43-WWII AND BRETTON WOODS

In 1917, something went very wrong, and WWI had to be stopped. The City had planned for the Americans to enter the war and pierce the Western Front, and for the victorious Bolsheviks of Russia to attack from the East, the intent being to crush the Holy Germanic Empire using a pincer movement. But it didn’t happen because Lenin decided to quit the war instead. So with no Eastern Front, and after years of apocalyptic trench warfare in France, the City decided to end it. It would get at the Holy Germanic Empire some other day. Lenin died in 1924 of gunshot wounds sustained in a 1918 assassination attempt and was replaced by a more sanguinary Stalin.

In 1918, the City dynasty immediately sat down at the drawing board and prepared for WWII. The Treaty of Versailles signed in 1919 was the worst possible peace treaty imaginable, and we can be sure that peace was not on the peacemakers’ mind. All the statesmen had to be from la-la land in order to give their approval to such impossible terms. The thirty-three billion dollars of war reparations the allies imposed on Germany couldn’t possibly be repaid and everybody knew it. Furthermore, when it was decided to split Germany in two by creating the Polish Corridor, the whole German population was profoundly humiliated. Such decisions were more than enough to set the wheels in motion for WWII.

The Treaty of Versailles definitely indicated the direction in which the City was heading, and very soon the bankers found their mouthpiece, the man who would rally the German crowds. Adolf Hitler was noticed very early on in 1919. In spite of his poor physical condition, he had joined the army in 1914 at age twenty-five. Until then, he had been a poor, lost soul and the war had given him a purpose in life. Private Hitler volunteered his services as a dispatch runner, a very dangerous assignment, and was eventually promoted to the rank of corporal. His comrades thought he was rather weird, for he forever volunteered for the most dangerous missions, facing death repeatedly while remaining unruffled by it all. In 1916, he was wounded in the leg and went on R&R to Berlin where he became thoroughly disgusted with the apathy among German civilians with regards to the war. Upon returning to the front in the last days of the war, he was blinded by chlorine gas and returned to a starving, weary Germany to convalesce. Upon hearing that Germany had been defeated, he became totally despondent, and when he eventually snapped out of it, he was filled with deep hatred vaguely directed at groups within Germany.

In 1919, still in the army, this overly patriotic twit went so far as to inform on his fellow soldiers, and this led to the arrest and even the execution of many of them. The General Staff, embittered by Germany’s defeat and the unjust terms of the armistice, rewarded Hitler by promoting him to undercover agent and sending him on an indoctrination course at the University of Munich. He returned as an “education’ officer, and started speaking out with great vehemence against the Communists. The mysterious Thule Society had taken Hitler under its wing and his fate was sealed.

Hitler swore vengeance on those who had defeated Germany and had put an end to the war, the only worthwhile experience he had ever known. Inexplicably, his ire was directed mostly at the perceived enemies from within Germany, the Communists and the Jewish Marxists. Moreover, Hitler had to have had serious psychological problems in order to advance the idea of a superior race made up of blond, blue-eyed Aryans. This was not a healthy idea to begin with, but it was especially so because Hitler happened to have a swarthy complexion and brown eyes that had most likely been genetically transmitted by a Jewish parent. It’s obvious that someone was manipulating this air brain.

In 1919, Hitler, the intelligence officer, dressed as a civilian in order to spy on a meeting of the German Workers’ Party in Munich. When one of the members suggested that Bavaria separate from Germany and join Austria, it touched a raw nerve in the extremely patriotic Hitler. He couldn’t resist lashing out at the whole gathering in spite of the fact that he was Austrian by birth. Nonetheless, he definitely had the gift of the gab and everybody was impressed. Understandably, the members of the Thule Society were quick to have him join the German Workers’ Party. He may have been uneducated with deep psychological problems, but now, this empty-headed megalomaniac guided by hate and vengeance was in politics.

Hitler was a great talker, but all the ideas he kept expounding over the years were those of the Thule Society. This fraternity consisted of a small group of influential Germans who believed in the superiority of the Aryan race. They were deeply nationalistic and racist and from the very beginning, they had the swastika in their coat of arms. It was Dietrich Eckart, a leading member of that society that helped Hitler hone his public speaking skills. As early as 1919, Hitler had definitely been taken in by the Thule Society, the group that gave birth to the Nazi Party.

At first, the violent methods used to promote Hitler and the German Workers’ Party didn’t have the desired results. They only succeeded in getting the whole country to view Hitler as a silly little man, a sort of bad-tempered clown. Nonetheless, by 1923, Germany was reeling under the effects of inflation, and Hitler’s backers thought the time had come to make their mark by overthrowing the Bavarian Government. However, the Munich Beer Hall Putsch, as it became known, failed and Hitler was arrested. That’s when Hitler’s supporters decided that force alone was not going to work and that it was best to use more politically-correct methods.

Hitler’s public trial lasted several weeks and, for some unknown reason, the authorities let this ridiculous little man flaunt his oratory skills throughout. He apparently seduced many of the judges, for instead of getting life he got five years and was eligible for parole within six months. He served nine months in luxurious quarters and even had a private secretary, Rudolph Hess, who was a member of the Thule Society. That’s when Hitler produced Mein Kampf, a book that could never have been written without the help of Hess, a man who had studied politics at the University of Munich. The writing of Mein Kampf was, without a doubt, a way to spread Thule Society propaganda.

