THE HISTORY OF MONEY PART
The 19th century became known as the age of the
Rothschild's when it was estimated they controlled half of the world's
While their wealth continues to increase today, they have
managed to blend into the background, giving an impression that their
power has waned.
They only apply the Rothschild name to a small
fraction of the companies they actually control.
claim that the Rothschild's had not only taken over the Bank of England
but they had also in 1816 backed a new privately owned Central Bank in
America called The Second Bank of The United States, causing huge problems
to the American president.
(1828 - 1836)
When the American congress voted to renew
the charter of The Second Bank of The United States, Jackson responded by
using his veto to prevent the renewal bill from passing. His response
gives us an interesting insight.
"It is not our own citizens only
who are to receive the bounty of our government. More than eight millions
of the stock of this bank are held by foreigners... is there no danger to
our liberty and independence in a bank that in its nature has so little to
bind it to our country?... Controlling our currency, receiving our public
moneys, and holding thousands of our citizens in dependence... would be
more formidable and dangerous than a military power of the enemy. If
government would confine itself to equal protection, and, as Heaven does
its rains, shower its favour alike on the high and the low, the rich and
the poor, it would be an unqualified blessing. In the act before me there
seems to be a wide and unnecessary departure from these just
Andrew Jackson 1
In 1832 Jackson ordered the withdrawal of government deposits from
the Second bank and instead had them put into safe banks.
Second Banks head, Nicholas Biddle was quite candid about the power and
intention of the bank when he openly threatened to cause a depression if
the bank was not re-chartered, we quote.
"Nothing but widespread
suffering will produce any effect on Congress... Our only safety is in
pursuing a steady course of firm restriction - and I have no doubt that
such a course will ultimately lead to restoration of the currency and the
re-charter of the bank."
Nicholas Biddle 1836
By calling in
existing loans and refusing to issue new loans he did cause a massive
depression, but in 1836 when the charter ran out, the Second Bank ceased
to function. It was then he made these two famous statements: "The Bank is
trying to kill me - but I will kill it!" and later "If the American people
only understood the rank injustice of our money and banking system - there
would be a revolution before morning..."
asked what he felt was the greatest achievement of his career Andrew
Jackson replied without hesitation "I killed the bank!"
will see this was not the end of private financial influence passing
itself off as official when we look at...
Andrew Jackson, Veto of the Bank Bill, to the Senate, (1832)
ABRAHAM LINCOLN AND THE CIVIL WAR (1861 -
With the Central Bank killed off, fractional
reserve banking moved like a virus through numerous state chartered banks
instead causing the instability this form of economics thrives on.
When people lose their homes someone else wins them for a fraction
of their worth. Depression is good news to the lender; but war causes even
more debt and dependency than anything else, so if the money changers
couldn't have their Central Bank with a license to print money, a war it
would have to be.
We can see from this quote of the then
chancellor of Germany that slavery was not the only cause for the American
"The division of the United States into federations of
equal force was decided long before the Civil War by the high financial
powers of Europe. These bankers were afraid that the US, if they remained
as one block, and as one nation, would attain economic and financial
independence, which would upset their financial domination over the
Otto von Bismark chancellor of Germany 1876
On the 12th
of April 1861 this economic war began.
needing money to finance his war effort, went with his secretary of the
treasury to New York to apply for the necessary loans. The money changers
wishing the Union to fail offered loans at 24% to 36%. Lincoln declined
An old friend of Lincoln's, Colonel Dick Taylor of
Chicago was put in charge of solving the problem of how to finance the
His solution is recorded as this.
"Just get Congress
to pass a bill authorising the printing of full legal tender treasury
notes... and pay your soldiers with them and go ahead and win your war
with them also."
Colonel Dick Taylor
When Lincoln asked if the
people of America would accept the notes Taylor said.
or anyone else will not have any choice in the matter, if you make them
full legal tender. They will have the full sanction of the government and
be just as good as any money; as Congress is given that express right by
Colonel Dick Taylor 1
Lincoln agreed to try this solution
and printed 450 million dollars worth of the new bills using green ink on
the back to distinguish them from other notes.
should create, issue and circulate all the currency and credit needed to
satisfy the spending power of the government and the buying power of
The privilege of creating and issuing money is not
only the supreme prerogative of Government, but it is the Government's
greatest creative opportunity.
By the adoption of these
principles, the long-felt want for a uniform medium will be satisfied. The
taxpayers will be saved immense sums of interest, discounts and exchanges.
