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Stephen Mitford Goodson 

A History of Central Banking and 
the Enslavement of Mankind 


Stephen Mitford Goodson 

And you will never understand American history 

or the history of the Occident durin' the past 2000 years unless you look 

at one or two problems; 

namely, sheenies and usury. 

One or the other or BOTH. I should say, both. 

- Ezra Pound 

By the Same Author 

General Jan Christian Smuts 
The Debunking of a Myth 

Inside the South African Reserve Bank: 
Its Origins and Secrets Exposed 

Rhodesian Prime Minister Ian Smith 
The Debunking of a Myth 

Hendrik Frensch Verwoerd 
South Africa's Greatest Prime Minister 

The Genocide of the Boers 




Chapter I 

How Usury Destroyed the Roman Empire 
The Copper Age 1753 - 267BC) 

The Silver Age 1267 - 27BC) 

The Jewish Role in the Collapse 
lulius Caesar 

The Gold Age 127BC - 476AD) 

Role of the Church in the Decline and Fall 

Chapter II 

The Hidden Origins of the Bank of England 
Ancient England 

First Jewish Migration and Expulsion 
The Glorious Middle Ages 
End of a Golden Era 
Cromwell and the English Civil War 
The Regicide of King Charles I 
Second Jewish Migration 
Establishment of the Bank of England 
War and Debt Slavery in Perpetuity 

Napoleon and the Banque De France 
France under the Bourbons 
Napoleon the Monetary Reformer 
The State Bank of the French Empire 
Achievements of the French State Banking System 

Chapter IV 

A Century of Struggle: Rothschild versus the People 

Central Banking in the United States 

Establishment of the United States Federal Reserve Bank 

The Commonwealth Bank of Australia 

World War I 

Chapter VI 

The Rise and Fall of State Banking 11932-19451 

Reichsbank: The State Bank of National Socialist German 
Achievements of the German State Banking System 

Post World War II Developments 

Fascist Italy 

The State Bank of Italy 

The State Bank of Japan 

How Japan Was Forced into World War II 

Post World War II Developments 

Chapter VII 

Modern Forms of State Banking 
Bank of North Dakota 
The States of Guernsey 
Central Bank of Libya 

Chapter VIII 

The Banking Crisis 

Historical Overview 
The Banking Crisis 2007- 

The Great Depression of the 21st Century 

Appendix I 
Appendix II 
Appendix III 

Review by Matthew Tohnson 
Review by Tom Sunic 


This book is bound to be controversial and engender strong reactions, 
and I do not endorse all of the viewpoints expressed therein. 

Why would a seemingly arid subject matter such as the history of central 
banking and of the monetary system give rise to such strong reactions? 
One must wonder why some will attach to this book the stigma of 
heresy, and argue that Stephen Goodson has gone beyond the 
parameters of acceptable historical debate. 

Goodson has the credentials and track-record to make a credible 
presentation of a subject matter which he has researched for decades and 
which he has lived personally as a non-executive Director of the South 
African Reserve Bank. 

I do not have the expertise to say whether Goodson's findings are 
accurate, but I do know that the raw nerves he touches are on account of 
central banking and the monetary system created thereunder being at the 
core of the persistent profound and inhumane differences in wealth 
distribution within any given country, and among countries. 

For this reason, for several years, my Party and I have argued that South 
Africa should reform its central banking and monetary system, even if 
that means placing our country out of step with iniquitous world 

Books on economics and banking are generally viewed as being abstruse, 
whose readers are confined mainly to academia and the business world. 
In this case we have a notable exception. 

This work provides not only a broad sweep of the history of economics 
over almost three millennia, but insights into how the problems of usury 
have been confounding and enslaving mankind since its civilized 
existence first began. 

It may shock some to realise that central banks throughout the world, 
including our own South African Reserve Bank, do not serve our own 
best interests and are in fact in league with private banks. This not only 

undermines our sovereignty, but deprives us of the means of having 
publicly-issued debt-free money which belongs to the people as its 
sovereign debt, and interest-free means of exchange. Instead, in our 
country, as in other countries, we use private money produced out of 
debt by the private banking system. Shifting from bank-notes to 
government-notes would provide our people with a decent life, which is 
blessed, prosperous and sustainable. But such a simple reform would be 
a real revolution, more difficult to bring about than any other reform or 
social change imaginable. 

Although South Africa gained its freedom in 1994 in all its outward 
manifestations; inwardly, with the exception of a small minority of black 
and white entrepreneurs, the general population has neither benefitted 
nor thrived, and moreover has not realised its latent potential, mainly 
because of the defects in the monetary system. If we are to achieve real 
freedom, it is imperative that monetary reform be pursued with the same 
vigour and intensity as was displayed towards political reform during 
the struggle years. But that requires understanding the complex issues of 
how money is created, whom it belongs to and whose interests it serves. 

In this book, Goodson has not only sketched numerous successes of 
previous states rather than private banking systems, but has also 
provided us with a blueprint which may address many of our 
entrenched social problems, such as low economic growth, high 
unemployment and declining services. 

Albeit decidedly controversial, this is a book which thinking South 
Africans should read as an inspiration for political action. 

In his address before the American Newspaper Publishers Association on 
27 Apri, 1961, President John F. Kennedy famously stated: "Without 
debate, without criticism, no administration and no country can succeed 
- and no republic can survive. That is why the Athenian lawmaker Solon 
decreed it a crime for any citizen to shrink from controversy." 

Prince Mangosuthu Buthelezi MP 
President of the Inkatha Freedom Party 
Republic of South Africa 


History is the most crucial subject of any educational system superseding 
science and the humanities in importance. Within its fabric, it holds the 
culture, traditions, beliefs, ethos and raison d'etre necessary for the 
continued existence of any people. If history is compromised by 
falsifications and omissions, which are frequently imposed by outsiders, 
then that civilisation will decay and finally collapse, as may be observed 
in the slow disintegration of Western civilisation since 1945. George 
Orwell expressed a similar sentiment in '1984' when he wrote: “The most 
effective way to destroy people is to deny and obliterate their own 
understanding of history." 

Winston Churchill once made the observation that the further one goes 
back into history, the clearer the picture becomes. By employing this 
technique the author is hopeful that any doubts, which readers may have 
concerning his analysis and exegesis of modern historical events will be 
assuaged, if not entirely eliminated. 

For any nation/state/society/community to have full sovereignty and 
independence in its affairs, absolute control over the means it employs to 
exchange goods and services must reside with the organs, which 
represent the people, and must not be delegated to private individuals. 

Throughout recorded history periods of state control of the money 
supply have been synonymous with eras of prosperity, peace, cultural 
enrichment, full employment and zero inflation. However, when private 
bankers usurp control of the money creation process, the inevitable 
results are recurring cycles of prosperity and poverty, unemployment, 
embedded inflation and an enormous and ever increasing transfer of 
wealth and political power to this tiny clique, who control this 
exploitative monetary system. Whenever these private and central 
bankers have been opposed in the past by nations seeking restoration of 
an honest money system, these parasitic bankers have invariably invoked 
a "patriotic" war in order to defeat the much maligned "enemy". This 
has been a feature of almost all wars during the past 300 plus years. 

This book provides insights as to how private bankers since ancient times 
have abused monetary systems, whether they are based on coin, bank 
notes, cheque or electronic money, by creating money out of nothing as 
an interest bearing debt in order to arrogate supreme power to 
themselves. It also provides a record, both ancient and modern, of 
societies and civilisations which have flourished in an environment free 
from the burden of usury. 

The solution is simple and self-evident. If we wish to obtain our 
liberation and sovereignty from the enslavement imposed by the private 
bankers, we must dismantle their fractional reserve system of banking 
and supporting central banks, or we ourselves shall be destroyed and 
consigned to oblivion. 

Stephen Mitford Goodson 

Chapter I 

How Usury Destroyed the Roman Empire 

Money, being naturally barren, to make it breed money is preposterous 
and a perversion from the end of its institution, which was only to serve 
the purpose of exchange and not of increase... Men called bankers we 
shall hate, for they enrich themselves while doing nothing. 

- Aristotle, Politics 

The monetary systems of the Roman era (753BC - 565AD) may be 
divided into three distinct periods, where units of three different metals 
were used as the means of exchanging goods and services.Although 
there is evidence of modern human occupation ( Homo sapiens sapiens) in 
the Rome area going back 14,000 years (with Neanderthals having lived 
there approximately 140,000 years ago), Rome, as a city, is traditionally 
said to have been founded by Romulus and Remus in 753BC in a region 
surrounding the Palatine Hills, also known as Latium. According to the 
legend, Romulus (who killed his brother Remus) became its first king, 
but later shared the throne with Titus Tatius, the ruler of the Sabines. 

Around 600BC Latium came under the control of the Etruscans. This 
lasted until the last king, Tarquin the Proud, was expelled in 509BC and 
the Roman Republic was established. The Etruscans, a people of Aryan 
origin, created one of the most advanced civilisations of that period and 
built roads, temples and numerous public buildings in Rome. 

The first "money" used in Rome was the cow. This was not true money, 
but a barter system. Many early peoples used cattle as a medium of 
exchange. According to the legend of Herakles and the Augean stables, 
the cattle kept there, over 3,000 in number, represented the treasury of 
King Augeas. 

The Copper Age (753 - 267BC) 

As time went on, the Romans took to using, instead of cattle, irregular 

lumps of copper or bronze. These lumps were called aes rude (rough 
metal) and had to be weighed for each transaction. 

There was an increase in trade and Rome became one of the most 
prosperous cities in the ancient world. This prosperity was based on 
uncoined copper, later bronze, metal which was measured by weight 
according to a fixed system of units. It was issued by the Roman 
Treasury in the form of ingots weighing 2>Vi lbs (1.6kg) with the full 
backing of the state and was known as aes signatum (stamped metal), 
because it was stamped by the government with a cow, eagle or elephant 
or other image. Sometimes they were made to resemble a scallop shell. In 
289BC these ingots were replaced by discoidal, cast leaded bronze coins 
aes grave (heavy metal). They represented national money and "were 
paid into circulation by the state and [each was] only of value inasmuch 
as the symbols on which its numbers were recorded, were scarce or 
otherwise." 111 This money was thus based on law rather than the metallic 
content (although that content was standardised, and the coin did have 
some intrinsic value, unlike most coins today). This can be considered as 
an early example of the successful use of fiat money. 

While fiat money is much criticised in some quarters, for example by the 
followers of Austrian economist Ludwig von Mises, m there is nothing 
wrong with it, as long as it is issued by government, not by private 
bankers, and is carefully protected against counterfeiters. Non-fiat 
money, in contrast, has the serious drawback that whoever sets the prices 
of gold and silver, i.e. private bankers, can control the nation's economy. 

Roman Aes Grave, bronze coins 241-235 BC. 

Up to 300BC there was an unsurpassed increase in public and private 
wealth of the Romans. This may be measured in the gain in land. After 
the conclusion of the Second Latin War in 338BC and the defeat of the 
Etruscans, the Roman Republic increased in size from 2,135 square miles 
(5,525 sq km) to 10,350 square miles (26,805 sq km) or 20% of peninsular 
Italy. In tandem with the expansion of its land area the population rose 
from about 750,000 to one million with 150,000 persons living in Rome 

A partnership was formed between the Senate and the people known as 
Senatus Populusque Romanus (SPQR, the Senate and People of Rome). The 
political leaders were renowned for their frugality and honest virtue. The 
means of exchange was strictly regulated in accordance with the increase 
in population and trade and there was zero inflation. Debt-bondage 
nexum, whereby a free man offered his services as security for a loan + 
interest, and where in cases of non-payment the debt had to be worked 
off, was abolished after Plebian agitation by the lex Poetelia m in 326BC. 

The Silver Age (267 - 27BC) 

The traditional money system was destroyed in 267BC when the 
patrician elite obtained the privilege to mint silver coinage. This change 
was typified by a patrician who went to the Temple of Juno Moneta 
(from whence the word money is derived), and converted a sack full of 
silver denarii to five times its original value by the simple expedient of 
stamping a new value on the coins. He thus pocketed a very substantial 
difference in seigniorage for his own private account. 

The early Roman silver coin was known as the drachma and was 
modelled on a coin used in the Greek south of the peninsula. It was later 
replaced with the smaller and lighter denarius. There was also a half 
denarius, called the quinarius and a quarter unit called the sestertius. Still 
later the system was supplemented with the victoriatus, somewhat lighter 
than the denarius and probably intended to facilitate trade with Rome's 
Greek neighbours. 

There were very few deposits of silver in the Italian peninsula and as a 

consequence the Roman army had to be expanded, in order to conquer 
territories to obtain supplies. The Roman peasants, who had provided 
the Republic with food independence, were drafted in increasing 
numbers into the army. Agricultural production, especially corn, 
declined and the peasant farms were replaced by latifundia, which were 
large estates worked by slaves. Wheat also had to be imported from 
North Africa. 

Tensions about granting citizenship and enfranchisement between Rome 
and her Italic allies resulted in the Social War (90-89BC). This lack of 
enfranchisement had led to the fragmentation of Roman society and the 
alienation of the working class citizens, who were treated as chattel and 
who had no responsibilities and therefore no commitment towards the 
state. Until as late as the Second Punic War (218-201BC), they were not 
allowed to serve in the army. This is a classic example of a society which 
had been monetarised. The Republic was weakened and there was 
increasing despotism. Piracy became a major problem, with raids taking 
place on the coast, villas being sacked and travellers kidnapped. Violence 
became endemic and gangsters and terrorists were active in Rome, as 
there was no police force to maintain law and order. These are inevitable 
consequences of a society in which money has become the highest ethos. 

Roman Republican silver Denarius 
with (left) goddess Juno Moneta and (right) a victorious boxer. 

There was also political intrigue amongst the elite. Economic deprivation 

caused discontent amongst the poor, who were increasingly slaves from 
North Africa, and social unrest. This turmoil culminated in the revolt led 
by Spartacus in 73-71BC. (The first and second revolts were in 135-132BC 
and in 104-100BC). 

The Jewish Role in the Collapse 

Thefirstknown Jewswhoarrivedin Romein 161BC,were Yehuda and 
Maccabee. These early Roman Jews employed themselves as craftsmen, 
peddlers and shopkeepers. In the last occupation they also indulged in 
money lending. As a community they lived separately in apartments. 
They governed themselves according to their own laws and were exempt 
from military service. 

Expulsion of the Jews from Rome by Emperor Hadrian 135AD. From a 15th Century manuscript 

in the Bibliotheque de 1'Arsenal in Paris. 

In 139BC the Jews, who were not Roman citizens, were expelled by 
Praetor Hispanus for proselytising, but they soon returned. In 19AD by 
means of a senatus consultum Emperor Tiberius expelled 4,000 Jews, who 
had been involved in various scandals, but none of these expulsions was 
properly enforced and their continued presence, in particular as usurers, 
would play a significant role in the decline and collapse of the Roman 

Julius Caesar. Commissioned in 1696 for the Gardens of Versailles. 

Julius Caesar 

Julius Caesar (100-44BC) was born into an aristocratic family on July 12, 
100BC. He was tall and fair-headed and practised briefly as a lawyer 

before becoming a brilliant military commander who conquered Gaul 
(France) in 59-52BC. After his defeat of Pompey the Great in 48BC at 
Pharsalus, Caesar became the undisputed leader of the Roman Republic. 
On his return to Italy in September 45BC, Caesar found the streets and 
cities crowded with homeless people, who had been forced off the land 
by usurers and land monopolists. 300,000 people had to be fed daily at 
the public granary. Usury was flourishing with disastrous consequences. 


The Forum Romanum was commissioned by Julius Caesar in 54BC and dedicated by him in 
46BC. It was the very centre of ancient Rome where Caesar would meet his untimely end on 

March 15, 44BC. 

The principal usurers,many of whom were Jewish, 151 were charging 
interest rates as high as 48% per annum. As Lucius Annaeus Seneca 
(4BC-65AD), the philosopher, would later remark in de Superstitione “The 
customs of that most criminal nation have gained such strength that they 
have now been received in all lands. The conquered have given laws to 
the conqueror." 

At that time there were two main political parties: the Optimates centered 
around the nobility, the Senate and the privileged few; and the Populares, 
who represented the citizens. Caesar immediately assumed leadership of 

the latter. 

Caesar fully understood the evils of usury and how to counter them. "He 
recognized the profound truth that money is a national agent, created by 
law for a national purpose, and that no classes of men should withhold it 
from circulation so as to cause panics, in order that speculators could 
advance the rates of interest, or could buy up property at ruinous prices 
after such panic . " m 

Caesar introduced the following social reforms: 

1. Restoration of property was done at the much lower valuations 
which held prior to the civil war. (49-45BC). 

2. Several remissions of rents were granted. 

3. Large numbers of poor citizens and discharged veterans were settled 
on allotments. 

4. Free housing was provided to 80,000 impoverished families. 

5. Soldiers' pay was increased from 123 to 225 denarii. 

6. The corn dole was regulated. 

7. Provincial communities were enfranchised. 

8. Confusion in the calendar was removed by fixing it at 36514 days 
from 1 January 44BC. 

His monetary reforms were as follows: 

1. State debt levels were immediately reduced by 25%. 

2. Control of the mint was transferred from the patricians (usurers) to 

3. Cheap metal coins were issued as the means of exchange. 

4. It was ruled that interest could not be levied at more than 1% per 

5. It was decreed that interest could not be charged on interest and that 
the total interest charged could never exceed the capital loaned (in 
duplum rule). 

6. Slavery was abolished as a means of settling debt. 

7. Aristocrats were forced to employ their capital and not hoard it. 

Gold coin minted by Emperor Alexander Severus 222-235AD. 

These measures enraged the aristocrats and plutocrats whose 
"livelihood" was now severely restricted. They therefore conspired to 
murder Caesar, the hero of the people. On that fateful morning of 15 
March 44BC, only four years after assuming power he arrived at the 
Senate building unarmed, having dismissed his military guard, who had 
previously been in constant attendance. Surrounded by 60 conspirators 
he was stabbed to death and received 23 wounds. 

The Gold Age (27BC - 476AD) 

In 27BC shortly after Caesar's death (and his deification) the Romans 
adopted the gold standard, which would have far reaching implications 
for the financial stability of the empire and lead directly to its demise. 
Previously, during the days of the Roman Republic, gold coins were 
issued only in times of great need, such as during the Second Punic War 
or the campaign of Lucius Cornelius Sulla. There were few gold mines in 
Europe, except in remote places like Wales, Transylvania and Spain and 
therefore most of the supplies could only be secured from the east. This 
in turn required a large and expensive army, which became engaged in 
constant conflict at the empire's fringes. 

The gold coin was known as an aureus .Also in circulation were the silver 
denarius and various copper coins: the sestertius, dupondius and the as. 

The scarcity of gold or commodity money frequently induced periods of 
deflation as a result of the lack of a circulating means of exchange. In 

13BC a measure of relief was provided when the weight of the gold 
aureus was reduced from 122 to 72 grains and this remained the standard 
weight until 310AD. However, metals continued to flow eastwards in 
order to pay for luxury items, religious dues and usury payments. 
Furthermore wear and tear resulted in the loss of one third of total 
coinage in circulation over a 100 year period. 

As gold was treated as a commodity, its debasement was not tolerated. 
Emperor Constantine (275-337AD) personally ordered death for 
counterfeiting, and the burning of public minters who committed 
falsification. Money changers, who did not report a counterfeit gold 
bezant (solidus), were immediately flogged, enslaved and exiled. These 
regulations were effective for the bezant, which weighed 70 grains and 
was slightly more than the bezant that was still circulating in 1025AD 
and weighed 68 grains. 

In 313AD Christianity was tolerated by the Edict of Milan and from 
380AD was established as the official religion by Emperor Theodosius I 
(347-395AD). From this time monetary power 
residedinthereligiousauthorityofthe pontifexmaximus. Afeature of the 
imperial era was social injustice and the undermining of the middle 
classes through excessive taxation. The Roman businessman was not a 
trader, but a looter of the provinces, as the homeland had a weak 
industrial production base, which was incapable of providing the 
required manufactured goods. As the monetarisation of society 
continued, with the rich parasitising of the common man, the plebians 
became more like slaves. The abolition of the jury system was 
symptomatic of the declining respect and importance for the common 
man in Roman society. 

Role of the Church in the Decline and Fall 

The tax that Emperor Constantine decreed, viz. that 1/10 of all income 
had to be tithed to the Christian church, hastened the destruction of the 
empire. Eventually the Church held one third to one half of all lands and 
accumulated wealth. This concentration of wealth produced a great 
scarcity of coinage. Money existed, but there was no circulation or 
distribution of goods and services. Instead of recycling the tithed money 

by means of investment in the community or charitable works such as 
construction of hospitals, schools and libraries, vast hoards of gold were 
concentrated behind the 20 foot (6.1m) thick walls of the fortress city of 
Constantinople and the Vatican fortress in Rome. 

In its last years in the fifth and sixth centuries the Roman Empire had 
become a parasitic organism, subject to alternating phases of inflation 
and deflation. Its economic ruination preceded its political ruination. 
There was no industrial production, almost all food had to be imported 
and usury was practised on an unprecedented scale. The wealth of the 
empire that was not held by the Church, was controlled by 2,000 Roman 
families. The rest of the population lived in poverty. 


The implosion of the western half of the empire in 476AD, after repeated 
military incursions by the Goths and Vandals, resulted in the Dark Ages. 
A punishing multi-century deflationary depression followed. According 
to the United States Silver Commission of 1876 the metallic money of the 
Roman Empire at its height amounted to $1.8 billion, but by the end of 
the Dark Ages it had shrunk to $200 million. Agriculture was reduced to 
subsistence level. Large sailing vessels vanished as there was no trade. 
Commerce stagnated. Arts and science were lost and the knowledge of 
cement-making disappeared. 

Major factors in the decline of the Roman Empire were the concentration 
of wealth, 121 the absence of mining deposits for industrial production, and 
the vast importation of non-White slaves with the resultant degradation 
of the genetic value of the nation. By the 4th century AD, as a result of 
the continuing decline in Roman female fertility, slaves outnumbered 
citizens by five to one. The most important economic reason was an 
inadequate supply of an inexpensive circulating medium of money and 
the false notion that money should be a commodity. Thus from an 
economic perspective, the lessons from the fall of Rome are that a 
dishonest economic system will inevitably contribute to the forces of 
dissolution. No society can survive a false economic system. For any 
society to function and prosper it is absolutely fundamental that the 
means of exchange be issued free of debt and interest by the legal 

authority of the state as representatives of the people in perpetuity. 

Chapter II 

The Hidden Origins of the Bank of England 

...all great events have been distorted, most of the important causes 
concealed... If the history of England is ever written by one who has the 
knowledge and the courage, the world would be astonished. 

- Benjamin Disraeli, Prime Minister of Great Britain 

Ancient England 

King Offa ruled the Kingdom of Mercia,— which was bounded by the 
rivers Trent and Mersey in the north, the Thames Valley in the south, 
Wales in the west and East Anglia and Essex in the east from 757 to 791 
AD. It was one of the seven autonomous kingdoms of the Anglo-Saxon 

Offa was a wise and able administrator and a kind-hearted leader. He 
established the first monetary system in England. On account of the 
scarcity of gold he used silver for coinage and as a store of wealth. The 
standard unit of exchange was a pound of silver divided into 240 
pennies. The pennies were stamped with a star (Old English stearra), 
from which the word sterling is derived. In 787 King Offa introduced a 
statute prohibiting usury, viz. the charging of interest on money lent, a 
concept which dates back to the pagan era. The laws against usury were 
further entrenched by King Alfred (865-99), who directed that the 
property of usurers be forfeited, while in 1050 Edward the Confessor 
(1042-66) decreed not only forfeiture, but that a usurer be declared an 
outlaw and be banished for life. 

First Jewish Migration and Expulsion 

The Jews first arrived in England in 1066 in the wake of William Ts 
defeat of King Harold II at Hastings on 14 October. These Jews came 
from Rouen, 75 miles (121 km) from Falaise in Normandy,where William 

the Conqueror was born illegitimately as William the Bastard. Although 
the historical record does not indicate whether they promoted the idea of 
a military invasion of England, these Jews had at the very least financed 
it. For this support they were richly rewarded by being allowed to 
practise usury under royal protection.^ 

The consequences for the English people were disastrous. By charging 
rates of interest of 33% per annum on lands mortgaged by nobles and 
300% per annum on tools of trade or chattels pledged by workmen, 
within two generations one quarter of all English lands were in the hands 
of Jewish usurers. At his death in 1186, Aaron of Lincoln was declared to 
be the richest man in England and it was estimated that his wealth 
exceeded that of King Henry 11.^ Furthermore the Jewish immigrants 
undermined the ethos of the guilds and exasperated the English 
merchants by selling a large variety of goods under one roof. They also 
played a prominent role in the clipping of silver coins and the melting of 
them into bullion and the plating of tin with silver. 

The famous economist. Dr. William Cunningham, compares "the activity 
of the Jews in England from the eleventh century onward to a sponge, 
which sucks up all the wealth of the land and thereby hinders all 
economic development. Interesting too, is the proof that even at this 
early period the government did everything in its power to make the 
Jews take up decent trades and honest work and thereby at the same 
time amalgamate with the rest of the population, but all to no 

By the beginning of the 13th century many nobles were in danger of 
losing their lands through usury and taxation. In 1207 an enormous sum 
of £60,000 was levied in taxes on the Christian population. The Jews also 
paid tax, but at a lower rate and on grossly understated income and 
wealth. 11 ^ Nobles who borrowed from Jewish moneylenders and from the 
King and his agents had to have their mortgages registered on the 
Treasury Rolls. As soon as a noble got into financial difficulty, the King 
would buy the debt from the moneylender and seize the land for himself. 
King John (1199-1216) was "utterly reckless" in pursuit of this depraved 
and dishonest policy, and was moreover "profligate, incompetent and 
utterly beholden to his Jews."^ 

In 1215 the nobles revolted and forced King John to sign the Magna Carta 
on 15 June 1215. This document consists of 61 clauses relating to the 
establishment of various constitutional and legal rights, but its principal 
purpose was to cancel the bonds of the Jewish moneylenders and to 
abolish usury and the privileged position of the Jews. On 19 October 1216 
King John died and was succeeded by his nine year old son Henry III, 
who ruled from 1219 to 1272. His reign was little better than that of his 
father and 19 of the clauses affecting the Jews were abrogated the 
following year. However, his heir Edward I (1272-1307) soon realised 
that Jews had no place in English society^ and that if he did not take 
action, he would be in danger of losing his throne. In 1233 and 1275 
Statutes of Jewry were passed which abolished all forms of usury. As 
many of these Jews could no longer earn a "living", a statute was passed 
by King Edward on 18 July 1290 compelling the entire Jewish population 
of 16,511 to leave England forever; 113 one of over 100 hundred expulsions 
which have been recorded throughout European history. The 
announcement was greeted with great joy and jubilation throughout the 
land. Unlike the modern practice of ethnic cleansing, the Jews, after 
paying a tax of 1/15 of the value of their movables and 1/10 of their 
specie, were permitted to leave with all their goods and chattels. Any Jew 
who remained after 1 November 1290 (All Saints Day) was liable to be 

The barons, including the author's ancestor Roger Bertram, Lord of Mitford, forced King John to 

sign the Magna Carta in Runnymede on 15 June 1215. 

The Glorious Middle Ages 

With the banishment of the moneylenders and the abolition of usury, ^ 
taxes were moderate and there was no state debt, as the interest-free tally 
stic]# 21 was used for government expenditures. This ancient instrument 
of finance known to the Saracens and possibly also to the Chinese is 
derived from the Latin word tallia meaning a stick. A tally stick was 
made out of hazel, willow or boxwood because these woods split easily. 
They were usually eight inches in length (20.3cm) (from forefinger to 
thumb) and half an inch (1.3cm) wide, although they could be up to eight 
feet (2.44m) long. The denominations were indicated by different sized 
cuts in the wood. £1,000 were marked by cutting out the thickness of the 
palm of a hand, £100 by the breadth of the little finger, £1 that of a 
swelling barleycorn, shillings somewhat less and pence were marked by 
incisions. The payee was recorded on the flat sides. When all the details 
had been recorded on the tally it was split nearly to the bottom, so that 
one part retained a stump or handle on which a hole would be bored. 
This was known as the counter tally or counterfoil and was held on a rod 
at the Exchequer. The flat strip (without the stump) was given to the 
payee. As no two pieces of wood are identical, it was impossible to forge 
a tally stick. 

Tally sticks were first introduced during the reign of King Henry II (1100- 
35) and would remain in circulation until 1783.— It was, however, during 
the period 1290-1485 that tallies would reach their apogee and constitute 
the principal means of state finance. Tallies were used not only to pay 
state salaries, but to finance major items of infrastructure such as 
construction of the wall of the city of London, public buildings and ports. 
The exact amount of tallies in circulation is not known, but as late as 1694 
£17 million worth were still in existence. This was a prodigious sum as 
the King's annual budget rarely exceeded £2.5 million and a labourer 
earned a penny a day. 

Medieval tally sticks from the 15th century. 

With tolerable taxes' no state debt and no interest to pay, England 
enjoyed a period of unparalleled growth and prosperity. The average 
labourer worked only 14 weeks and enjoyed 160 to 180 holidays. 
According to Lord William Leverhulme, 1221 a writer of that time, "The 
men of the 15th century were very well paid", in fact so well paid that 
the purchasing power of their wages and their standard of living would 
only be exceeded in the late 19th century. A labourer could provide for 
all the necessities his family required. They were well clothed in good 
woollen cloth and had plenty of meat and bread. 

Houston Stewart Chamberlain, the Anglo-German philosopher, confirms 
these living conditions in his The Foundations of the XIXth Century. 

"In the thirteenth century, when the Teutonic races began to build 
their new world, the agriculturalist over nearly the whole of Europe 
was a freer man, with a more assured existence, than he is today; 
copyhold 1211 was the rule, so that England, for example - today a seat 
of landlordism - was even in the fifteenth century almost entirely in 
the hands of thousands of farmers, who were not only legal owners 
of their land, but possessed in addition far-reaching free rights to 
common pastures and woodlands." 1221 

With the average labourer required to work only 14 weeks in a year, many voluntarily gave of 
their time to build England's magnificent cathedrals. The York Minster was completed in 1472 
and has the largest expanse of stained glass in the world. 

During their spare hours many craftsmen volunteered their skills in 
building some of England's magnificent cathedrals, which reinforces one 
of the basic tenets of Western civilisation that without leisure time, the 
fostering of culture is not possible. George Macauley Trevelyan, the 
English social historian, describes these accomplishments as follows: 

"The continuous but ever-moving tradition of ecclesiastical 
architecture still proceeded on its majestic way, filling England with 
towering forests of masonry of which the beauty and grandeur have 
never been rivaled either by the Ancients or the Moderns...In the 
newer churches the light no longer crept but flooded in, through the 
stained glass, of which the secret is today even more completely lost 
than the magic of the architecture." 1211 

15th Century Merrie England - Celebrating the 1st of May dancing around the maypole. 

Although King Henry VIII (1509-47) relaxed the laws regarding usury in 
1509, they were subsequently repealed by his son King Edward VI (1547- 
53) by an Act of 1552 whose preamble stated that "usury is by word of 
God, utterly prohibited, as a vice most odious and detestable..." 

End of a Golden Era 

During the 17th century this golden era came to a tragic end. Large 
numbers of Jews, who had been expelled from Spain in 1492 by Isabella I 
of Castile and Ferdinand II of Aragon^ on account of their persistent 
involvement in usury and unethical business practices, had settled in 
Holland. Although the Dutch were at that time an important maritime 
power, the Jewish usurers based in Amsterdam desired to return to 
England, where their prospects for expanding the operations of their 
moneylending empire were far more promising. 

During the reign of Queen Elizabeth I (1558-1603) small numbers of 
Marranos-Spanish Jews, who had converted to a sham form of 
Christianity, settled in London. Many of them 
practisedasgoldsmiths,acceptingdepositsofgoldforsafekeeping, and then 
issuing ten times the amount of gold received as gold receipts, that is 
loans with interest.These receipts, a forerunner of the fraudulent 
fractional reserve system of banking, were initially lent to the Crown or 
Treasury at 8% per annum, but according to Samuel Pepys, 1 ^ the diarist 
and Secretary to the Admiralty, the interest rate increased to as much as 
20% and even 30 % per annum. ^ The rate of interest merchants paid 
often exceeded 33% per annum, even though the legal rate was only 6% 
per annumA Workmen and poor people bore the brunt of these 
extortionate rates of interest by having to pay 60%, 70% or even 80% per 
annum.™ According to Michael Godfrey, the author of a pamphlet 
entitled A Short Account of the Bank of England , two to three million 
pounds had been lost through the bankruptcies of goldsmiths and the 
disappearance of their clerks.^ 

Cromwell and the English Civil War 

In 1534, by the Act of Supremacy, the Church of England was established 
as the official religion of England by King Henry VIII. During the 16th 
and 17th centuries Puritan beliefs based on the teachings of John Wycliffe 
and John Calvin^ gained an increasing number of adherents. The 
Puritans considered the Bible to be the true law of God and emphasised 
Bible reading, prayer and preaching and the simplification of the ritual of 
the sacraments. 

The Stuart King Charles I (1625-49), who wished to maintain the pre¬ 
eminence of the Anglican Church,came into intensified conflict with the 
Puritans, who were making great progress in proselytising the 
population. After the assassination of Charles's trusted friend and 
adviser, the Duke of Buckingham in 1628, he gradually became more 
isolated. The growing religious division provided a perfect opportunity 
for exploitation by the Jewish conspirators. As Israel D'lsraeli, the father 
of prime minister Benjamin D'lsraeli, wrote in The Life and Reign of Charles 
7,"The nation was artfully divided into Sabbatarians and Sabbath 

Breakers." 1211 

In 1640 one of the leaders of the clandestine Jewish community 
Fernandez Carvajal, a merchant and spy, who was also known as "the 
Great Jew", organised an armed militia of about 10,000 operatives, who 
were used to intimidate the people of London and sow confusion. Large 
numbers of pamphlets and leaflets were also distributed. 1221 

Civil war soon followed between the Royalists (Anglicans) and 
Roundheads (Puritans) and lasted from 1642-48. The Roundheads with 
their 'New Model Army' were victorious and an estimated 190,000 
persons or 3.8% of the population died. 

A pamphlet of the late 1650s portrays Oliver Cromwell as the monarch of England. 

The leader of the Roundheads was Oliver Cromwell (1599-1658), whose 
'New Model Army' was not only outfitted and provisioned by the chief 
contractor and professional agitator, Fernandez Carvajal, but also 
bankrolled by Jewish moneylenders in Amsterdam. The leader of the 

Dutch Jews, Manasseh Ben Israel, 031 sent begging petitions to Cromwell 
asking that the Jews be allowed to immigrate to England in return for the 
financial favours, which he had so generously arranged. 011 

The Regicide of King Charles I 

The treachery to which Cromwell descended is revealed in 
correspondence between himself and the Synagogue of Mulheim, 

16 June 1647 

From O.C. (Oliver Cromwell) to Ebenezer Pratt 

"In return for financial support will advocate admission of Jews to England: 
This however impossible while Charles living. Charles cannot be executed 
without trial, adequate grounds for which do not at present exist. Therefore 
advise that Charles be assassinated, but will have nothing to do with 
arrangements for procuring an assassin, though willing to help in his 

In reply was dispatched the following:- 
12 July 1647 

To O.C. from Ebenezer Pratt 

"Will grant financial aid as soon as Charles removed and Jews admitted. 
Assassination too dangerous. Charles shall be given an opportunity to 
escape: His recapture will make trial and execution possible. The support 
will be liberal, but useless to discuss terms until trial commences. 

King Charles was staying as a virtual prisoner in Holmby House, 
Northamptonshire. On 4 June 1647 500 revolutionaries seized the King, 
but then allowed him to escape to the Isle of Wight where he was 
subsequently arrested. On 5 December 1648 the House of Commons 
decided "That the King's concessions were satisfactory to a settlement."— 

The Execution of King Charles I from a contemporary engraving. 

Cromwell then purged the House of Commons with the assistance of 
Colonel Pryde until there was only a “Rump" of 50 members left, who 
then duly voted that the King be put on trial. Not a single English lawyer 
was prepared to draw up a charge sheet against the King. Eventually it 
was provided by a Dutch Jew, Isaac Dorislaus. The King was forced to 
participate in a show trial in a High Court of Justice in which two thirds 
of its members were Levellers 1311 from the army. Charles refused to plead, 
but was found guilty and executed on 30 January 1649. As the procession 
approached the scaffold large numbers of the crowd shouted “God Save 
the King!" After the deed had been done there was an enormous groan of 

Second Jewish Migration 

From 7-18 December 1655 Cromwell, who was called The Protector held 
a conference in Whitehall, London, in order to obtain approval for the 
large-scale immigration of Jews. In spite of the conference being packed 
with Cromwell's supporters, the overwhelming consensus of the 
delegates, who were mainly priests, lawyers and merchants, was that the 
Jews should not be permitted to enter England.— 

In October 1656 the first Jews were surreptitiously allowed to land freely 
in England, in spite of strong protests having been lodged by the sub¬ 
committee of the Council of State, who declared that these Jews "would 
be a grave menace to the state and the Christian religion". 1222 "...The 
merchants, without exception, spoke against the admission of the Jews. 
They declared that the proposed immigrants would be morally harmful 
to the State, and that their admission would enrich foreigners at the 
expense of the English." 1120 

Cromwell died on 3 September 1658 and was succeeded by his son, 
Richard who ruled for nine months. Charles Ts son Charles II (1660-85) 
succeeded his executed father. Although he would be the last English 
monarch to issue money (bank notes) in his own right, he made two fatal 
errors of governance. 

