What really happened in the Ukrainian crisis?
It is freezing cold in Kiev, legendary city of golden domes on the banks of Dnieper River – cradle of ancient Russian civilisation and the most charming of East European capitals. It is a comfortable and rather prosperous place, with hundreds of small and cosy restaurants, neat streets, sundry parks and that magnificent river. The girls are pretty and the men are sturdy. Kiev is more relaxed than Moscow, and easier on the wallet. Though statistics say the Ukraine is broke and its people should be as poor as Africans, in reality they aren’t doing too badly, thanks to their fiscal imprudence. The government borrowed and spent freely, heavily subsidised housing and heating, and they brazenly avoided devaluation of the national currency and the austerity program prescribed by the IMF. This living on credit can go only so far: the Ukraine was doomed to default on its debts next month or sooner, and this is one of the reasons for the present commotion.
A tug-of-war between the East and the West for the future of Ukraine lasted over a month, and has ended for all practical purposes in a resounding victory for Vladimir Putin, adding to his previous successes in Syria and Iran. The trouble began when the administration of President Yanukovich went looking for credits to reschedule its loans and avoid default. There were no offers. They turned to the EC for help; the EC, chiefly Poland and Germany, seeing that the Ukrainian administration was desperate, prepared an association agreement of unusual severity.
The EC is quite hard on its new East European members, Latvia, Romania, Bulgaria et al.: these countries had their industry and agriculture decimated, their young people working menial jobs in Western Europe, their population drop exceeded that of the WWII.
But the association agreement offered to the Ukraine was even worse. It would turn the Ukraine into an impoverished colony of the EC without giving it even the dubious advantages of membership (such as freedom of work and travel in the EC). In desperation, Yanukovich agreed to sign on the dotted line, in vain hopes of getting a large enough loan to avoid collapse. But the EC has no money to spare – it has to provide for Greece, Italy, Spain. Now Russia entered the picture. At the time, relations of the Ukraine and Russia were far from good. Russians had become snotty with their oil money, the Ukrainians blamed their troubles on Russians, but Russia was still the biggest market for Ukrainian products.
For Russia, the EC agreement meant trouble: currently the Ukraine sells its output in Russia with very little customs protection; the borders are porous; people move freely across the border, without even a passport. If the EC association agreement were signed, the EC products would flood Russia through the Ukrainian window of opportunity. So Putin spelled out the rules to Yanukovich: if you sign with the EC, Russian tariffs will rise. This would put some 400,000 Ukrainians out of work right away. Yanukovich balked and refused to sign the EC agreement at the last minute. (I predicted this in my report from Kiev full three weeks before it happened, when nobody believed it – a source of pride).
The EC, and the US standing behind it, were quite upset. Besides the loss of potential economic profit, they had another important reason: they wanted to keep Russia farther away from Europe, and they wanted to keep Russia weak. Russia is not the Soviet Union, but some of the Soviet disobedience to Western imperial designs still lingers in Moscow: be it in Syria, Egypt, Vietnam, Cuba, Angola, Venezuela or Zimbabwe, the Empire can’t have its way while the Russian bear is relatively strong. Russia without the Ukraine can’t be really powerful: it would be like the US with its Mid-western and Pacific states chopped away. The West does not want the Ukraine to prosper, or to become a stable and strong state either, so it cannot join Russia and make it stronger. A weak, poor and destabilised Ukraine in semi-colonial dependence to the West with some NATO bases is the best future for the country, as perceived by Washington or Brussels.
Angered by this last-moment-escape of Yanukovich, the West activated its supporters. For over a month, Kiev has been besieged by huge crowds bussed from all over the Ukraine, bearing a local strain of the Arab Spring in the far north. Less violent than Tahrir, their Maidan Square became a symbol of struggle for the European strategic future of the country. The Ukraine was turned into the latest battle ground between the US-led alliance and a rising Russia. Would it be a revanche for Obama’s Syria debacle, or another heavy strike at fading American hegemony?
The simple division into “pro-East” and “pro-West” has been complicated by the heterogeneity of the Ukraine. The loosely knit country of differing regions is quite similar in its makeup to the Yugoslavia of old. It is another post-Versailles hotchpotch of a country made up after the First World War of bits and pieces, and made independent after the Soviet collapse in 1991. Some parts of this “Ukraine” were incorporated by Russia 500 years ago, the Ukraine proper (a much smaller parcel of land, bearing this name) joined Russia 350 years ago, whilst the Western Ukraine (called the “Eastern Regions”) was acquired by Stalin in 1939, and the Crimea was incorporated in the Ukrainian Soviet Republic by Khrushchev in 1954.
The Ukraine is as Russian as the South-of-France is French and as Texas and California are American. Yes, some hundreds years ago, Provence was independent from Paris, – it had its own language and art; while Nice and Savoy became French rather recently. Yes, California and Texas joined the Union rather late too. Still, we understand that they are – by now – parts of those larger countries, ifs and buts notwithstanding. But if they were forced to secede, they would probably evolve a new historic narrative stressing the French ill treatment of the South in the Cathar Crusade, or dispossession of Spanish and Russian residents of California.
Accordingly, since the Ukraine’s independence, the authorities have been busy nation-building, enforcing a single official language and creating a new national myth for its 45 million inhabitants. The crowds milling about the Maidan were predominantly (though not exclusively) arrivals from Galicia, a mountainous county bordering with Poland and Hungary, 500 km (300 miles) away from Kiev, and natives of the capital refer to the Maidan gathering as a “Galician occupation”.
Like the fiery Bretons, the Galicians are fierce nationalists, bearers of a true Ukrainian spirit (whatever that means). Under Polish and Austrian rule for centuries, whilst the Jews were economically powerful, they are a strongly anti-Jewish and anti-Polish lot, and their modern identity centred around their support for Hitler during the WWII, accompanied by the ethnic cleansing of their Polish and Jewish neighbours. After the WWII, the remainder of pro-Hitler Galician SS fighters were adopted by US Intelligence, re-armed and turned into a guerrilla force against the Soviets. They added an anti-Russian line to their two ancient hatreds and kept fighting the “forest war” until 1956, and these ties between the Cold Warriors have survived the thaw.
After 1991, when the independent Ukraine was created, in the void of state-building traditions, the Galicians were lauded as ‘true Ukrainians’, as they were the only Ukrainians who ever wanted independence. Their language was used as the basis of a new national state language, their traditions became enshrined on the state level. Memorials of Galician Nazi collaborators and mass murderers Stepan Bandera and Roman Shukhevych peppered the land, often provoking the indignation of other Ukrainians. The Galicians played an important part in the 2004 Orange Revolution as well, when the results of presidential elections were declared void and the pro-Western candidate Mr Yuschenko got the upper hand in the re-run.
However, in 2004, many Kievans also supported Yuschenko, hoping for the Western alliance and a bright new future. Now, in 2013, the city’s support for the Maidan was quite low, and the people of Kiev complained loudly about the mess created by the invading throngs: felled trees, burned benches, despoiled buildings and a lot of biological waste. Still, Kiev is home to many NGOs; city intellectuals receive generous help from the US and EC. The old comprador spirit is always strongest in the capitals.
For the East and Southeast of the Ukraine, the populous and heavily industrialised regions, the proposal of association with the EC is a no-go, with no ifs, ands or buts. They produce coal, steel, machinery, cars, missiles, tanks and aircraft. Western imports would erase Ukrainian industry right off the map, as the EC officials freely admit. Even the Poles, hardly a paragon of industrial development, had the audacity to say to the Ukraine: we’ll do the technical stuff, you’d better invest in agriculture. This is easier to say than to do: the EC has a lot of regulations that make Ukrainian products unfit for sale and consumption in Europe. Ukrainian experts estimated their expected losses for entering into association with the EC at anything from 20 to 150 billion euros.
For Galicians, the association would work fine. Their speaker at the Maidan called on the youth to ‘go where you can get money’ and do not give a damn for industry. They make their income in two ways: providing bed-and breakfast rooms for Western tourists and working in Poland and Germany as maids and menials. They hoped they would get visa-free access to Europe and make a decent income for themselves. Meanwhile, nobody offered them a visa-waiver arrangement. The Brits mull over leaving the EC, because of the Poles who flooded their country; the Ukrainians would be too much for London. Only the Americans, always generous at somebody’s else expense, demanded the EC drop its visa requirement for them.
While the Maidan was boiling, the West sent its emissaries, ministers and members of parliament to cheer the Maidan crowd, to call for President Yanukovich to resign and for a revolution to install pro-Western rule. Senator McCain went there and made a few firebrand speeches. The EC declared Yanukovich “illegitimate” because so many of his citizens demonstrated against him. But when millions of French citizens demonstrated against their president, when Occupy Wall Street was violently dispersed, nobody thought the government of France or the US president had lost legitimacy…
Victoria Nuland, the Assistant Secretary of State, shared her biscuits with the demonstrators, and demanded from the oligarchs support for the “European cause” or their businesses would suffer. The Ukrainian oligarchs are very wealthy, and they prefer the Ukraine as it is, sitting on the fence between the East and the West. They are afraid that the Russian companies will strip their assets should the Ukraine join the Customs Union, and they know that they are not competitive enough to compete with the EC. Pushed now by Nuland, they were close to falling on the EC side.
Yanukovich was in big trouble. The default was rapidly approaching. He annoyed the pro-Western populace, and he irritated his own supporters, the people of the East and Southeast. The Ukraine had a real chance of collapsing into anarchy. A far-right nationalist party, Svoboda (Liberty), probably the nearest thing to the Nazi party to arise in Europe since 1945, made a bid for power. The EC politicians accused Russia of pressurising the Ukraine; Russian missiles suddenly emerged in the western-most tip of Russia, a few minutes flight from Berlin. The Russian armed forces discussed the US strategy of a “disarming first strike”. The tension was very high.
Edward Lucas, the Economist’s international editor and author of The New Cold War, is a hawk of the Churchill and Reagan variety. For him, Russia is an enemy, whether ruled by Tsar, by Stalin or by Putin. He wrote: “It is no exaggeration to say that the [Ukraine] determines the long-term future of the entire former Soviet Union. If Ukraine adopts a Euro-Atlantic orientation, then the Putin regime and its satrapies are finished… But if Ukraine falls into Russia’s grip, then the outlook is bleak and dangerous… Europe’s own security will also be endangered. NATO is already struggling to protect the Baltic states and Poland from the integrated and increasingly impressive military forces of Russia and Belarus. Add Ukraine to that alliance, and a headache turns into a nightmare.”
In this cliff-hanging situation, Putin made his pre-emptive strike. At a meeting in the Kremlin, he agreed to buy fifteen billion euros worth of Ukrainian Eurobonds and cut the natural gas price by a third. This meant there would be no default; no massive unemployment; no happy hunting ground for the neo-Nazi thugs of Svoboda; no cheap and plentiful Ukrainian prostitutes and menials for the Germans and Poles; and Ukrainian homes will be warm this Christmas. Better yet, the presidents agreed to reforge their industrial cooperation. When Russia and Ukraine formed a single country, they built spaceships; apart, they can hardly launch a naval ship. Though unification isn’t on the map yet, it would make sense for both partners. This artificially divided country can be united, and it would do a lot of good for both of their populaces, and for all people seeking freedom from US hegemony.
There are a lot of difficulties ahead: Putin and Yanukovich are not friends, Ukrainian leaders are prone to renege, the US and the EC have a lot of resources. But meanwhile, it is a victory to celebrate this Christmas tide. Such victories keep Iran safe from US bombardment, inspire the Japanese to demand removal of Okinawa base, encourage those seeking closure of Guantanamo jail, cheer up Palestinian prisoners in Israeli prisons, frighten the NSA and CIA and allow French Catholics to march against Hollande’s child-trade laws.
What is the secret of Putin’s success? Edward Lucas said, in an interview to the pro-Western Ekho Moskvy radio: “Putin had a great year – Snowden, Syria, Ukraine. He checkmated Europe. He is a great player: he notices our weaknesses and turns them into his victories. He is good in diplomatic bluff, and in the game of Divide and Rule. He makes the Europeans think that the US is weak, and he convinced the US that Europeans are useless”.
I would offer an alternative explanation. The winds and hidden currents of history respond to those who feel their way. Putin is no less likely a roguish leader of global resistance than Princess Leia or Captain Solo were in Star Wars. Just the time for such a man is ripe.
Unlike Solo, he is not an adventurer. He is a prudent man. He does not try his luck, he waits, even procrastinates. He did not try to change regime in Tbilisi in 2008, when his troops were already on the outskirts of the city. He did not try his luck in Kiev, either. He has spent many hours in many meetings with Yanukovich whom he supposedly personally dislikes.
Like Captain Solo, Putin is a man who is ready to pay his way, full price, and such politicians are rare. “Do you know what is the proudest word you will ever hear from an Englishman’s mouth?”, asked a James Joyce character, and answered: “His proudest boast is I paid my way.” Those were Englishmen of another era, long before the likes of Blair, et al.
While McCain and Nuland, Merkel and Bildt speak of the European choice for the Ukraine, none of them is ready to pay for it. Only Russia is ready to pay her way, in the Joycean sense, whether in cash, as now, or in blood, as in WWII.
Putin is also a magnanimous man. He celebrated his Ukrainian victory and forthcoming Christmas by forgiving his personal and political enemies and setting them free: the Pussy Riot punks, Khodorkovsky the murderous oligarch, rioters… And his last press conference he carried out in Captain Solo self-deprecating mode, and this, for a man in his position, is a very good sign.
A few years back, at the end of 2009, I was approached on two separate occasions by people claiming to be “representatives” of a digital alternative currency format. I was, of course, intrigued by the initial proposal, being that I had been writing for some time on the concept of non-participation as a way to insulate average Americans from the dangers of our unstable fiat driven mainstream economy. Before that, I had already dealt with just about every currency alternative one could imagine; from paper scripts backed by goods, to scripts backed by time or labor, to gold and silver laden currency cards, etc, etc. All of them had the advantage of NOT relying on private Federal Reserve notes, and all of them had flaws as well. The proposed digital script, which the representatives called “Bitcoin”, was no different.
The idea was to recruit my website as a promoter for bitcoin, but I had many questions before I would stick my neck out on a brand new high-tech anti-currency, and most of these question were not answered in any satisfactory manner.
There is no shortage of “solutions” in Liberty Movement circles, but many of these solutions require that we work within the system according to establishment rules (which they can change at any given moment). They assume that the system will abide by some kind of internal code, that our candidates will be treated fairly, that elections will not be rigged, that a better methodology or technology will be acknowledged and eventually adopted, that the “majority” of the public will someday see the light and back our cause, that the elite will not simply decide to put a bullet in our head.
The reality is, if a solution is dependent on a paradigm controlled by the corrupt system you are trying to change, it is no solution at all. Because of this, my focus has always been on methods that separate Americans from reliance on the system as much as possible.
When first confronted with bitcoin activism, I recognized almost immediately that this was NOT a method that operated outside the system, even though it tried very hard to appear that way. It was high-tech, it was sexy (admittedly far sexier in its presentation than gold and silver), and it catered to the egos of the digital generation, the loudest voices in media today. This thing was certainly marketable. However, just because something is highly marketable does not make it a good idea, or a meaningful alternative.
The Tantalizing Allure Of Non-Solutions
When a person invests a sizable amount of capital into an idea, not to mention a sizable amount of philosophical faith, they tend to lose a measure of objectivity. This is not just a struggle for proponents of bitcoin but for proponents of ALL methodologies. I do believe that many bitcoin promoters have the best of intentions, and that they are seeking some way to break from what they understand is a corrupt financial structure. That said, there is an escalating streak of elitism within the bitcoin culture, and I have witnessed on numerous occasions the kind of anger and immediate dismissal the average statist would spew when they are confronted with criticism. If you dare to question the greater details behind Bitcoin, be prepared to be accused of anything from “conspiracy theory”, to “jealousy” for missing the boat on bitcoin profits, to “ignorance” of the genius of cryptography.
What I came to realize through my questions to bitcoin followers was that many of them were not actually involved in the deeper aspects of the Liberty Movement, constitutional activism, sound money, self defense, and so on. Almost none of them had a preparedness plan, few of them had experience with precious metals, none of them owned firearms, and none of them had any inclination towards the building of local networks for mutual aid. Worst of all, many of them had no understanding of the wider threat of economic collapse that America faces today. In fact, when the possibility of full spectrum collapse is brought up, many Bitcoiners actually respond with the same brand of shallow dismissals that one would expect from the Paul Krugman’s and Ben Bernanke’s of the world.
This reaction is not necessarily shocking. Most people imagine themselves accomplishing heroic feats, and why not? It is one of the more noble and beautiful traits of mankind. For the crypto-engineers of the new century and the digital generation overall, heroics have felt unattainable. Elections are finally being recognized as the sham they represent, while protest activism has fallen flat on its face. The concept of peaceful redress of grievances has been met with rather frightening displays of state violence and censorship to which a physical response for the common protestor is unthinkable. The signs and slogan chants may have inspired the education of some, but in the meantime, they have accomplished very little in terms of political or social change. The bottom line is that the establishment LOVES non-aggression protests – they have no plan, few concrete goals, and present no overt threat to the elite.
The system only grows more despotic, more invasive, and more dangerous. Anti-establishment champions have been searching for something that goes beyond mere “education”, or clamoring like caged monkeys for media attention. They want to storm the castle, they want to fight back, but they haven’t the slightest clue how. They desire an intellectual method of combat, something with far less fear, far less risk, and far less pain. Enter Bitcoin.
Bitcoin gives the digital generation the chance to feel heroic where they never could before. They don’t have to face the machine head on. They don’t have to fight. They don’t have to suffer. They don’t have to die. All they have to do is utilize some cryptographic wizardry within the supposedly anonymous safety of the web, buy bitcoins en masse, and the system would crumble at their feet, rebuilt in the name of free markets by the electronic commons and without a shot fired. Again, very sexy…
Unfortunately, the real world does not necessarily lend itself to the demands of the digital. The digital world is at the mercy of physical. The real world is rarely sexy; often it is ugly, brutal, hypocritical, illogical, and psychotic. The real world, at times, can break, and when it does the digital will break with it. The digital world is in large part a fantasy supported by the whims of the real. Which leads me to the core failings of the bitcoin adventure…
We’ve all heard praises lavished on bitcoin, not only from the web activists but from the mainstream media itself. Establishment controlled outlets like Reuters and Bloomberg have an astonishing number of bitcoin stories per week, and most of these stories paint the crypto-currency in a positive light. We’ve heard about bitcoin’s “unbreakable” cryptography. Its finite supply. The inability to duplicate the currency from thin air. Its rising acceptance in the corporate world. The Cinderella stories of bitcoin investors buying Lamborghinis and New York brownstones. Even Ben Bernanke seems to have a soft spot for bitcoin:
But is bitcoin’s rise really all it’s cracked up to be? Here are just a few of the problems which lead me to believe the digital currency is ultimately a clever distraction.
Who really started Bitcoin?
One of my first questions to bitcoin representatives back in 2009 was WHO, exactly, founded the operation? Well, Satoshi Nakamodo, everyone knows that, right? But who the hell is Satoshi Nakamodo? Who is the original designer of bitcoin? Who holds the foundational key to the structure of bitcoin’s cryptography? Is Nakamodo a person, or a group? Why should we trust him, or them, to safeguard our wealth any more than the Federal Reserve? The fact is no one except maybe Gavin Andresen, the chief scientist at the Bitcoin Foundation, knows who is behind the digital currency. We actually know more about the banking elites behind the Fed than we do about the founders of bitcoin.
The common response to this concern is to suggest that it doesn’t really matter, bitcoin is secure, it is open source, it is cryptography’s holy grail, the creators are protecting their identities against retribution from the establishment, and the excuses go on…
I’m sorry, but this attitude constitutes an act of blind faith in a currency mechanism, which is exactly what proponents of the dollar are guilty of. If an activist individual or group is going to offer a solution to the movement, then they had better be willing to take the risk of being personally available to the movement. If you don’t have the balls to show your face to help legitimize your idea, I can’t take your idea seriously. Maybe I’m just old fashioned…
For all we know, bitcoin is a creation of the establishment, not a creation countering the establishment. After all, the globalists WANT the destruction of the dollar – why not let the public destroy the dollar using a mechanism that ultimately does not represent a threat to the greater bankster cartel?
The Media Love Affair With Bitcoin
During the first and second Ron Paul campaigns, the mainstream media made a blatant and obvious effort to purposely ignore the candidate, his arguments, and his successes. Coverage was next to nil. His expansive crowds of supporters were edited out of news footage. His high polling numbers were censored. If not for the independent media, you wouldn’t have known the guy existed. When someone or something presents a legitimate threat to the establishment, the establishment’s first tactic is to make sure no one knows.
Bitcoin, on the other hand, has received a steady flow of positive media attention, with the random critical piece thrown in for good measure. Overall, the establishment has embraced, if not directly fueled, the bitcoin trend. This is rather surprising to me considering the “destroyer of the dollar” has only been around for four years.
When an anti-establishment vehicle suddenly becomes the center focus of establishment affections, and when globalist monsters like Ben Bernanke throw flower petals in its path, I have to wonder if Bitcoin is a real threat, or just a ruse.
Bitcoins Can Indeed Be Confiscated
Some of the early hype surrounding Bitcoin claimed that the currency could not be confiscated, making it “better than gold” (the better than gold motto has been widely espoused by Gavin Andresen). This claim turned out to be false when the FBI became the holder of the world’s LARGEST Bitcoin wallet:
I find arguments that this is only a temporary condition and that the feds will eventually auction off their holdings a bit laughable, but indicative of the denial inherent in Bitcoin culture.
Bitcoin Values Can Be Manipulated
Another claim heard was the assertion that bitcoins cannot be created out of thin air, they must be “mined” using powerful computers, which removes centralized manipulation of value. This may be true in certain respects (for now), but anything digital can be exploited in one way or another.
Bitcoin malware, for instance, hijacks the computers of unwitting people and uses them to artificially “mine” the currency.
The bitcoins mined are then transferred into the hands of anonymous hackers. This represents a serious threat to the stability of bitcoin because it creates an invasive form of attack speculation. Bitcoins can be removed from the market and deliberately hoarded. Hackers, or governments could conceivably kill bitcoin by mining a large portion of them out of circulation, artificially hyperinflating the value of the remaining coins (like a speculator would do with commodities), or dumping a large portion and abruptly cutting the value. Major bitcoin hoarders could use their massive bitcoin stakes to shift values at will. As long a Bitcoin operates on supply and demand, it can be threatened through speculation like ay other commodity (if you consider digitized numbers floating around the web a commodity).
Bitcoin Is Not Private
While bitcoins can apparently be stolen or criminally mined by anonymous persons or organizations, honest users are subject to considerable scrutiny. A disturbing aspect of bitcoin is the group surveillance that goes into tracing transactions, otherwise known as the “proof of work system”. The bitcoin network is constantly dependent on decoders who track and verify bitcoin trades in order to ensure that the same bitcoins are not used during multiple trades or purchases. Anyone with the desire could decode the transaction history of the network, or “block chain”, including governments. Though Bitcoiners are considered “partially anonymous”, tracking the individual identity of a bitcoin trade is not difficult for entities such as the NSA because every transaction leaves a digital trail..
The use of anonymising browsers like Tor also have not produced the kind of privacy that was promised when bitcoin was introduced.
