Friday, February 17, 2012
Rothschild loses libel case, and reveals secret world of money and politics
Sunday, September 13, 2009
THE FOUR CARDINAL ERRORS THAT ALMOST DESTROYED AMERICA
PART 1
September 13, 2009
NewsWithViews.com
Sunday, July 19, 2009
In 1969, Rockefeller Official Said US Would Be De-industrialized
by Henry Makow Ph.D.
On March 20, 1969, Dr. Richard Day, the National Medical Director of the Rockefeller-sponsored "Planned Parenthood" told a meeting that American industry will be sabotaged and shown to be unreliable and uncompetitive.
In view of the recent bankruptcy of General Motors, his remarks are especially pertinent.
"The stated plan was that different parts of the world would be assigned different roles of industry and commerce in a unified global system. The continued preeminence of the United States and the relative independence and self-sufficiency of the United States would have to be changed... in order to create a new structure, you first have to tear down the old, and American industry was one example of that."
"Each part of the world will have a specialty and thus become inter-dependent, he said. The US will remain a center for agriculture, high tech, communications, and education but heavy industry would be "transported out."
These remarks to the Pittsburgh Pediatric Society were reported by Dr. Lawrence Dunegan, a Pittsburgh pediatrician who died in Jan. 2004. The speech described "A New World System" already in place which would permanently transform the world. Dr. Day, who died in 1989 (see obit below), wanted the 80 or so physicians present to be prepared.
Dunegan recalls: "The idea was, you could get a little bit disgusted with your Ford, GM, or Chrysler product -or whatever- because little things like window handles would fall off more, and plastic parts would break which, had they been made of metal, would hold up. Your patriotism about buying American would soon give way to practicality that if you bought Japanese, German, or imported that it would last longer and you would be better off. Patriotism would go down the drain then."
The transcript of Dunegan's recollections has been posted here and should be read in full. However, I'll provide a summary here.
OMINOUS OMISSIONS
Much of what Day promised in 1969 is looking like a rear-view mirror today. But ominous events have yet to transpire. They do want to implant a chip in us so they can find and identify us, as well as monitor and control our purchases.
They are weaning us off national allegiance and will resort to terrorism to win our assent to their global police state. They may use "one or two nuclear bombs to convince people we mean business," Day said.
He refrained from mentioning who "we" are but said the names are recognizable. Given that he worked for the Rockefellers, I assume he meant the Rockefellers and their bosses, the Rothschilds.
This adds weight to the widely-held view that the central bankers are responsible for most terrorism, using MI-6, Mossad and the CIA. Dr. Day also said that "war is obsolete" given the danger of nuclear exchange so terrorism would be used instead. This was 1969.
He said that there are always two reasons for anything the Rockefellers do: the pretext which makes it palatable to the gullible public and the real reason. Thus, as I argued in my book "Cruel Hoax" (2007), we are being turned into homosexuals in the name of "women's and gay rights." Gender-neutered and promiscuous, fewer people are able to bond permanently with a member of the opposite sex for the purpose of procreation.
Dr. Day said sex will be separated from marriage and reproduction ( i.e. "sexual liberation") to break up the family and reduce population. Abortion, divorce and homosexuality will be made socially acceptable.
"Homosexuals will be given permission to act out. Everyone including the elderly will be encouraged to have sex. It will be brought out into the open. Anything goes." [The "Stonewall Riots" which unleashed the "gay rights" movement, took place three months later.] The ultimate goal is to have sex without reproduction. Reproduction without sex will occur in laboratories. Family size will be limited as in China.
It will be made more difficult for families to stay together. More women will work outside the home and more people will remain single. Sports instead of dolls will be promoted to girls so they will seek achievement instead of family. Girls will be taught they are the same as boys.
In general, international sports like soccer and hockey will be pushed so Americans will see themselves as "world citizens." American sports like baseball and football will not be similarly encouraged.
