The Fractional Lending System
And How The Federal Reserve Works
The Primary Condition That Justified An American Revolution
INCREDIBLE SMOKING GUN: Lord James of Blackheath has spoken in the House of Lords holding evidence of three transactions of 5 Trillion each and a transaction of 750,000 metric tonnes of gold and has called for an investigation.
"The inability of the Colonists to get power to issue their own money permanently out of the hands of George III and the international bankers was the PRIME reason for the revolutionary war."
~Benjamin Franklin
Few people are aware today of the history of the United States since the American Revolution in 1776 has been an epic struggle to be free and stay free of control by the European International Banks. This struggle was finally lost in 1913 when President Woodrow Wilson signed into effect the Federal Reserve Act putting the International Banking Cartel in charge of creating America's money.
"I am a most unhappy man. I have unwittingly ruined my country. A great industrial nation is controlled by its system of credit. Our system of credit is concentrated. The growth of the nation, therefore, and all our activities are in the hands of a few men. We have come to be one of the worst ruled, one of the most completely controlled and dominated Governments in the civilized world. No longer a Government by free opinion, no longer a Government by conviction and the vote of the majority, but a Government of the opinion and duress of a small group of dominant men."
~Woodrow Wilson, President of the United States, 1913-1921
The modern "Money as Debt" system was born a little over 300 years ago when the First Bank of England was set up with a Royal Charter of lending of gold receipts at a modest ratio of 2 to 1. That modest ratio was just the proverbial foot in the door. The system is now virtually worldwide, creates unlimited amounts of money out of thin air, and has everyone on the planet chained to a perpetually growing debt that can never be paid off.
Could it have all happened by accident, or is it a conspiracy? Obviously something very big is at stake here.
Click here for references to all quotes on this page and in these videos.
Download the legal ruling PDF of Minnesota Trial Court decision that the Federal Reserve is Unconstitutional Read the full article "The Federal Reserve Act is Unconstitutional" here.
Wednesday, November 25, 2009, FDIC Officially Goes Bankrupt
From today's FDIC quarterly, there is final confirmation that the Deposit Insurance Fund is negative $8 billion.
The Fractional Reserve & Borrowing At Interest Money That Does Not Exist.
...What you are actually borrowing is someone else's debt - money that does not exist that is owed, plus the interest on that non existent money, plus the interest on those debts that you are borrowing which you must pay - none of which is based on any real principle that anyone but a few powerful men controlling it all will ever actually own.
Since the money everyone borrows does not exist and collectively cannot be produced in reality (because it is not there) in theory neither the principle nor the interest charged can be owed since borrowers didn't borrow existing money, but other peoples unpaid debt. For everyone who borrows today to receive the money itself from the banks and hold it without redepositing it is in reality impossible because the actual supply of money to do so is so limited that the supply is not even fractionally enough to cover a percentage of what the lending institutions can lay their hands upon - and neither does the Federal Reserve have the cash to make this even remotely possible for banks to do.
In fact the world continues to operate on the principle of ever increasing "debt as cash", and even governments themselves are forced to borrow upon this principle from the very banking system that has created this insane system. Those elected by us to run the government have sold us out and granted banks the right to continually raise debt and enslave the citizenship rather than have the government control and issue money interest free.
Today government has firmly placed us back into the strangling hands of the international bankers of the world bank from which it borrows in the name of the people, creating an ever increasing national debt and insuring that the leaders of that banking system become and remain forever our slavemasters.
"All of the perplexities, confusion, and distress in America arises, not from the defects of the Constitution or Confederation, not from want of honor or virtue, so much as from downright ignorance of the nature of coin, credit and circulation"
~John Adams,
Founding Father of the American Constitution
"Whoever controls the volume of money in our country is absolute master of all industry and commerce... and when you realize that the entire system is very easily controlled, one way or another, by a few powerful men at the top, you will not have to be told how periods of inflation and depression originate."
~James A. Garfield,
assassinated President of the United States
"The Government should create, issue, and circulate all the currency and credits needed to satisfy the spending power of the Government and the buying power of consumers.
By the adoption of these principles, the taxpayers will be saved immense sums of interest.
The privelege of creating and issuing money is not only the supreme prerogative of government, but it is the government's greatest creative opportunity."
~Abraham Lincoln,
assassinated President of the United States
"Some of the biggest men in the United States, in the field of commerce and manufacture, are afraid of something. They know that there is a power somewhere so organized, so subtle, so watchful, so interlocked, so complete, so pervasive, that they had better not speak above their breath when they speak in condemnation of it."