Guided by the members of the Thule Society, and assisted by misfits like Joseph Goebbels, a communications and propaganda genius, Heinrich Himler, a cruel, cold-blooded psychopath, and Adolf Eichmann, a logistics genius, Hitler became Fuhrer in 1934. It’s obvious that the Nazi Party was a very costly machine to operate and only the City, through the Bundesbank and the German arms industry, could have financed such a sophisticated political machine, for Germany was a devastated country. And as the arms industry revved up its production, the economy picked up, and Hitler, now seen as some kind of savior, easily convinced the German people that war was inevitable.

When WWII became official, the German army went around the totally useless French Maginot Line with lightning speed and had the allies surrounded at Dunkirk in a matter of days. One can only wonder why, in an age of air and tank warfare, a great nation such as France had spent so much money in order to build such an outdated structure, one that allowed Hitler to reach the Atlantic in record time. With the allied armies unable to retreat further, Hitler let the troops sail to England, no doubt hoping for a non-aggression pact in compensation for his good deed. However, England was apparently not willing to cooperate. Hitler then figured he might get the English to change their minds if he shook them up a bit. Eventually, the English must have given Hitler some assurances, for the London Blitz ended on May 10th 1941. Convinced that the Western Front was now secure, Hitler immediately turned his attention to the Eastern Front, and invaded Russia on June 22nd, 1941. Just like Napoleon in 1812, who had gone after the gold in the Urals, Hitler wanted to get his hands on something he really needed, the oil in the Caucasus. In both cases, the megalomaniacs’ armies were destroyed, and in both instances, their empires came to an abrupt end. The City tends to repeat what works well.

On December 7th, 1941, shortly after Hitler took off for Russia, the Japanese attacked Pearl Harbor. It seems the City was thinking of China and wanted to destroy the Nippon Empire while having America physically enter WWII. In July of that same year, Congress was encouraged to impose an oil embargo on Japan, and the ensuing kamikaze approach to the war adopted by Japan proved how effective that was. Japan had tried to negotiate with the U.S., but everything possible had been done to have the negotiations fail. The very proud Samurais were thus forced into a suicidal war, hanging on to the hope that an alliance with an apparently victorious Germany would improve their prospects.

If there’s any doubt that America was conned into going to war, a few facts should help dissipate it. Although the U.S. and UK navies controlled the Pacific, and although there was a SCR-270 radar station with a 150-mile range installed in Honolulu, the Japanese were able to have a huge fleet of warships, including aircraft carriers, sail across the Pacific to Hawaii, and then launch squadrons of aircraft without anyone noticing. Furthermore, all the U.S. aircraft carriers had been sent out on sea exercises and only the very outdated WWI battleships and destroyers remained in port. The play became obvious when President Roosevelt, under the guise of protecting the U.S. air force, personally ordered all the military aircraft based at the Honolulu airbase to be positioned in such a configuration as to make them less vulnerable on the ground, but which had, in fact, the effect of preventing them from scrambling effectively. It seems that the City dynasty had simply let Roosevelt know it was time for war.

The City dynasty succeeded in getting the U.S. to join the war at a cost of only 2,390 lives, the number of casualties at Pearl Harbor, a low human toll when considering the mindboggling number of casualties in WWI and WWII. The war in the Pacific got underway as planned and the U.S. declared war on Germany without actually engaging Hitler for another three years. When the American troops did get into the thick of things on D-day, in 1944, Stalin’s troops came in from the east, and the Holy Germanic Empire was totally destroyed. The ancient regimes of Europe were all gone, and the Vatican tiger was now toothless and declawed.

To have some idea which countries the City targeted in WWII, we need only look at the casualty numbers. Russia lost twenty two million soldiers and civilians, while Germany and China suffered losses of eight million and twenty million, respectively. As for the UK, the U.S., and France, they lost around half a million each. We know that the City had wanted to destroy Germany, but why so many Russian casualties? And what was going on in China? For one, Russia had to be seriously weakened if it was to be trusted to play the scarecrow role it was being assigned, and that will be explained in the next posting. In China’s case, the City obviously let the Japanese mangle the Chinese warlords at will, for during the war it supplied China with just enough war materials for it not to capitulate. The City had fully intended to destroy Japan once the Chinese warlords were done in, and the time had come. China was ready to be transformed into the great market economy that it is today.

In 1944, in Bretton Woods, with the world having gone through the grinder, the City bankers convened all the nations of the world and had no difficulty in creating the first official world currency of reference, the U.S. dollar. All the countries of the world agreed to peg their currency to the dollar and use the dollar as a reserve currency. The City had achieved the ultimate in financial wizardry, the paper dollar was now as good as gold worldwide.

42-WWI AND 1929 CRASH

In 1913, with the U.S. Federal Reserve fiat dollar in the bag, the City decided to get rid of what was left of the Holy Roman Empire in Europe. The idea was to create a grandiose market economy just like that of the U.S.A. However, America and Europe are two very different kettles of fish. America was built on virgin land where a few gentle animists roamed, whereas Europe was a built-up hodgepodge of old countries with unique cultures, old money, and long-standing traditions. If Europe was to be, the first step was to transform the ancient regime countries, autocracies run by tsars, kaisers, kings, and sultans, into democracies. That was the only way the continent could be converted into a market economy. Faced with such a complex situation, the City dynasty bankers decided to bulldoze the whole lot and start from scratch.