The financing of all public enterprises, the maintenance of stable
government and ordered progress, and the conduct of the Treasury will
become matters of practical administration. The people can and will be
furnished with a currency as safe as their own government. Money will
cease to be the master and become the servant of humanity. Democracy will
rise superior to the money power."
Abraham Lincoln 2
From this we see that the solution
worked so well Lincoln was seriously considering adopting this emergency
measure as a permanent policy.
This would have been great for
everyone except the money changers who quickly realised how dangerous this
policy would be for them. They wasted no time in expressing their view in
the London Times. Oddly enough, while the article seems to have been
designed to discourage this creative financial policy, in its put down
we're clearly able to see the policies goodness.
mischievous financial policy, which has its origin in North America, shall
become endurated down to a fixture, then that Government will furnish its
own money without cost. It will pay off debts and be without debt. It will
have all the money necessary to carry on its commerce. It will become
prosperous without precedent in the history of the world. The brains, and
wealth of all countries will go to North America. That country must be
destroyed or it will destroy every monarchy on the globe."
Circular - London Times 1865
From this extract its plan to see
that it is the advantage provided by the adopting of this policy which
poses a threat to those not using it.
1863, nearly there, Lincoln
needed just a bit more money to win the war, and seeing him in this
vulnerable state, and knowing that the president could not get the
congressional authority to issue more greenbacks, the money changers
proposed the passing of the National Bank Act. The act went through.
From this point on the entire US money supply would be created out
of debt by bankers buying US government bonds and issuing them from
reserves for bank notes.
The greenbacks continued to be in
circulation until 1994, their numbers were not increased but in fact
"In numerous years following the war, the Federal
Government ran a heavy surplus. It could not (however) pay off its debt,
retire its securities, because to do so meant there would be no bonds to
back the national bank notes. To pay off the debt was to destroy the money
John Kenneth Galbrath
The American economy has been
based on government debt since 1864 and it is locked into this system.
Talk of paying off the debt without first reforming the banking system is
just talk and a complete impossibility.
That same year Lincoln had
a pleasant surprise. Turns out the Tsar of Russia, Alexander II, was well
aware of the money changers scam. The Tsar was refusing to allow them to
set up a central bank in Russia.
If Lincoln could limit the power
of the money changers and win the war, the bankers would not be able to
split America and hand it back to Britain and France as planned. The Tsar
knew that this handing back would come at a cost which would eventually
need to be paid back by attacking Russia, it being clearly in the money
The Tsar declared that if France or Britain gave
help to the South, Russia would consider this an act of war. Britain and
France would instead wait in vain to have the wealth of the colonies
returned to them, and while they waited Lincoln won the civil war.
With an election coming up the next year, Lincoln himself would
wait for renewed public support before reversing the National Bank Act he
had been pressured into approving during the war.
opposition to the central banks financial control and a proposed return to
the gold standard is well documented. He would certainly have killed off
the national banks monopoly had he not been killed himself only 41 days
after being re-elected.
The money changers were pressing for a
gold standard because gold was scarce and easier to have a monopoly over.
Much of this was already waiting in their hands and each gold
merchant was well aware that what they really had could be easily made to
seem like much much more.
Silver would only widen the field and
lower the share so they pressed for...
By Emil Ludwig 1930, containing a letter from Lincoln, also reprinted in
Glory to God and the Sucker Democracy A Manuscript Collection of the
Letters of Charles H. Lanphier compiled by Charles C. Patton.
Abraham Lincoln. Senate document 23, Page 91. 1865.
THE RETURN OF THE GOLD STANDARD (1866 -
"Right after the Civil War there was considerable
talk about reviving Lincoln's brief experiment with the Constitutional
monetary system. Had not the European money-trust intervened, it would
have no doubt become an established institution."
Even after his death, the idea that America might print its own
debt free money set off warning bells throughout the entire European
On April 12th in 1866, the American congress
passed the Contraction Act, allowing the treasury to call in and retire
some of Lincoln's greenbacks, With only the banks standing to gain from
this, it's not hard to work out the source of this action.
the American public the false impression that they would be better off
under the gold standard, the money changers used the control they had to
cause economic instability and panic the people.
