Time: Fri May 23 11:25:05 1997 by primenet.com (8.8.5/8.8.5) with ESMTP id JAA13994; Fri, 23 May 1997 09:33:02 -0700 (MST) by usr06.primenet.com (8.8.5/8.8.5) with SMTP id JAA24062; Fri, 23 May 1997 09:32:51 -0700 (MST) Date: Fri, 23 May 1997 11:22:22 -0700 To: (Recipient list suppressed) From: Paul Andrew Mitchell [address in tool bar] Subject: SLS: Killing the Banking Beast (fwd) <snip> > >--------------------------- Forwarded Message --------------------------- > >From: "Mark A. Smith" <msmith01@eng.eds.com> > >http://www.execpc.com/~jfish/bkrvws/jekyll.txt > >Book Review: The Creature From Jekyll Island. > > > Killing the Banking Beast > Jane H. Ingraham > The New American > Vol 10, Number 18 September 5, 1994 > >The Creature From Jekyll Island, by G. Edward Griffin, Appleton, WI: >American Opinion Publishing, Inc., 1994, 608 pages, paperback, $19.50. >(For ordering information, see end of article.) > >Has it ever occurred to you that the federal government has no need of >taxes for revenue? Are you aware that banks prefer lending to >governments because governments seldom repay loans? Do you realize that >if all debts, both public and private, were paid, there would be no money >at all in circulation? > >These are only a few of the startling facts that fill the pages of this >illuminating expose of the Insider scam called The Federal Reserve System >(Fed). Although author G. Edward Griffin admits to having wondered if >another book on the Federal Reserve is necessary (his six pages of >bibliography suggest that the subject may have previously attracted >attention), it is unlikely that any book has ranged across 2,000 years of >money and banking from Diocletian to the Rothschilds to Alan Greenspan -- >and tied it into the new world order -- as thoroughly as The Creature >>From Jekyll Island. > >Griffin cuts through the obscurities about the Fed that are intentionally >meant to mystify and disarm its victims (all of us). Convinced that the >subject of money and banking is too arcane and complicated to understand, >we victims are trapped in a world view that utterly fails to jibe with >reality. The money manipulators, says Griffin, are exploiting our >ignorance for the advancement of their own appalling plans; the urgency >of awakening us to our danger has driven Griffin to write this >extraordinary book. > >Although Griffin has never held an academic position, he is a top-notch >teacher. Making this little-understood subject simple by splendid >organization, his account is divided into six sections with varying >numbers of chapters; each section and chapter is introduced by a concise >paragraph while each chapter is also summarized. Thus the reader is kept >in touch with where he has been and where he is going, an ingenious and >helpful device considering the enormous scope of Griffin's narrative. > >His explanations and definitions are meticulously worded; one can sense >the care with which each word was chosen, leaving no room for confusion. >Griffin continually draws documentation from primary sources, quoting >letters, speeches, and published works that both enlighten and horrify. >His own writing is difficult to quote; lt is so trenchant that nearly >every sentence entices. Yet at the same time Griffin has mastered the >art of speaking personally to the reader, who never loses the feeling of >being directly addressed. All this adds up to a superbly clear, >engrossing book that, once started, is impossible to put down. > >Setting the Stage > >In order to help us fully understand our present predicament, Mr. Griffin >ranges far afield in explaining the historical, economic, and political >antecedents of today's money system. We are given a crash course on the >nature of money; the origin of banks and the concept of fractional >reserves; how this led to the seductive idea of using the same money over >and over; how this inevitably led to economic disaster wherever and >whenever tried. We are instructed about the Rothschild formula, which >perfected the art of making enormous profits from loans to governments, >especially for wars; how this led to preventing any one nation from >becoming strong enough to establish peace (the famous balance of power); >how those who could instigate wars or revolutions were financed >(including the Bolsheviks in 1917); how we Americans were sucked into >World War I in order to save J.P. Morgan's loans to England; how >environmentalism is now the weapon of choice replacing war. > >We are taken to the super-secret meeting of Insider financiers and >Rothschild agent Paul Warburg on Jekyll Island in 1910 where the basic >plan for what became the Federal Reserve Act was formulated; we learn >that these plotters were already affiliated with the conspiratorial >British oneworld Round Table group which preceded the