This is exactly the kind of currency system global bankers have sought for some time – total information awareness of all financial transactions and purchases within the system. While bitcoin proponents claim that their currency is a revolution against centralized oversight of monetary transactions, the truth is they have built the perfect centralized surveillance solution. Paper dollar purchases are difficult to trace. Gold, silver, and barter purchases are nearly impossible to track. Bitcoin, though, is the most traceable form of currency on the planet, and this is basically REQUIRED by the network itself. The entire trade history of every bitcoin is recorded. The digital landscape is the ultimate form of privacy invasion, especially for the likes of super computer wielding agencies like the NSA. Bitcoin aids the development of this intrusive system.
Bitcoin Relies On The Continued Survival Of The Open Web
Yes, bitcoins can be stored on physical wallet devices, but the majority portion of bitcoin trading and bitcoin mining requires the continued operation of the web. The internet is NOT a creative commons, as many believe. It is in fact a controlled networking system that we have simply been allowed to use. The exposure by Edward Snowden of NSA activities has proven once and for all that nothing you do on the web is private. Everything is tracked and recorded. Period.
Web access can also be easily denied by governments, and power centers around the globe have been utilizing this option more and more. During a national crisis, whether real or engineered, the continued function of the internet as we know it is not guaranteed. A currency relying on a government dominated internet is not truly independent. A grid down situation would also make bitcoin stores virtually useless.
The Suspicious Nature Of Bitcoin
Bitcoin is consistently touted as a superior option to precious metals as a way to decouple from central bank fiat. Under examination, though, it appears to me that bitcoin is instead a deliberate distraction away from gold and silver, and other tangible solutions; in other words, I believe it to be a form of controlled opposition.
A vital aspect of physical gold and silver investment is not only to break from the dollar, but to also remove physical metal from the system and starve international banks that issue millions of fraudulent unbacked paper certificates. The strategy, which I still stand by, is for the public to absorb as much of the precious metals market as possible until manipulators like JP Morgan finally have to admit that they don’t have the coins and bars to back all the fake ETF’s they have been issuing investors for years. In the process, we decouple from the dollar AND do damage to the banking cartel itself. The bitcoin fad, in my opinion, is designed to lure the public away from overtaking the metals market while banks and foreign governments vacuum up remaining physical in preparation for a dollar collapse.
Bitcoin’s market value is not only extremely volatile, the currency is also subject to replacement at any time. Anyone with an interest can create a cryptocurrency. There is nothing particularly special about the bitcoin design, and if someone offered a digital currency tomorrow that was truly anonymous, it could quickly supplant bitcoin. Though its cryptography makes it difficult to artificially inflate (again, for now), other digital currencies can still be produced out of thin air. Bitcoiners desperately want to equate cryptography with tangibility, but the truth is that there is no comparison. Physical gold and silver cannot be artificially produced by anyone, anywhere. Digital currencies can be produced at will and hyped like Dutch tulip mania.
The most unsettling aspect of bitcoin, however, is not its distraction away from precious metals. Rather, it is the distraction away from localized solutions. Bitcoin proponents may be searching for decentralization, but they seem to have forgotten the most most important part of the process – localism. The trade of digital mechanisms over impersonal web networks and online marketplaces is not conducive to local economic stability or sustainability. Bitcoin does not encourage people to build local markets, to adopt useful trade skills, to prepare for a grid down scenario, or circulate wealth within one’s community. Bitcoin only furthers the removal of independence and self sustainability from local economies by fooling activists into thinking that buying things without dollars is enough.
If Americans in particular want to pursue any solution to the threat of globalism or dollar collapse, they are going to have to start with themselves, and the community around them. Online trade is the last thing they should be worried about. Only when neighborhoods, towns, and counties become producers and self suppliers will they be safe from financial instability. Only when those same communities band together for mutual aid and self defense will they be safe from tyrannical political entities. Bitcoin accomplishes nothing in either of these categories, making it possibly the most popular non-solution for liberty to date.
Source: Brandon Smith | Alt-Market
Turkey is a democracy in name only. Prime Minister Recep Tayyip Erdogan is ruling despot.
He’s led Ankara’s Justice and Development Party (AKP) since August 2001. He’s been prime minister since March 2003. Why Turks put up with him they’ll have to explain.
Last spring, anti-government protests rocked Ankara, Istanbul and other Turkish cities. Police violence followed. Brutality is longstanding policy. Corruption is deep-seated.
It’s rife in Turkey’s construction sector. Erdogan established a land sales office. Ostensibly it was to build affordable public housing.
Widespread privatizations followed. Billions of dollars worth of government assets were sold.
Sweetheart deals and bribes accompanied them. Well-connected companies got no-bid contracts. State banks provided generous financing.
Projects developed had nothing to do with public housing. Berat Albayrak heads Calik Holding. He’s well connected. He’s Erdogan’s son-in-law.
He may be linked to the corruption probe. He builds power plants in Turkmenistan. He’s involved in an AKP backed oil pipeline project. He has other government related business.
The current scandal stems from a year ago anonymous letter. It was sent to police. It alleged Ankara and local government authorities illegally facilitated construction projects. Huge profits were involved.
Surveillance, phone tapping, and other investigatory methods followed. They produced considerable evidence of corruption. Government ministers are involved. Million dollar bribes were paid.
State-run Halk Bank head was found with about $4.5 million in cash. It was at home. It was stashed in shoe boxes.
Millions more were seized from other suspects. Over a dozen are accused of bribery and money laundering, as well as gold and antiques smuggling.
On December 17, Turkey’s Financial Crimes and Battle Against Criminal Incomes department detained 47 people.
Sons of Ankara’s Economy, Interior and Environment and Urban Planning ministers are involved.
So is Fatih district municipality major Mustafa Demir and real estate tycoon Ali Agaoglu. Minister of European Union Affairs Minister Egemen Bagis is being investigated.
Whether scandal touches Erdogan remains to be seen. He claims attempts to do so will be “left empty handed.”
On Christmas day, he reshuffled his cabinet. Three ministers resigned. He sack 10 others. He replaced them. Events are fast-moving.
Erdogan Bayraktar was Minister of Environment and Urban Planning. He was a member of parliament. He felt forced to resign both posts.
He said Erdogan should do so. He claimed suspect construction projects under investigation were approved with Erdogan’s full knowledge.
“With your permission, I want to make very short statements in the form of a press statement,” he said.
“It is of course a right and an authority for Mr. Prime Minister to work with whichever minister he wants and to remove whichever minister he wants from office.”
“But I do not accept the pressure being put on me which says, ‘Resign because of an operation in which there are statements of bribery and corruption and release a declaration that will relieve me.’ “
“I do not (accept it) because a big part of the zoning plans that are in the investigation file and were confirmed were made with approval from Mr. Prime Minister.”
“For the sake of the well-being of this nation, I believe the prime minister should resign.”
He accused him of involvement in suspect property deals. He’s linked to profiteering business interests.
Scandal heads closer to directly connecting him. Perhaps it will as investigations continue. Turkish Professor Soli Ozel called Bayraktar’s call for Erdogan’s resignation “extraordinarily dramatic.”
He’s “someone who was very close to the prime minister. This is someone you’d expect to fall on his sword without question.”
Other analysts see things potentially spinning out of control. Whether Erdogan can prevent it remains to be seen.
He may end up victimized by his own transgressions. It depends on how much public anger grows. He weathered previous crises. It’s hard to know if this one is too great to contain.
Investigations targeted over 90 suspects. Over two dozen were arrested. Dozens of police chiefs were sacked. Erdogan is far from squeaky-clean.
On December 21, Ankara’s police department Anti-Smuggling and Organized Crime Unit head Hakan Yuksekdag was found dead in his car. Officially it was pronounced suicide.
Further investigation is being conducted. The incident occurred a day after 14 senior Ankara National Police Department officials were removed from their posts.
Erdogan blamed ongoing events on an international conspiracy. He vowed revenge on figures connected to Muhammed Fethullah Gulen.
He heads the movement bearing his name. He claims a million or more followers. They include judges and senior police officials.
He’s currently in self-imposed exile. He’s in Pennsylvania. He’s a writer, former imam, and Islamic opinion leader. He’s an important figure.
He’s involved with issues relating to Turkey’s future. He and Erdogan haven’t gotten along for years.
Former Minister of Internal Affairs Idris Naim Sahin said Erdogan’s actions fall short of law and justice. He’s trying to defuse public anger, he said. He’s shifting blame to do it.
Thousands of Istanbul, Ankara, and Ismir protesters demanded Erdogan’s resignation. They did so on Christmas. They did it in other cities. They protested last spring.
They’re justifiably outraged. Their longstanding anger hasn’t waned. Erdogan works against their well-being. Clashes with police erupted. Arrests followed.
Protesters chanted; “Three ministers aren’t enough. The whole government should resign. Corruption is everywhere. Resistance is everywhere.”
Opposition party members accused Erdogan of deepening despotic rule. Critics use the term “deep state.” It refers to a shadowy power structure. It lacks checks and balances.
Turkey’s Republican People’s Party (CHP) is Erdogan’s main rival. It’s Turkey’s oldest political party. It’s AKP’s Main Opposition in the Grand National Assembly. Kemal Kilicdaroglu heads it.
“Erdogan has a ‘deep state,’ ” he said. His AKP “has a ‘deep state.’ ” Efkan Ala is new Interior Minister.
He’s an Erdogan crony. He formerly was Diyarbakir Province governor. He’s part of what’s ongoing, said Kilicdaroglu.
He believes Ala’s appointment is part of an Erdogan power grab. He wants greater police control. Outgoing Interior Minister Muammer Guler fired hundreds of police officers. Senior commanders were sacked.
Erdogan’s new ministers were carefully chosen. He appointed officials “that will not show any opposition to him,” said Kilicdaroglu.
Turkey is more police state than democracy. Press freedom is compromised. Censorship is standard practice. Dissent is verboten. Challenging government authority is called terrorism.
No country imprisons more journalists than Turkey. Corruption is deep-seated. Neoliberal harshness writ large is policy. Popular interests are spurned.
Erdogan represents wealth, power and privilege. It’s hard imagining he’s not involved in corruption in some way. He’s gotten his son-in-law business tycoon sweetheart deals.
He prioritizes Turkey’s business model. It reflects capitalism’s dark side. It includes unrestrained profit-making, privatizations, cheap labor, deregulation, corporate-friendly tax cuts, marginalized worker rights, and speculative capital inflows.
Economic conditions are inherently unstable. Turkey suffers rolling recessions, crisis conditions, and fragile largely jobless recoveries. It’s increasingly dependent on imports of resources and capital goods.
Youth unemployment tops 22%. An entire generation is affected. Conditions are socially and economically unstable.
Privation fuels public anger. Eventually it may spiral out-of-control. It may be just a matter of time. Turkey has a long history of rebellion.
Erdogan is increasingly hated. He weathered last spring’s anti-government protests. It remains to be seen what’s next.
Nicolas Spiro heads Spiro Sovereign Strategy. “The dismissal of half an entire cabinet is worrying enough,” he said. “The corruption probe is escalating by the day.”
It’s “causing a further deterioration in market sentiment towards Turkey.” Erdogan’s new cabinet includes four deputy prime ministers.
Ayse Islam is the only woman appointed. She’s Family and Social Policy Minister. Others include:
Deputy prime minister: Bulent Arinc
Deputy prime minister: Ali Babacan
Deputy prime minister: Besir Atalay
Deputy prime minister: Emrullah Isler
Justice: Bekir Bozdag
Defense: Ismet Yilmaz
Interior: Efkan Ala
Foreign Affairs: Ahmet Davutoglu
European Union: Mevlut Cavusoglu
Finance: Mehmet Simsek
Economy: Nihat Zeybekci
Energy and Natural Resources: Taner Yildiz
National Education: Nabi Avci
Labour and Social Security: Faruk Celik
Environment and Urban Development: Idris Gulluce
Health: Mehmet Muezzinoglu
Transport: Lutfi Elvan
Food, Agriculture and Husbandry: Mehmet Mehdi Eker
Science, Industry and Technology: Fikri Isik
Culture and Tourism: Omer Celik
Forestry and Water Affairs: Veysel Eroglu
Customs and Trade: Hayati Yazici
Development: Cevdet Yilmaz
Youth and Sports: Akif Cagatay Kilic
Scandal erupted months ahead of next March’s local elections. Parliamentary elections involving Erdogan are scheduled in 2015.
If held today, voters might oust him. It’s way too early to know how they’ll react in 2015. Istanbul-based Global Source Partners analyst Atilla Yesilada said ongoing events suggest Erdogan is losing control.
“Forced to act, (he) tried to get rid of his burdens,” he said. “But this is a political crisis, and it is hard to tell how it will unfold. These investigations may expand in coming months.”
Doing so perhaps may link Erdogan to deep-seated corruption. If so, he may be forced to resign. The fullness of time will tell.
Stephen Lendman lives in Chicago. He can be reached at firstname.lastname@example.org.
His new book is titled “Banker Occupation: Waging Financial War on Humanity.”
Visit his blog site at sjlendman.blogspot.com.
“The powers of financial capitalism had (a) far-reaching aim, nothing less than to create a world system of financial control in private hands able to dominate the political system of each country and the economy of the world as a whole. This system was to be controlled in a feudalist fashion by the central banks of the world acting in concert, by secret agreements arrived at in frequent meetings and conferences. The apex of the systems was to be the Bank for International Settlements in Basel, Switzerland; a private bank owned and controlled by the world’s central banks which were themselves private corporations. Each central bank… sought to dominate its government by its ability to control Treasury loans, to manipulate foreign exchanges, to influence the level of economic activity in the country, and to influence cooperative politicians by subsequent economic rewards in the business world.” - Carroll Quigley, member of the Council on Foreign Relations
If one wishes to truly understand the actions behind private Federal Reserve policy, one must come to terms with a fundamental reality – everything the Fed does it does for a reason, and the most apparent reasons are not always the primary reasons. If you think that the Fed simply acts on impulsive stupidity or hubris, then you haven’t a clue what is going on. If you think the Fed only does what it does in order to hide the numerous negative aspects of our current economy, then you only know half the story. If you think the Fed does not have a plan, then you are sorely mistaken…
Central Bankers and their political proponents espouse a globalist ideology, meaning, they are internationalists in their orientation and motivations. They do not have loyalties to any particular country. They do not take an oath to any particular constitution. They do not have empathy for any particular culture or social experiment. They have their own subculture, with their own “values”, and their own social hierarchy. They are a kind of “tribe” or “sect”; a cult,if you will, that views itself as superior to all others. This means that when the central bankers that run the Fed act, they only act with the intention to support and promote globalization, not the best interests of America and Americans.
The process of globalization REQUIRES the dissolution of the U.S. economy as it exists today. Period. There is no way around it. America can no longer remain a superpower in the face of what globalists call “harmonization”. The dollar can no longer maintain its petro-currency status or its world reserve status if total centralization under a new global currency is to be achieved. Globalists believe that America must be sacrificed on the altar of “progress”, and diminished into a mere enclave, a feudal colony of a greater global system. The globalists at the Fed are no different.
Once this driving philosophy is understood, the final conclusion is obvious – the Fed exists to destroy the U.S. financial system and the U.S. currency mechanism. That is what they are here for.
This is why the dollar has lost 98% of its value since the Fed was established in 1913. This is why the Fed deliberately engineered the derivatives bubble crisis through the implementation of artificially low interest rates. This is why their response to the crisis was to create yet another massive bubble in stocks and bonds through QE stimulus. This is why the Fed is cutting stimulus today.
How does the taper play into the long running program of dollar destruction and globalization? Let’s take a look…
The Multifaceted Taper Strategy
In my article ‘Is The Fed Ready To Cut America’s Fiat Life Support’, and my article ‘Expect Devastating Global Economic Changes In 2014′, I predicted that a Fed taper was highly likely. Central banks almost always implant policy shift rumors into the mainstream media a few months before they implement them. They did this for TARP, for QE1, QE2, QE3, and the Taper. In fact, the Fed spent the better part of the past quarter conditioning investors to the idea of stimulus cuts, so I was not at all surprised when they followed through.
The Fed has, of course, now announced a $10 billion QE reduction just in time for Christmas and the 100th anniversary of the privately run institution. In the past, I have pointed out the tendency of central banks to enforce detrimental policy changes while the government, the economy and/or the bank itself is in the midst of a major transition. The Fed’s taper announcement comes just in time for the end of Ben Bernanke’s term as chairman, and the expected nomination of Janet Yellen.
This is done, I believe, because it provides an opportunity to divert blame for a crisis event they know is on the horizon. If attention is ever focused on the Fed specifically for a market downturn or bond disaster triggered by the ever present dollar bubble, Yellen can simply blame the QE policies of Bernanke (who will be long gone), while promising that her “new” policies will surely repair the damage. This placates the public and buys the central bankers time to do even MORE damage.
The taper itself is not just a “head fake”, however. It is a far more complex action. Tapering provides a method of psychologically distancing the Federal Reserve from the consequences of market movements. The banksters are essentially proclaiming to the public that their work is done, they have saved the economy, and now they are moving on, be it only $10 billion at a time. Whatever happens from here on is “not their fault”.
Most alternative analysts expected no taper of QE, and for good reason. While the mainstream touts the propaganda of economic recovery, independent financial experts understand that little to nothing was actually accomplished by the bailouts. Virtually no stimulus was absorbed in a localized way by mainstreet business. Real unemployment counting U-6 measurements still stands at around 20%. Real estate markets and home prices have a received a small boost, which at first glance appears positive until one examines who is actually buying; namely big banks and international investment firms snapping up properties only to reissue them on the market as rentals:
U.S. holiday retail sales and annual retail sales have been the weakest since 2009:
The only thing that QE ultimately accomplished was a spectacular rise in stocks through direct manipulation, which Fed agents like Alan Greenspan and Richard Fisher now openly admit to. The problem is, while gamblers in equities proudly boast about the Fed induced bull run in the Dow and how much money they have made, they remain oblivious to the underlying cost of the charade. Market investors have been enriched, yes, but little do they know that stock legitimacy is about to be sacrificed.
The price to earnings ratio of stocks (the market value of stocks versus what they SHOULD be valued according to the actual earnings of the companies listed) in the S&P 500 today stands at around 15, which is the highest it has been since before the 2008 market crash. Mainstream economists attempt to dismiss the issue by using a 15 year average while claiming that the P/E ratio in 2013 is mild compared to the tech bubble of the late 90′s. What they don’t seem to grasp is that the market of the past four to five years is an entirely different animal compared to 15 years ago.
Stocks in general have received considerable support through purchases by Fed bolstered banks and the Fed itself, creating an atmosphere of artificial demand for equities using QE fiat injections. Though no full audit of the bailouts exists (TARP is the only measure audited so far), it is projected that the banking sector alone has garnered tens of trillions in Fed fiat, which they have used to bolster their otherwise debt ridden holdings. It is only logical to expect that this capital tsunami has been used by numerous companies as a way to present false earnings.Goldman Sachs, JP Morgan, and Morgan Stanley all reported substantial profits for 2009 while at the same time reporting massive liabilities caused by the derivatives crash so that they could collect on the bailout bonanza.
So which one is it? Are companies making profits, or are they wallowing in insurmountable debt while presenting government stimulus as a form of profit?
What the Fed and corporate banks have done is create a market in which neither earnings, nor stock values can be trusted. The fact that the P/E ratio is higher than it has been since 2008 despite this manipulation should concern anyone with any sense.
Worst of all, the Fed’s monetization of U.S. Treasury debt has only expanded while foreign investment in long term debt has contracted. With our official national debt growing by at least $1 trillion per year, our country cannot continue to function without an ever increasing amount of foreign investment, or, Federal Reserve printing. The Fed cannot make cuts to QE if our system is to survive (if you want to call it survival), the Fed must expand QE forever, or at least until the dollar implodes due to hyperinflation.
So then, why has the taper been introduced at all? No one wants it. The government shouldn’t want it. Investors certainly don’t want it. Our economy is utterly dependent on the opposite. What purpose does it serve?
The assumption has always been that the Fed wants to keep the system afloat. I submit that things have changed. I submit that the Fed no longer wishes to prop up our fiscal structure, or at least, no longer wishes to be seen as propping it up. I submit that the Fed is not pursuing dollar destruction through standard hyperinflation, but rather, they are preparing the U.S. for default, which also will result in currency implosion.
The Taper Parallels
“It must not be felt that the heads of the world’s chief central banks were themselves substantive powers in world finance. They were not. Rather they were the technicians and agents of the dominant investment bankers of their own countries, who had raised them up, and who were perfectly capable of throwing them down. The substantive financial powers of the world were in the hands of these investment bankers who remained largely behind the scenes in their own unincorporated private banks. These formed a system of international cooperation and national dominance which was more private, more powerful, and more secret than that of their agents in the central banks. “ - Carroll Quigley, Tragedy And Hope
Initial shock over the taper scenario has not sunk into the markets yet (as Zero Hedge points out, the last time a major central bank cut stimulus measures to a dependent country, stocks rallied, then crashed within months). Few people see much difference between $75 billion per month and $85 billion per month, but the size of the cuts is not really the issue. Rather, it is the Fed’s act of fading into the background that should concern us.
The taper announcement parallels perfectly with the accelerating debate over the U.S. debt ceiling, and I do not think this is at all a coincidence. Tapering seems inconceivable to many, but for the Fed it makes perfect sense if the goal of the globalists is to generate a default scenario while diverting blame. I believe that Americans are being prepared psychologically for just such an event. Already, the White House is warning that government funding will essentially disappear by the end of February:
The expectation fostered by the mainstream media is that a debt fight similar to the October theater will not happen again. I agree. I believe the next debate will be much worse. The vast majority will assume that the “can” will be kicked down the road again, and they may be right, but given the Fed’s behavior, and given that they have begun to taper despite what appears logical, many people may be in for a shock when our government also suddenly decides one day soon to buck assumptions and default rather than prolong the pain.
The full spectrum failure of Obamacare only adds excuse and incentive. There is no longer a legislative centerpiece rationale for further spending. Obama’s approval rating is at historic lows for any president. The stage has been set for the most epic of fake political battles.
The Left and Right leadership, at the top of the pyramid, are nothing more than flunkies for the global elite. If globalists have decided that it is time to apply the final death blows to the dollar, default would be the quickest and most efficient way, and political puppetry can easily make it happen. The calamity would be blamed on “partisan bickering” and “government gridlock”, or even the inefficiency of “democracy”. The Fed, with its taper in place and its fake recovery established, would be presented as the only “sane” institution at America’s disposal.
Perhaps at this point even more pervasive QE programs would recommence, perhaps not. At bottom, though, the taper is not a peripheral issue. It is an action at the center of a much more elaborate process, an action that seems to have been undertaken in preparation for a larger event. The next year is shaping up to be the most chaotic since the debt crisis began in 2008, and as the situation progresses, the subtleties of the Federal Reserve and the international banks that back it must not go unnoticed, or in the end, unpunished.
Source: Brandon Smith | Alt-Market
Researching economic publications on the first century of the Federal Reserve System provides a wealth of financial information that attempts to explain the way the central bank works. Rarely will the academic studies and official reports address the raw nature of a money creation by a private banking monopoly. The common practice of disparaging sources outside government or corporatist business circles, attempts to avoid addressing, much less confronting the plutocracy that controls the debt created money system.
One such source list of the ownership of the Federal Reserve, compiled by Thomas D. Schauf appears on The Federal Reserve Scam! However, before getting to the particulars of the actual families behind the central banking cabal, it is important to go directly to the source of the primary chronicler who investigated and exposed the scheme. The late, Eustace Mullins – Secrets of The Federal Reserve, video reveals the entire sordid background.
