Millennium Page 14
So the scenario we can expect is that one day suddenly a number of banks will begin to close their doors, setting off an avalanche of bank closures around the United States. The next day the casualties would mount as the financial toll is added up by the megabankers, the ones who will be keeping the books.
The failed bank assets would probably be worth next to nothing. A recent example of a failed banking system gives us a glimmer of the carnage. In December, 1988 the Revlon Corporation—strangely enough an international firm which specializes in cosmetics—bought a chain of failing Texas savings and loans which claimed $12 billion in assets. Revlon paid a paltry $300 million for these assets. That is less than three percent of their supposed value before the failure! 12
The Collapse Already Set in Motion
What few people understand is that the Lords of Money have already set in motion their plan for this incredible financial crisis to transpire. In 1980 they pushed through our Congress a major piece of legislation called the Monetary Control Act of 1980 (public law 96-221, March 31, 1980, Federal Register). That legislative act reduced the reserve requirements, the monies that banks and savings and loans are required to retain to insure solvency, to only three percent. Previously the financial institutions were required to carry a reserve of 100 percent!
A reserve of 100 percent means that the bank or savings and loan can only loan money deposited by customers or provided by owners of capital. This insures against default by the financial institution. However, with only a three percent reserve, the banks and savings and loans can make loans of 33 times the amount the institution has on its books! This shows how fraudulent is the entire Federal Reserve system. When our banks can lend out 33 times the amount they have in reserve, the foundation is laid for a major disaster.
This fact alone is scary enough, but now consider the next domino set to fall: The Federal Reserve supposedly has the capital to cover the three percent reserves in the system. But no one knows what the Federal Reserve Board does with the three percent reserves that are required. A handful of congressmen and senators have been calling for an audit of the Federal Reserve. In fact, there is now a bill pending in Congress (RR. 844) which, if passed, would compel the Federal Reserve to open its books to public scrutiny. However, the elitist Board of Governors of the Federal Reserve are successfully resisting the passage of this legislation. The men at the top of this teeter-totter house of cards are not going to give us a peek at the rottenness that lies within their rickety structures.
Who Owns the Federal Reserve?
This all goes back to the question of who really owns the Federal Reserve? Very few Americans realize that the Federal Reserve is not a governmental agency and neither the Congress nor the President have one iota of control over its day-to-day operations. The chilling truth is that the Federal Reserve, America’s central bank, is simply one component of an interlocking, international banking cartel that now controls the wealth of this planet.
William Greider, author of the provocative bestseller Secrets of the Temple: How the Federal Reserve Runs the Country, has said that the Federal Governors “have our fate in their hands.” But, he explains, “have you read anything in the Washington Post who explains who they are?” 13
What Greider is saying is that even the press appears mystified at how the Federal Reserve system operates and how it comes to its decisions which so vitally affect the American world economy. Greider notes that world financial markets react immediately whenever the Chairman of the Federal Reserve makes even what appears to be insignificant comments that might effect the economy. “Any tid-bit will do,” he says, “and will cause reporters to run to their phone booth and start composing headlines.”
Black Monday
To get an idea of how the collapse might begin, consider Black Monday. The day was Monday, October 19, 1987. It was the day the old financial order changed dramatically. On that day the Dow Jones Industrial Average plummeted by an astounding 508.32 points. The whole nation was alarmed. It was a “massacre,” said one stock broker from Wall Street, interviewed on one of the news networks.
The Cable News Network (CNN) reporter told its audience of millions, “there was fear in the eyes of traders on the floor of the stock market today.”
When the stock market closed on that fateful Black Monday, a dark cloud of gloom descended on the floor of the New York Exchange. Television reporters suggested that some investors would end up jumping out of windows just as they did after the shocking crash of the stock market in 1929.
The crash of October 19, 1987 was so unexpected that even those who had manipulated the stock market and engineered the crash were stunned. They had not yet put in place the mechanisms necessary to take over the world’s stock markets and institute their New Money, their new one world currency. There is evidently still a number of details to be worked out. This shockwave of the DJIA bounding down by over 500 points caught these men unawares. To save their plan it was necessary that the Federal Reserve system pump emergency money into the market. A series of phone calls were therefore made that guaranteed the big banks and giant brokerage houses would not go under, that there would be money to support the market.
If it were not for these emergency phone calls the night of Monday, October 19, 1987, 47 million investors in the stock market would have lost almost everything they had. The ensuing money panic could well have caused unexpected repercussions and the World Leader the manipulators have chosen might not have been able to assume office. In fact, insurrections and revolutions might have broken out around the world as the peoples of the planet went crazy with fear and desperate apprehension.
It was apparent to all of the news networks as well as the various publishers of stock market advisory services that the leaders of the United States, Japan, Germany, Great Britain, France, and other nations and the officials at our Federal Reserve, the Deutsche bank, the giant banks of Japan, and the Gnomes of Switzerland had kept the phone lines and the secret wires buzzing during the night. When the stock market opened on Tuesday, it was found that there was a sudden and unexpected infusion of money. The day was saved for the manipulators.