The three Gorgon sisters, the Reuters, AP and AFP news agencies, used the most basic kind of propaganda to work the nations of the world into a frenzied, anti-German mood. We don’t know when the phrase ‘the war to end all wars’ hit the wires, and we don’t know who was first to utter it, but we do know it was repeated time and time again until it became a war cry around the world. Any good propagandist will agree that once such a phrase is rooted in the popular psyche, very few citizens will dare speak out against it, for war and patriotism are concepts that work well together. Later, when it came time for the U.S. to go to war, President Wilson even created the Committee on Public Information (CPI), an official propaganda and censorship agency.

Archduke Franz Ferdinand was assassinated on June 28, 1914, and without the least indication that Serbia was responsible for the assassination, Emperor Franz Joseph declared war on Serbia on July 28th. On August 4th, the United Kingdom declared war on Germany and by August 12th all the major powers were at war and the first major engagement of WWI, which took the lives of 27,000 French troops, occurred on August 22, 1914. That means that in less than eight weeks after the assassination, all countries had declared war on each other and blood had started flowing. Normally, diplomats talk, gesture, threaten, and make attempts at compromise, especially when dealing with such a banal, international incident. If events unfolded so quickly, it can only mean that the City had let huge amounts of credit flow to the Central Banks of the concerned European countries, who had then directed it to the individual national arms industries. The Currency Laws of 1909 that gave unlimited credit to France and Germany had been a way of doing just that. War is definitely City business. A Serbian citizen assassinates an Austrian duke, a minor world figure, and within weeks, Germany attacks France. Very undisciplined and even reckless behavior!

Though a lot of sane people were violently opposed to the war, the wires kept spewing out the “war to end all wars” propaganda to the point where it became unsafe to challenge it. Almost twenty million people were killed because an unknown world figure was assassinated by an unknown anarchist, the international scare word in vogue at the time. All the great statesmen of the world went berserk and made the worst kinds of decisions with lightning speed and on cue. WWI was well-planned indeed.

In 1914, Germany, not known to be a great seafaring nation, became the new mistress of the seas overnight. It produced submarines like bratwurst and controlled the North Atlantic shipping lanes by sinking everything in sight. Germany somehow overpowered both the English and American navies, the two greatest navies of the day. After the sinking of the Lusitania, in 1915, the American cry for retaliation grew louder. In 1917, President Wilson signed the CPI, committee on public information, into law. The City was ready to have America join the fray.

WWI was played out like a chess game in which the City moved the pieces on both sides of the board like it had with Wellington and Napoleon, and with the North and South during the American Civil War. However, in the case of WW1, something went terribly wrong and it had to be stopped. It came to an abrupt end just as it had started. When, in October 1918, the Americans and their allies breached the Siegfried Line, which is in France, not Germany, the Germans stopped fighting. The Central Powers just rolled over and immediately signed the Armistice on November 11th, 1918. The Allies didn’t even push the invaders back into Germany. The victorious Allies just seemed to say, “Okay, guys. It’s over. You can go home now.”

However, if we look at it from the City’s point of view, it was a very different story. By the time the Armistice was signed, the Tsar had been executed and the Bolsheviks had taken over, and that meant that the Russian Empire no longer existed and that the City controlled the Urals gold and the Baku oil. As for the Austro-Hungarian and Ottoman Empires, they had been on life support before the war and after being battered about by the Italians, Russians, and British, they just broke into pieces. Moreover, since the British had established a strong military presence in Baghdad, Jerusalem, and Cairo, the whole Middle East oil patch was under lock and key. But the goal had not been entirely achieved, for the Holy German Empire was still standing, and we’ll see a little later how the City took another kick at the can in 1939.

In the meantime, the City took advantage of the twenty-year pause between the two World Wars to advance its agenda and perpetrate the 1929 market crash. Like in all market manipulations, the City bankers made all the wrong decisions in order to create a major market bubble, and when they felt the time was right, they burst it and pretended to fix things by again making all the wrong decisions. The 1929 financial tsunami was really about destroying the British pound as a world reserve currency and crowning the dollar. As of 1913, the City had two major world currencies on hand, and one had to go. It came as no surprise when the dollar was chosen as the world fiat reserve currency in Bretton Woods, in 1944.

After WWI, America was the greatest market economy in the world, and most of Europe, especially Britain, overtly started buying into the American dream. As UK gold purportedly flowed into the US, the market bubble grew, and when it burst, the world was told that the English gold reserves were depleted. In reality, since the City controlled both countries’ monetary systems, physical gold didn’t have to be moved, it only had to appear to do so. Everyone could see that England was investing heavily in America, and after the crash, the three Gorgon sisters simply told the world that the pound was no longer adequately backed by gold, and confidence in the hallowed currency eroded. It was a rather easy tour de main, for the City and the FED have never been audited by an independent external accounting firm.

At the end of the day, the Market Crash of 1929 had been a Machiavellian way of establishing international dollar supremacy by making it appear to be the result of legitimate business transactions in a free-market economy. The City depends on the democratic process for its very survival and it’s paramount to maintain the illusion of empowerment of the people, and smoke and mirror tactics are useful. The only question that needs to be asked is whether the number of casualties caused by the French Revolution, the American Civil War, WWI, the Great Crash, and WWII, was a justified price for the life we enjoy today?

