be made aware that the members of Congress do NOT work for you and me. Rather, they work for the Corporation known as THE UNITED STATES. Is this really any surprise to you? This is why we can’t get them to do anything on our behalf or to answer to us — as in the case with the illegal income tax — among many other things. Contrary to popular belief, they are NOT our civil servants. They do NOT work for us. They are the servants of the corporate government and carry out its bidding. Period.
The great number of committees and sub-committees that the Congress has created all work together like a multi-headed monster to oversee the various corporate “departments.” And, you should know that every single one of these that operates outside the District of Columbia is in violation of the law. The corporate government of the UNITED STATES has no jurisdiction or authority in ANY state of the Republic beyond the District of Columbia. Let this sink into your brain for a minute. Ask yourself, “Could this deception REALLY have occurred without the full knowledge and complicity of the Congress?” Do you think it happened by accident? You are deceiving yourself if you do. There are no accidents or coincidences. It is time to confront the truth and awaken from ignorance.
Your legislators will not apprise you of this information. You are presumed to know the law. THEY know you don’t know the law, or your history for that matter, because this information has not been taught to you. No concerted effort has been made to inform you. As a Sovereign, you are entitled to full disclosure of the facts. As a slave, you are entitled to nothing other than what the corporation decides to “give” you — at a price. Be wary of accepting so-called “benefits” of the corporation of the UNITED STATES. Aren’t you enslaved enough already?
I said (above) that you are presumed to know the law. Still, it matters not if you don’t in the eyes of the corporation. Ignorance of the law is not considered an excuse. It is your responsibility and your obligation as an American to learn about the law and how it applies to you. THEY count on the fact that most people are too uninterested or distracted or lazy to do so. The People have been mentally conditioned to allow the alleged government to do their thinking for them. We need to turn that around if we are to save our Republic before it is too late.
The UNITED STATES government is basically a corporate instrument of the international bankers. This means YOU are owned by the corporation from birth to death. The corporate UNITED STATES also holds ownership of all your assets, your property, and even your children. Does this sound untrue? Think long and hard about all those bills you pay, all those various taxes and fines and licenses you must pay for. Yes, they’ve got you by the pockets. Actually, they’ve had you by the ass for as long as you’ve been alive. In your heart, you know it’s true. Don’t believe any of this? Read up on the 14th Amendment. Check out how “free” you really are.
With the Act of 1871 and subsequent legislation such as the purportedly ratified 14th Amendment, our once-great nation of Sovereigns has been subverted from a Republic to a democracy. As is the case under Roman Civil Law, our ignorance of the facts has led to our silence. Our silence has been construed as our consent to become beneficiaries of a debt we did not incur. The Sovereign People have been deceived for hundreds of years into thinking they remain free and independent, when in actuality we continue to be slaves and servants of the corporation.
Treason was committed against the People in 1871 by the Congress. This could have been corrected through the decades by some honest men (assuming there were some), but it was not, mainly due to lust for money and power. Nothing new there. Are we to forgive and justify this crime against the People? You have lost more freedom than you may realize due to corporate infiltration of the so-called government. We will lose more unless we turn away from a democracy that is the direct road to disaster — and restore our Constitutional Republic.
In an upcoming article, we’ll take a closer look at the purportedly ratified 14th Amendment and how we became “property” of the corporation and enslaved by our silence.
I am saddened to think about the brave men and women who were killed in all the wars and conflicts instigated by the Controllers. These courageous souls fought for the preservation of ideals they believed to be true — not for the likes of a corporation. Do you believe that any one of the individuals who have been killed as a result of war would have willingly fought if they knew the full truth? Do you think one person would have laid down his life for a corporation? I think not. If the People had known long ago to what extent their trust had been betrayed, I wonder how long it would have taken for another Revolution. What we need is a Revolution in THOUGHT. We change our thinking and we change our world.
Will we ever restore the Republic? That is a question I cannot answer yet. I hope, and most of all — pray — that WE, the Sovereign People, will work together in a spirit of cooperation to make it happen in this lifetime. I know I will give it my best shot — come what may. Our children deserve their rightful legacy — the liberty our ancestors fought so hard to give to us. Will we remain silent telling ourselves we are free, and perpetuate the MYTH? Or, do we stand as One Sovereign People, and take back what has been stolen from the house of our Republic?
Something to think about — it’s called freedom.
My heartfelt thanks goes out to the following people for their gracious and generous assistance in researching this subject: Ken S. of American Revolution II Online News, Paul Walker of RMN News, Bob Taft, Stanooch, and Willy Whitten — true Patriots, one and all.
This is not the first time I have published this article, and it won’t be the last until I receive information proving it is false. Why? Simply because it is the very best, or most believable explanation of how our government is not obeying the Constitution (for) the United States. I have had some very honorable people refuse to study this with an open mind, and endured insults of not being patriotic, but all of my complaints are really directed at the Corporate Government who is in de facto charge of our country. When the day comes that we have a de jure government installed, I will respect it as mush as anyone. When someone comes along with an intelligent reason for all three branches of government not doing their job, and getting away with it, then, I will listen with an open mind. These traitors must have some kind of protection, or they would have been prosecuted long before now. Until they are, I accept the above article as the most plausible reason for their actions. AND ACTIONS DO SPEAK LOUDER THAN WORDS. When one studies the Original Constitution, the Federalist papers, The Declaration of Independence, and other documents of the early history of America, one would conclude that it would be impossible for this country to be run the way it is, and has been, without the politicians being tarred and feathered. OR better yet, burned at the stake. The present laws we are living under, are proof positive we are not being governed by our original constitution.
I can understand and believe that some politicians could be elected who were not really qualified, and some could have bought their position, but for the whole damn bunch to disregard the constitution means there is a reason for it, and they feel protected by it.
March 30th, 2013 by olddog
By Tom Burghardt
One indelible sign of state capture by pirate corporations and the financial jackals holding sway on Wall Street and the City of London is the ease with which former “regulators” slip into plum positions with the firms whom they supposedly “regulated” as “public servants.”
While the drone kill-crazy Obama regime has done yeoman’s work cementing in place extra-constitutional policies first enacted by the Bush gang–only to exceed Bushist depredations by a whole order of magnitude–kool-aid sipping “progressives” and troglodytic “conservatives” have given the president a free pass when it comes to policing the financial criminals who blew up the world economy.
But when it comes to US spy agencies probing and sweeping up your financial information, well, the sky’s the limit!
As Reuters reported last week, the administration “is drawing up plans” to give securocrats “full access to a massive database that contains financial data on American citizens and others who bank in the country, according to a Treasury Department document.”
That Treasury plan would give secret state apparatchiks, including those ensconced at CIA, NSA and the Pentagon free reign to rummage through the Financial Crimes Enforcement Network’s (FinCEN) massive database of “suspicious activity reports” routinely filed by “banks, securities dealers, casinos and money and wire transfer agencies.” The FBI and DHS already have full access to that database under the Orwellian USA Patriot Act.
Under the proposal, FinCen data will be linked “with a computer network used by US defense and law enforcement agencies to share classified information called the Joint Worldwide Intelligence Communications System,” according to Reuters.
And since requirements for filing SARs are “so strict,” banks often “over-report,” this “raises the possibility that the financial details of ordinary citizens could wind up in the hands of spy agencies,” where it will live in perpetuity, “criminal evidence, ready for use in a trial,” as Cryptohippie famously warned.
Got that? While Wall Street drug banks are handled with care because of the “collateral consequences” that might result from a criminal referral for laundering billions of narco-dollars, the average citizen’s financial data will be fair game.
Which brings us back to Obama’s anemic regulatory regime and the “sheriffs” eager to do the bankster’s bidding.
Wall Street’s Choice
As one of the filthiest dens of corruption in Washington, the Securities and Exchange Commission (SEC) is in a league of its own.
In late January, when the president announced he was nominating former federal prosecutor Mary Jo White to lead the Securities and Exchange Commission (SEC), The New York Times, as they are wont to do, proclaimed that the “White House delivered a strong message to Wall Street.”
A rather ironic assertion considering the tens of millions of dollars “earned” defending Wall Street criminals by Debevoise & Plimpton partner Mary Jo and her millionaire lawyer husband John, a partner at the white shoe corporate litigation shop Cravath, Swaine & Moore, as Above the Law disclosed.
Keep in mind that White will soon lead an agency that for years covered-up financial crimes by routinely shredding tens of thousands of case files on everything from insider trading, securities fraud, market manipulation and the Madoff and Stanford Ponzi schemes, as a 2011 Rolling Stone investigation disclosed.
As I reported nearly three years ago during my investigation into now-convicted fraudster Allen Stanford’s ties to the CIA over his role in laundering oceans of cash for the Agency’s narcotrafficking assets, the SEC’s Fort Worth office “stood down” multiple probes “at the request of another federal agency,” which regional head of enforcement Stephen J. Korotash “declined to name.”
Indeed, a 2010 report by the SEC’s Office of the Inspector General found that another “former head of Enforcement in Fort Worth,” Spencer C. Barasch, “played a significant role in multiple decisions over the years to quash investigations of Stanford,” and sought to represent the dodgy banker “on three separate occasions after he left the Commission, and in fact represented Stanford briefly in 2006 before he was informed by the SEC Ethics Office that it was improper to do so.”
Barasch eventually paid a $50,000 fine for ethics violations and “moved on.”
Despite the SEC’s documented history of sleaze and lax enforcement of rules that would earn the average citizen a one-way ticket to the slammer, on March 19 the Senate Banking Committee approved White’s nomination by a vote of 21-1; the lone dissenter was Sherrod Brown (D-OH). A vote by the full Senate could come as early as next week and she is expected to be confirmed easily.
As a former US Attorney for the Southern District in New York (1993-2002), White has been described by corporate media as a “tough as nails” prosecutor for her role in bringing down Mafia wise guy John Gotti and for running to ground criminal mastermind Ramzi Yousef, the architect of the 1993 World Trade Center bombing. (For a gripping account of how the FBI and US prosecutor’s office botched that investigation and “foamed the runway” for the mass murder of 3,000 people on 9/11, readers should train their sights on Peter Lance’s exposé, 1000 Years for Revenge).
White’s record when it came to holding financial criminals to account however, was even more dubious; in fact, for more than a decade she’s defended them.
Times’ stenographers dialed back their glowing encomiums for the Obama nominee, writing that “translating that message into action will not be easy, given the complexities of the market and Wall Street’s aggressive nature.”
As reliable hands on the financial beat, Dealbook reporters routinely trumpet everything from the Justice Department’s sweetheart deal with drug money laundering and terrorist coddling banking giant HSBC to kissing Jamie Dimon’s hem over billions of JPMorgan Chase losses last year in what were euphemistically described as a “bad bet on derivatives.”
In the January puff-piece, reporters Ben Protess and Benjamin Weiser outdid themselves, claiming that with the White nomination “the president showed a renewed resolve to hold Wall Street accountable for wrongdoing.”
However, a less than laudatory piece published by Bloomberg News took those fatuous claims to task. Financial columnist Jonathan Weil observed that while “The Securities and Exchange Commission couldn’t get Ken Lewis on any securities-law violations after he helped drive Bank of America Corp. into the ground as its chief executive officer,” the agency “is poised to get his attorney as its new chairman–and Morgan Stanley’s, too.”
But hey, it’s not like the SEC is chock-a-block with conflicts of interest, right? Well, if a bracing read is what the doctor ordered, then turn your attention to a damning study released last month by the Project on Government Oversight (POGO). Entitled, Dangerous Liaisons: Revolving Door at SEC Creates Risk of Regulatory Capture, author Michael Smallberg takes us on a 60-page tour of insider dealing and corruption that would make a Roman emperor blush.
According to Smallberg: “Between 2001 and 2010, more than 400 SEC alumni filed nearly 2,000 disclosure statements saying they planned to represent employers or clients before the agency. These alumni have represented companies during SEC investigations, lobbied the agency on proposed regulations, obtained waivers to soften the blow of enforcement actions, and helped clients win exemptions from federal law. On the other side of the revolving door, when industry veterans join the SEC, they may be in a position to oversee their former employers or clients, or may be forced to recuse themselves from working on crucial agency issues.”
Talk about an agency blind in both eyes by design!
A Counsel with ‘Juice’
One of the more egregious cases which came to light was SEC’s handling of a 2005 insider trading case involving former agency enforcement head, Linda Thomsen, White and her client, Morgan Stanley CEO John Mack.
Before her tenure as the agency’s chief enforcement officer, Thomsen was in private practice at the powerhouse New York law firm, Davis, Polk & Wardell. During the capitalist financial meltdown, the company represented upstanding corporate citizens such as AIG, Freddie Mack, Lehman Brothers and drug-tainted Citigroup. Bulking up a stable of attorneys well-versed in regulatory matters, the firm has hired other former SEC officials, including Commissioner Annette Nazareth and Linda Thomsen.
Before sailing off to greener shores at Davis, Polk, Nazareth’s claim to fame was standing up a voluntary “supervisory regime” for the largest “investment bank holding companies” who “policed” themselves by cratering the economy and costing taxpayers trillions in bailouts.
That program, the Consolidated Supervised Entity was scrapped in 2008. Why? According to a press release by then SEC head Christopher Cox (no slouch himself when it came to defending his corporatist masters): “The last six months have made it abundantly clear that voluntary regulation does not work. When Congress passed the Gramm-Leach-Bliley Act, it created a significant regulatory gap by failing to give to the SEC or any agency the authority to regulate large investment bank holding companies, like Goldman Sachs, Morgan Stanley, Merrill Lynch, Lehman Brothers, and Bear Stearns.” (emphasis added)
A “gap” large enough to fly a fleet 747s through and still have enough wiggle room to launch a dozen Saturn 5s into deep space!
And that insider trading case?
According to Matt Taibbi’s Rolling Stone investigation, in September 2004 SEC investigator Gary Aguirre was tasked to look into an insider trading complaint against “a hedge-fund megastar named Art Samberg. One day, with no advance research or discussion, Samberg had suddenly started buying up huge quantities of shares in a firm called Heller Financial.”
Samberg was the founder of the multibillion dollar hedge fund, Pequot Capital Management, a firm which invested in a multitude of private and public equities and what are known as “distressed securities.” These are investment instruments held by firms or government entities (paging Fannie Mae!) that are either in default, under bankruptcy protection or will soon be heading south. The most common securities of this type are bonds and bank debt (think residential mortgage backed securities and other toxic assets). Since the financial crisis, a booming market in distressed securities have earned savvy hedge fund mangers billions in fees as they seek influence with regulators over how that debt is restructured.
And since “influence” in Washington and the “juice” that comes with it on Wall Street is the name of the game, well, you get the picture.