On 1 August 1663 he passed the euphemistically sounding Act for the 
Encouragement of Trade, which enabled the "export of all foreign coins 
or bullion of gold or silver, free of interdict, regulation or duties of any 
kind/ ,[M1 During the debate on the bill the Earl of Anglesey presciently 
observed that "It is dangerous to the peace of the kingdom when it shall 
be in the power of half-a-dozen or half-a-score of rich, discontented, or 
factious persons to make a bank (an accumulation) of our own coin and 
bullion beyond the seas and leave us in want of money when it shall not 
(no longer) be in the king's power to prevent it." 1121 


Parliament, The Supream Court of 


c And to the T^ight Honourable the Co un¬ 
cell of State , Menaflch Ben Ifrael ,prayes 
God to give Health , and all HappinejQe : 

T is not one caufe alone (mod renowned Fa¬ 
thers) which ufeth to move thofe, who defire 
by their Meditations to benefit Mankind, and 
to make them come forth in publique, to de¬ 
dicate their Books to great Men; for fome, 
and thofe the mod, are incited by Covetoufneffe, that 
they may get money by fo doing, or fome peece of 
Plate of gold, or Silver; fometimes alfo that they may 
obtaine their Votes, and fuffrages to get fome place for 
themfelves, or their friends. But fome are moved thereto 
by meere and pure friendlhip, that fo they may publick- 
ly teftifie that love and affection, which they bear them, 
whofe names they prefixe to their Books; let the one, and 
the other, pleafe themfelves, according as they delight in 
the reafon of the Dedication, whether it be good or bad; 
for my part, I beft like them, who do it upon this ground, 
that they may not commend themfelves, or theirs, but 
what is for publick good. 

As for me (mod renowned Fathers) in my dedicating 

A 2 this 

( 3 ) 

Pamphlet published by Menasseh Ben Israel to promote the re-admission of the Jews to England. 

Three years later by means of An Act for the Encouragement of Coinage 
he permitted private persons i.e. bankers and goldsmiths to mint the 
coins of the realm at the Royal Mint and thereby acquire the considerable 
benefits of the seigniorage (the difference between the face value of coins 
and their production costs) income for their own private account. 
Furthermore it enabled them to increase or diminish the supply of 
money in circulation and to raise or lower prices at will to the great 
detriment of the general population. 

His brother James ITs (1685-88) reign only lasted three years. He was a 
victim of unscrupulous pamphleteering and propaganda, which 
emanated mainly from Holland. A military expedition undertaken by 
Prince William of Orange eventually dethroned him. Although James's 
army was numerically superior, he was discouraged from attacking after 
John Churchill, first Duke of Marlborough suddenly deserted him. 
According to the Jewish Encyclopedia , Churchill subsequently received an 
annual stipend of £6,000 from the Dutch Jew Solomon de Medina in 
payment for his treasonous conduct. 1 ^ These vast sums of "blood 
money" enabled Churchill to proceed with the construction of Blenheim 
Palace, which was completed at his death in 1722. 

William of Orange's military campaign, like that of the other William the 
Conqueror in 1066, was financed by Jewish bankers. In return for their 
support William III (1689-1702) would surrender the royal prerogative of 
issuing England's money free of debt and interest, to a consortium 
known as The Governor and Company of the Bank of England. A.N. 
Field in All these Things summarises these epochal events known as the 
Glorious Revolution of 1688, but which was in effect the Infamous 
Revolution, as follows: 

"Thirty-three years after Cromwell had let the Jews into Britain a Dutch 
Prince arrived from Amsterdam surrounded by a whole swarm of Jews 
from that financial centre. Driving his royal father-in-law [ James II] out 
of the kingdom he graciously consented to ascend the throne of Britain. 
A very natural result following on this event was the inauguration of the 
National Debt by the establishment six years later of the Bank of England 
for the purpose of lending money to the Crown. Britain had paid her way 
as she went until the Jews arrived. The pawnshop was then opened, and 
the resulting situation in which the nation finds itself today could not be 

better described than in the words put by Shakespeare with prophetic 
vision in the mouth of the dying John of Gaunt: 

This land of such dear souls, this dear dear land, 

Dear for her reputation through the world, 

Is now leased out, I die pronouncing it, 

Like to a tenement or pelting farm: 

England, bound in with the triumphant sea 
Whose rocky shore beats back the envious siege 
Of watery Neptune, is now bound in with shame, 

With inky blots and rotten parchment bonds: 

That England, that was wont to conquer others, 

Hath made a shameful conquest of itself 

- Richard II Act II Scene 1 

"The history of the second Jewish settlement in Britain is one long 
trail of parchment bonds shackling the nation in debt. Every step in 
the ascent of the Jew in the nation's affairs has been marked by the 
increase and multiplication of debt."™ 

Establishment of the Bank of England 

The need for a privately owned central bank was fronted by a retired 
pirate,— William Paterson, when he wrote a pamphlet in 1693 entitled A 
Brief Account of the Intended Bank of England. 1 — 

He would later boast that this Bank "hath the benefit of interest on all 
moneys which it creates out of nothing ." m On Thursday, 21 June 1694 
subscription lists for the Bank, which had a capital of £1,200,000 were 
opened. By the following Monday this amount had been fully 

The ostensible purpose of the bank was to lend King William unlimited 
sums at 8% per annum to enable the prosecution of war, and in 
particular the conflict against Louis XIV of France whose country was not 
on the usury system.™ The Bank would thus receive from the Crown 
interest of £100,000 per annum, the additional £4,000 being an 
administrative fee. The Bank also acquired the right to issue £1,200,000 in 
bank notes without any gold cover. 

Prior to its listing, the byelaws of the Bank were carefully scrutinised by 
Serjeant-at-Law Creswell Levinz in order to ensure that the Bank 
complied with its hidden purpose, viz. to fleece the English people in 
perpetuity by allowing the creation of the nation's money and means of 
exchange out of nothing at interest. All this fake money was to be 
accompanied by compounding interest. Levinz was a crypto-Jew or 
Marrano who practised as an advocate 14 ^ and later served as a judge. 

There was much opposition to the establishment of the Bank. Foremost 
were the goldsmiths and moneylenders, who correctly foresaw that it 
would bring an end to their usurious racket of fractional reserve banking 
based on their gold receipts. Landowners and country gentry feared an 
escalation in interest rates, as the Bank would control the nation's money 
supply. There were allegations that the Bank would favour certain 
merchants with low rates of interest. The biggest fear was that "the Bank 
would grow too powerful and would become the keystone of the 
commercial world. ' ,[4m Unfortunately, this is exactly what happened, as 
the Bank of England became the model on which all subsequent central 
banks were replicated. 

Formation of the Bank of England passed by an Act of Parliament described as "An Act for 
granting to theire Majesties severall Rates and Duties upon Tunnage of Shipps and Vessells..." 

At that time the House of Commons had 514 members consisting of 243 
Tories, 241 Whigs and 28 members whose allegiance was unknown. 1511 
About two-thirds of the members were country gentlemen and it is 
believed that of the 514 members approximately 20% were illiterate. The 
bill was debated in July 1694, the high point in summer, when most of 
the rural members were engaged in summer pursuits and the harvesting 
of their crops. 1521 On that fateful Friday, 27 July 1694 when the Charter of 
Incorporation was granted only 42 members were present, all of them 
Whigs, as the Tories opposed the bill, who all voted in favour of it. (This 
begs the question as to what a quorum consisted of in those days). 

Dividend day at the Bank of England. Wood engraved print, circa 1800. 

The title of the bill made no mention of the proposed Bank of England, 
which is only described or one might say secreted, two-thirds down in 
the unintelligible verbiage - to the layman that is - of the bill. 

The opening sentence of the bill reads as follows: "William and Mary by 
the grace of God, King and Queen of England, Scotland, France and 

Ireland, defenders of the faith etc. To all for whom these presents shall 
come greeting." The third sentence, which contains 242 words starts 
"Whereas in and by a certain Act lately made in Parliament entitled an 
Act for granting to Their Majesties several rates and duties upon 
TONNAGE OF SHIPS AND VESSELS, and upon beer, ale, and other 
liquors, for securing certain recompenses and advantages in the said Act 
mentioned, to such persons as shall voluntarily advance the sum of 
fifteen hundred thousand pounds towards carrying on the war with 
France it is amongst other things enacted. ,,mi 

The gist of the first two-thirds of the bill details the necessity to levy a 
complicated array of new rates,duties and taxes on ships,beer, ale and 
other liquors.The true purpose of these taxes was that they were needed 
in order to fund the interest on all future government loans. Shortly 
thereafter further taxes were introduced including a land tax, paper tax, 
poll tax, salt tax, stamp tax and window tax, which replaced the hearth or 
chimney tax. Other taxes initiated were a tax on pedlars, a tax on 
hackney coaches, a tax on births, marriages and deaths and lastly a tax on 
bachelors. 1 ^ However, the most punitive tax introduced was an income 
tax levied at a rate of 20%. It was applied not only to companies, but 
labourers too. 153 

War and Debt Slavery in Perpetuity 

Henceforth a pattern would emerge where unnecessary wars would be 
embarked upon which simultaneously increased the national debt and 
the profits of the usurers. Significantly, most of these wars were started 
against countries, that had implemented interest-free state banking 
systems, as was the case in the North American colonies and France 
under Napoleon. This pattern of attacking and enforcing the bankers' 
system of usury has been deployed widely in the modern era and 
includes the defeats of Imperial Russia in World War I, Germany, Italy 
and Japan in World War II and most recently Libya in 2011. These were 
all countries which had state banking systems, which distributed the 
wealth of their respective nations on an equitable basis and provided 
their populations with a standard of living far superior to that of their 
rivals and contemporaries. 

Within two years of its establishment in 1696 the Bank of England had 
£1,750,000 worth of bank notes circulating with a gold reserve of only 2% 
or £36,000. [551 On 1 May 1707 the union between Scotland and England 
was established, motivated in no small way by the necessity to seize 
control of the Royal Mint in Edinburgh which took place in 1709. 

By 1720 after the conclusion of the War of the Spanish Succession (1701- 
14) the national debt had risen to £30 million with the war itself having 
cost £50 million. 1521 After the American War of Independence (1775-83), 
which had been fought after the colonists had been forced to replace their 
debt - and largely interest-free colonial scrip with English money and 
had resulted in 50% unemployment, the national debt soared to £176 
million. According to Sir John Harold Clapham, who wrote The Bank of 
England: A History 1694-1914 in 1944, Solomon de Medina and two da 
Costas, Fonseca, Henriquez, Mendez, Nunes, Rodriguez, Salvador and 
Teixeira de Mattos, who were all Sephardic Jews, had acquired the 
majority of the bank's shares by 1722. 

In 1786 Prime Minister William Pitt the Younger tried to abolish the 
national debt with a sinking fund which generated interest of £1 million 
pounds per annum to repay the debt. 1521 This scheme was soon 
abandoned because of the enormous increase in loans incurred to finance 
the war against Napoleon. In 1797 in order to pay for the burgeoning 
interest burden, a system of graduated income tax had to be introduced, 
which by 1815 was yielding £70 million per annum. 1521 

The war against France lasted from 1792 until 1815. Among the principal 
objectives of this pointless bloodletting was to destroy Napoleon's debt- 
and interest-free system of finance. (See Chapter III). During this period 
England also waged a war against the United States from 1812 until 1814. 
This war, as was the case with the war against France, was instigated by 
England at the behest of banker Mayer Amschel Rothschild (real name 
Bauer) after the United States Congress refused to renew the charter of 
the Rothschild-controlled 1551 Bank of the United States, which had been 
the central bank of America from 1791 until 1811. 1511 Mayer Amschel 
Rothschild is famously credited with having said: "Give me control of 
the economics of a country, and I care not who makes her laws. The few 
who understand the system, will either be so interested from its profits or 
so dependent on its favours, that there will be no opposition from that 

class." British Prime Minister Spencer Perceval (1809-12) tried to stop this 
completely futile war, but was assassinated on 11 May 1812 in the lobby 
of the House of Commons by John Bellingham, a political radical, who 
had been set up by Rothschild. 1321 

By 1815 the national debt had ballooned to £885 million. This completely 
unnecessary war resulted in approximately three million military 
personnel and at least one million civilians losing their lives. In order to 
destroy Napoleon's state bank, it cost the deluded British public a 
staggering £831 million 0131 of which over £2.5 billion were still outstanding 
in 1914. The principal of £504 million had over the intervening period 
increased fivefold as a result of the compounding effect of interest. 

An astute agrarian and parliamentarian William Cobbett (1763-1835) at 
that time perceived what was afoot and wrote as follows: "I set to read 
the Act of Parliament by which the Bank of England was created. The 
investors knew what they were about. Their design was to mortgage by 
degrees the whole The 
scheme has produced what the world never saw before - starvation in the 
midst of abundance." 1311 

In 1800 a member of parliament Sir William Pultney proposed the 
formation of a national bank after having made "vigorous attacks" 
against the Bank. 1331 In 1824 another member of parliament, David 
Ricardo, submitted a detailed plan 1331 to convert the Bank of England into 
a national bank. Both attempts failed. The affairs of the Bank of England 
remained secret and it was not until 1833, 139 years later that a sanitised 
version of its accounts was presented to parliament by means of the Act 
of 1833. 1321 

At the start of World War I in 1914 the national debt stood at £650 
million. 1331 On March 31, 1919 it had increased to £7.434 billion 1321 of which 
£3 billion is still outstanding after 95 years at an interest rate of 3.5% per 
annum. In the 1919 budget 40% of expenditure was allocated to the 
payment of interest. In World War II the national debt rose by almost 
300% from £7.1 billion in 1939 to £20.1 billion in 1945. As at March 2017 it 
stands at over £1.8 trillion. 1221 However, if one includes all liabilities, 
including state and public pensions, it exceeds £5 trillion. 


On 14 February 1946 the Labour government nationalised the Bank of 
England. The shareholders received Treasury Notes to the value of 
£11,015,100 which were redeemable after 20 years. 

This nationalisation, which supposedly placed the bank under public 
control, did not introduce any change to the privately run system of 
fractional reserve banking and was undertaken purely for propaganda 
purposes, as part of the Labour Party's nationalisation programme of 
certain financial and industrial concerns. 

On 6 April 1974 the Bank of England established the Bank of England 
Nominees Limited, company registration No. 1307478, a wholly-owned 
subsidiary, with private shareholders holding its 100 £1 shares, of which 
50% were sold. There is a suspicion that this rearrangement of the bank's 
affairs represents a reverse takeover of it by private shareholders. In view 
of the fact that certain aspects of the Bank of England's operations are 
protected by its Royal Charter, Section 27(9) of the Companies Act of 
1976 and the Official Secrets Act of 1989, and are therefore not subject to 
public and parliamentary scrutiny, there may well be substance to this 

Chapter III 

Napoleon and the Banque De France 

The deadly facts herein revealed lead me to wonder that this monster, 
interest, has not devoured the whole human race. 

- Napoleon Bonaparte on being shown an interest table. 

France under the Bourbons 

When the Bank of England was established in 1694, one of its principal 
aims was to provide sufficient finance so that England could prosecute 
its war against France. At that time France was the premier world power 
both in terms of maritime forces and territorial possessions. Four years 
previously at the battle of Beachy Head, near Eastbourne, England, the 
French navy defeated the Anglo-Dutch fleet comprehensively, when it 
sank twelve ships, while a further twenty ships were exploded by their 
English crews.— 

Since 7 June 1654 France had been ruled by its most glorious monarch. 
King Louis XIV, the Sun King. Louis was well versed in the wiles of the 
bankers. When he discovered that his Superintendent of Finances, 
Nicolas Fouquet, was a representative of what we term to-day the money 
power, and received irrefutable evidence that “he had long been 
betraying the trust reposed in him by mishandling the State finances and 
by monstrous corruption", he had him arrested. Fouquet was put on trial 
and sentenced to complete isolation for the rest of his life in the 
inaccessible fortress of Pignerol.— 

Louis XIV, the Sun King, was always wary of bankers. His inability to finance his army and navy 
with credit led to his defeat in the War of the Spanish Succesion (1702-1714). 

The War of the Spanish Succession (1702-1714) was the largest military 
conflict since the Crusades. It was fought after Louis declared his 
intention to place his grandson, Philip, Duke of Anjou, on the Spanish 
throne. This attempt, if successful, would have created a vast Franco- 
Spanish empire and posed a direct threat to the Bank of England and its 
proxy, the government of Great Britain. With the ability to create money 
out of nothing, the English were able to build a large fleet and buy the 
loyalty of France's enemies by bankrolling them. 

Louis held out for nine years, until his heirs suddenly started to die in 
unnatural circumstances. On 13 April 1711 his heir Louis, Le Grand 
Dauphin, died allegedly of smallpox, even though he had had the disease 
when he was a small child. On 12 February 1712 the wife of his grandson, 
the Duke of Burgundy, died of a fever. A few days later her husband was 
covered in spots and he died on 18 February 1712 of unknown causes. A 
few weeks later the King's two great-grandsons fell ill with scarlet fever. 
The five year old Duke of Brittany died on 18 March 1712.The three year 
old brother, the Duke of Anjou, survived - miraculously - after the King 
ordered his isolation and treatment with an antidote. 

As a result of these tragedies, the King was persuaded to cease hostilities 
and commence negotiations. At Utrecht a treaty was signed in March 
and April 1713 which allowed France to retain largely its pre-war 
boundaries. Thereafter the heirs to the French throne stopped dying, 
although this did not prevent the other grandson of Louis, the Duke of 
Berry, who was the regent of the future Louis XV, dying in an unusual 
riding "accident". 1 ^ A broken man, the Sun King died of natural causes 
on 1 September 1715. 

The ability of the English to command vast sums of money had not gone 
unnoticed by the French, who realised that the war had not been won 
because of a deficiency in financial credit. 

On 1 May 1716 a Scotsman, John Law, received a patent to open a private 
bank, the Banque Generale, which was patterned on the Bank of England 
and which was entitled to issue bank notes and exchange them for gold. 

174 ] 

The regent of Louis XV, Phillipe II, Duke of Orleans, realised that this 
bank could provide government with a means of financing its 

expenditures and in 1718, France's first central bank came into existence 
and was renamed the Banque Royale. 

The adoption of the Bank of England paradigm of creating money ex 
nihilo soon enabled the French economy to recover and flourish. 
However, this period of prosperity was of short duration. In January 
1720 the French government received a record-breaking loan of 100 
million livres. The following month news spread suddenly that the bank 
was experiencing difficulty in exchanging its bank notes for gold coins 
and an "atrocious panic"™ ensued. The source of these rumours is not 
clear, but the most likely suspect would have been the Bank of England 
which wished to destroy its dangerous rival. 1251 

Various attempts were made to shore up the Banque Royale. A decree of 
11 March 1720 banned the use of coins from 1 May onwards. When this 
measure failed to staunch the impending catastrophe, a decree was 
announced on 22 May 1720 which reduced the value of the bank notes by 
50%. A third decree of 10 October 1720 stated that on 1 November bank 
notes would no longer be used and that they were to be exchanged for 
state bonds with a further reduction of 50% in their value. 

In November 1720 the Banque Royale declared itself bankrupt and its 
founder and Controller General of Finances, John Faw, fled the country 
the following month. For the Bank of England and its Jewish 
stockholders, the demise of the Banque Royale was an unmitigated 

Napoleon the Monetary Reformer 

Napoleon, who was Emperor of France from 1804 -1815, was very 
mindful of the fact that money always remains in hiding and only acts 
through agents, who are often unaware of the aims that they are 
pursuing. He realised that international money stood behind every 
foreign enemy, every monarch and every political party, including the 
Jacobins,— stating on one occasion that; "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."™ He had very 
clear ideas as to how he wished the French economy to be run. He 
defined his system as being for the application of the resources of 

government, including finances, for the benefit and use of his people for 
the greater glory of God. His system was for the maintenance of spiritual 
as against material values, the nation as against political parties, 
patriotism as against greed, loyalty as against fear. 1221 

The bedrock of the economy was to be agriculture - "for that is the soul 
of the people...the foundations of the Kingdom." 1221 Next in importance 
was industry, which "ministers to the comfort and happiness of the 
population." 1211 A poor third came foreign trade, which only consists of 
the surplus of agriculture and industry. In his opinion "foreign trade 
ought to be the servant of agriculture and home industry; these last 
ought never to be subordinated to foreign trade." 11121 Napoleon's ultimate 
objective was to ensure not only financial independence, but self- 
sufficiency in the production of goods for domestic consumption. 

Napoleon establishes the Banque de France 18 November, 1800. 

Napoleon would not allow loans to be employed for current expenditure, 
whether civil or military, under any circumstances. On the subject of debt 
he had this to say: 

"One has only to consider what loans can lead to in order to realise 
their danger. Therefore I would never have anything to do with them 
and have always striven against them. At one time people asserted 
that I did not issue loans because I possessed no credit and could find 
nobody who would lend me anything. That is quite false. That surely 
implies a very scanty knowledge of human nature and an ignorance 
of stock exchange methods if people imagine that I could find no one 
ready to lend. It was not part of my system." 1511 

The State Bank of the French Empire 

Napoleon's first act on assuming power as First Consul on 9 November 
1799, was to establish the Banque de France on 18 January 1800 as a joint 
stock company, which commenced operations on 20 February of that 
year. This Bank replaced the 15, mainly Jewish, private banking houses 
which had been deeply involved in the events leading up to the Jewish 
revolution against the French people commonly, but incorrectly, known 
as the French Revolution 1789-1799—. These banks had increased the 
national debt to £170 million and had charged rapacious rates of interest 
on loans to the French crown, to the extent that prior to 1789, it was 
allocating over 50% of its budget expenditure to interest. 

The Bank was set up with a share capital of 30 million francs divided into 
30,000 shares of 1,000 francs each, of which a portion was subscribed by 
Napoleon, his family and members of his entourage.— The dividend of 
the shareholders was initially limited to 6% per annum, but was 
increased in 1806 to two thirds of the bank's profits, with the remaining 
one third being allocated to the Bank's reserves. The two hundred largest 
shareholders elected 15 regents or directors, who sat on the General 
Council administering the Bank and three Censors or inspectors, who 
supervised management of the Bank. The General Council in turn elected 
a Central Committee consisting of three members, one of whom was 
chairman. 0 ^ Napoleon made himself president of the Bank, declaring that 
"The bank does not belong to the shareholders only; it also belongs to the 
state, since the state has entrusted to it the privilege of issuing money. I 
wish the bank to be in sufficient measure in the hands of the state, but 
not too much so."— 

Treaty of Tilsit - Napoleon and Tsar Alexander I sign the treaty on a raft on the Neman river. 

On 14 April 1803 by means of an Act of parliament, Napoleon abolished 
the right of two rival banks, the Caisse d'Escompte de Commerce and the 
Comptoir Commercial to issue bank notes. As he remarked at that time: 

"Have you not told me that, in order to preserve credit, it is a general 
practice that artificial money, like that of the Bank of France, shall 
issue from only one source? I adopt that idea. A single bank can be 
more easily watched than several concerns - both by the Government 
and the public. With a view to emergencies I cannot see any virtue in 
competition of this kind.' ,[5m 

On 22 April 1806 a new Act was passed, which replaced the three 
member Central Committee with a Governor and two Deputy 
Governors. 1521 These appointments were personally vetted by Napoleon. 
The new Act also increased the Bank's capital to 90 million francs. 
Napoleon was so suspicious and distrustful of bankers that he personally 
supervised the operations of the Treasury, lest the secrets of his monetary 
policies leak out and be exploited by speculators. He was thus his own 
banker, who controlled both the creation and distribution of money and 
credit, to the chagrin of the international bankers, particularly the 

Rothschilds, who were virtually excluded from operating in continental 
markets. Napoleon made the franc the most stable currency in Europe. 
After France had abandoned the loan markets of the City of London, a 
fog of depression settled on its fraternity of bankers and usurers. In 
typical fashion the English press began to stir up trouble for Napoleon. 
He was accused of having not observed the conditions of the Treaty of 
Amiens, which had been signed between England and France on 25 
March 1802. Relations broke down when Napoleon refused to sign a 
trade treaty, which would promote "free trade" and a modern day 
version of globalisation, and thereby force him to diminish the autarky 
and isolationism of his continental policy. 

England, under the direction of her international bankers, proceeded to 
bankroll 1 ^ Austria, Prussia, Russia, Spain and Sweden and duly declared 
war on France. The coalition forces 1211 exceeded 600,000. Napoleon could 
not muster even a third of that number, and would under normal 
circumstances have been compelled to secure a banker's loan in order to 
arm and feed them. On 20 December 1803 he trumped the warmongers 
by selling Louisiana to the United States of America for £3 million. A 
brief period of peace and prosperity ensued. However, in 1806 a new 
coalition consisting of England, Russia and Prussia at the initiative of the 
last named country took to the field. Although the coalition forces were 
defeated at Jena on 14 October 1806, Napoleon was forced to engage in a 
series of needless and senseless wars for the next nine years in order to 
protect France and her new economic dispensation. He promulgated the 
Continental Blockade, whose objective was to destroy England's export 
trade, as he realised that England could not finance her imports and fund 
her allies at the same time. 

At the Treaty of Tilsit signed on 7 July 1807 on a raft in the middle of the 
Neman river in east Prussia, Napoleon and Tsar Alexander I agreed to an 
alliance which made them the masters of continental Europe. Alexander 
agreed to join Napoleon's Continental Blockade of England and to 
provide each other with mutual support in the event of disputes with 
other nations, and in particular the British Empire. At that time France 
and Russia were the only two countries in Europe which were not on the 
usury system and were furthermore not indebted to the Rothschilds. 
They were therefore the only free and independent nations. However, a 

few years later Russia started to violate the blockade. This action was 
premised on the fact that Russia, a producer of mainly raw materials, had 
very little industrial capacity and had been dependent on England for the 
importation of industrial products. Alexander was only prepared to 
continue with the blockade, subject to France supplying him with the 
industrial goods, which he had previously imported from England. 
France could not supply these goods, as England commanded the seas 
and there was no road or rail infrastructure in Europe at that 
time.Therefore in order to enforce the blockade, Napoleon decided to 
invade Russia on 24 June 1812 with an army of over 500,000 soldiers. 
Although he reached Moscow on 14 September 1812, he found that it had 
been abandoned, and the subsequent winter retreat turned into a major 
disaster, with only 110,000 of his original army surviving. The following 
year Napoleon was defeated at the "Battle of the Nations" east of Leipzig 
on 19 October 1813. On 11 April 1814 he abdicated at Fontainebleau. 

After being banished to the island of Elba, situated between Corsica and 
Tuscany, Napoleon attempted to stage a comeback at the battle of 
Waterloo in modern day Belgium on 18 June 1815. All the belligerents, 
England, Prussia and France, were financed by Nathan Rothschild, with 
France receiving a loan of £10 million. 1211 After his defeat Napoleon was 
exiled to the British island of St Helena in the South Atlantic, where he 
died under suspicious circumstances, when he was still a fit man at the 
age of 51, on 5 May 1821. An examination of Napoleon's remains has 
indicated that he almost certainly died of cyanide poisoning following 
chronic arsenic intoxication. 1211 In such a case it would undoubtedly have 
been the work of a Rothschild assassin, which conforms to a pattern, 
repeated consistently during the past two centuries of assassinating all 
leaders who propose, institute or maintain systems of usury-free 
banking. 1211 


Concemant les Juifs qui n’ont pas de nom de 
famille et de prenoms fixes. 

A Bayonne , le 20 juillet 1808. 

N APOLfcON, Empereur desFran?ais, Roi dItalie, ei Protected 


Sur le rapport de noire muiixtre de I'intirieur, 

Notre Conaeil d’Etat entendu , 

Nou* AVOSS d£cr£t£ et DicRBTONl ce qui aoit: 


Ceux dej aujels de noire Empire qui auivent le culle hdbrmque, et qui, juaqu'it 
present, n'ont pas eu de nom dc famille et de prenoms fixes, seront tenus d'en 
adopter dans les trois mois de la publication de noire present decret, et d'cu faire 
la declaration par-devant 1‘olBcier de fdtat civil de la commune ou ils sont domi¬ 

As part of Napoleon's plan to assimilate Jews into French society he 
issued a decree in 1808 ordering all Jews to adopt Surnames, and to use 
those names on all documents. Napoleon in a letter to his younger 
brother Jerome, written in 1808 states: 

"I have undertaken to reform the Jews, but I have not endeavoured to 
draw more of them into my realm. ... It is necessary to reduce, if not 
destroy, the tendency of Jewish people to practise a very great 
number of activities that are harmful to civilisation and to public 
order in society in all the countries of the world. It is necessary to 
stop the harm by preventing it; to prevent it, it is necessary to change 
the Jews. ... Once part of their youth will take its place in our armies. 

they will cease to have Jewish interests and sentiments; their interests 
and sentiments will be French." 

Achievements of the French State Banking System 

As part of the Code Napoleon (Code civil des Frangais), Napoleon 
introduced a new commercial code on 21 March 1804. These economic 
reforms which included substantially reduced taxes, quickly turned the 
French economy around and resulted in increased trade and the 
development of new industries, such as cotton-making and sugar beet, 
which were assisted by tariffs against foreign goods and low interest rate 
loans. The infrastructure was upgraded on a vast scale not only in 
France, but throughout western Europe, with the construction of 20,000 
miles (32,186 km) of imperial roads and 12,000 miles (19,312 km) of 
regional roads, almost 1,000 miles (1,609 km) of canals, bridges, the 
dredging and expansion of harbours such as Cherbourg and Dunkerque, 
waterworks and public buildings, such as the gallery at the Louvre - all 
financed with interest free money from the Banque de France. 

Napoleon also established an Industrial Board, which provided data and 
information to French industry; the Imperial University, which 
administered French education, specialised schools or lycees for the study 
of engineering, science and technology, and professional schools devoted 
to midwifery, obstetrics and veterinary science. 

Napoleon described these accomplishments to his Irish doctor, Barry 
O'Meara, on the island of St Helena and said that they were his most 
enduring monument. "The allied powers cannot take from me hereafter 
the great public works I have executed, the roads which I made over the 
Alps—, and the seas I have united. They cannot place their feet to 
improve where mine have not been before. They cannot take from the 
code of laws which I formed, and which will go down to posterity."— 

In conclusion we may consider some of Napoleon's achievements, which 
he communicated to his former chamberlain and constant companion for 
18 months on St Helena, Comte de Las Cases:— 

"I inspired France and Europe with new ideas which will never be 
forgotten....France's finances are the best in the world. To whom 

does she owe them? If I had not been overthrown I would have made 
a complete change in the appearance of commerce as well as of 
industry. The efforts of the French people were extraordinary. 
Prosperity and progress were growing immeasurably. Enlightenment 
was making giant strides. New ideas were everywhere heard and 
published, for I took pains to introduce science among the people....If 
I had been given time there would soon have been no more artisans 
in France; they would all have become artists. ,,IM1 

Chapter IV 

A Century of Struggle : 
Rothschild versus the People 

Who hold the balance of the World? Who reign 
O'er congress, whether royalist or liberal? 

Wlto rouse the shirtless patriots of Spain? 

(That make old Europe's journals "squeak and gibber") 

Who keep the World, both old and new, in pain 
Or pleasure? Who make politics run glibber all? 

The shade of Buonaparte's noble daring? — 

Jew Rothschild, and his fellow-Christian, Baring. 

- Lord Byron, Twelfth Canto 

Central Banking in the United States 

As this section will show, all previous encounters which the United 
States has experienced with central banking have been very negative. 

During the colonial period the American colonies created their own 
paper money. The first colony to do so was Massachusetts in 1691. 
Pennsylvania, New York, Delaware and Maryland soon followed suit. 
They called their currency colonial script or bills of credit. It freed them 
from the control of the English banks and enabled them to run their 
financial affairs in an inflation-free environment with few taxes. 
Throughout the colonies sustained, stable economic growth and 
prosperity were achieved, which would not have been possible under a 
privately run banking system based on usury. 

In 1763 American statesman, Benjamin Franklin (1706-1790) visited 
London, where he was shocked to observe slum conditions and the wide 
prevalence of poverty. When the British parliament asked Franklin to 
explain the source of prosperity of the American colonies, he replied as 

First Bank of the United States built in Philadelphia in 1795. The principal shareholder of the bank 

was Mayer Amschel Rothschild (1744-1812). 

"That is simple. In the colonies we issue our own money. It is called 
colonial script. We issue it in proportion to the demands of trade and 
industry to make the products pass easily from the producers to the 
consumers. In this manner, creating for ourselves our own money, 
we control its purchasing power, and we have no interest to pay 

The following year in 1764 the Bank of England introduced a Currency 
Bill 1221 which severely restricted the colonies right to issue their own 
money and forbade its legal tender status for the payment of private and 
public debts. Instead the bank ordered them to issue bonds at interest 
and sell them to the Bank of England in exchange for English money. In 
the event only half of the currency was remitted. As a consequence of 
this law, the economy of the colonies collapsed and within one year more 
than half the population became unemployed and destitute. The Stamp 
Act of 1765 was the last straw, but the abolition of the colonial currency 
was the primary cause of the revolution. 

One of the first tasks entrusted to the Second Continental Congress, 

which convened for the first time on 10 May 1775, was to issue its own 
currency, largely to finance its war expenditures. A total of $241,552,788 
was issued during the currency's existence. The Bank of England quickly 
responded. Hundreds of workmen were recruited and soon millions of 
dollars worth of counterfeit bank notes were rolling off the printing 
presses and being shipped to New York. The continental dollar retained 
much of its purchasing power during the first two years of its issuance, 
but once the English counterfeit bank notes started to increase in 
circulation, its value soon fell away and by 1780 one dollar was worth 
only 2.5 cents. 

Fifteen years later in 1790 the Bank of England mounted another similar 
operation, when it employed over 400 workmen in 17 factories in 
southern and central England to print the assignat, which was the 
currency of revolutionary France. The assignat which was backed by 
clerical lands, was in its initial stages successfully circulated as a means 
of exchange, and a significant portion of the National Debt was repaid. 
However, by 1792 the massive infusion of counterfeit notes soon caused 
the assignat to plummet in value and thereafter there was a brief period 
of hyperinflation. On 14 April 1803 Napoleon Bonaparte introduced the 
government issued franc which acquired the status of legal tender in 

Already in 1781 before the conclusion of the war of independence on 11 
April 1783 Robert Morris (1734-1806), the Superintendent of Finance, 
introduced a bill which restored the new state to servitude with the 
establishment of the Bank of North America. This bank commenced 
operations on 4 January 1782. It attracted large deposits of silver and 
gold coin and bills of exchange obtained through loans from France and 
The Netherlands, which enabled it to issue paper currency on the 
strength of these reserves. Between 1791 and 1796 inflation surged by 
72%. In 1795 the State of Pennsylvania withdrew its jurisdiction on 
account of "alarming foreign influence and fictitious credit".^ 

On 25 February 1791 the Bank of North America was succeeded by a 
second central bank, which was chartered as the First Bank of the United 
States. It was imposed as a result of the intrigues of Alexander Hamilton, 
111211 the SecretaryoftheTreasury,whose actions indicate that he was 
working hand in glove with the directors of the Bank of England, as it 

was modelled on that bank. The new bank had a capital of $10 million, of 
which 20% was held by the US government and the balance by private 
investors. The bank was strongly opposed by future presidents John 
Adams, James Madison and Thomas Jefferson (then Secretary of State), 
who would later state that: 

"The Central Bank is an institution of the most deadly hostility 
existing against the principles and form of our Constitution...I believe 
that the banking institutions are more dangerous to our liberties than 
standing armies. Already they have raised up a moneyed aristocracy 
that has set the Government at defiance. The issuing power should be 
taken from the banks and restored to the people to whom it properly 
belongs. If the American people ever allow the banks to control the 
issuance of their currency, first by inflation and then by deflation, the 
banks and corporations that grow up around them will deprive the 
people of all property until their children will wake up homeless on 
the continent their fathers occupied."^ 

The following year the bank organised the first crash known as the 
"Panic of 1792". By flooding the market with cheap loans and suddenly 
calling most of them in, the bank precipitated a 25% plunge in the price 
of 6% Treasury bonds, which resulted in financial chaos. 

By the end of 1795 the bank had lent $6 million to government or 60% of 
its capital. As the bank was allegedly concerned about the stability of 
government finances, it demanded partial repayment of this loan. The 
government did not have the funds available and was therefore forced to 
sell its shareholding in the bank between the years 1796 and 1802. By 
means of this cunning ruse, the bank became 100% privately owned, of 
which 75% of the shares were held by foreigners. 

In 1811 the bank's charter came up for renewal. The bank was concealing 
its profits, operating in a clandestine manner and was believed to be 
unconstitutional. It was designed primarily to serve the business 
interests of the north at the expense of the agricultural development of 
the south, while the Democrats-Republicans ( Jeffersonians) wanted to 
abolish it. 

Former president Thomas Jefferson was one of those who "violently 
opposed' ,Lm2] renewal of the bill. What particularly irked the legislators 

was the fact that the bank was now 100% in the ownership of 
foreigners.The press variously described the central bank bill as "a great 
swindle", "a vulture", "a viper" and "a cobra" Furthermore they 
contended that it was the constitutional right of Congress to regulate 
weights and measures and issue coined moneys. The bill was defeated 
by a wafer thin margin of 65 to 64 votes which was an achievement, as 
there is a strong likelihood that many of the yes votes were bought. On 3 
March 1811 the bank finally closed its doors.^ 

When the principal shareholder of the First Bank of the United States, 
Mayer Amschel Rothschild heard about the deep dissension regarding 
the renewal of the bank's charter, he flew into a rage and declared that 
"either the application for renewal of the charter is granted, or the United 
States will find itself involved in a most disastrous war".^ He also said 
that "I will teach those impudent Americans a lesson and bring them 
back to colonial status". Rothschild tried to influence the British Prime 
Minister Spencer Perceval into declaring war on the United States in 
order to resurrect his privately owned central bank. 

In 1807 Perceval joined the cabinet as Chancellor of the Exchequer. At 
that time England was at war with France and one of his principal tasks 
was to raise money in order to finance the war. Instead of increasing 
taxes he raised a number of loans, initially from Barings Bank and 
thereafter mainly from the Rothschilds. Perceval's secretary was John 
Charles Herries who had been appointed to that position five years 
previously. Herries 11 ^ was an intimate of Nathan Rothschild and until his 
death in 1858 faithfully served the Rothschild cause in the various 
positions he held in the British government as First Lord of the Treasury, 
Commissary-General to the Army and Chancellor of the Exchequer. 

Meanwhile Rothschild agents provocateurs were stoking up discontent in 
North America. In order to provoke the Americans, the British started to 
interfere with US trade with France, which had imposed a continental 
blockade against England. As the Royal Navy was short of sailors they 
engaged in forced recruitment or impressment of American sailors. They 
also supplied the Indian tribes, and in particular the Shawnee chief, 
Tecumseh, with arms in order to frustrate and curtail the settlers' 
westward expansion. The Americans on their part indicated a desire to 
seize parts of Canada. 

Murder of British Prime Minister Spencer Perceval by Rothschild assassin, John Bellingham. 