41-CONSPIRACY AND CONTROL

When we became intelligent some three million years ago, we became badly behaved monkeys because we were now able to consciously cover-up or vent our dastardly monkey penchants to varying greater degrees. Thereafter, there was ever increasing violence and abuse within the specie. Fortunately, in 325 CE, a group of good men decided to create a very effective religion, one meant to control man’s behavior by instilling the fear of God in him. That religion, Christianity, invaded the infrastructure of the Western Roman Empire like a hermit crab. Once established with its network of kings, it forced all the citizens of the empire to adopt the Nicene Creed. It ruled by diplomacy and fear of God, and when that didn’t work, it used threats of excommunication, wars, crusades, and inquisitions, very unrefined methods indeed. The official religion was not only intolerant and exclusive, but was opposed to the spread of knowledge because it was created on the assumption that poverty was godly, and that science was the work of the devil. Its finances were based on tithing, and deeding by those who wanted to buy their way into heaven after death. It was a haphazard but boundless source of revenue, and corruption set in. The Vatican ruled very inefficiently. Not surprisingly, along the way, it created two deadly enemies, the Jews and Huguenots (French Protestants). Those two enemies joined forces in London in 1600, but finding more tolerant political conditions in Amsterdam, they established their headquarters there in 1602. Under the guise of the East India Company, they ruled the oceans of the world for nearly a century. As soon as it became feasible, in 1688, they established their head office in the City in London where they created the first democracy.

In 1694, the East India Company created the Bank of England, a financial oligarchy that now ruled the oceans out of the City in London instead of Amsterdam. The bankers were determined to turn the world into one great market economy, an English one, of course. That short-sightedness was what allowed Mayer to create the Bank of North America in 1781, and his son to take over the Bank of England in 1810. Mayer’s far-sightedness gave us international finance, a system where different market economies, or democracies, freely trade with each other. Mayer’s dynasty had the added advantage of not only speaking with one voice, but by creating the world of credit, it created a world where the humblest of men were free to prosper.

When a democracy is created like the ones in England and later in America, a lot of R&D credit flows in, production of goods and services increases along with the standard of living. At first, the supply of credit is enough to keep things running smoothly, for people have jobs and dream of getting rich. As long as the people feel empowered, the controlling financial power doesn’t have to meddle with public opinion to any great extent.

Credit is the most sophisticated and cleanest method of control, and more importantly, it’s always in great demand. The credit machine could be compared to a water pumping system where the big water reservoir has been replaced by a hundred thousand tons of gold stockpiled somewhere like the City. From that reservoir, the gold is magically transformed into paper dollars before being sent on their way. The added magic in this operation is that no matter how many dollars are printed, the stockpile of gold never decreases, quite the opposite, it is meant to increase in size as more gold is mined and bought up. Today, the good as gold dollars, paper or electronic, flow to the central bank of each country as well as the multiple world organizations such as the United Nations, Unesco, World Bank etc. These are connected to smaller pipelines going down to industries and individuals in the form of loans, and to the man on the street in the form of a salary. On each pipeline there is a tap that controls the output, the tap being the interest rate. If the City wants a country or a multinational to shape up, it gets Standard and Poor’s or some other mysterious entity to let the Gorgon Sisters, Reuters, AP or AFP, tell the world that their credit is no good. Then the NYSE, the first domino in a long chain of dominoes, falls in the desired direction, thus starting a chain reaction. The dominoes are the ‘suits’, politicians, traders, professors and journalists, who are never told what to do or say, but know exactly what the one who pays their salary wants, and act accordingly. No matter how many dominoes there are in a given sequence, they all fall in the direction initiated by the original domino, and if one domino does not comply, it is simply replaced or bypassed, and the chain restarted. All people who receive a salary are manipulated, and that includes everybody right up to the President, but no one would ever admit to it, even if he were aware of it, for that would undermine his self-image.

Credit control works extremely well, but when drastic action like war is needed, the people must be made to believe that it’s necessary and to not question it. Credit control depends on democracy, and democracy depends on the empowerment of the people. People have to be made to believe they are the ones deciding or democracy can’t work. In the good old Holy Roman Empire days, the clergy used very crude ways to impose its will, as mentioned earlier, but Mayer’s dynasty in the City has always used more sophisticated controls such as free speech, job creation, and media feed in order to sway public opinion, although, in dire cases, it doesn’t hesitate to perpetrate a Pearl Harbor or a 9/11.

Since empowerment comes largely with the creation of jobs, when war is being planned, huge sums of credit are injected to fuel the arms industry, creating a lot of employment and making a lot of people happy in the process. Then comes the hard part, swaying public opinion. The media, ‘the voice of the people’, starts the free speech brainwashing process with the help of the Gorgon Sisters. Those who speak for the war are good patriots and good leaders while those who oppose the war and question the facts leading up to it are quickly branded conspirators. The Gorgon sisters freely let conspiracy theories flow into the media, while countering them by having a number of respected ‘suits’ defend the City’s point of view that has become that of their government. People eventually become blasé to conspiracy, to the point where every time they hear the word, they switch off. Honest citizens don’t listen to those nuts, they trust their elected leaders, no matter how nutty they are.

In 1913, the Federal Reserve Act was signed into law, and Hollywood had started sending pictures depicting the greatness of democracy around the world. The dollar was becoming as good as gold, and thanks to Hollywood and the media, the image was becoming the message. On the one hand, Mayer’s dynasty controlled the dollar and many currencies tied to it, and therefore unofficially ruled the financial world, and on the other, the ‘land of the free’, or the ‘land of opportunity’, became everyone’s ideal on both sides of the Atlantic and beyond. Every able bodied person wanted to come to America or be like Americans. Those two developments opened wide the door to globalization.