“‘It was as if Art Samberg woke up one morning and a voice from the heavens told him to start buying Heller,’ Aguirre recalls. ‘And he wasn’t just buying shares–there were some days when he was trying to buy three times as many shares as were being traded that day.’ A few weeks later, Heller was bought by General Electric–and Samberg pocketed $18 million.”
“After some digging,” Taibbi wrote, “Aguirre found himself focusing on one suspect as the likely source who had tipped Samberg off: John Mack, a close friend of Samberg’s who had just stepped down as president of Morgan Stanley.”
According to Taibbi, “Mack flew to Switzerland to interview for a top job at Credit Suisse First Boston. Among the investment bank’s clients, as it happened, was a firm called Heller Financial. We don’t know for sure what Mack learned on his Swiss trip; years later, Mack would claim that he had thrown away his notes about the meetings.”
Rather conveniently, one might say.
In any event after returning from his Swiss Alps sojourn, in a classic case of “you scratch my back” Samberg cut his buddy Mack into a deal with a tech firm called Lucent, “a favor that netted him [Mack] more than $10 million.” Shortly thereafter, “Samberg began buying-up every Heller share in sight, right before it was snapped up by GE.”
An insider trading case worthy of further scrutiny, right? But when Aguirre told his boss [Robert Hanson] that he intended to interview Mack and the other principals, “things started getting weird.” Taibbi noted that Aguirre’s boss told the investigator that Mack “had powerful political connections.”
Indeed he did. Like other Wall Street banksters, Mack had been a fundraising “Ranger” for the 2004 George W. Bush campaign, and when it became clear that a new product line needed to be rolled out, Mack crossed party lines and backed Hillary Clinton’s ill-starred 2008 bid for the Oval Office.
How’s that for clubby “bipartisanship”!
A 2007 report (large PDF file) published by the Senate Finance Committee titled The Firing of an SEC Attorney and the Investigation of Pequot Management, disclosed that “at least three experienced SEC officials believed in the summer of 2005 that questioning John Mack was an appropriate next step in the Pequot Investigation.”
Indeed, Senate investigators revealed that “the most significant aspect” of Mack’s 2006 SEC testimony (after the statute of limitations for prosecution had expired) “is his acknowledgement that he went to Switzerland to discuss becoming CSFB’s CEO from July 26-28, 2001.”
“In view of the fact that Mack also spoke with Samberg immediately upon his return to the United States on July 29, 2001,” Senate staff disclosed, “the trading day before Samberg began heavily betting on Heller Financial stock, and on the same night Mack was permitted into a lucrative deal, there was more than a sufficient basis to justify taking Mack’s testimony in the summer of 2005.”
After first being given the go-ahead to interview Mack, “Aguirre’s direct line of supervisors” including Hanson, Mark Kreitman and Paul Berger, got cold feet. Unfortunately for Aguirre, this came after he had briefed attorneys at Mary Jo White’s old stomping ground and “criminal authorities in the Southern District opened their own investigations” into dubious deals between Samberg and Mack.
At that point, Senate investigators averred, “his supervisors’ attitudes shifted dramatically,” that is, “when officials from Morgan Stanley began contacting the SEC to learn about the potential impact of the investigation on its prospective CEO, John Mack.” Only then did Hanson warn Aguirre that “it would be difficult to subpoena John Mack because of his ‘powerful political connections’.”
Aguirre told Senate investigators that “in a face-to-face meeting” with his boss, “Hanson said it would be very difficult to get permission to question Mack because of Mack’s ‘powerful political connections’.”
Hanson however, denied everything and said during his Senate testimony “That doesn’t sound like something I would say.”
“As a general matter,” Hanson testified, “I try to alert folk above me about significant developments in investigations that may trigger calls and the like so that they are not caught flat footed. I also think that Paul [Berger] and Linda [Thomsen] would want to know if and when we are planning to take Mack’s testimony so that they can anticipate the response, which may include press calls that will likely follow. Mack’s counsel will have ‘juice’ as I described last night–meaning that they will reach out to Paul and Linda (and possibly others).”
And who was Mack’s “juiced” attorney? Why none other than Mary Jo White!
Unbeknownst to Aguirre, his supervisors were trading emails about his imminent firing from the agency. “With no knowledge of those emails,” Senate investigators disclosed that Aguirre wrote Hanson again stating, that “before and after the Mack decision, you have told [me] several times that the problem in taking Mack’s exam is his political clout, e.g., all the people that Mary Jo White can contact with a phone call.”
At the same time that Aguirre was seeking to subpoena Mack’s testimony, Morgan Stanley’s board hired Debevoise & Plimpton to vet their soon-to-be reinstalled CEO. “Only two days after being retained,” the Senate reported, “White did what the SEC did not do until more than a year later. She questioned John Mack: ‘The other thing that I did for the board to gather what information I could on that time frame was to interview John Mack himself,’” White told investigators.
But she did more than that, demonstrating she indeed had plenty of “juice.”
“That evening,” the Senate disclosed, “White sent Thomsen an e-mail message marked ‘URGENT’ and asked that Thomsen return the call ‘this evening.’ Aguirre complained that the next day White delivered the e-mails that he had subpoenaed from Morgan Stanley directly to Linda Thomsen.”
“On June 27,” Aguirre testified, “I learned that Mack-Samberg emails, which I had subpoenaed from Morgan Stanley, had been delivered directly to the Director of Enforcement, Linda Thomsen. Neither I nor other staff had heard of this happening before. Indeed, the subpoena explicitly stated that the documents were to be delivered to me.”
Evidence reviewed by the Senate Finance Committee “suggests that the reluctance to question Mack represents a much more subtle and pervasive problem than an individual partisan political favor. SEC officials were overly deferential to Mack–not because of his politics–but because he was an ‘industry captain’ who could hire influential counsel to represent him.”
“In a shocking move that was later singled out by Senate investigators,” Taibbi wrote, “the director actually appeared to reassure White, dismissing the case against Mack as ‘smoke’ rather than ‘fire’.”
“Aguirre didn’t stand a chance,” Taibbi noted. “A month after he complained to his supervisors that he was being blocked from interviewing Mack, he was summarily fired, without notice. The case against Mack was immediately dropped: all depositions canceled, no further subpoenas issued. ‘It all happened so fast, I needed a seat belt,’ recalls Aguirre, who had just received a stellar performance review from his bosses. The SEC eventually paid Aguirre a settlement of $755,000 for wrongful dismissal.”
It gets better.
In a subsequent piece, Taibbi followed-up and discovered “not only did the SEC ultimately delay the interview of Mack until after the statute of limitations had expired, and not only did the agency demand an investigation into possible alternative sources for Samberg’s tip (what Aguirre jokes was like ‘O.J.’s search for the real killers’), but the SEC official who had quashed the Mack investigation, Paul Berger, took a lucrative job working for Morgan Stanley’s law firm, Debevoise and Plimpton, just nine months after Aguirre was fired.”
As it turned out, at the exact moment that Aguirre’s investigation was being sabotaged, Senate investigators “uncovered an email to Berger from another SEC official, Lawrence West, who was also interviewing with Debevoise and Plimpton at the time.”
“The e-mail was dated September 8, 2005 and addressed to Paul Berger with the subject line, ‘Debevoise.’ The body of the message read, ‘Mary Jo [White] just called. I mentioned your interest’.”
Taibbi observed: “So Berger was passing notes in class to Mary Jo White about wanting to work for Morgan Stanley’s law firm while he was in the middle of quashing an investigation into a major insider trading case involving the CEO of the bank. After the case dies, Berger later gets the multimillion-dollar posting and the circle is closed.”
In later testimony to the Inspector General into Debevoise & Plimpton’s eventual hiring of Berger by a firm that boasts on their web site that she leads a “team” which “includes eleven former Assistant US Attorneys,” White’s comments on whether Berger was considered too “aggressive” in prosecuting Wall Street criminals is all-too-revealing.
“You always have a spectrum on the aggressiveness scale for government types and was this an issue that was beyond real commitment to the job and the mission and bringing cases,” White affirmed, “which is a positive thing in the government, to a point. Or was it a broader issue that could leave resentment in the business community or in the legal community that would hamper his ability to function well in the private sector?”
“It’s certainly strange that White has to qualify the idea that bringing cases is a positive thing in a government official–that bringing cases is a ‘positive thing . . . to a point’,” Taibbi noted. “Can anyone imagine the future head of the DEA saying something like, ‘For a prosecutor, bringing drug cases is a positive, to a point’?”
And what about Linda Thomsen? In 2008, the SEC’s inspector general, H. David Kotz, urged disciplinary action against her over her role in Aguirre’s squashed investigation of Samberg and Mack. While Samberg was eventually forced out of business, barred from working as an investment adviser and paid a $28 million fine for his shenanigans, Thomsen landed on her feet.
After refusing to answer relevant questions in 2009 before the House Committee on Financial Services probe into the SEC’s failure to investigate the Bernie Madoff Ponzi scheme, due to a “collective desire to preserve the integrity of the investigative and prosecution processes” mind you, Thomsen resigned and rejoined Davis, Polk and Wardell.
Later that year, Kotz released a report to Congress of the IG’s investigation into a “Senior Officer” who provided “inside information” to a “former official.” As it turns out that “Senior Officer” was Linda Thomsen and that “official” was her former boss Stephen Cutler who had jumped ship and joined JPMorgan Chase.
According to The New York Times, “Kotz said his office has concluded its well-publicized investigation into whether the SEC’s enforcement director, Linda Chatman Thomsen, inappropriately provided inside information to her former boss, Stephen Cutler, now the general counsel of JPMorgan Chase, amid the bank’s negotiations to buy Bear Stearns in March 2008.”
“The inquiry,” the Times reported, “which began in response to an anonymous tip, confirmed that Mr. Cutler sought assurances from Ms. Thomsen before the takeover that JPMorgan would not be sued for prior actions by Bear Stearns.”
And who was representing JPMorgan Chase in the wake of the Bear Stearns collapse? If you guessed Mary Jo White, you’d be right again.
Less than three years later, during Senate Banking Committee confirmation hearings, White told the panel that “the American people will be my client, and I will work as zealously as possible on behalf of them.”
But when questioned by Sherrod Brown (D-OH) whether or not White agreed with US Attorney General Eric Holder’s statement which affirmed that “federal prosecutors are instructed . . . to look at . . . collateral consequences” should a financial institution or its officers be criminally charged, White agreed.
In a follow-up question, Brown wondered whether there is “a two-tiered system where we exempt the biggest banks because they have the most employees and shareholders who could be affected by criminal prosecution?”
White’s answer pretty much sums up everything that’s bent about Washington’s culture of impunity when it comes to the Wall Street crimes: “It’s a factor that prosecutors are directed to consider.”
“I do think the deferred prosecution instrument,” White asserted, “has been used a great deal on a number of companies, [and] was designed to be tough in terms of monetary sanctions, monitors–everything but the charge itself that might cause what the prosecutor might consider to be negative and undesirable collateral consequences to the public interest.”
But what about harsher sanctions such as stripped assets, handcuffs and a jail cell for drug money laundering and securities scamming banksters, punishments that might actually deter corporate crime?
Tom Burghardt is a researcher and activist based in the San Francisco Bay Area. In addition to publishing in Covert Action Quarterly and Global Research, he is a Contributing Editor with Cyrano’s Journal Today. His articles can be read on Dissident Voice, Pacific Free Press, Uncommon Thought Journal, and the whistleblowing website WikiLeaks. He is the editor of Police State America: U.S. Military “Civil Disturbance” Planning, distributed by AK Press and has contributed to the new book from Global Research, The Global Economic Crisis: The Great Depression of the XXI Century.
Copyright © 2013 Global Research
March 20th, 2013 by olddog
Many of my loyal readers have been asking what happened to Brandon Smith, or why have you not published his articles lately, my answer is he has been busy preparing a new wave of attacks on the lies of the SPLC. He is back at the keyboard now and here is a new sample of his awesome elucidation.
The Real Reasons Why The Liberty Movement Is Preparing To Fight
By Brandon Smith
Years ago while writing for Neithercorp Press I penned an article entitled
“One Day Soon, We’ll All Be Homegrown Terrorists”. In that piece I described a not so far off future in which martial law, economic collapse, and the destruction of civil liberties stood imminent. I related my views on the propaganda rhetoric of the SPLC, and how they were using false association to tie liberty groups to any deviant organization they could think of, including racists and domestic terrorists, in order to condition the American public to react to our message with immediate contempt.
It became clear to me then that the SPLC, which had become the propaganda wing of the widely reviled Department Of Homeland Security, was helping set the stage for a paradigm shift in the U.S. This shift would obviously include economic and social disruption, as well as political turmoil beyond anything our nation has seen for over 150 years. But most importantly, it would pave the way for certain elements of the American populace, namely those who are awake, aware, and outspoken, to be labeled “enemy combatants” dangerous to the state.
Though posing as an anti-racist monitoring institution, the SPLC’s primary concern has never been the KKK or “White Identity”. Rather, the SPLC’s job has been and always will be to marginalize and defame those who stand against centralized federal power, regardless of how corrupt that power has become. They are not anti-racists, or liberals, or concerned citizens; they are STATISTS, who only care about maintaining the superiority of a government that has been bought and paid for many times over by a gaggle of international financiers with delusions of godhood.
The SPLC, of course, has so far utterly failed in their efforts to stop the rise of Constitutional activists. By their own admission, “patriot groups” have expanded exponentially since 2008, and continue to develop freely even in the face of wildly absurd character attacks taken from the amoral (immoral) guidebook of Saul Alinsky himself. The truth, once realized, is difficult if not impossible to stop.
Unfortunately, the establishment understands this as well…
Given a few more years, the Liberty Movement will indeed prevail in the struggle for the “infowar”. Naysayers who claimed we were merely an ineffective and irrelevant peripheral of society are now faced with a strong and growing minority which has the power to swing state and local elections, as we did in 2012, simply by refusing to vote for oath breaking Republicans, sending the message that if the Republican party ever wants to win again, they had better run honest Constitutionalists. Those who claimed our message was “insane conspiracy theory” must now explain the indefinite detention and rendition provisions of the NDAA, the government approved unleashing of 30,000 surveillance drones in American skies, the Obama Administration's assassination list which includes U.S. citizens, and the push for gun registration and confiscation which is already beginning to take place in some states.
How did we know what was coming? Was it intuition or lucky conjecture? Neither. All we had to do was look at the trends of the day and use logic to discern the most likely outcome.
Our concerns, which were once called “fringe”, are now going mainstream. We were right, they were wrong. Though, I wish we had been wrong…
Just as the public is on a shrinking timeline, so are the elites. For every burst forward in our efforts to wake up the population to the loss of their freedoms and heritage, they must speed up their plans to gain economic and political supremacy. The harder you pull on the ends of a frayed rope in opposite directions, the sooner it is going to snap.