This was fairly
easy to do by calling in existing loans and refusing to issue new ones, a
tried and proven method of causing depression. They would then spread the
word through the media they largely controlled that the lack of a single
gold standard was the cause of the hardship which ensued, while all this
time using the Contraction Act to lower the amount of money in
It went from
$1.8 billion in circulation in 1866
allowing $50.46 per person,
to $1.3 billion in 1867 allowing $44.00 per
to $0.6 billion in 1876 making only $14.60 per person and
to $0.4 billion only ten years later leaving only $6.67 per person
and a continually growing population.
Most people believe the
economists when they tell us that recessions and depressions are part of
the natural flow, but in truth the money supply is controlled by a small
minority who have always done so and will continue to do so if we let
By 1872 the American public was beginning to feel the
squeeze, so the Bank of England, scheming in the back rooms, sent Ernest
Seyd, with lots of money to bribe congress into demonetising silver.
Ernest drafted the legislation himself, which came into law with
the passing of the Coinage Act, effectively stopping the minting of silver
that year. Here's what he said about his trip, obviously pleased with
"I went to America in the winter of 1872-73, authorised
to secure, if I could, the passage of a bill demonetising silver. It was
in the interest of those I represented - the governors of the Bank of
England - to have it done. By 1873, gold coins were the only form of coin
Or as explained by Senator Daniel of
Virginia "In 1872 silver being demonetized in Germany, England, and
Holland, a capital of 100,000 pounds ($500,000.00) was raised, Ernest Seyd
was sent to this country with this fund as agent for foreign bond holders
to effect the same object (demonetization of silver)". 1
Within three years, with 30% of the
work force unemployed, the American people began to harken back to the
days of silver backed money and the greenbacks.
The US Silver
Commission was set up to study the problem and responded with telling
"The disaster of the Dark Ages was caused by decreasing
money and falling prices... Without money, civilisation could not have had
a beginning, and with a diminishing supply, it must languish and unless
relieved, finally perish. At the Christian era the metallic money of the
Roman Empire amounted to $1,800,million. By the end of the fifteenth
century it had shrunk to less than $200,million. History records no other
such disastrous transition as that from the Roman Empire to the Dark
United States Silver Commission
While they obviously
could see the problems being caused by the restricted money supply, this
declaration did little to help the problem, and in 1877 riots broke out
all over the country. The bank's response was to do nothing except to
campaign against the idea that greenbacks should be reissued.
American Bankers Association secretary James Buel expressed the bankers
attitude well in a letter to fellow members of the association. He wrote:
"It is advisable to do all in your power to sustain such prominent
daily and weekly newspapers, especially the Agricultural and Religious
Press, as will oppose the greenback issue of paper money and that you will
also withhold patronage from all applicants who are not willing to oppose
the government issue of money.
To repeal the Act creating bank
notes, or to restore to circulation the government issue of money will be
to provide the people with money and will therefore seriously affect our
individual profits as bankers and lenders. See your congressman at once
and engage him to support our interest that we may control
James Buel American Bankers Association 2
What this statement exposes is the
difference in mentality between your average person and a banker. With a
banker 'less really is more' and every need an opportunity to exploit.
James Garfield became President in 1881 with a firm grasp of where
the problem lay.
"Whosoever controls the volume of money in any
country is absolute master of all industry and commerce... And when you
realise that the entire system is very easily controlled, one way or
another, by a few powerful men at the top, you will not have to be told
how periods of inflation and depression originate."
Within weeks of releasing this statement President Garfield
The cry from the streets was
1. Senator Daniel of Virginia, May 22,
1890, from a speech in Congress, to be found in the Congressional Record,
page 5128, quoting from the Bankers Magazine of August, 1873
2. from a
circular issued by authority of the Associated Bankers of New York,
Philadelphia, and Boston signed by one James Buel, secretary, sent out
from 247 Broadway, New York in 1877, to the bankers in all of the
FREE SILVER (1891 -
Fleecing of the flock is the term the money
changers use for the process of booms and depressions which make it
possible for them to repossess property at a fraction of its worth. In
1891 a major fleece was being planned.
"On Sept 1st, 1894, we will
not renew our loans under any consideration. On Sept 1st we will demand
our money. We will foreclose and become mortgagees in possession. We can
take two-thirds of the farms west of the Mississippi, and thousands of
them east of the Mississippi as well, at our own price... Then the farmers
will become tenants as in England..."
1891 American Bankers Association
as printed in the Congressional Record of April 29, 1913
continued gold standard made this possible.
William Jennings Bryan
was the Democratic candidate for president in 1896, campaigning to bring
silver back as a money standard. (free Silver)
"We will answer
their demand for a gold standard by saying to them: You shall not press
down upon the brow of labour this crown of thorns, you shall not crucify
mankind upon a cross of gold."