Today, Marshall McLuhan’s sayings such as ‘the image is the message’ and ‘the global village’ have become realities. Hollywood followed by TV, the internet, and the smartphone gave us an image oriented society and virtually empowered us. But as incomes grew, people had more leisure time on their hands, and that meant the Gorgon Sisters had to play an ever greater role in filling the vacuum. In the beginning, politics, religion, sports, and media feed, whether information or misinformation, were sufficient to keep everybody focused.

However, the citizen needed ever more direction, and that’s when the crop concept became entrenched. The old overpowering control, the one based on the fear of God and the threat of damnation, no longer sufficed. Since humans are genetically conditioned to live with fear, it is very easy to condition them to forever expect dread, as long as they are convinced that their leaders will save them if and when disaster strikes. In fact, it is a simple control, very much like a riding crop used to make horses do what they are meant to do. A horse would not be worth his salt if it didn’t do what its owner wanted it to do. First it is broken in, then the crop remains in order to remind the horse what’s expected of him. A good owner will never hit the horse with the crop, but will make sure the horse is aware of it. In a democracy, people may have the illusion of being free and empowered, but they react to credit and media just like the horse to the crop. Instilling fear into a population must go hand in hand with the assurance of being protected. People may complain, and that is useful in keeping their minds busy, but they must trust the crop holder, or it doesn’t work.

Fear comes with names like Hitler, Khomeini and Bin Laden, and words like anarchists, Marxists, communists, fascists, terrorists, ISIS, Al Qaeda and Dahesh, names and words that were and are repeated in the media thousands of times each day throughout the world. From atop his elevator shoes, the leader of North Korea threatens to blow up the whole world, and we tremble. And though the five permanent Security Council members, America, Russia, England, France and China have never fired a shot at each other, we fear Russia to this very day. The banking dynasty in the City created the Permanent Security Council and controls all the central banks of the world, yet we still fear being annihilated by an atomic bomb coming from Russia, and even North Korea, as ludicrous as that is. The Gorgon Sisters know how and when to brandish the crop, and by sending images of terrorist attacks, along with ridiculous military parades and the lighting of wet firecrackers out of North Korea, they make us tremble. As we watch people walking around with their phones, we could say that we are hardwired to the international news agencies.

Two great examples of the way the crop is used have to do with airport security checks and the climate change debate. Anybody who has a million dollars can hijack or bomb a plane anytime, anywhere in the world, and any professional killer can use a plastic card in his wallet, or the plastic food utensils on board, to kill or threaten to kill anybody at will. As for security checks per se, if people are asked to remove their belts, it is simply a symbolic way to have the middle class of the world, the flying population, drop their pants, for it serves absolutely no other purpose. The only valid control at the airport is the metal detector in order to stop the crazies who may be tempted to carry a knife or a gun. As for climate change, it is a reality, but not for the reasons the Gorgon Sisters give. The reality is that we’re on the warming leg of a glacial cycle, and the overproduction of CO2 is irrelevant. But, like with the horse, we put all our trust in the crop holder, and the more the crop is brandished, the more we walk the line.

40-THE FED

In 1768, Haym Salomon, Mayer’s right hand man in America, with the help of another great collaborator, Robert Morris, took charge of the French gold given as an aid package to America and created the Bank of North America in 1781. That sealed the destiny of America, and what a great one it turned out to be.

In 1791, the official and officious stockholders met in Philadelphia to choose board members and decide on rules and regulations for the 1st Bank of the United States. While the Bank was to be headquartered in Philadelphia, it created eight branches, four in Baltimore, Boston, Charleston, and New York in 1792, and four more in Norfolk (1800), Washington (1802), Savannah (1802) and New Orleans (1805).

Its largest customer was the government, and one of the highlights of that relationship was the Bank’s efficient managing of the government’s fiscal affairs with respect to the Louisiana Purchase in 1803. The bank’s notes circulated countrywide and infused a safe medium of paper money into the economy for business transactions. Although the relationship between Mayer’s bank and the government wouldn’t always be a smooth one, due to those who didn’t want a strong Federal Government and who thought bankers were crooks, it would remain steadfast, today’s Federal Reserve Bank being the ultimate proof.

Nonetheless, in 1811, American politicians who opposed Mayer’s bank refused to renew the charter of the 1st Bank of the United States. In retaliation, Nathan, who had by now taken control of the Bank of England in the City, proceeded to ‘teach the impudent Americans a lesson’ by forcing them, in 1812, to wage a costly war. Shortly after the British troops burned down the President’s Residence in 1815, Congress signed a 20-year charter for the 2nd Bank of the United States in 1816, and the latter immediately proceeded to open 26 branches across the country.