Now review 25 Fast Facts About The Federal Reserve You Need To Know, from ETF Daily News that advises investors. The way these items play into the central banking model practiced by all 187 nations that belong to the IMF, demonstrates that banksters of the most select rank, are behind continued debt bubbles that are strangling the world.
On the Left Hook site by Dean Henderson, a five part series on the Federal Reserve provides added documentation. Mr. Henderson cites from Part 1 in this series, The Federal Reserve Cartel: The Eight Families, “They are the Goldman Sachs, Rockefellers, Lehmans and Kuhn Loebs of New York; the Rothschilds of Paris and London; the Warburgs of Hamburg; the Lazards of Paris; and the Israel Moses Seifs of Rome.”
Finally, watch the video by G Edward Griffin Creature From Jekyll Island A Second Look at the Federal Reserve. Mr. Griffin explains the broad picture in simple and clear terms.
With such definitive information available and widely known within financial circles, why is the public so content to remain in the dark? They live under the aftermaths of the Federal Reserve is a Cache of Stolen Assets, but resign themselves to the oblivion of lost expectations and the burden of diminished opportunities.
“Think about who really owns the land, the buildings and the resources in our country. In order to really understand the scope and extent of the economy, the differential between actual Main Street enterprise, that feeds, clothes and shelters the population, is minuscule when compared to the financial assets, both liquid and real property, that is under the command and control of the central bank.”
The political class and the business establishment simply refuse to buck the controllers of the currency. Attempts for a Jackals of Jekyll Island – Federal Reserve Audit, are pushed aside because any accountability for the Fed would ripple throughout the entire world fiat paper banking system. ”The FED’s grip on the global moneychangers’ racket is based upon maintaining the U.S. Federal Reserve funny money, as the reserve currency for the planet. The value and worth of Treasury Bills and Bonds are on the path to have the value of
Reichsbank marks. Recognize the enemy that is destroying the country and world economy.”The Cato Institute provides a working paper, Has the Fed Been a Failure?, that traces the history, avowed mission and actual results of the Federal Reserve System. This scholarly approach acknowledges that other financial frameworks are “relatively easy to identify viable alternatives to the adoption of the Federal Reserve Act in 1913.”
“However, recent work suggests that there has been no substantial overall improvement in the volatility of real output since the end of World War II compared to before World War I . . . the Fed cannot be credited with having reduced the frequency of banking panics or with having wielded its last-resort lending powers responsibly. In short, the Federal Reserve System, as presently constituted, is no more worthy of being regarded as the last word in monetary management than the National Currency System it replaced almost a century ago.”
Lastly, the essay, Who Owns The Federal Reserve?, by Ellen Brown, substantiates that the “Fed is privately owned, and its shareholders are private banks. In fact, 100% of its shareholders are private banks. None of its stock is owned by the government.”
Since the adoption of a private banking, money creation venture, the dollar has lost virtually its entire store of value. The currency has lost its universal acceptance, as multiple alternatives circulate to replace its reserve status.
The Federal Reserve’s First 100 Years: A Dismal Record by Dan Ferris, identifies the ultimate consequence of the stewardship under a central bank. “The century prior to the Fed, despite setbacks, was a century of improvement in the dollar’s value. The century after it, despite enormous gains in productivity, was a century of rampant Federal Reserve destruction of the dollar’s value.”This failure to maintain and preserve the integrity of the dollar is no accident. The actual purpose of the architects of the Federal Reserve System has never changed. Consolidate the control of money into a concealed cartel of banking houses that ultimately decide economic and political policy.
Dispensing of credit to corporatist projects, owned or run by reliable operatives of the cabal is the objective. The only beneficiaries are the original stockholders.
“Under the terms of the Federal Reserve Act, public stock was only to be sold in the event the sale of stock to member banks did not raise the minimum of $4 million of initial capital for each Federal Reserve Bank when they were organized in 1913 (12 USCA 281). Each Bank was able to raise the necessary amount through member stock sales, and no public stock was ever sold to the non-bank public.”
For the rest of Americans, the Federal Reserve conspiracy is an ongoing theft syndicate. It only takes the will to admit the undeniable. Without the courage to abolish this usury monster, the next century will witness the total destruction of the country.
No one can question the fact that the demand for silver has grown exponentially in the past few years, record sales for American Eagle coins being one small example, record buying in India, another larger example. Demand has never been greater. Supply, on the other hand, keeps diminishing.
Global mining production is at its lowest in the past decade. The annual Consumption/ Production ratio is indicative of acute deficits. Whenever there is a situation where demand rises sharply, while supply commensurately declines, it is a recipe for higher prices, and usually, much higher prices. This is true, unless one is talking about the silver market. Under the conditions of record rising demand and considerably less supply, the price of silver is at its lowest levels in the past three years.
With talk of silver going anywhere from $150 to $500 higher, it currently struggles to hold $20, why is this so?
The answer is not to be found in the myriad supply and demand figures, no matter how cogently presented: as absolute numbers, or dramatically presented graphs, and with so many comparisons to other times/situations. Facts and figures do not lie. Politicians and bankers do.
The reason why silver continues to languish is purely a political one. Silver, along with gold, compete against fiat currencies. All [Western]currencies are issued by central banks. All central banks are owned by the elites, New World Order, [NWO], the moneychangers, call them whatever you will. These elites have a vested interest in preserving the Ponzi monopoly they have enjoyed ever since Mayer Amschel Rothschild discovered the power of interest collected on debt, over 200 years ago.
Debt = Wealth. That is the motto for the elites who charge their central banks with running up as much debt as possible for every man, woman, child. and country. The more debt, the more interest owed to the 1/10th of 1% who own the world’s wealth. As an example, what was the answer to resolve Greece’s unmanageable debt problems? Have that country borrow even more!
The problem today is that the NWO is losing its grip as the growth of debt escalates to previously unimagined levels. The biggest threat to fiat currencies is sound money, such as being backed by gold and silver. This is why the United States eliminated the backing of United States Notes with silver and gold. This move was instigated by the elites who have controlled the United States since it was forced into bankruptcy in 1933.
The next move was to have President Nixon repudiate gold backing in 1971. The stage was set to flood the world with Federal Reserve Notes, backed by oil, hence the petro-dollar as the world’s reserve currency. The US has been exporting its debt-ridden society on the world ever since. What it did not count on was China, even Russia, to a lesser extent, emerging as world powers, and world powers that now have the gold.
The Western central bankers have been leasing, hypothecating and re-hypothecating gold with impunity, no country ever strong enough to challenge Western financial supremacy. Then, in the 1990s, China wanted its gold back from the United States. “Sorry, Chinks!” was the arrogant response from the US. It was gone, “leased” out to keep a controlled lid on the world’s price of gold. Central bankers were running a scam, one of the largest Ponzi schemes, ever.
It is now payback by the Chinese. Now aligned with Russia, Brazil, India, and South Africa, the BRICS nations have formed a trading alliance outside of the US petro-dollar. The world’s reserve currency has not only been challenged, it has fast become irrelevant, except in West and EU, and even in the EU, that is changing.
The golden genie was let out of the bottle over a decade ago, and all the central bankers cannot put it back. Every attempt has been made to keep a lid on the price of silver and gold by central bankers desperate to hang onto their waning power. This is why Germany was told it would have to wait seven years to get its gold back from the Federal Reserve Bank of New York. It simply ain’t there, anymore. Gone. Guess where it is?
China. Retribution can be a bitch. The East is over taking the West, and they are doing it by buying all the available physical silver and gold. Even more. China has been on a shopping spree, buying as many precious metals mining operations around the world as are available. Here is your largest demand factor, followed by the remaining BRICS nations.
What about diminishing supply? What about the almost empty vaults at COMEX and LBMA? What about the demand of 68:1 claim for each ounce of gold? What about… insert your own example of how supply is being exhausted. All factual, all true.
The elephant in the room no one is addressing is the political one. The elites have kept pressure on PMs to keep their last gasp efforts of control alive. The current price of silver has nothing to do with supply and demand, nothing. It is all about central banks being used by the elites to prevent silver and gold from exposing the fraud.
There was a reason why, in the Wizard of OZ, the theme was to “follow the yellow brick road.” The all-controlling Wizard behind the curtain was a fraud. The all-controlling elites behind the central bank curtain are also a fraud, but a more sinister one that has been cornered like a rat, and they are fighting back.
The way in which the elites are fighting back is why silver is under $20, right now. If the price of silver were allowed to rally and reflect reality, the exponentially higher prices would expose what lies behind the central bank fraud. The market is rigged. The sad truth is all markets are rigged. The Libor interest rate market, the Federal Reserve taper-on stock market, the OPEC oil market, the De Beers diamond market, the US world-wide drug trade market, the pharmaceutical market, the food supply market. Each factor that controls a specific market is also ultimately controlled by the elites, the New World Order.
If you want an idea of what to expect for the future price of silver, one only has to look at Bitcoin. It is not a government regulated market, and it is one that has taken the world by surprise. Just a few years ago, Bitcoin was under $1. Recently, it ran up to over $1,200. The appetite for any fiat alternative is huge. Bitcoin is not a currency, nor does it have the history of being currency-backed like silver and gold do. Once the lid is taken off the precious metals markets, they will leave Bitcoin in the dust.
The good news is: every single fiat currency throughout the history of the world has failed. An ounce of silver is still the same ounce of silver from thousands of years ago. The bad news is: no one knows for how much longer the elites can keep control, via their central banks, in suppressing the price. The good news to the bad news is that the end is near.
We are looking at the sale of the century for the price of silver, right now. There is a reason why China, Russia, and India have been huge buyers of physical silver and gold. Because of silver’s properties of being an indispensable necessity for industrial use, it has been used up considerably more than has gold. Both will rise incredibly in the not too distant future, and odds based on the gold/silver ratio favor silver.
One is likely to experience a greater return on investment in silver over gold. There is never any guarantee, but using historical relationships between the two makes silver a better buy and hold. The ratio is around 62:1. As both metals rise, once freed from central bank tentacles, the probability is that the ratio will move more toward 20:1. Wherever it goes, anything less than 62:1 makes silver preferred, on that basis.
This remains the best opportunity to be buying and holding physical silver. Only buy the physical metal, in coin or bar form, as you can afford. Do not buy silver in any form of paper, for you are unlikely to ever received physical, if promised. Plus, the fine print will tell you that delivery can be made in some form of paper payment in place of physical delivery.
If one has learned anything over the past few years, it is that governments cannot be trusted, and there is zero credibility in banks, all thieves, given the opportunity. Does it make sense to wait for the “best price possible?” Not as far as we are concerned. Silver may not be available at any price, or in very limited quantities, at some point. Plus, the reasons for buying are about wealth preservation that will eventually lead to increased wealth, when price finds its eventual true level. It is not worth the risk if you intend to accumulate silver and then not be able to buy any.
There could be one more new low in the near future, but that does not mean the physical will be commensurately lower. It is a personal choice. The time to buy is now, in the present. When silver eventually reaches over $150 the ounce, will it have made any material difference if you paid a dollar or two more or less the ounce? We live in an increasingly Orwellian world. Name, address, and SSN may be required, at some point. Anonymity will be lost.
The past cannot be changed, the future has not yet happened, so we can only deal with the present tense. The use of charts has its detractors, many simply from an inability to understand them, some from misapplying them, and a few from saying the charts are not real because they reflect the paper market, which is rigged. True, true, and true. However, paper valued or not, even the price for the physical is dictated by the paper market, [at least for now]. Until that changes, it is the only game in town.
Most people have something to say about the silver market. Here is how we see what the silver market has to say about the people trading it. For anyone not overly used to looking at charts, they do convey a certain degree of logic, and the message can, at times, be incredibly helpful.
A chart reflects the directional momentum of price behavior exhibited by participants. It is a way of tracking the results of all bets being placed, and it is the best way to see how the most skilled and informed, what we call smart money that moves markets, operate. Smart money trades with prevailing price direction, called the trend. They buy low and sell high, axiomatically, so it pays to have an idea of what they are doing.
A monthly chart provides the overall history and context of a market, and it is closely followed by smart money. Most traders/investors do not even look at monthly charts. We look for any existing synergy between the various time frames, for it tells a more compelling “story” about what is likely to happen. To the degree any synergy may be apparent, the greater the degree of logic one can glean from the charts.
According to the charts, the price of silver is not ready to reverse its trend. The monthly chart, and the lower time frames, clearly indicate the trend as down. Knowledge of the trend is the most important piece of information one can have, as a starting point.
As a general rule, extreme economic decline is almost always followed by extreme international conflict. Sometimes, these disasters can be attributed to the human survival imperative and the desire to accumulate resources during crisis. But most often, war amid fiscal distress is usually a means for the political and financial elite to distract the masses away from their empty wallets and empty stomachs.
War galvanizes societies, usually under false pretenses. I’m not talking about superficial “police actions” or absurd crusades to “spread democracy” to Third World enclaves that don’t want it. No, I’m talking about REAL war: war that threatens the fabric of a culture, war that tumbles violently across people’s doorsteps. The reality of near-total annihilation is what oligarchs use to avoid blame for economic distress while molding nations and populations.
Because of the very predictable correlation between financial catastrophe and military conflagration, it makes quite a bit of sense for Americans today to be concerned. Never before in history has our country been so close to full-spectrum economic collapse, the kind that kills currencies and simultaneously plunges hundreds of millions of people into poverty. It is a collapse that has progressed thanks to the deliberate efforts of international financiers and central banks. It only follows that the mind-boggling scale of the situation would “require” a grand distraction to match.
It is difficult to predict what form this distraction will take and where it will begin, primarily because the elites have so many options. The Mideast is certainly an ever-looming possibility. Iran is a viable catalyst. Syria is not entirely off the table. Saudi Arabia and Israel are now essentially working together, forming a strange alliance that could promise considerable turmoil — even without the aid of the United States. Plenty of Americans still fear the Al Qaeda bogeyman, and a terrorist attack is not hard to fabricate. However, when I look at the shift of economic power and military deployment, the potential danger areas appear to be growing not only in the dry deserts of Syria and Iran, but also in the politically volatile waters of the East China Sea.
China is THE key to any outright implosion of the U.S. monetary system. Other countries, like Saudi Arabia, may play a part; but ultimately it will be China that deals the decisive blow against the dollar’s world reserve status. China’s dollar and Treasury bond holdings could be used as a weapon to trigger a global sell-off of dollar-denominated assets. China has stopped future increases of dollar forex holdings, and has cut the use of the dollar in bilateral trade agreements with multiple countries. Oil-producing nations are shifting alliances to China because it is now the world’s largest consumer of petroleum. And, China has clearly been preparing for this eventuality for years. So, given these circumstances, how can the U.S. government conceive of confrontation with the East? Challenging one’s creditors to a duel does not usually end well. At the very least, it would be economic suicide. But perhaps that is the point. Perhaps America is meant to make this seemingly idiotic leap.
Here are just some of the signs of a buildup to conflict…
Currency Wars And Shooting Wars
In March 2009, U.S. military and intelligence officials gathered to participate in a simulated war game, a hypothetical economic struggle between the United States and China.
The conclusions of the war game were ominous. The participants determined that there was no way for the United States to win in an economic battle with China. The Chinese had a counterstrategy to every U.S. effort and an ace up their sleeve – namely, their U.S. dollar reserves, which they could use as a monetary neutron bomb, a chain reaction that would result in the abandonment of the dollar by exporters around the world . They also found that China has been quietly accumulating hard assets (including land and gold) across globe, using sovereign wealth funds, government-controlled front companies, and private equity funds to make the purchases. China could use these tangible assets as a hedge to protect against the eventual devaluation of its U.S. dollar and Treasury holdings, meaning the losses on its remaining U.S. financial investments was acceptable should it decide to crush the dollar.
The natural response of those skeptical of the war game and its findings is to claim that the American military would be the ultimate trump card and probable response to a Chinese economic threat. Of course, China’s relationship with Russia suggests a possible alliance against such an action and would definitely negate the use of nuclear weapons (unless the elites plan nuclear Armageddon). That said, it is highly likely that the U.S. government would respond with military action to a Chinese dollar dump, not unlike Germany’s rise to militarization and totalitarianism after the hyperinflationary implosion of the mark. The idea that anyone except the internationalists could “win” such a venture, though, is foolish.
I would suggest that this may actually be the plan of globalists in the United States and their counterparts in Asia and Europe. China’s rise to financial prominence is not due to its economic prowess. In fact, China is ripe with poor fiscal judgment calls and infrastructure projects that have gone nowhere. But what China does have on its side are massive capital inflows from global banks and corporations, mainly based in the United States and the European Union. And, it has help in the spread of its currency (the Yuan) from entities like JPMorgan Chase and Co. The International Monetary Fund is seeking to include China in its global basket currency, the SDR, which would give China even more leverage to use in breaking the dollar’s reserve status. Corporate financiers and central bankers have made it more than possible for China to kill the dollar, which they openly suggest is a “good thing.”
Is it possible that the war game scenarios carried out by the Pentagon and elitist think-tanks like the RAND Corporation were not meant to prevent a war with China, but to ensure one takes place?
The Senkaku Islands
Every terrible war has a trigger point, an event that history books later claim “started it all.” For the Spanish-American War, it was the bombing of the USS Maine. For World War I it was the assassination of Archduke Franz Ferdinand of Austria. For U.S. involvement in World War I, it was the sinking of the Lusitania by a German U-Boat. For U.S. involvement in World War II, it was the attack on Pearl Harbor. For Vietnam, it was the Gulf of Tonkin Incident (I recommend readers look into the hidden history behind all of these events). While the initial outbreak of war always appears to be spontaneous, the reality is that most wars are planned far in advance.
As evidence indicates, China has been deliberately positioned to levy an economic blow against the United States. Our government is fully aware what the results of that attack will be, considering they have gamed the scenario multiple times. And, by RAND Corporation’s own admission, China and the United States have been preparing for physical confrontation for some time, centered on the concept of pre-emptive strikes. Meaning, the response both sides have exclusively trained for in the event of confrontation is to attack the other first!
The seemingly simple and petty dispute over the Senkaku Islands in the East China Sea actually provides a perfect environment for the pre-emptive powder keg to explode.
China has recently declared an “air defense zone” that extends over the islands, which Japan has already claimed as its own. China, South Korea and the United States have all moved to defy this defense zone. South Korea has even extended its own air defense zone to overlap China’s.
China has responded with warnings that its military aircraft will now monitor the region and demands that other nations provide it with civilian airline flight paths. China has also stated that it plans to create MORE arbitrary defense zones in the near future.
The U.S. government under Barack Obama has long planned a military shift into the Pacific, which is meant specifically to counter China’s increased presence. It’s almost as if the White House knew a confrontation was coming.
And most recently, the Japanese press has suggested that war between the two countriescould erupt as early as January.
China, with its limited navy, has focused more of its energy and funding into advanced missile technologies — including “ship killers,” which fly too low and fast to be detected with current radar. This is the same strategy of cheap compact precision warfare being adopted by countries like Syria and Iran, and it is designed specifically to disrupt tradition American military tactics.
Currently, very little diplomatic headway has been made or attempted in regards to the Senkaku Islands. The culmination of various ingredients so far makes for a sour stew.
All that is required now is that one trigger event — that one ironic “twist of fate” that mainstream historians love so much, the spark that lights the fuse. China could suddenly sell a mass quantity of U.S. Treasuries, perhaps in response to the renewed debt debate next spring. The United States could use pre-emption to take down a Chinese military plane or submarine. A random missile could destroy a passenger airliner traveling through the defense zone, and both sides could blame each other. The point is nothing good could come from the escalation over Senkaku.
Why Is War Useful?
What could possibly be gained by fomenting a war between the United States and China? What could possibly be gained by throwing America’s economy, the supposed “goose that lays the golden eggs”, to the fiscal wolves? As stated earlier, distraction is paramount, and fear is valuable political and social capital.
Global financiers created the circumstances that have led to America’s probable economic demise, but they don’t want to be blamed for it. War provides the perfect cover for monetary collapse, and a war with China might become the cover to end all covers. The resulting fiscal damage and the terror Americans would face could be overwhelming. Activists who question the legitimacy of the U.S. government and its actions, once considered champions of free speech, could easily be labeled “treasonous” during wartime by authorities and the frightened masses. (If the government is willing to use the Internal Revenue Service against us today, just think about who it will send after us during the chaos of a losing war tomorrow.) A lockdown of civil liberties could be instituted behind the fog of this national panic.
Primarily, war tends to influence the masses to agree to more centralization, to relinquish their rights in the name of the “greater good”, and to accept less transparency in government and more power in the hands of fewer people. Most important, though, is war’s usefulness as a philosophical manipulation after the dust has settled.
After nearly every war of the 20th and 21st century, the subsequent propaganda implies one message in particular: National sovereignty, or nationalism, is the cause of all our problems. The establishment then claims that there is only one solution that will solve these problems: globalization. This article by Andrew Hunter, the chairman of the Australian Fabian Society, is exactly the kind of narrative I expect to hear if conflict arises between the United States and China.
National identity and sovereignty are the scapegoats, and the Fabians (globalist propagandists) are quick to point a finger. Their assertion is that nation states should no longer exist, borders should be erased and a one-world economic system and government should be founded. Only then will war and financial strife end. Who will be in charge of this interdependent one world utopia? I’ll give you three guesses…
The Fabians, of course, make no mention of global bankers and their instigation of nearly every war and depression for the past 100 years; and these are invariably the same people that will end up in positions of authority if globalization comes to fruition. What the majority of people do not yet understand is that globalists have no loyalties to any particular country, and they are perfectly willing to sacrifice governments, economies, even entire cultures, in the pursuit of their “ideal society”. “Order out of chaos” is their motto, after all. The bottom line is that a war between China and the United States will not be caused by national sovereignty. Rather, it will be caused by elitists looking for a way to END national sovereignty. That’s why such a hypothetical conflict, a conflict that has been gamed by think tanks for years, is likely to be forced into reality.
Source: Brandon Smith | Alt-Market
What is more frightening, then the loss of your money. Since most people have, some meager amount held in some form of a financial institution, the prospect of the banksters’ cabal placing a charge against your account for the mere privilege of maintaining a deposit, is horrible. The Business Insider warns, In The Future, You May Have To Pay The Bank To Hold Your Money, and raises a very dreadful prospect.
“In recent weeks, economists have discussed the idea of how to implement a negative interest rate while preventing people from hoarding paper currency. Economist Miles Kimball has discussed creating an electronic currency and having an exchange rate between it and dollar bills. Others have discussed going cashless and eliminating paper currency altogether.”
Negative interest rates simply mean it will cost you, in fees or service charges, to hold money in banking accounts. Examine Professor Kimball’s ivory tower justification for seizing the value and purchasing power of your savings.
“University of Michigan economist Miles Kimball has developed a theoretical solution to this problem in the form of an electronic currency that would allow the Fed to bring nominal rates below zero to combat recessions. He’s been presenting his plan to different economists and central bankers around the world. Kimball has also written repeatedly about it and was recently interviewed by Wonkblog’s Dylan Matthews.”
Now dig deep into the mind of a mentally ill pseudo intellectual to see just how far from rational money policy such monetary eggheads go to provide cover for the fractional reserve central bankers.
“If we repealed the “zero lower bound” that prevents interest rates from going below zero, there would be no need to rely on the large scale purchases of long-term government debt that are a mainstay of “quantitative easing,” the quasi-promises of zero interest rates for years and years that go by the name of “forward guidance,” or inflation to make those zero rates more potent.”