Today, as never before, I believe our culture has reached the breaking point, which is why the SPLC has pushed their attacks on the Liberty Movement into overdrive with manipulative media hit pieces like this:
As well as their latest propaganda piece “The Year In Hate And Extremism”:
The SPLC plays the role of the frantic watchman, crying out at the approach of the Mongol hordes, but their childish and ill conceived methods continue to expose their true intentions. Is the Liberty Movement preparing for war? No, but we are preparing to defend ourselves. Here are the SPLC assertions of why we are ready to fight, followed by the real reasons behind our preparations…
1) Because Obama Is Half Black?
No. Obama could be neon green and we couldn’t care less. The SPLC attempts to equate the growth of “patriot groups” with the election of the first black president, while leaving out much more likely catalysts including our current economic spiral (which they often refer to as “conspiracy theory”), or the Obama Administration’s expansion and even application of numerous unconstitutional provisions, some of which were launched by the Bush Administration.
How does the SPLC explain the majority of the Liberty Movement’s staunch opposition to the Romney Campaign if all we cared about was race? How do they reconcile the fact that we are just as critical of the Republican elite as we are of the Democrats? What about the reality that many of our organizations (like Oath Keepers) are made up of numerous races and nationalities?
They never do. They simply ignore this information as if it is not pertinent to the issue. The truth is, Obama is a middle man, a mascot, an easily replaced muppet. He is not our primary interest, and his color is meaningless. The international banks that funded his campaign and whose members occupy numerous positions within the White House, though, ARE our primary concern.
2) Because We Are Afraid Of An Economic Collapse That Will Never Come?
The SPLC refers to almost everything as “conspiracy theory” because they hope that the average American is too stupid to question their rhetoric. Calling someone a “conspiracy theorist” is the modern equivalent of accusing a person of being mentally ill; the goal is to inoculate the public against anything they have to say before they say it, even if it is the unbridled truth.
The SPLC has consistently shrugged off economic concerns as “paranoia”, but they never qualify their statements. Years ago I openly challenged Mark Potok and the whole of the SPLC to a debate on the health of the U.S. economy, and I reassert that challenge today. If they think our concerns are unfounded and a source of paranoia, then they should be willing to defend their position. I believe our financial system is on the fast track to collapse for quite a few reasons, including the fact that:
Our official national debt stands at $16.6 trillion. In 2008, the national debt was around $10 Trillion, meaning, we’ve added over $6 trillion in only 5 years. (Gee, is it possible that this has pissed Americans off more than Obama’s ethnicity?)
Real national debt including entitlement programs and future obligations is estimated between $60 Trillion and $120 Trillion.
Our official debt to GDP ratio (the amount of capital our country generates versus what it owes) stands at 102%. Historically, when a country crosses the 100% mark in its debt to GDP, there is a marked chance of economic crisis. If you count all of the programs and entitlements that the Federal Government doesn’t include in its “official” arithmetic, our debt to GDP ratio is actually closer to 400%. This means an economic crisis is ASSURED.
The Labor Department, using what they call “adjusted numbers” places unemployment at 7.9%. Real unemployment including U6 measurements (those people who are underemployed, and those people who have been unemployed for so long they no longer receive benefits and are no longer counted by the government) stands at over 20%.
In 2009, 32 million Americans were enrolled in food stamps. Today, that number has grown to 48 million. That’s a 50% increase in only 4 years.
The number of people on standard disability has hit a record of 9 million, and has grown every month for the past 192 months.
For the past four years I have pointed out that China, our largest foreign creditor, only needs to do two things before dumping the dollar as the world reserve currency – find a consumer market source to replace the U.S., and, spread it’s own currency around the globe to create a viable alternative to the greenback.
Today, China has announced a full blown transition into a consumer based economy and has established bilateral trade agreements with enough developing nations to easily replace the U.S. as an export market.
This past month, China announced a massive “urbanization project” in which they will sell over $6 trillion in Yuan denominated bonds worldwide. China has also surpassed the U.S. for the first time ever as the world’s largest trade market, meaning, the Yuan will now be more sought after than the Dollar as a global trade mechanism. The Chinese are nearly ready to dump the dollar, causing an international chain reaction that will brutally devalue our currency.
I think our economic worries are clearly reasonable…
3) Because We Are Paranoid Over Unfounded Threats Of Martial Law?
In the calm before any great war, there is always an escalation of arms on both sides of the conflict. Anyone who has carefully studied the history of modern warfare KNOWS an escalation when they see one. At the same time, anyone who has studied the history of citizen disarmament knows that government restriction and confiscation of personal firearms almost always leads to genocide. Over the past decade, we have seen blatant indications that domestic agencies of the Federal Government are in the midst of arms stockpiling, and, in the past two months, they are pushing harder than ever before to reduce the defensive capabilities of the American public.
The Department Of Homeland Security has in only a few years placed orders for ammunition totaling at least 1.6 billion rounds, and new orders indicate they may be accumulating over 2 billion rounds. The DHS has initiated a disinformation campaign through the mainstream media claiming that this ammunition stockpile, which is to be delivered over the course of five years, is for “training purposes only”. Here is the reality…
First, by the department’s own numbers, training and qualification exercises taking place in three facilities nationwide use a total of 15 – 20 million rounds of ammo yearly. This means that if the DHS claims are true, they have ordered enough ammo to last a minimum of 75 years! No government agency plans this far ahead.
Second, the DHS and most federal and state law enforcement agencies DO NOT use hollow point pistol ammo and expensive Sierra Match King hollow point sniper rounds for “training”. Anyone who knows anything about combat simulation training knows that you use the cheapest plinking ammo you can find, and this includes the government. The ammo purchased by the DHS is used for one thing only; killing people.
Third, if this ammo is being used only for non-threatening purposes, then why is the DHS now redacting order requests in a ploy to hide what they are purchasing?
On top of this, why does the DHS need mine resistant armored vehicles?
Or bullet resistant road booths?
Why is the DHS using training targets featuring children and pregnant women? Why has the Federal Government put plans into motion to release 30,000 drones above our heads? Why have they instituted the passage of the indefinite detention provisions of the NDAA which can be used to revoke the civil rights of anyone deemed an “enemy combatant” by the executive branch, including American citizens? Why has Obama bypassed the Treason Clause of the U.S. Constitution in order to greenlight assassinations of American citizens? Why has Attorney General Eric Holder stated that predator drones have not been ruled out as a weapon against American citizens on American soil? Why has a branch of the military, Northcom, been deployed domestically in the U.S.? Who are they here to fight?
The government is telling us, right to our faces, that they plan to use extraneous force against us, and where else would this force be initiated on such a scale except during martial law? The extensive militarization of any domestic government agency requires as a response the extensive armament of the citizenry, otherwise, there is no deterrent to tyranny.
4) Because We Refuse To Accept That The World Is Changing Without Us?
This argument is based on a series of lies, the first one being that American culture needs to “progress with the times” and shake off the dead skin of old and “unpopular” principles. Let’s set the record straight…
Some principles, like the liberties embodied in natural law and outlined in the U.S. Constitution, NEVER become outdated. They exist in the heart of mankind, and will remain as long as humanity remains. They cannot be erased, and they cannot be undone. They are inherent and eternal.
They can, however, be oppressed by those who seek to dominate the lives of others. This is what the establishment today calls “progress”. Their version of social order is not new, nor is it even clever. It is archaic, and has taken many forms, including oligarchy, aristocracy, mercantilism, monarchy, totalitarianism, despotism, fascism, socialism, communism, globalism, etc., etc. The goal is always the same; centralize as much power as possible into as few hands as possible while making the enslaved population as collectivized and dependent as possible.
The Liberty Movement is not some dying vestige of America’s past clinging to an antiquated philosophy. We are the new wave; the messengers of an ideal of freedom that in the grand scheme of history has been around for only a blink of an eye. Constitutional liberty IS the progress that humanity has been waiting for. We have only been led astray by those who would sell us on our own bondage.
The SPLC and others within the establishment accuse the Liberty Movement of arming for conflict against the government. I am here to tell them that is EXACTLY what we are doing. We are arming because the establishment is arming against us. Yes, we are a threat, but only to political and corporate criminals who use subversion and violence to wrest freedom from the hands of good people. I am not afraid to openly admit it. I and many others will fight against any measure or man that seeks to undermine the rights of the people or destroy the founding principles of this nation.
We will not allow engineered economic collapse to go unpunished. We will not allow internationalists to subdue American sovereignty. We will not allow national gun registration or confiscation. We will not allow martial law to be instituted. We will not allow American citizens to be imprisoned or assassinated without trial. We will not allow any presidential administration, black or white, Republican or Democrat, to become a De facto dictatorship with no accountability to the public.
Regardless of what they might say about us in the future, these are the reasons why we will fight, and our pledges to resist are not empty assertions. We will stop the course of tyranny from completing in this country and in this era, one way or another. If this makes us “extremists”, or “terrorists”, then so be it. I, for one, am tired of the long running game of lies and reserved rhetoric. They know a fight is coming, and we know a fight is coming. Let’s just admit it and be done with it. Their greatest weakness is that they have to use deceit, propaganda, media monopoly, and false flag violence in order to convince the public that they are the “right side”. All we have to do is continue telling the truth, and stand fast…
AND, NOT TO BE OUT-DONE, MIKE GADDY HAS A FEW CHOICE WORDS IN THE NEXT ARTICLE. (IT’S ABOUT TO GET REAL UGLY)
SIC EM BOYS!
You can contact Brandon Smith at: email@example.com
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March 19th, 2013 by olddog
By Mike Adams
The purpose of the Bill of Rights is to establish a line in the sand that cannot be crossed by government. The founders rightly saw government as an eternal threat against freedom and justice, knowing that all governments inevitably grow out of control like a cancer tumor, always seeking more and more power until they kill the host. The answer to this destructive pattern of dangerous government throughout human history was to place limits on government power and stake out fundamental rights and freedoms that can never be infringed.
That’s the Bill of Rights, the original ten amendments to the Constitution. The Bill of Rights says the government can never ban your free speech, take away your firearms, search your house or your person without a warrant, quarter soldiers in your home without permission, force you to testify against yourself, throw you in prison without a fair trial and so on. Nearly every scholar, when it comes down to it, agrees these are fundamental human rights and civil liberties.
Today’s federal government believes the Bill of Rights is optional
But today’s government, under both the Bush and Obama administrations, believes it has the power and the right to violate theBill of Rights when it wants to. Sen. Feinstein, President Obama and Vice President Biden specifically believe the Bill of Rights is only a suggestion, not the law of the land, and so they can selectively ignore it when they want to.
The problem with this philosophy is that if the Second Amendment can be selectively ignored, then so can the First Amendment. Anyone who supports government gun control restrictions — all of which are illegal under the Constitution — must also support the power of the government to ban selected books and websites which do not agree with the White House view of the world. If Obama can have a “kill list” of Americans to assassinate, which he does, then he must also have the power of a “web site kill list” of which websites to seize or take offline.
Guns first, then books and websites
This is not an article about the merits of private firearms ownership, by the way; it’s an article about what happens next, if the guns are taken away. If we lose our Second Amendment rights, it’s only a matter of time before Obama says something like, “Websites that criticize the government are dangerous and we are going to seize them and shut them down.”
What’s to stop them from doing so? Nothing! The U.S. government has already seized and shut down thousands of websites it claims are involved in “piracy,” shutting them down with no due process, no trial, no jury and not even a search warrant. The government simply invokes some power it has never been granted, then uses that false power to seize entire servers full of websites. This action is blatantly illegal, unconstitutional and tyrannical.
Those who argue in favor of gun control are, in essence, arguing that government has no limits, meaning that government can decide when and where the Bill of Rights applies.
This question was brilliantly asked by U.S. Senator Ted Cruz — a rising star of liberty in the Congress — who leveled the question at Sen. Feinstein, a wicked dictatorial creature of darkness who literally worships enslavement and tyranny. Sen. Cruz asked Feinstein whether she believed the government had the power to selectively ban books it didn’t like, to which Feinstein arrogantly answered that she didn’t “need to be lectured” like a schoolgirl.
And yet apparently she does, because she fails to understand the entire meaning of the Bill of Rights. She does not understand the words, “shall not be infringed,” even though they are written in plain English. Like all other tyrants, Feinstein accepts no limits to her government power, and she plans to expand that power by force, if necessary, to dominate and enslave the people she claims to serve.
Feinstein = Kim Jong-Un = Mao = Stalin = Hitler
Feinstein is the perfect example of where all government eventually leads: the usurpation of power and the trampling on the rights and liberties of the people. If you extrapolate Feinstein out for a few more decades, you get Kim Jong-Un, the sociopathic cult leader of the nation of North Korea, where government is literally worshipped as God and there are absolutely no individual rights or freedoms remaining. Sen. Feinstein would fit right in with Kim Jong-Un’s administration because she shares the same philosophy of the government holding all power while the people hold none.
This is yet another reason why holding our ground on the Second Amendment is so important. Obama has already taken away our Fourth and Fifth Amendment rights with his blatantly illegal NDAA. Bush also stole rights away from the people with his Patriot Act. Together, Bush and Obama are the two most dangerous presidents in the history of America due to the way they have claimed federal powers that do not exist while systematically crushing the Bill of Rights.
If we allow the federal government to place aggressive new restrictions on our right to keep and bear arms, then we condone the government’s “right” to place restrictions on what books we can read, what websites we can publish and whether we can protest peacefully on a street corner. A government that has no limits respects no freedoms, you see. And if the government can first disarm the population, then what’s to stop it from shutting down all websites and alternative media outlets that are critical of government, too?
See, those who believe in gun control also believe, by definition, that private ownership of gun rights are “granted” by the government. Therefore, the government can revoke what it previously granted. They do not understand what the Constitution says that all rights are inherently found in the People, and the People selectively grant certain limited powers to the government for the purpose of administering things like the postal service and national defense against foreign enemies. The government does not have unlimited powers, nor does it have the right to take away powers that the People are born with. Any person who believes government has all the power and the People have none is possessed with a radically distorted misunderstanding of history and law. Such ideas as extremely dangerous to liberty, and yet they have infected the minds of a great many permissive voters and lawmakers.
Gun control is illegal
Speaking of law, thanks to the Constitution and the Bill of Rights, gun control is illegal in America. It violates the Bill of Rights and violates the very foundation of America, which is that the People grant certain specific, limited powers to government, and that all government power comes from the People and can be revoked by the People.