 

Augusta, Georgia (1817, closed 1817) – Baltimore, Maryland (1817)

Boston, Massachusetts (1817) – Charleston, South Carolina (1817)

Chillicothe, Ohio (1817) – Cincinnati, Ohio (1817)

Fayetteville, North Carolina (1817) – Lexington, Kentucky (1817)

Louisville, Kentucky (1817) – Middletown, Connecticut (1817)

New Orleans, Louisiana (1817) – New York City (1817)

Norfolk, Virginia (1817) – Portsmouth, New Hampshire (1817)

Providence, Rhode Island (1817) – Richmond, Virginia (1817)

Savannah, Georgia (1817) – Washington, D.C. (1817)

Mobile, Alabama (1826) – Nashville, Tennessee (1827)

Portland, Maine (1828) – Buffalo, New York (1829)

St. Louis, Missouri (1829) – Burlington, Vermont (1830)

Utica, New York (1830) – Natchez, Mississippi (1830)

 

Members of Congress again refused to renew the bank’s charter in 1836, but by this time it didn’t matter. Though the 2nd Bank of the United States was no longer the official national bank, its branches were still very much operational while everyone fought for wealth and position in the new states being created. All the shinplaster money issued by the state banks didn’t in the least affect the banks that constituted the backbone of American finance, the ex-2nd Bank branches. The ex-2nd Bank continued to work as a unit using the dollar that continued to be fixed to the price of gold in the City. It was a standard that the country could depend on, and all the funny money printing state banks had no choice but to stay within range of that standard. So, industrial America developed by leaps and bounds in spite of the Wildcat Banking years.

In the 1860’s, coast to coast railway travel was no longer just a dream, and it was time to bring the south into the Manifest Destiny project, for it had remained completely out of sync with the rest of the country. That’s when huge amounts of credit started coming into the country from the City and its affiliates in Holland and Germany. The cotton economy was on the wane, and the political and financial pressures on the south were great. Pushed to the wall, the south’s only option was to secede, which it did, but the war that ensued completely destroyed it. Thereafter, the carpetbaggers loaded with cash revamped the south, railroads were built in a frenzy from coast to coast, and Congress, tired of financial bedlam, signed the National Bank Act in 1863. During the war, Congress had had no choice but to seek loans from the well-established national banking network, and at the first opportunity, it re-instated the dollar as the national currency. The Bank of North America, a voluntary misnomer on my part, and the Bank of England have been welded together since 1810, and although businessmen and politicians still don’t face up to the reality of international financial control by the City, and though they distrust bankers, they just know it is the most reliable and sound financial arrangement possible.

In 1913, the Federal Reserve Bank was created by Congress. Its shareholders were the Rothschild Bank in the City, in London, the Lazard Brothers Bank of Paris, the Israel Moses Seif Bank in Italy, the Warburg Bank of Hamburg and Amsterdam, the Lehman Brothers of NY, the Kuhn, Loeb Bank of NY, the Goldman, Sachs of NY, the National Bank of Commerce /Morgan Guaranty Trust of NY, the William and David Rockefeller & Chase National Bank of NY. All these banks were privately owned and tied to the huge quantities of gold bullion that Mayer’s banking dynasty in the City had accumulated.

Democracy is a system whereby elected representatives of the people borrow from the private central bank of their country. The system has worked flawlessly since 1694, giving mankind order and prosperity in the process. However, we should be especially grateful to Mayer who created the Bank of North America in 1781 and established international banking. He did it by accumulating gold bullion in great quantity and in complete anonymity, and then putting it to good use by just letting it sit in a neat static pile for all time.

39-BOER WARS

 

The story of the City in London is all about gold. Mayer was the founder of international banking because he was the first banker to use gold as it was meant to be used. According to him, gold was not meant to be spent, it was meant to be mined, purchased, and then stockpiled in a secure location for all time. The one who had most of the gold ever mined, could easily control any monetary system at hand. Mayer started the Bank of America in 1781 with around 500 metric tons of French gold. After his real estate scam in France starting in 1789, he managed to funnel another 5000 tons of French gold to the City. In 1810, his son was setting the daily price of gold worldwide from his offices in the City. Nathan had perhaps as much as 7000 metric tons of gold under his control, close to half the gold ever produced at that time. He held most of England’s debt, and was effectively in charge of the English monetary system.

In 1812, Nathan sent Napoleon to Russia in order to force the Tsar to let private interests mine for gold in the Urals, which was a determining moment in our history. Thanks to the French engineers from l’École des Mines de Paris, placer deposit gold mining techniques were refined, and the City focused its attention on gold production.

There was the California gold rush of 1848, and when hard rock mining was made possible in the 1880’s, gold production skyrocketed. Paper money went to the miner, and gold went to the one who printed the paper, the City. As gold was stockpiled by the City, the paper it backed, whether in America or England, became as good as gold. There have never been losers, for the miners get paid the world price set in the City, and Mayer’s dynasty stockpiles the gold and creates more credit.

The total production of gold to date is estimated at around 200000 metric tons. The gold used in jewellery, industry, and dentistry, combined with the token amounts of gold on display in the various Central Banks of Germany, Italy, France, USA, China, Russia etc., probably accounts for around 75000 metric tons. When all is said and done, most gold is held in the form of ETF’s, Exchange-Traded Funds, and though it is impossible to know, there’s at least 100000 metric tons of gold bullion unaccounted for and stockpiled somewhere.