Concurrently Perceval was facing increased pressure from Nathan 
Rothschild to make a declaration of war on the United States. He refused. 
The British army was already bogged down in a stalemate situation in 
Spain and Portugal (The Peninsular War 1808-1814) with Napoleon's 
forces, and he had no desire to commit more troops and treasure, 
financed by more interest-bearing bank loans, simply in order to save 
Rothschild's sinking banking interests in America. 

The assassin of Spencer Perceval, John Bellingham, was born about 1769 
in St Neots, Huntingdonshire. From 1800-1802 he worked in Archangelsk 
as an agent for importers and exporters. He returned to Russia in 1804, 
and in November of that year he was falsely accused of having reneged 
on a debt of 4,890 roubles which subsequently led to his imprisonment 
for four years. On his release Bellingham took up residence in Duke 
Street, Liverpool. He unsuccessfully petitioned the government for 

Bellingham, a bitter and aggrieved man, fell into company with two 
dissolute American merchants, Thomas Wilson and Elisha Peck, 11221 who 
were both keen to have Orders in Council, which forbade neutral nations 
from trading with France abrogated. These Orders in Council had been 

introduced by Perceval in response to Napoleon's Continental Blockade 
which the latter had instituted in 1806 and prohibited trade with Britain 
and Ireland. Their continuation was due to be debated in parliament on 
that fateful evening. Thus we observe a confluence of interests, a 
disturbed and resentful man, two greedy merchants and the puppet 
master Rothschild pulling the strings in the background. 

At 5.15 p.m. on 11 May 1812 as Perceval entered the lobby of the House 
of Commons, Bellingham stepped forward and shot him in the heart. 

Perceval collapsed uttering "Murder. oh my God"^ and within 

minutes was dead. Four days later Bellingham was put on trial at the Old 
Bailey. The trial lasted three days. A plea of insanity was rejected. The 
brevity of the trial was presumably related to the necessity of preventing 
any untoward disclosures. As is customary with this type of political 
assassination the "lone assassin" theory has to be preserved at all costs. 
On 18 May 1812 Bellingham was hanged. A few weeks later after 
Perceval's murder the Orders in Council forbidding neutral nations 
trading with France were revoked. 

In the United States House of Representatives, Henry Clay, who was a 
freemason, led a group of young Democratic-Republicans known as the 
"War Hawks". The vote to declare war was decided on 1 June 1812 by 79 
votes to 49, with all 39 Federalists refusing to support it. In the Senate the 
vote was decided by 19 to 13 votes. As there was no unanimity, critics 
frequently referred to it as "Mr Madison's War". 

In England Perceval's successor. Lord Robert Liverpool, was an 
enthusiastic supporter of the war. However, neither belligerent was able 
to achieve its objectives, except Nathan Rothschild, who realised his aim 
of setting up the Second Bank of the United States on 10 April 1816. 
When hostilities ceased over two years later on 24 August 1814 over 
24,000 lives had been lost. The war was very costly to the United States in 
financial terms. It incurred a huge war debt of $105 million relative to its 
population of eight million. As a result thereof the National Debt 
increased by 182 % from $45 million in 1812 to $127 million in 1815. 
Peace was signed in Ghent, Belgium on 24 December 1814. 

The Second Bank of the United States had an enlarged capital of $35 
million. The bank immediately established a large number of branch 

banks to lend fiat money at compound rates of interest. In 1822 President 
James Monroe appointed Nicholas Biddle president of the bank. 

Biddle had first made contact with the Rothschilds while on government 
business in Paris in 1804, while acting as secretary to United States 
minister to France, John Armstrong. As president of the bank he acted as 
point man to James de Rothschild, who was the bank's principal investor. 


The artificially induced recession of 1819-21, which was very profitable 
for the bankers who were able to buy up assets at depressed prices, 
convinced the leader of the Democrats, Andrew Jackson, that the only 
way to terminate these abuses was to close down the central bank. In his 
re-election campaign in 1832 he declared that "the monster must 
perish" 1111 and his chief slogan was "VOTE ANDREW JACKSON - NO 
BANK". He stated that "If Congress has the right under the Constitution 
to issue paper money, it was given to them to be used by themselves not 
to be delegated to individuals or corporations". 11111 He also said that "If 
the American people only understood the rank injustice of our banking 
and money system - there would be a revolution before morning." 

The "People's President", Andrew Jackson, who survived an assassination attempt prior to 
vetoing a bill that would have renewed the charter for the Rothschild owned Second Bank of the 

United States. 

Notwithstanding a failed assassination attempt on 30 January 1835 by a 
presumed Rothschild agent, Richard Lawrence; when the 20 year charter 
of the Second Bank of the United States came up for renewal in 1836, 
Jackson collapsed the bank by withdrawing all government deposits. He 
promptly repaid the National Debt in its entirety, leaving a surplus of 
$50 million in the Treasury. The central bank was replaced by an 
Independent Treasury System based on redeemable paper and specie. 

During President John Tyler's term of office (1841-45) two attempts were 
made by Congress under the sponsorship of the former Speaker of the 
House of Representatives, Henry Clay, to renew the charter of the Bank 
of the United States. Clay, who had in 1820 become Grandmaster of the 
Kentucky Lodge, 11111 was another agent deemed to be under the influence 
of the Rothschilds. Tyler vetoed both of these bills and was subsequently 
inundated with hundreds of letters threatening him with assassination. 


For the next 77 years the United States developed without the need of a 
central bank. Its means of exchange were funded primarily by debt and 
interest-free Treasury "greenback" 11111 dollar bills, first issued by 
President Abraham Lincoln in 1862 in order to finance his military 
expenditure during the Civil War, and gold and silver coins. 11121 (Up to 
1873 gold and silver could be coined at any US mint free of charge). After 
having rejected offers by private bankers to lend money to the United 
States government at interest rates varying between 24% and 36% per 
annum, ^ Lincoln had on the advice of his friend Colonel Dick Taylor 1121 
issued $347 million of currency at no cost to the American people except 
for the expense of printing and distribution. Lincoln's defiance of Lionel 
Rothschild and his uncle James resulted in his assassination on the night 
of 15 April 1865 by John Wilkes Booth 11221 (real name Botha) at the behest 
of the Rothschilds' local agent named Rothberg. 

The American Civil War (1861-1865) left the US government with a war 
debt of $5 billion. As a result of inflation these bonds had declined in 
value to $2.5 billion. Large quantities of these bonds were bought up by 
Rothschild's agent August Belmont 11211 in the hope of realising them at 
their face value in gold. In the 1868 presidential election, the Democratic 
Party candidate, George H. Pendleton, pledged payment only in paper. 
He was soon replaced by Horatio Seymour on the initiative of Belmont, 

who had assumed chairmanship of the Democratic National Committee 
in 1860. Seymour promised payment in specie. However, when the 
Convention passed a resolution in favour of paper, Belmont was forced 
to switch sides and thereafter secretly supported the Republican 
candidate. General Ulysses S. Grant, and used his part ownership of the 
New York World newspaper in order to denigrate and undermine the 
chances of Seymour. Grant won and on assuming office in 1869 he 
promptly introduced the Public Credit Act, which paid out the face value 
on the $5 billion worth of bonds in gold. This resulted in the Rothschilds 
and their associates making a 100% profit. 

The silver exchange was abolished and replaced by a gold standard by 
means of an Act Revising and Amending the Laws Relative to the Mints, 
Assay Offices and the Coinage of the United States. On 17 January 1873 
this act was passed by the Senate. According to a sworn affidavit of Mr. 
Frederick A. Luckenbach dated 9 May 1892, he had learnt from Mr. 
Ernest Seyd in London that the demonetisation of American silver had 
been expressly ordered by the Governors of the Bank of England, who 
had furthermore paid £100,000 ($500,000) in order to have a sufficient 
number of committee members of the US Congress dealing with financial 
matters bribed. 11 ^ This nefarious deed became known as the "Crime of 

The forced abandonment of the people's money, silver, was also 
instituted in the German Empire when the government inexplicably 
ceased to mint silver thaler coins in 1871. There seems to be little doubt 
that this was part of a synchronised scheme co-ordinated by the 
Rothschilds in order to further entrench the gold standard. 11 ^ 

The gold standard wrought havoc on the American economy and 
enabled private bankers to withhold loans and restrict the money supply 
at will. There followed a series of unnaturally created panics or bank 
runs in 1873, 1884, 1890-1, 1893-4, 1897, 1903 and 1907.^ These 
artificially created bank runs so incensed President James Abram 
Garfield that shortly after he took office on 4 March 1881, he issued a 
statement in the middle of June of that year that he intended to master 
the problem, when he said the following: 

President James Abram Garfield (right) was gunned down by "lone assassin" Charles J. Guiteau 
at the main railway station in Washington on 2 July 1881. 

"Whosoever controls the volume of money in any 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". 11 ^ 

Two weeks later Garfield was gunned down by "lone assassin" Charles J. 
Guiteau who had a grievance for not having received a diplomatic 
posting. Garfield did not die immediately, but as a result of improper 
medical care, quite possibly done so deliberately, lingered on until his 
death on 19 September 1881. At his trial the hidden hand of Rothschild 
was revealed when Guiteau claimed "that important men in Europe put 
him up to the task, and had promised to protect him if he were caught". 


The 1907 panic had the worst effects. In early 1907 Jacob Schiff, CEO of 
Kuhn, Loeb & Co. warned that "Unless we have a Central Bank with 
adequate control of credit resources, this country is going to undergo the 
most severe and far reaching money panic in history." 11 ^ In October of 
that year JP Morgan, another Rothschild front man, set the panic in 

motion by circulating rumours that its rival, the Knickerbocker Bank and 
Trust Co. was insolvent. In the ensuing crash shares listed on the New 
York Stock Exchange lost 50% of their value. Further consequences of 
this deliberately induced panic were a 11% drop in industrial production 
the following year, a 26% rise in imports and an increase in 
unemployment from under 3% to 8%. It was these continual phases of 
artificially created boom and bust, inflation and deflation, which 
provided the motivation and pretext to set up a central bank, which 
would allegedly solve all these never ending problems for all time. 

Establishment of the United States Federal Reserve Bank 

In order to mislead the public two "alternative" plans were proposed. 
One was advanced by the National Monetary Commission under 
leadership of Senator Nelson Aldrich (grandfather of Nelson Aldrich 
Rockefeller) and known as the Aldrich Plan. The other plan adopted by 
the Special Currency Committee of the New York Chamber of Commerce 
was under the chairmanship of Paul Warburg, a German Jewish banker, 
who was acting on behalf of the Rothschild interests headed by Baron 
Alfred Rothschild. It was known as the Wall Street Plan. Except for the 
distribution of reserves, both plans were identical and had as their aim 
the establishment of a central reserve bank. 

On 22 November 1910 the banking conspirators including among others 
A. Piatt Andrew, Assistant Secretary of the Treasury, Frank Vanderlip, 
president of the National City Bank of New York, Henry P. Davidson, 
senior partner JP Morgan and Company, Charles D Norton, president 
First National Bank of New York, Benjamin Strong, vice president 
Bankers Trust of New York and Paul Moritz Warburg, partner Kuhn, 
Foeb & Company, sneaked out of New York in Aldrich's Pullman car 
(with all its blinds drawn) from Hoboken, New Jersey railway station to 
Jekyll Island, Georgia.— At the very exclusive Jekyll Island Hunt Club 
owned by JP Morgan, the fate of the American people and indeed the 
world would be determined over the next ten days by the this group of 
criminally inclined financiers, who were also known as the First Name 
Club. Only first names were used so as not to reveal their identities to the 

Senator Robert Marion "Fighting Bob" La Follette who did all in his power to prevent passage of 
the Banking and Currency Bill and its planned enslavement of the American people. 

The bill to establish the United States Federal Reserve Bank was 
vehemently opposed by Congressman Charles August Lindbergh who 
said that: 

"This act establishes the most gigantic trust on earth, such as the 
Sherman Anti-Trust Act would dissolve if Congress did not by this 
act expressly create what by that act it prohibited. When the 
president signs this act the invisible government by the money 
power, proven to exist by the [Pujo] Money Trust investigation, will 
be legalized. The greatest crime of Congress is its currency system. 
The schemiest legislative crime of all ages is perpetuated by this new 
banking and currency bill." 11121 

The bill was bitterly opposed in the Senate, with Senator Robert M. La 
Follette being one of its most "vociferous opponents". 11211 It was passed 
into law on 23 December 1913, after the members of the Senate had been 
threatened by the thoroughly disreputable President Woodrow Wilson, 
"who was as devoid of ethics and principle as he was of morality", 11221 
that he would keep them in session until it had passed the bill and deny 
them their Christmas recess. Only a minority of 43 Senators supported 
the bill, with 25 voting against it, 27 refusing to vote and 5 members 
absent. The promoters of the bill promised that the United States dollar 
would become a stable currency and that business cycles and recessions 
would become a thing of the past. 

In the event since the inception of the US Federal Reserve Bank in 1914, 
the US dollar has lost 97% of its purchasing power and there have been 
19 recessions, the great depression of the 1930s and the current great 
recession which started in 2008, and notwithstanding main stream media 
propaganda to the contrary, appears to have all the symptoms of a 
depression. Since 1910 the National Debt has increased from $2.65 billion 
to $20 trillion in March 2017, while unfunded liabilities such as social 
security. Medicare and benefits for military veterans exceed $240 
trillion 11221 . 

The United States Federal Reserve Bank instead of functioning as the 
people's banker of the bankers, has operated solely as a private bank for 
the benefit of private bankers. It comes as no surprise that in its 104 years 
of existence its accounts have never been submitted to public audit. 11211 

The following are the bank's principal shareholders:^ Rothschild Banks 
of London and Berlin, Lazard Brothers Banks of Paris, Israel Moses Sieff 
Banks of Italy, Warburg Bank of Hamburg and Amsterdam, Shearson 
American Express, Goldman Sachs of New York, JP Morgan Chase Bank. 


The State Bank of the Russian Empire 

Meanwhile across the Atlantic a different system of finance, viz. state 
banking, had been adopted. From September 1814 to June 1815 the 
Congress of Vienna was held in order to settle the issues arising from the 
French Revolutionary Wars, the Napoleonic Wars and the dissolution of 
the Holy Roman Empire. Behind the scenes Nathan Mayer Rothschild 
proposed the formation of a new world order concentrated around 
central banking. All the major powers, with the exception of Russia, were 
indebted to the Rothschild banks. Tsar Alexander I (1801-25) refused to 
comply with Rothschild's devious scheme and derailed it. Instead he 
established The Holy Alliance between Austria, Prussia and Russia, 
which was signed on 26 September 1815 by Emperor Francis I of Austria, 
King Friedrich Wilhelm III of Prussia and Tsar Alexander. He also 
rejected Rothschild's offer to set up a central bank in Russia. Whether it 
was because he distrusted this shady banker or was aware of the perils of 
central banking is not known, but he wisely declined. However, his 
prudent behaviour incurred the vindictive and unrelenting wrath of the 
Rothschilds, who according to Major-General Count Cherep-Spiridovich, 
— were responsible for the assassination of the last five Tsars and would 
seek and obtain their Talmudic vengeance in spectacular fashion 102 
years later. 

On 12 June 1860 The State Bank of the Russian Empire— was founded 
with the aim of boosting trade turnovers and the strengthening of the 
monetary system. Up to 1894 it was an auxiliary institution under the 
direct control of the Ministry of Finance. In that year it was transformed 
into being the banker of the bankers and operated as an instrument of 
government's policy. It minted and printed the nation's coins and notes, 
regulated the money supply and through commercial banks provided 
industry and commerce with low interest rate loans. Its vast gold 
reserves, the largest in the world, exceeded the bank note issue by more 

than 100%, except for the year 1906. By 1914 it had become one of the 
most influential lending institutions in Europe. 11 ^ 

Not unexpectedly Russia had the smallest national debt in the world. The 
following table reflects the number of rubles of debt per inhabitant. 


Great Britain 







By 1914 83% of the interest and amortisation of the national debt, of 
which less than 2% was held abroad, was funded by the profits of the 
Russian State Railways. In 1916 the total length of the main lines was 
100,817 verst or kilometres. Russian commercial and canal tonnage of 
11,130,000 in 1910 exceeded British merchant tonnage of 10,750,000. 

In 1861 Tsar Alexander II (1855-81)— abolished serfdom, which at that 
time affected 30% of the population. By 1914 very little land remained in 
the possession of the Russian estate owners, who were mainly the 
nobility. 80% of the arable land was in the hands of the peasants, which 
had been ceded to them for a very small sum. This land was held in trust 
by the village commune or mir. However, after the passing of the 
Stolypin 11 ^ Act in 1906, peasants could obtain individual title with 
hereditary rights. 

By 1913 two million families had availed themselves of this opportunity 
to acquire what became known as "Stolypin farms." Nearly 19,000,000 
acres (7,689,027 hectares) were allotted to these individual peasant 
proprietors by the land committees—. The Peasants' State Bank, which 
was described at that time as the "greatest and most socially beneficent 
institution of land credit in the world"— granted loans at a low rate of 
interest, which was in effect a handling charge. Between 1901 and 1912 
these loans increased from 222 million rubles to 1.168 billion rubles. 

Agricultural production soared so that by 1913, Russia had become the 
world's bread basket as the following table reveals. 

World Production 

Russian Production 



















Russian agricultural production of cereals exceeded the combined 
production of Argentina, Canada and the United States by 25%. In 1913 
Russia had 37.5 million horses - more than half of all those in the world. 
She also produced 80% of the world's flax and provided more than 50% 
of the world's egg imports. Mining and industrial output also expanded 
by huge margins. Between 1885 and 1913 coal production increased from 
259.6 million poods 11141 to 2,159.8 million poods, cast iron production rose 
from 25 million poods in 1890 to 1,378 million poods in 1913 and 
petroleum production rose from 491.2 million poods in 1906 to 602.1 
million poods in 1916. From 1870 to 1914 industrial output grew by 1% 
per annum in Great Britain, 2.75% per annum in the United States and 
3.5% per annum in Russia. During the period from 1890 to 1913 
industrial production quadrupled and Russian industries were able to 
satisfy 80% of internal demand for manufactured goods - a perfect 
example of autarky. Throughout the last 20 years of peacetime imperial 
rule (1895-1914) the increase in Gross Domestic Product averaged 10% 
per annum. 

With the Russian State bank creating the people's money out of nothing 
at almost zero interest; as opposed to the rest of the world where central 
banks allowed parasitic private banks to create their nation's money 
supply at usurious rates of interest, it comes as no surprise to find that in 
1912 Russia had the lowest levels of taxation in the world. These very 
low rates of taxation also attest to the efficiency of the Russian 
government. Furthermore throughout this period of state banking there 
was no inflation and no unemployment. 

Direct Taxes in Rubles per Inhabitant 

State Taxes % 

Local Taxes % 

Total % 

Great Britain 




















Indirect Taxes in Rubles per Inhabitant 

State Taxes % 

Local Taxes % 

Total % 

Great Britain 




















Between 1897 and 1913 state receipts rose from 1.400 million gold 
rubles— to 3.471 million gold rubles. By 1914 the surplus on the budget 
account was 512 million gold rubles and there was no increase in 
taxation. Throughout this same period the foreign trade balance between 
exports and imports was in surplus. An indication of the financial health 
of the Russian economy can be gauged from the following comparative 
table of gold reserves. The gold reserves and bank notes are expressed in 
millions of roubles. The gold reserves and bank notes are expressed in 
millions of roubles. 

Gold Reserves 



The State Bank of the Russian Empire 



Banque de France (Central bank) 



Reichsbank (Central bank) 



Bank of England (Central bank) 



An independent study by British lawyers concluded that the Russian 
Code of Laws and judiciary were “the most advanced and impartial in 
the world.Elementary education was obligatory and free right up to 
university level, where only nominal fees were charged. Between 1906 
and 1914 10,000 schools were opened annually. Russian universities were 
renowned for their high academic standards. 

In labour relations the Russians were pioneers. Child labour was 
abolished over 100 years before it was abolished in Great Britain in 1867. 
Russia was the first industrialised country to pass laws limiting the hours 
of work in factories and mines. Strikes, which were forbidden in the 

Soviet Union, were permitted and minimal in Tsarist times. Trade union 
rights were recognized in 1906, while an Inspectorate of Labour strictly 
controlled working conditions in factories. In 1912 social insurance was 
introduced. Labour laws were so advanced and humane that President 

His Imperial Majesty Tsar Nicholas II. His State Bank of the Russian Empire bestowed on his 
people abundance and benefits unparalleled in the history of mankind. 

The State Bank of the Russian Empire in 12 Neglinnaya Street, Moscow. This same building now 
houses the The Central Bank of the Russian Federation. 

Taft of the United States was moved to say that "the Emperor of Russia 
has passed workersTegislation which was nearer to perfection than that 
of any democratic country." 11121 The people of all races in the Russian 
Empire had an equality of status and opportunity, which was 
unparalleled in the modern world. His Imperial Majesty Tsar Nicholas II 
(1868-1917) and his state bank had created a workers' paradise that was 
unrivalled in the history of mankind. 

On 17 November 1917, the Rothschilds, fearful that replication of this 
extraordinary example of freedom and prosperity would destroy their 
malevolent banking empire, instigated and financed a Judeo-Bolshevik 
revolution in Russia, 11 ^ 1 which wrecked and ruined a wonderful country 
and resulted in the deaths by murder and starvation, according to 
Alexander Solzhenitsyn, of 66 million innocent people.^ 

The Creation and Control of the Soviet Union 

In Wall Street and the Bolshevik Revolution— author. Professor Antony 
Sutton, with the assistance of State Department documents and personal 
papers of American international bankers, details the "enthusiastic 
alliance of Wall Street and Marxist Socialism".^ Without the financial 
support of J P Morgan's Guaranty Trust Company, John D Rockefeller's 
Chase National Bank, Jacob's Schiff's Kuhn Loeb and Company and Olf 

Aschberg of the Swedish Nya Banker^, the Judeo-Bolshevik revolution 
would not have succeeded. Of more particular interest in the financing of 
the revolution is the role which Maxim Litvinov (1876-1951),who was 
born Meyer-Genokh Mojsjewicz Wallach-Finkelstein, played as a 
"revolutionary" in destroying Imperial Russia and handing it over to the 
international bankers. 

Litvinov commenced his revolutionary career in 1898. In 1901 he was 
arrested and spent 18 months in prison from which he escaped. In 1903 
he was entrusted with money, which was used to finance and distribute 
the newspaper of the Russian Socialist Democratic Party, Iskra ^ which 
was printed in London. In 1905 Litvinov received further funds from 
"friends from abroad", 11511 which enabled the purchase of arms - again in 

Thereafter Litvinov, now known as Papasha or Daddy 11551 , became the 
source of all foreign funds and was appointed treasurer of the party - a 
decision which Lenin could not overrule, because Litvinov was a 
representative of the Rothschilds with powers exceeding those of Lenin. 
Lenin was merely informed of the decision. A few months later at a 
meeting in Geneva, Litvinov was elected Secretary of Foreign Transport 
Groups. Lenin was again informed of this decision. Litvinov was never a 
genuine revolutionary, but instead used Bolshevism as a disguise in 
order to advance the aims of his master's agenda. 

From 1908-1918 Litvinov resided in London with the assistance of his 
"English friends". 11551 During this period he held a variety of occupations 
working for a publishing house, Williams and Norgate, a tourist agency 
and selling farm machinery. Presumably these occupations provided a 
suitable cover for his clandestine activities. In 1914 at the outbreak of 
World War I, the Russian government demanded that all its citizens be 
returned to Russia in order to serve in the army. However, the British 
authorities allowed Litvinov to remain. In 1916 Litvinov married a 
daughter of one of the most distinguished Jewish families in England, 
Ivy Low. On 3 January 1918 Litvinov was appointed as the authorised 
representative of Soviet Russia. One of his first tasks was to demand that 
the money held at the Bank of England on behalf of the Tsarist embassy 
be handed over to him. The bank duly complied. 

In September 1918 a conspiracy against the Bolsheviks involving British 
ambassador Robert Bruce Lockhart, was exposed. Both Lockhart and 
Litvinov were arrested by their respective governments and as a result of 
a subsequent exchange, Litvinov returned to Moscow. His new 
assignment was "to secure fast outflow of gold and jewellery from 
Russia" 11521 via Scandinavia, under the cover of a scheme to purchase 
steam engines later known as "gold engines". A quarter of Russia's gold 
reserves were transferred to Sweden for onward transhipment. For the 
Rothschilds it was now retribution time. 

On 21 April 1921 Litvinov was appointed Commissioner of the Council 
of People's Commissars for currency transactions and sales of gold 
abroad. "Several hundred millions [roubles] of our gold went through 
my hands and was sold abroad. I sold the majority of this gold directly or 
through various intermediaries to large French companies which re¬ 
melted this gold either in France or Switzerland, and then this gold went 
to its final destination in storage at the American Reserve Bank" 11551 - 
Rothschild's privately-owned bank! Litvinov had become the 
"authorised representative of the bankers - owners of the FRB, the Bank 
of England and Soviet Russia" 11521 . As can be seen the Bolshevik 
Revolution was little more than a giant asset stripping exercise by the 

Maxim Litvinov (born Wallach-Finkelstein) For over 40 years he was Rothschild's bag-man. Fie 
paved the way and assisted in the looting of Russia by the international bankers. 

In December 1921 the Kuzbass Autonomous Industrial Colony was 
established. It handed over control of a vast industrial complex to a 
group of American and European investors who had assisted in 
financing it. Thereafter "millions of gold rubles flowed abroad without 
any customs duties, allegedly, as interest for the capital invested by 
European bankers", 11 ^ despite the fact that the investments were not all 
that large. 

In 1924 Josef Stalin became the leader of the Soviet Union, but Litvinov, 
who feared no one, remained pre-eminent. His rudeness to Stalin was 
legendary. 11 ^ In the purge of 1937-1938 nearly all of Litvinov's deputies 
were arrested and then shot. Litvinov pleaded for the life of one of his 
closest friends, Boris Stomonyakov, and informed Stalin that he could 
vouch for him. Stalin looked Litvinov in his eyes and replied: "Comrade 
Litvinov you can only vouch for yourself 

Lrom 1930-1939 Litvinov was People's Commissar for Loreign Affairs of 
the Soviet Union. In 1939 relations between National Socialist Germany 
and the Soviet Union started to thaw a little. This was anathema to 

Litvinov's masters, who had nightmarish memories of the Holy Alliance 
struck between Austria, Prussia and Russia in 1815 and Bismarck's 
Dreikaiserbund (Three Emperors league) concluded between the same 
three empires in 1872. Litvinov objected, but by this time Stalin had had 
enough of Litvinov's impudent behaviour. On 3 May 1939 a quiet coup 
d'etat took place and Stalin "dismissed the puppet of the banking 
underworld from the position of foreign minister" 11 ^ 1 

With its own State Bank of the USSR or Gosbank, which was founded on 
16 November 1921, the Soviet Union had finally gained its sovereignty 
and independence from the international bankers. All Litvinov's 
deputies and heads of departments were arrested, but he himself was 
spared, as he was untouchable. 

Litvinov was allowed to retire to his dacha, but was kept under constant 

In late 1941 Litvinov's services were once again required. With the 
Germans banging on the gates of Moscow, Stalin's desperate situation 
necessitated urgent help from the West. Litvinov was sent to Washington 
as Soviet ambassador. The Americans were reluctant to lend money to 
the Soviet Union, but Litvinov soon sorted everything out and within a 
few weeks a loan of one billion dollars was granted. A Lend Lease 
agreement was signed and over the next four years $11 billion worth of 
supplies and services were provided. Litvinov "could call the White 
House at any time and the President [Roosevelt] would see him 
immediately".^ Both these stooges of the international bankers pumped 
gold - the one out of Russia, the other from the people of the United 
States - into the vaults of Rothschild's Pederal Reserve Bank. 11551 

Litvinov 11 ^ was recalled in 1943 when the war turned in Russia's favour. 
His successor as foreign minister, Vyacheslav Molotov, provides an apt 
epitaph."Litvinov was utterly hostile to us ... He deserved the highest 
measure of punishment at the hands of the proletariat. Every 
punishment" . am 

Lrom 1-22 July 1944 the international bankers organised a conference at 
Bretton Woods, New Hampshire. Its purpose was to establish a World 
Bank and an International Monetary Lund which would govern relations 
amongst independent nations and maintain fixed exchange rates. Soviet 

representatives attended the conference, but refused to sign, stating that 
the proposed institutions were "branches of Wall Street". 11221 This 
impertinence of Stalin in all probability angered the Rothschilds, but 
there was little that they could do, while Germany remained undefeated. 

Between 17 July and 2 August 1945 the Potsdam conference was held in 
Germany. It determined the new borders of Europe. From this time the 
Soviet Union was gradually frozen out and the start of the Cold War 
commenced. Stalin had no designs on Western Europe. His army was 
completely exhausted and he had more than enough tasks on his hands 
in absorbing Eastern Europe under his hegemony and repairing all the 
damage to his country,which he had inflicted on himself by provoking 
Germany into starting a preventative war. M From a military perspective 
the dropping of alleged 11221 nuclear bombs on Hiroshima and Nagasaki 
was unnecessary, as in January 1945 Japan was already trying to secure 
surrender terms. The firebombing of these two cities served two more 
sinister purposes: (i) as a punishment to the Japanese for having set up 
their own state bank and (ii) as a warning to the Soviet Union which also 
had a state bank. 

The Cold War was prosecuted, initially, by the Western countries in 
order to bring the Soviet Union to heel. Stalin, who was rather more of a 
nationalist 11211 than a communist, resisted and was allegedly poisoned, 
and then allowed to die from a massive stroke for which he did not 
receive any medical treatment, on 1 March 1953 11221 . Thereafter the Cold 
War degenerated into a farce, as the West, and in particular the United 
States, invested heavily in the Soviet Union. Huge investments were 
made at the Gorki plant which built Ford trucks, and the largest 
automotive plant in the world at Volgograd, which manufactured Fiat 
cars. There were also substantial investments in aviation, computers and 
electricity.The Soviet Union became an investment destination of 
choice.The Russians soldiered on, but with 50% of their budget being 
allocated to armaments, this was a war which they could not win in the 
long term. This explains why living standards in the Soviet Union could 
never match those achieved in the West, notwithstanding the provision 
of free services such as education and housing. 

In 1991 the Soviet Union imploded and a swarm of advisers arrived from 
the USA, who introduced the wonders of unregulated free market 

capitalism which included income tax and usury. The primary purpose 
of these advisers was "to present the law on the Central Bank of Russia at 
the right moment which hardly did less damage than a whole army of 
invaders in making Russia lose its sovereignty". 11211 For almost 200 years 
the Tsars and Soviets resisted, but finally Russia fell entirely into the 
hands of the Rothschilds. 

Rothschilds' Responsibility for the Anglo-Boer War 

Throughout the nineteenth century the world's monetary system was 
based on the gold standard, which had been developed and maintained 
by the Rothschilds. The discovery of the largest goldfields in the world 
on the Witwatersrand in 1886 created a new source of supply, which had 
to be controlled, if this dishonest financial system was to survive. 
Unfortunately for the Rothschilds these new mines were located in the 
independent Zuid-Afrikaansche Republiek. 

Streams of immigrants and speculators soon arrived in the country. Some 
of them were British, but a larger number consisted of "mostly Russian, 
Polish and German Jews, with roving propensities and no strongly 
rooted attachment to an old country". 11211 The gold mine owners were 
almost entirely Jewish. The leading company was the Eckstein group 
named after its managing director, Hermann Eckstein. This combination 
included Consolidated Goldfields and S. Neumann & Co. Professor John 
Atkinson Hobson writes in The War in South Africa Its Causes and Effects 
that "Rothschild has a controlling interest in Goetz & Co." and that 
"Rothschild stands for the Exploration Company which is in effect 
Wernher, Beit and Rothschild"— Furthermore he adds that the dynamite 
monopoly and "the rich and powerful liquor trade, licit and illicit, is 
entirely in the hands of the Jews"; "the Stock Exchange, is needless to 
say, mostly Jewish" and "the press of Johannesburg is chiefly their 

By the early 1890s the foreign workers and speculators had started to 
outnumber the Boers. In 1896, after the abortive Jameson Raid, which 
tried to overthrow the Transvaal government, the South African League 
was founded as a Rothschild front in order to agitate for the granting of 
voting rights to the uitlanders or foreigners. In order to protect their status 

the Boers would only grant the franchise after a period of 14 years of 
residence. On 30 May 1899 at a conference held in Bloemfontein, the 
capital of the Orange Free State, President Paul Kruger, offered to reduce 
the period of residence to seven years.The British High Commissioner, 
Sir Alfred Milner, was unmoved and held to his point of view that it was 
"reform or war". 11223 Eventually, Kruger "bowing his head between his big 
red hands, hot tears streaming down his bearded cheeks" 112 ^ cried out in 
anguish "It is my country that you want!" 112 ^ 

In September 1899 in an act of provocation, the British started to mass 
troops on the southern Transvaal border. A request on 9 October 1899 
that Her Majesty's government cease "the constant bringing up of troops 
to the borders of the Republic, and the sending of reinforcements from all 
parts of the British Empire" 11 ^ 1 was ignored. Two days later war broke 
out. Although the Boers had only a part time army of mounted 
horsemen, they enjoyed stunning successes in the initial phase of the 
war. However, they were ultimately outgunned, outnumbered and in 
some instances poorly led. From June 1900 onwards the Boers resorted to 
guerrilla warfare. A tiny force of never more than 6,000 active Boers was 
able to frustrate and tie down almost 450,000 troops of the world's largest 

Peace was signed at Vereeniging on 31 May 1902. The war had been an 
unmitigated disaster for the Boers. In contravention of the Hague 
Convention of 29 July 1899, which bound Great Britain to observe its 
"rules of civilised warfare", an unprecedented scorched earth policy was 
introduced. The Boers' homesteads were razed to the ground, wells were 
poisoned, their cattle were slaughtered and their women were raped. 
Twenty-five towns and their contents and 20 villages, including all their 
churches, were destroyed. 155,000 women and children were herded into 
46 concentration camps and housed in tents, where in some camps 
during winter temperatures fell below zero. 34,000 of them died of 
malnutrition, poor sanitation and exposure, of whom 81% were under 
the age of 16. The British also suffered high losses with 21,942 being 
killed (35% in battle, 65% from disease) and 22,829 being wounded.The 
bankers had the satisfaction of obtaining full control of the gold and 
other mineral 

resources of South Africa, of financing the war in the amount of £222 

million and thereby adding a further £132 million 11 ^ 1 to Britain's national 
debt. For Nathan, Alfred and Leopold Rothschild the Anglo-Boer War 
was a consummate victory. 

The Commonwealth Bank of Australia 

The Commonwealth Bank of Australia was inspired by King O'Malley, 
an American, who found out the secrets of fractional reserve banking 
while working for his uncle's bank in New York in the 1880s.When the 
bank's first governor. Sir Dennison Miller, was asked where he proposed 
obtaining capital for his bank, he replied, "What capital? I don't need any 
capital, my capital is the entire wealth and credit of the whole of 
Australia."— With an advance of £10,000 from government, which was 
quickly repaid, the Commonwealth Bank of Australia was founded on 15 
July 1912. Although established as a private bank, it operated as a state 
bank with the power to carry on all business generally transacted by 
banks, including that of a savings bank. Furthermore the bank was 
entitled to raise capital through the sale of debentures secured by the 
national credit. Its profits were equally divided into two funds - a 
reserve fund to meet any liabilities incurred by the bank and a 
redemption fund to redeem debentures or other stock issued by the 
bank. Thereafter 50% of its profits were allocated for the liquidation of 
the National Debt. 

For the next 12 years, notwithstanding the years of World War I (1914- 
18), Australia enjoyed one of its greatest eras of prosperity. By providing 
government loans at a nominal rate of interest viz. %rds of one per 
centum per annum, it enabled the country to embark on a huge 
infrastructure programme. It included provision of A$18.72 million for 
the construction of dams and the Murrumbidgee irrigation system, the 
great Transcontinental Railroad, electricity power plants, gasworks, 
harbours, roads and tramways. In addition, the fruit, wheat and wool 
crops of farmers were financed for an amount of A$3 million at nominal 
rates of interest. It made available A$4 million to purchase 15 cargo 
steamers in order to transport Australia's growing exports and A$8 
million were allocated to subsidised housing. World War I cost Australia 
A$700 million, but it was financed by the bank as a non-interest bearing 


King O'Malley (1854-1953) who was the inspiration for the founding of Australia's state bank, the 

Commonwealth Bank of Australia. 

This phenomenal period of prosperity was terminated in 1924 when a 
bill, which placed control of the bank in the hands of a directorate 
consisting of a Governor, the Secretary to the Treasury and six persons 
actively engaged in agriculture, finance and industry for different terms 
of years, was introduced by Stanley Melbourne Bruce, prime minister 
(1924-29) and Dr. Earle Page his coalition partner. 11 ^ There is a suspicion 
that Bruce may have been bribed, as what he did was completely against 
the best interests of the Australian people. During his term of office the 
Australian government borrowed £230 million from the City of 
London 11 ^ and by 1927 the federal and state debt had reached £1 billion 
and the budget was in deficit. 11 ^ 

On 10 October 1924 the bill was proclaimed as an Act. The subsequent 
effect of this Act was to place the bank under the control of a body of 
men, who later deprived it of the right to create the nation's money 
supply free of debt and interest. In 1927 the bank lost its savings bank 
subsidiary, and although it was permitted to continue issuing bank notes 
and thereby earn a modicum of seigniorage, it thereafter became a 
central bank operating exclusively for the benefit of private banks. 

The final betrayal of the bank occurred on 20 March 1947 when the 

House of Representatives voted by 55 to 5 votes for it to become a 
member of the International Monetary Fund and thus subject to the 
decrees and dictates of the Rothschild controlled Bank for International 

World War I 

World War I started on 28 June 1914 when Gavrilo Princip, allegedly of 
Jewish origin and a member of a terrorist group, the Black Hand, 
assassinated Archduke Franz Ferdinand, heir to the Austrian throne, and 
his Czech born wife at Sarajevo, Bosnia Herzegovina. Princip was a 
collaborator of Leon Trotsky (real name Lev Davidovitsj Bronstein),^ a 
Russian Jew who was conspiring with a fellow Jew Vladimir Lenin 
(named Ulyanov when adopted, real name Zederbaum)^ to overthrow 
the Russian monarchy. He was in turn financed by an American Jew 
Jacob Schiff,^ who was a front man for an English Jew Lord Nathan 
Rothschild, who was one of the masterminds behind this appalling 
catastrophe. These facts were confirmed in the United States Senate in 
1921, when it was recorded that "Full responsibility for the First World 
War lies on the shoulders of the International Jewish Bankers. They are 
responsible for Millions of dead and dying."^ 

Automobile pioneer, Henry Ford, identified the international Jewish bankers as being the 
instigators of World War I, expressing his views in The International Jew published by the Dearborn 

Independent newspaper. 