Accordingly, any lawmaker engaged in the act of introducing gun control bills or voting for gun control is engaged in a criminal act that violates the highest laws of the land. As such, they should be arrested and prosecuted for acts of sedition — for attempting to “overthrow the People,” as it were. Hilariously, the federal government says anyone who is critical of the government “might be a terrorist,” but in truth, it’s agents of the government who are violating the People who are, by any honest historical accounting, the true danger to a free society.
To be clear, yes, Sen. Dianne Feinsten and every U.S. Senator or member of the House who votes for gun control restrictions that take away the rights of the People is, by definition, a criminal. Under U.S. law, they must be arrested and tried in a court of their peers. If found guilty of attempting to undermine the U.S. Constitution and the rights of the People, they must serve time in prison. Interestingly, the Sheriff of the county in which Dianne Feinstein lives has the power and authority to arrest her right now.
The fact that not one of these criminals has yet been arrested is proof that the criminals run the government. They have now become the enemy of the People, the enemy of the Founding Fathers, and the enemy of America. The REAL terrorists.
This is an important principle to grasp, because every police officer, soldier and even U.S. Senator takes an oath of office in which they swear to “protect America from enemies foreign and domestic.” That language is written into the oaths precisely because it is well known that a nation’s most dangerous enemies may rise from within.
Is there any better example of an “enemy from within” than Sen. Feinstein? Or Joe Biden? Or Barack Obama? These are “enemies from within” in the sense that they systematically attempting to dismantle the very freedoms upon which this nation was founded. Obama has already stripped away your right to a trial by jury, and he now claims the right to selectively assassinate any American, at any time, even on U.S. soil.
If you are disarmed, how will you defend yourself against a government taking away your First Amendment rights?
If the people allow tyrants like Feinstein, Obama and Biden to take away their Second Amendment rights, then it is only a matter of time before they will also lose their First Amendment rights. If they have long since given up their guns, they will have no way to fight back against the march of tyranny. If you don’t stand up for private gun ownership now, then you have no defenses when the government embarks on a runaway criminal takeover the country — a process that is already under way with the DHS purchasing 1.6 billion rounds of ammunition, 7,000+ full-auto assault rifles, and 2,700+ armored assault vehicles, all for use on the streets of America, not in some foreign theater of war.
Those who support Feinstein’s gun restrictions are mistakenly assuming that government will not get any worse than it is right now… that government can be trusted to act with integrity and with the best interests of the people in mind. But once you take away a right from the people, it is never returned to them. Government inevitably grows more dominant, more oppressive, more expensive (taxation) and dangerous. As it does so, it attracts increasingly insane leaders who revel in the raw power they command. And sooner or later, perhaps in just a few administrations, it becomes a genocidal regime that sees itself as God.
So allowing the government to take away the guns irreversibly sets our nation on a course leading to the rise of new American Hitler, or an American Kim Jong-Un, or an American Mao. This outcome is inevitable unless you keep government in its box and learn to say NO to endless government expansion.
The power of NO!
The word most desperately needed in America today is “NO!”
NO! You cannot take my rifle.
NO! You cannot force me to buy health insurance I don’t want.
NO! You cannot limit my right to peacefully protest on a sidewalk near the President.
NO! You cannot arrest our farmers for selling raw milk.
NO! You cannot use your dirty TSA gloves to stick your fingers in my anus at the airport, you f*#king pervert!
NO! NO! NO!
I find it astonishing that so few Americans are willing to utter the word, “NO!” Yet this is the most powerful word in any free nation. Government must learn its limits, and those limits are ultimately enforced by the People. Sen. Rand Paul’s recent filibuster over the President’s claimed power to assassinate Americans on U.S. soil with drone strikes is an excellent example of saying “NO!”
Any population that fails to use the word “NO!” is, by default, telling the government, “YES, you may do anything you want!”
All governments will repeatedly and forcefully try to expand their power just like a cancer tumor. They will endlessly test the limits of their power, if any, and try to fabricate new powers that do not exist (like the power to force you to buy health insurance from a corrupt, failed medical system). If you allow government to assume those new powers, then you effectively consent to that particular expansion of power. In doing so, you give up that power yourself.
The only safe government is small government. The only lawful government is a humble government that respects limits of power and understands it serves the people. Today’s federal government is none of these things: It is arrogant, spiteful, violent and dangerous. And like all government, it seeks the endless expansion of power until it controls everything: the entire economy, the entire medical system, all websites, all media, all institutions of learning and all powers that once belonged to the People. As Lew Rockwell correctly explains, no government is satisfied with its current level of power… it always seeks MORE power, meaning it incessantly seeks to take that power from the people.
Like fire, government is a dangerous servant and a fearful master. That’s a quote from George Washington, the single most important figure in America history. The full quote goes like this:
Government is not reason; it is not eloquent; it is force. Like fire, it is a dangerous servant and a fearful master.
He goes on to say, about firearms:
The very atmosphere of firearms anywhere and everywhere restrains evil interference – they deserve a place of honor with all that’s good.
Firearms are second only to the Constitution in importance; they are the peoples’ liberty’s teeth.
President Washington would have had Feinstein arrested and charged with treason
Washington, who commanded militia forces and fought for liberty against an oppressive, tyrannical government, would be appalled at people like Sen. Feinstein. He would have seen her as a dangerous enemy of America, and would have sought her arrest and imprisonment. That Sen. Feinstein calls herself a “United States Senator” who swore an oath to protect the very nation she now attempts to stab in the heart with the dagger of government usurpation is the ultimate insult to a free people.
She is only one of many betrayers — high-level criminals — who represent the same kind of rise of despotic government power that history has shown time and time again to end in genocidal murder and collapse. If America is to save herself from destruction at the hands of people like Feinstein, the People must arrest and prosecute those who behave like Feinstein. To sit in the office of the U.S. Senate and literally conspire to destroy the rights and freedoms of the American people is to function as a criminal enemy from within. It is a violation of law and of the very principles of a free people. It is the ultimately betrayal of not just the people living today, but of the entire history of America and the graves of all those who fought for freedom and justice from the Revolutionary War onward.
Government does not make you safe; it makes you enslaved!
We are living in a time of great betrayal, but that betrayal is presented to us as a way to “make us safer.” This is always the Devil’s offer: Give up your soul, and we’ll take care of you. But it is an offer that’s fraught with treachery and deception. In saying it will make us “safe,” the government will only make us enslaved and defenseless. And it is from this position that the government will then seize upon its monopoly of firepower to claim ALL power over ALL things: books, websites, speech, religion, privacy, health care, biological reproduction, lifespan and more.
Because, by definition a government that accepts no limits on its power could decide that the best way to reduce government expenditures and balance the budget is to require all people turn to themselves in to be euthanized when they reach the age of 65. That way, all Medicare and social security payments stop, saving the government over a trillion dollars a year. You may think this example sounds ridiculous, but to many Americans, the idea of government taking away their rifles is equally ridiculous. If government has no limits, then what’s to stop them from conducting mass-euthanasia campaigns to balance the budget?
Do you see where this can lead? Gun control is the gateway to a hellish future, and any nation foolish enough to walk through that gateway can fully expect to sooner or later be enslaved by a demonic elite class of control freaks whose very philosophies are anti-human.
No one I have read has said it better than Mike in this article. He should be commended for laying it on the line so truthfully clear. Even the most ignorant person should be able to relate his accusations to current events. Make no mistake about it, the majority of our [so-called] elected representatives are terrorist of the most dangerous kind; those who do it by stealth and lies. Surreptitiously they beguile the dull and ignorant to make them feel safe, while slipping a knife in their back. By any competent interpretation of law, they should be charged with treason, tried, and put to death. Every damn one of them! Those of you who still believe elections can make a difference, have your head up your ass!
March 19th, 2013 by olddog
By Egon von Greyerz - March 18 2013
“THERE IS NO MEANS OF AVOIDING THE FINAL COLLAPSE OF A BOOM BROUGHT ABOUT BY CREDIT EXPANSION. THE ALTERNATIVE IS ONLY WHETHER THE CRISIS SHOULD COME SOONER AS A RESULT OF A VOLUNTARY ABANDONMENT OF FURTHER CREDIT EXPANSION, OR LATER AS A FINAL OR TOTAL CATASTROPHE OF THE CURRENCY SYSTEM INVOLVED” – Ludwig von Mises
The Cyprus event may later, in the history books, be seen as the catalyst of the fall of a century long Ponzi scheme. This could rank in line with the shot in Sarajevo as the start of WW1 or the collapse of Kreditanstalt in 1931 as the start of the Great Depression.
Isn’t it ironic that exactly 100 years after the creation of the Fed (a private bank created for the benefit of bankers) that the fragile and bankrupt financial system is likely to fall due to the insolvency of a couple of Cypriot banks.
But what is happening in Cyprus will not be the reason for a collapse but just the trigger for what has always been inevitable.
There are only two possible outcomes of the crisis we are now in:
- Either there will now be a run on the massively leveraged (25-50 times) banking system which would lead to no debt being repaid and a deflationary collapse.
- Alternatively, we will now see the beginning of the most massive money printing that the world has ever experienced, leading to a hyperinflationary depression.
The second outcome is the most likely although the risk of an systemic implosion is very high if central banks are too slow in flooding the system with money. The deflationary outcome would lead to no banks surviving and no money in the system. And the hyperinflationary outcome would lead to money being totally worthless. In both cases gold will be a major beneficiary.
But printing money will of course not solve anything since worthless pieces of paper with ZERO intrinsic value can never create wealth. At best it will just kick the can down the road for a very short time.
Cyprus is a mini model of the world financial system. The IMF, ECB and the politicians thought they could get away with the depositors taking part of the loss. But they have clearly not considered the consequences.
This action (if ratified) will not only lead to a run on the Cypriot banks but also on banks in other weak areas such as Ireland, Spain, Portugal, Italy, Greece etc. Eventually it could spread worldwide.
The IMF, Fed, ECB, BoE, BoJ and other central banks are likely to very soon come out with a concerted action to support the financial system in order to avoid a total collapse.
For well over ten years I have advised investors to get their assets out of the banking system. This doesn’t mean just their money but also all other investments (stocks, bonds, gold etc) which are likely to be lost when banks go bankrupt.
Wealth preservation is now absolutely critical. This involves eliminating counterparty risk whenever possible. EverythIng within the banking system has counterparty risk even if it is segregated or allocated. Lehman, MF Global and Sentinel are all examples of client assets being lost in the financial system.
Gold (and silver) will continue to reflect the total destruction of paper money that the unlimited money printing will lead to. But investors must hold physical precious metals and they must be stored outside the banking system.
Egon von Greyerz
Founder and Managing Partner
Matterhorn Asset Management AG / Gold Switzerland
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January 28th, 2013 by olddog
By Dr. Edwin Vieira, Jr., Ph.D., J.D.
December 17, 2012
Well, Ladies and Gentlemen in the ethereal realm, once again another natural disaster—Hurricane Sandy in this case—has exposed the insouciance, ineptitude, and incompetence of America’s incestuously inbred political class. Not only have these worthies and their minions in all of the self-aggrandizing “homeland-security agencies” proven quite unprepared to protect Americans from the effects of the storm in an adequate and timely manner; but also over the years they have even actively discouraged common Americans from taking the steps to protect themselves that should have been obvious to anyone with an IQ higher than his age. And if a mere hurricane—a type of natural disaster with which Americans have long had experience—striking just one part of this country overtaxes the skills of these “homeland-security experts”, what will transpire when the monetary and banking systems collapse throughout the land?
The answer to this question is, of course, that unmitigated chaos will reign supreme, particularly in urban areas.
The way to deal with that problem is, however, not to blabber about how supposedly “this country is finished” (as all too many disconsolate patriots do)—or to propose such desperate expedients as “secession”, which will not by itself guarantee preparedness, and the possible success of which depends in the first instance upon the most heightened form of preparedness. Rather, the correct recourse is to start revitalizing “the Militia of the several States”, State by State, immediately if not sooner. In which event, this country will be preserved, and appeals to “secession” (and other pie-in-the-sky political panaceas) will be recognized as unnecessary.
As readers of my columns are well aware, I have been urging revitalization of the Militia for many years—and, each and every year, some new catastrophes wrought by Nature or outrages perpetrated by rogue public officials have proven the wisdom of, and the increasingly urgent need for taking, that course of action.
The American people, however, cannot be expected to do what they are not equipped to do. How can Americans revitalize their Militia, when they know next to nothing about the Militia? Well, everyone is familiar with the old saying: “Give a man a fish, and you feed him for that one day. Teach a man to fish, and he can feed himself every day thereafter.” In the spirit of that homespun advice, I have completed a definitive study, entitled The Sword and Sovereignty: The Constitutional Principles of “the Militia of the several States”, which should provide every reader with all of the information requisite to understand the origin of the Militia, their special place under the Declaration of Independence and within the Constitution’s federal system, and why (as the Second Amendment declares) they are “necessary to the security of a free State”. Not optional, but necessary.
Among other topics covered in its 1,944 pages of text, The Sword and Sovereignty explains:
• how the Militia would serve as the ultimate embodiments and instruments of WE THE PEOPLE’S authority under the Declaration of Independence and the Constitution;
• how the Militia would enable to States to enforce federalism through constitutional interposition against rogue agents of the General Government;
• how the Militia would enable a patriotic President of the United States to fulfill his constitutional duty to “take Care that the Laws be faithfully executed” against those combinations that now threaten this country’s independence and well-being, but are too powerful to be suppressed through the normal course of honest judicial proceedings;
• how the Militia would expose and punish usurpations of power and mal-administration by rogue and incompetent public officials at every level of the federal system;
• how the Militia would provide the indispensable “checks and balances” against a rogue “standing army” and “military-industrial complex”;
• how the Militia would eliminate all “gun control” that did not specifically promote “the right of the people to keep and bear Arms”;
• how the Militia would put a stop to the present-day rampages of police brutality once and for all, in the most swift, sure, and severe manner possible;
• how the Militia would guarantee the conduct of honest elections; and, last but not least,
• how the Militia would establish in the most expeditious fashion an economically sound and constitutional alternative currency and structure of new free-market prices in anticipation of the inevitable collapse of the Federal Reserve System’s fascistic banking cartel.
Time being of the essence, and the costs of printing a first-quality book of this size being what they are, I have arranged for an electronic version of The Sword and Sovereignty to be produced on a CD. The disk contains the full 2,304 pages of introductory material, text, authorities cited in the footnotes, and endnotes in PDF format accessible with Adobe Reader 6.0 (or some later version). This presentation allows for use of the standard PDF search feature, which many people have suggested would be desirable.
The Sword and Sovereignty is now available exclusively through amazon.com.
© 2012 Edwin Vieira, Jr. – All Rights Reserved
Edwin Vieira, Jr., holds four degrees from Harvard: A.B. (Harvard College), A.M. and Ph.D. (Harvard Graduate School of Arts and Sciences), and J.D. (Harvard Law School).