BRUTALIZATION
Pornography, violence and obscenity on TV and in movies will be increased. People will be desensitized to violence and porn and made to feel life is short, precarious and brutish. Music will "get worse" and will be used for indoctrination.
There will be unemployment and mass migration in order to uproot long established (conservative) communities. Social change will be introduced in port cities and work its way to the heartland. (Thus, the east and west coast are liberal.)
He said a cure to cancer exists in the Rockefeller Institute but is kept secret for purposes of depopulation. He said there will be an increase in infectious man-made diseases.
Dr. Day, who worked in weather modification during the war, said weather can be used to wage war or create drought and famine. The food supply will be monitored so no one can get enough food to "support a fugitive from the New System." Growing your own food will be outlawed under the pretext of it being unsafe.
He said people are controlled by means of the information they are given. Thus, information will be selective. Not everyone will be allowed to own books. "Certain books will disappear from libraries." Literary classics will be subtly altered. People will spend longer in school but not learn anything. There will be restrictions on travel; and private home ownership will disappear.
He said people who don't want to go along will be "disposed of humanely." He said there will be no martyrs--"people will just disappear."
CONCLUSION
Our political and cultural "leaders" are accomplices in a plot to re-engineer humanity to serve the Judeo-Masonic central banking cartel. Wars, terrorism, depressions, political and social change, entertainment and fads are all contrived to gradually bring about an Orwellian police state.
Dr. Day says politicians are manipulated "without their even knowing it." Their failure to protect us from this Satanic conspiracy is a betrayal of the first order. We have to alert the sincere ones and reach soldiers and police too. Civilization hangs in the balance. We are in real danger and should organize in small independent units.
People are hurting now and are more receptive to this information. This "economic downturn" is deliberate and part of the police state agenda. We have to educate people who think these events are random. The Rockefellers and their traitorous lackeys won't bring this off if the intelligentsia and masses are aware of the truth.
Progressives and Leftists need to learn that "progress" and "change" really refer to totalitarian world government. This is the change they "believe in." Dr. Day said in 1969, "people will have to get used to constant change." I used to be a Liberal-Leftist myself. If I can see the real meaning of "changing the world," others can too.
We also have to take practical steps to defend ourselves, our families and our freedom.
Our society and culture are a fraud based on one central fraud, the monopoly over government credit in the hands of Cabalist private bankers. They are using this power to extend their monopoly over every aspect of our lives by manipulating world events and social behavior. The only way to save civilization from failure is to nationalize the Central Banks.
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The complete Lawrence Dunegan boxed tape set is available from the U.S. Coalition for Life, Box 315, Export, PA 15632. The cost is $29.50 which includes postage and a complete printed transcript.
Dr. Richard Day Obit (1905-1989)
Cleveland Food Co-op Raided
Elite Signaled Political Change
De-industrialization of US
NY Firemen Say 9-11 Controlled Demolition
Wednesday, April 1, 2009
THE SECRET LIFE OF AIC (AIG is a subsidiary)
By Jon Christian Ryter
March 31, 2009
NewsWithViews.com
For a century the American International Corporation succeeded in remaining invisible because its founders thrived on absolute secrecy. And, those founders—were? AIC was incorporated in 1910. While Charles Stone's name appears as the historic founding head of AIC, the company was the brainchild of John D. Rockefeller, Sr., Andrew Mellon, J.P. Morgan, and Andrew Carnegie. An assortment of American industrialists, bankers and merchant princes joined the AIC parade over the next couple of years because they were convinced that, with the financial clout of the world's wealthiest men behind it, the new 800-lb economic gorilla on the horizon was going to be Russia. They all wanted a piece of the action in a new economy devoid of thousands of government restrictions that hamstring business.