In late October 1926 further confirmation of these incontrovertible facts 
was revealed in a conversation between British parliamentarian Victor H 
Cazalet and Henry Ford (1863-1947). When the former asked who the 
international Jewish financiers were. Ford replied: "I have several books 
which will tell you who they all are. They were responsible for the last 
war, and will in the future always be capable of creating a war when they 
feel their pockets need one."^ 

Trade rivalry, competing alliances and misunderstood mobilisations are 
often proffered as being the primary causes of World War I. However, 
the real reasons in order of importance are as follows: 

1. To destroy the Russian Empire and its State Bank. 

2. To break up the other empires (Austro-Hungarian, German and 
Ottoman) into smaller states, which could then be exploited more 
efficiently through the establishment of central banks. 

3. The theft of Palestine and the creation of a Zionist puppet state 
under the direct control of the Rothschilds.— 

By the end of 1916 the British and French armies were in danger of losing 
the war, with the latter army having already mutinied on the Western 
front. The British had lost their naval supremacy at the Battle of Jutland 
on 3 May 1916, when the German Navy, outnumbered by two to one, 
humiliated the invincible Royal Navy, sinking 12 vessels for the loss of 
six and losing 2,551 sailors compared to the British loss of 6,094.^ Both 
Kaisers were desperate to bring an end to this fratricidal and pointless 
slaughter. Seemingly out of the blue came an offer from Lord Rothschild 
to secure American intervention in return for handing over Palestine to a 
group of Jewish Zionists after the liquidation of the Ottoman Empire.— 
On 6 April 1917 the United States declared war on Germany^ and the 
other central powers and on 2 November 1917 Lord Rothschild and his 
Zionist collaborators received their written undertaking by Great Britain 
to eventually hand over Palestine to Jewish settlers.— This infamous 
document known as the Balfour Declaration, was drafted by Lord Arthur 

Foreign office, 

November 2nd, 1917. 

Dear Lord Rothschild, 

I have much pleasure in conveying to you, on 

behalf of His Majesty’s Government, the following 
declaration of sympathy with Jewish Zionist aspirations 
which has been submitted to, and approved by, the Cabinet 

•His Majesty’s Government view with favour the 
establishment in Palestine of a national home for the 
Jewish people, and will use their best endeavours to 
facilitate the achievement of this object, it being 
clearly understood that nothing shall be done which 
may prejudice the civil and religious rights of 
existing non-jewish communities in Palestine, or the 
rights and political status enjoyed by Jews in any 
other country” 

I should be grateful if you would bring this 
declaration to the knowledge of the Zionist Federation. 

Letter from Lord Arthur Balfour to Lord Walter Rothschild, the head of the Zionist Federation 
expressing British support for the establishment of a Zionist state in Palestine. 

James Balfour, British Foreign Secretary and General Jan Christian 
Smuts, a member of the Imperial War Cabinet. The misery of this 

unnecessary war dragged on for another two years.Russia was totally 
destroyed and an insoluble problem was created in the Middle East. As 
Rabbi Reichorn prophetically remarked in 1859, "Wars are the Jews' 
harvest, for with them, we wipe out the Christians and get control of 
their gold. We have already killed 100 million of them. We shall drive the 
Christians into war by exploiting their national vanity and 
stupidity.They will then massacre each other, thus giving room for our 
own people." 11221 In similar vein Gutle Schnapper, Mayer Amschel 
Rothschild's wife, is reputed to have said shortly before she died in 1849, 
"If my sons did not want war, there would have been none." 11211 

An armistice was declared on 11 November 1918 and seven months later 
on 28 June 1919 the deeply flawed Treaty of Versailles was signed. 
Germany had to accept exclusive blame and pay extortionate reparations 
of £6.6 billion 11221 equivalent to the entire wealth of the country, even 
though the other principal belligerents England,France and Russia were 
equally,if not more blameworthy. This indemnity would be used to 
repay the international bankers the fraudulent loans and interest, which 
had been previously lent to the governments of Great Britain and France. 
As General Smuts said at the conference, "Everything we have done here 
is far worse than the Congress of Vienna. The statesmen of 1815 at least 
knew what was going on. Our statesmen have no idea." 11221 

Chapter V 

The Great Depression 

"Capital must protect itself in every possible way, both by combination 
and legislation. Debts must be collected, mortgages foreclosed as rapidly 
as possible. When, through process of law, the common people lose their 
homes, they will become more docile and more easily governed through 
the strong arm of the government applied by a central power of wealth 
under leading financiers. These truths are well known among our 
principal men, who are now engaged in forming an imperialism to 
govern the world. By dividing the voters through the political party 
system, we can get them to expend their energies in fighting for 
questions of no importance. It is thus, by discrete action, we can ensure 
for ourselves that which has been so well planned and so successfully 

— Montagu Norman, 
Governor of the Bank of England, addressing the United States 
Bankers' Association, New York, Idaho Leader, 26 August 1924. 

By the turn of the twentieth century there were still only 18 central banks 
- Swedish Riksbank (1668), Bank of England (1694), Banco de Espana 
(1782), Banque de France (1800),Bank of Finland (1812), De 
Nederlandsche Bank 1 ^ (1814), Norges Bank (1816), Osterreichische 
Nationalbank (1816), Danmarks Nationalbank (1818), Banco de Portugal 
(1846), National Bank of Belgium (1850), Bank Indonesia (formerly Java 
Bank) (1828), German Reichsbank (1876), Bulgarian National Bank (1879), 
National Bank of Romania (1880), Bank of Japan (1882), National Bank of 
Serbia (1884) and the Banca d'ltalia (1893). 

In 1922 a conference was held in Genoa from 10 April to 19 May and 
attended by heads of state, governors of the Bank of England, Banque de 
France and the Federal Reserve Bank of New York and a host of other 
international bankers. At this conference it was resolved to set up central 
banks in all countries where they were not in existence. The governor of 

the Bank of England, Montagu Norman, 12511 insisted that the central banks 
should be independent of their governments. 12521 A.N. Field in All These 
Things summarises this significant occasion as follows: 

"Despite the audacity of these proceedings they were entirely 
successful. The paid economists duly discovered that reserve banks 
were marvelous scientific improvements, the newspapers joined in 
the chorus of applause, and the politicians of the various States 
behaved as so many bellwethers leading the sheep to the 
slaughterhouse. The fact was entirely overlooked that the financiers 
are in no sense public servants, but simply the paid agents of the 
shareholders in a banking company whose interests need not in the 
least be identical with the national interest". 12521 

The Bank for International Settlements 

The number of new central banks increased, particularly "after the 
establishment of the Bank for International Settlements at Basel early in 
1930, when central reserve banks (more or less independent of the 
Governments of the countries in which they were situated) sprang up 
like mushrooms all over the world, amid a chorus of approval from 
deluded Governments and people whom these banks were intended to 
reduce to servitude."— 

The original purpose of the BIS was to facilitate German reparations 
payments in terms of the Treaty of Versailles, but once the artificially 
contrived Great Depression started to take effect and the National 
Socialists assumed power in January 1933, all payments ceased and the 
BIS had to find a new direction, viz. the fostering of monetary 
cooperation. In reality the BIS guides and directs the centrally-planned 
global financial system through the central banks of each country, of 
which 60 are affiliated to it. 

The headquarters of the bank are in Basel, Switzerland and they are 
currently housed in an ugly 18 storey building, which looks like the 
cooling tower of a power station. It is an unelected, unaccountable 
central bank of the central bankers, which has complete immunity from 
national laws and taxation and has its own private police force. 
Furthermore in terms of rights granted by an agreement with the Swiss 

Federal Council, all of the bank's archives, documents and electronic data 
are inviolable at all times and in all places. This agreement dates back to 
article X of paragraph 2 of The Hague Protocol which was signed on 31 
August 1929 and states that "The Bank, its property and assets, and also 
the deposits of other funds entrusted to it, on the territory of, or 
dependent on the administration of...shall be immune from any 
disabilities and from any restrictive measures such as censorship, 
requisition, seizure or confiscation, in time of peace or war, reprisals, 
prohibition or restriction of export of gold or currency and other similar 
interferences, restrictions or prohibitions." Bi-monthly meetings, where 
the global economy is discussed, are held in absolute secrecy. There is no 
written agenda, unless one of the statutes of the bank requires revision, 
and minutes are not kept. The principal functions of the bank are 

1. Facilitating collaboration amongst central banks by means of 

2. Promoting financial stability. 

3. Research on policy issues. 

4. Acting as a counter party for central banks in their financial 

5. Serving as an agent or trustee in connection with international 
financial operations. 

However, the true nature of the BIS was revealed in the book Tragedy and 
Hope written by insider. Professor Carroll Quigley of Georgetown 
University, who wrote as follows: 

"In addition to these pragmatic goals, the powers of financial 
capitalism had another 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 private meetings and conferences. The apex of 
the system was to be the Bank for International Settlements in Basle, 
Switzerland, a private bank owned and controlled by the world's 
central banks which were themselves private corporations. Each 

central bank, in the hands of men like Montagu Norman of the Bank 
of England, Benjamin Strong of the New York Federal Reserve Bank, 
Charles Rist of the Bank of France, and Hjalmar Schacht of the 
Reichsbank, 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. 

As Professor Quigley predicted back in 1966, the ultimate aim of the BIS 
is a single world currency, a one world economic system and a global 
government, where national laws are no longer applicable or relevant. 
Control of the bank lies with the House of Rothschild through its 
investments in various central and private banks. 

After World War II and the dissolution of the European colonial empires 
because they were they were no longer financially sustainable and 
offered far greater prospects for exploitation and plunder by means of 
international loans, 12 ^ 1 there was a further proliferation of central banks 
and currently their number stands at 157. Eight of these banks are in 
private ownership: National Bank of Belgium, Bank of Greece, Banca 
dYtalia, Bank of Japan, South African Reserve Bank, Swiss National 
Bank, Central Bank of the Republic of Turkey and the United States 
Federal Reserve Bank. The co-ordinated establishment of all these central 
banks proves beyond doubt that they are "part of an international money 

United States Federal Reserve Bank 

Between 1820 and 1910, although there was a temporary spike in prices 
during the American Civil War (1861-1865), the dollar retained its 
purchasing power, viz. one dollar was still worth a dollar 90 years later. 
However, it took a mere six years for the US Federal Reserve Bank to 
destroy the value of the dollar. Between 1914 and 1920 prices rose by 
125% reducing its value by 56.1%. 

Before casting our attention to the Great Depression, a brief examination 
of the causes of the first major deflation needs to be considered. In order 
to rein in prices a secret bankers' meeting was held on 18 May 1920 in 

Washington D.C. under the misleading title of The Orderly Deflation 
Committee of the American Bankers Association. 12221 Under orders of the 
Federal Reserve Board without notice or warning the discount rate rose 
rapidly from 2% to 9% and beyond. Simultaneously the Federal Reserve 
Bank began aggressively to sell government bonds, reducing their value 
by 20%. The fall in bond prices reduced the value of the reserves of the 
community banks, which were forced to call in all their loans. This 
resulted in "a terrific liquidation of all agricultural products" 12221 and 
"agricultural prices tumbled to ruinously low levels." 12121 

At the same time freight companies, owned by the major trusts such as 
the Harrimans, increased their railroad rates to such an extent that in 
some states freight costs exceeded the cost of farm production. The farm 
product index dropped by more than half from 244 in May 1920 to 117 a 
year later. Many farmers were ruined as their overheads remained 
unchanged and their financial costs soared. The unlimited powers which 
the Federal Reserve Bank possessed had enabled it to contract the 
currency and credit of the United States by $2 billion with the result that 
"prices were cut in half and confusion and distress reigned." 12111 This 
policy was carried out with deliberate intent 12121 in order to impoverish 
the agricultural sector 12121 by transferring rural money to the urban centres 
and at the same time reducing America's food independence, thereby 
making it vulnerable to the intrigues and whims of financial speculators 
and swindlers. 12111 

In July 1921 the Federal Reserve Bank reversed this policy by 
repurchasing government bonds. However, the damage done to 
agricultural banks could not be repaired, and agricultural products 
remained artificially depressed with some products being sold below 
cost of production. 

In August 1927 the conspirators running the privately owned Federal 
Reserve Bank decided that it was time to create a new "boom". Despite 
the protestations of 11 of the 12 Federal Reserve Banks, who perceived 
the danger, they were ordered to lower their rediscount rates and 
embark on a massive government bond repurchasing programme (the 
modern equivalent of quantitative easing) to boost the money supply. 12121 

Hardly any of this newly created money ex nihilo went into productive 

investments, but was poured into the stock market, 

where the price/earnings ratio 1 ^ 1 quickly rose to 20 and in some cases to 
50. The news media and deluded "economists" announced the arrival of 
a "new era" of permanent prosperity and purposefully fanned the flames 
of speculation, as 16 million Americans out of an adult population of 73 
million bought and sold shares. 

On 9 March 1929 Paul Warburg, freemason and founder of the Federal 
Reserve Bank, advised all member banks, as well as Secretary of the 
Treasury and fellow mason, Andrew Mellon, to get out of the stock 
market or sell it short. He informed them that if they acted immediately, 
they would reap enormous profits as the Dow Jones share index was 
about to collapse in a titanic plunge. 

On 24 October 1929 the Federal Reserve Bank decided to put an end to 
this orgy of speculation and to commence the fleecing of the people. The 
rediscount rate was suddenly increased to 6%. From nowhere thousands 
of orders arrived at the New York Stock Exchange to sell "at market", a 
typical stratagem employed by speculators to knock down share prices 
rapidly. Confidence soon evaporated and the first intentionally planned 
Great Depression was in full swing. The decisive point came six days 
later on 30 October 1929 when the Federal Reserve Bank ordered the 
contraction of brokers' loans in the amount of $2.3 million. The stock 
exchange went into a tailspin and by December 1932 the value of its 
listed securities had fallen by 83.1% from $89 billion to $15 billion. 

The economic and social consequences of this implosion were 
devastating. Out of 24,000 banks, 10,000 were crushed out of existence 
leaving their depositors ruined. 200,000 companies filed for bankruptcy 
and 8.3 million people were thrown on to the streets. Within three years 
24 _ 9 %[ 2 it] 0 £ th e working population was unemployed. The total National 
Income of the United States declined by 40.7% from $81 billion in 1927 to 
$48 billion in 1932. During the depression years an estimated three 
million people died of starvation. The main causes were malnutrition, 
infectious diseases, starvation and suicide. 

When referring to the New York Stock Exchange collapse, which 
initiated the depression. Congressman Louis T. McFadden stated with 
precision "It was a carefully contrived occurrence... The international 

bankers^ sought to bring about a condition of despair so that they 
might emerge as the rulers of us all. ,,[2im 

A.N. Field condemned the worthlessness of central banks and the 
perverted purposes for which they have been consistently utilised as 

"Reserve banking as a means of preventing financial crises has thus 
been a most complete and total failure in the United States. This fact 
has in no way militated against a world campaign to establish reserve 
banks in all countries. It has been alleged that the financiers in 
command of the United States Federal Reserve do not want stable 
conditions, and that the unprecedented booms and slumps since its 
establishment have been deliberately caused. It is at least certain that 
those in control of the system have raised the strongest objections to 
every one of the numerous attempts made in Congress to write an 
instruction into the law directing the Federal Reserve to use its 
tremendous powers to maintain the purchasing power of its money 
at a stable level." 12221 

In a newspaper article in the Financial Times written in 1930, Professor 
Karl Gustav CasseF 2211 of Stockholm University, Sweden remarked: 
"Practically absolute power over the welfare of the world has been 
placed in the hands of the Federal Reserve Board. And one is appalled to 
see the apparently haphazard manner in which the Board uses this 
power, how ignorant it is of the aim which ought to dictate American 
monetary policy." 12221 

Finally in this section we may pause to reflect on a thunderous speech 
given on Friday, 10 June 1932 in the United States House of 
Representatives by the former chairman of the House Banking and 
Currency Committee (1920-1931) the Honorable Louis T. McFadden. 12221 

"Mr. Chairman, we have in this country one of the most corrupt 
institutions the world has ever known. I refer to the Federal Reserve 
Board and the Federal Reserve Banks. 

The Federal Reserve Board, a Government board, has cheated the 
Government of the United States and the people of the United States 
out of enough money to pay the national debt. The depredations and 
the iniquities of the Federal Reserve Board and the Federal Reserve 

Banks acting together have cost this country enough money to pay 
the national debt several times over. This evil institution has 
impoverished and ruined the people of the United States; has 
bankrupted itself, and has practically bankrupted our Government. It 
has done this through the defects of the law under which it operates, 
through the maladministration of that law by the Federal Reserve 
Board, and through the corrupt practices of the moneyed vultures 
who control it. 

Some people think the Federal Reserve Banks are United States 
Government institutions. They are not Government institutions. They 
are private credit monopolies which prey upon the people of the 
United States for the benefit of themselves and their foreign 
customers; foreign and domestic speculators and swindlers; and rich 
and predatory money lenders. In that dark crew of financial pirates 
there are those who would cut a man's throat to get a dollar out of his 
pocket; there are those who send money into the States to buy votes 
to control our legislation; and there are those who maintain 
international propaganda for the purpose of deceiving us and of 
wheedling us into the granting of new concessions which will permit 
them to cover up their past misdeeds and set again in motion their 
gigantic train of crime. 

Those 12 private credit monopolies were deceitfully and disloyally 
foisted upon this country by bankers who came here from Europe 
and who repaid us for our hospitality by undermining our American 
institutions. Those bankers took money out of this country to finance 
Japan in a war against Russia. They created a reign of terror in Russia 
with our money in order to help that war along, instigated the 
separate peace between Germany and Russia and thus drove a wedge 
between the allies in the World War. They financed Trotsky's mass 
meetings of discontent and rebellion in New York. They paid 
Trotsky's passage from New York to Russia, so that he might assist in 
the destruction of the Russian Empire. They fomented and instigated 
the Russian Revolution and they placed a large fund of American 
dollars at Trotsky's disposal in one of their branch banks in Sweden 
so that through him Russian homes might be thoroughly broken up 
and Russian children flung far and wide from their natural 

protectors. They have since begun the breaking up of American 
homes and the dispersal of American children. 

It has been said that President Wilson was deceived by the attentions 
of these bankers and by the philanthropic poses they assumed. It has 
been said that when he discovered the manner in which he had been 
misled by Colonel House, he turned against that busybody, that 
"holy monk"of the financial empire, and showed him the door. He 
had the grace to do that, and in my opinion he deserves great credit 
for it. 

President Wilson died a victim of deception. When he came to the 
Presidency, he had certain qualities of mind and heart which entitled 
him to a high place in the councils of this nation; but there was one 
thing he was not and which he never aspired to be; he was not a 
banker. He said that he knew very little about banking. It was, 
therefore, on the advice of others that the iniquitous Federal Reserve 
Act, the death warrant of American liberty, became law in his 

Mr. Chairman, there should be no partisanship in matters concerning 
the banking and currency affairs of this country, and I do not speak 
with any. 

In 1912 the National Monetary Association, under the chairmanship 
of the late Senator Nelson W. Aldrich, made a report and presented a 
vicious bill called the National Reserve Association Bill. This bill is 
usually spoken of as the Aldrich bill. Senator Aldrich did not write 
the Aldrich bill. He was the tool, but not the accomplice, of the 
European-born [ Jewish] bankers who for nearly 20 years had been 
scheming to set up a central bank in this country and who in 1912 
had spent and were continuing to spend vast sums of money to 
accomplish their purpose. 

The Aldrich bill was condemned in the platform upon which 
Theodore Roosevelt was nominated in the year 1912, and in that 
same year, when Woodrow Wilson was nominated, the Democratic 
platform, as adopted at the Biltmore convention, expressly stated: 
"We are opposed to the Aldrich plan or a central bank."This was 
plain language.The men who ruled the Democratic Party then 

promised the people that if they were returned to power there would 
be no central bank established here while they held the reins of 
government.Thirteen months later that promise was broken, and the 
Wilson administration, under the tutelage of those sinister Wall Street 
figures who stood behind Colonel House, established here in our free 
country the worm-eaten monarchial institution of the "king's bank" 
to control us from the top downward, and to shackle us from the 
cradle to the grave. The Federal Reserve Act destroyed our old and 
characteristic way of doing business; it discriminated against our 1- 
name commercial paper^, the finest in the world; it set up the 
antiquated 2-name paper 1 ^ 1 , which is the present curse of this 
country, and which has wrecked every country which has ever given 
it scope; it fastened down upon this country the very tyranny from 
which the framers of the Constitution sought to save us. 

One of the greatest battles for the preservation of this Republic was 
fought out here in Jackson's day, when the Second Bank of the United 
States, which was founded upon the same false principles as those 
which are exemplified in the Federal Reserve Act, was hurled out of 
existence. After the downfall of the Second Bank of the United States 
in 1837, the country was warned against the dangers that might 
ensue if the predatory interests, after being cast out, should come 
back in disguise and unite themselves to the Executive, and through 
him acquire control of the government. That is what the predatory 
interests did when they came back in the livery of hypocrisy and 
under false pretences obtained the passage of the Federal Reserve 

The danger that the country was warned against came upon us and is 
shown in the long train of horrors attendant upon the affairs of the 
traitorous and dishonest Federal Reserve Board and the Federal 
Reserve Banks. Look around you when you leave this chamber and 
you will see evidences of it on all sides. This is an era of economic 
misery and for the conditions that caused that misery, the Federal 
Reserve Board and the Federal Reserve Banks are fully liable. This is 
an era of financed crime and in the financing of crime, the Federal 
Reserve Board does not play the part of a disinterested spectator. 

The people of the United States are being greatly wronged. If they are 

not, then I do not know what "wronging the people" means. They 
have been driven from their employments. They have been 
dispossessed of their homes.They have been evicted from their rented 
quarters.They have lost their children.They have been left to suffer 
and to die for the lack of shelter, food, clothing and medicine. 

The wealth of the United States and the working capital of the United 
States has been taken away from them and has either been locked in 
the vaults of certain banks and great corporations or exported to 
foreign countries for the benefit of the foreign customers of those 
banks and corporations. So far as the people of the United States are 
concerned, the cupboard is bare. It is true that the warehouses and 
coal yards and grain elevators are full, but the warehouses and coal 
yards and grain elevators are padlocked and the great banks and 
corporations hold the keys. 

The sack of the United States by the Federal Reserve Board and 
Federal Reserve Banks and their confederates is the greatest crime in 

Mr. Chairman, a serious situation confronts the House of 
Representatives today. We are the trustees of the people and the 
rights of the people are being taken away from them. 

Through the Federal Reserve Board and the Federal Reserve Banks, 
the people are losing the rights guaranteed to them by the 
Constitution. Their property has been taken from them without due 
process of law. Mr. Chairman, common decency requires us to 
examine the public accounts of the Government to see what crimes 
against the public welfare have been or are being committed. 

What is needed here is a return to the Constitution of the United 
States. We need to have a complete divorce of Bank and State. The 
old struggle that was fought out here in Jackson's day must be fought 
over again. The Independent United States Treasury should be re¬ 
established and the Government should keep its own money under 
lock and key in the building the people provided for that purpose. 
Asset currency, the device of the swindler, should be done away 

The Government should buy gold and issue United States currency 

on it. The business of the independent bankers should be restored to 
them. The State banking systems should be freed from coercion. The 
Federal Reserve districts should be abolished and state boundaries 
should be respected. Bank reserves should be kept within the borders 
of the States whose people own them, and this reserve money of the 
people should be protected so that international bankers and 
acceptance bankers and discount dealers cannot draw it away from 
them. The exchanges should be closed while we are putting our 
financial affairs in order. The Federal Reserve Act and the Federal 
Reserve Banks, having violated their charters should be liquidated 

Faithless Government officers who have violated their oaths of office 
should be impeached and brought to trial. Unless this is done by us, I 
predict that the American people, outraged, robbed, pillaged, 
insulted, and betrayed as they are in their own land, will rise in their 
wrath and send a President here who will sweep the money changers 
out of the temple." 

U.S. Congressman Louis Thomas McFadden served as Chairman of the United States House 
Committee on Banking (1920-1931). His persistent exposure of the US Federal Reserve Bank's 
"gigantic train of crime" led to his assassination on 1 October 1936. 

From the above speech, it may be noted that the concerns raised by the 
Labour Party in South Africa, during the debate on the South African 
Banking and Currency Bill, that "what had been done in the USA was 
not in the interests of the public but of the banks'' 1 ^ were fully justified. 
That the naive and foolish legislators of 1920 

allowed the South African Reserve Bank to be established as a replication 
of the US Federal Reserve Bank, which Congressman McFadden 
described as being "one of the most corrupt and evil institutions in the 
world", is a matter of deep regret and must be censured in the strongest 

Clifford Fiugh Douglas 

Clifford Hugh 

Douglas (1879-1952) was an engineer who, while working as Assistant 

Superintendent at the Royal Aircraft Factory at Farnborough, England 
during World War I, noticed that the total costs of goods were greater 
than the sums paid in lieu of wages, salaries and dividends. He decided 
to investigate this disconnect in the way money flowed through industry, 
and after collecting data from hundreds of companies found that there 
was a persistent deficit in purchasing power of consumers relative to 
total costs of production. He considered income tax to be a negative 
dividend and instead proposed the payment of a national dividend to all 
citizens, which would bridge the gap between earnings and prices. This 
dividend would provide consumers with the additional buying power 
necessary to absorb all the current production of goods in a non¬ 
inflationary manner. This forms part of Douglas's A + B theorem, viz. 

that prices are always being generated at a faster rate than incomes are 
produced, so that the total prices of all goods in the economy at any 
particular stage exceed the total buying power of consumers. Douglas's 
economic theory known as Social Credit— advocated the transfer of the 

money creation process from private banks, which create money out of 
nothing as an interest-bearing debt, to a state bank. 

C.H. Douglas. His proposals for social credit and state banking were accepted by the 
governments of Alberta, Canada and the Empire of Japan. 

Prosperity certificate issued by Social Credit Party, Alberta,1936. 

He also proposed a price adjustment mechanism called the Just Price. 
This mechanism would reduce prices by a percentage, as a consequence 
of physical efficiencies introduced into the production process through 
improvements in technology. In this manner the benefits of technology 
would flow directly to the workers and increase their standard of living. 
Douglas was very aware of the fact that these increasing technological 
advances would make the attainment of full employment an 
impossibility. 12221 Hence his insistence on the payment of a national 
dividend, which was calculated by adding to a basic income the increase 
in national production and consumption data. 

After World War I Douglas devoted the rest of his life to the promotion 
of his ideas and gave lectures in many countries, including Australia, 
Canada, Japan, New Zealand and Norway. He achieved two notable 

1. The Social Credit Party obtained control of the provincial 
government of Alberta, Canada in 1935. 

2. After a lecture tour in Japan in 1929, his policies were adopted by the 
Japanese government in 1932. 

Douglas's policies were much feared by the international bankers, and in 
the 1930s they put up a very considerable sum of £5 million 12221 in order to 
counter his highly successful programme of public enlightenment. 

Douglas had nothing but disdain for central banking and on one occasion 
while delivering a speech in Newcastle-upon-Tyne in 1937, he described 
the Bank of England as being a "mental institution." 1 ^ 

Irving Norton Fisher 

Irving Fisher (1867-1947) was a famous professor of economics at Yale 
University, who adopted a mathematical approach to resolving economic 
problems. He is well known for his utility theory, which juxtaposed the 
measurability of the utility function to demand theory. In his treatise. The 
Theory of Interest, he observed the changes in the value of goods relative 
to changes in time and interest rates. This later became known as the 
Quantity Theory of Money. Throughout his life he was active in the 
eugenics movement. 

In March 1913 Senator Robert F. Owen, chairman of the Senate Banking 
Committee, tried to introduce an alternative bill to the fraudulent 
Rothschild/Rockefeller^ banking and currency proposal. The bill would 
have allowed for the inclusion of staple commodities as part of the 
monetary base, in addition to gold and silver and would thereby have 
prevented the possibility of either inflation or deflation, and would have 
created true freedom of employment. Irving Fisher assisted Owen in the 
drafting of this bill, but was subsequently blackmailed into withdrawing 
his support. 

The following illuminating paragraph extracted from Emmanuel 
Josephson's The "Federal" Reserve Conspiracy & Rockefellers "Their Gold 
Corner" describes what transpired. 

"The conspirators determined to block the adoption of the Owen bill. 
They had Prof. Fisher summoned before the Yale officials and 
confronted with the charge that he was so 'foolish' as to advocate 
money based on commodities other than gold. He was warned, 
related Sen. Owen, that there would be no place at Yale, or in any 
other university, for anyone so 'foolish'. Prof. Fisher was keenly 
aware of the side on which 'his bread was buttered'; and was no 
more principled, unfortunately, than are the multitude of 'professors' 
prostituted to the conspirators and their foundations. He succumbed 
to the conspirators' blackmail, double crossed Sen. Owen and 

withdrew his professorial support of the honest remedial bill that he 
had helped draft. In its place. Prof. Fisher announced his advocacy of 
what he mockingly labeled a 'commodity' dollar the value of which 
was to be determined by a 'gold index', that would block stabilisation 
of the economy by making speculative the value of commodities, of 
gold and of the dollar, and would enhance the power of the 
conspirators to manipulate, or 'manage', the economy to enable them 
more readily to swindle the nation. The coup de grace was given to 
Sen. Owen's honest, stabilizing currency and banking bill by its flat 
and categoric rejection by Pres. Wilson." 12221 

Having relented after his previous betrayal of Senator Owen's efforts to 
amend the Currency and Banking Bill, in 1920 Fisher published a book 
Dollar Stabilisation Z 2221 which contained what later became known as the 
Chicago Plan. 12221 The plan was privately issued as a six page 
memorandum and distributed to 40 individuals on 16 March 1933. It 
advocated that the state should create the nation's money supply and 
that private banks should operate as full reserve banks. Using 
mathematical principles, Fisher was able to prove that full employment 
would be the result, business cycles would be abolished and inflation 
would be reduced and remain at zero. 

Illusion and reality - unemployment line Chicago 1937. 

In August 2012 two researchers at the International Monetary Fund, 

Jaromir Benes and Michael Kumhoff produced The Chicago Plan Revisited. 
They found that every one of Fisher's findings was 100% correct. Their 
conclusion is cited in full. 

Professor Irving Fisher's Chicago Plan of 1933, which proposed full reserve banking, was 
endorsed by researchers from the International Monetary Fund in 2012. 

"This paper revisits the Chicago Plan, a proposal for fundamental 
monetary reform that was put forward by many leading U.S. 
economists at the height of the Great Depression. Fisher (1936), in his 
brilliant summary of the Chicago Plan, claimed that it had four major 
advantages, ranging from greater macroeconomic stability to much 
lower debt levels throughout the economy. In this paper we are able 
rigorously to evaluate his claims, by applying the recommendations 

of the Chicago Plan to a state-of-the-art monetary DSGE 1 ^ 1 model that 
contains a fully micro-funded and carefully calibrated model of the 
current U.S. financial system. The critical feature of this model is that 
the economy's money supply is created by banks, through debt, 
rather than being created debt-free by the government. 

"Our analytical and simulation results fully validate Fisher's (1936) 
claims. The Chicago Plan could significantly reduce business cycle 
volatility caused by rapid changes in banks' attitude towards credit 
risk,it would eliminate bank runs,and it would lead to an 
instantaneous and large reduction in the levels of both government 
and private debt. It would accomplish the latter by making 
government-issued money, which represents equity in the 
commonwealth rather than debt, the central liquid asset of the 
economy, while banks concentrate on their strength, the extension of 
credit to investment projects that require monitoring and risk 
management expertise. We find that the advantages of the Chicago 
Plan go even beyond those claimed by Fisher. 

One additional advantage is large steady state output gains due to 
the removal or reduction of multiple distortions, including interest 
rate risk spreads, distortionary taxes, and costly monitoring of macro- 
economically unnecessary risks. Another advantage is the ability to 
drive steady state inflation to zero in an environment where liquidity 
traps do not exist, and where monetarism becomes feasible and 
desirable because the government does in fact control broad 
monetary aggregates. This ability to generate and live with zero 
steady state inflation is an important result, because it answers the 
somewhat confused claim of opponents of an exclusive government 
monopoly on money issuance, namely that such a monetary system 
would be highly inflationary. There is nothing in our theoretical 
framework to support this claim. And as discussed in Section II, there 
is very little in the monetary history of ancient societies and Western 
nations to support it either." 1 ^ 1 

Chapter VI 

The Rise and Fall of State 
Banking (1932-1945) 

" You are aware that the gold standard has been the ruin of the States 
which adopted it, for it has not been able to satisfy the demands for 
money, the more so that we have removed gold from circulation as far as 

- Protocol No. 20 l2m 

"I next argued that the gold standard, the fixing of rates of exchange and 
so forth were shibboleths which I had never regarded and never would 
regard as weighty and immutable principles of economy. Money, to me, 
was simply a token of exchange for work done, and its value depended 
absolutely on the value of the work accomplished. Where money did not 
represent services rendered, I insisted, it had no value at all". 

- Adolf Hitler 12221 

Reichsbank: The State Bank of National Socialist Germany 

Out of the world-wide chaos and economic havoc of the 1930s, which 
had been induced by the Rothschild controlled/owned central banks, 
three phoenixes would arise. 

In May 1919 an insignificant soldier attended a lecture given by a former 
construction engineer turned economist. Dr. Gottfried Feder (1883-1941) 
entitled The Abolition of Interest Servitude. 1 — 

The purpose of this course of lectures was to provide the soldiers with a 
background in politics and economics, which would enable them to 
monitor the many revolutionary and political movements active in 
Munich at that time. The following quotations taken from Mein Kampf— 
reveal the decisive influence that Feder would have on Adolf Hitler's 

"For the first time in my life I heard a discussion which dealt with the 
principles of stock exchange capital and capital which was used for 
loan activities. After hearing the first lecture delivered by Feder, the 
idea immediately came into my head that I had found a way to one of 
the most essential prerequisites for the founding of a new party. 

"To my mind, Feder's merit consisted in the ruthless and trenchant 
way in which he described the double character of the capital 
engaged in stock exchange and loan transactions, laying bare the fact 
that this capital is ever and always dependent on the payment of 
interest. In the fundamental questions his statements were so full of 
common sense that those who criticized him did not deny au fond that 
his ideas were sound, but they doubted whether it be possible to put 
these ideas into practice. To me this seemed the strongest point in 
Feder's teaching, though others considered it a weak point." 12111 

And again, 

"I understood immediately that here was a truth of transcendental 
importance for the future of the German people. The absolute 
separation of stock exchange capital from the economic life of the 
nation would make it possible to oppose the process of 
internationalization in German business without at the same time 
attacking capital as such, for to do this would be to jeopardize the 
foundations of our national independence. I clearly saw what was 
developing in Germany, and I realised then that the stiffest fight we 
would have to wage would not be against the enemy nations but 
against international capital. In Feder's speech I found an effective 
rallying-cry for our coming struggle." 12121 

Gottfried Feder (1883-1941). He drafted all the NSDAP's financial policies, but later fell out with 
Hitler over his lack of support for the latter's synthetic oil from coal project. 

A few weeks later Hitler received an instruction from his military 
superiors to investigate a political association called the Deutsche 
Arbeiterpartei (German Workers Party). At this meeting held on 12 
September 1919 in the Sterneckerbrau Inn in Munich, about 20 to 25 
persons were present. The main speaker was Gottfried Feder. Shortly 
thereafter Hitler joined this party and received a provisional certificate of 
membership numbered seven. His first act on assuming control of the 
party was to rename it the Nationalsozialistische Deutsche Arbeiterpartei 
(National Socialist German Workers Party). 

Feder, who was the principal drafter of the party's 25 points, became the 
architect and theoretician of the programme. In July 1933 he was 
appointed Under Secretary of State for Economic Affairs and in 1934 
Reichskommissar (Reich Commissioner). 

Monetary reform was the very essence of National Socialism as is 
revealed in the following extracts taken from The Program of the NSDAP, 
The National Socialist German Workers' Party and its General Conceptions 12121 
published in Munich in 1932. 

Adolf Hitler prints its two main points in leaded type: 

The Common Interest Before Self 
- The Spirit of the Program 

Abolition of the Thralldom of Interest 

- The Core of National Socialism. 

Once these two points are achieved, it means a victory of their 
approaching universalist ordering of society in the true state over the 
present-day separation of state, nation and economics under the 
corrupting influence of the individualist theory of society as now 
constructed. The sham state of today, oppressing the working classes and 
protecting the pirated gains of bankers and stock exchange speculators, is 
the area for reckless private enrichment and for the lowest political 
profiteering; it gives no thought to its people, and provides no high 
moral bond of union. The power of money, most ruthless of all powers, 
holds absolute control, and exercises corrupting, destroying influence on 
state, nation, society, morals, drama, literature and on all matters of 
morality, less easy to estimate. 12111 

"Break down the thralldom of interest is our war cry. 12 ^ What do we 
mean by the thralldom of interest? The landowner is under this 
thralldom, who has to raise loans to finance his farming operations, 
loans at such high interest as almost to eat up the results of his 
labour, or who is forced to make debts and to drag the mortgages 
after him like so much lead. So is the worker, producing in shops and 
factories for a pittance, whilst the shareholder draws dividends and 
bonuses which he has not worked for. So is the earning middle class, 
whose work goes almost entirely to pay the interest on bank 
overdrafts. 12 ^ 1 

"Thralldom of interest is the real expression for the antagonisms, 
capital versus labour, blood versus money, creative work versus 
exploitation. The necessity of breaking this thralldom is of such vast 
importance for our nation and our race, that on it alone depends our 
nation's hope of rising up from its shame and slavery; in fact the 
hope of recovering happiness, prosperity and civilisation throughout 
the world. It is the pivot on which everything turns; it is far more 
than mere necessity of financial policy. Whilst its principles and 
consequences bite deep into political and economic life, it is a leading 
question for economic study, and thus affects every single individual 
and demands a decision from each one: Service to the nation or 
unlimited private enrichment. It means a solution of the Social 
Question. 12 ^ 

"Our financial principle: Finance shall exist for the benefit of the 
state; the financial magnates shall not form a state within the state. 
Hence our aim to break the thralldom of interest. 

