24.1919 World Series Conspiracy:The 1919 World Series (often referred to as the Black Sox Scandal) resulted in the most famous scandal in baseball history. Eight players from the Chicago White Sox (nicknamed the Black Sox) were accused of throwing the series against the Cincinnati Reds.Details of the scandal remain controversial, and the extent to which each player was involved varied. It was, however, front-page news across the country when the story was uncovered late in the 1920 season, and despite being acquitted of criminal charges (throwing baseball games was technically not a crime), the eight players were banned from organized baseball (i.e. the leagues subject to the National Agreement) for life.There are hundreds of other conspiracies involving throwing games, sporting matches and large scale entertainment events.It is common knowledge for many, this list would have to go into the thousands if we included all of them.
25.Karen Silkwood:Karen was an American labor union activist and chemical technician at the Kerr-McGee plant near Crescent, Oklahoma, United States. Silkwood’s job was making plutonium pellets for nuclear reactor fuel rods.After being hired at Kerr-McGee, Silkwood joined the Oil, Chemical & Atomic Workers Union local and took part in a strike at the plant. After the strike ended, she was elected to the union’s bargaining committee and assigned to investigate health and safety issues. She discovered what she believed to be numerous violations of health regulations, including exposure of workers to contamination, faulty respiratory equipment and improper storage of samples. She also believed the lack of sufficient shower facilities could increase the risk of employee contamination.
In the summer of 1974, Silkwood testified to the Atomic Energy Commission (AEC) about these issues, alleging that safety standards had slipped because of a production speedup which resulted in employees being given tasks for which they were poorly trained. She also alleged that Kerr-McGee employees handled the fuel rods improperly and that the company falsified inspection records.On November 5, 1974, Silkwood performed a routine self-check and found almost 400 times the legal limit for plutonium contamination. She was decontaminated at the plant and sent home with a testing kit to collect urine and feces for further analysis. Oddly, though there was plutonium on the exterior surfaces (the ones she touched) of the gloves she had been using, the gloves did not have any holes.
This suggests the contamination did not come from inside the glove box, but from some other source, in other words, someone was trying to poison her.The next morning, as she headed to a union negotiation meeting, she again tested positive for plutonium. This was surprising because she had only performed paperwork duties that morning. She was given a more intense decontamination. The following day, November 7, 1974, as she entered the plant, she was found to be dangerously contaminated — even expelling contaminated air from her lungs. A health physics team accompanied her back to her home and found plutonium traces on several surfaces — especially in the bathroom and the refrigerator.
The house was later stripped and decontaminated. Silkwood, her partner and housemate were sent to Los Alamos National Laboratory for in-depth testing to determine the extent of the contamination in their bodies.Later that evening, Silkwood’s body was found in her car, which had run off the road and struck a culvert. The car contained no documents. She was pronounced dead at the scene from a “classic, one-car sleeping-driver accident”.
26.CIA Drug Smuggling in Arkansas:August 23, 1987, in a rural community just south of Little Rock, police officers murdered two teenage boys because they witnessed a police-protected drug drop.The drop was part of a drug smuggling operation based at a small airport in Mena, Arkansas. The Mena operation was set up in the early 1980′s by the notorious drug smuggler, Barry Seal. Facing prison after a drug conviction in Florida, Seal flew to Washington, D.C., where he put together a deal that allowed him to avoid prison by becoming an informant for the government. As a government informant against drug smugglers, Seal testified he worked for the CIA and the DEA. In one federal court case, he testified that his income from March 1984 to August 1985, was between $700,000 and $800,000. This period was AFTER making his deal with the government.
Seal testified that nearly $600,000 of this came from smuggling drugs while working for — and with the permission of the DEA. In addition to his duties as an informant, Seal was used by CIA operatives to help finance the Nicaraguan Contras. The CIA connection to the Mena operation was undeniable when a cargo plane given to Seal by the CIA was shot down over Nicaragua with a load of weapons. In spite of the evidence, every investigator who has tried to expose the crimes of Mena has been professionally destroyed, and those involved in drug smuggling operations have received continued protection from state and federal authorities.