This threat is a continuation from the initial trial balloon that appeared in the Financial Times. A video rant about, Banks to Start Charging You on Deposits, goes ballistic with outrage that the money-centered banks are emboldened as to telegraph their intentions of raiding the nest egg savings of depositors. While the justifiable emotion is understandable for a beleaguered public, the economic aftermaths of interjecting massive QE reserves is explained well by Zerohedgein recent reports with the accompanied chart.
“Furthermore, contrary to what the hypocrite banker said that ”the danger is that banks are pushed into riskier assets to find yield“, banks are already in the riskiest assets: just look at what JPM was doing with its hundreds of billions in excess deposits, which originated as Fed reserves on its books – we explained the process of how the Fed’s reserves are used to push the market higher most recently in “What Shadow Banking Can Tell Us About The Fed’s “Exit-Path” Dead End.”
What the real danger is, is that once the Fed lowers IOER and there is a massive outflow of deposits, that banks which have used the excess deposits as initial margin and collateral on marginable securities to chase risk to record highs (as JPM’s CIO explicitly and undisputedly did) that there would be an avalanche of selling once the negative rate deposit outflow tsunami hit.”
Hence, this move to prepare the bank customer for another hosing by imposing negative rates actually is a desperate attempt to keep the derivative “day of reckoning” from hitting. This strategy will not work. In the Negotium article, Low Interest Rates Impoverish Savers, makes the point: “Designed lowering of our standard of living is visible at every turn. The money-centered banks recapitalized their balance sheets at the expense of the passbook accounts customers.”With the expectation that bank accounts will actually experience debit fees for parking money will result in a massive outflow of capital. Where will the money go? Will the banks allow the return of your deposits in cash or will they impose significant costs and delay withdrawals?
Consider that under a banking system, which automatically reduces your balances, the acceleration of stripping your net worth goes into high gear. No sane individual would accept this theft willingly. However, the transition to a cashless economy might well inflict a call back of cash (Federal Reserve Notes) in circulation for an enforced substitute legal tender. Or else some variation of the “killer” Kimball electronic compulsory account may be imposed under strict governmental supervision.
Under such a circumstance, the mandatory medium of exchange strips all personal ownership from the individual. Money, in whatever form it takes, no longer will be your own property.
Negative interest rates institutionalize systemic inflation into every transaction. Throughout history, usury is condemned for charging interest on lending. What term should be used for paying no interest on capital saved? Anthony Migchels argues in Our Chains are Forged by Usury, that the objective is to create an interest-free money supply. Much like the Kimball electronic currency, the Migchels alternative resides in his own twisted hermitage, read accordingly.
“The problem is not the creation of money! Quite the opposite: it’s marvelous that we never need to have a shortage of money. The problem is when the bookkeeper starts raping the debitor with interest for no other reason than the associated minus.”
While debt is the central issue in all financial bubbles, the solution is not to destroy wealth creation through capital saving. Until a universal model of wizardry or alchemy is adopted that creates a stable store of value, independent from work, ingenuity or greed; expectations of an interest free currency are pipe dreams.
The benefits from negative interest rates all go to the banksters. The borrower never sees FREE interest loans, nor does the saver earn a fair rate of return. The maxim remains, Those with the Gold, Make the Rules, is no different in the age of the New World Order of central banking. Starving the saver is negative for the rest of us.
The following is the text of a talk I gave at the Seek, Speak and Spread Truth Conference in London last Saturday, 23 November, 2013.
History, we are told, is an attempt to narrate the past. But in reality, more than often history has little to do with revealing the past. It is instead an orchestrated and institutional attempt to shove the shame deep under the carpet.
Much Jewish history texts, for instance, are there to divert the attention from the peculiar and tragic fact that along their history, Jews have managed to bring on themselves an endless chain of disasters. But Palestinian history at large, is no different. After more than a century of liberation struggle, the situation in Palestine is worse than ever, yet Palestinian scholarship, as we will soon see, is drifting away from any possible understanding of the circumstances that led to their ongoing disaster.
Although the Brits have many war crimes attached to their names, the British Imperial War Museum decided to allocate a whole floor to the Jewish Holocaust instead of featuring one of the British-made genocides. The Brits, like everyone else, prefer to conceal their shame.
Historical accounts are commonly there to suppress the truth and conceal our shame. Yet, it is far from clear who is in charge, who decides what must be covered up and which path must be taken in order to suppress the truth.
Apparently, restricting the terminology and limiting freedom of expression by means of (political) correctness are probably amongst the most popular methods. Sadly enough, Palestine solidarity discourse is a spectacular test case in that regard.
A brief examination of each of the terminological pillars and the principles that shape our vision of the conflict, of its history and of its possible solution are there to conceal the obvious causes, ideologies and belief system that drive the crimes in the Middle East in general and in Palestine in particular.
We’ll now scrutinize the terminology and notions that are involved in the debate over Palestine and expose once again the deceitful nature that is unfortunately intrinsic to the contemporary progressive discourse.
Zionism – Palestinian solidarity members are required to avoid the ‘J’ word and to use the word ‘Zionism’ instead. I recently revealed that Ali Abunimah, one of my current arch detractors, advised me a few years ago to refer to Zion when I really think Jewish so he and I “might find grounds for a lot of agreement….” In fact Abunimah was not alone. Jewish Voice For Peace approached me with a pretty much similar offer about the same time.
The truth of the matter is that Israeli politics has little to do with Zionism. Israelis are hardly familiar with Zionist ideology, nor they are concerned or motivated by Zionist praxis. Zionism is largely a Jewish Diaspora discourse that vows to establish a Jewish National home in Palestine and to civilize the Jew by means of nationalism. Israel is obviously the product of the Zionist project; however, the Israelis see themselves as post-revolutionary subjects – they transformed the Zionist dream into a practical reality.
Thus, criticism of Zionism per se hardly touches Israelis or Israeli politics. If anything, it actually diverts the attention from the crimes that are committed by the Jewish State in the name of the Jewish people.
But then, why do we use the term Zionism instead of referring to Jewish power, Jewish politics or the Jewish State? Simple: we do not want to offend the ‘anti-Zionist’ Jews and Jews in general. We consciously choose to let Israel off the hook. Apparently we much prefer to target a phantasmic imaginary object that means very little rather than simply calling spade a spade.
Colonialism - Palestinian solidarity activists are expected to pepper their sentences with different permutations of the word ‘colonial’ with the hope that the more they use it the more it is likely to stick eventually. Consequently, activists and scholars commonly refer to Israel and Zionism as a ‘colonial project’. But they are obviously wrong.
Colonialism is traditionally defined as a clear material exchange between a ‘mother State’ and a ‘settler State’. Israel is no doubt a settler state, yet, no one can suggest who exactly was or is her mother.*
So why do we refer to Israel and Zionism as a colonial project? Simple: it saves us from admitting that the Jewish national project is indeed a unique project with no precedent in history. It would save us from admitting that we do not understand this project nor do we know where it aims. The Left and the so-called ‘anti-Zionist’ Jews cling to the colonial paradigm because it locates Israel and Zionism within a model they and their audience are slightly familiar with. The colonial paradigm suggests that the Jewish national project is as vicious as the British or French colonialism. But the grave truth is that we are dealing here with a unique form of abusive nationalist, racist project.
Settler Colonialism – in recent years a new terminological spin popped up within the Palestine solidarity ranks, namely ‘settler colonialism.’ I guess that my criticism of the colonial paradigm has shaken a few of the so-called progressive and ‘anti’ Zionists intellectuals, and they were pushed to revise their theoretical narrative. Their effort brought to the world a new deformed dysfunctional theoretical baby. But sadly enough, ‘settler colonialism’ also hardly explains a thing. It is rather a desperate attempt to further conceal the truth of the Jewish National project.
Settler Colonialism refers to the situation in which Super Power ‘A’ facilitates the settlement of Ethnic Group ‘B’ on Land ‘C’. Such an event may lead eventually to some grave consequences as far as indigenous population ‘D’ is concerned.
But here is the problem. This historical scenario A-B-C-D has nothing in common with Zionism, Israel or the Israeli Palestinian conflict. In reality, it was Zionists (B) who actually persuaded Britain, at the time a super power (A), that a Jewish Homeland in Palestine (C) is the right way forward. It was also Zionists (B) who promised to help pushing America into World War One that led Lord Balfour to commit the British empire (A) to the Zionist cause. In short, instead of the A-B-C-D chain of events, when it comes to Zionism, what we easily detect is a B-A-C-D chronology. It is the ethnic group ‘B’ that pushes Super Power ‘A’ to act in its favour.
But then we may want to ask ourselves why is it that Palestinian solidarity activists such as Ben White are consciously lying when they speaks about “settler-colonial past and present.” Unfortunately White is not alone, the list of academics and scholars who participate in the dissemination of this false narrative is pretty impressive.
Why do they deceive, is it because they are an ignorant bunch? Not at all, they are actually dedicated scholars, it is just intellectual integrity that they lack, and severely.
Spreading the ‘settler colonialism’ narrative is, once again, intended to divert the attention from the embarrassing fact that already in 1917 the Jewish Lobby was amongst the strongest lobbies in the land. Such an admission could easily offend many Jews within the Palestine solidarity movement. Seemingly, we really do not want to offend anyone but intelligence.
Apartheid – Solidarity activists are inclined to refer to Israel as an apartheid state. They obviously let the Jewish State off the hook. Apartheid is commonly defined as a racially driven system of exploitation. But Israel is not Apartheid, it is not interested in exploitation. Israel is far worse, it wants the Palestinians gone. Israel is a racially driven, nationalist ethnic cleanser. In that regard, Israel is very similar to Nazi Germany. But this is exactly the equation we are supposed to avoid because it may hurt the Jews and even confuse the Left.
Two State / One State Debate – The philosophy behind the ‘one state solution’ is obviously ethical and universal. But there is one slight problem. It finds no political partners or supporters within the Israeli society. Why? Because Israel is the Jewish State and the notion of Peace is totally foreign to Israeli and Jewish culture. The word ‘Shalom’ that is commonly translated as peace, reconciliation and harmony, is understood in Hebrew as ‘security for the Jews’.
Accordingly, it was very embarrassing to read Palestinian prominent intellectual Joseph Massad make some gross mistakes misinterpreting the word ‘peace’ in the context of the Zionist ideology and Israeli politics.
In a recent article named Peace Is War: Israeli settler-colonialism and the Palestinians Massad wrote: “Waging war as peace is so central to Zionist and Israeli propaganda that Israel’s 1982 invasion of Lebanon, which killed 20,000 civilians, was termed ‘Operation Peace for Galilee’”.
If Massad had committed to proper scholarship he would probably find out that, as far as Israelis are concerned, operation ‘Shlom Ha-Galil’ really meant ‘security’ for the Galilee rather than ‘Peace for Galilee’. Massad could have saved himself this intellectual blunder if he had read The Wandering Who rather than attempting to burn the book, whose author actually delves into the topic occasionally.
Israelis would support the One State Solution as long as it is One Jewish State. As Paul Larudee suggested recently, the Israelis would also support the Two State Solution as long as it is Two Jewish States. Yet the only question that bugs me is, why would a Palestinian blogger such as Ali Abunimah go out of his way to stop us from looking into the tribal and racist culture that drives the Jewish State?
Is it possible that some of the prominent Palestine voices also do not want to offend the Jews? I will let you judge.
Is it really the Right of Return? or 1948? For many years I was convinced that the Nakba was at the core of the Palestinian plight. But then monitoring BDS Movement (Boycott, Divestment and Sanction of Israeli goods, culture and academia) politics taught me that I could have been deluded.
When BDS was formed in 2005 this was its first goal:
1. Ending its (Israeli) occupation and colonization of all Arab lands and dismantling the Wall; (2005)
But then, without any attempt to discuss the matter publicly, BDS headquarters in Ramallah changed its first goal. It now reads:
1. Ending its occupation and colonization of all Arab lands occupied in June 1967 and dismantling the Wall;
Some efforts have been made to make sure that Palestinian organisations are aware of this crucial change. Adding the 1967 made it clear that BDS de facto accepted the existence of a Jewish State over Palestine.
Interestingly enough, not many Palestinians were really outraged by BDS dropping the 1948 and accepting Israel as a fact. I guess that the meaning of it is simple. As far as Palestinians in exile in the West are concerned, 1948 and the Right of Return are not the real topic. I guess that such an agenda is not driven by the concern for the Palestinian refugees in Lebanon or Syria. I assume that refugees in Gaza and Jenin may also be outraged but, as things stand, we can hardly hear their voices anyway. I guess that BDS is there to appease the ‘Jews in the movement’ and even liberal Zionists. This is hardly surprising considering the embarrassing fact that liberal Zionist George Soros who funds the Light Zionist J-Street also funds BDS as well as many other Palestinian NGOs.
As we can see; Zionism, Colonialism, Settler-Colonialism, Apartheid, BDS and even The One State Solution are all misleading concepts and they are shaped to not offend the anti Zionist Jews and even Jews in general. This surreal and macabre political act explains why the solidarity movement has failed to deliver on every and each front, except one of course. With the support of liberal Zionists such as Soros, Palestine solidarity is now a little industrial affair that is pretty successful in maintaining itself. The absurd outcome is that the newly emerging Palestine solidarity industry actually benefits from the constant escalation of the crisis in Palestine – the worse is the situation on the ground, the more funding is pumped through the industry.
I guess that if we want to grasp what is behind this constant regression, concealment and repression are obviously the key words.
Concealment and repression lead towards stagnation. This is exactly what we see in Palestine and for more than a while – 100 years of struggle that led to a complete failure. Palestinian Solidarity is now farther than ever from understanding Zionism, Israel and the conflict. The so-called ‘movement’ is entrenched within a muddy terminological swamp that results in intellectual and spiritual paralysis.
This is exactly the point where truth and truth seeking come into play. The role of the intellectual and the artist is to unveil the concealed. To look into the pain and to dig into the essence. This search for essentiality is similar to the role of the psychoanalyst who delves into the realm of the unconscious.
When it comes to Palestine we have to grasp, once and for all, what the Jewish State stands for. We have to understand what Judaism and Jewishness are. We have to grasp who are the Jews, what unifies them and vice versa. We must learn the relationships between these distinct categories and Zionism and only then may we be ready to form some pragmatic and practical thoughts on Zionism, the Jewish State and its lobbies. By the time we are ready to do so, we may as well grasp the role of Jews-Only groups within the solidarity ‘movement’. We may comprehend how they have been shaping the discourse and suppressing the truth by dominating our language and restricting our intellectual liberties. By the time we are familiar with Jewish tribal culture ideology and politics, we may as well grasp the role of the ‘Sabbath Goy’, the caretaker who performs the services Jews prefer to leave to theGoyim.
But our role doesn’t end there. We also must grasp what Palestine means. How is it possible that Palestine scholarship is withdrawing rather than progressing. How is it possible that in the 70’s Palestinians were the world’s leading guerrilla fighters but not anymore. What happened and why? What is it that the Palestinians want? Can we even talk about Palestinians or are they a fragmented society that is split geographically, culturally, spiritually, politically and ideologically? And if they are divided, who is it that keeps them divided? Is there anything that can unite them?
I believe that the Jewish progressive politics together with the non-dialectic Left are to be blamed for this political disaster and terminological impotence. We are dealing with a concealment apparatus that forsakes the future just to sustain a remote echo of a decaying 19th ideology. It is there to nourish the forgetting of Being. It is there to make us aloof to the grave reality we are living in by means of intellectual and spiritual suppression.
When 1984’s Orwell wrote about Newspeak, he had Britain in mind. He foresaw the devastating impact of the so-called progressive minds around him. He could predict where The Guardians of correctness might be leading us all. And, for a reason, he made Immanuel Goldstein, the imaginary false dissent icon.
My message to you today is simple – true liberation is the ability to learn how to think, to learn how to be intrigued and irritated. Liberation is to unveil the concealed, to think and re-think, to view, re-view and revise. To think is to aim at the essence, at the bottom of things, at the categorical. To think is to be able to distinguish between the symptoms and the disease. Liberation is to burn bridges compulsively and enthusiastically and to bear the consequences. Liberation is to pursue truth relentlessly. This is exactly the moment when pain becomes pleasure.
By any reasonable measure, I think it is safe to say that the last quarter of 2013 has been an insane game of economic Russian Roulette. Even more unsettling is the fact that most of the American population still has little to no clue that the U.S. was on the verge of a catastrophic catalyst event at least three times in the past three months alone, and that we face an even greater acceleration next year.
The first near miss was the Federal Reserve’s announcement of a possible “taper” of QE stimulus in early fall, which sent shivers through stock markets and proved what we have been saying all along – that the entire recovery is a facade built on an ever thinning balloon of fiat money. Today, markets function entirely on the expectation that the Fed will continue stimulus forever. If the Fed does cut QE in any way, the frail psychology of the markets will shatter, and the country will come crashing down with it.
The second near miss was the possible unilateral invasion of Syria demanded by the Obama Administration. As we have discussed here at Alt-Market for years, any invasion of Syria or Iran will bring detrimental consequences to the U.S. economy and energy markets, not to mention draw heavy opposition from Russia and China. Though the naïve shrug it off as a minor foreign policy bungle, Syria could have easily become WWIII, and I believe the only reason the establishment has not yet followed through with a strike in the region is because the alternative media has been so effective in warning the masses. The elites need a certain percentage of support from the general public and the military for any war action to be effective, which they did not receive. After all, no one wants to fight and die in support of CIA funded Al Qaeda terrorist cells on the other side of the world. The establishment tried to hide who the rebels were, and failed.
The third near miss was, of course, the debt ceiling debate, which has been extended to next spring. America came within a razor’s edge of debt default, which many people rightly fear. What some do not yet grasp, though, is that debt default of the U.S. was NOT avoided last month, it is INEVITABLE. Debt default will ultimately result in the death of the dollar as the world reserve currency, and the petro-currency. This final gasp will lead to hyperstagflation within our financial system, and third world status for most of the citizenry. It is only a matter of time, and timing.
“Timing” is truly what we are all concerned about. Those of us in the field of alternative media and economics understand well that the U.S. is on a collision course with disaster; it is a mathematical certainty. We no longer think in terms of “if” it happens – we only question “when” it will happen. Our fiscal structure now hangs by the thinnest of threads, a thread which for all we know could be cut at a moments notice. However, economic and political storms appear to be brewing with the year 2014 as a target.
Globalists have been openly seeking the destabilization of U.S. sovereignty, and they have openly admitted that the destruction of the dollar and our economic foundations will aid them in their goal. It is important to never forget that international financiers WANT to absorb America into a new global economic structure, and that the U.S. must be debased before this can be accomplished. Here are a few reasons why I believe 2014 may be the year they make their final move…
Debt Debate On Steroids
Nothing concrete was decided during the highly publicized “battle” between Democrats and the GOP on what would be done to solve the U.S. debt addiction. Some people might assume that the fight will go on indefinitely, and that the “can” will be kicked down the road for years to come. This assumption is a dangerous one. If you thought the last debt debate was hair raising, the next is likely to give you a coronary. Think of 2013 as a practice run, a warm up to the main event in 2014. Why will next year be different? Because the motivations behind a debt ceiling freeze (and thus debt default) are now supported by the obvious failure of Obamacare.
Funding for Obamacare was the underlying issue that gave strength to the push for new debt ceiling extensions. The U.S. government has overreached financially in ever way imaginable. We have long running entitlement programs that have been technically bankrupt for years. But, Obamacare was so pervasive during the debt debate that we heard nothing of these existing liabilities. Ultimately, Obamacare is the primary reason why so many Americans on the “left” want unlimited spending and inflation, and why so many Americans on the “right” are actually seeking debt default.
We all know that at the top of the pyramid the debt debate itself is false left/right theater, but it is still theater with a purpose.
In my articles ‘The Socialization Of America Is Economically Impossible’ and ‘Obamacare: Is It A Divide And Conquer Distraction’, I discussed why universal healthcare could not be implemented in America, and I predicted in advance that Obamacare was actually a farce that was designed to fail. The program’s only purpose is to provide a vehicle by which divisions between the fake left and the fake right could be solidified in the minds of the common populace. A lot of cynicism was directed at the notion that the government might create a socialized healthcare initiative and then allow it to fail. Of course, we now know that is exactly what they had in mind.
During the last debt debate, Obamacare was just a policy waiting to be implemented; next debate, that policy will be rightly labeled a train wreck. Obamacare is falling apart at it’s very inception, and evidence makes clear that the White House KNEW in advance that this would occur. In the days before it’s launch, performance tests on the Obamacare website showed conclusively that the system could not handle more than 500 users.
Obama promised that preexisting healthcare plans would be retained by Americans and that the Affordable Care Act would not do damage to established insurance models. He made this promise knowing full well that he could not or would not keep it. This dishonesty has resulted in rebellion by Democrats who have sided with Republicans to pass a bill which obstructs the erasure of existing health coverage.
States once disturbingly loyal to the White House are now moving to limit the application of the Obamacare structure.
The White House had foreknowledge that the program was nowhere near ready, yet, they moved forward anyway. Why wouldn’t they stall? Why would Obama knowingly unleash his “opus” before it was finished? He had it in the bag, right? He won, right? All he had to do was build a functioning website and keep his promises at least long enough to sucker the majority of Americans into the system. Instead, he throws the fight and hits the canvas before he’s even punched? Why?
It all sounds rather insane if you aren’t aware of the bigger picture, and I’m sure the average Democrat out there is wide-eyed and bewildered. Some might blame it on “ego”, or “hubris”, but this makes little sense. Obamacare is an American socialist’s dream. With a simple working public interaction model, Obama would be worshiped by leftists for decades to come as the next Franklin Delano Roosevelt. Hubris should have ENSURED that the White House launch of Obamacare would be flawless.
Once you realize that this is not about Obama, and that Obama is nothing but a middle-man for the globalists, and that the actual implementation of Obamacare never mattered to the establishment, the fog begins to clear.
With Obamacare in shambles, the dynamic of the debt debate theater changes completely. Some Democrats may well show support for a hold on the debt ceiling, for, what reason do they have to champion more spending? Obama has already made fools of them all, and the Obamacare motivator is essentially out of the picture. The GOP will be energized and more unified than the last debate, giving more momentum to a debt ceiling lock. The argument will be made that a resulting debt default will not be harmful, and that the U.S. can carry the weight of existing liabilities until the budget is balanced.
This is certainly a lie, but it is a fashionable lie that Americans will want to hear.
Americans do not want to hear that our economy is too far gone and that any motion, to spend, or to cut, will have the same result – currency collapse and fiscal implosion. They do not want to hear that pain must be suffered before a realistic solution can be applied. They do not want to hear the the system will have to be brought down before it can be rebuilt. And, they definitely do not want to hear that the system will be deliberately brought down and replaced with something even worse.
Will the next debt debate in Spring 2014 end in debt default and the collapse that globalists desire so much? It’s hard to say, but many insiders appear to be preparing for just such a scenario…
The Fed’s Buzz Kill
No one, and I mean no one, believes the private Federal Reserve will ever commit to a taper of fiat stimulus. Hell, I barely believe it’s possible, and I’m open to just about any scenario. That said, I have to ask a question which few analysts seem to be asking – why does the Fed keep pre-injecting the concept of taper into the mainstream if they never intend to implement it? When has the Fed ever pre-injected a plan into the MSM which it did not eventually implement?
The banksters have the markets in the palm of their hand, or at least they seem to. Stocks now rise and fall according to whatever meaningless press release the central bank happens to put out on any given morning. What do they have to gain by consistently shaking the confidence of investors around the world by suggesting that the fiat party they created will abruptly end?