The Boer Wars are forgotten wars, but if one analyzes and correlates the dates and circumstances surrounding the discovery of gold and diamonds in South Africa and the wars that were fought in that country, it becomes clear that they were all about controlling the production of those two precious commodities. In 1879, the British had managed to put an end to the Zulu military might, and in 1880, had declared the South African Republic to be an English possession. But in 1881, the Boers, mainly Dutch white settlers, badly defeated the British troops and forced them to go home. In 1899, this time, with the help of several Commonwealth countries, Britain came back to fight the Boers, and after heavy casualties on all sides, Commonwealth, African and Boer, the British finally prevailed in 1902. The British unilaterally changed the name of South African Republic to Union of South Africa in 1909, while declaring it to be a dominion of the British Empire. Since then, South Africa has produced a disproportionate percentage of the world’s gold, along with most of its diamonds, and continues to do s

38-CITY OF LIGHTS

In France, in 1804, when the Civil Code was rammed through, non-elected Prefects answered directly to the central authority in Paris and ran their departments with the help of the dreaded Fouché police. After Napoleon was sent to St. Helens, Nathan in the City had taken a wait and see attitude in order to determine whether or not a constitutional monarchy was possible for France. Louis XVIII had a go at it, followed by Charles X and Louis-Philippe d’Orléans. Those three monarchies created a lot of turmoil, especially the one headed by Louis-Philippe. When Nathan died in 1836, France was still being plagued by insurrections, and his son Lionel decided to put the French constitutional monarchy matter to rest. Putting a stop to so much unrest in a country Mayer’s family loved, and to which it was so beholding, was the only decent thing to do. Lionel decided to turn Paris into the City of Lights, and give France stability by enshrining the centralist state put in place by Napoleon.

The 500 tons of gold sent as an aid package to America in 1768 had been used by Mayer to open the Bank of North America, and the roughly 5000 tons of French gold generated by the real estate scam in 1789 and stored in the Goldsmid Bros. vaults in the City, had been used by Nathan to take over the Bank of England. Lionel, as head of the family dynasty, controlled the monetary systems of America, England and most of Europe, and he personally wanted to do something for France. This country had given a lot to his family and the world, and yet had been devastated just because it happened to be the cornerstone of the Holy Roman Empire. Things had to be put right.

Adolphe Thiers was an active French political figure from 1825 to 1875, and no doubt worked for the City from the very beginning. After helping to bring down Charles X in 1830, he supported the Orléanist Louis-Philippe and had him elected with Lafayette’s help. The third attempt at Constitutional Monarchy failed miserably, and seeing the insurrections continue, Lionel decided that enough was enough. In 1840, he had Thiers build his infamous wall, and in 1848, he had him support Louis-Napoleon, a Bonapartist, who was easily elected with the help of Victor Hugo.

As of 1840, mindboggling amounts of credit were made available to Thiers to get the wall built around Paris. In 1844, Adolphe Thiers and Baron Haussmann, the Paris Prefect, started levelling whole sections of the city to make wide avenues that would, among other things, facilitate the movement of troops within the city. It included the demolition of crowded and unhealthy medieval neighborhoods, the building of wide avenues, parks and squares, the annexation of the suburbs surrounding Paris, the construction of new sewers, fountains and aqueducts, and row upon row of the most beautifully designed residential buildings in the world. Since gas used for lighting was now accessible throughout the city, Paris became known as the City of Lights. One could ask, however, why they had surrounded Paris with an impregnable thirty-three-kilometer wall bordered by a 250 meter strip of no-man’s land and a huge embankment, and defended by sixteen fort cities that were part of that wall?

It obviously meant there was a bigger Machiavellian plan. In fact, as beautiful as Paris had become, the fortifications had turned Paris into a fishbowl that was meant to contain the Fédérés. When the time came, they would round up the Fédérés and their families and send them into exile to New Caledonia, thereby removing a major political obstructionist force. Although the Fédérés were true democrats, like none before or since, and as appealing as it is in theory, true democracy can’t possibly work. Human nature simply won’t allow it. The only type of democracy possible is one where the monetary system is run by private interests.

If France was to be stabilized, the Royalists, the Fédérés and the Republicans had to be dealt with and put under one administrative roof. The period from 1789 to 1840 had proven that the three groups would never achieve this on their own. The only solution was to enforce the centralist state concept that Napoleon had obligingly put in place in 1804, and have the population elect a new president in rotating fashion for a determined period.

So when the City of Lights was more or less completed in 1870, it was time to get rid of the Fédérés. Louis-Napoleon made the most stupid decision imaginable by declaring war on Prussia over an insignificant diplomatic incident. Even more bizarre, he wasn’t the one who attacked Bismarck, it was Bismarck who attacked him. After the preordained defeat, Louis-Napoleon fled the country, and Thiers, the self-proclaimed head of government, transferred his whole administration to Versailles, and surprisingly came up with the colossal sum of money needed to buy back the 100,000 French prisoners from Bismarck. Surprisingly, it wasn’t Bismarck who marched on Paris, it was Thiers with those same French prisoners. The idea was to surround and imprison the members of the Commune before sending them off into exile, but things didn’t work out as planned. The Fédérés put up too strong a resistance, and Thiers felt the need to commit the worst atrocities. Tens of thousands of Fédérés, including women and children, were executed, while perhaps twice as many were imprisoned under atrocious conditions where many died. Thiers did succeed in exiling thousands of Fédérés to New Caledonia, and although it marked the end of the Fédérés, the Paris Commune remains one of the worst blood baths in history.