Rockefeller's interest in Russia stemmed from the discovery of oil in Baku near the Caspian Sea in Azerbaijan. The oil field was the largest known oil strike in the world. It was controlled entirely by the Swiss munitions manufacturers Alfred and Robert Nobel and Tzar Nicholas II's banker, Baron Alphonse Rothschild. By 1884 Rothschild and Nobel were pumping as much oil from the Baku Oil Fields as Rockefeller was from all of his holdings in the United States. Rockefeller was determined to do in Russia what he had succeeded in doing in the United States in two decades?corner the refining and distribution of oil. By 1870 Standard Oil controlled 85% of the refining and distribution of oil in the entire world. By 1880, he lost most of his distribution rights in Europe to Rothschild.
Two things stood in his way of challenging Rothschild's Mazout and Bnito oil refining and distribution companies. One was the Tzar. The other was Count Sergei Witte, the Russian Finance Minister. Witte knew of Rockefeller's reputation for buying politicians and destroying competition, and convinced the Tzar to bar Standard Oil and Rockefeller from coming into Russia. In 1905 Alphonse Rothschild died. His younger brother, Edmond, became the head of the Rothschild empire. He offered Mazout and Bnito to Nobel, who could not afford the asking price. When Rockefeller offered to join forces with Nobel, the Tzar rescinded the offer. Deutsche Bank was then offered the Rothschild oil fields. When Rockefeller's shadow became visible in the Deutchebank deal, the Rothschilds were forced by the anti-Jewish conservatives in the Russian government to sell to Royal Dutch Shell or see their assets seized by the Russian government.
Rockefeller knew the only way he was going to get into Russia was to depose Tzar Nicholas II. At the moment, Rockefeller, Morgan, Mellon and his banker friends were already working hard to create the legislation needed to change the nature of the US republic by eliminating the States from the equation of power in order to create a central bank owned by them, and to legislate a national income tax to repay what the United States would soon owe to that privately-owned central bank. Taking over a foreign country, on the other hand, required a little more effort than bribing a few Congressmen and Senators to legislate a new central bank and manipulate a Constitution by bribing politicians at both State and federal levels to ratify two constitutional amendments to make the government work better for them.
After several meetings in New York between the capitalists and Bolshevik Leon Trotsky between 1907 and 1910, Rockefeller, bankers Mellon and Morgan and steel magnate Andrew Carnegie, together with several of America's leading barons of business and merchant princes, pooled their resources, put up $50 million, and formed the American International Corporation. AIC, the cartel announced, was created to stimulate world trade. In reality, AIC was created to fund the overthrow of Tzar Nicholas II by the Bolsheviks. In a deal struck with Trotsky and revolutionist Vladimir Ulyanov, whom the world knew as Lenin, in exchange for financing the Bolshevik Revolution, the capitalists would be allowed to carve up the economy of what was soon to become the Soviet Union—the most terrifying anti-capitalist nation in the world. What that means in plainspeak is that Lenin and Trotsky doublecrossed the richest men in the world. Had the barons of business and merchant princes of America not tried to create their own version of the United States in Central Europe, the 1917 Bolshevik Revolution would have been a fizzle-farce just like the abortive January 22, 1905 Revolution that began and ended in front of the Tzar's Winter Palace on Bloody Sunday. Tzarist guards shot and killed over a hundred peasant protesters. Instead, the well-financed Bolsheviks won and deposed the Romanov dynasty.
Tzar Nicholas Pavlovich Romanov and his family were taken captive on Feb., 17, 1917 when the Bolsheviks captured the Winter Palace in St. Petersburg (which they renamed Petrograd). The Tzar and his family were held captive until the early morning hours of July 17, 1918 and, with the White Russians closing in on the villa where they were held, the Bolsheviks took the Tzar, his wife, children, and their servants to the fruit cellar and executed them.