The impending approval by the Senate of Janet Yellen, a champion of the printing press, would suggest to many that QE-infinity is assured. We know that the black hole generated by the derivatives implosion cannot be filled (debts still exist in the quadrillions of dollars), and that the Fed will have to print endlessly in order to slow the deterioration of the the banking sector. We know that none of the currency flows created by the Fed are trickling down to main street, which is why credit remains mostly frozen, real unemployment counting U-6 measurements remains at around 25%, food stamp recipients have risen to around 50 million, and the only sales boosts to property markets are those caused by big banks buying bankrupt houses and then reissuing them as rentals.
We know that it makes sense for the central bank to continue QE, if only to continue pumping up banks and the stock market and hide the truly dismal state of the overall system. But let’s forget about what we think “makes sense” for just a moment…
What if the Fed no longer WANTS to hide the true state of the system anymore? What if QE is now giving back diminishing returns, and will soon be no longer effective at hiding economic weakness?Central bankers surely don’t want to take the blame for a collapse, but what if the perfect patsy is already lined up? A patsy so hated and despised that no one would think twice about their guilt? I am, of course, talking about the Federal Government itself.
Think about it; the failure of Obamacare promises a debt debate in the Spring of 2014 that will rock the very foundations of the global economy. Both sides, Democrat and Republican, are ready to blame the other fully for any disastrous outcome, though “Tea Party” conservatives have been painted by the mainstream media as the lead culprits behind a financial catastrophe that began before the Tea Party was born. The idea of “gridlock” leading to impasse and calamity is already built into the country’s consciousness. The general public’s opinion of all areas of government has recently hit all time lows. In fact, our opinion of government could scarcely go any lower than it already has. Everyone HATES what government is, or what they think it is. Most Americans would be happy to place the brunt of the blame for an economic disaster on the shoulders of Washington DC.
The genius of it is, they deserve a large part of the blame. They helped to make possible all of the horrors the citizenry will face in the coming years. The problem is, the public may become so blinded with rage over the failure of the political system, that they may completely forget about the role of international and central banks and turn on each other instead.
Why is the Fed now discussing, just before the possible confirmation of Janet Yellen, a stimulus dove, the need for taper measures by 2014?
Is it just coincidence that the taper discussion is taking place parallel to the debt ceiling battle, or are these two things related? What if the Fed plans to apply QE cuts during or after the renewed debt debate in order to make the market effects even more negative? What if the Fed is timing the taper to give energy to a debt default? What if the Fed wants to reduce support, so that later, when all hell breaks loose, we’ll come begging them for support?
Whether you believe a debt default will be deliberately induced or not, certain foreign investors have been preparing for such a U.S. breakdown for years, and once again, the apex investor, China, has made plans for dramatic economic policy changes to take place in 2014…
China Is Ready To File For Divorce
The economic marriage between China and the U.S. has been touted Ad nauseum as an invincible relationship chained in eternity by unassailable interdependency. I’ve just never bought this fanciful tale. For years I’ve written about the likelihood that China will decouple from the American dollar apparatus, and so far, most of my warnings have come to pass.
China has pushed forward with massive physical gold purchases despite all arguments by skeptics that gold is no longer necessary or prudent as a safe haven investment. Apparently, the Chinese know something they do not. China is on pace to become the largest holder of gold in the world as early as 2014.
China has now issued Yuan denominated bonds and other assets around the globe, and its central bank has expanded its total balance sheet to at least $24 Trillion, outmatching the reported increased balance sheets of all other central banks:
Now, some feel that this Chinese liquidity should be considered a massive bubble on the verge of exploding, and that it will be Chinese instability, not U.S. instability, that triggers renewed crisis. I would like to offer an alternative view…
I am not shocked at all by this incredible spike in Yuan circulation. In fact, I expected it. The fall back argument against China dumping the dollar as the world reserve has always been that there is no alternative currency that boasts as much liquidity as the dollar. Well, as we now know, China has been raining Yuan down on every continent. International banks like JP Morgan have been HELPING them do it.
China is not desperately attempting to prop up its own markets like we are in the U.S. China is DELIBERATELY generating massive liquidity because they seek to aid the IMF in its longtime plan to replace the greenback as the world reserve currency. These are not the activities of an investor that wants to stick with the U.S. or the dollar. These are not the activities of a nation that wishes to continue its limited role as a source of cheap industrial labor.
China, being the largest importer of petroleum surpassing the U.S., is now planning to price its crude oil futures in Yuan, instead of the dollar.
And, the Chinese central bank has announced that it now plans to stop all purchases of U.S. dollars for its reserves.
These decisions are part of a precision strategy, a formula which was finalized during a little discussed and very secretive economic policy meeting which took place in China this past month.
While much of the media was focused on China’s call for softer restrictions on its one-child policy, they ignored the thrust of the meeting, which was to establish Chinese consumption over exports, and internationalize the Yuan. All that is left is for China to “float” the Yuan’s value on the open market, which is an action the head of the PBOC, Zhou Xiaochuan, says he plans to expedite.
All of the reforms discussed at China’s Third Plenum meeting are supposed to begin taking shape in…that’s right…2014.
A Storm Of Septic Proportions
As I have always pointed out, economic collapse is not necessarily an event, it is a process. The most frightening elements of this process usually do not become visible until it is too late for common people to react in a productive way. All of the dangers covered in this article could very well set fires tomorrow, that is how close our nation is to the edge. However, the culmination of events so far seems to be setting the stage for something, an important something, in 2014. If the worst is possible, assume the worst is probable. The next leg down, or the next economic carpet bombing. Maybe slightly painful, maybe mortal. Sadly, as long as Americans continue to remain dependent on the existing corrupt system, global bankers can pull the plug at their leisure, and determine the depth of the wound with scientific precision.
Source: Brandon Smith | Alt-Market
I remember as a young child that the key to winning a lot of the neighborhood games in football and basketball was all about who got picked first. If you were lucky enough to get Michael on your team, then you knew you were going to win. If you were in a foreign park playing against kids you did not know, Michael was the great equalizer. I also knew that getting the right kids on my side helped in spelling bees and walking home from the movies so I didn’t get beat up. Learning how to organize my team with the right people, served me well when I became a men’s college head basketball coach in terms of winning the recruiting wars. I always felt the April recruiting wars was the deciding factor in many games in the following December.
America is in the choosing sides phase of the coming civil war. To use a college recruiting phrase, it is accurate to state that the letters of intent to join one side or another side, have mostly been signed and the commitments offered. However, there is one big uncommitted piece, but very soon the sides will be drawn.
The Chess Pieces of Civil War
What is going on today in America is all about choosing sides. There are clear lines being formed in the United States. The recruiting pool consists of the Department of Homeland Security, the American military, local law enforcement, the Russian troops pouring into the United States, the trickle of Chinese troops coming into the country through Hawaii and, of course, the poor, the middle class and elite. This is the recruiting pool which will form the chess pieces of the coming American Civil War.
The Contextual Background for Civil War
Even if all parties in this country wanted the country to continue, even in its present mortally wounded state, it would be foolish to believe that it could continue for much longer.
There are three paramount numbers that every American should be paying attention to and they are (1) national deficit ($17 trillion dollars), (2) the unfunded liabilities debt ($238 trillion dollars), and (3) the derivatives/futures debt (one quadrillion dollars which is 16 times the entire wealth of the planet. The net result of these staggering numbers can only end one way, and that is with a financial collapse, followed by a bank holiday, rioting in the streets and the full roll out of martial law. These financial numbers guarantee that the party cannot continue much longer.
Since America, in her present form, cannot continue much longer without experiencing a cataclysmic shift, we would be wise to realize what resources are going to be the impetus for civil war. When you play the board game, Monopoly, the properties on Boardwalk are among the most coveted. It is no different in real life. The biggest prize of the coming conflict is real estate. Homes, office buildings and shopping malls are the most coveted prize. The MERS mortgage fraud continues unabated as millions of homes have been confiscated through mortgage fraud. When the dollar is worthless and is awaiting its replacement (e.g. the Amero or the Worldo), real estate will be more valuable than gold.
Other big game that is being hunted by both sides in the coming civil war will be bank accounts, which must be looted before the dormant computer digits we call money, can be converted into hard assets. That is why my advice is, and has been, convert your cash into tangible assets which can enhance your survivability in the upcoming crash.
Also, your pensions, your 401K’s and your various entitlement programs are also at risk as evidenced by Secretary of Treasury Jack Lew’s “borrowing” from various Federal retirement accounts in order to increase the debt ceiling fight that will resurface in Congress, again, early next year.
Again, my advice is to convert your assets in tangible items which will aid in getting you through some very dark days coming up in the near future. Before the cognitive dissonance crowd rears their ugly heads and accuses me of fear mongering, ask yourself what the elite did prior to the crash of the economy in 1929. For example, Joseph Kennedy took his money out of the stock market the day BEFORE it crashed. Rockefeller, Westinghouse, et al., all took their money out just prior to the crash, leaving the ignorant masses unaware of what was coming. Don’t make the same mistake.
Barring a false flag event, US martial law will have a trigger event, which will lead to martial law, that will be a financial collapse and it will naturally occur as we are already on a collision course with destiny. I am not ruling out other events, but the economic crash scenario is easily the most likely event.
Building Fences Around the Ignorant
Please allow me to ask you an ignorant question. If you knew that a virus was coming to your neighborhood which would infect much of the local canine population, wouldn’t it be prudent to build a fence around all of the dogs in the neighborhood in order to isolate any potentially infected dogs? Well, this is how the elite view you.
Many of us, devoid of financial resources, will soon become like a pack of rabid dogs and we must be contained. As I have written about recently, it is becoming very difficult to get your money out of the country. Banks, such as JP Morgan Chase and HSBC have already imposed withdrawal limits. If you withdraw more than $10,000 cash, you run a good chance of being investigated by the IRS. One layer of fencing has already been placed around you and your assets.
The NDAA constitutes another big fence being built around the people in which all due process will soon be gone. The NDAA will allow the administration the “legal” right to secretly remove any burgeoning leadership of citizen opposition forces. The second provision which will allow this country to quickly transition to martial law is Executive Order (EO) 13603 which allows the President to take control over any resource, property and even human labor within the United States. This EO gives the President unlimited authority including the ability to initiate a civilian draft as well as a military draft. In short, this spells the potential enslavement of the American people. For those of you who still have your blinders on, research the NDAA and EO 13603 and then when you realize that I am correct in my interpretation, ask yourself one question; If the powers that be were not going to seize every important asset, then why would the government give itself the power to do just that? And while you are at it, remember the Clean Water Act gives the EPA to control all private property as well as the precious resources of all water. And then of course, the FDA and the conflicts with local farmers is escalating. And if this is not enough to convince the sheep of this country that the storm clouds are overhead, then take a look at HR 347 which outlaws protesting and takes away the First Amendment. This unconstitutional legislation makes it illegal to criticize the President and the government, as a whole, in the presence of Federal officials. I have news for you, there are Federal officials in every town, city and county in America. If one violates HR 347, they will be immediately arrested and charged with a felony.
I just saw the Hunger Games sequel, Catching Fire, and this is eerily similar to what I saw in a lot of movies in that the people are being provoked to revolution. In fact, in the TV show, Revolution, the most evil entity in the series is the re-emergence of the United States government and the heroes of the show are rebelling against the abuse. It seems like everywhere we turn in the media, the people are being encouraged to rise up now and challenge authority. I am sure the establishment would rather confront a small group of dissidents and squelch the rebellion now, before the numbers can become significant and overwhelming to the establishment and this theme is being carried out in the media on a large scale.
Along these same lines, Obama has done nothing but agitate the middle class. I like to ask Obama supporters, can you name one thing Obama has done, on behalf of the establishment elite, to improve the plight of the American middle class? I can’t think of even one thing.
The fences have been built around the soon-to-be rabid dog population, so when the infected dogs go crazy, the pieces will have been put in place to deal with the uprisings that will surely follow the loss of everything. Containment is nearly complete. The final action will consist of gun confiscation and one side of the coming conflict is attempting to position themselves to do that in the near future and that would be the DHS, the Russians and the Chinese. I cannot think of another legitimate reason which would describe why these foreign troops are here.
Cognitive dissonance only relieves some of psychological distress for so long.
I have told you what is at risk before the inevitable economic crash. Now it is time to take stock of the sides of this coming civil war and a very clear picture is emerging.
The poor have no resources other than their food stamps which are already under attack. The middle class and their resources are the target for the coming conflict. And most of the middle class has no idea that they have been targeted. Soon the divide and conquer strategies will lose their effectiveness and the poor and the middle class will be on the same team because they will both have lost everything.
As most of you know, I have been screaming from the roof tops that the “Russians are coming, the Russians are coming”, in reference to a bilateral agreement signed between the Russian military and FEMA. Well, the Russians are not coming, they are here and so are the Chinese. As most of you also know the Russians are Chinese have threatened to nuke the United States over Iran and Syria in the past several months. Yet, this administration thinks it is a good idea to include the Russians and Chinese in participating in highly secure operations with profound national security implications in such drills as Grid EX II and the upcoming RIMPAC war games which we used to use to fight against the imaginary Chinese and Russian forces. This is insanity, however, in athletic parlance, one side conducted a trade and is now receiving the services of their once arch-rival.
The sides of the coming civil war looks like this. On one side, we find the evil empire consisting of the elite, their government puppets, the DHS the Chinese, the Russians and perhaps the military. The other side, for the moment consists of the middle class and now the poor as they move towards having their entitlements incrementally taken away. Unless the military and the police can be swayed to the side of the people, the people are going to lose badly.
There is one big prize and its allegiance has not yet been determined and that is the American military and it is a game changer.
Carving Up the Military Like a Thanksgiving Turkey
Obama is purging the military like no president has ever done. Bush fired two Generals. Obama has fired hundreds of command level officers. Why? Because the military leadership is the key to the coming civil war. Who will the military support? Will the military support an out of control administration who would use foreign military assets against the people? Or, will they support the people that they are sworn to defend?
Obama has the Russians and the Chinese military coming into the country because our military cannot be trusted to do what needs to be done when the economic crash occurs. They are needed to confiscate the guns. Obama knows that the military is conditioned to protect the people. He is hoping that he can change the entire structure of the military and thus, change its mission through changing its leadership.
I personally do not think Obama can change the rank and file of the military. I think he can only have a minimal effect on the leadership of the military. If Obama’s purge of the military is anything but for the purpose of commandeering its services for the upcoming civil war, I would really like to hear another explanation, because, for the life of me, I cannot see another purpose to Obama’s house cleaning of the military. .
Obama needs to be impeached and convicted for treason.
Commanding Military Officers Terminated By Obama
-General John R. Allen-U.S. Marines Commander International Security Assistance Force [ISAF] (Nov 2012)
-Major General Ralph Baker (2 Star)-U.S. Army Commander of the Combined Joint Task Force Horn in Africa (April 2013)
-Major General Michael Carey (2 Star)-U.S. Air Force Commander of the 20th US Air Force in charge of 9,600 people and 450 Intercontinental Ballistic Missiles (Oct 2013)
-Colonel James Christmas-U.S. Marines Commander 22nd Marine Expeditionary Unit & Commander Special-Purpose Marine Air-Ground Task Force Crisis Response Unit (July 2013)
-Major General Peter Fuller-U.S. Army Commander in Afghanistan (May 2011)
-Major General Charles M.M. Gurganus-U.S. Marine Corps Regional Commander of SW and I Marine Expeditionary Force in Afghanistan (Oct 2013)
-General Carter F. Ham-U.S. Army African Command (Oct 2013)
-Lieutenant General David H. Huntoon (3 Star), Jr.-U.S. Army 58th Superintendent of the US Military Academy at West Point, NY (2013)
-Command Sergeant Major Don B Jordan-U.S. Army 143rd Expeditionary Sustainment Command (suspended Oct 2013)
-General James Mattis-U.S. Marines Chief of CentCom (May 2013)
-Colonel Daren Margolin-U.S. Marine in charge of Quantico’s Security Battalion (Oct 2013)
-General Stanley McChrystal-U.S. Army Commander Afghanistan (June 2010)
-General David D. McKiernan-U.S. Army Commander Afghanistan (2009)
-General David Petraeus-Director of CIA from September 2011 to November 2012 & U.S. Army Commander International Security Assistance Force [ISAF] and Commander U.S. Forces Afghanistan [USFOR-A] (Nov 2012)
-Brigadier General Bryan Roberts-U.S. Army Commander 2nd Brigade (May 2013)
-Major General Gregg A. Sturdevant-U.S. Marine Corps Director of Strategic Planning and Policy for the U.S. Pacific Command & Commander of Aviation Wing at Camp Bastion, Afghanistan (Sept 2013)
-Colonel Eric Tilley-U.S. Army Commander of Garrison Japan (Nov 2013)
-Brigadier General Bryan Wampler-U.S. Army Commanding General of 143rd Expeditionary Sustainment Command of the 1st Theater Sustainment Command [TSC] (suspended Oct 2013)
Nearly 160 Majors through the rank of Colonel have been let go by Obama.
Commanding Naval Officers Terminated by Obama
-Rear Admiral Charles Gaouette-U.S. Navy Commander John C. Stennis Carrier Strike Group Three (Oct 2012)-Tried to rescue Ambassador Chris Stevens but was arrested during the attempt.
-Vice Admiral Tim Giardina(3 Star, demoted to 2 Star)-U.S. Navy Deputy Commander of the US Strategic Command, Commander of the Submarine Group Trident, Submarine Group 9 and Submarine Group 10 (Oct 2013)
-Lieutenant Commander Kurt Boenisch-Executive Officer amphibious transport dock Ponce (Apr 2011)
-Rear Admiral Ron Horton-U.S. Navy Commander Logistics Group, Western Pacific (Mar 2011)
-Lieutenant Commander Martin Holguin-U.S. Navy Commander mine countermeasures Fearless (Oct 2011)
-Captain David Geisler-U.S. Navy Commander Task Force 53 in Bahrain (Oct 2011)
-Commander Laredo Bell-U.S. Navy Commander Naval Support Activity Saratoga Springs, NY (Aug 2011)
-Commander Nathan Borchers-U.S. Navy Commander destroyer Stout (Mar 2011)
-Commander Robert Brown-U.S. Navy Commander Beachmaster Unit 2 Fort Story, VA (Aug 2011)
-Commander Andrew Crowe-Executive Officer Navy Region Center Singapore (Apr 2011)
-Captain Robert Gamberg-Executive Officer carrier Dwight D. Eisenhower (Jun 2011)
-Captain Rex Guinn-U.S. Navy Commander Navy Legal Service office Japan (Feb 2011)
-Commander Kevin Harms- U.S. Navy Commander Strike Fighter Squadron 137 aboard the aircraft carrier Abraham Lincoln (Mar 2011)
-Commander Etta Jones-U.S. Navy Commander amphibious transport dock Ponce (Apr 2011)
-Captain Owen Honors-U.S. Navy Commander aircraft carrier USS Enterprise (Jan 2011)
-Captain Donald Hornbeck-U.S. Navy Commander Destroyer Squadron 1 San Diego (Apr 2011)
-Commander Ralph Jones-Executive Officer amphibious transport dock Green Bay (Jul 2011)
-Commander Jonathan Jackson-U.S. Navy Commander Electronic Attack Squadron 134, deployed aboard carrier Carl Vinson (Dec 2011)
-Captain Eric Merrill-U.S. Navy Commander submarine Emory S. Land (Jul 2011)
-Captain William Mosk-U.S. Navy Commander Naval Station Rota, U.S. Navy Commander Naval Activities Spain (Apr 2011)
-Commander Timothy Murphy-U.S. Navy Commander Electronic Attack Squadron 129 at Naval Air Station Whidbey Island, WA (Apr 2011)
-Commander Joseph Nosse-U.S. Navy Commander ballistic-missile submarine Kentucky (Oct 2011)
-Commander Mark Olson-U.S. Navy Commander destroyer The Sullivans FL (Sep 2011)
-Commander John Pethel-Executive Officer amphibious transport dock New York (Dec 2011)
-Commander Karl Pugh-U.S. Navy Commander Electronic Attack Squadron 141 Whidbey Island, WA (Jul 2011)
-Commander Jason Strength-U.S. Navy Commander of Navy Recruiting District Nashville, TN (Jul 2011)
-Captain Greg Thomas-U.S. Navy Commander Norfolk Naval Shipyard (May 2011)
-Commander Mike Varney-U.S. Navy Commander attack submarine Connecticut (Jun 2011)
-Commander Jay Wylie-U.S. Navy Commander destroyer Momsen (Apr 2011)
Forty one more were fired in 2012. One hundred and fifty seven were fired in 2013.
Source: The Common Sense Show
John Kennedy An Unlikely President
John Kennedy was never a perfect man and his exploits with many beautiful and often controversial women, such as Ingrid Arvid, Judith Exner and Marilyn Monroe speaks to JFK’s imperfections. In fact, the present day corporate controlled media has continually revealed JFK’s womanizing ways as an attempt to remove any sympathy for the slain President.
JFK had the dubious legacy of being born into a family of very active criminality. His father, the former ambassador to England, stock market insider trader and mafia bootlegger, Joseph Kennedy, used his underworld ties to convince Meyer Lansky as well as key members of the Chicago mafia to steal the Cook County, IL., presidential election of 1960.
Illinois was the ultimate swing state. If JFK had not carried Cook County, Illinois, the presidency would have fallen to Nixon. Nixon was the insider’s choice. As Vice-President, he circumvented Ike and exacerbated the crisis situation in Southeast Asia on behalf of the furtherance of the CIA’s heroin trafficking through the infamous “Golden Triangle”. Nixon was in bed with the military industrial complex as Ike called it in his farewell address. Nixon was subservient to the whims of the Federal Reserve and ran interference for them, often to the chagrin of Ike, who desperately wanted to dump Nixon from the 1956 Republican ticket. Nixon was the elite’s errand boy, however, what the elite did not count on was the dramatic impact that the combination of television and JFK’s personal charm would play in the outcome of the 1960 election.
In the famous Nixon-Kennedy debates, which were simulcast on radio and television, Nixon actually won among radio listeners. However, among the largest audience, the television audience, JFK won hands down and history was changed. JFK’s charismatic appeal was something that the elite had underestimated. The insiders were left to deal with the son of a criminal and most likely they thought they could work with the son of the Adolph Hitler supporting and bootlegging thug.
JFK Became a Changed Man
When JFK entered the White House, his party ways came with him, but there would soon be a series of events that would make John Kennedy a changed man. In 1961, the CIA and director Dulles circumvented JFK by launching a secret invasion of Cuba in the Bay of Pigs fiasco. It was only at the last moment did JFK discover the unfolding events in which he refused to provide air cover and the invasion failed on the beach. Kennedy fired Dulles and threatened to break the CIA into a thousand pieces. This even marked the beginning of the bifurcation between JFK and the elite because the CIA had become their errand boy. The elite and their mafia partners desperately wanted Cuba back under their control and JFK blocked their ambitions. The following year, as a result of the Cuban Missile Crisis, JFK had another chance to redeem himself in the eyes of the elite and again he failed. It did not matter that JFK had averted WWIII, he failed to put boots on the ground in Cuba and again, the elite and their designs for Cuba were thwarted.
Simultaneous to the events in Cuba, JFK was dragging his feet on Vietnam. He was reluctantly continuing on the path of allowing combat advisers to continue to operate in South Vietnam.