Council on Foreign >Relations (our secret government); we are astounded by the brazen >deception of Congress that pushed through this unconstitutional act >creating the Insiders' fundamental tool -- a central bank with the >ability to inflate. We are told how this same tool has been expanded >internationally through the International Monetary Fund (IMF) and World >Bank in order to create worldwide inflation, pay enormous sums of >perpetual interest on never paid-up loans to Insider banks, and socialize >the Third World, all courtesy of us unsuspecting taxpayers. Lastly, >Griffin foretells our dismaying fate if our course is not altered; then >he lays out a step-by-step procedure of how to alter it, inviting us to >join with him in doing so. > >Griffin looks the Fed "creature" straight in the eye and tells us it is >not federal, it has no reserves, and it is not a bank. It is, in fact, a >pernicious cartel operating against the public interest. The widespread >belief that the Federal Reserve exists to "stabilize the economy" is >hogwash; the real reason for its existence is the making of money -- not >out of "thin air" as is commonly supposed, but, more accurately, out of >debt. Griffin explains that it is the act of borrowing by the federal >government that causes money to spring into existence. > >Griffin takes us through the Open Market steps by which Treasury IOUs >(bonds) are converted by the Federal Reserve into money through the >issuance of Federal Reserve checks with no money in existence to cover >them; anyone else doing this would go to jail. Congress has made this >legal for the Fed, however, because this hidden process allows our >congressmen to enjoy unlimited revenue without having to visibly raise >taxes. Without this service, says Griffin, the monetary/political >partnership would dissolve, and Congress would abolish the Fed. > >Money Multlplied > >Griffin explains that these Federal Reserve checks are endorsed by the >government, deposited in a Federal Reserve bank, and used to pay >government expenses by checks which create the first wave of fiat >(unbacked paper) money that floods into the economy. Recipients deposit >these checks into commercial banks that are part of the Fed system. Here >is where the real inflationary action is. (The Federal Reserve holds >"only" seven percent of the national debt of almost $5 trillion. The 12 >percent held by foreigners and the 56 percent held by Americans are not >inflationary because the money used for purchase already existed.) > >Commercial banks, like the Federal Reserve, also create money out of >nothing -- and collect interest on it -- by multiplying every dollar >deposited nine times. This amazing feat is accomplished through the >device of fractional reserves, whereby the Fed allows 90 percent of >deposits to be loaned out. As deposits become loans and loans become >deposits, this process repeats with smaller numbers each time around. For >instance, $1 million in government money (first wave) gives birth to >$900,000 (second wave), which gives birth to $810,000 (third wave), etc., >until the process plays itself out. Thus, the banking cartel creates an >amount of money that is nine times the amount of the original government >debt that made the process possible. > >Griffin shows that when the original debt is added in, the Federal >Reserve and the commercial banks together have created approximately ten >times the amount of the underlying government debt. Since this newly >created money causes the purchasing power of all money to decline, the >resulting rise in prices is, in reality, a hidden tax. As Griffin puts >it: > > Without realizing it, Americans have paid over the years, in addition > to their federal income taxes and excise taxes, a completely hidden > tax equal to approximately ten times the national debt! > >Griffin is astonished at the public's indifference to this fleecing; he >blames it on ignorance based on disinformation. Nothing could prove him >more right than the current deception that inflation is higher prices >caused by full employment and a strong economy; therefore, letting the >"steam" out of the economy and slowing growth (and thereby employment) is >"good." This talk is madness. Alan Greenspan. chairman of the Federal >Reserve (who has the temerity to say he is "worried about inflation"), is >repeating this claptrap as he pretends to control inflation by increasing >interest rates that merely devastated the bond market, clobbered the >stock market, and helped only the bankers. Thus the Insiders are >perfectly protected and the scam rolls on. > >There are many more threads to Griffin's discourse on the operations of >the banking cartel that should not be missed, such as: > > * How holders of Treasury bonds can be paid off only by the creation > of an identical