27.Bohemian Grove:For years, many conspiracy theorists were saying that the rich and powerful met every year in the woods and worshiped a giant stone owl in an occult fashion.It turns out, ABC, CBS, NBC, and many other credible news agencies investigated this and found out, its true.It is said to be just all fun and games, like brotherhood style fraternity stuff.
28.Operation Paperclip: Operation Paperclip was the code name for the 1945 Office of Strategic Services, Joint Intelligence Objectives Agency recruitment of German scientists from Nazi Germany to the U.S. after VE Day.President Truman authorized Operation Paperclip in August 1945; however he expressly ordered that anyone found “to have been a member of the Nazi party and more than a nominal participant in its activities, or an active supporter of Nazi militarism” would be excluded.These included Wernher von Braun, Arthur Rudolph and Hubertus Strughold, who were all officially on record as Nazis and listed as a “menace to the security of the Allied Forces.” All were cleared to work in the U.S. after having their backgrounds “bleached” by the military; false employment histories were provided, and their previous Nazi affiliations were expunged from the record. The paperclips that secured newly-minted background details to their personnel files gave the operation its name.
29.The Round Table:British businessman Cecil Rhodes advocated the British Empire reannexing the United States of America and reforming itself into an “Imperial Federation” to bring about a hyperpower and lasting world peace. In his first will, of 1877, written at the age of 23, he expressed his wish to fund a secret society (known as the Society of the Elect) that would advance this goal:“To and for the establishment, promotion and development of a Secret Society, the true aim and object whereof shall be for the extension of British rule throughout the world, the perfecting of a system of emigration from the United Kingdom, and of colonization by British subjects of all lands where the means of livelihood are attainable by energy, labor and enterprise, and especially the occupation by British settlers of the entire Continent of Africa, the Holy Land, the Valley of the Euphrates, the Islands of Cyprus and Candia, the whole of South America, the Islands of the Pacific not heretofore possessed by Great Britain, the whole of the Malay Archipelago, the seaboard of China and Japan, the ultimate recovery of the United States of America as an integral part of the British Empire, the inauguration of a system of Colonial representation in the Imperial Parliament which may tend to weld together the disjointed members of the Empire and, finally, the foundation of so great a Power as to render wars impossible, and promote the best interests of humanity.”
In his later wills, a more mature Rhodes abandoned the idea and instead concentrated on what became the Rhodes Scholarship, which had British statesman Alfred Milner as one of its trustees. Established in 1902, the original goal of the trust fund was to foster peace among the great powers by creating a sense of fraternity and a shared world view among future British, American, and German leaders by having enabled them to study for free at the University of Oxford.Milner and British official Lionel George Curtis were the architects of the Round Table movement, a network of organizations promoting closer union between Britain and its self-governing colonies.
To this end, Curtis founded the Royal Institute of International Affairs in June 1919 and, with his 1938 book The Commonwealth of God, began advocating for the creation of an imperial federation that eventually reannexes the U.S., which would be presented to Protestant churches as being the work of the Christian God to elicit their support. The Commonwealth of Nations was created in 1949 but it would only be a free association of independent states rather than the powerful imperial federation imagined by Rhodes, Milner and Curtis.The Council on Foreign Relations began in 1917 with a group of New York academics who were asked by President Woodrow Wilson to offer options for the foreign policy of the United States in the interwar period.
Originally envisioned as a British-American group of scholars and diplomats, some of whom belonging to the Round Table movement, it was a subsequent group of 108 New York financiers, manufacturers and international lawyers organized in June 1918 by Nobel Peace Prize recipient and U.S. secretary of state, Elihu Root, that became the Council on Foreign Relations on 29 July 1921. The first of the council’s projects was a quarterly journal launched in September 1922, called Foreign Affairs.Some believe that the Council on Foreign Relations is a front organization for the Round Table as a tool of the “Anglo-American Establishment”, which they believe has been plotting from 1900 on to rule the world.
