Part 3
The industrialists were known as "Big Business" and the Wall Street bankers as the "Money Trust". The most prominent of these was banker J.P. Morgan.
It was Morgan, working with the European banking dynasties, who created the "Financial Panic of 1907". This was an effort to manipulate Congress to approve of a central bank.
In 1912, Woodrow Wilson became President. His chief advisor and administrator was Col. Edward Mandell House, who was a proponent of world government, a representative of the European banking dynasties, and had close ties with the Morgan interests.
In 1912, House wrote a book, wherein he laid out a plan to bring America into a world government. ("Philip Dru: Administrator", by Col. Edward Mandell House, 1912; available at General Birch Services, P.O. Box 8040 Appleton, Wis. 549138040). On page 222, he wrote:
"...our Constitution and our laws...are not only obsolete, but even grotesque."
His plan, and, to use his own words, "a conspiracy," would seek to achieve:
1. The establishment of a central bank;
2. A progressive graduated income tax; and
3. Control of both political parties in the U.S.
What was House's goal? "Socialism as dreamed of by Karl Marx". House, who called himself the "unseen guardian angel" of the Federal Reserve Act, in concert with the Wall Street and European bankers, convinced President Wilson of the central bank concept.
The Federal Reserve Act was passed on Dec. 23, 1913 (by a vote of 298 to 60 in the House of Representatives, and 43 to 25 in the Senate).
After the vote, Congressman Charles A. Lindberg, Sr. (father of the famous aviator) told Congress:
"This act establishes the most gigantic trust on earth...When the President signs this act, the invisible government by the money power, proven to exist by the Money Trust Investigation, will be legalized...The new law will create inflation whenever the trusts want inflation..."
The Fed was then able to manipulate the money supply. In the six years prior to the 1929 Stock Market Crash, the Fed increased (or inflated) the money supply 62%, inducing unwise investments and market speculation by the public. When everything was in place, the bankers, who had been financing market speculation, called in their "24 hr. broker call loans", precipitating the Crash.
They were then in a position to loan the government billions of dollars to finance the nation out of the Depression. Congressman Louis McFadden, Chairman of the House Banking Committee, (1920-1931) said this:
"It (the Depression) was not accidental. The international bankers sought to bring about a condition of despair here so that they might emerge as rulers of us all."
How powerful is the Fed? Congressman Wright Patman, Chairman of House Banking Committee (in the 60's) said:
"In the U.S. today, we have in effect, two governments...we have the duly constituted government...then we have an independent, uncontrolled, and uncoordinated government in the Federal Reserve System, operating the money powers which are reserved to the Congress by the Constitution."
The Fed has never been audited, and has resisted all attempts to do so. Lt. Col. Archibald Roberts (Director of Committee to Restore the Constitution)began a campaign on March 30, 1971, testifying before Wisconsin legislators about the fraud surrounding the Fed.
(The text of his address is in the Congressional Record, E3212-E3224, entered April 19, 1971). Roberts and other constitutional groups (including Washington state Senator Jack Metcalf) had, by the mid 80's, acquired about 20 states' support calling for audits/reforms, with no success.
Again, in the late 80's, Congressman Henry Gonzales (Texas) called for abolition of the Federal Open Market Committee and the repeal of the Federal Res. Act. (HR 1469, 1470).
Congressman Phil Crane (Illinois) also introduced HR 70, calling for an audit. (Currently, Gonzales and Crane are calling for an audit/reforms under HR 28 and 145; Senator Byron Dorgan, (N. Dakota) is calling for a similar bill in the Senate, S212).
Since Wilson took office, the national debt has risen from $1 billion to over $5 trillion - that's just "on budget" debt. When added to the "off budget" debt of the S&L debacle and unfunded retirement liabilities, the total now exceed our GDP.
Is the country bankrupt? Roosevelt declared so by Executive Orders 6073, 6102, 6111, and also by EO 6260 on March 9, 1933 (as proclaimed under the "Trading With the Enemy Act of 65th Congress, Oct. 6, 1917, and as codified at 12 U.S.C.A. 95a, which allows the President exceptional control under a "state of emergency"). On April 5, 1933, FDR issued this EO:
"All persons are required to deliver on or before May 1, 1933 all gold coins, gold bullion, and gold certificates now owned by them to a Federal Reserve Bank, branch or agency, or to any member bank of the Federal Reserve System." |