~ Woodrow Wilson,
former President of the United States
NATIONAL AUTO DETERMINATION = DEMOCRATIC SELF RULE
"We are grateful to the Washington Post, the New York Times, Time magazine and other great publications whose directors have attended our meetings and respected the promises of discretion for almost forty years. It would have been impossible for us to develop our plan for the world if we had been subject to the bright lights of publicity during those years.
But, the world is now more sophisticated and prepared to march towards a world government.
The supranational sovereignty of an intellectual elite and world bankers is surely preferable to the National auto-determination practiced in past centuries"
~David Rockefeller in an address to Trilateral Commission meeting, 1991
Isn't admitting this in a book proof that there is nothing going on behind our backs?
Jacques Ellul, author of "Propaganda: The Formation of Men's Attitudes" wrote (below, left):
Thus books will be published, news articles will be planted, and even ranting conspiracy nuts will be encouraged to make outlandish and ridiculous claims to lend incredulity to the valid concerns of those with solid research backed documentation from acreddited primary and secondary sources.
Once the cat is out of the bag and a secret has been revealed, white propaganda works to create a benevolent motive via "open" press stories and public relations work. Actual verifiable facts are used in propaganda. Wherever possible no lies about verifiable facts may be told. The true power of Propaganda lies not in the events and facts, but in the motivations behind those facts and events.
"When a government is dependent upon bankers for money, they and not the leaders of the government control the situation, since the hand that gives is above the hand that takes... Money has no motherland; financiers are without patriotism and without decency; their sole object is gain." ~ Napoleon Bonaparte, 1815
The Current US National Debt is over $9,460,099,000,000 (that's nine and a half TRILLION dollars - of money that does not exist) and the government has absolutely no plan or intention of ever paying the money off because they know it simply does not exist, cannot be paid off, and is more than equal to the combined total assets of the USA - they simply heap more debt upon the American public and put an ever increasing load on every man, woman, child, fetus and imaginable future fetus.
Dividing up the National Debt every man woman and child in the US owes $38,138.55 because of the above number, and without our consent that number is always going up - that number does NOT include our personal debts for homes, cars, shoes, schools, health care, entertainment, vacations etc.
When this country got started there was a tax surplus. The first tax surplus was mailed back to the America people. That was not only the first, but also the last time it happened.
The national debt in 1957 was 5 Trillion Dollars. In 2006 the national debt was 45 Trillion Dollars.
CALLING AN END TO THE FEDERAL RESERVE IS NOT JUST A REVOLUTIONARY IDEA, ITS AN AMERICAN REVOLUTIONARY IDEA
It took a revolution to stop the world bankers the first time, and we did it so we could form a free government. The government "Of the People, For the People, and By the People" IS NO LONGER FREE. The conditions for a revolutionary war exist again right now, today:
"The inability of the Colonists to get power to issue their own money permanently out of the hands of George III and the international bankers was the PRIME reason for the revolutionary war."
~Benjamin Franklin
What this means to all of us:
The Wegelin Document is an absolute must read. It covers many of the current global economic topics.
Click here for the Wegelin Document on American Taxes and Assets
Jekyll Island Club, November 1910
Combined, these men at Jekyll Island represented an estimated one-fourth of the total wealth of the entire world.
"In 1910, when Aldrich and four financial experts wanted a place to meet in secret to reform the country’s banking system, they faked a hunting trip to Jekyll and for 10 days holed up in the Clubhouse, where they made plans for what eventually would become the Federal Reserve Bank."
Forbes magazine founder Bertie Charles Forbes wrote several years later:
"Picture a party of the nation’s greatest bankers stealing out of New York on a private railroad car under cover of darkness, stealthily riding hundreds of miles South, embarking on a mysterious launch, sneaking onto an island deserted by all but a few servants, living there a full week under such rigid secrecy that the names of not one of them was once mentioned, lest the servants learn the identity and disclose to the world this strangest, most secret expedition in the history of American finance. I am not romancing; I am giving to the world, for the first time, the real story of how the famous Aldrich currency report, the foundation of our new currency system, was written... The utmost secrecy was enjoined upon all. The public must not glean a hint of what was to be done. Senator Aldrich notified each one to go quietly into a private car of which the railroad had received orders to draw up on an unfrequented platform. Off the party set. New York’s ubiquitous reporters had been foiled... Nelson (Aldrich) had confided to Henry, Frank, Paul and Piatt that he was to keep them locked up at Jekyll Island, out of the rest of the world, until they had evolved and compiled a scientific currency system for the United States, the real birth of the present Federal Reserve System, the plan done on Jekyll Island in the conference with Paul, Frank and Henry... Warburg is the link that binds the Aldrich system and the present system together. He more than any one man has made the system possible as a working reality."