Vietnam was potentially a huge cash cow to the establishment elite. Chrysler Corporation received 90% of all US defense contracts in 1963, mostly in a middleman capacity. Bell Helicopter and Chase Manhattan Bank would reap record profits from the Vietnam War. Unfortunately for the elite, JFK was growing more isolationist. He became a changed man following the Cuban Missile Crisis as this event shook him to his core. He feared putting the US in military situations that could result in another confrontation with the Soviets. In 1963, JFK had announced that he was bringing home all combat advisers in 1965. JFK and South Vietnamese President, Diem, agreed that America would never send ground troops to Vietnam. Diem and his brother were assassinated by the CIA and 21 days later, JFK was dead. Nine months following these assassinations, America sent 100,000 ground troops to South Vietnam following the now discredited Gulf of Tonkin incident and the elite bathed in their blood money.
JFK had been so shaken by the real possibility of WWIII, that he and the Soviet Premier were actually having discussions regarding the capping of nuclear arms production. The elite could not have any part of this unprofitable course of action. There is no money to be made in peace especially if you are Martin Marietta (today known as Martin Lockheed). The establishment elite wanted to continue down the path arming America’s nuclear arsenal to the teeth. JFK had become a major impediment to profits in this regard.
The Changed Man Takes Center Stage
JFK, no doubt motivated by the fear of WWIII, was blocking Vietnam and was going to kill the cash cow of nuclear arms production. No doubt, JFK saw the establishment elite as the enemy of humanity. They were willing to take the country to war so that they could fatten their wallets.
JFK began to take action against the elite. He was taking away half of their unwarranted oil depletion allowance. JFK stuck a big stick in the eye of the Federal Reserve by printing over $4 billion dollars of silver backed money, thus threatening the stranglehold the Federal Reserve had enjoyed over the country for the past 50 years.
JFK began making speeches, very damning speeches, in which he called out the establishment elite and their “secret societies” and then JFK signed his death warrant with his American University speech in which he announced, among other things, a desire to pursue peace with the Soviets. Once again, there is no money in peace.
On behalf of “the greater good”, JFK had to be eliminated and he was. However, I have often wondered if JFK had survived, how would America have been changed.
If JFK Had Lived
If JFK had lived, so too, would have 58,000 Americans and untold millions of Vietnamese. If JFK had lived, we would not have spent two trillion dollars on nuclear arms. The money could have been spent, as JFK suggested, on education. America might not have become the hopelessly dumbed down nation that it has become. If JFK had lived the Federal Reserve would have eventually gone the way of the two previous central banks in the United States. The US Congress would have retaken the constitutional power of coining money, interest free money. America would have remained solvent.
If JFK had lived, he would have continued to confront the oil companies and today, we might have achieved energy independence and could be paying about a buck for a gallon if gas. Alaska would be the new Middle East and the petrodollar, which threatens to plunge us into a world war over Syria and Iran, would no longer be a problem. The world would be coming to the US for its energy needs and our economy would be booming.
If JFK had lived, the people would have had their true representative in the White House. The events in Cuba so changed John Kennedy, that he became a true Ron Paul in the last two years of his life. It was the last time, that anyone, outside the elite establishment, had anyone in top level government that cared for them.
The day that John Kennedy died, November 22, 1963, was the beginning of the end for America. These same forces, the interlocking directorates of the military industrial complex, the Federal Reserve, the major oil companies and the media that they control, continued to suck the life out of America to the point of where we stand today, a shell of our former country.
If in the last year of JFK’s presidency, he hadn’t offered such hope to the American people and to the future of the country, I would have lost interest in the life of JFK and his subsequent assassination a long time ago.
I falsely held out the hope that the 50th Anniversary of his death would rekindle a curiosity about who killed JFK and why and then subsequently link that knowledge into today’s America. This could have been the impetus for change in America. Alas, the elite controlled the narrative this fall with plethora of documentaries which lead away from the truth that there was a conspiracy to kill JFK. As a result, the country’s interest will continue to wane and with it, the belief that JFK was killed as a result of a conspiracy.
In 1993, 80% of the country believed that JFK was killed as the result of a conspiracy. With the rash of media propaganda, that number has reduced to 61%. The elite have weathered the storm and continue unabated on their journey towards sucking the life out of this country. They will continue to do so until there is nothing left and we are thrown onto the junk pile of history.
There will be no 51st anniversary recognition as the JFK researchers have approached their twilight. Soon the JFK assassination will carry the same weight as the assassination of McKinley. Who? That’s my point. The King is dead, long live the King.
On November 23rd, as we turn our collective eyes back on our future, we might want to begin to prepare for adaptation for there will be no great awakening because your future and your very lives are being threatened by forces that John Kennedy foresaw over 50 years ago in his “Secret Societies” speech.
Source: The Common Sense Show
The day that John Kennedy was murdered, was the day that Americans lost their country. Since that fateful day in November of 1963, our slide into tyranny has accelerated.
Nearly every form of tyranny which has overrun our country has its roots in the post-JFK assassination event. JFK was seemingly the last watchman on the wall against the encroaching tyranny of the newly created national surveillance security police state grid.
There have only been two prominent politicians who have stood up to the tyranny of the New World Order since the death of JFK. These two men would be Reagan (until he was shot by Hinckley) and Ron Paul.
The Missed Opportunity Connected to the 50th Anniversary
Last summer, I predicted that the upcoming 50th anniversary of JFK’s murder would awaken a whole new generation as to the tyranny that the country has fallen under and who is responsible for that tyranny. I wrongly believed that the co-conspirators, the interlocking pieces of the JFK assassination cabal, namely, David Rockefeller, the Federal Reserve, the oil companies, the military industrial complex and the CIA and their mafia assets, would be exposed with all the attention that the 50th anniversary would provide.
I wrongly believed that these groups with their current and undue influence on America would also be readily identified for what they did to JFK and to the country on November 22, 1963. I further believed that today’s younger generation would easily build the bridge linking the corruption and undue influence of these 1963 groups to today’s political landscape and this would be an easy association. Unfortunately, my predictions were in error because we in the alternative media dropped the ball.
The 2013 Establishment Propaganda Machine Is Rolled Out
The day that JFK was murdered was the day that Rockefeller won the world’s biggest lottery.
With the marking of the 50th anniversary of the assassination of John F. Kennedy, there have been over 2,000 books written on the subject and countless radio and television shows devoted to the topic. This fall, the globalist news corporations have produced a rash of new JFK “investigations” which all purport to show different ways to prove that Oswald, and Oswald alone, killed John Kennedy. The new productions (e.g. National Geographic) are so bad and so faulty, that they are laughable.
Media Propagandists Ignore the Government’s Final Conclusion of a Conspiracy
The modern day propagandists are winning the day with regard to the control of the narrative surrounding the assassination. During the height of America’s skepticism regarding the 1964 Warren Report which stated that Lee Oswald killed John Kennedy and that he acted alone, most Americans rejected the “official explanation. What the modern day public, as well as the establishment propagandists, seem to have forgotten is that in 1977, the House Select Committee on Assassinations concluded that Oswald had help and JFK was killed as a result of a conspiracy. This was the final word on the subject from our government on the assassination. However, the history revisionists do not want a hint of a conspiracy because this could give birth to a modern day JFK assassination renaissance in a search for the co-conspirators who killed JFK. Once that search would begin, the descendants of the perpetrators organizations would not be able to escape public scrutiny. We in the alternative and truthful media missed a golden opportunity to wake up the country on this 50th Anniversary of JFK’s death. This fall, if we had devoted a significant amount of time and effort to covering the assassination, and we had been relentless in our efforts, the under 40 crowd would understand who their present enemies are and they would have been awakened to the present day tyranny. We allowed our voices to be drowned out by the mainstream fictional media with their new JFK cover up pieces. Sadly, we lost a golden opportunity to wake up millions of young Americans.
At the height of JFK conspiracy fervor in the 1970′s-1990′s, according to the Gallup Poll, as many as 80% of Americans believed that there was a conspiracy to kill JFK. Today, that number has slipped to 61% thanks in large part to the new propaganda productions which are influencing our younger Americans.
In the 1990′s, Oliver Stone produced JFK and Bill Kurtis and Nigel Turner produced separate investigations into the assassination (i.e. The Men Who Killed Kennedy). In the 1990′s, the country was spellbound by the new revelations which were also bolstered by JFK admirer, Bill Clinton, as he forced the release of millions of classified JFK documents. However, the evil empire struck back around the year, 2000, and today, you see almost nothing on TV which does not show that Oswald was acting alone.
Follow the Money
What is conspicuously missing in most, if not all of the accounts related to the assassination of John F. Kennedy, is the fact that normal homicidal investigative strategies have not been employed by people in the government who would have the power to do so. One of the hallmark phrases in murder investigations is to “follow the money”.
Every year at this time, I become reflective as I wonder what America, and the rest of the world might have looked like if JFK had survived, been re-elected and served a second term as President. This year I decided to follow the money and put my thoughts on paper. So, let’s briefly follow the money.
Everybody knows that the Pentagon was frothing at the mouth to get into an armed conflict in Vietnam and/or Laos. In 1961, JFK resisted the military pressure to place troops in Laos, as he clearly instructed diplomat, Averell Harriman, to get the Laos issue settled because JFK was determined to not put combat units on the ground in Southeast Asia.
It is true that JFK was manipulated by his military advisers to place troops on the ground in Vietnam but solely in the role as “combat advisers”. JFK’s anti-Vietnam war stance frequently gets overlooked because of this. However, in October 1963, a mere month before his death, JFK signed National Security Action Memorandum 263 which called for the withdrawal of 1,000 troops from Vietnam by the end of 1963 and a total withdrawal of all of the combat advisers by the end of 1965. This was one nail in the coffin of JFK.
JFK gave many speeches in which he clearly stated he was opposed to widening U.S. military involvement in the war. South Vietnamese leader, Diem and his brother Nhu were opposed to U.S. attempts to control his regime and Diem and his brother were adamantly opposed U.S. full-scale U.S. military involvement beyond the 16,000 combat advisers stationed in the country. On November 1, 1963, Diem and Nhu were murdered by the CIA against JFK’s wishes. Three weeks later, to the day, John F. Kennedy was murdered. Within nine months following the assassination, the LBJ administration launched the now discredited false flag event, the Gulf of Tonkin attack, and 100,000 combat troops were subsequently sent to Vietnam. Many researchers have proven the involvement of the same CIA and its Mafia connections which dates back to 1942 when the CIA was known as the OSS.
Knowing that the CIA and Mafia were involved in JFK’s murder, does not tell you who ordered the assassination. Any guesses on who profited the most from the Vietnam War? In radio parlance, you will have to stay tuned, the answer will be revealed at the end.
There were huge financial incentives for the American defense industry to participate in the murder of JFK. Yes, that would be the military industrial complex which Ike warned us about in his 1960 farewell address. In 1963, Chrysler corporation and its subsidiaries received the lion’s share of defense contracts for the war, most of which were resold to smaller corporations. Corporations such as Bell Helicopter enjoyed unparalleled growth during the height of the war. There are some interesting and notable parties which controlled the Chrysler defense industry interests in 1963.
Very powerful parties would have stood to have lost a lot of money had the war not materialized into a full-scale air and ground war. Who am I speaking about? All will be revealed when I connect the dots at the end. Oh by the way, the forerunner to the bid rigging and recipient of no bid contracts in Iraq, KBR, was also found guilty of the same thing in Vietnam when they were given the responsibility for building South Vietnam’s military infrastructure. The more things change, the more they do stay the same.
Making Enemies with the CIA: The Bay of Pigs
It was very well known that JFK refused to support and sanction the CIA backed Cuban refugee invasion of Cuba by refusing to allow air cover. The invasion failed and the careers of CIA Director, Dulles, and CIA Assistant Director, Cabal, were over. The proverbial line in the sand had been drawn and the CIA and JFK became mortal enemies with JFK threatening to break up the agency into a “thousand pieces”. Add to this fact, is the fact that it is well-known that the darker parts of the CIA act as mercenaries for certain groups who are not on the government payroll. Today, we would call these shadowy forces, the New World Order.
It is clear that with the advent of the Bay of Pigs, the brain trust for the assassination had been born and they would double down as this agency would perpetrate the cover-up, such as losing the President’s brain during the autopsy to hide the fact that JFK’s fatal head shot came from an exploding bullet, which means that Oswald’s defective Italian rifle could not have been used in the commission of the crime. Maybe this is also why LBJ had the Presidential limousine “cleaned up” immediately following the crime and the vehicle was never subsequently examined as any other crime scene would have been. LBJ should have gone to prison for obstruction of justice, but I digress. Jim Marrs and other researchers have clearly implicated the CIA as the masterminds of the assassination. I agree with Marrs, however, the CIA were not the original planners, they merely were tasked with carrying out the assassination. Regardless, the rich and famous wanted Cuba back and JFK had destroyed their plans for continued domination of the Island state.
Ten days following the Bay of Pigs, JFK gave his famous “secret society” speech. He is the first, and the only President to ever identify the globalists as the enemy of America and humanity as a whole.
If you have never listened to the speech, you should take the time to listen now, for if you do, the events of today will make a great deal more sense.
The Cuban Missile Crisis
Havana had become a play place for the rich and famous prior to the Castro led revolution. Upon seizing power, Castro promptly nationalized all gaming resorts and the Mafia lost their insanely high profits and the rich and famous lost their financial cut, as well as their 1960 version of Bohemian Grove. In the eyes of the rich and powerful, JFK had one more opportunity to get control over Cuba with the opportunity presented by the Cuban Missile Crisis.
In 1962, in response to America’s placing offensive nuclear weapons in Turkey, close to the Soviet border, the Russians did the same in Cuba. This event brought the U.S. and the Soviet Union to the brink of nuclear war. All of JFK’s military advisers wanted to invade Cuba with ground troops. JFK opted for the ever-contracting naval blockade. Although history has proven that our invading troops would have been nuked, and that JFK pursued the correct course of action, the powerful military was now lining up against JFK. And, again, the rich and famous were thwarted in their desire to reassert control over Cuba and the defense contractors smelled the end of the gravy train.
Then in June of 1963, JFK gave an incredible speech at American University in which he called for the total destruction of nuclear weapons. This would have resulted in the end of the financially lucrative Cold War and the “Pax Americana enforced on the world by American weapons of war”, and a movement toward “general and complete disarmament” would have begun. A few months later JFK signed a Limited Test Ban Treaty with Nikita Khrushchev. What would happen to the profits of Raytheon and Martin Marietta (now Lockheed Martin) if there was no cold war? The executives at the defense plants could relax because when JFK was killed, LBJ ordered the single largest increase in U.S. history and before the ink was even dry on JFK’s death certificate.
America Cannot Have Peace, It Is Bad For Business
Please take the time and listen to JFK’s, American University Speech, June 10, 1963, and if you understand what it means to be an American, it will bring tears to your eyes and I believe that this speech also brought a bullet to JFK’s brain, because he was poking a stick into the eyes of the military industrial complex.
The Federal Reserve
On June 4, 1963, President Kennedy issued Executive Order 11110 and this accompanied the Kennedy act which was the beginning of an attempt to strip the Federal Reserve Bank of its power to loan money, at interest, to the government. JFK was on his way of stripping the then 50 year history of fleecing the American people. In effect, JFK, by issuing 4.3 billion dollars of U.S. notes based upon silver held in reserve, JFK was going to be able to wipe away the beginnings of national debt which, today, has mortally wounded the American economy. Please take note of the fact that this event was only a little over 5 months before the assassination. When JFK was murdered, LBJ failed to continue with the program.
Who stood to lose the most money if the Federal Reserve had lost its stranglehold on the American economy? You would be right if you answered Chase-Manhattan Bank with its 6,389,445 shares of Federal Reserve Board Stock valued at 32.3% of the total value of stock at the Fed. Also, Citibank had a lot to lose by this move as well as they were invested in the Federal Reserve shares to the tune of 4,051,851, or 20.5% of the total value. I think you might be getting an idea who owned and/or controlled the majority interests in these two banks in 1963, but there is more before we answer the question on who profited the most from the murder of a sitting President in 1963.
The Oil Depletion Allowance
By the end of 1962, the robber barons which ran the oil industry estimated, that their earnings on foreign investment capital would fall to 15 percent, compared with 30 percent in 1955 if the oil depletion allowance was diminished in accordance with JFK’s proposal.
JFK’s attack upon the oil depletion allowance, which permitted oil producers to deduct up to 27.5% of their income as tax exempt provided the robber barons of oil a lower tax rate and a competitive business advantage, not shared by any other business interests. JFK targeted the oil depletion allowance and it was estimated the government might retain more than $300 million in tax revenue each year if the depletion allowance was reduced. Although the oil depletion allowance remained intact, due to the congressmen who were recipients of oil company campaign contributions, JFK made some very powerful enemies in the oil industry.
It was the oil depletion allowance which made drilling for oil a no risk venture. An oil speculator could drill five wells and if four were dry wells and only the fifth struck oil, the speculator would still make money because of tax breaks resulting from the depletion allowance deducted from owed taxes. President Kennedy pointed out the obvious when he stated “… no one industry should be permitted to obtain an undue tax advantage over all others.”
JFK had made an enemy out of the oil industry and its biggest tycoon, David Rockefeller with the proposal to reduce the oil depletion allowance. Do you know the two banks which controlled 53% of the Federal Reserve in 1963? Rockefeller owned the controlling interest in both banks. How about Chrysler, KBR, Bell Helicopter and the Vietnam War? You are way ahead if you said, David Rockefeller. And what about the nuclear arms race, to which the cessation of the cold war, would have meant the loss of profits to the defense industry? And who controls the defense industry? David Rockefeller. We had to have a cold war, then, for the same reasons we need a war on terror today. It is good for business and with the subsequent growth of government power which comes with war, the erosion of Constitutional liberties increases. All roads for the motivations of the JFK assassination leads to David Rockefeller as being the first mover in the plot.
Do I have the smoking gun that I can place in Rockefeller’s hand? The short answer is no. However, it is safe to say that the day that John Kennedy died, there were no tears shed at the Rockefeller estate.
If JFK’s murder had been anything but the killing of the President, any police detective worth his salt, would have followed the money trail and arrests would have been made based on the known facts. It is unacceptable that as we race toward the 50th Anniversary of the event, this next week, that not one person has been brought to justice in a court of law for the assassination of John Kennedy. Instead, a patsy, Lee Oswald,who never fired a gun on November 22, 1963, was framed and used as the patsy. And before Oswald could talk, he was murdered two days later under very mysterious circumstances. Over the next several days, I am going to publish mini-excerpts on facts about the JFK assassination which are not being covered by the MSM. My first entry will focus on how we know that Oswald did not kill JFK.
Reflections on What Could Have Been
If JFK would have lived, we would have not lost 58,000 lives in Vietnam. Millions of Vietnamese would have been spared. We would have an economy that is backed by silver and we would virtually have no debt because the corrupt Federal Reserve would have faded into oblivion as it did during the Andrew Jackson Administration. America would have schools that would the envy of the world, not the butt of jokes, because we would not spending money to kill people, but rather to educate, improve health care and we could have even afforded to pay off all privately held mortgages if we had only remembered the words of JFK when he reminded the faculty and staff at American University on June 10, 1963, that “We all breathe the same air…”
We would live in a far better place had we lived out JFK’s expressed ideals. I write this piece, not just to remind America of what we lost and how America suffered with Jack Kennedy’s death, I write this piece for those who know little of nothing of what happened on November 22, 1963, mostly young people, in order that they can know that the tyranny being imposed upon us, need not exist. There is a better way and for a moment when I listen to his speeches, I can imagine a better world.
Rick Warren is one of America’s most influential Christian ministers. He’s so popular that many folks call him “America’s Pastor.” Warren has earned a reputation as larger than life and until a couple of years ago he was large around the middle! Because of health concerns he decided to shed a few pounds. But why go it alone? After all, he had his own personal cheering section if he wanted it – Saddleback Church in Lake Forest California, an evangelical megachurch he started in 1980. Thirty-three years later Saddleback boasts over 20,000 weekly attendees. He felt sure that many folks would cheer him on while others would join him in his endeavor to achieve a healthier lifestyle. So he said No! to Jenny Craig and took on the daunting task of developing a weight loss program that, according to Rick Warren, is “God’s prescription for your health.”
Sound like a plan?
Well, yes, in fact he christened it “The Daniel Plan: 40 Days to a Healthier Life.”
On January 15, 2011, over 6,000 people made the trek to Saddleback’s main campus to learn what the Bible allegedly says about getting healthy. Thousands more watched online at the other Saddleback campuses.
In order to achieve his lofty goal, he brought together “three of the leading health specialists in America.” But surprisingly the three doctors picked by the pastor were not Christians—not by a long shot. In fact, when you look into some of the things they’re into (more on this in a moment), it’s fair to say that all three of them are into New Age/New Thought spirituality.
Who are the doctors Rick Warren chose? 1) Mehmet Oz. Dr. Oz is a Sufi Muslim, a cardio vascular surgeon, and popular daytime talk show host. 2) Dr. Daniel Amen (pronounced A-mun). Dr. Amen is a psychiatrist and brain imaging specialist. He’s also a practitioner of Tanta which is the use of Hinduistic-type mysticism during sexual intercourse. Dr. Amen is also a self-professed Christian. 3) Dr. Mark Hyman. Dr. Hyman is a practitioner in alternative therapies in health and medicine and is a secular Jew.
Does this seem like a good fit too you? I mean, why didn’t he elicit the aid of three notable Christian specialists to create “God’s prescription for your health”?
Furthermore, why would a high-profile evangelical pastor choose doctors who are entrenched in New Age/New Thought (occult) spirituality, as well as questionable alternative health practices? Warren’s fully aware that Paul cautioned the church in Thessalonica to abstain from even the appearance of evil (1 Thes. 5:22).
In light of what the Bible clearly teaches, it’s surprising that a Christian minister, who understands what the Bible teaches (or at least he should), is unconcerned that some in his flock may not know that the New Age practices he purports are anti-biblical and that they might very well involve themselves in the sort of pagan practices that the above mentioned doctors promote, practices that are expressly forbidden in Scripture. God’s people are to be separate from the pagan nations. In 2 Cor. 6:14-15 Paul says this to the Church:
Be ye not unequally yoked together with unbelievers: for what fellowship hath righteousness with unrighteousness? and what communion hath light with darkness? And what concord hath Christ with Belial? or what part hath he that believeth with an infidel?
When Pastor Rick chose the three doctors—specialists or not–to design a weight loss plan it was done in a way that would appeal to the sheep of his pasture, his audience. And of course many of them bought into their shepherd’s health plan, hook line and sinker.
But – why was he not concerned about his flock’s spiritual health? What fellowship has righteousness with unrighteousness?
The three doctors believe that practicing meditation on a regular basis is integral to health and fitness. This is known as contemplative prayer (CP). Rick Warren promotes CP even though he knows perfectly well that it’s a form of neo-Gnosticism that, sadly, Protestants/evangelicals have borrowed from the monastic traditions of the Roman Catholic Church. Meditation is recommended in the book. On the Daniel Plan website, Dr. Joseph Mercola demonstrates the 4-7-8 breathing exercise (here) that he learned from meditation proponent Dr. Andrew Weil while attending a presentation. Dr. Hyman wrote an article for the site, Six Ways I Changed My Life and How You Can Change Yours without once mentioning God. He did, however, recommend the Hindu practice of yoga. So as you can see, there’s a very good reason for sounding the alarm regarding the Daniel Plan book that’s set to be released December 3, 2013.
