KNOW HOW WE GOT HERE, AND KNOW INNER PEACE
PART III – How the City became the head office of international finance
In 1789, upon hearing that Benjamin was feeling poorly, Mayer decided to go to America with his three teenage sons, Amschel, Salomon and Nathan. The last time he had travelled to the new world was in 1785, following Haym’s death. On this trip, he wanted the boys to get a feeling for this wondrous new country, but above all, he wanted the boys to meet Benjamin Franklin. Unfortunately, Benjamin being old and in poor health, they arrived too late.
But business went on. Mayer met with Moses Hayes in Boston, Ephraim Hart in New York and the Gratz Brothers in Philadelphia. Robert Morris who had done such a superb job as head of the Bank of North America and Superintendent of Finance had passed on the torch to his young protégé, Alexander Hamilton, who was now Secretary of the Treasury. Alexander was a true prodigy and was handling the young nation’s finances brilliantly. When Mayer met with Robert Morris, he told him how satisfied he was with their work and that he was henceforth free to use his own good judgment in the running of the country’s finance. Of course, Robert was expected to consult with Alexander, Moses, Ephraim and the Gratz Brothers if urgent matters came up, and directly with Mayer in Frankfurt if he deemed it necessary.
He then met with Washington in his magnificent renovated Mount Vernon estate and congratulated him on his election victory. He assured him that since trade and commerce was developing at breakneck speed, he and his political supporters would continue receiving unlimited funding in order to carry out their mandates as they saw fit.
Next, he met with Alexander Hamilton and congratulated him on getting George Washington elected. He also told him how impressed he was with the work he and Robert Morris were doing. He then brought up the subject of the Bank of North America charter that was expiring in 1791. Hamilton was way ahead of him on that one, for a first draft of the 1st Bank of the United States of America charter that was to run for another twenty years was already being circulated and was meeting with very little opposition. Mayer was indeed impressed by this young man.
The states were developing by leaps and bounds, Mayer’s people were rich and getting richer, and his bank’s charter was about to be renewed for another twenty years. There was absolutely nothing for Mayer to worry about. He always treated his collaborators as equals, and always made sure they had enough money to reach any goal or satisfy any whim without their having to ask Mayer. People don’t necessarily like being on a string, but severing a link to such bounty is unthinkable, especially when it’s so easy to forget the string exists. One thing was certain, America and his bank could look forward to twenty years of peace and prosperity.
The only matter that needed immediate attention was getting permanent residences for the President and Congress. Mayer agreed that having the federal capital at the head of the Potomac River was the best choice since the area was slightly in the southern portion of the new nation, and strategically well-protected. Having an executive building for the President and his staff separate from that of the people’s representatives was deemed important as well. However, although the constitution, drafted by Hamilton, Madison, and Jefferson who had just come back from Paris, had been submitted the year before, some states were still holding back. Nonetheless, Alexander was certain the US Constitution and the Compromise of 1790 would be accepted, and would lead the way in the creation of a strong federal state.
Before setting sail for the trip home, Mayer and his boys decided it would be a good idea to go by way of Paris, in order to see what was happening in France. Mayer was anxious to know how much gold bullion his real estate operations were generating. When they arrived in Amsterdam, they took a Thurn and Taxis mail coach in order to avoid problems with the French authorities. Mayer had written ahead to David Schiff, Moses Montefiore, Gabriel Julien Ouvrard, and the Goldsmid Bros. convening them to a meeting in Paris.
The meeting took place in Gabriel’s mansion in Paris, and since it wasn’t a good idea to display wealth at that time, they kept the meeting low key which suited everybody. Mayer and the boys listened with the greatest attention as they were briefed on the state of the real estate sales and on the latest developments of the ongoing revolution.
The counterfeit assignats printed by Johannot were being circulated undetected, and Ouvrard’s agents, Huguenots working out of the lodges of the Grand Orient of France, were having no trouble buying the prodigious properties as they were put up on the auction block. Ouvrard and his agents flipped the properties to anxiously waiting French buyers with the help of Cambacérès’ law firm that was always on hand to do the necessary legal work. The word had gotten around that gold could be used to buy the properties at a reduced price, and the wealthy buyers were queuing up. For instance, if a buyer personally purchased confiscated Church property at auction, he had to use assignats which he had to buy at face value from the government. By purchasing a property worth a 100 million pounds at auction, he needed to buy 100 million pounds’ worth of assignats at face value. But if he bought the same property from Ouvrard, he would only need to have 50 million pounds in gold.
