The Federal Reserve: The Greatest Scam In History?
13th August 2007
The Federal Reserve was created in 1913-1914 in order to bring stability
to the economy and yet almost every major crash, including the great
depression, can be attributed to the Federal Reserve.
We are going to take a look at the history of the Fed and what prominent
historical figures have said about the organization.
Firstly, from 1837-1862 there was a system of national banks in the USA
but then in 1913-1914 a consortium of 12 privately held banks got
together and formed the Federal Reserve Bank, an entity that is not part
of the US government. These banks then purchased notes from the US Mint
for printing costs and lent them out through member banks charging
interest.
The Federal Reserve came into being after its supporters paid for the
Presidential campaign of US President Woodrow Wilson.
Wilson signed the bill that transferred the
US currency to twelve regional private banks Wilson regretted his
decision later saying:
“I am a most unhappy man. I have
unwittingly ruined my country. A great industrial nation is
controlled by its system of credit. Our system of credit is
concentrated. The growth of the nation, therefore, and all our
activities are in the hands of a few men.
We have come to be one of the worst
ruled, one of the most completely controlled and dominated
governments in the civilized world. No longer a government by free
opinion, no longer a government by conviction and the vote of the
majority, but a government by the opinion and duress of a small
group of dominant men.”
In 1933 President Roosevelt confiscated
citizens gold and handed it to the Federal Reserve. At the very moment
when Americans have needed to protect their wealth the most, the best
store of wealth ever created, gold, was confiscated from American
citizens and given to a un-elected conglomerate of private banks.
When the bill for the Federal Reserve was being considered, some brave
politicians spoke out against its creation calling it,
“the strangest, most dangerous advantage
ever placed in the hands of a special privilege class by any
Government that ever existed” and Congressman Victor Murdock said,
“I do not blind myself to the fact that this measure will not be
effectual as a remedy for a great national evil – the concentrated
control of credit.”
It even appears that one of the most
important and most respected figures in American history disagrees with
the Federal Reserve saying,
“If the American people ever allow
private banks to control the issue of their currency, first by
inflation and then by deflation, the banks and corporations that
will grow up around them will deprive the people of all property
until their children wake up homeless on the continent their fathers
conquered.”
Jefferson also said,
“I sincerely believe the banking
institutions having the issuing power of money are more dangerous to
liberty than standing armies”
“Paper is poverty… it is only the ghost of money, and not money
itself.”
The Federal Reserve make no secret about the
scam they are running as the Boston section of the Federal Reserve Bank
said:
“When you or I write a check there must
be sufficient funds in our account to cover the cheque, but when the
Federal Reserve writes a check there is no bank deposit on which
that cheque is drawn. When the Federal Reserve writes a cheque, it
is creating money.”
Perhaps the Fed can create money, but we
strongly believe that wealth cannot be created. Wealth is simply
transferred, it is not created and we challenge anyone to prove
otherwise. The only time wealth was created was when the world was
created, with all its resources, true wealth. So why hasn’t the Federal
Reserve been disbanded?
Well as
the Rothschild Brothers of London said
in 1863:
“The few who understand the system, will
either be so interested from it’s profits or so dependant on it’s
favors, that there will be no opposition from that class.”
The great Henry Ford once said,
“It is well enough that people of the
nation do not understand our banking and monetary system, for if
they did, I believe there would be a revolution before tomorrow
morning.”
The problem is, very few people understand
the system at all. It is not taught in schools and even some of the most
prominent financial analysts and fund managers really have no idea how
the system works. They tend to define inflation as rising prices when in
fact inflation occurs because of the expansion of the money supply.
Or even link inflation with the economy
doing well, saying,
“we should raise interest rates as the
economy did extremely well this month and we don’t want inflation
getting out of hand”, or words to that effect.
What all people, not just investors, need to
understand is that paper money is worthless.
Gold and precious metals are
the real money, the real wealth that cannot be created like its paper
ghost.