When Lenin and the Red Army doublecrossed AIC, there were several small anti-Bolshevik separatist movements brewing throughout Russia. Those aligning to fight the Bolsheviks were landowners, middle class citizens, pro-monarchists, and other reactionaries and non-Bolshevik communists. The agents of AIC recruited one of these groups, known as the White Movement (hence, the White Army) to defeat the Bolsheviks. The White Army was headed by Generals Anton Ivanovich Denkin and N.B. Yudenich and Admiral Alexander Vasilyevich Kolchak. When the Bolshevik Revolution took place, the Whites controlled most of the country even though Lenin controlled the urban centers and the government.. AIC funded the Whites, whose ranks included most of the Tzarist officer corps—and most of the Tzaar's military equipment. The White Army was actually better equipped than the Red Army. While history records the Russian Civil War as happening between 1918 and 1921, major fighting between the Reds and Whites did not stop until Oct. 25, 1922, with Gen. Anatoly Pepelyayev surrendering the last enclave of White forces on June 13, 1923.
When Lenin reneged on his deal with the American International Corporation, the money barons at AIC used their political clout to keep the American Expeditionary Forces fighting in Europe until April, 1920—16 months after World War I officially ended. On July 26, 1918 British forces under Gen. Lionel Dunsterville captured the Baku oil fields from the Ottomans. American Expeditionary Forces hurried to their defense when a major Ottoman counteroffensive took place between Aug. 26 and Sept. 14. The Allies held the oil fields for two years.
At the Paris Peace Conference in in November, 1919, the Soviets, who were blocked from participating because they were fighting a civil war, complained that Allied forces had invaded their country. At the time, the Brits were actively soliciting Russia's neighbors to attack the Bolsheviks. The League of Nations voted that no new Allied troops could be introduced into Russia and that all Allied intervention had to stop. Congress, which professed not to understand why US forces were engaged in Russia, demanded that the Wilson Administration bring the boys home. In early April, 1920, the last US troops left the Baku oil fields. On April 28, 1920, the 11th Red Army overwhelmed the weakened British forces that were still holding Baku, and took the oil fields back, ending World War I, and creating the reason for the Iron Curtain which would divide East and West for 68 years.
Who, or what, precisely, is American International Corporation? AIC is one of the two largest corporations ever formed. The other is Standard Oil, which was broken apart by US District Court Judge Kenesaw Mountain Landis on August 3, 1907. At 4 p.m. on May 15, 1911, the US Supreme Court upheld the Landis judgment, and what was one behemoth oil giant became seven behemoth oil giants—with the Rockefeller family as the primary shareholders in all of them. (Otherwise called the Seven Sisters) The government would ultimately learn from its Standard Oil mistake because when the Reagan-era Supreme Court broke up Ma Bell, AT&T was forced to sell-off the breakaway companies.
When Rockefeller, Mellon, Morgan and Carnegie masterminded the birth of AIC, they built the corporation in what can be construed as "Standard Oil secrecy layers" that defy scrutiny. Most of the executives brought into the fold were trusted associates from each partner's own commercial ventures. Media leakage has never been a problem. The principles are so powerful that careers are made or lost by their spoken word. On top of that, their executives are compensated so well there is never a question about loyalty.
From Rockefeller's National City Bank came Frank Vanderlip, one of the Jekyll Island Seven who would not only help write the Federal Reserve Act legislation, he would also help leverage State politicians to enact the 16th and 17th Amendments by promising them fame and fortune—or failure. Vanderlip was on the board of AIC.. So were notables who served at various points of time throughout AIC's century-old life, like Thomas Vail, CEO of AT&T, Percy Rockefeller (one of Senior's brothers), James A. Stillman (a Rockefeller in-law), Pierre DuPont, and George H. Walker, maternal grandfather of George H.W. Bush.
In the war years Robert S. Lovett joined the board. He would become a key advisor to President John F. Kennedy. He was one of the authors of State Department Publication 7277 on global disarmament. Lovett advocated breaching the 2nd Amendment and disarming the American people as the first step in creating global government.
Other founding directors included manufacturer Cyrus McCormick; railroad executive James J. Hill; Edwin S. Webster (Stone's partner); investment banker Otto Kahn, meat-packer Ogden Armour; Assistant Secretary of the Treasury for Taft, Beekman Winthrop; Henry Smith Pritchett, president of the Carnegie Corporation; and Joseph P. Grace, then a Standard Oil chemist. He developed petrochemical products from crude oil. Also, banker Charles H. Sabin; W.E. Corey, head of US Steel; James Cash Penney, founder of J.C. Penney; and Charles A. Coffin, who replaced Thomas Edison as CEO of General Electric.