William Jennings Bryan
the money changers supported his opposition on the Republican side so long
as he wanted the gold standard maintained. The factory bosses were somehow
convinced to tell their work force that business would close down if Bryan
was elected, and everyone would lose their jobs.
won by a small margin.
Bryan tried again in 1900 and in 1908 but
lost both times. He became secretary of state under Wilson in 1912 but
became disenchanted and resigned in 1915 under suspicious circumstances
connected with the sinking of the Lusitania which drove America into the
First World War.
J.P.MORGAN AND THE CRASH
If you want to work out the cause of the crash
of 1907, checking who benefited is where you might like to look first.
With the stock market slump causing most of the over extended
banks to falter, in steps J.P. Morgan offering to save the day. People
will do strange things when in a panic, and this might explain why Morgan
was authorised to print $200 million from nothing, which he then used to
prop things up.
Some of the troubled banks with less than 1% in
reserve had no choice. It was accept this solution or go under. Even if
they had worked out that their problems had been caused by the same people
now offering the solution, there is not a lot they could have done about
J.P.Morgan was hailed a hero.
"All this trouble could
be averted if we appointed a committee of six or seven men like J.P.Morgan
to handle the affairs of our country."
everyone was fooled.
"Those not favourable to the money trust
could be squeezed out of business and the people frightened into demanding
changes in the banking and currency laws which the Money Trust would
Rep. Charles A. Lindbergh (R-MN)
Apart from making a
small number rich at the expense of the many, in this case the instability
also served the second purpose of encouraging the public to believe that
they would be better off living under a Central Bank and a Gold Standard.
Desperate people have little time for logic.
In Washington the statue
of Lincoln sitting in his chair is facing a building called the Federal
This institution would not be there if
Lincoln's monetary policy had been adopted by the USA.
It is not
Federal and it has doubtful reserves. The name is an open deception
designed to give this private bank the appearance that it is operating in
the public's interest, when in fact it is run solely to gain private
profit for its select stock holders. It came into being as the result of
one of the slickest moves in financial history.
On 23rd December
1913 the house of representatives had past the Federal Reserve Act, but it
was still having difficulty getting it out of the senate. Most members of
congress had gone home for the holidays, but unfortunately the senate had
not adjourned sene die (without day) so they were technically still in
session. There were only three members still present. On a unanimous
consent voice vote the 1913 Federal Reserve Act was passed. No objection
was made, possibly because there was no one there to object.
Charles Lindbergh would have objected.
system has been turned over to... the federal reserve board. That board
administers the finance system by authority of... a purely profiteering
group. The system is private, conducted for the sole purpose of obtaining
the greatest possible profits from the use of other peoples money."
Charles A, Lindbergh (R-MN)
Louis T. McFadden would have objected.
"We have in this country one of the most corrupt institutions the
world has ever known. I refer to the Federal Reserve Board... This evil
institution has impoverished... the people of the United States... and has
practically bankrupted our Government. It has done this through... the
corrupt practice of the moneyed vultures who control it."
Rep. Louis T,
Barry Goldwater would also have objected.
"Most Americans have no real understanding of the operation of the
international money lenders... The accounts of the Federal Reserve System
have never been audited. It operates outside the control of Congress
and... manipulates the credit of the United States."
Most Americans would object if they knew.
The Federal Reserve is the largest single creditor of the United
States Government, and they are also the people who decide how much the
average persons car payments are going to be, what their house payments
are going to be, and whether they have a job or not.
people who passed the Federal Reserve Act in 1913, knew exactly what they
were doing when they set up this private bank, modelled on the Bank of
England and the fact that THE BANK OF ENGLAND had been operating
independently unopposed since 1694 must have given them a great deal of
WHERE THERE'S WAR THERE'S
War uses up more materials more quickly than most
anything else on earth. In war expensive equipment doesn't wear out
slowly, it gets blown up.
(It's interesting to note that during
the 119 year period from the founding of the Bank of England to Napoleon's
defeat at Waterloo, England had been at war for 56 years, while the rest
of the time preparing for it. In the process the money changers had been
So there it was, the newly formed Federal Reserve
poised to produce any money the U.S. Government might need from thin air
with each dollar standing to make a healthy interest.
after its formation the Federal Reserve founders were wishing each other a
Happy New Year. What good fortune might 1914 bring?
THE HISTORY OF
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