As the sales were completed, Ouvrard had the gold transported to Paris by Thurn and Taxis. The gold was then shipped down the Seine to Le Havre where a waiting Baring ship from the East India Company took it to London where it was deposited in the Goldsmid Bros. vaults in the City. Montefiore in London made sure everything went smoothly at that end. So far, there had been no hitches and the elite group assembled in Paris didn’t foresee any. Mayer’s boys were in admiration of their father who had set up such a marvelous scam where no one was harmed that hadn’t been already.
Mayer and the three boys left Paris in good spirits, except for Nathan who was complaining about not being allowed to go and witness the demolition of the Bastille prison. In order to humor Nathan, Mayer talked about plans for the family as it pertained to London. Soon, he would need to have one of his sons take charge of family affairs in the City. It was a foregone conclusion that Amschel, the eldest son, would be the future head of the family and remain in charge in Frankfurt, and that Salomon was to go to Vienna to supervise the massive banking operations in the loosely united Holy German Empire. As for London, since Nathan spoke English best, he would be sent to the City when he reached 21. That definitely took Nathan’s mind off the Bastille.
When Mayer got back to Frankfurt, the first thing he did was sit down with his wife Gutle and acquaint her with the latest American and French developments. All was going as planned in America, and there wasn’t much to add to what she already knew. Though Benjamin’s passing had been deeply felt by Mayer, business carried on as usual. The 1st Bank of the USA was about to receive a 20-year charter, and the buildings housing the President and Congress were to be built at the head of the Potomac River. With Morris and Hamilton at the helm, things were going fabulously well.
In France, however, it was another matter. The year before, in 1789, the Illuminati had financed a meeting of provincial representatives who had been either named or elected in order to draw up lists of grievances in view of bringing them to the King’s attention. When they congregated in Versailles, the clergy and nobility refused to sit in the same room with them, and the King cancelled the meeting. Mirabeau, a great orator, then convinced the people’s representatives to hold a meeting of their own. Naturally, when they declared their body to be the official government of France, the King sent in the National Guard to disband them. Mirabeau then seized the moment, stood up to the sergeants, and the assembly refused to disperse.
Planned famines continued to undermine major French cities, and the Illuminati were using the Palais Royal, the Paris residence of the King’s cousin, the Grand Master of the Orient of France, Louis Philippe d’Orléans, as their center of operations. The courtyard was a meeting place for all the hotheads, lowlifes and unsavory characters attracted by the firebrand speeches. In July of that year, a throng assembled in the courtyard, fired up by the speeches, went and stormed the Bastille, the much hated royal prison. The prison governor was decapitated and his head was paraded through the streets of Paris.
A few weeks later a procession of very odd masculine ladies accompanied by Lafayette’s National Guard went to fetch the royal family in Versailles. Oddly, the royals were brought back to Paris without any intervention on the part of Lafayette and his guard. The royals were put under house arrest, and the newly formed National Constituent Assembly had followed them to Les Tuileries in order to be at the center of power. Because the National Assembly had no source of revenue, its members immediately voted to confiscate and sell church property as planned. They voted to have assignats printed and sold for hard currency, and only those with assignats were to be allowed to buy the confiscated Church property put up at auction throughout France.
When the auctions got going Ouvrard’s agents were already in place and Johannot’s high quality counterfeit bills were being circulated. A number of prestigious properties had already been bought. Ouvrard’s agents having unlimited amounts of assignats had no problem outbidding the French who were quite willing to wait and buy the properties for gold at a discounted price. Ouvrard was directed to ship the gold bullion to the Goldsmid Bros. in the City, in London. Francis Baring, the Chairman of the East India Company in Amsterdam, was charged with conveying the bullion to the Goldsmids, and always had a ship at the ready in Le Havre. The Goldmids were soon the most powerful bankers in England.
Gutle was greatly troubled by the counterfeiting operations, but was happy to hear that the bullion was being stockpiled in the City, as planned by Mayer. She was relieved that nobody knew what Mayer was really worth, for most people didn’t even know he existed. Some knew he was rich, but since he lived in a ghetto, they didn’t know what to make of it. It would have been a far reach for anybody to even think that Mayer controlled the monetary system of the United States of America. In time, the American politicians would question the bank’s origins and wonder who the owners were, but Mayer would maintain total anonymity. People didn’t know that what was best for the bankers was also what was best for the people, and they tended to envy and even revile the bankers. But since there was not much they could do if they didn’t know where to point the finger, that’s the way it would continue to be. As long as everybody was kept guessing concerning the working of the monetary system, and as long as Mayer did what was best for the country, the people would eventually and grudgingly accept the fact that it was the only way democracy could work without ever really understanding what democracy was.