The lives of the world's wealthiest families—the Money Mafia—are secrets shrouded by such complex layers of anonymity that the world knows nothing about them while believing they know everything. The Money Mafia encourages the fables—providing they downplay rather than magnify their wealth. In the opening days of the 20th century when JP Morgan took a young reporter from the New York American and Leslie's Weekly under his wing, he did so because Morgan wanted a conduit through which he could control the news. The reporter was Bertie Charles Forbes whom, with the help of Morgan, founded Forbes magazine.
In 1918, Forbes published his first list of the 30 richest America. Heading the list were the invisible rich whose wealth is never supposed to be mentioned by the media. Among them, alphabetically, were J. Ogden Armour, Vincent Astor, Andrew Carnegie, Pierre DuPont, Henry Clay Frick, Daniel Guggenheim, Cyrus McCormick, John Pierpont Morgan, John D. Rockefeller, Sr., Russell Sage, Jacob Schiff, Charles M. Schwab, and William Vanderbit. Since all but a few of these names own shares of the Federal Reserve, it is unlikely that any of them became "less rich" over time. The business holdings of these men included oil, coal, railroads, steel, gold and silver mining, and investment banking. Rockefeller headed the Forbes list. His wealth in 1918 was conservatively estimated at $1.2 billion by Forbes?in an age when a bank president who earned $5,000.00 per year and was considered to be an extremely wealthy man.
These were the kingmakers of the New World Order at a time when the Old World Order—the royalty of Europe, and the vast landowners of Europe—began to lose their grip on global power as the 20th century broke on the horizon. The lofty and often utopian objectives of the princes of industry and barons of banking and business were at odds with the goals of the monarchs of Europe who had ruled vast kingdoms and municipal fiefdoms that have existed since medieval days. A New World Order was formed in the ashes of World War I, with the new wealth of the New World overwhelming the old wealth of Europe. The money barons wanted a world without borders with a common currency with which to trade anywhere in the world. A global economy with a global government .
Rockefeller demanded that Forbes pull his magazine off the store shelves in 1918—and reprint it. Forbes did. From that day until now, none of the names of the wealthiest families in the world appear on any of the "wealthiest family" lists. Only the poor rich appear. The first layer of secrecy was in place.
The second layer of secrecy is confusion. Keep them guessing. When everyone is telling a different story about the histories of the accumulation of the wealth of the rich, no version is believable. Not even the measurable wealth of those associated with those who possess unfathomable wealth. American International Group [AIG] is a subsidiary of AIC. Internet searches suggest that AIG was created in 1919 by a 27-year old named Cornelius Vander Starr, a recently discharged US Army buck private from Fort Bragg, California (a military installation from 1859-64). However, the facts don't support the legend.
Sadly, on the Internet, when urban legends are repeated often enough they obfuscate the truth. Fiction becomes reality. Legend would have us believe a 27-year old, with no advanced education and no money, who served 8 months in the army at the end of WWI—and who never fought in the war and never took officer's training—was discharged as a 2nd Lieutenant after 8 months of service. Legend would have us believed he joined an insurance brokerage firm, Shean & Deasy and virtually overnight became its manager, yet quit his dream job after only a few months to become a mail clerk with the Pacific Mail Steamship Co. Starr, the legend goes, wanted to see the world—which was why he purportedly joined the Army. (Note: In 1914 the Pacific Mail Steamship Co., was purchased by AIC to get the US mail contracts for Asia, and to serve as a toehold in Asia for AIC. AIC in 1914 had already embarked on the path to creating a global economy. The first attempt by the money mafia to create world government would come in the Treaty of Versailles in 1920. The United States never signed it.)