Tell me more…
What does CP involve? Without getting too far afield, practitioners choose a single word or short phrase from the Bible and repeat it over and over during breathing techniques that come from India. Doing breathing techniques is an attempt to “bind the mind with one thought.” The goal is to achieve an altered state of consciousness (empty the mind completely) and to attain to the “higher self” that New Age/New Thought devotees believe to be the divinity within each person. The popular term for this is Transcendental Meditation.
So, what’s the big deal about Christians involving themselves in Eastern meditation? Well, the big deal is that when a person attains an altered state of consciousness it may bring him/her into contact with “familiar spirits,” which is a way of saying neutral or benign spirits. More commonly the spirits are anything but benign; they’re demons! According to the Bible, demons are fallen angles – prideful angles that rebelled against God and as a result were banished from His kingdom. Scripture rightly refers to the banished angels as “spiritual forces of evil.” They remain in rebellion against God. The spirits often appear to humans as “angels of light” — but they’re masters of deceit! So they’re not the good guys they trick us into thinking they are. Trust me on this; evil spirits are your worst nightmare – far worse than Freddie Kruger! For this reason Paul forewarned of Satan’s fondness for fooling the flock:
For such are false apostles, deceitful workers, transforming themselves into the apostles of Christ. And no marvel; for Satan himself is transformed into an angel of light. Therefore it is no great thing if his ministers also be transformed as the ministers of righteousness; whose end shall be according to their works. (2 Cor. 11:12-15)
Former New Ager Ray Yungen warns:
Many people have unwittingly become New Agers by simply seeking to improve their physical and mental health through meditation.
Doctors Amen and Hyman co-authored the Daniel Plan book but Dr. Oz didn’t participate. Here’s a bit of background info on the book’s co-authors excerpted from my 2011 column Rick Warren Introduces the “Devil Plan”:
Dr. Daniel Amen
Dr. Amen is a child and adult psychiatrist and Assistant Clinical Professor of Psychiatry and Human Behavior at the University of California at Irvine School of Medicine. In addition he is a brain imaging specialist.
Dr. Amen teaches “techniques that will improve ‘brain health,’ claiming that poor brain health is associated with a host of problems from overeating to depression. … He includes meditation (and in fact this is his primary tool) as a way to have a healthy brain.”
Dr. Amen recommends a meditation called Kriya Kirtan which is from the Kundalini tradition:
“I teamed with Drs. Dharma Singh Khalsa and Nisha Money to study the impact of meditation on the brain. We chose a simple 12 minute form of meditation, Kriya Kirtan, that is easy for busy people to practice. It is based on the five primal sounds: Saa, Taa, Naa, Maa (aa being the fifth sound). Meditators [sic]say each sound as they consecutively touch their thumb to fingers two, three, four and five. The sounds and fingering are repeated for two minutes out loud, two minutes whispering, four minutes silently, two minutes whispering and two minutes out loud.” (Online source)
Dr. Amen is also a practitioner of Tantric or tantric sex which is the use of Hinduistic-type mysticism during sexual intercourse. Lighthouse Trails Research (LTR) reports:
“In a 6-CD set called Create a More Passionate Night, Dr. Amen has teamed up with advanced certified Tantra educator, T. J. Bartel. … Tantra is the name of the ancient Hindu sacred texts that contain certain rituals and secrets. Some deal with taking the energies brought forth in meditation through the chakras and combining them with love-making to enhance sexual experiences.”
“Make no mistake about it” says LTR, “Reiki, meditation, tantric sex – these are very powerful mystical experiences that have the capability to delude and deceive those who are involved with it.”
For Christians who have read to this point, I hope you’re becoming alarmed.
Dr. Mark Hyman
Dr. Mark Hyman is editor-in-chief of Alternative Therapies in Health and Medicine which is said to be “the most prestigious journal in the field of integrative medicine, and the medical editor of Alternative Medicine, the Art and Science of Healthy Living.”
In her article, Alternative/ Blended/ Complementary/ Integrated Healing, Marcia Montenegro examines alternative therapies:
“It is called alternative because the technique/ drug/ herb has not been or cannot be adequately tested, or has been found ineffective or dangerous. If it were a safe, tested treatment, it would not be in the alternative category. Many cited studies to support these methods are flawed, short-term, based on anecdotal evidence, conducted by believers in the techniques, & often are not published in a peer-reviewed medical journal. The terms complementary, blended, and integrated are now being used as well since alternative treatments are being combined with traditional medicine. This makes it more difficult to test the alternative methods or to know what is really working when the patient improves. It should be remembered that the placebo effect accounts for 30% or more for a person feeling better.”
Dr. Hyman claims he’s not into meditation but he does recommend yoga to create calm.
In my article Can A Pagan Practices Be “Christianized” I explain why Christians must avoid yoga:
“Christian apologists John Ankerberg and John Weldon maintain that, ‘The basic premise of yoga theory is the fundamental unity of all existence: God, man, and all of creation are ultimately one divine reality.’ To explain the basic premise, the authors quote from an editorial in the Yoga Journal: “We are all aware that yoga means ‘union’ and that the practice of yoga unites body, breath, and mind, lower and higher energy centers and, ultimately self and God, or higher Self. But more broadly, yoga directs our attention to the unity or oneness that underlies our fragmented experiences and equally fragmented world. Family, friends, the Druze guerrilla in Lebanon, the great whale migrating north—all share the same essential [divine] nature.””
Dr. Hyman participated in a program called Yoga, Body & Spirit at Shambhala Mountain. The program included Susan Piver, who offered instruction in the ancient wisdom tradition of Buddhist meditation, and Richard Reoch who presented Golden Ball Chi Kung.
Dr. Hyman retails expensive supplements “critical for supporting lifelong health,” books and CDs in his “healthy living store” online. The UltraWellness Essentials Kit for Women costs $130 for a one month supply. For youngsters it’s a tad less. Only $47 per month because “Like adults, children need a purified source of essential fatty acids to help build healthy brain cells, support focus and attention, and optimize metabolism.”
This is UltraBunk!
Earth to Dr. Hyman! At your exorbitant cost for “high-quality multi vitamin and minerals” most families can’t afford to get healthy! (Visit Dr. Hyman’s store)
Why has this not dawned on Pastor Rick? In one of his promotional videos he held up each of the doctors’ books and urged his congregants to purchase them! This makes one wonder if Dr. Hyman’s books recommend the high priced vitamins, and if this is the case, who derives benefit from the sale of these products?
That an evangelical pastor would allow his sheep to be influenced by New Age ideas and questionable medical practices should give us pause. Christians should avoid becoming involved in any sort of assembly where we are powerless to address issues that come up which could cause us to compromise our biblical principles. Moreover, it should give us pause when the minister of the Gospel of Jesus Christ teams up with occultists!
I’ll close with a quote from John 10:7-13:
Then said Jesus unto them again, Verily, verily, I say unto you, I am the door of the sheep. All that ever came before me are thieves and robbers: but the sheep did not hear them. I am the door: by me if any man enter in, he shall be saved, and shall go in and out, and find pasture. The thief cometh not, but for to steal, and to kill, and to destroy: I am come that they might have life, and that they might have it more abundantly.I am the good shepherd: the good shepherd giveth his life for the sheep. But he that is an hireling [hired hand], and not the shepherd, whose own the sheep are not, seeth the wolf coming, and leaveth the sheep, and fleeth: and the wolf catcheth them, and scattereth the sheep. The hireling fleeth, because he is an hireling, and careth not for the sheep.
New Age Spirituality–On Solid Rock Resources
Contemplative Prayer—On Solid Rock Resources
Rick Warren’s New Age Health Gurus—Berit Kjos and Sara Leslie
Saddleback Church, Rick Warren, and Spiritual Disciplines–By Ken Silva
Rick Warren’s Daniel Plan Accelerates – Tells Followers to Practice 4-7-8 Hinduistic Meditation –By Lighthouse Trails Research
New York – Jeremy Hammond sat in New York’s Metropolitan Correctional Center last week in a small room reserved for visits from attorneys. He was wearing an oversized prison jumpsuit. The brown hair of the lanky 6-footer fell over his ears, and he had a wispy beard. He spoke with the intensity and clarity one would expect from one of the nation’s most important political prisoners.
On Friday the 28-year-old activist will appear for sentencing in the Southern District Court of New York in Manhattan. After having made a plea agreement, he faces the possibility of a 10-year sentence for hacking into the Texas-based private security firm Strategic Forecasting Inc., or Stratfor, which does work for the Homeland Security Department, the Marine Corps, the Defense Intelligence Agency and numerous corporations including Dow Chemical and Raytheon.
Four others involved in the hacking have been convicted in Britain, and they were sentenced to less time combined—the longest sentence was 32 months—than the potential 120-month sentence that lies before Hammond.
Hammond turned the pilfered information over to the website WikiLeaks and Rolling Stone and other publications. The 3 million email exchanges, once
Jeremy Hammond is shown in this March 5, 2012 booking photo from the Cook County Sheriff’s Department in Chicago
made public, exposed the private security firm’s infiltration, monitoring and surveillance of protesters and dissidents, especially in the Occupy movement, on behalf of corporations and the national security state. And, perhaps most important, the information provided chilling evidence that anti-terrorism laws are being routinely used by the federal government to criminalize nonviolent, democratic dissent and falsely link dissidents to international terrorist organizations. Hammond sought no financial gain. He got none.The email exchanges Hammond made public were entered as evidence in my lawsuitagainst President Barack Obama over Section 1021 of the National Defense Authorization Act (NDAA). Section 1021 permits the military to seize citizens who are deemed by the state to be terrorists, strip them of due process and hold them indefinitely in military facilities. Alexa O’Brien, a content strategist and journalist who co-founded US Day of Rage, an organization created to reform the election process, was one of my co-plaintiffs. Stratfor officials attempted, we know because of the Hammond leaks, to falsely link her and her organization to Islamic radicals and websites as well as to jihadist ideology, putting her at risk of detention under the new law. Judge Katherine B. Forrest ruled, in part because of the leak, that we plaintiffs had a credible fear, and she nullified the law, a decision that an appellate court overturned when the Obama administration appealed it.
Freedom of the press and legal protection for those who expose government abuses and lies have been obliterated by the corporate state. The resulting self-exile of investigative journalists such as Glenn Greenwald, Jacob Appelbaum and Laura Poitras, along with the indictment of Barret Brown, illustrate this. All acts of resistance—including nonviolent protest—have been conflated by the corporate state with terrorism. The mainstream, commercial press has been emasculated through the Obama administration’s repeated use of the Espionage Act to charge and sentence traditional whistle-blowers. Governmental officials with a conscience are too frightened to reach out to mainstream reporters, knowing that the authorities’ wholesale capturing and storing of electronic forms of communication make them easily identifiable.
Elected officials and the courts no longer impose restraint or practice oversight. The last line of defense lies with those such as Hammond, Julian Assange, Edward Snowden and Chelsea Manning who are capable of burrowing into the records of the security and surveillance state and have the courage to pass them on to the public. But the price of resistance is high.
“In these times of secrecy and abuse of power there is only one solution—transparency,” wrote Sarah Harrison, the British journalist who accompanied Snowden to Russia and who also has gone into exile, in Berlin. “If our governments are so compromised that they will not tell us the truth, then we must step forward to grasp it. Provided with the unequivocal proof of primary source documents people can fight back. If our governments will not give this information to us, then we must take it for ourselves.”
“When whistleblowers come forward we need to fight for them, so others will be encouraged,” she went on. “When they are gagged, we must be their voice. When they are hunted, we must be their shield. When they are locked away, we must free them. Giving us the truth is not a crime. This is our data, our information, our history. We must fight to own it. Courage is contagious.”
Hammond knows this contagion. He was living at home in Chicago in 2010 under a 7-a.m.-to-7-p.m. curfew for a variety of acts of civil disobedience when Chelsea (formerly Bradley) Manning was arrested for giving WikiLeaks secret information about military war crimes and government lies. Hammond at the time was running social aid programs to feed the hungry and send books to prisoners. He had, like Manning, displayed a remarkable aptitude for science, math and computer languages at a young age. He hacked into the computers at a local Apple store at 16. He hacked into the computer science department’s website at the University of Illinois-Chicago as a freshman, a prank that saw the university refuse to allow him to return for his sophomore year. He was an early backer of “cyber-liberation” and in 2004 started an “electronic-disobedience journal” he named Hack This Zine. He called on hackers in a speech at the 2004 DefCon convention in Las Vegas to use their skills to disrupt that year’s Republican National Convention. He was, by the time of his 2012 arrest, one of the shadowy stars of the hacktivist underground, dominated by groups such as Anonymous and WikiLeaks in which anonymity, stringent security and frequent changes of aliases alone ensured success and survival. Manning’s courage prompted Hammond to his own act of cyber civil disobedience, although he knew his chances of being caught were high.
“I saw what Chelsea Manning did,” Hammond said when we spoke last Wednesday, seated at a metal table. “Through her hacking she became a contender, a world changer. She took tremendous risks to show the ugly truth about war. I asked myself, if she could make that risk shouldn’t I make that risk? Wasn’t it wrong to sit comfortably by, working on the websites of Food Not Bombs, while I had the skills to do something similar? I too could make a difference. It was her courage that prompted me to act.”
Hammond—who has black-inked tattoos on each forearm, one the open-source movement’s symbol known as the “glider” and the other the shi hexagram from the I Ching—is steeped in radical thought. As a teenager, he swiftly migrated politically from the liberal wing of the Democratic Party to the militancy of the Black Bloc anarchists. He was an avid reader in high school of material put out by CrimethInc, an anarchist collective that publishes anarchist literature and manifestos. He has molded himself after old radicals such as Alexander Berkman and Emma Goldman and black revolutionaries such as George Jackson, Elaine Brown and Assata Shakur, as well as members of the Weather Underground. He said that while he was in Chicago he made numerous trips to Waldheim Cemetery to visit the Haymarket Martyrs Monument, which honors four anarchists who were hanged in 1887 and others who took part in the labor wars. On the 16-foot-high granite monument are the final words of one of the condemned men, August Spies. It reads: “The day will come when our silence will be more powerful than the voice you are throttling today.” Emma Goldman is buried nearby.
Hammond became well known to the government for a variety of acts of civil disobedience over the last decade. These ranged from painting anti-war graffiti on Chicago walls to protesting at the 2004 Republican National Convention in New York to hacking into the right-wing website Protest Warrior, for which he was sentenced to two years in the Federal Correctional Institute at Greenville, Ill.
He said he is fighting as “an anarchist communist” against “centralized state authority” and “exploitative corporations.” His goal is to build “leaderless collectives based on free association, consensus, mutual aid, self-sufficiency and harmony with the environment.” It is essential, he said, that all of us work to cut our personal ties with capitalism and engage in “mass organizing of protests, strikes and boycotts.” Hacking and leaking, he said, are part of this resistance—“effective tools to reveal ugly truths of the system.”
Hammond spent months within the Occupy movement in Chicago. He embraced its “leaderless, non-hierarchical structures such as general assemblies and consensus, and occupying public spaces.” But he was highly critical of what he said were the “vague politics” in Occupy that allowed it to include followers of the libertarian Ron Paul, some in the tea party, as well as “reformist liberals and Democrats.” Hammond said he was not interested in any movement that “only wanted a ‘nicer’ form of capitalism and favored legal reforms, not revolution.” He remains rooted in the ethos of the Black Bloc.
“Being incarcerated has really opened my eyes to the reality of the criminal justice system,” he said, “that it is not a criminal justice system about public safety or rehabilitation, but reaping profits through mass incarceration. There are two kinds of justice—one for the rich and the powerful who get away with the big crimes, then for everyone else, especially people of color and the impoverished. There is no such thing as a fair trial. In over 80 percent of the cases people are pressured to plea out instead of exercising their right to trial, under the threat of lengthier sentences. I believe no satisfactory reforms are possible. We need to close all prisons and release everybody unconditionally.”
He said he hoped his act of resistance would encourage others, just as Manning’s courage had inspired him. He said activists should “know and accept the worst possible repercussion” before carrying out an action and should be “aware of mass counterintelligence/surveillance operations targeting our movements.” An informant posing as a comrade, Hector Xavier Monsegur, known online as “Sabu,” turned Hammond and his co-defendants in to the FBI. Monsegur stored data retrieved by Hammond on an external server in New York. This tenuous New York connection allowed the government to try Hammond in New York for hacking from his home in Chicago into a private security firm based in Texas. New York is the center of the government’s probes into cyber-warfare; it is where federal authorities apparently wanted Hammond to be investigated and charged.
Hammond said he will continue to resist from within prison. A series of minor infractions, as well as testing positive with other prisoners on his tier for marijuana that had been smuggled into the facility, has resulted in his losing social visits for the next two years and spending “time in the box [solitary confinement].” He is allowed to see journalists, but my request to interview him took two months to be approved. He said prison involves “a lot of boredom.” He plays chess, teaches guitar and helps other prisoners study for their GED. When I saw him, he was working on the statement, a personal manifesto, that he will read in court this week.
He insisted he did not see himself as different from prisoners, especially poor prisoners of color, who are in for common crimes, especially drug-related crimes. He said most inmates are political prisoners, caged unjustly by a system of totalitarian capitalism that has snuffed out basic opportunities for democratic dissent and economic survival.
“The majority of people in prison did what they had to do to survive,” he said. “Most were poor. They got caught up in the war on drugs, which is how you make money if you are poor. The real reason they get locked in prison for so long is so corporations can continue to make big profits. It is not about justice. I do not draw distinctions between us.”
“Jail is essentially enduring harassment and dehumanizing conditions with frequent lockdowns and shakedowns,” he said. “You have to constantly fight for respect from the guards, sometimes getting yourself thrown in the box. However, I will not change the way I live because I am locked up. I will continue to be defiant, agitating and organizing whenever possible.”
He said resistance must be a way of life. He intends to return to community organizing when he is released, although he said he will work to stay out of prison. “The truth,” he said, “will always come out.” He cautioned activists to be hyper-vigilant and aware that “one mistake can be permanent.” But he added, “Don’t let paranoia or fear deter you from activism. Do the down thing!”
Chris Hedges, whose column is published Mondays on Truthdig, has previously spent nearly two decades as a foreign correspondent in Central America, the Middle East, Africa and the Balkans. He has reported from more than 50 countries and has worked for The Christian Science Monitor, National Public Radio, The Dallas Morning News and The New York Times, for which he was a foreign correspondent for 15 years.
“The trade in derivatives, using home notes, was designed as a Ponzi scheme. Excel knew it. Cadwalader, Wickersham & Taft (CWT), knew it. My fellow junior associates laughed at me, senior associates got mad at me, and the senior partners ultimately asked me to resign or be fired when I wrote repeated lengthy memoranda explaining this out to them.” – Charles Lincoln, III, PH.D., Harvard, J.D., University of Chicago, School of Law
Who is Charles Lincoln, III?
In October, 1993, Charles Lincoln, III began work as an associate at Cadwalader, Wickersham & Taft (CWT). He had just completed a judicial clerkship for Kenneth L. Ryskamp, U. S. District Judge, Southern District of Florida. During his clerkship with Judge Ryskamp, Lincoln had planned, coordinated, and framed the jury questions for a very large securities fraud trial in Palm Beach against Alan B. Levan’s Florida-based BankAtlantic Bancorp and Subsidiary Bank Atlantic Financial Company (BAFCO), which were heavily involved in Florida Real Estate from 1952-2011.
What he was about to learn, and challenge, would change the course of his life, from one of privilege to destitution.
In many ways, Lincoln might have appeared exactly the kind of associate who could be expected to make partner rapidly. Ambitious, bright, and energetic, CWT hired him because he received top law school grades in Securities, Antitrust, and Banking Law, as well as for his clerkship experience in Securities & Banking cases in the post-S & L Collapse period in Florida. He had also been President of the Environmental Law Society at University of Chicago, School of Law.
In law school, he had become intrigued by the role of securities in establishing, maintaining, and shaping the global-elites of the 20th century. The complexities of hierarchical and socio-political structures had been his greatest interest in Anthropology & History at Harvard.
In his first month at CWT he turned in 393 billable hours wildly exceeding any expectations. First year associates are expected to bill at least 2000 hours per year, Lincoln managed to do this in less than six months. At Cadwalader, Lincoln aspired to a professional specialization in securities litigation, fraud, shareholder’s and directors’ relations, rights and obligations, general agency and relationships of fiduciary duty.
Lincoln had taken up law as a second career after a decade as a working archeologist in Mexico & Central America, during which time he wrote a doctoral dissertation “Ethnicity & Social Organization at Chichen Itza, Yucatan” at Harvard’s Peabody Museum. His dissertation resulted from a project he directed in his 20s, funded by the National Geographic Society, Harvard’s Peabody Museum of Archaeology & Ethnology, and private donors such as Doris Zemurray Stone and novelist James A. Michener.
As an archaeologist, Lincoln had become frustrated, acutely aware of problems mounting in the world, which originated in finance. Determined to use law creatively as a force for positive change, he enrolled at the University of Chicago, School of Law. At the school, he served as President of the Environmental Law Society (ELS), presiding on a year-long symposium at the Law School in 1990-1991, concerning oil spills in the immediate wake of the Exxon Valdez disaster of March 24, 1989.
Raised as the grandson, and effectively adopted son, of a wealthy petro-chemical engineer & military supplier in Highland Park, Dallas, Texas, Lincoln was not a stranger to the better addresses in New York. The welcome dinner held at the Waldorf Astoria for the twenty associates hired at the same time, of which he was one, did not impress him. Cadwalader, Wickersham, & Taft, though claiming to be the oldest, founded in 1792, the same year as the New York Stock Exchange, was by no means the largest.
Lincoln knew Cadwalader’s history and greatest claim to fame and power. This is its status as primary law firm to the Bank of New York (BNY), now BNY-Mellon, founded in 1784 by Alexander Hamilton, 8 years before Cadwalader opened its doors under a different name.
The long relationship between the oldest bank and the oldest Wall Street Law Firm include Cadwalader’s role in setting up BNY to be the very first law firm to be traded on the NYSE. Cadwalader’s historical policies have consistently, matched and supported those of the BNY and the thinking of Alexander Hamilton.
Cadwalader’s flagship office was then at 100 Maiden Lane, in New York 10038, close to the heart of the financial district in New York.
Having been hired on for Cadwalader’s litigation department, Lincoln encountered a department which was essentially inactive in 1993. The only the only active cases involved municipal defense to voting rights act cases in California.
Even the litigators, in 1993, were all working on one project, one particular project which was shrouded in great mystery and secrecy.
The Excel Mortgage Project
Instead of litigation, Lincoln along with all other first year associates, were temporarily to work with the “Structured Finance Department” on preparing the registration statement of Excel Mortgage. Lincoln’s role was to review and assess a series of some 1500 Arizona residential properties in relationship to state and federal environmental law and geographic issues, such as cultural resource management, and other points relating to the entire history and possible condition and liabilities of these properties.
The 1500 or so properties, subject of his study, were earmarked as assets being “deposited” into the Excel Mortgage Bond Fund, along with promissory notes originated by a number of creditors on homes conforming to a certain size and value profile, but having no other relationship. These were not part of the same communities, not part of a single development project, not built by a common builder, or anything else. This struck Lincoln as strange. Why “pool” all these unrelated properties together? And would be in the completed “pool?” Why was the Bank of New York underwriting this project?
Enter the Securitized Derivative
Excel Mortgage, a highly valued client of CWT was about to become part of history, doing something that had never been done before: registering a bond for sale to the public, which bond was based on pooled notes, a hybrid of debt and equity interests in and contingent claims to realty. This type of financial instrument had never before been sold to the public, though it had existed for about 25 years in the “private placement” market.