For more than thirty years he has practiced law, with emphasis on constitutional issues. In the Supreme Court of the United States he successfully argued or briefed the cases leading to the landmark decisions Abood v. Detroit Board of Education, Chicago Teachers Union v. Hudson, and Communications Workers of America v. Beck, which established constitutional and statutory limitations on the uses to which labor unions, in both the private and the public sectors, may apply fees extracted from nonunion workers as a condition of their employment.
He has written numerous monographs and articles in scholarly journals, and lectured throughout the county. His most recent work on money and banking is the two-volumePieces of Eight: The Monetary Powers and Disabilities of the United States Constitution (2002), the most comprehensive study in existence of American monetary law and history viewed from a constitutional perspective.www.piecesofeight.us
He is also the co-author (under a nom de plume) of the political novel CRA$HMAKER: A Federal Affaire (2000), a not-so-fictional story of an engineered crash of the Federal Reserve System, and the political upheaval it causes.www.crashmaker.com
His latest book is: "How To Dethrone the Imperial Judiciary" … and Constitutional "Homeland Security," Volume One, The Nation in Arms…
He can be reached at his new address:
52 Stonegate Court
Front Royal, VA 22630.
Buy a copy or two of this PDF book, study it and give a copy to your local sheriff. It will be the smartest thing you can do to help save our country.
December 29th, 2012 by olddog
Jim Willie is always at the top of my list of important reads. This one is exceptionally good and discusses what appears to be the new flow of the tides of fortune. I believe the U.S. dollar is being isolated – and I believe it’s one thing the egos of the high and mighty just can’t bring themselves to perceive and, thus, prepare for it. This is one of Willie’s best columns, in my opinion. Marilyn Barnewall
Jim Willie: The Coming Isolation of the USDollar
December 27, 2012 By The Doc
By Jim Willie, GoldenJackass.com
The typical human reaction to any infection, vermin, danger, or toxicity is to stand back, to isolate the agent, to trap it, to prevent its further spread or release, then to remove it in a safe secure way if possible using trained professionals. Eventually decisions must be made on the level of acceptable risk on the removal, like what is willing to be lost or damaged or killed in the process. Risk analysis, cost trade-offs, and minimization decisions must be evaluated and executed. The toxic agent in global trade, global banking, and global bond market is the USDollar. In 2009, the Jackass began making a certain firm point. Those nations that depart from the entire USDollar system early will be the leading nations in the next chapter, with stronger foundations, richer solvency, emerging economies, healthier financial markets, efficient credit engines, growing wealth, stronger political helm activity, and better functioning systems generally. Imagine a contaminated blood system that infects, corrupts, and destroys all interior organs from the spread of the toxin. Those nations that stick with the crumbling USDollar system stubbornly will find a horrible fate with devastating effects, rampant economic damage, broken financial markets, sputtering credit engines, tremendous loss of wealth, wrecked supply lines, poverty spreading like wildfire, ruined political structures, social disorder, isolation from the rest of the world, and a fast ticket to the Third World. That is EXACTLY what is happening in the last several months. A division has begun, as the East has been busily installing the next generation platforms, as related to trade, banking, and commercial integration.
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NEW ASIAN TRADE ZONE
The division between East and West actually accelerated when the extremely ill-advised decision for Iran sanctions was made by an increasingly desperate United States Govt and its handler on the Southern Med. The division continues, matures, and develops with each passing month. It has become a story, as the Eurasia trade zone concept has been born. It has a long way to go, but Asia however has made great strides lately in unifying commerce. The climax event of the Asian trade zone conference held in Vietnam could not have been more important, as they rejected the US-led plan. The Asians partners and players even rejected the United States from the entire Asian trade zone, but did include Australia and New Zealand. The incredibly stupid naive US-led plan, the Trans-Pacific Partnership, attempted to create a trade zone with Asia which would have blocked China. Imagine the incredibly obtuse blockheaded maneuver of trying to have all of Asia not conduct facilitated trade with China, its leading trade partner. Talk about shooting both legs and genital region with a double barreled shotgun! This is the signal flare of US political stupidity that has turned highly destructive for the USEconomy and its people. Such failed leadership and counter-productive initiatives will push the US into the Third World even faster than previously thought possible. The isolation is firming quickly. Most of Asia does not wish for strong trade ties with the United States, most likely since they do not see mutual benefit. They see a ravaging appetite to grab capital.
A Paradigm Shift is taking place, and the ASEAN-China summit gave proof positive in a seminal event of the vast changes in progress. The United States just suffered its worst humiliation ever as a nation on the Eastern global stage. It was exceeded only by the humiliation for a US president personally. The story went uncovered by the lapdog inept US press. The late November Asian summit meeting held in Phnom Penh included 15 Asian nations, which represent half the world’s population. They decided to form a Regional Comprehensive Economic Partnership that excludes the United States. The Asians are pushing to isolate the United States. Regard it as punishment for hegemony, or a reaction to prevent further capital drainage, or to protect from central bank abuse, or to wall off continued bond fraud export, or to defend against military aggression. Regard it as confirmation that China is the regional leader in Asia, even for military security. Regard it as a response to banker criminality, or simply for being totally full to the brim of American corruption and arrogance and abuse of position, led by creation of the USDollar as an elaborate weapon and credit card whose balance is never to be repaid. Abuse of power and sponsored financial corruption will have extreme consequences in the reshaping of global commerce and banking. The US will be isolated, so as to protect the rest of the world from its fascist exhibitions and deep manifestations.
The shift is in progress, and the American people have no idea what is happening. They are too pre-occupied by the agency torture of the population, urgently needed to remove guns and to create the police state. Current events are heinous and genocide on large scale and small scale. Any comments will be limited on the orchestrated travesty, travails, and tragedy. They all have one traceable element, which connects to a certain Virginia suburb where an intelligent pillbox operates in the shadows with puppet strings to the press networks and maybe Hollywood. The security agencies turned to the dark side years ago, with full devotion to narcotics, money laundering, and collusion with the castle dwellers. When the Praetorian Guard plots to bring about a police state, the only words that come to mind are disaster, disorder, mayhem, betrayal, degradation, death. Their tools are psychotropic drugs, violent training, weather altering devices, and basic sabotage. Treason is the calling card unfortunately for much of the US leadership class, whether banking, politics, economics, pharmaceuticals, or news networks. Think Syndicate, as my work has described for several years. The United States with its harsh new visa policies, molestation at airports, heavily defended borders, sponsored gun running, has shown a vicious visible visceral fascist streak that has begun to bring memories of the national socialists of Central Europe 70 and 80 years ago. They are back, stronger than ever, not having been eliminated. They were instead assimilated within the banking and security organizations, able to plant seeds which germinated with the sons in offspring. Two sons became presidents.
DEUTSCHE MARK GONE
In the 1960 and 1970 and even 1980 decades, the favorite currencies off the standardized tables of commerce were the USDollar and DeutscheMark. At one time in the Soviet Union and the Soviet Bloc of Eastern Europe, more USDollars and DMarks were in circulation than official Russian Rubles or Polish Zlotys or Hungarian Forints or whatever. Those years are long gone, as in long gone, all paper alternatives lousy. Under a strange bizarre compromise arranged to assimilate East Germany and to conceal the French sovereign debt, the Euro Monetary Union and the common Euro currency was born. It is now in the process of disintegrating. So the powerfully strong and stable German DMark went away. Back in those decades, only limited travel was done by the Jackass, confined to a honeymoon in France and Switzerland with a cold woman no longer inflicting her plague-like touch in my life. The Jackass deals exclusively in Latin currency of paper and human variety. No exposure to alternative currency held under the table was discovered in beach locations to the south or modest hotels in the green hills to the north. But friends reported stories. My older brother spent two months in Germany and Czechoslavakia, with ample stories of hoarded USDollars and DMarks. Store owners and wise families were eager to obtain USD and DM currency, even young kids. He and some ambitious friends heard stories of vast black market activity in Russia, where the US$100 bill was a favorite. In that era, Gold was not an item of pursuit or stored wealth. Times have changed radically, and Gold is the new store of value.
Times have changed with the sunset of the DMark and the toxicity of the USDollar. The people, the shop keepers, the business men, the small financial firms, they all have been turned upside down in recent years as they struggle to find a safe place to store wealth. Money has been corrupted. The purveyors of money have lost control by accelerating its supply by central banks, lost control of bank solvency, lost control of anything remotely acting like an honest tether to money itself. As a result, all those people, the shop keepers, the business men, the small financial firms, have been discovering Gold & Silver bars and coins. Their combined actions have resulted in an implicit isolation of the USDollar, even an isolation of the Southern European sovereign debt. Swiss havens have grown, in parallel with Gold havens. The toxic monetary plague has been identified, and its toxic sources too. They are the US Federal Reserve and the Euro Central Bank. They are ruining money, undermining wealth, and destabilizing the entire world related to wealth, banking, commerce, and economies. The armies of people, the shop keepers, the business men, the small financial firms, are working to isolate the USDollar as toxic agent in a demonstration of survival.
FREEDOM FROM DELUSION
Many bright people within the gold community cling to hope, harbor delusions, and maintain expectations, none of which have much value in the fast changing world of fascist entanglement and full integration. The Jackass has operated without delusions, firmly in belief that the corrupt systems would flourish. That viewpoint and operating principle has proved to be correct since 2004 when the Hat Trick Letter began to spout deeply disturbing forecasts. One after the other, most of the forecasts have indeed occurred, to the detriment of the nation and its systems and its society at large. No pleasure has come from forecasting a wrecked housing market (burdened by lax underwriting and bond fraud) or a broken insolvent banking system (from bond losses and dependent upon money laundering) or a desperate chronically USGovt budget (dragged down by adopted socialism and sacred war costs) or a spreading Southern European bond crisis (addressed only by higher subordinated toxic paper).
No pleasure is taken from seeing vast legions of struggling Americans, including a few close friends, who have lost jobs, lost homes, lost savings, lost pensions, and lost a valuable sense of security, as they continue to hang on. Many might actually find the warmth of the official camps, only to disappear later on. Argentina and Chile had their desaparecidos, and so will the United States. My ugly expectation is that before their bodies are incinerated, vital organs will be extracted for black market gains. Inoculations upon entry will assure them of good health and fully functioning organs. Later, vaccines will infect them, just like with the swine flu vaccine. By the way, in Costa Rica a brief story to enlighten on vaccines. In early 2008, the Jackass advised a couple families with numerous children and cousins in school to reject the swine flu vaccine that was promoted by the school authorities at the urging of US officials. They took my advice after their confidence was won on several other matters. Only one of about 20 children took the vaccine. She has been sick with a mysterious cerebral disease for over two years. My mention of searching for Guillain Barre symptoms has not helped. The mothers are grateful, as they did not understand at first my emotional outburst to discourage following the school advice. The official US camps will involve forced vaccines. Later on, false stories will be promulgated that the dead bodies were the result of already sick people entering the camps for quarantine purposes. In reality, the people would only have suffered from hunger and exposure and despair.
Hope is not part of my forecasts, but rather the reality of the corrupt human power game mindset. The US banking, economic, and political leaders can easily be expected to continue their corrupt games, with easy forward calls. No expectation of USGovt regulatory agencies is part of my forecasts, but rather the reality of their nearly perfect track record of big bank loyalty and fraud protection. The US regulators can easily be expected to continue their corrupt games, with easy forward calls. Clinging to precious metals mining stocks is not part of my forecasts, a decision made back in early 2008. They are bound in paper wealth, subject to inflation in share dilution just like the USDollar, vulnerable to jurisdictional confiscations, and at the mercy of labor unions whose production is increasingly halted. Unfortunately, too many fine people within the gold community, including GATA, hold firm on hope, regulators, and mining stocks. Not here! The major financial networks rely upon advertisement revenue from Wall Street, fund managers, an market exchanges. GATA has a business model that has one key vulnerability, with strong links to the mining firms. It has tainted their viewpoint sadly. My support of GATA is firm on challenge of USDollar legitimacy before the Supreme Court, on challenge of US regulators to enforce the law, on challenge of the big banks to prove their solvency, on challenge of the central bank to reveal their activity. But the Jackass does not expect the Supreme Court to ever rule the USDollar as illegal, nor the US regulators to ever enforce the law, nor the big banks to ever remove themselves from corruption, nor the central bank to ever conduct business in opposition to the biggest banks under supranational orders.
My personal background has taught me well that a corrupt system never corrects itself. Instead, it spins out of control with broken platforms, layered mechanisms to impose its servitude and influence, complete with side projects to illicitly support itself. See the theft of Iraq gold and theft of Libyan gold. Their people will never again see that wealth. The US system will remain broken until it collapses, never to be corrected until after its collapse.
The Jackass does not align with the expectation of mining stock rise. The stocks are paper wealth in a new era of paper wealth implosion, during which inflation of shares through dilution is rampant. My full expectation is for physical metal prices for Gold & Silver to rise, while mining stocks continue to fall in value from dilution and reduced metal output. The leverage is a mirage when large deposits are seized by desperate foreign governments in need of income. What on earth is complicated about understanding this point?? The leverage is a mirage when workers are the focal breakdown point for a higher cost of living. If workers cannot afford to feed their families and survive, mine output will suffer. What on earth is complicated about understanding this point?? The leverage is a mirage when rising mine operation costs must be handled, by the simple practice of share dilution. Combine with regular executive stock options, and the dilution on stock shares is huge. What on earth is complicated about understanding this point??
POWERFUL CORRUPTION INERTIA
Corruption Inertia is a principle firmly believed in when Jackass forecasts must be made. The corruption will continue with firm immutable momentum, without an external force acting as agent of change. At times, this is simple science. When colleagues introduce hope and what must be, the OFF button is engaged quickly here in my office. Their views are out of touch with reality. Corruption will persist as long as the Syndicate continues to hold power. It will remain the constant while the USDept Justice remains, while the USDept Treasury remains, while the US Regulators remain, even while the US debt rating agencies remain. They all support the current system. They are all subject to momentum pressures. Only an external force will result in change. When the USDollar is further isolated, that change will come. To expect change from the inside due to internal forces is lunatic, kind of like expecting an alcoholic to change on his own from an awakening. Al Capone was removed not from inside the Chicago crime boss conference of dons. He was brought down by external forces related to income tax. The world will similarly reject the USDollar for its tax on the system, unwanted, discarded as a toxic agent.