C.V. Starr, who was born on Oct. 15, 1892, graduated from Fort Bragg High School in 1909. He began selling life insurance for the James Nelson Realty Co. in Fort Bragg around 1913. In 1914 he moved to San Francisco to sell auto insurance for the Pacific Coast Casualty Co. In 1917 he went to work for an insurance brokerage firm, Shean & Deasy, leaving them to join the army. Logic suggests he came out of the service 8 months later when the Armistice was signed as a buck private. As a soldier, he went no where and did nothing at a time when soldiers might spend one whole hitch waiting for one stripe. Some of Starr's biographers claim he came out of the army as a sergeant, others claim he made lieutenant. Neither makes sense and sound like someone remodeling Starr's past to give him a biography worthy of a wealthy man's latter-year stature.
Starr and Frank Raven formed American Asiatic Underwriters—an insurance agency selling policies, not issuing them. Raven had been selling insurance in China since 1904, and had been very successful. He amassed several million dollars, enough to begin underwriting policies. That history's probably correct. At some point, Starr and Raven formulated plans to create an insurance company that would actually insure the policyholders. That, too, is correct. But, that company was not AIG. It was AAU.
Starr returned to the United States and convinced several American insurers—in particular Globe Life, Rutgers and National Union—to act as a re-insurer, coveriing AAU's risk. There may have been a stipulation that forced AAU to open sales offices in the United States since that happened. But now, at age 29, Starr was on his way. But not with AIG. The new company was American International Underwriters [AIU].
(My research revealed an American International Group IPO to purchase AIU. I could not determine the date of the IPO.) Starr and his partner managed to build a very lucrative, very successful insurance company with relatively low capital in about two decades. They were so successful that AIU was under contract to manage all of AIG's overseas property-casualty business. Using guesswork alone it's likely the IPO was exercised sometime between 1947 when Mao overran China and 1950 when Starr created a new entity, CV Starr & Company. Or, at the latest, in 1955 when he formed the CV Starr Foundation whose wealth was comprised largely of AIG stock that is now worth about $3.5 billion. None of the various websites contain the history of AAU, AIU, AIG or AIC. It's almost like all of them encourage legend building.
The third layer of secrecy like the fourth, fifth, sixth and seventh layers of secrecy are, well...heavily shrouded secrecy. Piled on, layer after layer, to make it impossible for anyone to learn the truth about the wealth of the wealthiest families in the world. That wealth is so vast that it simply can't be measured in terms of dollars and cents.
The estimated "wealth" of the truly wealthy is calculated not on the total gross worth of the cash, investments and other wealth of that individual or family, but on the interest received on those those investments and holdings that are paid directly to that individual or family quarterly or annually and reported to the IRS as income. Roughly 99% of the wealth of these individuals is sheltered in tax-free trusts and foundations.
When you examine the maze that obfuscates a man who was not part of the world's elite but merely brushed the shroud that shields them, you can begin to understand how, when you ask 20 different people who the six richest men in the world might be, you will get at least a dozen answers with few of them actually getting it right. That explains how one of the most powerful corporations in the world can simply slip through the cracks.
© 2009 Jon C. Ryter - All Rights Reserved
[Read Jon C. Ryter's book, "Whatever Happened to America?" It's out of print, supply is limited.]
Jon Christian Ryter is the pseudonym of a former newspaper reporter with the Parkersburg, WV Sentinel. He authored a syndicated newspaper column, Answers From The Bible, from the mid-1970s until 1985. Answers From The Bible was read weekly in many suburban markets in the United States.
Today, Jon is an advertising executive with the Washington Times. His website, www.jonchristianryter.com has helped him establish a network of mid-to senior-level Washington insiders who now provide him with a steady stream of material for use both in his books and in the investigative reports that are found on his website.
E-Mail: BAFFauthor@aol.com
http://www.newswithviews.com/Ryter/jon278.htm
Also read:
Final Warning: A History of the New World Order
Illuminism and the master plan for world domination
-- by David Rivera, 1994 source: View From the Wall
Chapter 7.3: Lenin, Trotsky and the Bolshevik Revolution
The Soviet Union is formed with the financial support of the Western oligarchs
P.I.L.G.R.I.M.$.