The research findings of historian Carroll Quigley, author of the 1966 book Tragedy and Hope, are taken by both conspiracy theorists of the American Old Right (Cleon Skousen) and New Left (Carl Oglesby) to substantiate this view, even though he argued that the Establishment is not involved in a plot to implement a one-world government but rather British and American benevolent imperialism driven by the mutual interests of economic elites in the United Kingdom and the United States. Quigley also argued that, although the Round Table still exists today, its position in influencing the policies of world leaders has been much reduced from its heyday during World War I and slowly waned after the end of World War II and the Suez Crisis. Today it is largely a ginger group, designed to consider and gradually influence the policies of the Commonwealth of Nations, but faces strong opposition. Furthermore, in American society after 1965, the problem, according to Quigley, was that no elite was in charge and acting responsibly.
American banker David Rockefeller joined the Council on Foreign Relations as its youngest-ever director in 1949 and subsequently became chairman of the board from 1970 to 1985; today he serves as honorary chairman. In 2002, Rockefeller authored his autobiography Memoirs wherein, on page 405, he wrote: “For more than a century ideological extremists at either end of the political spectrum have seized upon well-publicized incidents … to attack the Rockefeller family for the inordinate influence they claim we wield over American political and economic institutions. Some even believe we are part of a secret cabal working against the best interests of the United States, characterizing my family and me as ‘internationalists’ and of conspiring with others around the world to build a more integrated global political and economic structure – one world, if you will. If that’s the charge, I stand guilty, and I am proud of it.”Barkun argues that this statement is partly facetious (the claim of “conspiracy” or “treason”) and partly serious – the desire to encourage trilateral cooperation among the U.S., Europe, and Japan, for example – an ideal that used to be a hallmark of the internationalist wing of the Republican Party when there was an internationalist wing.
However, the statement is taken at face value and widely cited by conspiracy theorists as proof that the Council on Foreign Relations (itself alleged to be a front for an “international banking cabal”, as well as, it is claimed, the sponsor of many “globalist” think tanks such as the Trilateral Commission) uses its role as the brain trust of American presidents, senators and representatives to manipulate them into supporting a New World Order.
Conspiracy theorists fear that the international bankers of financial capitalism are planning to eventually subvert the independence of the U.S. by subordinating national sovereignty to a strengthened Bank for International Settlements with the intent 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”.In a 13 November 2007 interview with Canadian journalist Benjamin Fulford, Rockefeller countered:
“I don’t think that I really feel that we need a world government. We need governments of the world that work together and collaborate. But, I can’t imagine that there would be any likelihood or even that it would be desirable to have a single government elected by the people of the world … There have been people, ever since I’ve had any kind of position in the world, who have accused me of being ruler of the world. I have to say that I think for the large part, I would have to decide to describe them as crackpots. It makes no sense whatsoever, and isn’t true, and won’t be true, and to raise it as a serious issue seems to me to be irresponsible.”
Some American social critics, such as Laurence H. Shoup, argue that the Council on Foreign Relations is an “imperial brain trust”, which has, for decades, played a central behind-the-scenes role in shaping U.S. foreign policy choices for the post-WWII international order and the Cold War, by determining what options show up on the agenda and what options do not even make it to the table; while others, such as G. William Domhoff, argue that it is in fact a mere policy discussion forum, which provides the business input to U.S. foreign policy planning. The latter argue that it has nearly 3,000 members, far too many for secret plans to be kept within the group; all the council does is sponsor discussion groups, debates and speakers; and as far as being secretive, it issues annual reports and allows access to its historical archives.
30.The Illuminati:The Order of the Illuminati was an Enlightenment-age secret society founded on May 1st, 1776, in Ingolstadt (Upper Bavaria), by Adam Weishaupt, who was the first lay professor of canon law at the University of Ingolstadt. The movement consisted of freethinkers, secularists, liberals, republicans and pro-feminists, recruited in the Masonic Lodges of Germany, who sought to promote perfectionism through mystery schools. As a result, in 1785, the order was infiltrated, broken and suppressed by the government agents of Charles Theodore, Elector of Bavaria, in his campaign to neutralize the threat of secret societies ever becoming hotbeds of conspiracies to overthrow the monarchy and state religion.In the late 18th century, reactionary conspiracy theorists, such as Scottish physicist John Robison and French Jesuit priest Augustin Barruel, began speculating that the Illuminati survived their suppression and became the masterminds behind the French Revolution and the Reign of Terror.