PROTECTION FROM THREAT TO WEALTH
Again, delusion works well when fashioning a creepy little shell of existence to protect oneself from the psychological damage of a predatory government syndicate or security agency apparatus. The Jackass mocks such defense mechanisms, since a guarantee for poverty and misery. The vast legions of Americans will soon awaken to find their jobs are hanging by threads, their wealth either vanished or converted to USTreasury Bonds by force, their liberties long gone, and their ability to seek out foreign lands for residence curtailed. In fact, one nation after another is actually banning acceptance of Americans for bank accounts. See Switzerland, Panama, and Hong Kong. The US subjects are seen as persona non grata not for their own characteristics, but for the passport they hold from the United States. The USGovt as lord acts like syndicate bullies, agents to abuse embassy privileges, with imposed extra legal paperwork like an extra burden. The isolation is not only of the United States, but of its citizens, whose business is not desired. Hence the Americans will increasingly be trapped in the US along with their money. The Jackass response to threat is not to embrace delusion, and not to seek a blanket to cover my head in the basement quarters. Instead, the response has been to head for the hills with pockets filled.
People, both clients and colleague, inquire when the Gold price will rise with vigor, when the mining stocks will rise with gusto. They remind that with all the central bank debasement of currency from Zero Interest Rate Policy and Quantitative Easing, the ultra-cheap, artificially cheap, desperate cheap money to finance USGovt debt should make the Gold price zoom upwards with each QE official announcement. My answer is quite simple. Each new QE program gives the dark forces more motivation to slam the gold price with naked shorts in sale of paper gold and paper silver. To be sure, the true value of Gold and the true value of Silver is higher, but it is not reflected in the COMEX price. That market is the epitome of corruption. If they were in charge of measuring fevers, they would place the thermometers on ice. Instead, a vast divergence comes between the paper Gold price and metal Gold price. Unless and until the Gold market is freed from corruption and freed from the shackles of Wall Street and London and Swiss influence, it will continue to be suppressed. My full expectation is not for the system to correct itself from within. Instead, the COMEX seeks out new sources of supply, like the GLD Exchange Traded Fund. It is probably far more gutted than publicly stated. It has been converted into a bullion bank central repository for easy raided inventory. The Gold price will not rise from internal forces to push up value, in response to central bank monetary policy or shortage of COMEX inventory. The Gold price will rise from external forces in USDollar isolation, along with isolation of the big banks in the US and London. Their gold inventory will be removed, returned, and drained. In time, the USDollar will widely be rejected in trade.
THE NEW ISOLATION HAS BEGUN
The process of isolation is not just now beginning. It is a process well along. In fact, it has been told that immediately following the Lehman Brothers death (a deliberate exploited execution) and the adoption of toxic vats by the USGovt in the form of Fannie Mae and AIG, the major foreign players located primarily in the East began to feverishly prepare for new platforms on trade and banking. They sought to develop an alternative. For the last 20 to 25 years, a backwards principal has been at work. It dictated that the USDollar would prevail in reserves management, actually the USTBond as vehicle. The rules for trade surplus recycle were constructed to lean toward usage of the USTBonds. Therefore, the global trade would be dominated by USDollars. In other words, banking would dictate trade settlement. That is backwards, and keenly exhibits the brute force of the USDollar hegemony. Also the crude oil payments have been standardized in USDollars, ever since the Saudis cut a major deal with the USGovt and UKGovt in the mid-1970 decade after the famous embargo. Protection came to the Saudi regime and Persian Gulf emirates, in return for exclusive USDollar payment on trade for oil. The Petro-Dollar defacto standard is the primary plank behind the USDollar global trade patterns shown for over three decades. It is coming to an end, a sunset.
IRAN SEMINAL EVENT
The Iranian sanctions put forth by the USGovt and adopted by the EuroZone nations have contributed more to unwinding the USDollar trade system than any event in decades. It sounded the death knell for the USDollar. It hastened numerous nations to seek a US$ alternative. It provided a fertile environment to fashion new trade settlement mechanisms. It pushed Turkey into acting as a gold bullion intermediary role in the provision of gold for usage in trade settlement. See their role with India and Iran, fully described in the December Hat Trick Letter. When an independent highly reliable gold trader source was asked to confirm the role of Turkey as a test case in developing gold based trade settlement, he gave a tacit confirmation. He has mentioned Turkey in past conversations over the last couple years frequently. Just as Turkey was a swing nation in the NATO alliance against the Soviet Union, Turkey will serve in my view as a critical swing nation in the movement to create a non-US$ trade settlement system. The new system will be decentralized, meaning not funneled through the major banks, not passing through the USFed as clearing house. Turkey will be essential in the formation of the Eurasia trade zone. First comes the Asian trade zone (the US excluded), and next comes the hand shake between the Asians and Europeans to create Eurasia. Some folks have expressed doubt toward the arrival of a vast trans-continental trade region. They seem painfully unaware of an incredible network of railway lines connecting Russia to Germany and China, and of a incredible network of liquified natural gas lines connecting Russia with all of Europe and Central Asia. Across the new trade zone and its diverse commerce, the USDollar will not be at the center. It is in fact being isolated, since it is a toxic agent. Everything US$-based is crumbling, from currencies to bonds to banks to credit lines to economies.
CHINESE YUAN BILATERAL CURRENCY SWAPS
The advent of barter has come. It has not been noticed by the incredibly distracted, misled, deceived, poorly trained, mentally challenged, and myopic American public. They read about a currency swap accord, give it no emphasis or importance, and then turn to the fund manager opinions on rotating stocks from one sector to the next. They read about a workaround to the Iran sanctions, express some puppet-like response of anger or disgust, and then turn to IPOs and stories on Google, Apple, and Facebook shares. They do not even read about the failed Trans Pacific Partnership, since it did not make it onto the financial pages. Sadly, the Jackass is slowly adopting a cold view that vast swaths of the US populace will suffer from a Darwinian event. Their home equity has vanished. Their job security has vanished, unless they work for defense contractors. Their pension funds have been damaged. Their wealth has been over 90% dedicated to paper securities in very obedient fashion. The great majority has dismissed the arguments for sound money or gold investments. Some have a pitifully small portion devoted to hard assets like perhaps some energy companies. Only those who adopt a Gold strategy will survive the powerful storm underway, as it intensifies. Great wealth is being destroyed, and only Gold & Silver will enable that survival by the construction of lifeboats. Paper wealth is being blown away, as only hard metal assets will prevail. Add energy and farmlands.
When people ask about the best allocation, my standard response is at least 90% precious metals, the rest to energy deposits, but not actually stocks, perhaps farmland if possible. The best diversification in my view is for laddering of silver purchases, starting at $10/oz and moving to $15/oz then $20/oz and finally to $25/oz with continued accumulation at $30/oz and above. Gold will win the monetary war, but Silver will take the greatest gains. Gold is fine for a more stable long-term protection against toxic paper wealth, but my ongoing objection is that the New York, London, and Swiss syndicate centers play too many games. Silver is subject to global shortages, vast industrial demand, non-replaceable usage, and a much more dangerous situation that the powerful dark forces cannot manage. Silver coins will be widely used in commerce, while Gold bars will thrive in banking transactions. Besides, killing werewolves is the zinger factor with silver bullets.
China has made numerous bilateral swap accords with other nations. As the label indicates, they are deals cut between China and another nation to freely use Chinese Yuan from a credited account that will retain equilibrium. So far many nations have signed up and even renewed deals. The list of nations includes Brazil, Russia, Japan, and India. One might be correct to include all of Asia on the list, as nations like South Korea and Taiwan and Vietnam freely trade in Yuan transactions. The first major signal that the bilateral swaps have taken hold sufficiently to undermine the USDollar through a new trade foundation will be the complete arena of Asian trade being conducted in Yuan transactions. They have no need for USDollars in trade. They see their USTBonds held in reserves under management as vulnerable to serious loss. They see their USTBonds held as subject to grand debasement from USFed central bank monetary policy itself. They see their USTBonds held as supported by Weimar machinery in hyper-drive. They see their USTBonds held as part of a corrupted Wall Street arena and its vast trappings. They see their USTBonds held as prisoner to the USGovt debt battles and a potential crush victim on a fall from the fiscal cliff.
The Chinese bilateral swap accords are actually barter deals. They often represent rather balanced trade, unlike with what the nations have set up with the United States. Unless nations purchase enormous lots of military hardware, they have little need for US products. Hence the end result is a bigger batch of toxic USTBonds to purchase in order to balance the accounts and to avoid the local foreign currency exchange rate from rising enough to damage their export trade. The bilateral swap accords work to create numerous two-way ties as part of a latticework that eventually will form a transnational fabric without the USDollar as nuclear cores in each connection weld. The bilateral swaps are barter without the name in a direct confrontation against the USDollar and its catbird seat. That seat, once a throne, is being dismantled. The latticework of bilateral swaps has created the critical mass of a global blanket with no centralized control room, no choke points with bank transactions, no SWIFT code ticket taker. The bilateral swap accords work to build a critical mass that isolates the USDollar from an entirely new foundation for trade. The USDollar is being isolated.
COMEX PRESSURE POINT
The COMEX is under constant unrelenting pressure. They must shift around ill-gotten precious metal inventory in order to avoid a default. That would be embarrassing. The main device for maintaining order at the COMEX continues to be naked shorting of futures contracts, a blatantly corrupt practice. The naked short ambushes occur with greater frequency in recent months. The arrival of Scotia Mocatta as a provider of gold supply and naked short commitments will kill them eventually, as they have made a deal with the devils. The overnight dispatch of silver from the US to London has grown enormous. One can only suspect that the raids of GLD gold inventory and SLV silver inventory is much greater than is estimated even by its most ardent critics. The illicit sources for COMEX precious metal are fast drying up.
The new wrinkle to render damage to the COMEX is the arrival of the Shanghai Gold Exchange. The graphic displays the differential, a basis for potential arbitrage. Complex arrangements can be constructed that take advantage of the differential, basically buying the gold metal in New York, finding a way to make it available in Shanghai, where it is sold at a $20 to $30 higher price. The end result of the arbitrage is high volume drainage of gold in New York. The snapshot below is taken from December 7th. Several other snapshots are available, with similar price spreads. Finally COMEX based in New York, a major nucleus of corrupt financial markets, has some competition. Expect the spread to widen, the opportunity for arbitrage to grow, and pressure to build for a breakdown.
Sadly for the evil camp, they are fast running out of sources. They stole the entire MF Global private accounts, denied the clients their legal right to receive silver in delivery, and received legal protection by the USGovt and Appellate courts, after changing the law applied to financial firm liquidation instead of brokerage firm liquidation. It was a blatant maneuver that has depleted the COMEX of a major slice of legitimate business. The subsequent similar raid on PFG-Best had an echo effect, adding to the removal of COMEX clientele. The end result is that the risk hedge trade is finding ways to conduct their business without use of the indescribably corrupt COMEX. So the COMEX is being isolated in risk hedging just like the USDollar in global trade.
The upcoming Petro-Dollar sunset has very uncertain timing indications. The assassination of Prince Bandar in Saudi Arabia, followed by the potential incapacitation of King Abdullah could work to weaken the foundation of the Petro-Dollar itself. Back in April 2010, the Saudis and other main Persian Gulf nations struck a deal with Russia and China for protection in the gulf region. That accord was not given much emphasis anywhere, nor publicity. But to the Jackass, who had a source at the meeting, the event signaled the sunset of the Petro-Dollar defacto standard. The Saudis would turn to Asia for protection and security, at a time when their crude oil trade was growing with Eastern nations, and when the North American production was made more available for the US demand in markets. The day is nigh where the Saudis accept non-US$ payments for crude oil. They might first accept Chinese Yuan, then Japanese Yen, then Korean won, then Gold itself through big Turkish bazaars. The Petro-Dollar is being isolated for sunset, and will be a key event is the removal of the USDollar as center for global trade settlement. Also, the Saudi regime in my view does not have much longer to survive. Numerous companies and financial firms and export facilitators have exited from the United Arab Emirates in preparation for the fall of the House of Saud. The Saudi Arabian royals have unstable neighbors in every border, especially Bahrain, Iraq, and Yemen.
WILD CARD FACTORS
Numerous wild cards float on the global trade table. Bank strictures head the list, with imposed rules on account reporting abroad, with tax information requirements, and with capital controls. It is harder each month to move large amounts of funds. The forms to complete have become onerous and imposing, acting like implicit restrictions. It is harder each month to use simple bank cards at ATM machines. With a simple rule change, the banks cannot complete these transactions. The organized and patterned restrictions work to trap USDollars within the local US borders. Consider it an internal mechanism to assist the global isolation of the USDollar.
LOST GLOBAL RESERVE STATUS
The described isolation on numerous fronts, whether trade or COMEX or banks, all work toward the elimination of the toxic agent in the USDollar. The world wants a more just, more functional, more efficient, more equitable global trade system. The United States has abused its global reserve custodian position too long. The world is fighting vigorously to remove it. The usage of the USDollar as a credit card to finance its consumption binge without ability to pay will come to an end. The usage of the USDollar as a device to enable powerful aggression in war to advance syndicate interests like vertically integrated narcotics will come to an end. The usage of the USDollar as a banking monopoly device will come to an end. The usage of the USDollar as an instrument for bond fraud will come to an end. The usage of the USDollar as a free lunch device to finance the USGovt deficit will come to an end. When the USDollar is no longer the global reserve currency, the door to the Third World will be opened wide. When the USDollar is no longer the global reserve currency, the supply lines will be interrupted to the USEconomy, giving off a prominent Third World stench. When the USDollar is no longer the global reserve currency, the price inflation effect will become a national topic of grand debate and extreme anger. When the USDollar is no longer the global reserve currency, the United States as a nation will experience tremendous additional isolation and hardship, as most Third World nations do. The level of corruption within the USGovt and US banking corner offices is already far more entrenched than any Third World nation. The vote fraud for US national elections is equally prevalent, but more sophisticated.
When the USDollar is no longer the global reserve currency, the Gold Standard will be right around the corner, if not already in the implementation stage. The Gold price will react quickly to the removal of the USDollar from its prized perch of abuse. The center of the new trade settlement system will be GOLD, which is not even being discussed by the enlightened denizens of the gold community. It will be the basis of the Letters of Credit, in the form of gold trade notes. The short-term credit that facilitates trade will have a truly magnificent grand Gold core. The common agreement will be to make the Gold price at least $5000 per ounce, probably closer to $7000 per ounce. They will in the process dismiss, overrun, and put into oblivion the COMEX and the LBMA, rendering them to the scrap heap of irrelevance.
THE HAT TRICK LETTER PROFITS IN THE CURRENT CRISIS.