“The mysterious, super-elite Pilgrim Society.”
“The most illustrious world-wide personalities.”
“The most distinguished international organization in the world.”
“The Pilgrims Society remained hidden until relatively recent years, to identify the apex of power.”
(referenced towards end of document)
Plundering International Looter$ Gaining Riche$, Injuring Megamillion$ $ecretly = PILGRIMS! If this is your first read on this organization, I suggest you obtain the introductory background first by reading the December 2004 item in the Archives. (For the rest of you, take note---silver and silver mining will be mentioned around 50 times). If you have followed the series to date, I have other disturbing case material with which to inform you. There is a boatload of fascinating material I hope to acquaint you with. And you should be fiercely interested in this Society---the rich families behind central banking---because they are interested in you, to your great detriment! And they do not wish their identities known; else they’d release a membership list.
http://www.silver-investor.com/charlessavoie/cs_may05_pilgrims.htm
Wednesday, March 4, 2009
The Rothschilds, LBMA, and Gold
In case you missed it:
A MUST READ for anyone who wants to see more clearly the reason for the wrodl monetary crisis and who is behind it...
It has been said that "the wealth of Rothschild consists of the bankruptcy of nations"
The Rothschilds, LBMA, and Gold
"It would be insufficient to sum up the (Rothschild) family as still very wealthy. ..(their fortunes are as) ineffable as always....today the family grooms the inaudibility and invisibility of its presence as a result, some believe that little is left apart from a great legend -- and the Rothschilds are quite content to let legend be their public relations." (The Rothschilds, Frederick Morton, 1962)
Gold-Eagle analysts, including the Red Baron's The Grand LBMA Exposés (http://www.gold-eagle.com/gold_digest/baron1110.html) and the Oracle of Alberta's Novus Ordo Seclorum and China (http://www.gold-eagle.com/gold_digest/alberta1030.html), have drawn attention to the role of the London Bullion Marketing Association (LBMA) and to the House of Rothschild, as a key player at the LBMA and global gold markets. The intention of this essay is to provide an in-depth forensic historical and geopolitical assessment of key issues and players in today's markets. For this purpose, an historical analysis is a good teacher. To understand today's currency and gold markets requires a study of the House of Rothschild; undoubtedly the world's most influential merchant banking power for over 200 years.
When a Rothschild Falls in the Forest, Does Anyone Hear It?
Most people would have overlooked the Globe and Mail's (Canada's national newspaper) news clip announcing the very recent death of Baron Edmond de Rothschild in the newspaper's International Business section. The Baron's death is no small event when considering the importance of the Rothschild's in European and global financial history. When a Rothschild dies, does anybody hear it or understand the significance? It is ironic that while days of attention were devoted to the deaths of Princess Diana and Mother Theresa, virtually no attention is given to the death of a member of one of the wealthiest families in the world.
The following description of the Baron's demise appeared in the Globe and Mail under his picture:
"Baron Edmond de Rothschild, philanthropist, international financier and member of the banking dynasty, died Monday in Geneva, of a respiratory illness at age 71, a spokesman said. Mr. Rothschild was president of his Geneva-based bank and financial companies as well as the Luxembourg-based Leicom Fund. He was believed to be the richest family member (of the House of Rothschild) that has played a major role in French business and culture for nearly two centuries. The Rothschilds are widely known for their wineries in the Bourdeaux region of France, including the Baron's Chateau Clarke, where he is to be buried this week in a private ceremony. Mr. Rothschild was named an officer of France's legion of honour in 1994, and its order of arts and letters in 1990. Throughout his life, he donated the equivalent of tens of millions of dollars to hospitals, museums, and the State of Israel. An avid art collector, he gave works to the Louvre museum in Paris. Mr. Rothschild's son Benjamin, 34, will succeed him as president of Paris-based Cie Financiere Holding Benjamin et Edmond de Rothschild."