bond out of nothing. > > * Why the U.S. has to be, must be, in debt. > > * How the Discount Window (Fed loans to banks) creates more phony > money. > > * How the federal government could operate without levying any taxes > whatsoever. > > * How the Fed causes booms and busts. > > * How, since 1913, our money has depreciated by over 1,000 percent. > > * How a gold standard automatically stabilizes prices. > > * How the Fed can now monetize the debts offoreign governments! > >Without the extensive knowledge offered by Griffin, no American can fully >understand the financial reality of our time. > >Understanding the Game > >Also critical to our reality check is an understanding of how the Fed >protects and enriches the banking brotherhood in the international arena. >The game our Insiders are playing makes the Rothschilds look like >novices. Here it is in a nutshell: The game starts with a mammoth loan >(created out of nothing through the magic of fractional reserves) from >one of our megabanks (Citicorp, Chase Manhattan, Bank of America, etc.) >to a Third World country with scant means of servicing the debt much less >ever repaying the principle. Are these top bankers stupid? Hardly; >Griffin explains that this is the kind of loan these bankers love, since >they make their money from interest on the loan, not on repayment of the >loan. They prefer the loan never to be repaid. They know they can't lose >because the Federal Reserve guarantees that massive loans that go into >default will not be allowed to seriously affect the issuing bank (too big >to fail) because this would "disrupt the entire economy." > >So, says Griffin, "since the System makes it profitable for banks to make >large, unsound loans, that is the kind of loans banks will make. >Furthermore, it is predictable that most unsound loans will go into >default." Sure enough; pretty soon default threatens. The bank creates >additional money out of nothing and lends that so its interest stream >continues on both the original loan plus the new loan (the "roll-over" >play). At the next crisis, the bank creates still more money out of >nothing to cover the interest on both loans plus an additional amount for >the borrower to spend freely (the "up-the-ante" play). Finally the bank >agrees to a lower interest rate and a longer period for repayment (the " >rescheduling" play). Eventually it is time for the "Final Maneuver." >Congress agrees to guarantee future payments and the whole mess is >shifted to the backs of U.S. taxpayers while the borrower is trapped into >an IMF "austerity" program that makes an "end run" around his >sovereignty. > >Now money moves through various foreign aid channels to the deadbeat >borrower, who continues to pay perpetual interest to the bank. Almost all >of this money is generated by the Federal Reserve; as it moves out into >the economy it dilutes the value of the money already there. The American >people, says Griffin, have no idea they are footing the bill to enrich >the Insider bankers. > >Founder' Fears Realized > >Readers may be surprised to learn that the Federal Reserve is the fourth >central bank the United States has had, the previous three having crashed >in inevitable raging inflation and widespread economic disaster. So >clearly did our Founders understand and fear worthless paper money forced >on the public by legal tender laws (precisely what we now have) that they >filled the proceedings of the Constitutional Convention with statements >of their horror of it. We Americans today, deprived of hearing such >truth, need to listen to their words: > > * George Mason of Virginia: > > "I have a mortal hatred of paper money." > > * John Langdon of New Hampshire: > > "I would rather reject the whole [Constitution] than grant the > new government the right to issue fiat money." > > * George Reed of Delaware: > > "The right to issue fiat money would be as alarming as the mark > of the beast in Revelation." > > * Thomas Paine: > > "The punishment of a member of Congress who should move for such > a law ought to be death." > >Griffin does not stop with presenting the known picture, but projects >today's reality into the future. His frst projection is a doomsday >scenario his second is a realistic plan for saving our country and >ourselves. These chapters might, after all, be the most important ones in >the book. > >Griffin sees doomsday as an engineered financial debacle the severity of >which will cause panicked Americans to welcome a World Bank "rescue" with >a world currency. The IMF/World Bank is already functioning - in >conjunction with the Federal Reserve - as a world central bank. A world >currency is already designed, awaiting a crisis to justify its >introduction. From this point on, writes Griffin, there will be no escape >from the new world order. At