"Relief of the state, and hence of the nation, from its indebtedness to 
the great financial houses, which lend on interest. 

"Nationalisation of the Reichsbank and the issuing houses, which 
lend on interest. 

"Provision of money for all great public objects (waterpower, 
railroads etc), not by means of loans, but by granting non-interest 
bearing state bonds and without using ready money. 

"Introduction of a fixed standard of currency on a secured basis. 

"Creation of a national bank of business development (currency 
reform) for granting non-interest bearing loans. 

"Fundamental remodelling of the system of taxation on socio¬ 
economic principles. Relief of the consumer from the burden of 
indirect taxation, and of the producer from crippling taxation (fiscal 
reform and relief from taxation.)^ 

"Wanton printing of bank notes, without creating new values, means 
inflation. We all lived through it. But the correct conclusion is that an 
issue of non-interest bearing bonds by the state cannot produce 
inflation if new values are at the same time created. 

"The fact that today great economic enterprises cannot be set on foot 
without recourse to loans is sheer lunacy. Here is where reasonable 
use of the state's right to produce money which might produce most 
beneficial results." 12 ^ 

On 30 January 1933 the National Socialists were swept to power 12 ^ by 
means of a coalition or Regierung der Nationalen Konzentration 
(Government of National Concentration) with the Deutschnationale 
Volkspartei (German National People's Party). A somewhat attenuated 
version of monetary reform was introduced. In order to finance the 
state's work and rearmament programmes, two dummy corporations 
called Gesellschaft fur Offentliche Arbeiten (Offa) and Metallforschung 
Gesellschaft (Mefo) were established. These corporations accepted bills of 
exchange from suppliers who fulfilled state orders. These bills of 
exchange were then discounted at the Reichsbank at a rate of 4%. They 
were issued for three months only, which was clearly unsatisfactory in 
view of the long term nature of the various projects they were financing. 
They could, however, be extended at three monthly intervals for up to 
five years. 

In January 1939 matters came to a head when the President of the 
Reichsbank, Hjalmar Schacht, refused extension of three billion 
Reichsmarks worth of Offa and Mefo bills, because of fears of "inflation". 
On 7 January 1939 Schacht sent Hitler a memorandum signed by himself 
and the eight other board members of the Reichsbank, which contained 
the following main points. 

1. The Reich must spend only that amount covered by taxes. 

2. Full financial control must be returned to the Ministry of Finance. 
(Then forced to pay for anything the army desired.) 

3. Price and wage control must be rendered effective. The existing 
mismanagement must be eliminated. 

4. The use of money and investment markets must be at the sole 
discretion of the Reichsbank. (This meant a practical elimination of 
Goring's Four Year Plan)."^ 

Schacht concluded his memorandum with the ambiguous words: "We 
shall be happy to do our best to collaborate with all future goals, but for 
now the time has come to call a halt."— By these means Schacht 
intended to collapse the German economy,^ which during the period 
1933-39 had increased its Gross National Product by 100 percent. From 
being a ruined and bankrupt nation in January 1933 with 7,500,000 
unemployed persons,— Hitler had transformed Germany into a modern 
socialist paradise. He was justifiably angry and rejected the 
recommendations of the Reichsbank as "mutiny".^ 1 Two weeks later 
Schacht was sacked. Roger Elletson describes this momentous event as 
follows: "On 19 January 1939, Schacht was summarily dismissed, and the 
Reichsbank was ordered to grant the Reich all credits requested by 
Hitler. This decisive action essentially emasculated both the Reichsbank's 
control over domestic monetary policy, and the German power base of 
international Jewry. It had the effect of removing from Jewish bankers 
the power to deflate and destroy the German economy. 

Excluding the implications of the interest rate paid on the MEFO bills, 
Germany could now be viewed as being on a "Feder System", rather 
than a "Schacht System". The Reichsbank effectively became an arm of 
the government, with the only real change being in the fact that bills 
were now monetised, or discounted, under the auspices of the State 
rather than some Jewish lackey in the Reichsbank presidency."— Thus 
only in January 1939 did the Reichsbank become an authentic State Bank. 
Schacht's dismissal also terminated the transfer of confidential 
information regarding all Germany's economic developments,— which 
he had been deviously giving without interruption to Montagu Norman, 
— a fellow mason and Governor of the Bank of England (1920-44). 

A new Reichsbank law, which was promulgated on 15 June 1939, made 

the bank "unconditionally subordinated to the sovereignty of the 
state." 12221 

Article 3 of the law decreed that the bank, renamed the Deutsche 
Reichsbank, should be "directed and managed according to the 
instructions and under the supervision of the Fiihrer and 
Reichschancellor." 12221 

Hitler was now his own banker, but having departed from the fold of 
international swindlers and usurers he would, like Napoleon Bonaparte, 
who in 1800 had established the Banque de France as a state bank, suffer 
the same fate; an unnecessary war followed by the ruination of his 
people and country. It was this event which triggered World War II - the 
realisation by the Rothschilds that universal replication of Germany's 
usury-free state banking system would permanently destroy their evil 
financial empire. In order to provide the Poles with a free hand, which 
would enable them to antagonise and provoke the Germans, a deceitful 
and worthless offer to guarantee 12211 Poland's sovereignty was given by 
Great Britain on 31 March 1939. 

During the next five months the Polish government progressively 
intensified the oppression, harassment of and attacks on the remaining 
1.5 million ethnic Germans living in Poland. These attacks. [262] in which 
over 58,000 German civilians were killed by Poles in acts of wanton 
savagery, culminated in the Bromberg massacre on 3 September 1939, in 
which 5,500 people were murdered. Initially, these provocations and 
atrocities were stoically ignored. Eventually Hitler was compelled to 
employ military intervention in order to protect the Germans in Poland. 
On 30 August 1939, in an act of great statesmanship. Hitler again offered 
to the Polish government the Marienwerder proposals. 12221 The four main 
proposals were as follows: 

Foreign journalists bear witness to murdered Volksdeutscher. Between March and August 1939 
the Polish terrorised and murdered tens of thousands of local German civilians, not only in 

Poland, but also in East Prussia. 

1. Retention of the existing 1919 borders as determined by the Treaty of 

2. The return of Danzig (pop. 370,000) to Germany which was 97% 

3. Construction of a 60 mile (96 km) autobahn and rail link connecting 
West and East Prussia, from Schonlanke to Marienwerder. 

4. An exchange of German and Polish populations. 

On the orders of the international bankers, the British Foreign Secretary, 
Lord Edward Wood Halifax, strongly advised the Polish government not 
to negotiate.— This is how and why World War II was started and 
disposes of the canard of German culpability. From 1939 onwards, 
although Germany made at least 28 known attempts at peace without 
conditions, they were all refused. The ensuing forced war resulted in 
victory for the international financiers and defeat and slavery for the 
people of Europe and indeed the world. In Europe this enslavement was 
finally achieved with the establishment of the Rothschild controlled 
European Central Bank on 1 June 1998 and the introduction of the euro 

on 1 January 1999. 

Achievements of the German State Banking System 

One of the primary benefits which state banking and monetary reform 
conferred on the German people was the provision of adequate housing. 
During the period 1933-37 1,458,178 new houses were built to the highest 
standards of the time.— Each house could not be more than two stories 
high and had to have a garden. The building of apartments was 
discouraged and rental payments on housing were not permitted to 
exceed RM25 per month or 1/8 of the income of an average worker. 
Employees earning higher incomes paid a maximum of RM45 per month. 

Interest free loans of RM1,000 (about five months of gross pay) known as 
Ehestanddarlehen (marriage loans) were paid in certificates to newly-wed 
couples to finance the purchase of household goods. The loan was 
repayable at 1% per month, but for each child born 25% of the loan was 
cancelled. Thus if a family had four children, the loan would have been 
considered repaid in full. The same principle was applied in respect of 
home loans, which were issued for a period of ten years at a low rate of 
interest. The birth of each child also resulted in cancellation of 25% of the 
loan.^ Education in schools, technical colleges and universities was free, 
while the universal health care system provided everyone with free 
medical care.— 

The People's Car - Adolf Hitler visits the "Volkswagen" factory in Wolfsburg, 1938. Tire proposed 
name of the new town was Hitlerstadt, but Hitler demurred prefer-ring his pseudonym Wolf 


By September 1939 the Reichsautobahn covered 2,400 miles (3,862 km). It was aesthetically 
designed to serve not only a utilitarian purpose, but to provide the motorist with scenery and 

striking views. 

During the period 1933-37 imports increased by 31.0% from RM4.2 
billion to RM5.5 billion,while exports,particularly to south east Europe, 
rose by 20.4% from RM4.9 billion to RM5.9 billion. This increased trade is 
reflected in the 76.9% rise in inland shipping from 73.5 to 130.0 million 
tons conveyed and the 69.4% rise in ocean shipping from 36 million to 61 
million tons transported. During this period trade was greatly enhanced 
by barter, which bypassed the international payments system and the 
requirement of having to pay commission and interest on bills of 
exchange. By the late 1930's 50% of all foreign trade was being conducted 
by means of barter transactions using offset accounting.There were 25 
countries, mainly located in the Balkans and Latin America, participating 
in such barter agreements. In the same period expenditure on roads and 
in particular the Reichsautobahn, of which 2,400 miles (3,862km) were 
completed by September 1939, rose by 229.5% from RM440 million to 
RM1.45 billion. This construction, which besides having symbolic value 
representative of the new Germany, was necessary in order to 
accommodate the substantial increase in licensed vehicles, which rose by 
425% from 41,000 to 216,000 vehicles and the even higher increase of 
622% in licensed commercial vehicles from 7,000 to 50,600. 

Between 1932 and 1938 iron ore production increased by 45.4% from 
843,000 to 1,226,000 tons. German ores contained only 25% iron as 
opposed to the superior iron content of the Swedish ores, which they 
could not afford. This difficulty was overcome with the Krupp-Renn 
process which produced high quality steel. Between 1932 and June 1939 
the index of coal production rose by 85.5% from 69 to 128, while the 
energy index rose during the same period by 76.0% from 75 to 132.^ 

"Wilhelm Gustloff" (25,484 gross tons) named after the leader of the German National Socialists 
living in Switzerland. As part of the Kraft durch Freude (Strength through Joy) programme, 
German workers earning less than RM300 a month were able to embark on cruises to exotic 
destinations. However, these cruise ships were forbidden entry into British ports for fear of 
creating unrest and envy amongst deprived and unemployed British workers. The Wilhelm 
Gustloff, while carrying Lithuanian, Latvian, and Polish refugee children, sank after being hit by 
Russian torpedoes on 30 January 1945, with the loss of over 9,000 lives. 

Interior of the "Wilhelm Gustloff". 

As a result of all this heightened and ever increasing economic activity, 
unemployment, which stood at 30.1% in 1933, had been reduced to 
almost zero by July 1939,^ and retired workers had to be enticed back to 
the labour market in order to make up for the shortage of skilled 
workers. In contrast the unemployment rate in the United States, which 
had stood at 25.1% in 1933, had according to the National Industrial 
Conference Board declined only marginally to 19.8% by January 1940;^ 
a situation which may be attributed to the irrational but nonetheless 
deliberate policies of the Rothschild controlled Federal Reserve Bank and 
the parasitic private banking sector. 

National income in Germany rose by 43.8% from RM45.2 billion to RM65 
billion between 1932 to 1937, while between 1932 and June 1939 the index 
of producers goods increased by 219.6 % from 46 to 14 7 ^ yet the cost of 
living advanced by only 4% or less than 1% per annum, a rate which 
would be achieved throughout the 12 years of state banking under 
national socialism. The German monetary policy "was non-inflationary 
because government expenditures, which increased the level of 
consumer demand, could in turn elicit a correspondingly increased 
quantity of disposable consumer goods." 12220 

By 1939 Germany had become the most powerful country in the history 
of Europe. Its Gross Domestic Product at an annual average growth rate 
of 11% per annum had doubled in the short space of six years of quasi¬ 
state banking. The Germans were now the happiest and most prosperous 
people in the world, fully employed and enjoying one of the highest 
standards of living. This success was achieved by the hard work of the 
German people and with the support of an honest money system not 
based on usury or the gold standard. One of the myths propagated by 
establishment historians is that Germany's economic renaissance was 
based on armaments production. The following table reveals modest 
levels of defence expenditure which only picked up in 1938/1939 when 
Germany started to feel threatened by her neighbours. 


Defence Expenditure RM 

National Income 


1.9 billion 



1.9 billion 



4.0 billion 



5.8 billion 



8.2 billion 



18.4 billion 


Source: Deutsche Reichsbank 

Even expenditure of 22% of national income on defence just before 
World War II started may be deemed as not being too excessive, when 
one bears in mind that Germany's borders possess few natural 
boundaries and at that time she was surrounded by hostile neighbours - 
Czechoslovakia, France and Poland. Germany also had to replenish the 
armaments, which she had been forbidden to possess in terms of the 
Treaty of Versailles. The English historian, A J P Taylor, writes that "The 
state of German armament in 1939 gives the decisive proof that Hitler 
was not contemplating general war, and probably not intending war at 

a ll/'[273] 

Post World War II Developments 

In May 1945 the Deutsche Reichsbank ceased operations, although its 
affairs were only wrapped up in 1961, and was succeeded in the western 
half of the country by the Bank deutscher Lander (Bank of German States) 
on 1 March 1948. This bank introduced the Deutsche Mark on 21 June 
1948 and later became known as the Deutsche Bundesbank which was 
established on 26 July 1957. Although legally independent and modelled 
on the US Federal Reserve Bank, the Bundestag or Federal parliament 
exerted considerable control and influence over its policies, and it was 
not as fully independent during that time as most central banks are 

During 2001 as a result of its membership of the European Central Bank, 
the Deutsche Bundesbank ceded most of its authority to that 
organisation.Its remaining responsibilities, which are shared with the 
ECB, are the issuing of bank notes, managing the clearing house, bank 
supervision and management of currency reserves. The principal 
objective of the ECB as laid down in Article 127 (1) of the Treaty on the 
Functioning of the European Union, is to maintain price stability. This 
obsession is largely responsible for the record levels of unemployment 
and low levels of growth in GDP currently being experienced, and the 
ongoing collapse in the birth rate. 

The ECB was established on 1 January 1998 and formally became 
operational on 1 January 1999 with the introduction of the Euro. This 
Rothschild controlled bank is ironically situated at Kaiserstrasse 29, 
Frankfurt am Main, not too far from the Judengasse ( Jews' Lane) where 
Mayer Amschel Rothschild and his brother Kalman set up a shop 
peddling coins and medals in the 1780s. For those 18 countries which 
have foolishly adopted the Euro and joined the ECB, their subjugation 
and enslavement are a fait accompli. 

Fascist Italy 

On 28 October 1922 Benito Mussolini and his National Fascist Party came 
to power. Fascism should more appropriately be described as 
corporatism, as it symbolised a merger of state and corporate power. In 
1936 the Chamber of Deputies was replaced by a National Council of 
Corporations with 823 representatives from industry, labour and the 
states, who guided industry and settled labour disputes. In the 1920s by 
means of deficit spending a programme of public works was instituted, 
which was unrivalled in modern Europe at that time. Bridges, canals, 
autostrada of 2,485 miles (4,000km), hospitals, schools, railway stations 
and orphanages were built. Forests were planted and universities were 
endowed.— The Pontine marshes were drained and 310 square miles 
(802 were reclaimed.— As part of the program of national self- 
sufficiency or autarky, agriculture was subsidised and regulated. 

Mussolini inspects progress on the draining of the Pontine Marshes - one of his engineering 
triumphs which transformed this region into a thriving agricultural area. 

The State Bank of Italy 

In 1926 Mussolini first intervened in the banking sector by granting the 
Banca dTtalia jurisdiction over the issue of bank notes and the 
management of minimum requirements for bank reserves, including 
gold. This formed part of his policy of using Italian fascism "primarily to 
create an autarkic state not subject to the vagaries of world trade and 
finance."— In 1927 Italy received a loan from JP Morgan of $100 million 
to meet a special emergency. Thereafter Mussolini refused "to negotiate 
or accept any more foreign loans", as "he was determined to keep Italy 
free from financial subservience to foreign banking interests."— 

In 1931 the State arrogated to itself the right to supervise all major banks 
by means of the Istituto Mobiliare Italiano (Institute of Italian Securities). In 
1936 the process was completed when, by means of the Atto Reforma 
Bancaria (Banking Reform Act), the Banca dTtalia and the major banks 
became state institutions.— The Banca dTtalia was now a fully fledged 
state bank which had the sole right to create credit out of nothing and 

advance it for a nominal fee to other banks. Limits on state borrowing 
were lifted (as was the case with the Bank of Japan see infra ) and Italy 
abandoned the gold standard. 

The State Bank of Japan 

The Bank of Japan or Nippon Ginko was founded on 10 October 1882. 
Although the Japanese Imperial Household was the largest shareholder, 
it functioned as a typical central bank, i.e. for the benefit of private banks 
to the detriment of the public interest. 

In 1929 C.H. Douglas, whose system of social credit has been previously 
discussed,went on a lecture tour of Japan.His proposals for allowing 
government to create the nation's money and credit free of interest were 
enthusiastically received by the leaders of both the Japanese government 
and industry. All Douglas's books and pamphlets were translated into 
Japanese, and more copies were sold in that country than in the rest of 
the world.— 

The reorganisation of the Bank of Japan into a state bank administered 
exclusively for the accomplishment of national interests was commenced 
in 1932. The reform of the bank was completed in 1942 when the Bank of 
Japan Law was remodelled on Germany's Reichsbank Act of January 
1939 [mo] phg b an p operated in the following manner: 

"It declared that the Bank was a special corporation of a strongly 
national nature.The Bank was 'to assume the task of controlling 
currency and finance and supporting and promoting the credit 
system in conformity with policies of the state to ensure the full use 
of the nation's potential.' Further, it was 'to be managed with the 
accomplishment of national aims as its sole guiding principle' 
(Article 2). As for the functions of the Bank, the law abolished the old 
principle of priority for commercial finance, empowering it to 
supervise facilities for industrial finance. The law also authorised the 
Bank to make unlimited advances to the government without 
security, and to subscribe for and to absorb government bonds. In 
respect of note-issues the law made permanent the system of the 
maximum issues limit; thus, the Bank could make unlimited issues to 
meet the requirements of munitions industries and of the 

government. On the other hand, government supervision of the Bank 
was markedly strengthened. The government could nominate, 
superintend and give orders to the president and the directors; there 
was also a clause giving the government more comprehensive 
powers to give so-called 'functional orders' to the bank, to direct it to 
perform any function it deemed necessary for the attainment of the 
Bank's purpose. Moreover, the law made a wide range of the Bank's 
business subject to governmental approval, including such matters as 
the alteration of bank rate, note-issues and accounts. ' ,[2M1 

Japan had been experiencing the same traumatic difficulties caused by 
the artificially created Great Depression. However, the conversion from a 
central to a state banking methodology produced results which were 
both swift and sustained. 

Economic Indices of Japan 1931-41 


All Industries 

National Income 

























































Source: Statistics Department, Bank of Japan 

The above table illustrates the progressive improvement which took 
place in the Japanese economy, once the shackles of usury had been 
removed. During the 1931-41 period manufacturing output and 
industrial production increased by 140% and 136% respectively, while 
national income and Gross National Product were up by 241% and 259% 
respectively. These remarkable increases exceeded by a wide margin the 
economic growth of the rest of the industrialised world. In the labour 
market unemployment declined from 5.5% in 1930 to 3.0% in 1938. 

Industrial disputes decreased with the number of stoppages down from 
998 in 1931 to 159 in 1941. 

By the late 1930s Japan had become the leading economic power in East 
Asia and her exports were steadily replacing those of America and 
England. In August 1940 Japan announced the formation of the Greater 
East Asian Co-prosperity Sphere.^ 

Japan's challenge to US and European car manufacturers - The small Datsun automobile was to 
sell for less than the lowest priced US or UK cars and was in trial order stage for India, 
Czechoslovakia, and Great Britain. Prince Chichbe, brother to Emperor Hirohito, is shown seated 
in the car at the Japanese Industrial Association Plant in Yokohama in December 1934. 

The fear that these countries would adopt Japan's state banking methods 
posed such a serious threat to the Rothschild owned and controlled US 
Federal Reserve Bank, that a war was deemed to be the only means of 
countering it. 

How Japan Was Forced into World War II 

From July 1939 relations with America rapidly deteriorated after the USA 
unilaterally abrogated the Treaty of Commerce of 1911 and thereby 
restricted Japan's ability to import essential raw materials. These 

measures were imposed avowedly because of the war in China and were 
followed in June 1940 by an aviation fuel embargo and a ban on the 
export of iron and steel to Japan in November 1940. On 25 July 1941 all 
Japanese assets in England, Holland and America were frozen after 
Japan, with the permission of Vichy France, had peacefully occupied 
Indochina, in order to block off China's southern supply routes, and all 
trade between Japan and America was summarily terminated. At the 
same time President Franklin D. Roosevelt closed the Panama Canal to 
all Japanese shipping, and a rubber and oil embargo was enforced, which 
resulted in the latter case, of the loss of 88% of all supplies. Without oil 
Japan could not survive. 

General Hideki Tojo, Prime Minister (October 1941 - July 1944) explains 
in his diary how the United States continually thwarted Japanese efforts 
at maintaining peace. Japan's peaceful commercial relations were being 
persistently undermined by the USA and posed a grave threat to her 
future existence. By means of the economic blockade a noose was being 
placed around Japan's neck. Not only were the United States, England, 
China and Holland encircling Japan through economic pressures, but 
naval forces throughout the region in the Philippines, Singapore and 
Malaya were being redeployed and strengthened. American battleships 
were observed steaming through the seas surrounding Japan. An 
American admiral claimed that the Japanese fleet could be sunk in a 
couple of weeks, while British Prime Minister Churchill declared that 
England would join America's side within 24 hours. 

General Tojo wrote: "Japan attempted to circumvent these dangerous 
circumstances by diplomatic negotiation, and although Japan heaped 
concession upon concession, in the hope of finding a solution through 
mutual compromise, there was no progress because the United States 
would not retreat from its original position. Finally, in the end, the 
United States repeated demands that, under the circumstances, Japan 
could not accept: complete withdrawal of troops from China, repudiation 
of the Nanking government, withdrawal from the Tripartite Pact." ^ 

Numerous diplomatic initiatives were made by Japan, including the offer 
of a summit on 8 August 1941, but they all failed. By 2 December 1941 
Japan had been cut off from 75% of her normal trade by the Allied 
blockade and thus found herself forced into attacking America in order 

to maintain her prosperity and to secure her existence as a sovereign 
nation. The uncompromising and unrelenting pressure applied by the 
usurers in New York had deliberately provoked Japan into taking 
retaliatory action. 

Post World War II Developments 

Following Japan's defeat one of the first acts of the United States 
occupation forces in Japan in September 1945 was to restructure the 
Japanese banking system, so as to make it compliant with the norms of 
the international bankers i.e. usury. The unrestricted financing of the 
state by the Bank of Japan was abolished and the large industrial 
combines, the Zaibatsu, were dismantled. This policy was carried out by 
Joseph Dodge, a Detroit banker, who was financial adviser to the 
Supreme Allied Commander, General Douglas MacArthur. The Ministry 
of Finance was, however, able to retain a measure of control over the 
banking system and in particular monetary policy. In 1988 Japan was 
adversely affected by its compliance with the Basel I regulations, which 
obliged the Bank of Japan to raise the minimum capital requirements of 
its risk-related assets from 2% to 8%. This action precipitated an on-off 
recession which has lasted for the past 29 years. 

In April 1998 the Ministry of Finance was forced by law to yield to the 
independent Bank of Japan. Since that time the Bank of Japan has 
functioned as a typical Rothschild controlled central bank, which seldom 
performs its duties in the best interests of the Japanese people. 

Chapter VII 

Modern Forms of State Banking 

Banking was conceived in iniquity and was born in sin. The bankers 
own the earth. Take it away from them, but leave them the power to 
create deposits, and with a flick of the pen they will create enough 
deposits to buy it back again. However, take it away from them, and all 
the great fortunes like mine will disappear and they ought to disappear, 
for this would be a happier and better world to live in. But, if you wish 
to remain the slaves of the bankers and pay the cost of your own slavery, 
let them continue to create deposits ." 

- Sir Josiah Stamp former director of the Bank of England 

Bank of North Dakota 12 ^ 

In 1919, the 48 states of the United States were offered the opportunity of 
setting up their own state banks. North Dakota was the only state which 
accepted this offer. 

North Dakota, capital Bismarck, has a population of 790,000. It is situated 
in the middle of America on the Canadian border. Notwithstanding its 
harsh winters, its primary source of both direct and indirect income is 
agriculture. It ranks first in the United States in the production of wheat, 
mainly durum,^ barley, canola, flaxseed, oats and sunflower seeds. 
Shale oil obtained by fracking in the Bakken basin and lignite are the 
state's principal mining products. 

Most of the states of America are technically insolvent, and with the 
exception of North Dakota and her western neighbour Montana, all have 
been experiencing budget deficits. By way of comparison California, the 
largest state in economic terms and currently the world's twelfth largest 
economy, had a deficit of just under $23 billion in April 2013 and pays 
out $10.4 billion in interest annually.In 2012 its bond debt amounted to 
$167.9 billion. In contrast to the other 49 states, which have been 
suffering rising levels of unemployment. North Dakota's unemployment 

rate has decreased and is currently the lowest in the USA at 2.7%. It also 
has the lowest default rates in the country. 

In September 2012 North Dakota had a budget surplus of $1.6 billion. 
Between 1997 and 2010 its GDP grew by 93.4% from $16 billion to $31 
billion. During the period 2000-11 personal income per capita increased 
by 127% from $20,155 to $45,747, while the national increase was 37.4% 
over the same period. 

The secret of its success lies in its state bank. The mission statement of the 
bank is to provide sound financial services that promote agriculture, 
commerce and industry. By law the state must deposit all its funds in the 
bank, which pays a competitive rate of interest to the state treasurer. 

The bank pays over all its profits to the state, which in 2011 were $60 
million. Over $450 million has been paid to the state in the past 11 years. 
Most of these funds are used to offset taxes. The bank also provides a 
secondary market for real estate loans, guarantees for new business 
ventures and loans for farmers at an interest rate of 1% per annum. There 
has been no credit crisis or credit freeze in North Dakota, as the bank 
provides the state's own credit. By having established its own economic 
sovereignty. North Dakota has become the most financially viable and 
prosperous state in the USA. 

In 2015 the North Dakota Legislative Assembly established a Bank of 
North Dakota Infrastructure Loan Fund programme which made $50 
million in funds available to communities with a population of less than 
2,000, and $100 million available to communities with a population 
greater than 2,000. These loans have a 2% fixed interest rate of return and 
a term of up to 30 years. The proceeds can be used for the new 
construction of water and treatment plants, sewer and water lines, 
transportation infrastructure and other similar needs to support new 
growth in a community. 

North Dakota's thriving state bank which was founded by a coalition of farmers in 1919. 

While state banking will not resolve the financial impasse being 
experienced at national level, state banks in the USA have the potential to 
provide considerable relief at state government level - budget surpluses, 
lower taxes, less unemployment and higher levels of prosperity. As at 
December 2016 there were 25 states considering some form of state 
banking legislation. 1 ^ 1 

The States of Guernsey 

In 1815 after the Napoleonic wars had ended, Guernsey was in a 
precarious state. Its roads were in disrepair, the dykes were collapsing 
and the economy had slumped. The island was unable to borrow money 
as it could not raise the taxes to pay the required interest. In 1816 in order 
to fund public works and a new market place, the Committee of the 
States of Guernsey devised a novel solution. It issued £6,000 in one 
pound notes free of debt and interest. Within two years all the works had 
been completed without any addition to the state debt.— 

The Old Market Place, St Peter Port, Guernsey was financed in 1816 by the issue of £6,000 in 

interest free and debt free bank notes. 

A further £5,000, some of them in denominations of five pound notes, 
were authorised in 1824 to rebuild the Elizabeth College, founded by 
Queen Elizabeth I in 1563, and parochial schools. By 1837 £55,000 were in 
circulation. The island experienced increased trade and tourism and 
levels of prosperity not previously seen. 

In 1914 The States notes issued had increased to £142,000. In 1937 the 
figure was £175,000. The cost of printing these notes was £450 compared 
to an annual interest charge of £11,383 per annum (6.5%). By 1958 there 
were £542,765 in existence. Currently there are £43.8 million in 
circulation. 12 ^ Today Guernsey has a population of 65,400 which enjoys 
one of the highest standards of living in the world. There is a flat income 
tax rate of 20% on world-wide income capped at £220,000 per annum. 
There is no company tax, except for a 10% tax on certain banking 
activities, no capital gains tax, no inheritance tax or estate duty, no 
purchase or sales tax, no value added tax (VAT) and no capital transfer 
tax. Guernsey has neither a national debt nor any external debt. 

Central Bank of Libya 

From 1551 to 1911 Libya was ruled by the Ottoman Empire, by Italy from 

1911 to 1943 and from 1943 to 1951 was under the military suzerainty of 
Britain and France. The Central Bank of Libya was founded in 1956 and 
was run as a typical central bank until the bloodless coup d'etat of 1 
September 1969. 

Oil of an exceptionally high quality was discovered in 1959. However, 
King Idris al Mahdi as-Sanusi failed to capitalise on this bonanza or use it 
for the benefit of his people, and the bulk of the oil profits were siphoned 
into the coffers of the oil companies. 

On assuming power in 1969 Mu'ammar Muhammad al-Qathafi took 
control of most of the economic activities in the country, including the 
central bank, which for all practical purposes was run as a state bank. It 
operated as a banker of the local bankers and foreign bankers were not 
permitted to operate. Financing of government infrastructure did not 
attract riba (interest) and Libya had no national debt and no foreign debt. 
Its foreign exchange reserves exceeded $54 billion, which may be 
compared to reserves of developed countries such as the United 
Kingdom and Canada, which in 2010 were $50 billion and $40 billion 
respectively. GDP growth during the period 2000-10 was 4.32% per 
annum and the official figure for inflation was -0.27%. I2M1 

Colonel 12221 Qathafi was described by the mainstream media as being a 
"terrible dictator and a blood-sucking monster" ^ but the reality was 
that with the exception of the city of Benghazi and its environs, he had 
the support of 90% of the population. 12221 

The following benefits provided by Qathafi explain why he was so 

• Free education. 

• Students were paid the average salary for which subject they were 

• Students studying overseas were provided with accommodation, an 
automobile and €2,500 per annum. 

• Free electricity. 

• Free health care. 

• Free housing (There were no mortgages). 

• Newly-wed couples received a gift of 60,000 dinar ($50,000)— from 

• Automobiles were sold at factory cost free of interest. 

• Private loans were provided free of interest. 

• Bread cost 15 US cents per loaf. 

• Gasoline cost 12 US cents per litre. 

• Portion of profits from sale of oil was paid directly into bank 
accounts of citizens. 

• Farmers received free land, seeds and animals. 

• Full employment with those temporarily unemployed paid a full 
salary as if employed. 

Mu'ammar Qathafi - A strict disciple of the Holy Q'uran, who abolished all forms of usury and 
used the Central Bank of Libya for the sole benefit of the Libyan people. 

Qathafi's Jamahariya "state of the masses"ensured that the wealth of this 
country of 5.79 million inhabitants was fairly distributed to all of its 

people. Beggars and homeless vagrants did not exist, while life 
expectancy at 75 years was the highest in Africa and 10% above the 
world average. The literacy rate was 82%. Regarding human rights Libya 
stood at 61 in the International Incarceration Index.The lower the rating, 
the lower the standing. The no.l spot is currently occupied by the United 

Another major achievement, which Qathafi initiated was the conversion 
of the Nubian Sandstone Fossil Aquifer System into the Great Man-Made 
River, which supplies 6,500,000m 3 of fresh water daily to the cities of 
Tripoli, Sirte and Benghazi. The extracted water is ten times cheaper than 
desalinated water. The total cost of the project, estimated at $25 billion 
was financed without a single foreign loan. 

Although the central banks of Belarus, Burma, Cuba, Iran, North Korea, 
North Sudan and Syria do not fall under the direct control of the 
Rothschild banking syndicate, Libya had the only central bank run on 
genuine state banking lines, which exhibited the classic symptoms of full 
employment, zero inflation and a modern day workers' paradise. The 
question arises as to why NATO intervened on the pretext of fabricated 
human rights abuses, the so called responsibility to protect. Since 1971 
when the United States abandoned the gold exchange standard for the 
petrodollar with the connivance of Saudi Arabia, any attempt to displace 
the United States dollar as the premier reserve currency has been blocked 
and opposed with violence. 

In November 2000 Saddam Hussein of Iraq decreed that all oil payments 
would in future be made in euros, as he did not wish to deal "in the 
currency of the enemy" As has already been proven, the possession of 
weapons of mass destruction pretext was a deliberately concocted hoax 
and it was this currency decision, which cost Saddam Hussein his life 
and the destruction of his country. In similar circumstances Qathafi 
announced in 2010 the creation of the gold dinar as a replacement for the 
settlement of all foreign transactions in a proposed region of over 200 
million people. Libya at that time possessed 144 tons of gold. What was 
intended was not a return to the gold standard iper se, but a new unit of 
account with oil exports and other resources being paid for in gold 
dinars. 12 ^ 1 Qathafi crossed a red line and paid the ultimate price. 

Since 2007 Iran has stipulated that payments be made in euro currency. 
On 17 February 2008 the Iranian Oil Bourse for trading in petroleum, 
petrochemicals and gas using primarily the euro, Iranian rial and a 
basket of non-US currencies was established. The first oil shipments 
under the new system were sold through this market in July 2011.This 
event must be deemed as one of the prime causes for the constant Israeli 
and American threats to annihilate Iran. 

Chapter VIII 
The Banking Crisis 

"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 actions of the banks increasing and 
decreasing deposits and bank purchases...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, former Chancellor of the Exchequer. 

Historical Overview 

Banking crises generally take three forms, (i) where an individual bank 
collapses because of a lack of confidence and a subsequent withdrawal of 
deposits, (ii) a bank run when a number of banks fail simultaneously and 
(iii) when the entire system implodes. 

In the eighteenth century banking crises were confined to only those 
countries which had central banks and practised usury viz. England, the 
Netherlands and Sweden. 

In 1710 the Sword Blade Bank, in competition with the Bank of England, 
took over a portion of the National Debt in exchange for Sword Blade 
shares. The following year the South Sea Company did a similar deal and 
in 1720 took over the remaining government debt in exchange for its 
overvalued shares. The South Sea Company was nothing but a shell and 
had no trading assets. On 24 September 1720 the Sword Blade Bank went 
into liquidation and by the end of that year the shares of the South Sea 
Company had lost almost 90% of their peak value of £1,000 per share. 

In 1763 after the end of the Seven Years War (1756-1763) wissels or bills 
issued by Dutch banker Leendert Pieter de Neufville could not be 
redeemed and precipitated a run on banks in the Netherlands, Germany 
and Sweden. 

On 10 June 1772 the London banking house of Neal, James, Fordyce and 
Down, which had been indulging in speculation on a massive scale by 
shorting East India Company stock, crashed after it could no longer 
cover its losses by raiding customers' deposits. Twenty-two significant 
banks and almost all private banks in Scotland were forced into 
liquidation. The contagion then spread to Amsterdam. Many banks there 
experienced a liquidity crisis, including Clifford and Sons, which went 

Henceforth almost all banking crises would be precipitated as a result of 
the central banking model which permits private banks to create money 
as an interest-bearing debt and then destroy it once it has been repaid. 
Thus the first two panics in the United States in 1792 and 1796-1797 were 
induced by the First Bank of the United States when it purposely 
withheld credit in order to cause a slump. 

A similar financial disaster and subsequent depression were planned and 
executed by the Rothschild owned Second Bank of the United States in 
1819, while England was also afflicted by artificially created panics in 
1825 and 1847. In the panic of 1825 66 banks were forced to close their 

There was another banking panic in the United States in 1857 as a result 
of a fabricated shortage of gold and the failure of the Ohio Life Insurance 
and Trust Company. As has already been observed in Chapter IV, once 
the United States was forced on to the gold standard in January 1873, a 
pattern of more frequent and intensified banking panics evolved. Less 
than eight months later in September of that year the United States was 
premeditatedly plunged into a recession which lasted for four years. 

The ensuing panics of 1884, 1890, 1890-1, 1893-4, 1897, 1903 and 1907 
were all deliberately orchestrated so as to drive the American people into 
a state of confusion and despair. After 40 years of planned chaos, of 
boom and bust, as well as a targeted media campaign of disinformation, 
the population meekly capitulated and the banking conspirators' dream 
of a United States central bank was realised on 23 December 1913. 

After the Great Depression which had been contrived by the US Federal 
Reserve Bank 12 ^ a relative period of stability supervened until the 1990s 
when an ever increasing number of countries suffered economic crises 

and financial difficulties. (Finland, Sweden, Venezuela, Indonesia, South 
Korea, Thailand, Russia, Argentina, Ecuador and Uruguay). 

The Banking Crisis 2007- 

The seeds of the current banking crisis were sown when the Glass- 
Steagall Act of 1933, which prohibited bank holding companies from 
owning financial institutions and separated banks from investment 
houses, was abrogated on 12 November 1999. At the time of the 
promulgation of the original Act, Senator Carter Glass, a former US 
Secretary of the Treasury and one of its authors, remarked that "With a 
gun a man can rob a bank, with a bank a man can rob the world". 

It was deemed towards the end of President Clinton's administration 
that everyone had the right to own a home, and for this purpose the 
Department of Housing and Development initiated a programme called 
National Homeownership Strategy Partners in the American Dream. In 
order to attract as many new homeowners as possible credit standards 
and regulations were relaxed and government allowed borrowers a tax 
credit of $8,000. Low teaser interest rates were offered for the first two 
years, but with substantially higher rates being payable thereafter. 

Between 1998 and 2006 house prices rose by 124%, but two years later in 
2008, a drop of 20% was recorded. In contrast to rising prices, the 
affordability of housing showed a declining trend. Between 1980-2000 the 
ratio of the cost of an average house to median household income was 
3.0, but by 2006 it had risen to 4.6. Credit default swaps which were 
intended to hedge or speculate against credit risks increased 
hundredfold between 1998 and 2008 to $47 trillion and had a notional 
value of $683 trillion. 