The secret meeting on Jekyll Island in Georgia at which the Federal Reserve was conceived; the birth of a banking cartel to protect its members from competition; the strategy of how to convince Congress and the public that this cartel was an agency of the United States government.--...were seven men who represented an estimated one-fourth of the total wealth of the entire world.
- Nelson W. Aldrich, Republican "whip" in the Senate, Chairman of the National Monetary Commission, business associate of J.P. Morgan, father-in-law to John D. Rockefeller, Jr.;
- Abraham Piatt Andrew, Assistant Secretary of the United States Treasury;
- Frank A. Vanderlip, president of the National City Bank of New York, the most powerful of the banks at that time,representing William Rockefeller and the international investment banking house of Kuhn, Loeb & Company;
- Henry P. Davison, senior partner of the J.P Morgan Company;
- Charles D. Norton, president of J.P. Morgan's First National Bank of New York;
- Benjamin Strong, head of J.P. Morgan's Bankers Trust Company;and
- Paul M. Warburg, a partner in Kuhn, Loeb & Company, a representative of the Rothschild banking dynasty in England and France, and brother to Max Warburg who was head of the Warburg banking consortium in Germany and the Netherlands.
The above paragraph & list of 7 men is credited to OrwellToday.com's Jekyll Island Book page.
Warburg and Aldrich - The Aldrich Currency Report
"The matter of a uniform discount rate was discussed and settled at Jekyll Island." Paul M. Warburg
Paul M. Warburg was a partner in Kuhn, Loeb & Company, a representative of the Rothschild banking dynasty in England and France, and brother to Max Warburg who was head of the Warburg banking consortium in Germany and the Netherlands.
He wrote: "The results of the conference were entirely confidential. Even the fact there had been a meeting was not permitted to become public." "Though eighteen years have since gone by, I do not feel free to give a description of this most interesting conference concerning which Senator Aldrich pledged all participants to secrecy." Paul M. Warburg, 1930 "The Federal Reserve System, Its Origin and Growth"
The Federal Reserve basically works like this: The government granted its power to create money to the FED banks. They create money, then loan it back to the government charging interest. The government levies income taxes to pay the interest on the debt. Before the FEDERAL RESERVE BANKING SYSTEM there was no income tax in the United States of America.
The Role of the Rothschilds
We Know War Makes Certain People Very Rich, But Whom?
"If my sons did not want wars, there would be none." ~ Gutle Schnaper, Mayer Amschel Rothschilds wife
"If you will look back at every war in Europe during the nineteenth century, you will see that they always ended with the establishment of a 'balance of power.' With every reshuffling there was a balance of power in a new grouping around the House of Rothschild in England, France, or Austria. They grouped nations so that if any king got out of line, a war would break out and the war would be decided by which way the financing went. Researching the debt positions of the warring nations will usually indicate who was to be punished." (Economist Stuart Crane).
Since I entered politics, I have chiefly had men's views confided to me privately. Some of the biggest men in the United States, in the field of commerce and manufacture are afraid of somebody, are afraid of something. They know that there is a power somewhere so organized, so subtle, so watchful, so interlocked, so complete, so pervasive, that they better not speak above their breath when they speak in condemnation of it.
Woodrow Wilson, The New Freedom (1913), Doubleday
From the days of Spartacus-Weishaupt to those of Karl Marx, and down to Trotsky (Russia), Bela Kun (Hungary), Rosa Luxembourg (Germany), and Emma Goldman (United States), this world-wide conspiracy for the overthrow of civilisation and for the reconstitution of society on the basis of arrested development, of envious malevolence, and impossible equality, has been steadily growing. It played, as a modern writer, Mrs. Webster, has so ably shown, a definitely recognisable part in the tragedy of the French Revolution. It has been the mainspring of every subversive movement during the Nineteenth Century; and now at last this band of extraordinary personalities from the underworld of the great cities of Europe and America have gripped the Russian people by the hair of their heads and have become practically the undisputed masters of that enormous empire.