The Illuminati were accused of being enlightened absolutists who were attempting to secretly orchestrate a world revolution in order to globalize the most radical ideals of the Enlightenment: anti-clericalism, anti-monarchism, and anti-patriarchalism. During the 19th century, fear of an Illuminati conspiracy was a real concern of European ruling classes, and their oppressive reactions to this unfounded fear provoked in 1848 the very revolutions they sought to prevent.Although many say that the Illuminati was disbanded and destroyedso long ago, it is well known that the Rothschild dynasty following the family’s involvement in the secret order in Bavaria received much attention for its major takeover of Europe’s central banks.The Rothschild dynasty owns roughly half of the world’s wealth and evidence suggests it has funded both sides of major wars, including the United States Civil War.
31.The Trilateral Commission:The Trilateral Commission is a private organization, established to foster closer cooperation among the United States, Europe and Japan. It was founded in July 1973 at the initiative of David Rockefeller, who was Chairman of the Council on Foreign Relations at that time. The Trilateral Commission is widely seen as a counterpart to the Council on Foreign Relations.In July 1972, Rockefeller called his first meeting, which was held at Rockefeller’s Pocantico compound in New York’s Hudson Valley. It was attended by about 250 individuals who were carefully selected and screened by Rockefeller and represented the very elite of finance and industry.Its first executive committee meeting was held in Tokyo in October 1973. The Trilateral Commission was officially initiated, holding biannual meetings.
A Trilateral Commission Task Force Report, presented at the 1975 meeting in Kyoto, Japan, called An Outline for Remaking World Trade and Finance, said: “Close Trilateral cooperation in keeping the peace, in managing the world economy, and in fostering economic development and in alleviating world poverty, will improve the chances of a smooth and peaceful evolution of the global system.” Another Commission document read:”The overriding goal is to make the world safe for interdependence by protecting the benefits which it provides for each country against external and internal threats which will constantly emerge from those willing to pay a price for more national autonomy. This may sometimes require slowing the pace at which interdependence proceeds, and checking some aspects of it. More frequently however, it will call for checking the intrusion of national government into the international exchange of both economic and non-economic goods.”
32.Big Brother or the Shadow Government:It is also called the “Deep State” by Peter Dale Scott, a professor at the University of California, Berkeley. A shadow government is a “government-in-waiting” that remains in waiting with the intention of taking control of a government in response to some event.It turned out this was true on 9/11, when it was told to us by our mainstream media.For years, this was ridiculed as a silly, crazy conspiracy theory and, like the others listed here, turned out to be 100% true.It is also called the Continuity of Government.The Continuity of Government (COG) is the principle of establishing defined procedures that allow a government to continue its essential operations in case of nuclear war or other catastrophic event.Since the end of the cold war, the policies and procedures for the COG have been altered according to realistic threats of that time.These include but are not limited to a possible coup or overthrow by right wing terrorist groups, a terrorist attack in general, an assassination, and so on.Believe it or not the COG has been in effect since 2001.After 9/11, it went into action.Now here is the kicker, many of the figures in Iran Contra, the Watergate Scandal, the alleged conspiracy to assassinate Kennedy, and many others listed here are indeed members of the COG.This is its own conspiracy as well.
The Secret Team: The CIA and Its Allies in Control of the United States and the World is a book written by Air Force Col. L fletcher Prouty, published in 1973.From 1955 to 1963 Prouty was the “Focal Point Officer” for contacts between the CIA and the Pentagon on matters relating to military support for “black operations” but he was not assigned to the CIA and was not bound by any oath of secrecy. (From the first page of the 1974 Printing) It was one of the first tell-all books about the inner workings of the CIA and was an important influence on the Oliver Stone movie JFK. But the main thrust of the book is how the CIA started as a think tank to analyze intelligence gathered from military sources but has grown to the monster it has become. The CIA had no authority to run their own agents or to carry out covert operations but they quickly did both and much more.