In order to fuel the property boom, innovative financial products were 
developed such as collaterised debt obligations. Mortgages of varying 
degrees of quality were bundled up and after having been assessed, 
fraudulently as it transpired, by rating agencies as being triple A in many 
cases, were sold on to gullible investors.— In order to further this culture 
of greed the shadow banking sector which includes investment banks 
and hedge funds and whose total funds were believed at that time to 
have amounted to in excess of $100 trillion, aggressively marketed these 

products, notwithstanding the fact that by June 2007 39% of all home 
loans did not meet the underwriting standards of any issuer. 

The balloon finally went up when Lehmann Brothers was declared 
bankrupt on 15 September 2008. A rescue package was hastily assembled 
and Congress approved a sum of $700 million for a Troubled Asset Relief 
Program (TARP), but this was only the tip of the iceberg, as the US 
Federal Reserve Bank has since granted over $16 trillion worth of 
assistance to domestic and foreign banks. According to the memoir 1 ^ 1 of 
Neil Barofsky, Inspector General of the TARP, the final figure may well 
exceed $24 trillion. It therefore comes as no surprise that during the 
period 2008-2013 the US Federal Reserve Bank has expanded its balance 
sheet by 500% to $5 trillion in order to prop up an insolvent banking 
sector with its Ponzi-like 1 ^ 11 quantitative easing programme, while in 
similar vein between 2007 and 2012 the balance sheets of the six largest 
western banks have been inflated by 36.4% from $10.7 trillion to $14.6 


In the aftermath of this financial crisis attempts have been made to 
remedy what is in essence an insoluble problem. The Dodd-Frank Wall 
Street Reform and Consumer Protection Act passed into law on 21 July 
2010 contains numerous regulations designed to promote accountability, 
financial stability and transparency. 200 pages of the Act are devoted to 
mortgage reform and include higher underwriting standards and an 
obligation on mortgage originators to ensure that borrowers have the 
ability to repay their loans. 

The sciolists of the Basel Committee on Banking Supervision have 
proposed higher levels of capital and liquidity ratios in the hope that 
these measures will strengthen the banking sector. The intention is that 
they be implemented in full by 31 March 2019. Regrettably, they will in 
all probability have the opposite outcome and will only cause the money 
supply to shrink further and thereby deepen the recession. 

What is not understood by most bankers and economists is that the only 
method available for keeping the economy running is to sink further into 
debt (at interest), as debt based money is the only source of our means of 

exchange. Hence the persistent mantra that growth must be maintained 
at all costs, because if all loans were to be repaid, the money supply 
would vanish, and we would be reduced to exchanging goods and 
services with bank notes and barter. In the current situation a world¬ 
wide debt cancellation would therefore not be out of place, if the money 
supply could be replaced by state bank created interest free and debt free 

The underlying reason why the developed world, which has in the past 
produced superior, long-lasting products, has been partially 
deindustrialised, is so that inferior goods have to be continually 
produced by third world countries in order to fuel the growth syndrome. 
It also highlights the absurdity of the insistence that Europe needs 
economic growth when its indigenous population is shrinking. This 
policy of deliberately planned obsolescence and forced growth also has 
very deleterious effects on the environment. As will be observed in the 
final section, the collapse in female fertility rates in the developed world, 
which is a direct consequence of usury, will lead to the extinction of 

In conclusion it may be stated that the principal hidden purpose of the 
banking crisis is to create a general feeling of desperation and an 
acclamation for a solution such as a World Central Bank - a similar 
situation which prevailed in the United States during the late nineteenth 
century when banking panics were being artificially created in 
preparation for the imposition of the US Federal Reserve Bank. Whether 
the parasitic bankers will achieve this objective is open to doubt as the 
host may well have vanished by then. 

The Great Depression of the 21st Century 

One of the primary causes of the ballooning debt bubble has been the 
suicidal policy of globalisation and free trade, which has resulted in the 
afore-mentioned partial deindustrialisation of the United States, United 
Kingdom and Europe. The relocation of industries to third world 
countries has precipitated a reduction in the manufacturing base of the 
developed world, structural unemployment of a permanent nature and a 
widening trade gap. In an attempt to maintain their falling standards of 

living, consumers in these affected countries have been forced to take on 
increasing levels of personal debt. Thus in the United States during the 
1980s $2.37 of private debt were required to produce $1 of growth in 
GDP, in the 1990s the figure rose to $2.99, and in the 2000s there was a 
dramatic increase to $5.67 for each incremental dollar of economic 
growth - a level which will soon become untenable. 

A further aggravating factor is that the rising cost of extracting energy, 
also known as the energy returns on energy invested (EROEI) is rapidly 
approaching a tipping point. According to a Tullett Prebon report, 0 ^ in 
1990 the theoretical cost of energy would have been 2.43% of GDP 13 ^ and 
in 2010 it almost doubled to 4.7% of GDP. It is predicted to rise to 9.6% of 
GDP by 2020 and to 15% by 2030. This decline in energy returns, which 
will cause the wide spread closure of mines and industries, and 
adversely affect agriculture, predicates a very substantial drop in living 
standards. 13 ^ 

Escalating extraction costs of energy are not the only predicament facing 
mankind. During the past 100 years water consumption has quadrupled 
and continues to rise. Currently 1.6 billion people are facing absolute 
water scarcity and according to a recent US government report in June 
2014, global demand for water will exceed supply by 40% by 2030.°^ 

However, the factor which overrides all these macro economic 
considerations is the collapse in the birth rate of the developed world. At 
the turn of the twentieth century the White population of the world 
numbered 590 million or 36% of its 1.65 billion total. In 2016 although 
that number had increased absolutely to 1 billion, its relative share of the 
world's population of 7.5 billion has shrunk to 13.3%. Two fratricidal and 
pointless world wars over the maintenance of the usury system set this 
catastrophic decline in motion. 

The following table of fertility rates^ 1 reveals the inevitability and the 
near mathematical certainty that by 2100 most of the Whites and a large 
portion of the Asian peoples of north east Asia will have died out. 















The first column of the table of fertility rates above lists all countries with 
a population in excess of 100 million, while the following table lists the 
populations of the major White and Far East Asian countries. 

The accepted fertility rate for the replacement of a population is 2.11 J — 
Thus the White, Chinese and Japanese populations will be severely 
depleted within three generations,— and unless the fertility rate 
substantially increases will face eventual extinction. 



























South Africa 

2.64 The white fertility rate is 1.5 

From the above table it may be noted that a fertility rate of 1.3 would 
take 80-100 years to reverse, which is well nigh impossible; while 
historically a fertility rate of 1.9 has never been reversed. Moreover the 
sharpness of the decline in the White population is concealed by virtue of 
the fact that large numbers of non-Whites, who have much higher rates 
of fertility, are included in these fertility rates. 

The percentage of whites in the following major countries is as follows: 

Brazil - 48 
Germany - 88— 

United Kingdom - 86— 

Australia - 85 

France - 85 
Russia - 81 
Canada - 80 
United States - 65^ 

Much reliance has been placed on China, which it is hoped will save the 
world economy from its demise, but the fertility rates of neighbouring 
territories of Hong Kong (population 7 million) of 0.97 and Taiwan 
(population 23.3 million) of 1.10 are indicative of a declining trend, and 
are matched by mainland China's fertility rate of 1.05. These declining 
fertility rates in China are also underpinned by the one child policy of the 
Chinese government, which has been in effect since 1979. It is anticipated 
that China will achieve zero population growth in the near future. 

Since World War II ever increasing numbers of married women in the 
Western world, deluded by the malevolent propaganda of feminism and 
gender equality, have been forced to seek employment, so that their 
families can pay the ever increasing amounts of interest necessary in 
order to make ends meet. Most of this interest is accrued on mortgage 
loans i.e. on money which banks have created out of nothing. The direct 
result of this iniquitous financial system has been the undermining of 
normal family life and a dramatic reduction in female fertility. According 
to Aaron Russo the Rockefellers were behind this diabolical scheme 
which was created to draw women into the income tax net, place their 
children in school at an early age where they could be indoctrinated, 
destabilise society and set up the New World Order^. In this manner 
the link between usury and demographic decline has been established. 
Even if the usury system should be abolished in its entirety within the 
next five to ten years, these trends will not be easily reversed over both 
the short and medium term. If usury remains intact, then the world must 
brace itself for a depression, similar to the Dark Ages, which will last for 
many centuries. 

In the preceding chapters it has been proven, conclusively, that state 
banking and the sovereign issue of a nation's money supply are the only 
means for the provision of a natural order of harmony, peace and 
prosperity founded on the ethnic independence of all peoples. 

The past 300 years, notwithstanding numerous technological 

advancements, have witnessed a progressive deterioration in Western 
and European standards of civilisation. The excessive concentration of 
power and wealth, based exclusively on dishonest banking methods, has 
enabled a tiny minority of criminal bankers to control the media and 
educational processes, and thereby to brainwash a mindless and 
atomised humanity, deluded by the spurious comforts of democracy and 
materialism, into suicidal practices of savage, bloody and pointless wars, 
central banking and cultural degradation, which will eventually result in 
its demographic extinction. 

Thank you for the exceptionally interesting article 12131 you just sent me, as well as 
for the book you sent me in October, that my wife and I have read with great 
interest. - 

Prince Dimitri Romanovich Romanov 



September 2015. 

Appendix I 

Letter from President Abraham Lincoln 



December 1864 

Colonel E D Taylor 

I have long determined to make public the origin of the greenback and tell the 
world that it is one of Dick Taylor's creations. You have always been friendly to 
me, and when troublous times fell upon us, and my shoulders, though broad and 
willing, were weak and myself surrounded by such circumstances and such 
people that I knew not whom to trust, then I said in my extremity, "I will send 
for Colonel Taylor; he will know what to do." I think it was in January 1862, on 
or about the 16th, that I did so. You came, and I said to you, "What shall we 
do?" Said you, "Why, issue treasury notes bearing no interest, printed on the 
best banking paper. Issue enough to pay off the army expenses, and declare it 
legal tender." Chase thought it a hazardous thing, but we finally accomplished 
it, and gave to the people of this Republic the greatest blessing they ever had - 
their own paper to pay off their own debts. It is due to you, the father of the 
present greenback that the people should know it, and I take great pleasure in 
making it known. How many times I have laughed at you telling me plainly that 
I was too lazy to be anything but a lawyer. 

Yours truly 

A Lincoln 

The text above is from a hand written letter by President Abraham 
Lincoln, which was verified and documented on 10 February 1888 by the 
50th United States Congress. 

Appendix II 

7>. ~ ?V<I.A Cn r, Mi. Olh. i»yi 



Vol i. Jio. a. ’‘It'd, ’oZHIhAZS'E?*- SATURDAY, MAY <lk, JK». Si WnU 7 . 


Publication of the following letter, addrm«<l to the Fuehrer i*r>d <Wpntchcd through 
a trustworthy channel, is Authorised by Major Douglas. 

May. m 

Herr Fuehrer. 

As an introduction to the attached memorandum.* I would request |xrinU‘*oii to bring 
to the notice of your eminent self the following observations:— 

(a) While it is claimed, and is no doubt sincerely believed. that ;ht \ :> some wnilict wf 
ideologies between the 'democratic* group oi Powers and tK Totalitarian groups there so:h cor.Oict—all of them proceed cquallv from the iundinrcntal assumption, 
which is no doubt believed to he indisputable, that full employment their population* 
is the test oi success. Their difference* me «.•!’ iitctltc* 1 only. 

<l>) If this claim rests on a 'moral* Iki>»s. this* it must In ».'-<trvol iha» it »• •«.* upprAeibal 
problems which appear to lie only soluble by recourse t*' a war •• mu' »1 dcftritcuofi 
certain in result in anarchy and final .subject boi to* *1 mnutUiitk survivor. 

(c) Ji. however, it is claiimvl that full employment i> a pm cheat r^.-.u reiiwnt of an ^Lancing 

civilisation, it cat* easily lie shown that the ovitraty i* the While it is r<\*//nist>J 

•.hat the present production of armaments in every country E». hem twcol bv the 
general assumption that tincinploynxni »* equivalent t«» <. uri<ui'.. <li>ii hi liotL it im t - .«t 
he obvious that the full employment which armaments pt<«vi»T. i* >»«tli temporal* and 
at the *atr»c time perhaps the ultimate omuiplc **i w**tc uml indueiituy. 

(d) This employment policy, which is here chftlt<«jjei!. is sn•*« fcv»>gm>ed t«> U* i-iJvj'orsHc 
from the Jewish l-’waniial System, 

(t) ,\ simple change in lh». »y>lnu would m.ilr lull cttipio- nent iiinu\oMf)', eliminate the 
coinjutitioo fur market* and destroy the power *•! ihr mVi-riiatiiiiial I uiattcicr—a jwt? 
which war only inc»ea*r« ami which, ii «li *tioyed. will destroy civilisation in Europe. 

May I earnestly icxpicst that the present crisis nay. ii the key position in the hi>tory 
of the world* which you b**<b he nsol to force* an exposure oi this false and destructive policy.' 1 

It is indisputable that, ii this were to hr made thr maim issue of any such conference as 
bar. beta proposed, wot only Germany l>ut thr whole civilised world vtv.ild lie united i'i support 
of th.* action taken by yon. Not I *i evident Itooswcll. but yourself, would be te<og7ii*.<»l as the 
representative oi all those value* which are cliciidled <qnfd'.y in the so called dcworradc* xnd 
their artificially created antagonists. 

Yours irutv. 

Letter from C.H. Douglas to Adolf Hitler in May 1939 urging 
Hitlertoopposethe''Jewish Financial System" asa"representative of all 
those values which are cherished equally in the so-called democracies 
and their artificially created antagonists" 

Appendix III 

Federal Reserve Note - Plutocratic money issued by the privately owned US Federal Reserve 


Genuine government-issued money in circulation from 1862-1994. 

On 4 June 1963 President John F. Kennedy issued Executive Order No. 
11110 which instructed the Treasury to print $4 billion worth of $2 and $5 
bills. These bills, backed by silver in the Treasury's vaults, were issued 
free of debt and interest with the seigniorage accruing not to the 
privately owned US Federal Reserve Bank, but to the US 
government.This note issue formed part of Kennedy's long term plan to 
reduce the power of the US Federal Reserve Bank. On 22 November 1963 
Kennedy was shot down by assassin(s) in Dallas, Texas. 

Review by Matthew Johnson 

One of the most difficult things to explain to American university 
students is how capitalism and communism share far more in common 
than they do in conflict. In fact, regardless of how it is explained, the old 
saw that the two approaches are "opposites" can never quite penetrate. 
Even worse, explaining to students and their bewildered parents that the 
US banking and industrial conglomerates financed the Soviet Red 
revolution and built Soviet industry is also maddeningly impossible. 

One simple way to explain it is to say that, for bankers in the modern era, 
the state's control of the entire economy from one place is what bankers 
believe paradise to look like. There is one plan, one banking system and 
one social system in place; this means that banks merely forward the 
cash, both expecting the state, not the economy as such, to reimburse 
them with the requisite interest. In other words, the command economy 
is the most congenial to banks. There is no necessary connection between 
private banking and a state-owned economy. It is just as simple for a 
banker to work for the Party as it is for Goldman-Sachs. 

Capitalism and socialism are based on materialism. Production and 
utility alone are considered goods, and efficiency in methods is 
considered the sine qua non of ethical contemplation. Both systems are 
oriented to technology, hold to a linear view of history, and seek the 
mechanization of all aspects of humanity. As they both develop, the 
economic system and the state merge into a single machine.The error of 
the libertarians has always been their insistence that the state and private 
capital are opposed. Quite the opposite is true. Large concentrations of 
capital are deeply embedded in the state, using it as both a personal 
bodyguard and as a regulator that keeps market entry impossibly high. 
The defeat of the Justice Department by Microsoft in 2010-2012 shows the 
imbalance of power between private capital and the state. This might 
seem tangential to a work on banking. For the typical isolated and 
tenured professor of political economy, it would be. For those, such as 
Mr. Goodson, who served on the Board of the Central Bank of South 
Africa for many years, isolated academia seems absurd. Mr. Goodson 

was anything but isolated, and he witnessed the tight control of 
economic life by banking conglomerates the world over. He saw it in 
vivid colors. 

This book is not a study in technical economics. It is, thankfully, a study 
in history. Goodson realizes what most economists do not: that to grasp 
any economic phenomenon, it must be seen as a product of many 
decades of historical development. Each aspect of the whole continually 
reinforces the other, and the whole itself is constantly changing, like an 
organism, as history continues to present new challenges, new projects 
and new victims. 

In other words, the secret life of banks did not merely occur because a 
group of men off the coast of Georgia wanted it to. They themselves were 
actors within a historical stream that goes back to the first Mesopotamian 
civilisations and reached its ancient zenith in Rome. The fact that the 
whole has continuously been based on the same set of assumptions 
regardless of the civilisation within which it was embedded is 
impressive, and it calls out for detailed analysis. Given the political 
fallout from such honesty, however, Mr. Goodson needed to resign 
himself to the fact that few in the mainstream will even mention his 
work, let alone accept it. 

There is one constant in history that is manifestly clear in this work: that 
the essential distinction between monarchy and republicanism (broadly 
speaking) is economic. Republics are normally oligarchies, or at least 
contain its seeds. Monarchies, since they are perpetually at war with their 
own nobility, often reject the assumptions of oligarchy. Whether it be the 
national socialist party of China or Belarus, the royal bank of St. 
Petersburg or the centralised dictatorship of the Augustan era, all forms 
of strong statism have made war on the banking monopoly. No 
authoritarian leader will accept competition from an all powerful 
economic mediator. Of course, there are a few exceptions on both sides, 
but history has been fairly clear that strong states, those based on 
traditional authority, reject the alchemy of money and interest. 


Rome rapidly, at the time of Cicero, was already moving away from its 

Senatorial oligarchy and towards the military empire of Sulla and his 
successors. The immediate impact, once the dust of the civil wars cleared, 
was that minting was centralised and usury controlled. Julius Caesar 
sought to limit interest to 1% monthly and, in a populist move rarely 
seen, banned its compound increase. Furthermore, any accumulated 
interest could never exceed the original principal. 

In Byzantium, the Roman empire of the East, interest had been officially 
limited to 5%,give or take, but this could only be enforced under 
emperors who were strong. Basil II for example, rejected interest 
altogether and forced wealthy landowners to financially assist poorer 
peasants. His strength, while common, was usually followed by an 
aristocratic reaction who placed puppet emperors in Constantinople. 
However, under such a system, eastern Rome was blessed with a vibrant, 
populist economy. Her currency was the global standard as far east as 
China. Peasants were free landholders and feudalism existed nowhere. 
Inflation did not exist, and trade flows always favored the capital. For 
this reason, oligarchic states such as Venice, Dubrovnik and the Norman 
interlopers in Sicily, continually financed Rome's enemies. 

After 1204, when the western Norman Crusaders sacked Constantinople, 
the dominance of Venetian oligarchs became the order of the day. 
Byzantium was marked for death once the emperors of the 14th and 15th 
century gave away their financial autonomy for regular infusions of 
Venetian money. Having lost all economic independence and seeing the 
immense wealth of the east flow in interest payments to Italy, Byzantium 
finally collapsed under an Italian-financed Turkish invasion in 1453. 
Venice became Turkey's most significant ally. 

There is no economic mystery here. Whenever interest is tightly 
controlled, the continued compound leakage of cash to banking centers 
does not exist. This financial hemorrhaging means that value remains 
where it belongs: with the small businessman and small landholder. 
Without the geometrically increasing mass of interest, a fraction of 
today's total labor was sufficient to maintain monetary stability, 
necessary supplies and a nobility forced to serve the state rather than 
rule it. Within the modern system of usury, centralization is unavoidable 
as compound interest continually increases the flow of real value out of 
the economy and into the coffers of the cabal. 


England was no different. Prior to the Norman invasion, Anglo-Saxon 
England, even after the Viking attacks, existed in a financial golden age. 
Again, smallholders were the norm, urban trade maintained low prices, 
and the lack of liquid capital forestalled any noble centralization. 
Feudalism could not exist under such a system. Usury was banned in 
Mercia under Offa the Great, and in Alfred's frantic attempt to centralize 
power in Wessex against the Danes, he too, refused the "services" of the 
banking cabal. The Italian banks, however, were quite interested in 
William's planned assault on Anglo-Saxondom and to remove 
Scandinavian influence from England. Following William was a small 
army of Jewish slave traders and Venetian and Roman bankers. Usury 
was permitted, for a time, under the new Norman hegemony. The old 
Anglo aristocracy was slaughtered, and William imported a new nobility 
with close ties to Italy. Feudalism made its very first appearance on 
English soil. Ireland, several centuries later, was also to see the benefits of 
Norman progress. 

Such progress, by the time of Stephen, led to the creation of a banking 
system charging an average of 33% on collateral lands and 300% on 
capital (that is, tools in the cities). Within two generations, a full 66% of 
England's lands wound up in the hands of Italian and Jewish bankers. 
This might explain the constant drive to take more and more French land 
for the Angevin Empire. 

This was to be the lot of Norman Britain until the reign of Edward I 
(d.1307), who imitated the Byzantines (where many Anglo-Saxons had 
been serving after 1066) by tightly limiting interest and its accumulation. 
Kicking the bankers out of the country, he ushered in an age of 
prosperity unfortunately cut short by the plague. It is no accident that 
just at the time when Byzantium had given away its economic 
sovereignty to Venice for the use of their navy, Britain moved in the 
opposite direction against Italy and Rome. 

From the reign of Edward I to the plague, England was prosperous. The 
working year amounted to 14 weeks, within which all essentials were 
obtained. The church calendar, in both eastern and western Europe, 
required between 100 and 140 days off a year, excluding Sunday and the 

period after Easter. Of course, capitalism was to make war on the church 
and seek Protestant sanction for eliminating saints days from the 
calendar altogether. The rule of the small holder had returned for the 
first time since Edward the Confessor. Unfortunately, this was not to last. 
The reformation, once Luther's influence had waned, had different ideas 
on money. 

Once Henry VII had stabilized Britain after the War of the Roses, the time 
was ripe for the rise of the banks yet again. The reformation and the 
immorality of Henry VIII gave it the excuse it needed.The reformation 
was an attempt by the Stuarts to begin centralizing power once the old 
nobility had slaughtered itself into oblivion. Monastic lands were 
secularized, land markets developed, and financing long distance trade 
became a priority. Henry VII became the last gasp of a powerful, 
traditional state. From Henry VIII to Edward VI to Elizabeth, a new 
oligarchy had gained power that required the pomp of monarchy to hide 
behind. Very soon, once it became confident in its role, it required 
William of Orange to justify itself. 

Spain, once Islam was finally ejected, sought to cleanse itself of the 
Sephardi, normally allies of the Muslim Caliphate. Spain's nationalism 
was substantial as both church and state were radically reformed and 
purged. Moving to Amsterdam, the Sephardi rebuilt its banking base, 
creating a "square" of influence that contained four corners: the grain 
trade in the Baltic, the Amsterdam banks, Constantinople and the 
Turkish market, and most importantly, Poland. These represented the 
overland routes of modernity as grain prices skyrocketed in the west, 
forcing the east to export more and more. 

Under Elizabeth and certainly during and after the English Revolution, 
Spain was the enemy. Catholic Ireland sought Spanish assistance against 
Elizabeth's dispossession of the native Gaels, something that Cromwell 
was to punish with genocidal harshness. Spain's importation of silver 
from the new world threatened the rule of the banks in a graphic way. 
The banking regime financed the Dutch rebellion against the Spanish as 
the world's press spared no rhetorical excess denouncing the Spanish 
army in northern Europe. British enemies of the banking elite looked to 
Spain for assistance as well. 

Once Charles I was defeated in 1645 and Cromwell instituted a military 
dictatorship over Britain and Ireland in 1653, the banking regime now 
had its enemies destroyed and its place assured. William's gentle 
occupation of Winchester 30 years later meant that the bankers now had 
England to use against both France and Spain. It surprised no one that 
the Jacobites spent much time attacking the banking elite that had taken 
power with such vehemence. Neither James I or II believed in "divine 
right" nor did either want to impose a dictatorship. Cromwell alone 
sought that honor. Yet the James's were accused of every imaginable 
crime. James sought religious tolerance, not a "Spanish theocracy" as the 
Whigs were later to claim. Whiggery was the party of usury and, as such, 
the party most vehement in seeking war with France, Spain and, 
eventually, Russia. 

Parliament, now the instrument of capitalism and empire, was seeking 
any excuse to take revenge on Spain. "Democracy" and "the will of the 
people" were considered identical to the interest of urban merchants and 
traders. Britain was now an oligarchy. Roman Catholic rulers were long 
forbidden to rule in Fondon, regardless of James' desire for religious 
neutrality. William's war with France was financed by the Amsterdam 
banking establishment, something made quite clear to William himself 
when he tried to arrange a Stuart marriage, one which remained 

Ukraine and Poland 

It is certainly no coincidence that the rule of Cromwell and the slow 
genocide of Irish resistors and English Jacobites occurred at the same 
time the opposite development was taking place on the other "pole" of 
the Jewish "trade square." Population growth in the west, as well as the 
growing centralization of states, led to an increase in grain demand. This 
meant, among other things, that the nobility needed to intensify its 
serfdom over peasants and force more production towards export. 

The Polish nobility had given Jews a full monopoly over overland trade, 
urban life, lease-holding and alcohol. Mainstream sources on Ukrainian 
history all are forced to admit this. The impotent Polish monarchy sought 
to gain power, as the case elsewhere, through an alliance with the towns. 

Seeing this as a threat, the Polish nobles countered this by bringing in 
Khazar Jews searching for a new home after the fall of Italy centuries 
before. Not only did they find it, but their mainstream power and success 
reached such heights that rabbinic claims that the 17th century was a 
“messianic" time were common. In fact, it was a drumbeat that the time 
of the savior was at hand.They got the revolt of Cossack Hetman Bogdan 
Khmelnytsky instead. Khmelnytsky's revolt was the opposite of 
Cromwell's. The Cossacks fought against a long standing oligarchy, 
while Cromwell sought to establish one. 

The rising of Khmelnytsky in 1648 was the single event that defined 
Ukrainian nationalism for eternity. Nothing was the same. Poland almost 
collapsed. Jews had to flee for their lives. The Crimean Tartars were able 
to free themselves from vassalage to Turkey. Rome was in a panic as 
their churches, long associated with usury, were burnt to the ground by 
Cossacks, well remembering that their existence was based on the ruins 
of Orthodox churches a century before. Still reeling from the 
Reformation, Rome now faced the eradication of its existence in the east 
too. The Patriarch of Jerusalem, Paisios, declared Hetman Khmelnytsky 
“The Monarch of All Rus." Russia, Vienna, Prussia and Paris were now 
able to centralize power and defy Rome. Russia had a particular gripe 
with Rome since it was the papacy who declared a Crusade against 
northern Russia in 1256, financed Mongol expansion, and declared the 
Polish attack on Ukraine a “holy war." While Paris and Vienna remained 
Catholic, theirs was a national Catholicism where the crown, not Rome, 
began selecting bishops. It was not to last. 

Rome managed to talk the Crimeans into abandoning the Orthodox 
Slavs. The death of Hetman Khmelnytsky in 1657 led to a division in the 
Cossack host between hetmans of the two banks of the Dnieper at war 
with each other. Hetman Ivan Vyhovsky and Pavlo Teteria sought a 
Polish alliance, Briukhovetsky in the east went to Moscow, and 
Doroshenko, in desperation, went to the Turks. In 1708, Hetman Ivan 
Mazepa went to the Swedes. Disaster resulted and, among Ukrainian 
historians, this period was known as the “Ruin." 

As Russia moved closer to the Dnieper, Vienna became alarmed at the 
possible Russification of most of the east (including the Balkans) and 
mobilized against her. Given some breathing room, Poland recovered her 

former stability and the nobles returned. A century later, the Cossack 
Haidaimak rebellions led to the unthinkable: the treaty of "eternal 
friendship" (that is, the Treaty of Andrusovo, 1667) between Poland and 
Russia dividing Ukraine between the two empires. The Haidaimak 
rebellion was crushed by a concerted effort of Moscow and Krakow, and 
all was precisely as it was before 1648. 

Like in England, under Cossack rule, society was divided into counties, 
with full local democracy and a total lack of interest and usury. The 
typical results followed: the traditional Slavic smallholder communities 
reemerged and a basic political and economic equality resulted. The slow 
encouragement of a Cossack aristocracy, financed by St. Petersburg, led 
to the imposition of an oligarchy that made it very easy for Catherine II 
in the middle 18th century to put an end to the Hetmanate forever. 

The United States 

The decentralised colonies of the US were generally prosperous. Plentiful 
land, excellent ports and a strong pioneer spirit created an advanced 
world out of practically nothing. When asked about this, Benjamin 
Franklin famously remarked: 

That is simple. In the colonies we issue our own money. It is called 
colonial script. We issue it in the proper proportion to the demands of 
trade and industry to make the products pass easily from the producers 
to the consumers. In this manner, creating for ourselves our own paper 
money, we control its purchasing power, and we have no interest to pay 
anyone. (Benjamin Franklin in Fondon, 1763, quoted from Goodson, 66). 

With one exception - the execrable Alexander Hamilton - the American 
founders, though differing on nearly every other issue, were of one mind 
on banking. It was something to be abhorred. The dollar remained stable 
until 1917. The boom and bust cycles since the Civil War, the immense 
rise in federal power. World War I and the coming American empire, 
however, helped set the stage for a privately owned cabal in the US as 
well, popularly known as the "Fed" or the Federal Reserve ("Federal" in 
this case should be taken as it is in the shipping company "Federal 

The fact is that the fears of the Anti-Federalists were correct: the US 
government in Washington had become extremely powerful, arrogant 
and cut off from the common run of Americans. They had long been in 
thrall to the oligarchy in embryo, soon to burst forth in the form of the 
Fed, the Rockefeller Empire, the Carnegie Cult, and the warfare state 
tested in the Spanish American war and in the final months of World 
War I. 

From 1914 to 1920, prices rose 125%, as Goodson depressingly recounts. 
The dollar lost almost 60% of its value in six years. Federal bonds saw 
their value drop by 20% at the same time, meaning that older bonds 
became more expensive. Yet, the newer, cheaper bonds led to a recall by 
the banks which, of course, means that the money came due. 

More instability was caused as the railroads and other modes of 
transport prices went through the roof. Small farms, the long standing 
backbone of American prosperity, were slowly priced out of existence, 
which, in practice, meant a massive wealth transfer from the countryside 
to the cities. Agricultural production dropped by 50%. The war on rural 
America was declared, and has yet to end. The deficit was soon to be 
made up by Agribusiness, made possible by centralised credit that 
sought to finance large conglomerates, seen as a safer bet, rather than 
small businesses. 

In 1927, the Fed lowered rates and thus, increased the money supply. But 
this was the reign of the "roaring twenties," the beginning of the 
oligarchy as an exposed, confident entity without serious opposition. 
This meant that money was seen as value and power in its own right, 
separate from actual production. The money went to the stock market, 
boosting demand and inflating prices. Margins were increased through 
debt, and the price-earnings ratio went as high as 50:1, that is to say, the 
stock price was many times higher than the actual productive nature of 
the capital involved. Put differently, stock prices had no relation to the 
health of the firms involved, the productivity of capital or labor, or the 
resultant value added. 

Thus, in 1927, the US stock market was a fraud. Prices were based on 
speculative investment, easy money and the perception, one that remains 
a mystery to psychiatry, that such faux-growth would last forever. It 

made little difference how healthy the firms involved actually were. In 
1929, the Fed increased rates to 6%. The signal was clear: the stock 
market, as a whole, saw its value drop by 83%. 10,000 banks were 
bankrupted, and brokers, working on debt bubbles, were ruined. 


Russian economic prosperity and growth commenced at the liberation of 
the serfs by Alexander II in 1861. Serfs under state control had been freed 
earlier by Tsar Nicholas I. As is quite often the case, the most autocratic 
of monarchs were the only ones confident enough to go over the heads of 
the elites and pass legislation in the interests of the peasants. Unlike the 
Austrian liberation of its own serfs a few years before and Lincoln's 
freeing of southern slaves, Russian serfs were liberated with land. The 
state reimbursed the eternally indebted nobility and, over time, the 
peasant was to pay the state back. The payments were very low and Tsar 
Nicholas II in 1905 canceled them altogether. This was just one more nail 
in the nobility's coffin. 

Russian serfs had never been slaves. Serfdom, a reaction to the Swedish 
and Polish invasions of the 17th century, affected only peasants in the 
black earth regions in the Russian south. It never existed in the north nor 
in Siberia. In central Russia, it affected only serfs required to perform 
labor dues, but by the 1840s, most peasants paid money rent, meaning 
that they were not serfs. Serfdom, in Russia, really meant the guarantee 
of peasant land ownership and, at the same time, the guarantee of noble 
incomes as they served the state, usually in a military capacity. Since 
everyone served someone, the system was balanced. Under Tsar Paul 
and his mother Catherine II, the nobles were freed from state service and, 
as a result, became politically impotent. 

Peasants had full self government in the commune, where all posts were 
elected. The volost , or county, government was also entirely elected, with 
equal representation for all classes. The court system both at the volost 
and commune level, too, was based on pure peasant democracy. 
Commune judges were exclusively peasants, and volost courts had two 
noble and two peasant representatives. For the most part, Russian nobles 
were financially worse off than the peasantry, drowning in debt and long 

released from state service. They had little to do but buy expensive 
western luxuries they could not afford. The peasant commune had the 
right to nullify federal law, and was generally self-sufficient. If anything, 
tsarist Russia suffered from too much democracy. 

In 1861, the volost was replaced by the zemstvo, a strong county system 
with a lower house of peasants and an upper house of nobles, usually 
poor. The zemstvo was in charge of education, infrastructure, church life, 
tax collection and police. There was no part of peasant life that was not 
based on local democracy. A "land captain," usually a poor noble, was 
elected to mediate disputes between peasants and nobles, and 
sometimes, peasants would go to the captain if he had a beef with the 
commune or the zemstvo authorities. Politically speaking, from 1850 on, 
the nobles were politically impotent. 

Hence,the freedom of the serfs and the creation of a free press, the 
zemstvo and an endless array of educational reforms put a bullet in the 
revolutionary movement, almost entirely financed from Britain. Seeing 
this as intolerable, Alexander II was assassinated for his trouble in 1881. 
His son, Alexander III, continued his father's reform programs but, being 
a man of immense size and toughness, smashed the revolutionary 
movement, making it toothless until his untimely death in 1894. 

Tsar Alexander III established the Peasant Land Bank in the early 1880s, 
which gave interest-free loans to peasants and sought to channel 
investment money into agricultural improvement. Tsar Alexander and 
his finance minister, Nikolai Bunge, drafted and passed the most 
comprehensive labor regulations in European history. His son, Nicholas 
II, continually added to them until the outbreak of World War I. 

In labour relations the Russians were pioneers. Child labour was 
abolished over 100 years before it was abolished in Great Britain in 1867. 
Russia was the first industrialised country to pass laws limiting the hours 
of work in factories and mines. Strikes, which were forbidden in the 
Soviet Union, were permitted and minimal in Tsarist times. Trade union 
rights were recognized in 1906, while an Inspectorate of Labour strictly 
controlled working conditions in factories. In 1912 social insurance was 
introduced. Labour laws were so advanced and humane that President 
William Taft of the United States was moved to say that "the Emperor of 

Russia has passed workers' legislation which was nearer to perfection 
than that of any democratic country." The people of all races in the 
Russian Empire had an equality of status and opportunity, which was 
unparalleled in the modern world. His Imperial Majesty Tsar Nicholas II 
(1894-1917) and his state bank had created a worker's paradise that was 
unrivaled in the history of mankind. (Goodson, 87-89). 

There is no mystery here. The equally autocratic German emperor passed 
similar legislation a bit later. In both cases, economic growth in both 
agriculture and industry averaged 15% yearly. Population growth 
boomed, and, in the Russian case, peasants were given free land and 
tools in lush, southern Siberia (not the frozen north) for the sake of 
colonizing this vast empty space about twice the size of the US. By 1905, 
90% of Russian arable land was in the hands of peasants. No other 
industrialised society could match this. Peasants were buying noble land 
in massive quantities as Russia, at the same time, was completely self- 
sufficient. Her domestic market accounted for almost 99% of her 
production, and she needed nothing from abroad. All she got from the 
West was revolution. 

Moving southward, Georgia requested Russian protection as a shield 
against her Islamic neighbors. The XIII Dalai Lama of Tibet, Thoubten 
Gyamtso, requested Tsar Nicholas II to take his country under Russian 
protection to protect this Buddhist monarchy from drowning in British 
opium. Several Russians served as tutors to Tibetan nobles and the Dalai 
Lama himself. Russia was seen as the Savior of all who fought British 
and Chinese imperialism. 

Tsar Nicholas II was tempted to make war on Manchu China, since 
China held the western Buddhist populations and the Tibetans in thrall. 
Several million Muslims also were held under Chinese Manchu rule. 
Russia was called the "White Savior" long prophesied by Chinese sages. 
Making matters worse for the British, oil was discovered in Baku, today's 
Azerbaijan, then part of the Russian empire. The Rothschild dynasty 
declared war on Russia, financed Russian revolutionaries and 
importantly, created an anti-Russian alliance. 

The Rothschild alliance, for their part, was created in retaliation for 
Russian success. It was based on financing Turkey, the Turkish tribes of 

the Russian south, Persia, and, most ominous of all, Japan. Turkish 
occupation of the Balkans was given the Rothschild's seal of approval 
since, without Turkey, pro-Russian states like Serbia and Bulgaria would 
fill the vacuum. The British press praised the Turks as liberators from 
"Orthodox superstition" and held the Russians to be "Mongols" whose 
"fangs" must be kept out of the Balkans. 

Russia helped finance Bulgaria and Serbia, and sought to unify China 
once the Manchu state fell. With an indirect protectorate over Tibet and 
the addition of the literate and urbanized Georgian state, an unstable 
balance of power between the banker's paradise and the worker's 
paradise was reached. Unfortunately, Japan was a much better bet than 
China. Russia supported Afghanistan against England in the Anglo- 
Afghan war of 1879-1880, but this was not as significant as the recreation 
of Japan under the aegis of the Royal Navy. 