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December 12th, 2012 by olddog
by Staff Report
Catcher in the Rye dropped from US school curriculum … Schools in America are to drop classic books such as Harper Lee's To Kill a Mockingbird and JD Salinger's Catcher in the Rye from their curriculum in favor of 'informational texts'. American literature classics are to be replaced by insulation manuals and plant inventories in US classrooms by 2014. A new school curriculum which will affect 46 out of 50 states will make it compulsory for at least 70 per cent of books studied to be non-fiction, in an effort to ready pupils for the workplace. – RT
Dominant Social Theme: Telling stories is so "last year."
Free-Market Analysis: Fahrenheit 451 and other books about censorship got it wrong. The powers-that-be don't want to ban books, they want to ban STORIES.
This is the inescapable conclusion for those of us who believe in directed history. Over the past decade of covering the world for various proprietary blogs, it's become clear to us that most human events are manipulated by a small, sociopathic elite that controls central banking around the world.
Whether such control existed in previous millennia we are not in a position to say. But it would be our perspective – avoiding a discussion of past civilizations – that the overt control of Money Power has been growing, not diminishing, of late.
Of course, perhaps these things go in cycles. In that case it is our misfortune to live at the very apex of one such cycle and our good fortune to see – thanks to the Internet Reformation – that it is ending.
How do we know it is ending? Because the top elites are increasingly turning to the bluntest weapons in their fight to maintain power. Economic depression, military conflict and authoritarian democracy are all modern tools of repression and control. The idea is to create world government and nothing is to stop that progression.
By far the most ubiquitous method of control and persuasion is what we call the dominant social theme. This is usually a scarcity-based meme disseminated by the power elite via its controlled think tanks, media and universities and then acted on via its globalist facilities and political methodologies.
Scarcity–based memes are STORIES aimed at the middle class and designed to frighten people into giving up wealth and power to specially designed internationalist institutions. Food, water and energy scarcity along with overpopulation and various military and terrorist "threats" are the favorite tools of the top elites. None of the disseminated tales are true.
But it doesn't matter whether they are true or not. The propagation and saturation of these stories – fables – are most important to the narrative that the elites want to establish.
The chief narrative is that of the "small world." The world is to be seen as inevitably becoming "one." It is an ineluctable ascension to be desired and nurtured. It is, of course, for this reason that all talk of previous high civilizations is squelched. Whether they existed or not is not debatable, as the debate will never be held.
There is only one civilization. It was launched 5,000 years ago and world government will be its crowning glory.
This is the story. This is the narrative. There cannot be any other. And it is not enough for the elites to control the CONVERSATION. Now, apparently, they want to control the story line, as well.
Of course, one could argue that with books like Catcher in the Rye they control the story line anyway. But apparently, informal control was not enough. Now the control is to be formalized. If stories are to be written, they will be written by approved authors. If they are to be read, it will be within a predetermined cordon sanitaire.
There are to be no other gods but the god of the single story – the ONE … the single, all-encompassing plotline leading inevitably towards a gaily decorated single world with one ruling, elite authority. After which, from what we can tell, genocide will begin in earnest. Here's more from the RT article:
Books such as JD Salinger's Catcher in the Rye and Harper Lee's To Kill a Mockingbird will be replaced by "informational texts" approved by the Common Core State Standards.
Suggested non-fiction texts include Recommended Levels of Insulation by the US Environmental Protection Agency, and the Invasive Plant Inventory, by California's Invasive Plant Council.
The new educational standards have the backing of the influential National Governors' Association and the Council of Chief State School Officers, and are being part-funded by a grant from the Bill & Melinda Gates Foundation …
Supporters of the directive argue that it will help pupils to develop the ability to write concisely and factually, which will be more useful in the workplace than a knowledge of Shakespeare.
Poor Bill Gates! A man who once dreamt of controlling his own US$100 billion fortune, he was attacked by the US government over a putative monopoly and then stripped of control of his resources and even his professional aspirations by a banking elite that will not tolerate any other monetary control but its own.
This is the reason its button man, Warren Buffett has been going from wealthy individual to wealthy individual like a honey bee, seeking to sip the sweet nectar of their vast good fortune by suggesting full scale donations to charities he controls. It is not an eleemosynary exercise but one of confiscation.
The top elite controls trillions but mere billionaires are not to be allowed. They must "give back" to the community. You see, in the brave new world of the Elite Narrative, a mere billionaire is nothing but the lowliest peon, someone to be efficiently reduced to penury. He or she is not to leave funds to family but instead to worthy charities and reputable causes.
This is what Bill Gates now confronts. After building one of the most successful companies in the world he now finds himself denuded of his fortune while his name is attached to the blackest kind of medical engineering via vaccinations and now – if this article is correct – the initiation of purposeful illiteracy.
It is ever thus these days. Cross the top elites and they will efficiently strip you of your resources and then blacken your name by association. They do this by manipulating the sociopolitical and economic narrative. This is why storytellers are in such demand and why the ability to tell a convincing story is a ticket to wealth, fame and power in the modern day.
It is why such tales are ever more strictly controlled, as well. Copyright and other legal engineering is brought to bear to ensure that the narratives produced and disseminated are the approved ones.
It is for this reason what we call the Internet Reformation has been such a setback to the power elite. The carefully crafted universe that has descended on the world like a gigantic bubble has been pricked. As it has collapsed, truth has leaked in.
We try to purvey some of that truth every day and so do others. We would even argue a critical mass has been reached and there is nothing much the elites can do to control the narrative anymore. They are trying, too, of course. But as happened with the Gutenberg press, once the truth emerges it tends to sweep the field.
It must be a waking nightmare for the top elites. Much of the progress of the past century has been undone. Memes have been exposed. Promotions have been capsized.
Terror and intimidation are going to have to be substituted for mind control and promotional suasion.
And, of course, censorship, too. The narratives of modern civilization are now seen as too powerful to be left in the hands of amateurs.
It's kind of pitiful, actually. It has no chance of working. Tale telling is as powerful a drive as sex or hunger. It cannot be controlled by regulation or a change in curriculum.
Conclusion: It is a testimony to their desperation and a further affirmation of the power of the Internet Reformation.
Let the reader beware! There will be no let up in media manipulation, and without the people participating in the internet reformation, the elite will use government to control what you can learn, and what they are doing to us. Get involved, and forward the Daily Bell and other news sources to your friends and family.
December 3rd, 2012 by olddog
by Staff Report AT THE DAILY BELL
Goldman Sachs' Global Coup D'etat … When the people of Greece saw their democratically elected Prime Minister George Papandreou forced out of office in November of 2011 and replaced by an unelected Conservative technocrat, Lucas Papademos, most were unaware of the bigger picture of what was happening all around them. Similarly, most of us in the United States were equally as ignorant when, in 2008, despite the switchboards at the US Capitol collapsing under the volume of phone calls from constituents urging a "no" vote, our elected representatives voted "yes" at the behest of Bush's Treasury Secretary Henry Paulsen and jammed through the biggest bailout of Wall Street in our nation's history. But now, as the Bank of England, a key player in the ongoing Eurozone crisis, announces that former investment banker Mark Carney will be its new chief, we can't afford to ignore what's happening around the world. Steadily – and stealthily – Goldman Sachs is carrying out a global coup d'etat. – Thom Hartmann and Sam Sacks, Truthout.org
Dominant Social Theme: Watch out for this most powerful of all firms. It is the octopus of Wall Street.
Free-Market Analysis: Here's another meme, in our view. It's one we've fought against for a long time. It is the idea that Wall Street and private enterprise generally are malicious and ought to be confronted by government and heroic politicians.
That's the dominant social theme. The subdominant social theme would be more along the lines of Goldman's influence is spreading around the world. No firm is more evil, according to some, than Goldman.
From our point of view, this is not quite true. As we try to mention regularly, the power in finance lies with central banks. The securities industry and commercial banks are mere appendages of Money Power that resides in its fullness within the Federal Reserve, Bank of England, etc.
There are over 150 central banks in the world, most supervised in one way or another by the Bank for International Settlements. Someone put this gigantic financial entity in place. Someone supervises it.
And it wasn't Goldman. No, there's a power elite, in our view, that controls central banking and uses its impossible wealth to promote global governance.
Seen within this context, Goldman Sachs is merely one more tool in a global kit bag. Its operatives are merely more highly paid mercenaries. Not everyone agrees with this perspective, of course. Here's more from the article:
There's one tie that binds Lucas Papademos in Greece, Henry Paulsen in the United States, and Mark Carney in the U.K., and that's Goldman Sachs. All were former bankers and executives at the Wall Street giant, all assumed prominent positions of power, and all played a hand after the global financial meltdown of 2007-08, thus making sure Goldman Sachs weathered the storm and made significant profits in the process …
As Europe descends into an austerity-induced economic crisis, Goldman Sachs's people are managing the demise of the continent. As the British newspaper The Independent reported earlier this year, the Conservativetechnocrats currently steering or who have steered post-crash fiscal policy in Greece, Germany, Italy, Belgium, France, and now the UK, all hail from Goldman Sachs. In fact, the head of the European Central Bank itself,Mario Draghi, was the former managing director of Goldman Sachs International.
And here in the United States, after Treasury Secretary and former Goldman CEO Henry Paulsen did his job in 2008 securing Goldman's multi-billion dollar bailout, he was replaced in the new Obama administration with Tim Geithner who worked very closely with Goldman Sachs as head of the New York Fed and made sure Goldman received more than $14 billion from the bailout of failed insurance giant AIG.
What's happening here goes back more than a decade.
In 2001, Goldman Sachs secretly helped Greece hide billions of dollars through the use of complex financial instruments like credit default swaps. This allowed Greece to meet the baseline requirements to enter the Eurozone in the first place. But it also created a debt bubble that would later explode and bring about the current economic crisis that's drowning the entire continent. But, always looking ahead, Goldman protected itself from this debt bubble by betting against Greek bonds, expecting that they would eventually fail.
Ironically, the man who headed up the Central Bank of Greece while this deal was being arranged with Goldman was – drumroll please – Lucas Papademos.
This is very interesting! We've been writing for about a year that these loans were thinly disguised bribes. We pointed out that bankers were not THAT stupid, and they surely must have known what they were doing. They provided these loans, easily pilfered, to European elites who then made sure to deliver their countrymen to theEuropean Union.
But to believe that Goldman itself orchestrated such a plan is fairly ludicrous, in our view. Goldman was just one more cog in a wheel, albeit a big one.
The article quotes the lefist DailyKos as follows: "The normal scenario usually involves helping a nation hide a problem and sell its debt until the problem blows up into a bubble that bursts in a spectacular way…Goldman Sachs then puts their 'man' into a position of power to direct the bailouts so that Goldman gets all its money back and more, while the nation's economy gets gutted."
The article then asks, "Why, despite mountains of evidence, have banksters at Goldman Sachs and other Wall Street institutions not been thrown in jail for defrauding customers, manipulating LIBOR interest rates, and throwing thousands of Americans out of their homes illegally in a massive robo-signing scandal?"
You see where this is going, dear reader? We've predicted it already. This language is symptomatic of the George Soros-controlled Occupy Wall Street movement. The idea is to whip up resentment between the wealthy and everyone else. And then to put some people in jail. It will hardly matter who. The idea is to create a bloodlust and then slake it. The REAL criminals are to be left untouched.
Here is how it may work … Once people have been whipped to a fever pitch, US President Barack Obama will suggest a neo-Pecora hearing. The last such hearing, in the 1930s, resulted in the evisceration of Wall Street's capital-raising mechanism. This time, Wall Street and the banks will be entirely ruined. There will be nothing left of the market. Nothing left of the ability to raise money … except by the most powerful of elites.
This is where these people are headed. The rhetoric is intentional. Instead of blaming the power elite, the idea is to blame Wall Street. This allows the top elites to pass MORE regulation, effectively choking off the ability of ANYONE to create significant capital without elite approval.
We're not endorsing Goldman or modern Wall Street, by the way. The modern banking system is a despicable agent operating at the behest of the powers-that-be. But Wall Street – and Goldman – are not where the power resides. It evidently and obviously goes much higher than that.
Conclusion: Get rid of Goldman and nothing will change. Get rid of modern, monopoly central banking and everything will.
December 2nd, 2012 by olddog
"Since a politician never believes what he says, he is quite surprised to be taken at his word." – Charles De Gaulle
In my home country, the United States, we are watching the German and EU austerity demands destroy economies, social structures and entire nations all to protect the leading banking elites and their profits. In 2013 the false meme of austerity is also coming to the United States. Leading GOP politicians are now announcing plans to break their No Tax pledges just as we warned they would. After all, the word and honor of all but a very few senators and house members means nothing once election season ends.
Of course, common sense tells us that all governments need to spend and borrow less but they never will. After all, the long running recession/depression of the West means less tax revenue to governments because the taxable income of individual citizens is down dramatically.
The austerity meme is the false crisis solution being propagandized by the power elite in order to build public support for benefit cuts and wealth confiscation. This fake austerity solution sounds reasonable but it isn't because governments will continue to spend and borrow. They plan to make up the difference by cutting government services and programs and increasing taxes to draconian confiscatory levels.
Equal Opportunity For Once
While the top echelons of government bureaucrats just like the privileged big business corporate elites will be exempt except for minor personal tax increases, the burden will as always fall on the poor and middle classes.
The only good news is throughout the West many low- and middle-level government employees and bureaucrats will finally get a bitter taste of what they have been dishing out to those of us in the productive private sector for decades. There are few new jobs available in the private sector and private industry will seldom hire ex-government employees, for obvious reasons.
This means those on the government dole, whether working, on welfare programs or in unions, will do anything to keep their checks coming. Therefore, as part of the "necessary" austerity measures their generous healthcare and retirement plans can be cut, as well as salaries, as most of these wards of the state will still vote for the big government parties. They have no other alternatives. Thus, their core constituency status will remain while they now take their turn being screwed.
Simply watch what is happening to benefits, healthcare and retirement benefits in Greece, Italy and Spain and you'll see the future in the United States.
Many in the US will find themselves increasingly "means tested" out of their promised and guaranteed Social Security benefits and forced back into permanent life-long contributions.
Austerity is just another word for nothing left to lose to the government. It will end when your wealth, benefits and assets are gone. This false meme will be replaced with another once all of the available wealth, income and gold can be taken and your promised benefits cut to whatever degree possible short of generating violence and revolution.
Therefore, any supposed credibility in the success of politically enforced austerity is just another excuse to get more of your hard earned dollars. Like democracy, global warming and Keynesian economics, this is just another scam meme to con you out of personal wealth and liberties.