This book tells about things they actually did and a lot about how the operate.In Prouty’s own words, from the 1997 edition of The Secret Team: This is the fundamental game of the Secret Team. They have this power because they control secrecy and secret intelligence and because they have the ability to take advantage of the most modern communications system in the world, of global transportation systems, of quantities of weapons of all kinds, and when needed, the full support of a world-wide U.S. military supporting base structure. They can use the finest intelligence system in the world, and most importantly, they have been able to operate under the canopy of an assumed, ever-present enemy called “Communism.” It will be interesting to see what “enemy” develops in the years ahead. It appears that “UFO’s and Aliens” are being primed to fulfill that role for the future. To top all of this, there is the fact that the CIA, itself, has assumed the right to generate and direct secret operations. “He is not the first to allege that UFOs and Aliens are going to be used as a threat against the world to globalize the planet under One government.
The Report From Iron Mountain is a book, published in 1967 (during the Johnson Administration) by Dial Press, that states that it is the report of a government panel.According to the report, a 15-member panel, called the Special Study Group, was set up in 1963 to examine what problems would occur if the U.S. entered a state of lasting peace. They met at an underground nuclear bunker called Iron Mountain (as well as other, worldwide locations) and worked over the next two years. Iron Mountain is where the government has stored the flight 93 evidence from 9/11.A member of the panel, one “John Doe”, a professor at a college in the Midwest, decided to release the report to the public.
The heavily footnoted report concluded that peace was not in the interest of a stable society, that even if lasting peace “could be achieved, it would almost certainly not be in the best interests of society to achieve it.” War was a part of the economy. Therefore, it was necessary to conceive a state of war for a stable economy. The government, the group theorized, would not exist without war, and nation states existed in order to wage war. War also served a vital function of diverting collective aggression. They recommended that bodies be created to emulate the economic functions of war. They also recommended “blood games” and that the government create alternative foes that would scare the people with reports of alien life-forms and out of control pollution.
Another proposal was the reinstitution of slavery.U.S. News and World Report claimed in its November 20, 1967 issue to have confirmation of the reality of the report from an unnamed government official, who added that when President Johnson read the report, he ‘hit the roof’ and ordered it to be suppressed for all time. Additionally, sources were said to have revealed that orders were sent to U.S. embassies, instructing them to emphasize that the book had no relation to U.S. Government policy.Project Blue Beam is also a common conspiracy theory that alleges that a faked alien landing would be used as a means of scaring the public into whatever global system is suggested. Some researchers suggest the Report from Iron Mountain might be fabricated, others swear it is real.
Bill Moyers, the American journalist and public commentator, has served as White House Press Secretary in the United States President Lyndon B. Johnson Administration from 1965 to 1967. He worked as a news commentator on television for ten years. Moyers has had an extensive involvement with public television, producing documentaries and news journal programs. He has won numerous awards and honorary degrees. He has become well known as a trenchant critic of the U.S. media. Since 1990, Moyers has been President of the Schumann Center for Media and Democracy. He is considered by many to be a very credible outlet for the truth. He released a documetnary titled, The Secret Government, which exposed the inner workings of a secret government much more vast that most people would ever imagine. Though originally broadcast in 1987, it is even more relevant today. Interviews with respected top military, intelligence, and government insiders reveal both the history and secret objectives of powerful groups in the hidden shadows of our government.
33.The Federal Reserve Bank:The fundamental promise of a central bank like the Federal Reserve is economic stability. The theory is that manipulating the value of the currency allows financial booms to go higher, and crashes to be more mild. If growth becomes speculative and unsustainable, the central bank can make the price of money go up and force some deleveraging of risky investments – again, promising to make the crashes more mild.The period leading up to the American revolution was characterized by increasingly authoritarian legislation from England. Acts passed in 1764 had a particularly harsh effect on the previously robust colonial economy. The Sugar Act was in effect a tax cut on easily smuggled molasses, and a new tax on commodities that England more directly controlled trade over. The navy would be used in increased capacity to enforce trade laws and collect duties.Perhaps even more significant than the militarization and expansion of taxes was the Currency Act passed later in the year 1764.