Winston Churchill, Illustrated Sunday Herald (London), February 8, 1920, pg. 5
The people must be helped to think naturally about money. They must be told what it is, and what makes it money, and what are the possible tricks of the present system which put nations and peoples under control of the few.
Henry Ford, My Life and Work, Doubleday, Page & Company, 1922
I am one of those who do not believe the national debt is a national blessing... it is calculated to raise around the administration a moneyed aristocracy dangerous to the liberties of the country.
Andrew Jackson, Letter to L. H. Coleman of Warrenton, N.C., 29 April 1824
I am afraid that the ordinary citizen will not like to be told that the banks can, and do, create and destroy money. The amount of money in existence varies only with the action of the banks in increasing or decreasing deposits and bank purchases. Every loan, overdraft or bank purchase creates a deposit, and every repayment or bank sale destroys a deposit. .... And they who control the credit of a nation, direct the policy of Governments and hold in the hollow of their hands the destiny of the people.
Reginald McKenna, a former Chancellor of the Exchequer, addressing the shareholders as Chairman of the Midland Bank, at the Annual General Meeting in January 1924.
The Federal Reserve and the Fractional Lending System
The present Federal Reserve System is a flagrant case of the Governments conferring a special privilege upon bankers. The Government hands to the banks its credit, at virtually no cost to the banks, to be loaned out by the bankers for their own private profit. Still worse, however, is the fact that it gives the bankers practically complete control of the amount of money that shall be in circulation. Not one dollar of these Federal Reserve notes gets into circulation without being borrowed into circulation and without someone paying interest to some bank to keep it circulating. Our present money system is a debt money system. Before a dollar can circulate, a debt must be created. Such a system assumes that you can borrow yourself out of debt.
Willis A. Overholser, A short review and analysis of the history of money in the United States, with an introduction to the current money problem (1936), p. 56
John F. Kennedy vs The Federal Reserve - Another Assassinated President
"On June 4, 1963, a virtually unknown Presidential decree, Executive Order 11110, was signed with the authority to basically strip the Federal Reserve Bank of its power to loan money to the United States Federal Government at interest. With the stroke of a pen, President Kennedy declared that the privately owned Federal Reserve Bank would soon be out of business. The Christian Law Fellowship has exhaustively researched this matter through the Federal Register and Library of Congress. We can now safely conclude that this Executive Order has never been repealed, amended, or superceded by any subsequent Executive Order. In simple terms, it is still valid."
President Kennedy was assassinated on November 22, 1963
If you are in a hurry first read only the yellow & green highlighted text on the page,
then bookmark this site & come back to watch the videos later.
You should watch the top right videos at least 3 times to fully understand what they are saying.
YouTube Video (Above) - How The Federal Reserve Created The Recession
Whether it be called "The World Bank" or "The Bank" or "The Federal Reserve" the evidence, the testimony, the documentation and the testimony just goes on, and on. From quotes by news reporters and presidents, bankers or professors... how money is created, how it is actually debt that you have in your pocket in the form of a dollar bill - is not taught in our schools or understood by the majority of the most educated and intelligent people in the United States. Unlike Gold or Silver, which retains its value even if everyone else defaults on their homes - the paper dollar is tied to the ability of debtors to pay their debts. This is why in such a bad economy Gold suddenly appears to become so much more valuable. In reality, it is the paper money that is becoming so much LESS.
The people who do understand it are stunned in total disbelief that the majority of US Citizens are completely out of touch with reality when it comes to our country's true financial situation.
This site offers more than a preponderance of evidence to convince a prudent and rational person of the truth. This site presents what is known a s Prima Facea case. If you are not convinced, if you do not understand what the message of this site is 100% - visit it again and again until you do understand.
While Watching The President and First Family 24 Hours A Day (During & After he is in office until the time of his death), The Secret Service Collaborates With The Federal Reserve
It's kinda-sorta hard to disagree now, don't you think?