present the U.S. is being deliberately >weakened by seemingly insane spending both at home and abroad: As just >one more dismaying example, during President Clinton's recent trip to >Europe he blithely promised more billions of dollars to Poland, Ukraine, >and the Baltic countries. The name of the game is to spend - on anything, >anywhere. The object is to bring down the system. > >Life in the New World Order > >What will life be like in the Insiders' new world order? Griffin spells >it out from the words of the Insiders themselves. One source is the 1966 >secret Hudson Institute study commissioned by Defense Secretary Robert >McNamara, entitled Report From Iron Mountain. This study cold-bloodedly >discusses various means by which government might control the populace >and perpetuate itself in power in the absence of war (UN peace). > >Griffin's review (with extensive quotes) of this truly diabolical Insider >study is masterful; he takes it apart and shows us its consummate evil. >The study's premise is that historically the only means by which a >government has ever been able to "secure the subordination of citizens to >the state" is war. Only war has been able to provide the external threat >without which no government can accumulate power. War is used to make the >masses put up with all kinds of privation, taxation, and controls without >complaint. No amount of sacrifice in the name of victory is rejected. >Resistance is viewed as treason. > >But, says Griffin, Report From Iron Mountain explains that the war system >may have to be replaced because "it may now be possible to create a world >government in which all nations will be disarmed and disciplined by a >world army, a condition which we will call peace." In this case, what >could be a substitute for war? > >Here, explains Griffin, is the origin of the stratagem to promote >ecological doom as the new enemy that threatens the entire world. The >threat need not be real, provided the masses can be convinced it is real. >Credibility is the key, not reality. Griffin writes that Report From Iron >Mountain explains the avalanche of phony scientific claims that are >uncritically publicized by the Insider-controlled media, as well as the >funding of environmental "crazies" by corporations and businesses that >would appear to have the most to lose. He sees the plan as being >brilliantly successful. > >The barrage of propaganda has had a phenomenal result. Politicians are >now being elected on nothing but "concern for the environment and a >promise to clamp down on nasty industries," with no one caring about the >damage done to the economy or our freedoms. Just as no sacrifice is too >great in time of war, what happens to the economy or our freedom is of no >consequence "when the very planet on which we live is sick and dying." > >Griffin introduces us to multi-millionaire Maurice Strong, the powerful >UN environmental czar, who gives us the whole line: The U.S. is >committing environmental aggression against the rest of the world. >Current lifestyles of the affluent middle class -- high meat intake, >frozen and convenience foods, electric household appliances, cars, air >conditioning, suburban housing -- all this has to go. The world's >ecosystems can be preserved only by lowering our standard of living by >rationing, taxation, and political domination by world government. > >Reading this section will forever change the way in which you view >government. Yet, says Griffin, this perverted, power-mad Insider fix need >not prevail. None of these dreadful things needs to happen. He outlines a >procedure by which the Federal Reserve can be abolished, the national >debt paid, and the country returned to a sound monetary system based on >silver and gold. All that is neeeded are the efforts of concerned and >caring Americans. Griffin invites us to join him in freeing ourselves >from the one-world conspirators. It can be done. > > --- > > To order: > > "The Creature From Jekyll Island" > > send $19.50 + $2.00 shipping to: > > American Opinion Book Services > P.O. Box 8040 > Appleton, WI 54913 > > or by credit card: > > 414-749-3783 > > G. Edward Griffin will be in a city near you, for details call: > > 414-749-3780 > > >[end] ======================================================================== Paul Andrew, Mitchell, B.A., M.S. : Counselor at Law, federal witness email: [address in tool bar] : Eudora Pro 3.0.1 on Intel 586 CPU web site: http://www.supremelaw.com : library & law school registration ship to: c/o 2509 N. Campbell, #1776 : this is free speech, at its best Tucson, Arizona state : state zone, not the federal zone Postal Zone 85719/tdc : USPS delays first class w/o this ========================================================================
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