“The colonies suffered a constant shortage of currency with which to conduct trade. There were no gold or silver mines and currency could only be obtained through trade as regulated by Great Britain. Many of the colonies felt no alternative to printing their own paper money in the form of Bills of Credit.” The result was a true free market of currency – each bank competed, exchange rates fluctuated wildly, and merchants were hesitant to accept these notes as payment. Of course, they didn’t have 24-hour digital Forex markets, but I’ll hold off opinions on the viability of unregulated currency for another time.
England’s response was to seize control of the colonial money supply – forbidding banks, cities, and colony governments from printing their own. This law, passed so soon after the Sugar Act, started to really bring revolutionary tension inside the colonies to a higher level. American bankers had learned early on that debasing a currency through inflation is a helpful way to pay off perpetual trade deficits – but Britain proved that the buyer of the currency would only take the deal for so long…Following the (first) American Revolution, the “First Bank of the United States” was chartered to pay off collective war debts, and effectively distribute the cost of the revolution proportionately throughout all of the states. Although the bank had vocal and harsh skeptics, it only controlled about 20% of the nation’s money supply.
Compared to today’s central bank, it was nothing.Thomas Jefferson argued vocally against the institution of the bank, mostly citing constitutional concerns and the limitations of government found in the 10th amendment. There was one additional quote that hints at the deeper structural flaw of a central bank in a supposedly free capitalist economy.”the existing banks will, without a doubt, enter into arrangements for lending their agency, and the more favorable, as there will be a competition among them for it; whereas the bill delivers us up bound to the national bank, who are free to refuse all arrangement, but on their own terms, and the public not free, on such refusal, to employ any other bank” –Thomas Jefferson.Basically, the existing banks will fight over gaining favor with the central bank – rather than improving their performance relative to a free market.
The profit margins associated with collusion would obviously outweigh the potential profits gained from legitimate business.The Second Bank of the United States was passed five years after the first bank’s charter expired. An early enemy of central banking, President James Madison, was looking for a way to stabilize the currency in 1816. This bank was also quite temporary – it would only stay in operation until 1833 when President Andrew Jackson would end federal deposits at the institution.
The charter expired in 1836 and the private corporation was bankrupt and liquidated by 1841.While the South had been the major opponent of central banking systems, the end of the Civil War allowed for (and also made necessary) the system of national banks that would dominate the next fifty years.The Office of the Comptroller of the Currency (OCC) says that this post-war period of a unified national currency and system of national banks “worked well.”  Taxes on state banks were imposed to encourage people to use the national banks – but liquidity problems persisted as the money supply did not match the economic cycles.Overall, the American economy continued to grow faster than Europe, but the period did not bring economic stability by any stretch of the imagination. Several panics and runs on the bank – and it became a fact of life under this system of competing nationalized banks. In 1873, 1893, 1901, and 1907 significant panics caused a series of bank failures.
The new system wasn’t stable at all, in fact, many suspected it was wraught with fraud and manipulation.The Federal Reserve Bank of Minneapolis is not shy about attributing the causes of the Panic of 1907 to financial manipulation from the existing banking establishment. “If Knickerbocker Trust would falter, then Congress and the public would lose faith in all trust companies and banks would stand to gain, the bankers reasoned.”In timing with natural economic cycles, major banks including J.P. Morgan and Chase launched an all-out assault on Heinze’s Knickerbocker Trust. Financial institutions on the inside started silently selling off assets in the competitor, and headlines about a few bad loans started making top spots in the newspapers.
The run on Knickerbocker turned into a general panic – and the Federal Government would come to the rescue of its privately owned “National Banks.”During the Panic of 1907, “Depositors ‘run’ on the Knickerbocker Bank. J.P. Morgan and James Stillman of First National City Bank (Citibank) act as a “central bank,” providing liquidity … [to stop the bank run]President Theodore Roosevelt provides Morgan with $25 million in government funds … to control the panic. Morgan, acting as a one-man central bank, decides which firms will fail and which firms will survive.”How did JP Morgan get so powerful that the government would provide them with funding to increase their power?They had key influence with positions inside the Administrations.