November 29th, 2012 by olddog
By recklessly printing, borrowing and spending money, our authorities are absolutely shredding confidence in the U.S. dollar. The rest of the world is watching this nonsense, and at some point they are going to give up on the U.S. dollar and throw their hands up in the air. When that happens, it is going to be absolutely catastrophic for the U.S. economy. Right now, we export a lot of our inflation. Each year, we buy far more from the rest of the world than they buy from us, and so the rest of the world ends up with giant piles of U.S. dollars. This works out pretty well for them, because the U.S. dollar is the primary reserve currency of the world and is used in international trade far more than any other currency is. Back in 1999, the percentage of foreign exchange reserves in U.S. dollars peaked at 71 percent, and since then it has slid back to 62.2 percent. But that is still an overwhelming amount. We can print, borrow and spend like crazy because the rest of the world is there to soak up our excess dollars because they need them to trade with one another. But what will happen someday if the rest of the world decides to reject the U.S. dollar? At that point we would see a tsunami of U.S. dollars come flooding back to this country. Just take a moment and think of the worst superstorm that you can possibly imagine, and then replace every drop of rain with a dollar bill. The giant currency superstorm that will eventually hit this nation will be far worse than that.
Most Americans don’t realize that there are far more dollars in use in the rest of the world than in the United States itself. The following is from a scholarly article by Linda Goldberg…
The dollar is a major form of cash currency around the world. The majority of dollar banknotes are estimated to be held outside the US. More than 70% of hundred-dollar notes and nearly 60% of twenty- and fifty-dollar notes are held abroad, while two-thirds of all US banknotes have been in circulation outside the country since 1990
For decades we have been exporting gigantic quantities of our currency.
So what would happen if that process suddenly reversed and massive piles of dollars started coming back into the country?
It is frightening to think about.
Well, I guess the key is to get the rest of the world to continue to have confidence in the U.S. dollar so that will never happen, right?
Unfortunately, there are lots of signs that the rest of the world is accelerating their move away from the U.S. dollar.
For example, it was recently announced that the BRICS countries are developing their own version of the World Bank…
The BRICS (Brazil, Russia, India, China and South Africa) bloc has begun planning its own development bank and a new bailout fund which would be created by pooling together an estimated $240 billion in foreign exchange reserves, according to diplomatic sources. To get a sense of how significant the proposed fund would be, the fund would be larger than the combined Gross Domestic Product (GDP) of about 150 countries, according to Russia and India Report.
And as I noted in a previous article, over the past few years there have been a whole host of new international currency agreements that encourage the use of national currencies over the U.S. dollar. The following are just a few examples…
1. China and Germany (See Here)
2. China and Russia (See Here)
3. China and Brazil (See Here)
4. China and Australia (See Here)
5. China and Japan (See Here)
6. India and Japan (See Here)
7. Iran and Russia (See Here)
8. China and Chile (See Here)
9. China and the United Arab Emirates (See Here)
10. China, Brazil, Russia, India and South Africa (See Here)
Will this movement soon become a stampede away from the U.S. dollar?
That is a very important question.
But you don’t hear anything about this in the U.S. media and our politicians are not talking about this at all.
Meanwhile, our “leaders” seem to be doing everything that they can to destroy confidence in the U.S. dollar. The Federal Reserve is printing money like there is no tomorrow, and the federal governmentcontinues to run up trillion dollar deficits year after year.
They do not seem to understand that they are systematically destroying the U.S. financial system.
Other world leaders get it. For example, Russian President Vladimir Putin once said the following…
“Unreasonable expansion of the budget deficit, accumulation of the national debt – are as destructive as an adventurous stock market game.
During the time of the Soviet Union the role of the state in economy was made absolute, which eventually lead to the total non-competitiveness of the economy. That lesson cost us very dearly. I am sure no one would want history to repeat itself.”
Why can’t most of our politicians see how destructive debt is?
What the federal government continues to do is absolutely insane. The national debt increased by more than 24 billion dollars on the day after Thanksgiving this year. But utter disaster has not struck yet, and most Americans are not really that concerned about the debt. So things just keep rolling along.
And of course our national debt of $16,309,738,056,362.44 is nothing when compared to the future liabilities that our federal government is facing. Just check out what a recent article in the Wall Street Journal had to say about all this…
The actual liabilities of the federal government—including Social Security, Medicare, and federal employees’ future retirement benefits—already exceed $86.8 trillion, or 550% of GDP. For the year ending Dec. 31, 2011, the annual accrued expense of Medicare and Social Security was $7 trillion. Nothing like that figure is used in calculating the deficit. In reality, the reported budget deficit is less than one-fifth of the more accurate figure.
Other economists paint an even gloomier picture. According to economist Niall Ferguson, the U.S. government is facing future unfunded liabilities of 238 trillion dollars.
So where are we going to get all that money?
Well, why don’t we just print more money than ever before so that the U.S. government can borrow and spend more money than ever before?
Don’t laugh. That is actually what some of the top economists in the country are actually recommending.
The most famous economic journalist in the entire country, Paul Krugman of the New York Times, is boldly proclaiming that the solution to all of our problems is to print, borrow and spend a lot more money. He insists that there is no reason to fear that the giant mountain of debt that we are accumulating will someday collapse the system…
For we have our own currency — and almost all of our debt, both private and public, is denominated in dollars. So our government, unlike the Greek government, literally can’t run out of money. After all, it can print the stuff. So there’s almost no risk that America will default on its debt — I’d say no risk at all if it weren’t for the possibility that Republicans would once again try to hold the nation hostage over the debt ceiling.
But if the U.S. government prints money to pay its bills, won’t that lead to inflation? No, not if the economy is still depressed.
Now, it’s true that investors might start to expect higher inflation some years down the road. They might also push down the value of the dollar. Both of these things, however, would actually help rather than hurt the U.S. economy right now: expected inflation would discourage corporations and families from sitting on cash, while a weaker dollar would make our exports more competitive.
Of course what he is prescribing is complete and utter madness.
At some point this con game is going to collapse and the rest of the world is going to say a big, fat, resounding “NO” to the U.S. dollar.
Why should they continue to use a currency that is becoming extremely unstable and that is constantly being manipulated?
And when the rest of the world rejects the U.S. dollar, the value of the dollar will drop like a rock because there will be far less global demand for it.
In addition, if the rest of the world is not using the U.S. dollar for trade any longer, other nations will cease to soak up our excess currency and huge mountains of our currency that are floating around out there will start flooding back to our shores.
At that point we will be looking at inflation unlike anything we have ever seen before. The era of cheap imports will be over and we will pay far more for everything from oil to the foreign-made plastic trinkets that we buy at Wal-Mart.
Most Americans don’t even know what a “reserve currency” is, but when the U.S. dollar loses reserve currency status it is going to unleash a nightmare that most economists cannot even imagine.
So enjoy this holiday season while you can. There are still lots and lots of cheap imports filling the shelves of our stores.
Once the coming giant currency superstorm strikes, we will dearly wish for the good old days of 2012.
Yes, the U.S. dollar is alive and ticking for now. But at the pace that our authorities are abusing it, I would not say that things are looking good for a long and healthy lifespan.
November 28th, 2012 by olddog
By: Michael Ivanovitch
President, MSI Global
When, towards the end of World War II, the British economist John Maynard Keynes led his country’s delegation to negotiate in Bretton Woods the IMF’s charter (articles of agreement), he argued that the stability of the international monetary system and world economy required that surplus and deficit countries should be held equally responsible to balance their trade accounts.
Keynes feared that America, relatively unscathed after nearly five years of brutal conflict, would be flooding Europe with its exports, creating a shortage of dollars and obstructing the recovery of a starving and war-ravaged continent.
As it turned out, Keynes’s worries about the possibility that America would selfishly pursue mercantilist policies were misplaced. Washington quickly moved to help Europe get back on its feet with a $13 billion Marshall Plan (formally known as the European Recovery Program) and kept its markets open for European goods and services.
During the three years of the Marshall Plan, the economies of 17 European countries benefiting from its assistance grew between 15 percent and 20 percent, and, largely as a result of growing imports from Europe, the U.S. trade balance recorded its first postwar trade deficit of $2.3 billion (0.2 percent of GDP) in 1971.
The US Remains Engine of World Economy
The U.S. is still the largest buyer of goods and services produced around the world. In the first nine months of this year, America’s trade deficit with China, Japan and Germany accounted for nearly two-thirds of its $559 billion trade gap.
Keynes must be turning in his grave: Even with a feeble 2.3 percent GDP growth, America is the engine of world economy, while the second, third and fourth-largest world economies are living off their trade surpluses with the U.S. and the rest of the world.
Those wondering about what went wrong with the world economy should look no further. With their huge trade surpluses, ranging from $86 billion (Japan) to $217 billion (Germany), these three countries – one-fourth of world GDP – are making no net contribution to global economic growth. Worse: they are, in fact, a drag on world economy.
And there is no end to this. Almost by design, Japan and Germany are export-led economies. Neither country wants to abandon this growth strategy by generating more demand and output from their domestic spending. China apparently wants to get off the export bandwagon, but it will take some time to significantly change the composition of its economic growth.
Japan’s Structurally Weak Domestic Demand
In terms of Keynes’s argument for symmetry in trade adjustment obligations of deficit and surplus countries, Japan has been – and still is – the most difficult case. Over the last 10 years, for example, about one-half of Japan’s economic growth came from its trade surpluses. During that period, exports – 8 percent of GDP – grew at an average annual rate of 6 percent, while household consumption – 60 percent of GDP – edged up only 0.9 percent.
These numbers clearly show that it is almost impossible to grow on the basis of domestic demand if its largest component is in virtual stagnation. And Tokyo is not doing much to change that. Ever since the “bubble economy” burst in the early 1990s, a succession of Japanese governments chose to finance public sector investments – about 4 percent of GDP – by building the proverbial “bridges and highways to nowhere” instead of stimulating household consumption. No wonder the economy largely stagnated over the last 20 years with an average annual growth of less than 1 percent.
(Read More: What Will Save the Japanese Economy?)
Admittedly, it is difficult to stimulate private consumption in an economy with declining and rapidly aging population. A study, published last January by Japan's National Institute of Population and Social Security Research, forecasts that the country's population will shrink by one-third over the next 50 years as a result of an alarmingly low birthrate of 1.39 per woman of childbearing age. The study also shows that, at this point, it looks like a mission impossible to even slow down the population decline, because Japan would have to raise its birthrate to 2.1 per woman.
It is obvious that to stabilize the economy Japan would have to address, with a great sense of urgency, the problem of its worsening demography. Only a steadily rising trend in net family formation and birthrates would underpin private consumption and residential investment (63 percent of GDP) to gradually wean the economy off its excessive dependence on export sales.
But that, unfortunately, does not seem likely anytime soon. Barring more dangerous developments in Sino-Japanese relations, Japan’s sinking exports to China (down 14 percent in the year to September) will just be dumped somewhere else.
China’s Slowly Changing Growth Patterns
China will probably do better than Japan in changing the current structure of its economy. With an apparent determination to anchor economic growth around household consumption and investments, Beijing wants to minimize trade frictions with the U.S. and Europe as it becomes one of the key players in world commerce and finance.
These changes will take time, though. One has to remember that most of China’s manufacturing sector was set up to serve exports, based on low wages and a favorable tax treatment of joint ventures with foreign companies.
Still, some important changes are happening already. Rapidly escalating wage and non-wage labor costs are making China increasingly expensive as a manufacturing export base. Some European companies are even repatriating their manufacturing from China due to the shortage – and rapidly rising costs – of skilled labor.
China’s current growth patterns are also likely to change as the planned reduction of large income inequalities and a more extensive welfare system – two of China’s new leader’s top priorities – are likely to stimulate household consumption (a relatively small 35 percent of GDP) since families would have to save less for education, healthcare and retirement.
(Read More: Why China’s New Conservative Leaders Will Be Reformists)
And while these structural changes are taking hold, China’s trading partners could sell more of their products and services by insisting on better access to Chinese markets. Beijing will have to yield because its own companies are seeking to establish trading and manufacturing positions in various countries around the world.
Obama’s Wrong Number in Europe
While China’s large trade surpluses are a relatively recent problem, Germany’s systematically export-led economy has been a destabilizing factor for Europe and the rest of the world since the early 1970s.
(Read More: Why the US-China Trade Spat Is Just Political Posturing)
President Obama learned all about it when he was trying to rev up the U.S. economy during his election campaign. Apparently thinking that he solved former U.S. Secretary of State Henry Kissinger’s old riddle – “Who do I call if I want to call Europe” – Obama hit the wall when he rang up that number in Berlin to ask for less austerity and more economic stimulus to protect one-fifth of American exports to the E.U.
Not only did the German Chancellor Merkel refuse to oblige, but she also haughtily dismissed American entreaties by saying that “it made no sense to be adding new debt to old debt.” And all that from a lady Obama decorated with the Presidential Medal of Freedom, America’s highest civilian honor, in June 2011.
But Obama was right to ask Germany to buy more from its trading partners, because Germany had plenty of room to stimulate the economy and stop living off the rest of the world. With a virtually balanced budget, record trade surpluses (6 percent of GDP), stable and low inflation, and borrowing costs of its public sector at a record-low 1.3 percent, Germany should temper its austerity mantra and buy more goods and services from some of the hard-pressed and heavily indebted euro zone countries.
Germany, of course, won’t do that. A low unemployment rate, and a relatively placid social scene, will again allow Germany to ride out the euro zone recession on the back of exports.
Don’t Hold Your Breath for the G20
What can be done about the fact that 25 percent of the world economy makes no net contribution to global economic growth and acts as a drag on the economies of its trading partners? The answer is: not much, if anything.
The irony is that the world has a forum to deal with such problems. The G20 – a group of the world’s 20 leading economies, representing 90 percent of global GDP and two-thirds of the world population – has been set up to promote economic growth through better coordination of economic policies. In other words, through policies designed to reduce destabilizing trade imbalances in the world economy.
The need to implement better coordination of macroeconomic policies was one of the key decisions of the G20 meeting in the Mexican resort of Los Cabos last June. And what happened?
The G20 sherpas (representatives of the heads of state and government) had nothing to say about that when they met in late October to monitor the implementation of their bosses’ decisions, because there were no coordinated policy measures to support the weakening world economy undermined by excessively unbalanced trade flows.
The sherpas nevertheless congratulated themselves on the “good work” and passed the baton to Russians who will take on the G20 presidency next January.
But expect no more to be done in the imperial splendor of Saint-Petersburg’s Constantin Palace in September 2013 than the repeat of empty talk – at great taxpayers’ expense – of previous meetings.
That will suit Beijing, Tokyo and Berlin just fine. As in the past, they know they can bet on one thing and win: Driven by an extraordinarily loose monetary policy, the U.S. economy will continue to be their main export market for the foreseeable future.
Michael Ivanovitch is president of MSI Global, a New York-based economic research company. He also served as a senior economist at the OECD in Paris, international economist at the Federal Reserve Bank of New York and taught economics at Columbia
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