A ROGUE US GOVERNMENT AGENCY
THE FEDERAL RESERVE
To date I have not heard that the personal guardians of the President of the United States (The Secret Service) have been infiltrated, influenced or controlled by the powers behind the Federal Reserve. However, as the combined wealth of those controlling the Federal Reserve was reported to be 1/4 of the wealth of the planet (BEFORE the creation of the Federal Reserve - the Rothschilds today control 75% of the world's wealth), their ability to literally do anything they want that money can possibly buy cannot be denied. What we do known, according to the Treasury Department itself is that the Treasury Department (from whence the Secret Service is derived) does collaborate regularly with the Federal Reserve:
From the official government Treasury Department web site itself it says that: In 2006 "The Treasury Department, the Federal Reserve Board and the U.S. Secret Service issued their third collaborative report today on the use and counterfeiting..." (How ironic that the very ones creating money out of thin air should be looking for counterfeiters)
Read that again: The Treasury Department DOES collaborate with the Federal Reserve. Now read the list of assassinated presidents. Now read the words of Woodrow Wilson again:
"Some of the biggest men in the United States, in the field of commerce and manufacture, are afraid of something. They know that there is a power somewhere so organized, so subtle, so watchful, so interlocked, so complete, so pervasive, that they had better not speak above their breath when they speak in condemnation of it."
~ Woodrow Wilson,
former President of the United States
Fact: From before the point when a president takes office until the day of his death, the Secret Service never leaves his side. From the point he is in power none of his conversations are safe or private and everything he does is watched. At what point does having the temptation, means, motive and opportunity to control those guarding the president 24 hours a day become the the reality of closely monitoring and thus controlling the Office of the President of the United States? Written reports, recorded conversations at the top are routinely and dutifully handed in to "superiors" and what happens to those reports then? In Sun Tsu, The Art of War "the best way to defeat an enemy is to defeat his plans" ...thus the best way to control someone is to know his plans in the greatest possible detail. How many presidents prior to election have promised an end to a war, and then once in office immediately announced plans to increase the number of troops? (Clinton made this promise, Obama made this promise, yet both continued). Obama promised not to allow further drilling in Florida's Gulf, yet immediately reversed his promise - and then there was the British Petroleum oil spill possibly worse than the Exxon Valdez disaster. What could scare a man of principle so much that he would immediately take opposite stances so quickly? For now these are only questions, and as far as I know I am the only one asking them. But where there are questions, there is a truth somewhere to be discovered, and so far no one is answering.
The focus of this site is on the Federal Reserve and Fractional Lending System and how it works, but when it comes to understanding the pure power that the unregulated control of unlimited wealth as bestowed upon the Federal Reserve by Woodrow Wilson:
"I am a most unhappy man. I have unwittingly ruined my country. A great industrial nation is controlled by its system of credit. Our system of credit is concentrated. The growth of the nation, therefore, and all our activities are in the hands of a few men. We have come to be one of the worst ruled, one of the most completely controlled and dominated Governments in the civilized world. No longer a Government by free opinion, no longer a Government by conviction and the vote of the majority, but a Government of the opinion and duress of a small group of dominant men."
~Woodrow Wilson, President of the United States, 1913-1921
...so when it comes to understanding the pure power that the virtually unregulated control of virtually unlimited wealth bestows then questions such as mine should be asked and answers should be provided.
Welcome to the party.
You're not invited.
So the banks can now openly conjure up as much money as they want, and do it publicly, and buy any and all offices there are in government using "debt" as money. They can do it through the newly enacted laws stating that Corporations are people and people can give as much as they want to political candidates.
See story here: http://www.msnbc.msn.com/id/21134540/vp/34985508#34985508
Corporate campaign contribution caps have now been lifted. The Federal Reserve banks control the direction business is to take (going green, more drilling, unsafe mines, solar power) by approving & rejecting business loans. Now those same businesses will support candidate and party agendas. The Federal Reserve. The Fractional Lending System. The World Bank. The New World Order. Your Worst Nightmare.
I'm not a fan of LaRouche, but the above video makes sense.
Thomas Jefferson, writer of the Declaration of Independence, said in 1802:
I believe that banking institutions are more dangerous to our liberties than standing armies. If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around the banks will deprive the people of all property - until their children wake-up homeless on the continent their fathers conquered.
WAKE UP! FIEND! FIRE! FOE! TO ARMS AMERICA! TO ARMS!
Copyright Free 2009 - 2011 © How The Federal Reserve and the International Banking System Works
How it's Done: The following 6 videos, from George Carlin to Rupert Murdoch explain just how it's done from start to finish - keeping us all distracted, underinformed and misinformed.
Paranoia? Delusion? A "crackpot"? (as at least one woman seated at the meeting seems to think as she chuckles off to the side) Perhaps not. Here's why: Look now at the Alan Grayson video below...