In the coming months, the Federal Reserve system created an astonishing amount of money and pumped many resources into the market to keep it from going under. The price, however, of this bailout is going to be severe. As investment analysts Abner Arbel and Albert Kaff explain in their book, Crash: Ten Days in October... Will it Strike Again?:
The stock market crash in 1987 was far more severe than many people realize. During those ten days in October, more happened and happened faster, than ever before. But some of it is not yet known to the general public... the entire financial system of the United States came close to a complete meltdown... it was a narrow escape from disaster. 14
Laying the Foundation
To fully take advantage of an economic crisis the manipulators behind the scenes must very carefully lay a proper foundation. This is very similar to the situation that Adolf Hitler faced when he took office in Germany in 1933. At first, the Nazi overlord was unprepared for a war with his enemies. It was necessary to stoke the fires of industry and build up a huge stockpile of bombs, aircraft, submarines, ships, tanks, armored vehicles, and other implements of war. It was also necessary to condition the German people, to raise their consciousness through propaganda. Various governmental institutions had to be set up, such as the dreaded Gestapo (SS), the propaganda ministry, and so forth. Plans for concentration camps had to be drawn up. The industrialists and bankers had to be drawn into the plot. All had to be ready to go when the whistle blew.
In 1939, Hitler felt that finally he was ready, and so his troops charged into action. This was the flashpoint that caused general declarations of war and resulted in over 50 million people dying in the flames of World War II.
Likewise, those who control the world’s money supply are on the very threshold of seeing their fondest dreams come true. As my good friend Robert Faid has said in his be
stselling book, Gorbachev! Has the Real Antichrist Come?: “The state of the world’s economy is teetering on the verge of a catastrophic financial collapse.” According to Faid, due to manipulations by the International Monetary Fund, the World Bank, international lenders, third world nations, and others, the international economy will soon come tumbling down. 15
Repercussions After Black Monday
What has occurred in the years since the October, 1987 mini-crash of the stock market? First of all, the stock market, boosted by the money makers, began another great boom. The stock market had been rising since 1982. Now, it resumed the longest bull market upward in 50 years. Glad tidings were all around. No one seemed to understand how a world financial system teetering on disaster was able so quickly to overcome. The fact is, the stock market has been all glitter and very little substance. It is held together by the equivalent of bailing wire.
However, a wise financial commentator in the Italian newspaper La Republica wrote: “The crash is a prelude to... another phase in the cycle of American history. Black Monday will dredge up Roosevelt’s ghost.” 16 In Switzerland, the newspaper Neue Zurcher Zeitung suggested that the crash gave evidence of a “time bomb that has been ticking away for years.” 17
A South American newspaper wrote: “The brutal drop of the New York stock exchange offers difficult times for the world economy... we can expect international repercussions.” 18
In the few short years since the crash, little action has been taken to insure against a repeat. In fact, things are more dreary now than ever before. While our politicians promise us that the best is yet to come, and the stock market seems to be hitting on all eight cylinders, there is an underlying softness. Scrape past the external glitter and glamour of the economic miracle of the last decade and a surprisingly gloomy picture emerges.
We are very close to that moment in time when the economy will blow up. Billions of dollars will be lost by everyday Americans. Firms, corporations, and companies will close their doors on a colossal scale. The banking system will fail. The government will be unable to cope with this unparalleled disaster. The pain will be felt in the living room of the average American citizen.
Sadly, it may be too late to jar and jostle people and tell them “America, wake up!” The end is already in sight. What we must do as Christians is simply to hold on to our faith. He will pull us through even as others fall by the wayside in the coming days.
Chapter 10
The Looting of America
The rich ruleth over the poor and the borrower is the servant of the lender. (Proverbs 22:7)
As a result of the rapid rise in overseas debt since 1981, the United States has ceded considerable control over its economy to foreign investors. They now hold the power to help keep the U.S. economy growing or help plunge it into recession. It would appear, in sum, that President Bush will have to pay close heed to their wishes... he has already felt the yoke of foreign creditors. (Wall Street Journal, December 5, 1988)
The U.S. government, acting in concert with the men who run the large international banks, has set in motion an economic time bomb that will soon explode, sending financial shockwaves to every corner of the globe. Let me explain. You see, we have become the world’s top debtor nation, $3 trillion in debt. That is the number three followed up by 12 zeros, $3 trillion. Incredible as this sounds, it is unfortunately true. Federal deficits are higher now than at any time in history. This year it approaches $300 billion. The deficit has tripled over the last decade.
Politicians have promised us lower spending year after year. They passed deceptive bills such as Gramm-Rudman, and said “we are going to cut spending and reduce this debilitating deficit.” But the insiders know better. Politicians want to be re-elected. They will lie to be and we end up paying the bill for their lies.