They had senators, congressmen, lobbyists, media moguls all working for them.In 1886, a group of millionaires purchased Jekyll Island and converted it into a winter retreat and hunting ground, the USA’s most exclusive club. By 1900, the club’s roster represented 1/6th of the world’s wealth. Names like Astor, Vanderbilt, Morgan, Pulitzer and Gould filled the club’s register. Non- members, regardless of stature, were not allowed. Dignitaries like Winston Churchill and President McKinley were refused admission.In 1908, the year after a national money panic purportedly created by J. P. Morgan, Congress established, in 1908, a National Monetary Authority. In 1910 another, more secretive, group was formed consisting of the chiefs of major corporations and banks in this country. The group left secretly by rail from Hoboken, New Jersey, and traveled anonymously to the hunting lodge on Jekyll Island.In fact, the Clubhouse/hotel on the island has two conference rooms named for the “Federal Reserve.”The meeting was so secret that none referred to the other by his last name. Why the need for secrecy?
Frank Vanderlip wrote later in the Saturday Evening Post, “…it would have been fatal to Senator Aldrich’s plan to have it known that he was calling on anybody from Wall Street to help him in preparing his bill…I do not feel it is any exaggeration to speak of our secret expedition to Jekyll Island as the occasion of the actual conception of what eventually became the Federal Reserve System.”At Jekyll Island, the true draftsman for the Federal Reserve was Paul Warburg. The plan was simple.
The new central bank could not be called a central bank because America did not want one, so it had to be given a deceptive name. Ostensibly, the bank was to be controlled by Congress, but a majority of its members were to be selected by the private banks that would own its stock.To keep the public from thinking that the Federal Reserve would be controlled from New York, a system of twelve regional banks was designed. Given the concentration of money and credit in New York, the Federal Reserve Bank of New York controlled the system, making the regional concept initially nothing but a ruse.
The board and chairman were to be selected by the President, but in the words of Colonel Edward House, the board would serve such a term as to “put them out of the power of the President.” The power over the creation of money was to be taken from the people and placed in the hands of private bankers who could expand or contract credit as they felt best suited their needs.Why the opposition to a central bank?Americans at the time knew of the destruction to the economy the European central banks had caused to their respective countries and to countries who became their debtors. They saw the large- scale government deficit spending and debt creation that occurred in Europe.But European financial moguls didn’t rest until the New World was within their orbit. In 1902, Paul Warburg, a friend and associate of the Rothschilds and an expert on European central banking, came to this country as a partner in Kuhn, Loeb and Company.
He married the daughter of Solomon Loeb, one of the founders of the firm. The head of Kuhn, Loeb was Jacob Schiff, whose gift of $20 million in gold to the struggling Russian communists in 1917 no doubt saved their revolution.The Fed controls the banking system in the USA, not the Congress nor the people indirectly (as the Constitution dictates). The U.S. central bank strategy is a product of European banking interests.Government interventionists got their wish in 1913 with the Federal Reserve (and income tax amendment). Just in time, too, because the nation needed a new source of unlimited cash to finance both sides of WW1 and eventually our own entry to the war.
After the war, with both sides owing us debt through the federal reserve backed banks, the center of finance moved from London to New York.But did the Federal Reserve reign in the money trusts and interlocking directorates? Not by a long shot. If anything, the Federal Reserve granted new powers to the National Banks by permitting overseas branches and new types of banking services. The greatest gift to the bankers, was a virtually unlimited supply of loans when they experience liquidity problems.
From the early 1920s to 1929, the monetary supply expanded at a rapid pace and the nation experienced wild economic growth. Curiously, however, the number of banks started to decline for the first time in American history.Toward the end of the period, speculation and loose money had propelled asset and equity prices to unreal levels. The stock market crashed, and as the banks struggled with liquidity problems, the Federal Reserve actually cut the money supply. Without a doubt, this is the greatest financial panic and economic collapse in American history – and it never could have happened on this scale without the Fed’s intervention. The number of banks crashed and a few of the old robber barons’ banks managed to swoop in and grab up thousands of competitors for pennies on the dollar.