Had Russia not been a party to World War I, what might the world look 
like as a result? A realistic scenario could look like this: The exploding 
Russian population would have populated all Siberia and parts of 
Central Asia. She would have taken the Balkans and Constantinople, 
quite possibly with Germany's blessing. This would have permitted 
Russia's taking of most of the Middle East, or at least acting as the chief 
protector of the Orthodox Greeks and Arabs. Germany would see the 
rationality in an alliance with Russia over Vienna. Russian and German 
interests, ideology and political systems were quite similar. The Russian 
alliance with her old enemy England made little political sense for 
Russia, but controlling German expansion was London's priority by 
1910-1913. Germany realized that her alliance with Austria-Hungary 
would force Germany into any conflict Vienna might back itself into. 
This would not be in Germany's interest. Austria's poor military 
performance in the war, as well as her unstable economy, is what forced 
Germany to divide its military forces between two fronts. 

Russia's new and growing oil wealth, her immense natural resources, 
internal market and industrial capital would have financed a protectorate 
over all China and quite possibly southeast Asia. Much of Central Asia, 
under Chinese control, would have also come under Russian protection, 
if not occupation. Compared to English colonialism, Russian expansion 
was never exploitative, but defensive. 

This market, economic growth and continued population explosion 
would have drawn the remaining powers of the world to Russia. She 
would be seen as, militarily speaking, unassailable. Moving east instead 
of west, she would be no threat to the European balance of power. Any 
alliance with Germany would seal the nature of Europe as a strong 
traditionalist, royalist and Christian land power. Vienna would be worse 
than helpless, and might begin to unravel as the Germans of the empire 
sought union with Germany and the Slavic population looked to Russia. 
An angry and expansionist Hungary would be also helpless, constantly 
at war with her equally angry minorities. 

The Orthodox church would find a willing ally in (royalist) German 
Lutheranism and the growing Old Catholic movement. Had Russia and 
Greece joined with this schism from the Roman church, as originally 
planned, the Old Catholic Church would have grown substantially. 
There was already quite an interest among conservative Anglicans and 
some Lutherans in the Orthodox tradition. 

Much of western Canada would have come under Russian control from 
the population of Alaska, whose positive interaction with the native 
Aleutians made Russia a welcome presence, rather than an imperial one. 
Russian firms were already in Hawaii, and would have protected the 
monarchy there. The US financed the Hawaiian royal house's overthrow. 
Given Russia's welcome in much of Asia, there is no reason to believe the 
Hawaiian royal house (and other Pacific states) would not also see the 
benefit in a powerful, yet distant, protector. 

Russian imperialism was not profit seeking as the British empire was. It 
was defensive. Native populations were normally treated well, and, as in 
the case of the Armenians and Muslims of Asia, never were forced to 
convert to Orthodoxy or speak Russian. They took their oath to the Tsar 
on the Koran. Poland was granted one of the most liberal constitutions in 
the world, and Finland, another colony of Russia, was totally 
independent in every respect except foreign policy. Hence, there is no 
reason to hold that Russian imperial rule would have been resented, or 
even have been considered "rule" in the normal sense. 

Today, this seems like a fantasy barely conceivable. But for a time, prior 
to the mass slaughter of World War I, this was considered a viable reality 

in St. Petersburg and London. Goodson gives a glimpse as to why this 
might have been: 

In 1860 The State Bank of the Russian Empire was founded with the aim 
of boosting trade turnovers and the strengthening of the monetary 
system. Up to 1894 it was an auxiliary institution under the direct control 
of the Ministry of Finance. In that year it was transformed into being the 
banker of the bankers and operated as an instrument of government's 
policy. It minted and printed the nation's coins and notes, regulated the 
money supply and through commercial banks provided industry and 
commerce with low interest rate loans (Goodson, on Alexander II, 83-84). 

The opponents of the Pax Russica were not idle. St. Petersburg, for all its 
problems, was one nut the banking regime could not crack. If Russia 
continued its massive development, population growth and 
industrialisation, usury would be destroyed. The Russian state, more so 
than private capital, planned and directed investment with local funds. 
The French were the only substantial foreign presence in Russian 
industrialism. If this was to be replaced with Russo-German joint 
projects, usury would be under severe attack. Something had to be done. 
To give the reader a hint what this was, Goodson quotes Congressman 
FT McFadden's speech to the House of Representatives in 1932: 

They [western banks] financed Trotsky's mass meetings of discontent 
and rebellion in New York. They paid Trotsky's passage from New York 
to Russia so that he might assist in the destruction of the Russian 
Empire.They fomented and instigated the Russian revolution and they 
placed a large fund of American dollars at Trotsky's disposal in one of 
their branch banks in Sweden so that through him Russian homes might 
be thoroughly broken up and Russian children flung far and wide from 
their natural protectors. They have since begun the breaking up of 
American homes and the dispersal of American children. (Goodson, 116- 

McFadden was silenced. Mr. Goodson likewise. Your author lost an 
academic post for it.There is no issue like usury, and no power that can 
conceivably match that of compound interest. The left is the product of 
the banks, and much of the neocon "right" is as well. Monarchy was 
overthrown in its interest and replaced with a global oligarchy 

controlling, depending on the source, upwards of 80% of global GDP. All 
of this exists, of course, in the name of freedom, progress and democracy. 

We began this lengthy essay with the concept of usury and western 
banking being quite comfortable with radical left statism. We have come 
full circle, explaining how and why this demonic alliance has come to 
pass. It remains with us today, and the opposition to it remains anemic. 
Yet, it is not as if there is no reaction, however vague, to the continued 
monopolization of wealth and labour. 

Goodson does not end on a negative note. North Dakota is how Goodson 
ends his work. As if the reader needs more proof of the destructive 
tendencies of usury and fractional reserve finance. North Dakota 
established a state owned bank in which the revenues of the state are 
deposited. It provides low interest loans to farmers and small businesses. 
All profits revert to the state. Without the normal practices of compound 
interest charged against the citizen. North Dakota has not been affected 
by the real estate debacle of 2007. State GDP has grown by almost 100% 
since 1997, while personal income per capita has grown by about 140% in 
that same time frame. 

While the media has been quick to argue that North Dakota's success is 
exclusively due to its small petroleum industry, this kind of development 
has certainly not occurred in Alaska, which has far more oil than North 
Dakota. Nigeria is drowning in oil, and yet, she remains poor. Somalia 
and Chad, too, have rivers of oil, as do Indonesia and Burma, but all of 
these states also remain poor. Apparently, oil only benefits North Dakota 
and the Beverly Hillbillies. 

Indeed, the central strength of Goodson's book is its consistency. It has 
one thesis: wherever state banks rule the financial universe of an 
economy, that economy does very well. His analysis of 1930s Germany, 
Italy and early 20th century Japan all feature state controlled banks, low 
interest loans, state directed investment and a general loathing of 
libertarian free markets. They also feature triple digit growth rates, zero 
unemployment and low inflation. In our own day, China, Taiwan and 
Belarus all are in the same boat. 

Belarus, as Ukraine and Russia floundered once the IMF and Harvard 
University helped the Mafia rig privatization deals, saw its President, 

Alexander Lukashenko, halt privatization, centralize power, and 
nationalize finance. While Ukraine today has lost 70% of its industry and 
sees 80% of its well educated population below the poverty line, 
Belorussian unemployment is 1% and her industry has grown by an 
average of 10% yearly since 2000. The two Chinas likewise: when George 
Soros engineered the Asian currency meltdown of 1997, the only two 
economies unaffected were the two that had state-controlled banks, 
Taiwan and China. Former powerhouses like South Korea and Japan, as 
well as Thailand, became official wards of the IMF. Their lifetime 
employment was abolished, and living standards have fallen. 

Prior to the wars that ravaged both states, Libya and Syria were also 
registering double digit yearly growth, popular presidents and both 
countries were closing in on first world status. Both countries had state 
controlled banks and state-directed investment. The state was a partner 
in investment, not the result of it. Saddam Hussein's Iraq was doing the 
same until the US engineered the war with Iraq. 

The Burmese state bank is under the control of the Ministry of Finance, 
headed by Major-General Hla Tun with a western education in finance. 
His deputy is Colonel Hie Swe. Clearly, the Burmese are taking no 
chances with foreign manipulation of their currency. Burma's oil, rich 
soil, minerals, close ties with China, and its educated population are 
increasingly making it a target for western speculation, as well as 
political attacks. Given that country's civil war, western sanctions and 
separatist movements, she still has managed to build 10 universities, 
several dozen dams, increased literacy to 80% and ensured that peasants 
own their own land since 1999. If the reader has detected a pattern, then 
he is correct. 

Goodson's work, of course, is not flawless. It's errors, however, are 
minor. He holds that Gavrilo Princip was Jewish, and that his 
assassination of the Archduke Ferdinand started World War I. Princip 
was not allegedly Jewish, especially since he came from the backwater of 
western Bosnia, in the poor peasant village of Obljaj, which is totally 
rural and inaccessible. He was the child of poor peasants of Bosnian Serb 
stock. His mother's maiden name was the very Orthodox Misic. Neither 
his father nor mother have Jewish names, and his father's lowly job in the 
postal service does not scream "banking elitist." Princip was part of the 

“Young Bosnia" group, loosely connected to the military society "The 
Black Hand," also known as "Unification or Death." This was a 
nationalist organisation of military men that had no connection with the 
few Jews living in Serbia at the time. His extended family is Jovicevic, 
from Montenegro, where nary a Jew has ever tread. 

The assassination of Ferdinand did not start World War I. Serbia acceded 
to the demands of Vienna after the assassination, and Germany too, was 
impressed of the Serbian desire for peace. Serbia was completely 
exhausted from the Balkan Wars and could not fight yet again. 
Furthermore, the choice of target makes little sense: Ferdinand was more 
or less popular among the southern Slavs, as he was seen as the most 
pro-Serb of the royal family. 

Austria, on the other hand, was itching for a casus belli ever since the local 
rebellion against her occupation of Bosnia and artificial creation of the 
"state of Albania," which served to cut Serbia off from the sea and 
separate Montenegro from Serbia proper. 

The circumstances of the Grand Duke's visit were odd. Ferdinand was 
visiting Serbia and Bosnia on the Serbian national day, Vidovdan, when 
nationalist tempers were high. This was also the beginning of highly 
inflammatory military manoeuvres in Bosnia. Ferdinand lacked the 
normal security detail for royals visiting hostile territory. Ferdinand's 
motorcade was inexplicably rerouted by his own Austrian people, where 
Princip and some others were waiting. Yet, much to Germany's chagrin, 
even before the Serbian answer to the Austrian ultimatum was received, 
Vienna had declared war. 

These two errors are really of no significance, but they are common and 
understandable errors that needed to be addressed. These in no way 
detract from the immense accessibility and utility of this book, which 
deserves wide dissemination. For what it's worth, I endorse the work of 
Mr. Goodson whole-heartedly. 

Matthew Johnson PhD 



Review by Tom Sunic 

In the European popular consciousness money has traditionally been 
associated with something dirty, something criminal, something 
unworthy of European man, something taught to be savored and 
excelled at only by secretive foreigners and distant aliens. From 
Antiquity to Post-modernity tons of books have been written on the 
subject of cursed money and wretched gold. One needs to recall the 
scenes from the ancient Greek King Croesus, or the wretched Midas gold, 
or think about the mass slaughter in the medieval Niebelungen saga 
whose story revolves around hidden gold in the Rhine River and the 
suffering caused by that gold. 

Well, as Stephen Goodson reminds us in his book, neither have the 
obsession with abstract money, nor the practice of usury, and the role of 
gold, lost much of their deadly flavor today. In fact many modern 
business transactions and many global financial malpractices, spurred by 
the greed for gold, have become even deadlier, threatening this time 
around not just the survival of Western civilisation but the whole of 

First off one must make it clear that Goodson is not an adept of 
conspiracy theories, nor is he a Jew-baiting scribe whose prose often 
inflicts more harm than good to a reader wishing to enlighten himself on 
the subject of fictitious money and its not so fictitious creators. For that 
matter Goodson can sport his top notch references regarding the subject 
matter which he analyses in his book; he was a Board member of the 
SARB (South African Reserve Bank) with long experience in banking 
business, or to put it less prudishly, he was a first-hand observer of 
insider trading business. How is it possible that in our so-called best of 
all the democratic world, a world which boasts transparency and a free 
judiciary, most citizens haven't got the slightest clue as to who are the 
shareholders of major central banks, such as the Federal Reserve Bank in 
the USA and many other banks world-wide? Goodson demonstrates how 
in fact the famed American Federal Reserve has nothing to do with state 
property or the meaning of democracy in the USA, but serves instead as 

an anonymous corporation, as a crime syndicate of powerful financial 
movers and shakers. It is certainly no accident that ever since the 
explosion of the so-called housing bubble in the USA in 2008, not a single 
major banker, be it from Goldman Sachs, be it from J.P. Morgan, has been 
called to account for printing false money or handing out surreal loans. 
One hand washes the other — one might say. 

From Goodson's book transpires a remarkable knowledge of social and 
political circumstances of ancient Rome, or for that matter Cromwell's 
England, or Weimar Germany. Therefore, his book cannot be dismissed 
as just another boring piece in the mosaic of silly anti-Semitic and 
conspiratorial literature which one often encounters among many right¬ 
wingers. It is precisely Goodson's dispassionate narrative, well 
embedded in the framework of different historical periods which makes 
his book not just an informative and scholarly literature, but also a 
refreshing read for a novice wishing to find out more about the mystique 
of money. 

Usury seems to have been for ages at the heart of social upheavals and 
wars.The ancient Romans experienced its blows many times, which 
ultimately lead to Rome's demise. Goodson portrays the Roman 
statesman Caesar's social and economic reforms, his introduction of the 
first welfare system, the remission of rents for many destitute Roman 
citizens, and finally Caesar's interdiction of charging interest on the 
already existing credit interest. The Roman Empire briefly flourished. 
Many aristocrats, however, could not tolerate Caesar's magnanimity 
towards the poor and decided to kill him. Usurers, of whom many were 
foreigners of Jewish origin, alongside their fawning Gentile lackeys, seem 
to have been the major transmission belt in the growth of corruption and 
decline of Western civilization. 

Similar patterns of economic growth and decline could be observed 
during the drafting and adoption of the famed Magna Carta in medieval 
England whose prime goal was to cancel the bonds of the earlier Jewish 
moneylenders and to abolish usury. Indeed, several decades later, in 
1290, the implementation of Magna Carta was followed by the expulsion 
of the Jews from England. A cautious reader may justifiably ask the 
question as to why so many classical authors, let alone illiterate 
European commoners, have throughout the ages blamed the Jews for all 

social and economic ills and why have Jews been so often victims of 
savage persecutions? Far from engaging in hate speech or vilifying the 
Jews the author correctly documents the inordinate percentage of Jews in 
the moneylending business, a detail which has historically contributed to 
their own tragic fate. 

Neither does the author circumvent the power of new political and 
theological ideas, notably the rise of early Calvinism and the birth of the 
new mindset among the 16th and 17th century European and American 
politicians and opinion makers. Calvin's teachings about predestination 
and the important social role model he had assigned to the merchant had 
a huge impact on political life in Europe and in the newly discovered 
America. The merchant and the usurer, became, so to speak, the new role 
models in high politics and finances, somebody worthy of emulation, 
somebody to be used as a superego by Gentiles. This Gentile mimicry of 
Jews, via early Calvinism and Puritanism, spread rapidly, first in early 
capitalist America and later, particularly after the Second World War, in 
continental Europe. Goodson notes how the 16th century English 
revolutionary and Calvinist fanatic, Oliver Cromwell, thought of himself 
as a "chosen one", and not just as an ordinary Shabbat goy. Soon after 
the beheading of King Charles I, Cromwell reopened the gates of 
England for the warm welcome of the Jews. 

The author also throws an interesting light on the quality of life of 
commoners in late medieval England, a country in which in many 
aspects the quality of life was superior to the quality of life in our 
modern societies. In the 14th and 15th century, English commoners 
worked less than 14 weeks per year. If we were to judge happiness and 
the quality of life only by the number of electrical appliances and our 
bank accounts, we'll never be able to understand the real meaning of 
happiness. In many instances, however, the so-called dark ages in 
England and continental Europe looked much brighter than our own 
dark age. Much of the church architecture of that time was the direct 
expression of popular joy, where the quest for spiritual transcendence 
was far more in demand than the fleeting bliss of the modern system in 
which money hoarding has become a new secular religion. 

And then came the bad news. In 1694, the Bank of England was created, 
the model on which all central banks in Europe and later in the USA was 

replicated. Soon thereafter started, what modern academics call, 
“modernity", which in reality meant reducing people to servitude. 
English big time financiers did not like the fact that early US colonies had 
issued their own money and showed hostility to the Bank of England. 
The attempt of England at abolishing US currency was also the prime 
cause of the American Revolution. To a large extent 19th century 
America prospered precisely because of the absence of a central bank. 
One must not forget, as the author states, that Andrew Jackson's 
presidential campaign was carried out under the banner “VOTE 
ANDREW JACKSON, NO BANK!" The ominous year for the USA, as 
well as for the entire world was the creation of the Federal Reserve Bank 
in 1913, which indirectly precipitated the Western world into two world 
wars and hundreds of local wars all over the world. 

Nor was the situation rosy for American citizens. Although becoming 
much envied citizens of a global superpower, since 1919 until 2014, the 
US national debt has skyrocketed from US$2.6 billion to US$17.5 trillion. 
Nobody wants to publicly state it, but most American and Western 
citizens live not a life on credit, but rather thrive and vegetate with their 
death on the instalment plan. The time of the mega crash and the end of 
the white race may be just around the corner. 

The author describes similar fiat money and different forms of banking, 
wheeling and dealing in other parts of Europe, as well as the rise of 
Bolshevik Russia, largely financed by the Jewish New York bankers. The 
merit of his book is that he does not look at the banking environment in a 
black and white fashion but always searches for some shading in 
between. It is commendable that Goodson also mentions the German 
economist Gottfried Feder, who was himself one of the most outspoken 
critics of usury and compound interest in Weimar Germany. The 
problem though with the name “Feder" is that this renowned economist 
was also for some time affiliated with National Socialism, which may 
unquestionably raise some eyebrows and red flags even among the most 
dispassionate readers of Goodson's book. How can one today, in our 
politically correct and self-censored academic environment, extract from 
some early national socialist scholar something positive? National 
Socialism, being today officially depicted as the symbol of absolute evil 
must never contain something that might be accepted as relatively good 

— even in apolitical fields such as sport, ecology, let alone economics. 
Feder, based on his study of heavy reparation monies Weimar Germany 
had to pay to the victorious side after WWI, had come to the conclusion 
that paying compound interest would impoverish citizens and result in 
mass unemployment. Feder's teaching could be applied today, especially 
if one considers possible remedies in tackling the huge sovereign debt of 
all Western countries combined. 

In a somewhat less pessimistic note the author mentions the amazing 
success of the US state of North Dakota, whose bank has enabled North 
Dakota to become the most dynamic state with the lowest 
unemployment rate in the USA. How North Dakota will weather the 
storm in years to come remains to be seen. As long as main stream 
academics and the media hesitate to tackle the root causes of the 
incoming financial chaos, the USA, along with its Western satellites, will 
likely be heading from one disaster to another. 

Dr. Tomislav Sunic 




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C. A. Lindbergh, The Economic Pinch (Lindbergh on the Federal Reserve), The 
Noontide Press, Costa Mesa, California, 1989. 

D. Marsh, The Bundesbank: The Bank That Rules Europe, William 
Heinemann Ltd, London, 1992. 

E. S. Mason and R.E. Asher, The World Since Bretton Woods: The Origins 
Policies, Operations and Impact of the International Bank for Reconstruction, 
Brookings Institution,Washington D.C., 1973. 

'Collective Speeches of Congressman Louis T. McFadden', Omni Publications, 
Hawthorne, California, 1970. 

S. McIntyre, A Concise History of Australia, Cambridge University Press, 
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S.S. Montefiore, Stalin: The Court of the Red Tsar, Weidenfeld & Nicolson, 
London, 2005. 

N. Miihlen, Hitler's Magician: Schacht The Life and Loans of Dr Hjalmar 
Schacht, trans., E.W. Dicks, George Routledge & Sons Ltd, London, 1938. 

E. Mullins, The Secrets of the Federal Reserve, Bankers Research Institute, 
Staunton, Virginia, 1993. 

C.S. & R.L. Norburn, A New Monetary System Mankind's Greatest Step, 
Omni Publications, Hawthorne, California, 1972. 

T. Pakenham, The Boer, Jonathan Ball Publishers, London, 1979. 

J. Perkins, Confessions of an Economic Hitman, Plume, New York, 2005. 

E.N. Peterson, Hjalmar Schacht: for and against Hitler: A political economic 
study of Germany, 1923-1945, The Christopher Publishing House, Boston, 
1954. ' 

"Ezra Pound Speaking" Radio Speeches of World War II, Edited by L.W. 
Doob, Greenwood Press, Westport, Connecticut, 1978. 

P.J. Pretorius, Volksverraad, Die Geskiedenis agter die Geskiedenis, Libanon- 
Uitgewers, Mosselbaai, Western Cape, South Africa, 1996. 

The Protocols of the Meetings of the Teamed Elders of Zion, translated from 
the Russian text by Victor E. Marsden, former Russian correspondent of 
“The Morning Post", London, 1934. 

Muammar A1 Qathafi, The Green Book, Public Establishment for 
Publishing, Advertising and Distribution, Tripoli, Libya. 

C. Quigley, Tragedy and Hope A History of the World in Our Time, The 
Macmillan Company, New York, 1966. 

A.H.M. Ramsay, The Najneless War, Britons Publishing Co., London, 1952. 

R.V. Remini, Andrew Jackson, Twyne Publishers Inc., New York, 1966. 
J.Robison ,Proofsofa Conspiracyagainstallthe Religionsand Governments of 
Europe, carried on in the Secret Meetings of Free Masons, Illuminati, and 
Reading Societies, collected from Good Authorities, Western Islands, 

Belmont, Massachusetts, 1967. 

J.E.T. Rogers, The First Nine Years of the Bank of England, Clarendon Press, 
Oxford, 1887. 

A. Rosenberg, The Myth of the Twentieth Century, The Noontide Press, 
Torrance, California, 1982. 

R. Rudman, England Under The Heel Of The Jew, https://www.scribd. 

J. Ryan-Collins, T. Greenham, R. Werner, A. Jackson, Wliere Does Money 

Come From, A Guide to the UK Monetary and Banking System, New 
Foundation, London, 2012. 

R.S. Sayers, The Bank of England 1891-1944, Cambridge University Press, 

W. Scott, The Life of Napoleon Bonaparte Volume II, University Press of the 
Pacific, Stockton, California, 2003. 

R.E. Search, Lincoln Money Martyred, Omni Publications, Palmdale, 
California, 1989. 

W.G. Simpson, Which Way Western Man?, Yeoman Press, Cooperstown, 
New York, 1978. 

F. Soddy, Wealth, Virtual Wealth and Debt, G. Allen & Unwin, London, 

O. Spengler, The Decline of the West, The Modern Library, Random House, 
New York, 1932. 

N. Starikov, Rouble Nationalization The Way to Russia's Freedom, St 
Petersburg, Piter, 2013. 

T.L. Stoddard, Into The Darkness: An Uncensored Report From Inside The 
Third Reich At War, Ostara Publications, Burlington Indiana, 1940. 

J.G. Stuart, The Money Bomb, William Maclellan (Embryo) Limited, 
Glasgow, 1984. 

A.C. Sutton, Wall Street and the Bolshevik Revolution, Arlington House 
Publishers, New Rochelle, New York, 1981. 

V. Suvorov, The Chief Culprit Stalin's Grand Design to Start World War II, 
Naval Institute Press, Annapolis, Maryland, 2008. 

I.Tarbell, A Short Life of Napoleon, S. S. McClure Limited, New York, 1895. 

A.J.P. Taylor, The Origins of the Second World War, Hamish Hamilton, 
London, 1961. 

H.A. Thomas, Stored Labor: A New Theory of Money, 1991. 

G. M. Trevelyan, English Social History, A Survey of Six Centuries Chaucer to 
Queen Victoria, Longmans Green and Co., London, 1948. Verheimlichte 
Dokumente - Was den Deutschen verschwiegen wird, Lz-Verlag, Munich, 


L. Villari, Italian Foreign Policy under Mussolini , Holborn Publishing Ltd, 
London, 1959. 

T.E. Watson, Sketches from Roman History, The Barnes Review, 
Washington, DC, 2011. 

N.H. Webster, The French Revolution,The Noontide Press, Costa Mesa, 
California, 1982. 

J. Weitz, Hitler's Banker Hjalmar Horace Greely Schacht, Little, Brown and 
Company, London, 1999. 

R.G. Werner, Princes of the Yen, M.E. Sharpe, New York, 2003. 

R. McNair Wilson, Monarchy or Power, Eyre & Spottiswoode, London, 

F.P. Yockey, Imperium, The Noontide Press, Torrance, California, 1983. 

m D. Astle, The Babylonian Woe, Private Edition, Toronto 1975, 162. This system bears many 
similarities to the pelanors or ingots of iron, which were used by the Spartans as the basis of their 
monetary system. 

— Ludwig von Mises (1881-1973) was one of the leaders of the Austrian School of Economics and 
an ardent proponent of the gold standard. 

131 For an unsparing indictment of the harmful effects of usury on the general population prior to 
the promulgation of the lex Poetilia see Titus Livius, The History of Rome, Book II, English 
translation, William Heinemann Ltd, London, 1919. 

121 "The imperial democracy that held the world beneath its sway, from the senators who bore 
historic names down to the humblest tiller of the soil, from Julius Caesar down to the smallest 
shopkeeper in the back streets of Rome, was at the mercy of a small group of usurers," as quoted 
in G. Ferrero, Greatness and Decline of the Roman Empire, Vol. vi, William Eleinemann Ltd, London, 
1908, 223. 

151 Cicero, Marcus Tullius: "Softly! Softly! I want none but the judges to hear me. The Jews have 
already gotten me into a fine mess, as they have many another gentleman. I have no desire to 
furnish further grist for their mills," as quoted in W. Grimstad, Antizion, Noontide Press, 

Torrance, California, 1985, 29. Cicero was serving as defence counsel at the trial of one Flaccus, a 
Roman official, who interfered with Jewish gold shipments to their international headquarters 
(then, as now) in Jerusalem. Cicero himself was not a nobody, and for one of his stature to have to 
"speak softly" shows that he was in the presence of a dangerously powerful sphere of influence. 

In which case, one wonders who the real persecutors were. 

“ T.E. Watson, Sketches from Roman History, The Barnes Review, Washington, DC, 2011, (first 
published in 1908), 84-85. 

m "When the Government of old Egypt fell, 4 per cent of all the people owned all the wealth. 
When the Babylonian civilisation toppled, 3 per cent of the people owned all the wealth. When 
old Persia went down to destruction, 2 per cent of the people owned all the wealth. When ancient 
Greece fell in ruins, one-half of 1 per cent of the people owned all the wealth. When the Roman 
Empire fell, two thousand people owned the wealth of the civilized world. Then followed the 
Dark Ages, from which the world did not recover until wealth was no longer concentrated. Today 
less than 1 per cent of the people controls 90 per cent of the wealth of these United States." - as 
quoted in R. Maguire, "Money Made Mysterious", American Mercury magazine. New York, 1958, 
98. ( American Mercury was founded by H.L. Mencken in 1924). 

121 Latinisation of Mierce. 

121 S.M. Goodson, In Praise of Medieval England, Spearhead, July 2005. 

1121 R. Chazan, The Jews of Medieval Western Christendom 1000-1500, Cambridge University Press, 
New York, 2006,159. 

1121 W. Cunningham, The Growth of English Industry and Commerce during the Early and Middle Ages, 
Cambridge University Press, 3rd edition, 1896, 201. 

220 Background to the Magna Carta, The Occidental Observer, May 19, 2013. 

1121 Ibid. 

1221 The ritual murder of pre-adolescent Christian boys was the tipping point, which resulted in 

the expulsion of the Jews. At the time of the Jewish Passover a boy would be captured and then 
bled to death. The blood would then be mixed with unleavened dough, baked and later eaten as a 
rabbinical cake. The first known case occurred in 1144 and the most famous one is that of Little St 
Hugh of Lincoln in 1255. King Henry III personally ordered a judicial investigation, which 
included a forensic examination by the judges. 91 Jews were arrested for their participation in this 
gruesome murder, in which the victim was tortured, crucified, bled to death and then dumped 
into a well. Details of this court case may be found in the Close Rolls of the Realm and the Patent 
Rolls, Henry III at The National Archives, Kew, Richmond, Surrey, TW9 4DU. Geoffrey Chaucer 
wrote a poem commemorating Little Hugh's murder in the Prioress's Tale, which forms part of 
the Canterbury Tales. The Brothers Grimm wrote "Der Judenstein" (The Jew's Stone) about the 
ritual murder of two year old Andreas (Anderl) Oxner in Rinn, Austria in 1492. In My Irrelevant 
Defence: Meditations Inside Gaol and Out on Jewish Ritual Murder, The I.F.L. Printing and Publishing 
Co., London, 1938, 57 pp. Arnold Leese alleges that ritual murder was still taking place in the 20th 
century. In February 2007, Israeli Professor Ariel Toaff, son of Elio Toaff the former Chief Rabbi of 
Rome, wrote Basque di sangue: Ebrei d'Europa e omicidi rituali (Passovers of Blood: The Jews of 
Europe and Ritual Murders) in which he confirms the prevalence of ritual murder in medieval 
Italy. For an analysis of this work see The Bloody Passovers of Dr Toaff by Israel Shamir 1 .htm 

1111 D. Astle, The Tallies, A Tangled Tale and The Beginning and the Ending, Private Edition, Toronto, 
1997, 40 & 43. Astle is of the opinion that some of these Jews settled in Switzerland and 
established the original three cantons of Uri, Schwyz and Ob - and Niwalden one year later. 

421 In 1364 Edward III empowered the City of London to issue an Ordinatio contra Usurarios and a 
further Act was passed in 1390. 

1121 D. Astle, op.cit., 12-17. 

1421 In an act of supreme irony on 16 October, 1834 piles of broken tally sticks were used to heat the 
House of Commons. The fiercely burning tally sticks raged out of control and the entire complex, 
with the exception of Westminster Hall and St Stephen's Cloister, was burnt to the ground. The 
mosaic floor of the entrance hall of the rebuilt House of Commons (possibly as a result of 
Rothschild influence) was designed in the shape of a giant Star of David. 

1121 G.M. Trevelyan, English Social History, A Survey of Six Centuries Chaucer to Queen Victoria, 
Longmans Green and Co., London, 1948 writes that England was "a land whose people would 
not endure taxation" 63 and that "an obstinate refusal to pay taxes was a characteristic of the 
English at this period," 107. 

1241 R.K. Hoskins, War Cycles - Peace Cycles, The Virginian Publishing Company, Lynchburg, 
Virginia, 1985, 54. 

1221 Copyhold was a form of manorial land rights which evolved from the system of serfdom. 

1221 H.S. Chamberlain, The Foundations of the Nineteenth Century, The Bodley Head, London, 1912, 
Vol. II, 354-355. 

1221 G.M. Trevelyan, op.cit., 51. 

1221 Alhambra Decree also known as the Edict of Expulsion. 

1221 A. M. Andreades, History of the Bank of England, P.S. King & Son Ltd, London, 1935, 35. Pepys 
described these extortionate rates of interest as "a most horrid shame." 

1221 Ibid., 24. The author has also relied on Israel Disraeli's " Usurers of the Seventeenth Century.” stranger 

123 Ibid., 24. 

1221 Ibid., 47. 

1221 Ibid., 24-25. 

1221 A.H.M. Ramsay, The Nameless War, Britons Publishing Co., London, 1952,11. Calvin originally 
came from France where his name was spelt Cauin, a corruption of Cohen. At a B'nai Brith 
meeting in Paris reported in The Catholic Gazette of February 1936 he was claimed to have been of 
Jewish extraction. 

1211 Ibid., 11. 

1221 Ibid., 12-13. 

1321 Ibid., 13. 

1221 A. M. Andreades, op.cit., 30. 

1221 A.H.M. Ramsay, op. cit., 14-15. According to a letter published in Plain English on 3 September, 
1921:- "The Learned Elders have been in existence for a much longer period than they have 
perhaps suspected. My friend, Mr. L.D. van Valckert of Amsterdam, has recently sent me a letter 
containing two extracts from the Synagogue at Mulheim. The volume in which they are contained 
was lost at some period during the Napoleonic Wars, and has recently come into Mr. van 
Valckert's possession. It is written in German, and contains extracts of letters sent and received by 
the authorities of the Mulheim Synagogue." 

1351 Ibid., 16. 

1221 An informal alliance of agitators and pamphleteers, who predated the Jacobins and Bolsheviks. 

1221 H.S.A. Henriques, The Jews and the English Law IV, The Jewish Quarterly Review, Vol. 14, No. 4, 
Jul. 1902, 653-697. 

021 A.H.M. Ramsay, op.cit., 16-17. 

1221 A.M. Hyamson, A History of the Jews in England, Methuen, 1928 as quoted in A.N. Field, All 
These Things, Omni Publications, Hawthorne, California, 1936, 215. 

1221 D. Astle, op.cit., 44. 

1221 A. Del Mar, The History of Money in America From the Earliest Times to the Establishment of the 
Constitution, Omni Publications, Hawthorne, California, 1966, (first published in 1899), 66. 

1221 A.H.M. Ramsay, op.cit., 18. 

1221 A.N. Field, op.cit., 218. 

1221 A. M. Andreades, op.cit., 60. At that time the profession of buccaneer was not deemed to be 

1221 Ibid., 66. 

1221 W.G. Simpson, Winch Way Western Man?, Yeoman Press, Cooperstown, New York, 1978, 621. 
1221 F.J. Irsigler, On The Seventh Day They Created Inflation, Wynberg, Cape, South Africa, 1980, 5. 

1221 J.E.T. Rogers, The First Nine Years of The Bank of England, Clarendon Press, Oxford, 1887,4. 

1221 A. M. Andreades, op.cit., 69. 

1212 House of Commons Information Office, House of Commons, London. 

1221 Legislation for the privately-owned US Federal Reserve Bank was voted on 23 December 1913, 
after President Woodrow Wilson had threatened to deny the legislators their Christmas recess if 
they did not vote for the bill. H.S. Kenan, The Federal Reserve Bank, The Noontide Press, Los 
Angeles, 1966,19-20. 

2221 D. Astle, oip.cit., 55. 

^ A. M. Andreades, op.cit., 55. 

1511 J.E.T. Rogers, op.cit., 106-107. 

1221 F.J. Irsigler, op.cit., 5. 

1521 A. M. Andreades, op.cit., 119. 

1221 W.D. Bowman, The Story of the Bank of England, Herbert Jenkins Ltd, London, 1937, 291. 

1521 A. M. Andreades, op.cit., 162. 

11221 100% of the bank's shares were held by the Rothschilds and their associates. 

2111 In 1836 President Andrew Jackson closed down the Second Bank of the United States by 
withdrawing all government deposits. It had received its 20 year charter in 1816. The Rothschilds 
and their associates held 80% of the stock and the US government the balance. 

11121 NWO Forbidden History (1765-1816). Concurrent with his 
appointment as prime minister on 4 October 1809, Perceval also served as Chancellor of the 
Exchequer, to which office he was appointed on 28 March 1807. He was thus fully acquainted 
with intricacies of high finance. During his chancellorship his Secretary to the Treasury was John 
Charles Herries, a personal friend and secret confidant of Nathan Rothschild. See N. Ferguson, 
The House of Rothschild, Money's Prophets 1798-1848, Vol. 1, Penguin Books, London, 1999, 86. 
(Professor Ferguson is an insider, who attended the 2012 Bilderberg conference held in Chantilly, 
Virginia, USA). 

11221 W.D. Bowman, op.cit., 290. 

1211 W. Cobbett, The Political Register, Vol. XVIII, No. 1, London, 14 July, 1810. 

1521 Ibid., 207. 

1221 W.D. Bowman, op.cit., 228 and A. M. Andreades, op.cit., 417-427. 

1221 A. M. Andreades, op.cit., xii and 261. 

2221 A few days after England declared war on 4 August 1914, as an emergency measure £300 
million worth of Bradbury pound notes in denominations of 10/- and £1 were issued free of debt 
and interest. They were soon replaced by war loans. Nobel laureate Professor Frederick Soddy 
explains the fraudulent manner in which these loans were raised as follows. "Tire Bank of 
England issued circulars offering to lend at 3 per cent the money necessary to secure War Loans 
upon which the taxpayer was to provide 4 per cent. So that for each pound the taxpayer 

contributed, the bank would receive 15s, and the bogus subscriber 5s. The bank took no risk, for it 
would hold the new scrip as collateral security for their loan until the debt was redeemed." F. 
Soddy, Wealth, Virtual Wealth and Debt, G. Allen & Unwin, London, 1933, 225. 

22 A.N. Field, op.cit., 164-165. 


1211 At the battle of Trafalgar, 21 October 1805, the French lost eleven ships. 

22 W.G. Simpson, Winch Way Western Man?, Yeoman Press, Cooperstown, New York, 1978, 230. 
1221 N. Starikov, Rouble Nationalization The Way to Russia's Freedom, St Petersburg, Piter, 2013, 57-58. 
1221 These events are better known as the Mississippi scheme. 

1221 N. Starikov, op.cit., 59. 

221 See Chapter IV page 67 for a description of how the Bank of England destroyed the Assignat 
currency of revolutionary France. 

1221 Jacobins were originally members of a revolutionary, extreme left political movement that 
supported a centralised republic. During the revolution they implemented the Reign of Terror. 
The Jacobin club was located in Rue Saint-Jacques, Paris. 

221 R. McNair Wilson, Monarchy or Power, Eyre & Spottiswoode, London, 1934, 92. 

221 This is similar to the motto of Vichy France "travail, famille, patrie” - work, family, fatherland. 
22 R. McNair Wilson, op.cit., 97. 

211 Ibid., 97. 

221 Ibid., 97. 

22 Ibid., 96. 

22 C. Quigley, Tragedy and Hope A History of the World in Our Time, The Macmillan Company, 

New York, 1966, 515. According to Sir Walter Scott in Life of Napoleon, Vol. 2, "the whole finances 
of France were brought to a total confusion". See also Chapter Three, The Men Who Caused the French 
Revolution 1789-1799. 



22 A History of Banking in all the Leading Nations; comprising the United States; Russia; 
Holland; The Scandinavian Nations; Canada; China; Japan; compiled by 13 authors. Edited by the 
Editor of The Journal of Commerce and Commercial Bulletin, New York, 1896, Vol. 3 (France, Italy, 
Spain, Portugal, Canada). 