Out of the colossal figure of $3 trillion in debt now owed, the commerce department reports that $664 billion of this money is owed to foreigners. We are going to pay for the hangover from our spending party, and that payoff is going to come very, very soon. 1
The White House and Congress have played a shell game with our money. They continually use budget and accounting gimmicks to make the deficit look smaller than it is. Paul Blustein of the Washington Post Service very sagely wrote an article that was carried by many national newspapers entitled “Weaving a Web of Fiscal Deceit.” “A huge sea of red ink,” says Blustein, “separates budget rhetoric from substance.” 2
According to Blustein, “the government faces huge hidden costs in the future.” This is why, although President Bush had pledged “read my lips, no new taxes,” as 1990 began he reneged on that promise. We will indeed see new taxes. They are an absolute necessity because our government is not going broke, it is broke.
Debt by Design: The Invisible Hand at Work
How did the richest and most well-off nation in the world suddenly become the top debtor? How did we become so impoverished in such a short time? This could have occurred only through design. The masters at the Federal Reserve have certainly played their part in this fiery debacle. The Federal Reserve governors have used financial magic to create a financial explosion that will soon overtake the everyday man and woman on the street. Because the U.S. Congress keeps spending and spending money that it doesn’t have, the, Federal Reserve board continues to crank up the printing presses and print more and more. To do this, they must go overseas and borrow. Thus we see that the Japanese, the English, the Germans, and others have now bought so many treasury bonds that these nations own America.
Foreigners Now Own America
Foreigners now own America! That is what the influential Wall Street Journal intimated several years ago in 1988, as President Bush took office:
As a result of the rapid rise in overseas debt since 1981, the United States has ceded considerable control over its economy to foreign investors. They now hold the power to help keep the U.S. economy growing or to help plunge it in recession. It would appear, in sum, that Mr. Bush will have to pay close heed to their wishes. 3
Do you understand the implications of this? We are told by the number one financial journal in the world, the staid, conservative Wall Street Journal—the newspaper read and believed in by all the world’s financial authorities—that our president will now have to do practically whatever the foreigners who own America tell him to do.
Have you wondered why when Saddam Hussein invaded Kuwait, it was America that was forced to spend hundreds of millions of dollars and put thousands of American soldiers lives on the line? Has it struck you as odd that rich nations such as Germany and Japan, who have used their billions of dollars and their massive wealth to buy up much of America, sat back on their haunches and did practically nothing during this crisis? Well, here is the reason: they own us.
It is very important that we again look at what the Wall Street Journal had to say: “They,” that is foreigners, “now hold the power to help keep the U.S. economy growing or help plunge it into recession.” This is an amazing admission. The masters of the financial world now have a stranglehold on your pocketbook and mine. They control us in every way except spiritual and they control most Americans in that respect, too. Economically they are our masters and they have made an obvious decision to wreck and ruin the American dollar. The White House and Congress are forced to go along.
Listen to what else the Wall Street Journal had to say:
The massive pile up of debt has given foreign investors an ever increasing say in the economy’s future. Their power was driven home to the president-elect soon after his election victory as the dollar dropped and interest rates began to rise. The episode, said former Federal Reserve Board Chairman Paul Volker was “a kind of warning that troubles lie ahead.”
According to the Wall Street Journal, that warning was undoubtedly heeded by President Bush and his economic advisors, Secretary of State James Baker, Secretary of Treasury Nicholas Brady, and the Budget Director, Richard Darman:
All three recogni
zed the rising clout of foreign investors. Mr. Baker was whipsawed by the whims of international moneyflows during much of his tenure as Treasury Secretary and Mr. Brady concluded after his study of last October’s (1987) market crash that Japanese investors triggered the debacle.
How startling! Our own Secretary of the Treasury is convinced that “Japanese investors triggered the debacle” of the 508 point plunge in the Dow Jones Industrial Average on October 19, 1987!
Worse, the Wall Street Journal continued, President Bush “may have little choice... he has already felt the yoke of foreign creditors.”
This mind-warping news, that foreigners now have our president at their beck and call and that he is feeling their heavy “yoke,” was reported on page one of the Wall Street Journal back in 1988. Now, several years later, the foreigners have an even tighter stranglehold and grip on the jugulars of our political leaders, on our economy, and on our dollar, our jobs, our salaries and wages, and our future.
Foreigners Buy Up U.S.A.
You may not realize it, but this nation no longer belongs to Americans. It is owned by the Germans and other Europeans, the Japanese, and by foreigners from such exotic locales as Taiwan, South Korea, Hong Kong, and Singapore. Everywhere we see evidence that America has been sold at bargain basement prices to the wealthy men who now control our destiny. Many of these men belong to such groups as the Carnegie Endowment for International Peace, the Council on Foreign Relations, the Trilateral Commission, the Bilderbergers, and other globalist groups. I believe there is every evidence that there is only a small, hidden clique of men who secretly influence all such organizations. These men are colluding together in the greatest scam since the days of Babylon.