Lincoln was unwittingly participating in the first initial public offering (IPO) of a bond, a debt instrument, derived in part from promissory notes, ‘debts,’ and in part from contingent pledges of title, ‘secured equity,’ in residential real estate.
Securitized derivatives were being born at 100 Maiden Lane.
Bernard Madoff, who founded the NASDAQ when he was 33, was a prominent client of CWT, walking the floors of Cadwalader late at night.
The entire staff of CWT, underwritten by the Bank of New York, supporting Excel, were charged getting these new-fangled “derivative” instruments past examination by the Securities & Exchange Commission (SEC).
This was an arduous, and expensive task, necessitating a “lint-picking” review, before these ‘derivative instruments’ could be packaged under the name of Excel Mortgage and offered both on the NYSE and NASDAQ. An SEC Registration Statement is an application for Federal Blessings affirming investing in a certain stock, bond, or “other instrument or obligation” is a reasonable investment for an average investor to make.
Supposedly “sophisticated investors” can do whatever they want to do, so long as it’s not expressly fraudulent or otherwise illegal. But the average grandmother investing for her grandkids’ college needs Federal Protection. Like “Social Security”, the concept of “Security” in the “Securities and Exchange Commission” is essentially a matter of “Trust us, We’re the Government.”
SEC Registration Statements require, prior to sale of any debt or equity instrument to the public, disclosure of all a companies’ assets and liabilities along with the qualifications of its officers and directors, and more.
Nobody outside of the law firms who prepare such things and SEC staff, would ever read this, but preparing the registration would bring CWT millions of dollars.
Excel Mortgage, however, was not selling stock in itself as an enterprise or an entity: it was selling a pooled collection of utterly unrelated and unconnected and barely similar promissory notes with contingent interests in, and access to, equity ownership of real property owned by 1500 different people and subject to 1500 separate notes and mortgages.
1993 – Anomalies, and Questions, Emerge
Who was to supervise its operation after “Registration”? What coherence did this “enterprise” have ASIDE FROM the Registration Statement? Would anyone ever recognize it as a “business?” If so, how and why? Lincoln was puzzled and perplexed, and not satisfied with any of the answers he was getting.
The SEC did not appear to inquire into post-issuance management or maintenance of the pool of assets. Once “securitized” the notes would still be handled by individual originators or assigned to servicers. Lincoln asked “what was there left to be assigned or handled once the notes and mortgages were pooled?”
The SEC is charged with protecting small individuals and the corporate investor.
The SEC is expected to be involved in examining and making inquiries about a company’s claims for potential and predictions of earnings or profitability.
On what opinion or data would these be based for the Excel Mortgage Pool, since there weren’t any?
The opinions used were based on the “normal statistical performance of similarly credit rated and similarly valued mortgages in similar markets from studies of a group at MIT Sloan School of Management headed by a then no-name professor Frank J. Fabozzi. Fabozzi, with close ties to the Bank of New York, was also among the occasional Night walkers at Cadwalader.
The process of preparing an SEC registration statement is a gold-mine for lawyers inclined to highly detailed work. Such a process for registration can normally require Lincoln said, over a thousand individual revisions. The Excel Mortgage registration would be subject to over 2,000 revisions, but in all this there was still no attention given to claims of ownership, transfer of title, the laws of agency and fiduciary duty of managers, any of the concerns which normally plague the corporate world and frame the concern of SEC examiners and securities lawyers.
What’s In It for CWT?
The careers of young associates, and even older partners, at firms such as Cadwalader, Wickersham, & Taft, Chadbourne & Park, Sullivan & Cromwell, or Skadden, Arps, depend upon work measured in billable hours. Cadwalader had a “billing goal” of multiple millions of dollars for the Excel Mortgage registration project.
Lincoln recalls three relevant details:
First, the firm was never able to reach it’s own goal of billable hours by the time the project was complete.
Second, the firm sent constant “internal memoranda” by e-mail to all employees, down to the lowliest legal secretaries and paralegals, to work harder and BILL MORE HOURS. It was simply inconceivable that Cadwalader might have to refund any part of enormous retainer paid for the Excel Mortgage, SEC Registration Statement project. The money for this had all been advanced by BNY, who counted on Cadwalader to do the job which needed to be done.
Third, the practical purpose of any billable hours stood quite above and beyond any possibility of doubt or question. In fact, any and all billings, however described, so long as they were assigned to the Excel Mortgage Registration Statement Account, were welcomed.
Lincoln was therefore able to unleash his curiosity, delving late at night after hours into issues which ranged far, far afield from the environmental history, condition, and culturally or historically significant use or contents of the subject properties.
Despite some losses during the 2007-2008, CWT was in 1993-1994, and remains today, the top firm representing the creators and implementing the designs of “structure finance and derivative securitization” world wide. Lincoln wanted to understand what he was doing, and what he was involved in creating. The more he found out, the more troubled he became.
As an entry-level associate at Cadwalader Lincoln received his own office and secretary and paralegal. Little time was spent interacting with others in the office. A quick question might be asked but friends did not come quickly. Each associate knew what mattered was the hours billed, and friendly socialization was hard to itemize even on the Cadwalader charts. Hanging over the heads of all new associates was the goal of “making partner.”
As an anthropologist, Lincoln saw immediately the subculture of the law firm had its own standards, values, and mandates. The firm had high standards for dress which included ties which remained in place all day, regulations for tie clips or tie pins and cufflinks and belts and, of course, shoes, whether white or “normal.”
Standards for women included skirts below the knee and mandated the length for sleeves and the height of necklines and collars. Even the length of hair, for women, was described and outlined in the firm guide, although one paralegal from the litigation department was granted a special exemption, for cause. Known to and noted by everyone in the firm, for his ponytail and paisley shirts, the associate was hired from SDS in California as “our eyes and ears to the lower classes,” as the senior partners consistently and uniformly described him.
Lincoln, as an undergraduate, had twice been voted, “best dressed man on campus”, but the whole Cadwalader atmospheric ethos of bloodless conformity, as noted above, was for him one of stifling suffocation.
The anomalies which began to intrude on Lincoln’s consciousness during his late hours trying to understand the “entity” being sold almost as if it were a company or entity, without actually being one, became an obsession. At first, this lead only to more billable hours, but the trip down the rabbit hole became increasingly disconcerting.
All questions of real value or reasonable expectations, lead the inquirer to the Bank of New York’s Heart, ending any questions.
The Disconnect between Law and Derivatives
Lincoln’s law school classes, under the University of Chicago’s Andrew M. Rosenfield, William Landes, Geoffrey Parsons Miller, and Richard A. Posner, and from his further and ongoing research as a Law Clerk with Ryskamp and now at Cadwalader, had considered the question of real value and reasonable expectations.
Issuing and selling securities, debt or equity, takes place when a company, or group of people who have control over assets they planned to use to make money, or with which they were already doing something generally profitable, or wanted to raise new capital and/or liquidate their ownership and interests in an ongoing and successful venture.
This did not come close to describing what Bank of New York had underwritten for Cadwalader to prepare for Excel Mortgage.
This SEC Registration Statement gave birth to new type of “debt-equity-derivative debt instrument” which had none of the elements or characteristics of a traditional enterprise at all. It was PAPER MADE FROM PAPER, SECURED BY PAPER.
Indeed, the Excel Mortgage Bond, which was soon to be popped onto the market with an SEC certification of Federal conformity was a creation of the lawyers, by the lawyers, for the lawyers.
As one of the most senior associates, now firm Chairman, Christopher White explained to Lincoln when he asked him, “Who will own the interests in these notes once they are securitized?” He grinned boyishly from ear-to-ear and said, “we will, because everyone will have to pay us to tell them.”
Without any unifying manager or common owner for these properties, the pool of notes struck Lincoln as like nothing so much as “res nullius” in Ancient Roman Law—the legal category of “property belonging to no one”, e.g. virgin forests, wild beasts and undomesticated fur and game animals of every kind, the un-owned and un-ownable creatures of the deep.
Excel Mortgage was going to pool all these “derivative” real estate mortgage interests, whose only commonalities marking them as similar were the price, promissory note, range, size and “single-family home-residential” nature of the properties, and the credit or FICO scores of the owners.
Having “pooled” these “cherry picked” assets, Excel was going to create a strange creature without an owner until either default or foreclosure moved someone to homestead these unownable notes back to control and “ownership” again.
In essence, the concept was, “everything belongs to everyone in common” and “debt is not individual but collective.”No one owes his or her debt to any person, but everyone owes it to everyone to pay. This concept seemed, even to Lincoln in 1994, strangely reminiscent of Aldous Huxley’s “Brave New World.”
The Excel Mortgage Bond to be securitized reflected an artificial “derivative” interests in a non-coherent, uncontrolled mass of wealth, which could and would have to be tamed individually, just like hunting the wild game of the woods.
There would be only a pretense of relationship between the notes originated and the notes collected upon.
There was no one to oversee the transfers, no one to audit the exchanges of values; there were quite simply no responsible parties anymore than anyone can take charge of wheat chaff thrown into the wind or the by-products of a paper mill dumped into a river, yet these “derivative by-products” were being STRUCTURED into something said to have value.
Around 1500 or 2000 properties had been collected together and placed in a basket or pool. But no single plan of real estate development or construction or sales was involved, nor was any contemplated. Nothing joined these properties as a class. Most were not new, but merely resales.
Raising the Issues
Lincoln dug in further, producing and circulating to all his fellow associates and the senior partners at Cadwalader his own memoranda: lengthy studies and analysis on issues such as the fiduciary obligations in the Law of Agency.
Fiduciary responsibility of issuers of securities to purchasers, holder in due course doctrine, implied covenants of good faith and fair dealing between parties to a contract, privity of contract itself, and commercial paper doctrines such as endorsement and ownership as holder, and the comparative rights and priorities of “naked” holders vs. “perfected” holders.
As Lincoln’s months stretched out among the whirring circular brushes which polished the green and white marble floors of CWT, he spent more-and-more time with the partners of real estate department, which seemed to understand his worries and concerns better than others, certainly better than the Fourth or Fifth year associate in charge of coordinating the Excel Mortgage Project who kept explaining “this is my road to partner; if I can finish this and make it happen, I won’t have to worry about how to live on these lousy six figure salaries anymore, I’ll finally be making millions, and that’s why we all came here, isn’t it?”
Questions Find Answers
Since it was not why Lincoln had arrived at 100 Maiden Lane this presented a dead end for him.
The real estate connection, and an aborted plan to open a CWT office in California, permitted him to compare the Excel Mortgage project with another, more traditional real estate development Sacramento, California.
An extremely prominent CWT client based in Los Angeles was complaining and encountering major problems because of a parallel but separate and distinct set of misapplications of the law of agency, fiduciary duty, and obligation, also originating from the same historical “Cadwalader Memorandum” on transfer of interests which had triggered the explosion of derivative innovations in the securities realm.
With CWT acting as counsel for an old and distinguished California family and collection of enterprises, the Ahmansons, tracts totaling several dozen suburban “townships” in El Dorado, Placer, Sacramento, Sutter, Yolo, and Yuba Counties had sold by the Ahmanson family to a Japanese firm and retained an “Ahmanson Construction Group.”
The intention was to build a resort in the area for the benefit of the Japanese owners acting as “construction agents.”
Normally construction is performed pursuant to agreements with “independent contractors” who make estimates but are not obligated to continue working if their estimated budgets prove insufficient to complete a project. The Japanese investors were seeking to securitize all the sales in this immense, almost unimaginable project.
Involved, were the Bank of New York, with Cadwalader’s long-time California based H.F. Ahmanson holding Company, parent company both to Ahmanson Construction and the since failed Home Savings of America Bank.
The “construction agency relationship” which Cadwalader had created imposed devastating duties and obligations on Ahmanson. As agents, Ahmanson Construction was obligated to use its own money to achieve the ends of the principal, in this case the Japanese company which had purchased the real estate but woefully underfunded the construction of the vast tracts of homes. Ahmanson could not make a profit or even break even. In effect, they had become slaves to the Japanese and might never be compensated.
Lincoln, having reviewed the facts, pointed out to Stephen Meyer, Richard C. Field, and John McDermott, the partners most closely associated with Ahmanson, that by not only failing to protect Ahmanson, but in fact, selling them into quasi-slavery as agents under a contract without guarantees of adequate funding to execute agency obligations, the firm had made a ghastly mistake amounting to nothing less than legal malpractice. This was a breach of fiduciary duty in and of itself.
Lincoln was told, “This firm has a policy of doing no wrong. Therefore, you are wrong. The firm is never wrong. You should reevaluate your conclusions.”
This happened in 1994, only two and a half years after the sensational October 1991 confirmation hearings for Justice Clarence Thomas. The Paula Jones allegations against the new President Clinton, were beginning. “Sexual harassment” became a great boogie-man haunting law firms all over America.
Consequences are Clarified
After reading his memorandum on the Ahmanson project, these senior partners asked Lincoln to leave the room.
When they called Lincoln back in, they told him, very solemnly,
“you know you need to keep your nose clean around here. We have all received reports that you have taken your secretary Alex to lunch more than once and what’s more you gave Holly, the Senior Secretary in recruitment & personnel, flowers for her birthday and Valentines Day. So just remember: never ever do anything, anything at all, that you would not want to see published on the front page of the New York Times. Anything here can be, you know, and anything will be, at the drop of a pin, because everyone is very sensitive to questions of decorum these days, and, after all, you are a married man.”
Lincoln reports he did not even bother to ask how they happened to think of this only after a three hour meeting concerning the Ahmanson contract of construction agency, when he had never heard about any concerns of this nature before.
At work, Lincoln continued to pile up daunting billable hours doing research on a growing list of issues, each going back to the dissection of the elements of value, which were being “deposited” into the derivative pool. He was determined to understand what was really happening. Why were they doing this?
Confirming what Christopher White had told him before, a Properties Department attorney named Stephen Meyer, advised Lincoln to keep his mouth shut, this happening shortly before Lincoln was asked to resign. Both men had made it clear, in nearly the same words, that Lincoln should be careful about questioning or criticizing firm’s plan for transforming the economy of the Western World, “this is how things are being done these days. We do because we get to charge everybody. This is how the whole world will be managed by 2020, we have a plan.”
As Lincoln was to discover, there was a plan. A book called “Cadwalader 2020” contained a comprehensive manifesto of how the world would be changed by the year 2020. Unsecuritized individual debt would no longer exist.
During Lincoln’s entire time at CWT, the firm maintained a high level of security over the Excel Mortgage work, work which finally involved everyone at the firm. All who worked at the firm had to submit to a frisk on leaving work. No papers or laptop computers or diskettes, this still the era of 3.5 inch diskettes, were to be taken home or removed from the premises, and no external e-mail was allowed connecting to firm e-mail. All firm e-mail was in fact carefully monitored.
To entirely use up the retainer on the Excel work, Lincoln and all the other first and second year associates found themselves in a large conference room supervised by some of the partners pasting labels on files.
The partners had to review the signature pages before officers of Excel would sign the documents, and the associates were there to prepare and affix signature tabs, saying “sign here, Mr. So-and-So, on to the final pages of Statement before final submission.
Lincoln said it seemed odd to use attorney billable time to prepare, double-check, and verify signature tabs, even on a super important document until you considered the driving desire of CWT to maximize their billable hours.
Billing rates were $150.00 an hour for new associates, $60 – 80 an hour for paralegals, and $40 – 50 an hour for secretaries. On being told that he had failed to bill his secretary’s and paralegals’ time for bringing him after hours meals and snacks, Lincoln asked the senior associate in charge of organizing the Excel Mortgage Project how much the firm billed out for the hourly operators of the automated circular marble floor polishers which whirred seemingly ceaselessly day and night throughout the offices. Epstein just glared at Lincoln silently. Those hours were not billable.
CWT was determined to drain every possible penny from the work done for Excel Mortgage, and did. This appeared to be consistent with the Bank of New York’s plan in financing the project in the first place.
As Lincoln’s research continued, the business plan being followed by Excel Mortgage also emerged, in all of its complexity and disturbing detail. The company had seen the potential to redefine a debt, recreating it as equity, and equity can be used as collateral for originating and extending more debt, which can be hybridized with contingent interests in an ever expanding pyramid of debt, doubled into equity, doubled into debt…. And again, this was the CWT-BNY plan for perpetual inflation.
There was quite simply no plan other than to pool and securitize the notes to issue X millions of dollars in bonds. These would be sold on the major stock exchanges, generating equity. The equity would be used to extend or originate more money to the borrowing public who then “sell” or give their new notes. This then generates more equity through debt, a constantly pooling and production of derivatives then sell to continue the cycle.
Ponzi Scheme Emerges
After his first month of painful research, it took Charles an additional 6 weeks to figure out and map the nature of the pyramid, another 6 weeks to check his work and accept the results, and then he started writing memoranda, one after the other, each one critiqued by other associates or the senior partners and getting longer and longer.
His first memorandum was entitled “The Law of Fiduciary Duty in Agency.”
His second was “Transfer and acceptance of instruments by endorsement and receipt: who is responsible?”
There were at least four others, the longest of which was over 500 pages.
Lincoln’s conclusion was breathtakingly simple: “merger of identities destroys the identities merged, there is no individual liability for debt in the absence of privity of contract, and no privity of contract without individual identity of contracting parties.”
It was clear from the elated attitude of the Senior Partners that designing and implementing the Excel Registration Statement, as the first IPO of its kind, stood in their minds as their most important contribution to western civilization, as envisioned through the world of “Cadwalader 2020”.
Finally, Lincoln was asked to resign, about six weeks shy of his first anniversary. His questions and concerns had not ended and the Partners were becoming hostile.
Leaving with a not quite “Golden Parachute” consisting of a $50,000 severance payment, he had vocally identified a series of challenges which the management of Cadwalader had no intention of addressing. It was now clear to Lincoln these were not any kind of mistake or oversight.
Lincoln’s final memorandum at Cadwalader opined, perhaps overestimating general knowledge of the law, “no mortgage note included in the Excel mortgage pool will ever be lawfully collected in the event of borrower/credit-debtor default, because the pooling of identities obliterates individual obligations and rights, and discrete transactions lie at the foundation of our system of contract and debt.”
At the meeting where he finally resigned, the Senior partners, perhaps understanding the American public better than Lincoln, said to him, “Who is ever going to notice lack of privity of contract besides you? They teach you all those archaic “Elements of Law” at the University of Chicago, we know all about it, but nobody does business that way anymore. The economy of the future is now, nobody cares about endorsements and signatures anymore, it’s all going to be electronic, anyhow.”
Lincoln responded, “well, then, you’re going to have to change the law.” And the masters of the CWT universe said, “Don’t let the door hit you on your way out, we write the law, we interpret the law, we tell everyone in America what the law means, that’s what we do.
The Price Paid
The next nineteen years of Lincoln’s life have been filled with constant attacks from the legal establishment from directions and in ways which exacted a hideous toll on him and those he loves. He has repeatedly learned what it is to be hated, rejected, despised, a man of sorrows and acquainted with grief. In those two decades he lost his wife, his birth family, and his son, all his inherited property, including several homes and a gigantic private library and personal collections of fossils, numismatic, painted, and sculptural art, his law licenses in three states and even his own not-at-all-insubstantial investments.
Lincoln notes that, after what can only be called a blessed beginning in life with his loving grandparents supporting him, an exceptional education, and basically a privileged and charmed first three decades of life, his consistent pattern of loss only began when he was 33-34 years with his entry into private law practice at Cadwalader, in what, quite simply should have been “the best of all possible worlds.”
Left with nothing, he refused to quit.
All of these events began after those critical months, less than a year, that he had spent at Cadwalader, Wickersham, & Taft.
As historical events unfolded, parallel to his own life, his worst projections regarding the impact of the new market in mortgage derivatives proved to be frighteningly accurate. Lincoln began to research how the runaway Ponzi Scheme could be halted, and reversed.
According to Lincoln, for the past ten years, his life has been entirely shaped by the mortgage crisis and its origin in securitization. The question which, he says, drove him is how private property and integrity of contract could restored in the face of the “New World Order” Plan. This is the plan Lincoln first became aware from the internal firm booklet “Cadwalader 2020,” while he was working at CWT in 1993-1994.
Lincoln believes such restoration is possible. The systemic fraud has not gone unnoticed, as CWT and BNY clearly thought would be the case. Their concern is registering through the rising wave of settlements which are now extinguishing the cases they deem most threatening. These cases are now settling on the courthouse steps for significant amounts and return of the real estate, free and clear of mortgage related liens.
Banks understand the ominous possibilities they face if juries realize what really happened. And today, it is not just Cadwalader. Nearly every major financial law firm in the United States who is involved, directly or indirectly, in the implementation, defense, or coverup of securitization is potentially liable.
This potential for liability makes the settlements paid out by cigarette companies seem like chump change.
As long as such settlements are few and remain outside the view of the courts, the banks are safe. But the moment juries hear the facts, and see the reality, the banks are toast, and they know it.
And here, Lincoln said, is the leverage point from which change can be enacted. More cases must be litigated using the facts so cases won in the light of day can become case law and precedent. The war can be won, but will be costly. This challange requires, along with several lines of attack, the means for funding litigation.
One possible solution is to solicit private direct investment in litigation for individual cases in exchange for a share of the awards by the jury. Another is to design an “anti-derivative derivative” plan which bundles and pools both investments and potential awards, allowing Americans at all income levels to invest in the effort.
For this derivative, investors would understand both the risk and the benefits of investing.
Lincoln’s team, they know, cannot fund its efforts as the banks do, by an out of control pyramid scheme piling debt on equity to create more debt, but Lincoln sees a certain symmatry achieved by using the weapons created by the originators of the problem against them.
Either solution, Lincoln says, lies directly in the hands of Americans. If the money is available, litigation can go forward. He and the team see a build out across the country, with litigation taking place in every state as attorneys sign on and funds are available.
They have already begun. Lincoln’s team is now working with homeowners and the currently small number of attorneys willing to litigate. They have no illusions. They are aware they are going up against the most powerful institutions in the world. But they also know that, if they are successful, the crack now forming in the protections constructed by CWT, BNY, and so many others, makes it possible to reverse the ominous trends in the American housing market while proving it is possible to enact accountability for a corrupt establishment and good for the people.
If houses now held by banks go on the market, or are returned to their owners, the heavily inflated prices of homes will drop to its natural market level based on supply and demand. Communities will stabilize, as will the lives of Americans.
The America which emerges from this crisis can be very different. No stability will ever result from the current expectations of perpetual economic growth relying on perpetual inflation and perpetual motion in the market place, and the resultant social instability.
The 99% need to bring the 1% home to live with the rest of us in peace, Lincoln says.
Given the propensity of the legal establishment to go after activist attorneys, Lincoln admits this will not be without risk, but public involvement can help here, too. He remains confident, many will step forward. They did so in 1775 and in other times of crisis in America.
Failing to act, he said, means abandoning Americans to the cartels and monopolies who are responsible for what has happened to our country.
Lincoln and other members of the team believe strongly most attorneys and judges, when asked to make a choice in the light of day, will do the right thing.
The effort has already begin in New Jersey. Right now he has a case in motion in the Garden State, just across the river from Manhattan, where Cadwalader still holds sway at the ominously named “One World Financial Center.”
Now, they are looking for more attorneys who love and respect the law, and investors who know what matters most and want to make a difference. His website is, homeownersjustice.com.