221 Encyclopedia Britannica, 1964, Vol. 3,132. 

22 Editor of The Journal of Commerce and Commercial Bidletin, op.cit. 

22 Ibid. 

22 According to Encyclopedia Britannica, 1964, Vol. 19, 573, the Rothschilds "raised" £100 million 

for the governments of Europe during the Napoleonic wars. 

1221 This was the first of six different coalition armies. 

1221 See N. Ferguson, The House of Rothschild, Money's Prophets 1798-1848, Vol. I, Penguin Books, 
London, 1999, 95-99, for how the Duke of Wellington's army was financed. In 1936 Eberhard 
Muller wrote a play Rothschild Wins at Waterloo, in which Rothschild intones lines such as "My 
money is everywhere, and my money is friendly. It is the friendliest power in the world, fat, 
round as a bullet and smiling"; My fatherland is the London Stock Exchange"; and "The wealth of 
England is in my hands.", 23. 

1221 assassination w.html The causes of Napoleon's death 
have been extensively researched by the late Ben Weider, who on 18 February 1998 delivered a 
lecture entitled The Assassination of Napoleon at the Sandhurst Military Academy, London. Weider 
has identified Comte Charles Tristan de Montholon as the most likely poisoner. He was in 
constant daily contact with Napoleon and had a dissolute character and a criminal background, 
which would have provided the perfect profile for a Rothschild assassin. Arsenic which is a 
colourless, odourless and tasteless substance, would have been most likely added to Napoleon's 
daily consumption of red wine, which was obtained from the Groot Constantia wine estate near 
Cape Town. (Cf. The death of Baron Pyotr Wrangel (1878-1928), Commander-in-Chief of the 
Southern White Russian Army, who was poisoned on the orders of Stalin by the brother of his 
butler who was staying with the Wrangel family in Brussels, Belgium). 

1221 Most of the US presidents, who have been assassinated, were involved in monetary reform. 
They are presidents Abraham Lincoln, James Garfield, William McKinley, Warren G. Harding 
and John F. Kennedy. President Richard M. Nixon had expressed great interest in reforming the 
US Federal Reserve Bank while in office, and this may have been a contributing factor to his 

1221 Simplon Pass. One of the principal reasons why Napoleon built this pass was to facilitate 
transportation of his artillery to Italy. 

1221 1. Tarbell, A Short Life of Napoleon, S. S. Mcclure Limited, New York, 1895, Chap. VI Napoleon 
As Statesman And Lawgiver - Finances - Industries - Public Works. http://historv- 

1221 Comte Emmanuel Augustin Dieudonne Joseph Las Cases (1766-1842). He recorded Napoleon's 
reminiscences, reflections and aspirations, which were later published in the Memorial de Sainte- 

R. McNair Wilson, op.cit., 98-99. The author has visited the house where Peter the Great lived 
for a short while in Zaandam, Holland in 1697. Napoleon visited the house on 13 October 1811 
and signed his name with a flourish on one of the interior walls - Napoleon Bonaparte Imperator. 

1221 4 Geo. IIIc. 34 

12221 T.H. Goddard, History of Banking Institutions of Europe and the United States, H.C. Sleight, 1831, 

12221 Hamilton was born of a French Huguenot mother Rachel Faucett Levine on 11 January 1755 
or 1757 on the Caribbean island of Nevis in the shadow of Mount Zion. It is probable that 
Hamilton was not his real name. The author has visited the island and the Hamilton museum. 

551 Letter to Major John Cartwright 5 June 1824. 

J R. E. Search, Lincoln Money Martyred, Omni Publications, Palmdale, California, 1989, (first 
published in 1935), 38. 

15551 Ibid., 38-39. 

111151 US Constitution, Article I, Section 8, Clause 5. 


11511 L. Even, This Age of Plenty, A new conception of economics: Social Credit, Pilgrims of St. Michael, 
Rougemont, Quebec, 1996, Chap. 49, History of Banking Control in the United States, 325. 

5511 N. Ferguson, The House of Rothschild, Money’s Prophets 1798-1848, Vol. 1, Penguin Books, 
London, 1999, 86. 


11151 M. Gillen, Assassination of the Prime Minister: the shocking death of Spencer Perceval, Sidgwick & 
Jackson, London, 1972, 185 pp. 

15151 Patrick Carmack, Bill Still, The Money Masters: How International Bankers Gained Control of 
America (video, 1998), text at 

1 1 R.V. Remini, Andrew Jackson, Twyne Publishers Inc., New York, 1966,158. 

11 1 R.E. Search, op.cit., 43. 

5151 For an expose of freemasonry see J. Robison, Proofs of a Conspiracy against all the Religions and 
Governments of Europe, carried on in the Secret Meetings of Freemasons, Illuminati, and Reading 
Societies, collected from Good Authorities, Western Islands, Belmont, Massachusetts, 1967, (first 
published in 1798), 304 pp. 

5151 0.P. Chitwood, John Tyler Champion of the Old South, Russell & Russell, 1964, (first published in 
1939), 249-251. 

5151 The Confederate government issued its own debt and interest free currency known as 
"graybacks". They were, however, less successful as large volumes were counterfeited by the 
Union government. 

1 1 R.E. Search op.cit., 67. 

5151 Appleton Cyclopedia, 1861, 286. 

5151 In a letter written on 16 December 1864, Lincoln thanked Colonel Taylor for his wonderful 
idea. See Appendix I. 

51111 R.E. Search, op.cit., 114-31. Booth was said to have been a speaker of the "Hebraic tongue" and 
frequently attended synagogue services. 

551 Born in Alzey, Germany as Schonberg. See also N. Ferguson, The House of Rothschild, Money's 
Prophets 1798-1848, Vol. 1, Penguin Books, London, 1999, 370-375. 

551 Ibid., 66-68. This event was later described in a novel, by W.H. Harvey, Coin Publishing 
Company, 1894. "The hard core of the conspiracy is that the London bankers, who were also 

Jewish, decided to destroy the United States by the manipulation of the currency. In A Tale of Two 
Nations the story is cast in the form of a melodramatic novel in which the spider at the centre is B 
Rothe, a name, the significance of which was not lost on a generation which had heard a great 
deal about the doings of the Rothschilds. Rothe, decides that for personal gain and to prevent 
America from becoming strong financially he must bring about the demonetisation of silver." R. 
Gollam, The Commonwealth Bank of Australia: Origins and Early History, Australian National 
University Press, Canberra, 1968, 45-46. 

11311 See Official Proceedings of the Democratic National Convention, Held in Chicago, Illinois, July 7, 8, 
9, 10, and 11, 1896, (Logansport, Indiana, 1896), 226-234 where former Congressman William 
Jennings Bryan delivered his famous Cross of Gold speech, "...we shall answer their demands for a 
gold standard by saying to them, you shall not press down upon the brow of labor this crown of 
thorns. You shall not crucify mankind upon a cross of gold" 

11311 C.A. Lindbergh, The Economic Pinch (Eindbergh on the Federal Reserve), The Noontide Press, 
Costa Mesa, California, 1989, (first published in 1923), 93-94. 

11331 E. H. Brown, The Web of Debt The Shocking Truth About Our Money System And How We Can 
Break Free, Third Millenium Press, Baton Rouge, Louisiana, 2008, 96. 

11331 A. Garfield 

11331 Speech given to New York Chamber of Commerce. 

11331 H.S. Kenan, The Federal Reserve Bank, The Noontide Press, Los Angeles, 1968, 92-99. 

11331 Ibid., 104. 

11331 The Senate, Vol. 51, November 1912. 

11311 E.M. Josephson, The “Federal" Reserve Conspiracy & Rockefellers, Chedney Press, New York, 
1968, 52. 

13311 Ibid., 43. President Wilson was a victim of Jewish blackmail. See M.C. Piper, The Making of 
Woodrow Wilson - An American Nero?, The Barnes Review, Washington D.C., Vol. VI, No. 2, 
March/April, 2000, 6-12. 



11331 On 25 July 2012 a proposal by Congressman Dr. Ron Paul (Republican, Texas) that the US 
Federal Reserve Bank be subjected to a transparent public audit was passed by 327 to 98 votes. As 
he remarked at the time, " I think that they [the Federal Reserve] can deal in trillions of dollars 
and know that nobody is allowed to ask them a question is a moral hazard. And this removes that 
moral hazard." USA Today, On Politics. 

331 The House of Rothschild is currently the majority shareholder with a stake of 58%. See E. 
Mullins, The Secrets of the Federal Reserve, Bankers Research Institute, Staunton, Virginia, 1993,47- 

11331 On 20 June 1992 JP Morgan acquired Manufacturers Hanover Trust Company and the latter's 
shareholding in the US Federal Reserve Bank. 

13331 Maj.-Gen. Count A. Cherep-Spiridovich, The Secret World Government or "The Hidden Hand", 

The Anti-Bolshevist Publishing Association, New York, 1926,41. Not one of these tsars reached 
an old age. Their average age at death was 53. See also S. Goodson Murdering the Czars: The 
Rothschild Connection, The Barnes Review, Washington D.C., Vol. XX, No. 5, September/October 
2014, 38-40. 

A. Del Mar, Money and Civilization: Or a History of the Monetary Laws and Systems of Various 
States Since the Dark Ages, and Their Influence upon Civilization, Omni Publications, Hawthorne, 
California, 1975 (first published in 1886), 313. 

1 1 The State Bank of the Russian Empire, The Central Bank of the Russian Federation, 12 
Neglinnaya Street, Moscow 107016. 

11111 On 13 March 1881 Tsar Alexander II was assassinated in St Petersburg by members of a 
Jewish terrorist organisation Narodnaya Volya (The People's Will). 

1111 Pyotr Arkadyevich Stolypin (1862-1911) was prime minister of Russia 1906-11. On 18 
September 1911 he was assassinated by a Jewish terrorist Dmitri Bogrov (real name Mordechai 

11111 G. Buchanan, My Mission to Russia and Other Diplomatic Memories, Cassell and Company 
Limited, London, 1923, 161. 

11111 G. Knupffer, The Struggle for World Power, Revolution and Counter-Revolution, The Plain-Speaker 
Publishing Company, London, 1971, 230. 

11111 1 pood = 16.38kg 

11111 1 ruble = two shillings gold; 9.4 rubles = £1. 

11111 G. Knupffer, op.cit., 139-40. 

1121 Ibid., 142. 

11111 W.S.L. Churchill, Zionism versus Bolshevism. A Struggle for the Soul of the Jewish People, 
Sunday Illustrated Herald, 8 February 1920. Churchill blamed the revolution on a "world 
conspiracy for the overthrow of civilisation and for the reconstitution of society on the basis of 
arrested development, of envious malevolence and impossible equality, [which] has been steadily 
growing.... 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 become practically the undisputed masters of that enormous empire." 

1111 According to Swiss historian, Jurgen Graf, Solzhenitsyn employed a statistician. Professor 
Alexeevich Kurganov, who calculated the number of deaths at 66 million. In The American Hebrew 
Magazine of 10 September 1920 it was stated that "The Bolshevik Revolution in Russia was the 
work of Jewish planning and Jewish dissatisfaction. Our Plan is to have a New World Order. 

What worked so wonderfully in Russia is going to become Reality for the whole world." 

11111 A. C. Sutton, Wall Street and the Bolshevik Revolution, Arlington House Publishers, New 
Rochelle, New York, 1981. 

11111 Ibid., 16. 

1 In 1918 the bank was renamed Svensk Ekonomiebolaget. 

1 Russian for a spark. It was also published in various West European cities from 1900-1905. 

11511 N.Starikov, Rouble Nationalization The Way to Russia's Freedom, St Petersburg, Piter, 2013,189. 
11551 Ibid., 190. 

11551 Ibid., 188. 

11521 Ibid., 194. 

0551 Ibid., 199. 

11521 Ibid., 203. 

11521 Ibid., 204. 

111211 Ibid., 205, 206 and 209. In June 1941 at a meeting of foreign diplomats, Litvinov arrived 
dressed in a sumptuous suit of fleece. Stalin asked him why he was not wearing a dark suit like 
everyone else. Litvinov replied cheekily: "It has been eaten by the moths". 

11521 Ibid., 206. 

11551 Ibid., 207. 

11511 Litvinov served as ambassador from 10 November 1941 to 22 August 1943. 

11151 N. Starikov, op.cit., 211. On 5 April 1933 by means of Executive Order 6102 the United States 
government confiscated all privately-owned gold, with the exception of numismatic coins, and 
exchanged it for paper money. 

It comes as no surprise that Litvinov refused to write any memoirs. 

11511 F. Chuev and A. Resis, Molotov Remembers, Chicago, 1993, 68. 

11551 E.S. Mason and R.E. Asher, The World Since Bretton Woods: The Origins, Policies, Operations and 
Impact of the International Bank for Reconstruction, Washington D.C., Brookings Institution, 1973, 29. 

11551 Stalin planned to attack Germany on 6 July 1941 and named it Operation Groscha (Storm). See 
V. Suvorov, The Chief Cidprit Stalin's Grand Design to Start World War II, Naval Institute Press, 
Annapolis, Maryland, 2008, 328 pp. Suvorov is of the opinion "that the Soviet Union lost World 
War II", 280. 

11251 See and On 
29 August 1949 Stalin faked his own atomic bomb with uranium ore supplied by Wismut AG, 
Aue, Saxony, DDR at Semipalatinsk, Kazakh SSR. 

11211 See K. Bolton, Stalin, The Enduring Legacy, Black House Publishing, London, 2012, 164 pp. 

11221 S.S. Montefiore, Stalin The Court of the Red Tsar, Weidenfeld & Nicolson, London, 2005, 651- 
665. Stalin's stroke may have been induced by the addition of wafarin, a blood-thinning drug, to 
his wine over the previous days. 

51251 N. Starikov, op.cit., 182-183. 

51211 J.A. Hobson, The War in South Africa Its Causes and Effects, James Nisbet & Co., Limited, 
London, 1900, 70. Hobson mentions on page 12 that in the Johannesburg Directory of 1899, 24 
Joneses, 53 Browns and 68 Cohens were listed. 

112111 Ibid., 193. See also R. Rudman, England Under The Heel Of The jew. This 21 page pamphlet was 
extracted from the book of the same title written in 1918 by Dr. John Henry Clarke, a physician, 
and was published by C.F. Roworth in London. It provides a graphic account of the conspiracy by 
the Jewish Randlords to overthrow the Kruger government. 

^Ibid., 193. 

11221 P.J Pretorius, Volksverraad, Libanon-Uitgewers, Mosselbaai, Western Cape, 1996, 58. 

1 R. Kraus, Old Master Thereof Jan Christian Smuts, E.P. Dutton & Co. Inc., New York, 1944, 92. 

12221 T. Pakenham, The Boer War, Jonathan Ball Publishers, London, 1979, 68. 

12221 S.M. Goodson, General Jan Christian Smuts The Debunking of a Myth, Bienedell Uitgewers, 
Pretoria, 2013, 11. 

12221 In 2016 £222 million and £132 million were worth £25 billion and £14.9 billion respectively. 

1 R. Gollam, op.cit., provides a detailed background of the events leading up to the bank's 

2 Bruce and Earle were the leaders of the National and Country parties respectively. 

12221 S. McIntyre, A Concise History of Australia, Cambridge University Press, Melbourne, 2009, 168. 

I.M. Cumpston, Lord Bruce of Melbourne, Longman Cheshire, Melbourne, 1989, 74. 

12221 For the alleged Jewish provenance of Princips see W.G. Simpson, Which Way Western Man1, 
Yeoman Press, New York, 1978, 682 where he cites Leon de Poncins, Secret Powers Behind 
Revolution, Boswell, 1929, 75, who has in turn cited page 46 of the Pharos shorthand report of the 
assassin's trial. See also J.M. Landowsky, Red Symphony, translated by G. Knupffer, 78 pp. an interrogation by the NKVD (Stalinist Secret Police) of 
Christian G. Rakovsky (real name Chaim Rakover), where he states that Trotsky was behind the 
murder of Archduke Ferdinand and that the Soviet five-pointed star represents the five banking 
branches of the Rothschild brothers (Frankfurt, London, Naples, Paris and Vienna). 

12221 On his paternal side Lenin's father was a Buryat, a non-ethnic Russian. His maternal great¬ 
grandfather was Moishe Itskovich Blank and his grandfather Srul Moisevich Blank. The latter 
later changed his fore-name to Alexander. Zev Ben-Shlomo, review of Lenin-Life and Legacy, 
Dmitri Volkogonov, Jewish Chronicle, London, 4 April 1995. Lenin's Jewish mother was Maria 
Blank. When his parents died, he and his brother were adopted by a Jewish family. In 1929 
Lenin's sister Anna Ulilanova-Yelizarov proposed to Stalin that his ancestry be disclosed so as to 
counter rampant anti-Semitism and instill in the masses his "Jewish revolutionary spirit." 
Notwithstanding the fact that Lenin was allegedly revered by the masses, Stalin told her to keep 
quiet as disclosure would make everyone realise that the Bolshevik Revolution was 100% Jewish. 
Jesse Zel Lurie, Lenin was a Secret Jew, Bronward Jewish Journal, 25 February 1992. According to a 
report in The Times of 10 May 1920, which was compiled from Soviet Sources, 458 or 82.4% out of 
a total of 556 principal state functionaries were Jews. The author has visited one of the last 
remaining Lenin museums in Tampere, Finland, where Lenin planned the November 1905 
revolution in Russia. 

12221 A.C. Sutton, op.cit., 186-196. 

12221 US Congress Record, 67th Congress, 4th Sitting, Senate Document no. 346, 1921. In 1928 

Jewish writer, Marcus Eli Ravage wrote as follows: "You have not begun to appreciate the real 
depth of our guilt. We are intruders. We are subverters. We have taken your natural world, your 
ideals, your destiny, and played havoc with them. We have been at the bottom not merely of the 
latest Great War [WWI] but of nearly all your wars, not only of the Russian but of every other 
major revolution in your history. We have brought discord and confusion and frustration into 
your personal and public life. We are still doing it. No one can tell how long, we shall go on doing 
it." The Century Magazine, January 1928, Vol. 115, No. 3, 346-350, as cited in B. Klassen, The White 
Man's Bible, The Church of the Creator, Otto, North Carolina, 1981, 287-289. 

UM1 A.N. Field, The Truth About The Slump - Wrat The News Never Tells, Privately published. 
Nelson, New Zealand, 1935, 93. 

N. Ferguson, The House of Rothschild, The World's Banker 1849-1999, Vol. 2, Penguin Books, 
London, 1999, 449. 

11111 L. Degrelle, Hitler Born At Versailles, Vol. 1 of the Hitler Century, Institute for Historical 
Review, Costa Mesa, California, 1998, 38. 

11111 The Young Turks who engineered the collapse of the Ottoman Empire were mainly Donmeh 
(Turkish for convert) Jews, who secretly followed the Jewish religion of Sabbateanism, which had 
been founded by Sabbatai Sevi in the mid-seventeenth century. P. Papaherakles, The Young Turks 
and the Slaughter of 117 Million Whites, The Barnes Review, Washington D.C., Vol. XVIII, No. 2, 
March/April 2012, 22-31. 

11111 In a speech given at the Willard Hotel, Washington, D.C. in 1961, former Jew and convert to 
Roman Catholicism, Benjamin Freedman (Friedman) confirmed how the German Jews had 
betrayed Germany in World War I by tricking the USA into joining England in return for the 
latter's promise of Palestine. 

11111 Over 98% of the Zionist settlers in Palestine are Ashkenazim, who have no ethnic or Semitic 
connection with the territory whatsoever. They are descendants of the kingdom of Khazaria, 
which was situated in modern day southern Russia and Georgia, who were subjected to a mass 
conversion to Judaism by their monarch. King Bulan, in the eighth century AD. Further 
confirmation may be found in an article on craniometry by Dr. Maurice Fishberg in the Jewish 
Encyclopaedia IV, 1902, 331-335. This study of nearly 3,000 Jewish heads from a wide variety of 
countries over a 20 year period, revealed that they were brachycephalic or broad-headed with a 
cephalic index of 80; in contrast to the heads of Arabs, which are dolicephalic or long-headed. See 
also Arthur Koestler, The Thirteenth Tribe: The Khazar Empire and its Heritage, Random House, 1976, 
255 pp. and Shlomo Sand, The Invention of the Jewish People, Verso, 2009, 344 pp. and The Invention 
of the Eand of Israel, Verso, 2012, 304 pp. On 5 December 2012 a treatise, which was written by Dr. 
Eran Elhaik, a geneticist researcher at Johns Hopkins University School of Medicine, was 
published by the Oxford University Press on behalf of the Society of Molecular Biology and 
Evolution and confirmed that the "Khazarian Hypothesis" is scientifically correct. 

111111 Ee Contemporain, 1 July 1880. 

11121 N. Ferguson, op.cit., 20. 

111111 According to the Bank of England's inflation calculator £6.6 billion 
was worth £313 billion in 2016. 

11111 L. Degrelle, op.cit., 335. 

L 1 De Nederlandsche Bank was preceded by the Amsterdamsche Wisselbank which was founded in 
1609 by Dirck van Os, and therefore may be deemed to be the world's first central bank. 

0101 Montagu Norman, a freemason, was very secretive and often acted in a clandestine manner. 
When he travelled abroad, he adopted the nom-de-plume Professor Skinner. This was the 
surname of his Secretary, Ernest Skinner. Throughout his term of office he would never visit a 
country, which did not have a central bank and would never hold a conversation with a central 
bank governor in the presence of a foreign minister of finance. R.S. Sayers, The Bank of England 
1891-1944, Cambridge University Press, Cambridge, 1976,159-160. 

0101 A.N. Field, All These Things, Omni Publications, Hawthorne, California, 1936, 7. 

12231 Ibid., 8. 

01111 D.J. Amos, The Story of the Commonwealth Bank, Veritas Publishing Company Pty Ltd, 
Bullsbrook, Australia, 1986, 27. 

0101 C. Quigley, Tragedy and Hope A History of the World in Our Time, The Macmillan Company, 
New York, 1966, 324. ‘ 

12221 For insights as to how the World Bank and IMF, in particular through the latter's structural 
adjustments programmes, have exploited developing countries with foreign loans see P.T. Bauer, 
Equality, the Third World, and Economic Delusion, Harvard University Press, Cambridge, 
Massachusetts, 1981, 304 pp. and J. Perkins, Confessions of an Economic Hitman, Plume, New York, 
2005, 303 pp. 

0101 A.N. Field, op.cit., 5. 

011111 G.M. Coogan, Money Creators, Wh.o Creates Money? Who Should Create It?, Omni Publications, 
Hawthorne, California, 1963, (first published in 1935), 62. 

12221 Ibid., 62. 

01111 Ibid., 62. 

1001 A.N. Field, The Truth About The Slump, Self published. Nelson, New Zealand, 1935,197. 

0121 Ibid., 200. 

1 The deliberate collapse of the American agricultural sector may be compared to the 
destruction of agricultural production in the 1930s in the Ukraine (Russian for borderland) by 
Stalin and the subsequent Holodomor (Russian for death by starvation) in which an estimated six 
million Kulaks (Russian for fist) were either executed or died of hunger. 

0111 A.N. Field, op.cit., 204. 

0101 G.M. Coogan, op.cit., 67. 

0101 Ratio is calculated by dividing the share price by the earnings per share. 

0011 League of Nations, World Economic Survey: Eighth Year, 1938/9, (Geneva 1939), 128. 

0101 During the 1920s and 1930s the term international bankers was a commonly used code word 
for Jewish bankers. Cosmopolitan financiers was another euphemism employed. 


A.N. Field, op.cit., 202. 

12221 A.N. Field, All These Things, Omni Publications, Hawthorne, California, 1936, 121-122. 

12211 Professor Cassel was a founding member of the Handelshogskolen i Stockholm (Stockholm 
School of Economics). The school was fundamentally opposed to the gold standard propagated 
by the Austrian School of Economics. 

11:221 A.N. Field, The Truth About The Slump, 118. 

12221 'Collective Speeches of Congressman Louis T. McFadden’, Omni Publications, Hawthorne, 
California, 1970, Chap. XVI, The Treacherous and Disloyal Conduct of the Federal Reserve Board 
and the Federal Reserve Banks, 298-329. 

12221 A commercial paper such as a cheque or promissory note that has only one signatory. 

12221 A commercial paper signed by two persons both of whom accept full liability. 

12221 Cape Times, 28 July 1920. 

12221 In a letter to H.S. (Jim) Ede dated 5 April 1935, Lawrence of Arabia expressed his opinion on 
the Douglas credit scheme, contained in Maurice Colbourne's Economic Nationalism, as follows: 
"Economics are like tides. We fail to harness them, yet they ebb and f low. Tire right thing would 
be to chart them, but nobody can distinguish their moon." The Letters ofT.E. Lawrence edited by D. 
Garnett, Jonathan Cape, London, 1938, 866. 

12221 See Appendix II. 

12221 According to the Bank of England's Inflation Calculator £5 million was worth £326 million in 

12221 C.H. Douglas, Security Institutional and Personal, An address delivered in the City Hall, 
Newcastle-upon-Tyne 9 March 1937, 6. Ezra Pound speaking on Rome Radio on 1 June 1943 
characterised the Bank of England as being the " Stank of England.” 

1 The Rockefellers are descendants of German, possibly Jewish immigrants, who originally 
spelt their name Roggenfelder. During the Middle Ages, because Jews were not considered to be 
part of the general citizenship, they were compelled by the German princes to include the suffix 
of an inanimate object in their surnames. Hence -berg (mountain), -stein (stone) etc. 

12221 E.M. Josephson, The “Federal" Reserve Conspiracy & Rockefellers, Their "Gold Corner", Chedney 
Press, New York, 1968, 51. 

12221 A.N. Field, op.cit., 169. 

12221 Fisher was aware of the advantages of money issued publicly, free of debt and interest, at the 
local level in Europe. In Stamp Scrip, Adelphi Publishers, New York, 1933, he devotes Chapter IV 
to The First Experiments Abroad: Silvio Gesell. Gesell introduced the Wara ( Ware und Wdhrung - 
Goods and Currency) paper money successfully into the depressed coal mining town of 
Schwanenkirchen, Bavaria. In Chapter V: The Sudden Spread of 'Scrip' he describes how stamp 
scrip transformed the depressed town of Worgl, Austria into a flourishing centre of prosperity. 

12221 Dynamic Stochastic General Equilibrium. 

12221 IMF working paper, August 2012. 

12321 The Protocols of the Meetings of the Learned Elders of Zion, translated from the Russian text by 
Victor E. Marsden, former Russian correspondent of The Morning Post, London, 1934, 214. (Victor 
Marsden was the public relations officer of HRH Tire Prince of Wales on his Empire tour of 1920). 

12351 Hitler's Table Talk, compiled by M. Bormann, Ostera Publications, 2012, 311. 

12321 In 1917 Feder formed an organisation called the Deutscher Kampfbund gegen Zinsknechtschaft 
(German Fighting League for the Breaking of Interest Slavery). In 1919 he published his manifesto 
in the chapter titled An Alle, Alle! Das Manifest zur Brechung der Zinsknechtschaft (To Everyone, 
Everyone! Tire Manifesto for the Abolition of Interest Slavery) in his book Kampf gegen die 
Hochfinanz (The Struggle against High Finance). 

12121 A. Hitler, Mein Kampf, Hurst and Blackett, London, 1939, 122. 
l2m Ibid., 124. 

12121 Ibid., 124. 

12131 G. Feder, The Program of the NSDAP, The National Socialist German Workers' Party and its General 
Conceptions, translated by E.T.S. Dugdale, Fritz Eher Verlag, Munich, 1932, 51 pp. 

l2m Ibid., 21. 

12131 Ibid., 25. 

12131 Ibid., 26. 

12121 Ibid., 27. 

12131 Ibid., 30. 

12121 Ibid., 43. 

12321 In the election of 6 November 1932 the National Socialists obtained 11,737,398 or 33.1% votes. 
In the election of 5 March 1933 votes received by the NSDAP increased to 17,277,180 or 43.9% of 
the popular vote. In the election of 12 November 1933 which was in the form of a referendum, the 
NSDAP received 39,655,224 or 92.1% of the total votes cast in a turnout of 95.3% of all voters. 

12311 E. N. Peterson, Hjalmar Schacht:for and against Hitler: A political-economic study of Germany, 
1923-1945, The Christopher Publishing House, Boston, 1954, 179. 

12321 J. Weitz, Hitler's Banker Hjalmar Horace Greely Schacht, Little, Brown and Company, London, 

12331 Ibid., 343. An indication of where Schacht's true loyalties lay was revealed at his funeral a few 
days after he had died at the age of 93 on 4 June 1970. One of the wreaths on his coffin had a card, 
which read "To a companion in hard times - 20 July Foundation." Members of this organisation 
had unsuccessfully attempted to assassinate Hitler on 20 July 1944. 

12311 Of the estimated 7,500,000 persons unemployed, 5,575,492 were registered as unemployed, a 
further 4,000,000 were partially unemployed. Statistical Year-Book of the League of Nations, 1940, 
Geneva, 1940, 70. See also B.R. Mitchell, International Historical Studies, Europe 1750-1993, 

Fourth edition. 

12331 D. Marsh, The Bundesbank: The Bank That Rules Europe, William Heinemann Ltd, London, 1992, 

12221 R. E. Elletson, Monetary Parapometrics: A Case Study of the Third Reich, Christian International 
Publications, Wilson, Wyoming, 1982, 57. 

2 D. Irving, The War Path: Hitler's Germany 1933-1939, Macmillan, London, 1978, 172. Footnote: 
"Montagu Norman, governor of the Bank of England told the U.S. Ambassador Joseph Kennedy 
that Schacht was his constant informer over 16 years about Germany's precarious financial 
position (U.S. Ambassador Joseph Kennedy reported this to Washington on 27 February 1939.) In 
1946 Norman tried to intercede for Schacht at Nuremberg through a fellow Freemason on the 
British prosecuting team, Harry Phillimore (Schacht was also a freemason). The U.S. team flatly 
rejected Phillimore's advances, but the British judge, Birkett successfully voted for an acquittal." 
See also D. Irving, Nuremberg The Last Battle, Focal Point Publishers, London, 1996, 271-272. 
Montagu Norman was also the godfather of Schacht's youngest grandson, Norman. See Mr. 
Norman's Visit to Berlin, The Glasgow Herald, 5 January 1939, two days before Schacht sent his 
insolent memorandum to Hitler. 

12221 Montagu Norman was a surreptitious figure, who adopted a cloak and dagger style of travel 
and was once seen emerging from the cargo hatch of a freighter. Besides the use of the already 
mentioned nom-de-plume Professor Skinner, he occasionally used his middle name Collet as his 

12521 D. Marsh, op.cit., 128. 

12521 Ibid., note 40, 300. 

12211 This was a blank cheque which was guaranteed to bounce, as England was only prepared to 
come to Poland's aid in the event of a German invasion of Poland or a Polish invasion of 
Germany, but not one from the Soviet Union. The Poles were unaware of this insidious 
circumscription. The Soviets annexed by far the larger portion of Poland viz. 77,300 square miles 
as opposed to the 49,800 square miles restored to Germany. State Secretary Ernst von Weizsacker 
cited in D.L. Hoggan, The Forced War: Wren Peaceful Revision Failed, Institute for Historical Review, 
Costa Mesa, California, 1989, 391, scornfully described "The British guarantee to Poland was like 
offering sugar to an untrained child before it had learned to listen to reason!" 

12221 D. L. Hoggan, op.cit., Chap. 16, The Terrified Germans of Poland, 388-390 and the Lodz riots 391- 
392. Hoggan also says that ".. .there was no doubt among well-informed persons by this time 
[1939] that horrible atrocities were being inflicted every day on the Germans of Poland," 554. 

12221 Das Letze Angebot in Verheimlichte Dokumente - Was den Deutschen verschwiegen wird (The Last 
Offer in Secret Documents - Which are kept hidden from the Germans), Fz-Verlag, Munich, 1993, 
172-174. It contains all 16 points. 

12221 D.L. Hoggan, op.cit., 565-569. 

12221 From 1932 to 1938 the index for buildings completed rose by 163.2% from 38 to 100. 

12221 T.L. Stoddard, Into The Darkness: An Uncensored Report From Inside The Third Reich At War, 
Ostara Publications, Burlington Indiana, 1940, 127. 

12221 The system was funded by modest deductions from workers' wages into the Allgemeine 
Ortskrankenkasse (General Local Health Fund). 

12221 Statistical Year-Book of the League of Nations, op.cit., 169. Production indices have been provided 
by Konjunkturforschung, base year 1928. 

121:111 In July 1939 38,379 persons were registered as unemployed. 

12221 Statistical Year-Book of the League of Nations, op.cit., 70. 

12211 Ibid., 169. 

L 1 R.E. Elletson, op.cit., 60. 

12221 A.J.P. Taylor, The Origins of the Second World War, Hamish Hamilton, London, 1961, 218. 

12 11 R.G. Price, Fascism Part 1: Understanding Fascism and Anti-Semitism, 23 October 2003. 

13221 Today there are 520,000 inhabitants living in this once deserted region. 

12221 K. Bolton, The Banking Swindle Money Creation and the State, Black House Publishing Ltd, 
London, 2013, 118. 

12221 L. Villari, Italian Foreign Policy under Mussolini, Holborn Publishing Company, London, 1959, 

12221 A.J de Grund, Fascist Italy and Nazi Germany: The 'Fascist' Style of Ride, George Routledge & 
Sons Ltd, London, 2004, 52. 

12221 'New Economics', 19 January 1934, 8 as quoted in D.J. Amos, The Story of the Commonwealth 
Bank, Veritas Publishing Company, Bullsbrook, Western Australia, 1986, 44. 


usurv and S.M. Goodson, The Real Reason the Japanese Attacked Pearl Harbor, The Barnes Review, 
Washington D.C., Vol. XIV, No. 6, November/December 2008, 41-45. 

12221 Money and Banking in Japan, the Bank of Japan Economic Research Department, translated by 
S. Nishimura, edited by L.S. Pressnell, Macmillan, London, 1973, 38. 

12221 First conceived by General Hachiro Arita, who served in the Ministry of Foreign Affairs from 
1936 to 1940. It was formally announced by Foreign Minister Matsuoka Yosuke on 1 August 1940. 

12221 The Journal for Historical Review, Vol. 12, No. 1, Spring 1992, Hideki Tojo's Prison Diary, 41-42. 
The Tripartite Pact signed on 27 September 1940 was a ten year agreement between Germany, 
Italy and Japan. Its primary purpose was to maintain their new economic order based on usury 
free banking and to promote the mutual prosperity and welfare of their respective peoples. 

Article 3 provided for mutual political, economic and military assistance, if one of the three 
powers was attacked by a power not then involved in the European war or Japanese-Chinese 


12221 A hard form of wheat used to make spaghetti and other kinds of pasta. 

12221 http: //publiebankinginstitute. or g/ 

1 221 In their book The Guernsey Experiment, Distributionist Books, London, 1992, the Grubiaks 
provide the Grubiaks provide an interesting example of how compound interest can enslave a 
community. In 1817 the Glasgow Fruit Market was financed with an interest bearing loan of 
£60,000. It was eventually repaid 139 years later in 1956. The amount of interest expended 

between 1816 and 1910 is not known, but between 1910 and 1956 £267,886 was paid. 

■ ' m Treasury and Resources Department, Guernsey, 16 November 2012. 


12221 His actual rank was that of a lieutenant. 

12211 in kuwait kuwait 

12221 Notwithstanding NATO's incessant bombing of Libya, on 1 July 2011 one million inhabitants 
of Tripoli (population 2.2. million) turned out in a rally in support of their brother leader Qathafi. 

12221 $1 = 1.20 Libyan dinar. 

12211 S. Goodson, The Truth About Libya, 4 April 2011, 
12221 Time, 13 November 2000. 

12221 The Gold Dinar: Saving the World Economy from Gaddafi, . 5 May 
2011 . 

12221 Chairman's address to shareholders of Midland Bank on 25 January 1924. 

12221 In 2002 in response to a question posed by Professor Milton Friedman to Ben Bernanke, then 
serving on the Academic Advisory Panel of the US Federal Reserve Bank of New York, about the 
Great Depression, Bernanke replied, "Regarding the Great Depression. You're right we did it. 
We're very sorry". 

12221 One of the more spectacular victims of this fraud was the Oil Fund of The Government 
Pension Fund of Norway, the second largest sovereign wealth fund in the world, which recorded 
a loss of $90 billion in 2008. This loss effectively wiped out all the profits of the previous 12 years. 

2221 N. Barofsky, Bailout: An Inside Account of How Washington Abandoned Main Street Wlrile 
Rescuing Wall Street, Free Press, New York, 2012, 288 pp. In November 2011 The Levy Economics 
Institute, Bard College, New York calculated that the total bailout added up to $29 trillion. 

12221 Charles Ponzi an American con artist and swindler of the early twentieth century. 

12221 T.M. Morgan, Perfect storm energy, finance and end of growth 

12221 Professor Frederick Soddy's so called flamboyant period before entropy ensues, which in this 
case means the depletion of relatively scarce terrestrial materials. 

12221 Virtually all agricultural land was under cultivation by 1960. Between 1950 and 1984, for 
example, global grain production increased by 280%. However, the increases in agricultural 
production have been almost entirely dependent on energy inputs used in planting (fertilizers), 
harvesting, processing and distribution. Sustained increases in energy inputs could reduce food 
production by almost half. 




The average fertility rate of the world is 2.55, but it is not clear whether this figure has been 
calculated arithmetically or is a weighted average. 

LL£J With the average age of a woman in the developed world giving birth to her first child having 
risen to 30 years, a generation now lasts 30 as opposed to the previous average of 25 years 40 
years a ago 

11211 According to the German statistics office Destatis, 15 million or 19% of Germany's population 
of 80.2 million were of a non-German background. The census was conducted on 9 May 2011. 
Since 2015 an estimated 1.5 million non-European immigrants have entered Germany. 

LiM Heritage and Destiny, The Changing Face of a Disunited Kingdom, Preston, England, March- 
April 2013, 3. 

11111 M. Merlin, Onr Vision for America, A2Z Publications LLC, Las Vegas, 2012, ix. 

11111 See https:// w w tu /watch ?v-zCpi m v a I g N A where the late Mr. Aaron Russo, a 
friend of Council on Foreign Relations member Nicholas Rockefeller, also reveals that Gloria 
Steinem's Ms. Magazine was financed by the CIA. 

11111 See page 83 footnote 39. 

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