On January 3rd, 1875, Henri Wallon tabled an amendment proposing that the President of the Republic be elected by an absolute majority in both the Senate and the House of Representatives for a renewable seven-year period. It became known as the Constitutional Laws of 1875 which officially turned France into a centralist state. Thiers, who had been chosen as the 1st President, conveniently resigned, and Patrice MacMahon, a catholic aristocrat who was neither monarchist nor republican, was elected to succeed him. The wall that had cost countless billions to build was torn down, and the Stockholm syndrome kicked in. The French have since put their trust in one man, their President. They trust l’État more than they do their fellow citizens, and not surprisingly, the people’s Assembly is full of duly-elected mayors and regional presidents, all bona fide civil servants who answer to their Prefect, who in turn answers directly to the President. They elect a president, a “father knows best” figure, and he somehow becomes l’État

37-JAPAN/CHINA 1853, INDIA 1858

The East India Company established company rule in India in 1757, and it lasted till 1858. In 1857, after a major rebellion in which over 100 000 Indians were killed, Lionel, Mayer’s grandson, decided to dissolve the East India Company and put an end to the Maharajahs’ power by establishing the British Raj or Crown rule which lasted till 1947.

In 1930, Mohandas Ghandi led a revolt that galvanized the country, but it was short-lived. Nevertheless, after many subsequent years of haggling in the halls of power, both in India and London, it was agreed, in 1947, that two republics should be created, that of Pakistan (mainly Muslim) and that of India (mainly Hindu). That agreement later caused more religious tensions and more bloodshed, but nonetheless, there was an Indian general election in 1951. The Indian National Congress won a landslide victory, at which time Jawaharlal Nehru became the first democratically elected Prime Minister of the country. Religious tension remained high, but politically, India and Pakistan were working democracies and would never look back.

China, on the other hand, was a much more complicated matter. It was the biggest, most populated country in the world, but it had no permanent borders, no army, no national identity, no national pride, no economy to speak of, and was ruled by warlords. So, in 1947, with India on the verge of becoming a democracy and Europe on the verge of signing the Treaty of Rome, it was time to transform China into the world’s second largest market economy.

It was Lionel who had started the process way back in 1853 when he decided to use Japan, a country that was totally isolated from the west, to do his bidding. That year, American Commodore Matthew Perry sailed into Edo (Tokyo) Bay with four battleships, two of which were powered by steam. The Japanese marveled at this awesome technology that was totally unknown to them. However, their admiration would have been tempered if they had known that this impromptu visit was meant to usher in the end of an era, the Tokugawa shogunate.

In 1854, the Convention of Kanagawa was signed forcing the Japanese to open their ports and trade with the U.S. In 1868, the City financed the Meiji restoration, a political movement that gave Japan a constitutional monarchy, which meant that the City now controlled its monetary system and could allow credit to flow in. The Meiji restoration ushered in modernization and westernization, and as expected, the Japanese played the game of fukoku kyokei, a game that turned their country into a rich and powerful military power. Japan’s power grew, and the proud Samurais, not satisfied with their colonial status, developed a warring culture that would spread beyond its borders.

However, Japan had no raw materials to speak of and was dependent on the US for oil, rubber, and iron. In other words, it was vulnerable, and could easily be controlled. Japan was encouraged to expand and become the most important military and economic power in Asia. It grabbed Manchuria, Taiwan, and parts of Northern China in 1894, defeated Russia in 1904, and took possession of Korea in 1910. By 1929, it was an empire, and its expansionism knew no bounds. When Emperor Hirohito defied America by refusing to retreat from China, the US turned a blind eye and didn’t retaliate. Instead, the US slowed down the flow of raw materials for the world to see, but not enough to stop Showa expansionism. Japan had a job to do, and that was to clean up the warlords in China.

WWII was the time chosen to destroy the Japanese empire that had by then finished its work in China. The City then proceeded to the next step, which was securing China’s borders. China had Russia and Mongolia to the north, the Himalayas to the west and the Pacific Ocean to the east, but the South China Sea border had several vulnerable openings. England had returned and occupied Hong Kong after the war, in 1949 Chiang Kai-shek was in charge of Taiwan, and in 1950, after a longer than expected war, North Korea became a buffer zone between China and Japan. After the Indochina war that led to the creation of a nationalist Vietnamese government in 1975, the southern Chinese border was sealed. However, for good measure, in the 1970’s, the City allowed both Pakistan and India to develop the nuclear bomb. China was now effectively contained, and the process of unification could continue.

As early as 1934, the City had found the man who would help get the job done. Mao Tse-tung had caught the City’s attention when he was elected Chairman of the Soviet Republic of China, which, at the time, consisted only of a small communist controlled mountainous area in Jangxi province. The City started financing Mao after his famous Long March in 1935 when he evaded the Nationalist troops at the head of some eight thousand men, becoming a Chinese hero in the process. With financial help, Mao Tse-tung went on to fight Chiang Kai-shek’s Nationalists and in 1949, the Nationalists were forced to retreat to Taiwan, and Mao became President of the People’s Republic of China. From 1949 to 1958, Mao organized the peasants into collectives. He followed that up with his disastrous Great Leap Forward in 1958, when at least twenty million Chinese peasants starved to death. It was only after the purges of the Cultural Revolution, when the Red Guards went through China with a fine-tooth comb waving the Little Red Book and forcing everybody to follow the party line that the country started responding to one authority: Mao’s Communist Party. Now that China was united, it was time to turn it into a market economy.

The City was so confident that China would turn out the way it did, that immediately after WWII, in 1945, it gave China a permanent seat in the UN Security Council along with France, Russia, U.S.A., and the UK. In 1964, it allowed it to join the nuclear club, and in 1980 it opened the first of several Special Economic Zones in Shanghai.