In a July 1997 edition of the Globe and Mail another rare report of another important Rothschild enterprise was made (see Rothschilds holding company fiscal year profit up 66%): The article referred to the Rothschilds Continuation Holdings AG, parent of N.M. Rothschild & Sons Ltd, "a Swiss holding company for the Rothschild merchant banking business worldwide ...(with) operating profits rising to 179 million Swiss francs ($122.4 million U.S.) in the year ended March 31 from 108 million francs the previous years." A 66% profit increase is no small feat especially when you consider their line of business. In the article, Sir Evelyn de Rothschild, chairman of Rothschild's Continuation, noted "We've got a good balance of businesses and on the whole we've had a pretty good run." Sir Evelyn also noted that the company has three global business lines "treasury and bullion trading; resource banking, or banking for the mining industry; and investment banking." Such stupendous returns on a supposedly barbarous relic, gold, make even George Soros's Quantum Fund returns seem meagre. It is important to note that this rare exposure of the family business coincides with the recent rare exposé by the LBMA that the equivalent of between 30-42 million ounces of gold per day are traded in London.
The more significant cousin of RCH AG is in fact N.M. Rothschild and Sons Ltd, named after Nathan Mayer Rothschild, one of the five sons of Mayer Amschel Rothschild, who operated the London-based house of the family merchant banking enterprise in the latter part of the 18th and early 19th century. The Rothschild business enterprise has changed little in over 200 years. But why change a good thing when such large and sustained profits can be made by trading currency, treasuries, and gold plus gold leasing, financing of gold mining operations, and investment banking?
So what is the significance of the death of one of the richest and greatest philanthropers in the world, and the connection to the London Bullion Marketing Association?
The House of Rothschild: Roots in Germany
To understand the importance of the Rothschild's in world financial markets, one must study the history of the House of Rothschild. Ironically, despite their enormous influence on European finance and banking for over 200 years, there are few references to the House of Rothschild in history books. There are a few exceptions including the exhaustive financial historical account of the House of Rothschild between 1770-1830 entitled the "The Rise of the House of Rothschild" by Count Egon Caesar Corti (1928) and "The Rothschilds" by Frederic Morton (1962 ), undoubtedly a family-commissioned auto-biographical account of two hundred years of the House.
The House of Rothschild was founded in 1776 in Frankfurt, Germany by Mayer Amschel Rothschild - (born 1743 in Frankfurt, Germany). Mayer fathered five boys who would establish the most successful merchant banking network in England (Nathan), France (James), Austria (Salomon), Prussia (Amschel) and Italy (Carl).
From humble beginnings as a rare coin trader, Mayer quickly built a private merchant banking empire which was the choice of not only the German Prince William, but also the financier of choice of the major powers of Europe. The Rothschild name became synonymous with merchant banking quality and safety. The financial acumen of Mayer and his five sons became legendary. The acumen and the accumulated wealth of Mayer has been continually passed down to the next male generation of Rothschilds, without dilution. Their market worth has never been audited or accounted for, following from Mayer's clever accounting practices and the keeping secret books and subterranean vaults which were never the privy of auditor, legal counsel or state taxmen. Their mastery in financing both economic growth and war in Europe with both gold and fiat currencies undoubtedly continues unabated into the 20th century, though romantic auto-biographical accounts might lead you to believe that "that was history."
Their financial hand has been in virtually every major European event, including financing the Duke of Wellington defeat of Napoleon at Waterloo, to financial aid to Prince Metternich of Prussia. The Rothschilds were the first to build the railways of Europe. Studying the Rothschild family acumen for stock markets, gold trade, and financing of nations provides an insight into how 'Smart Money' survives. The Rothschild name is also associated with philanthropy, horticulture, and fine wines (the French house). While romantic autobiographical accounts of the family suggest that their empire has dwindled since World War II, all this may be a clever illusion to avoid publicity and attention. In the words of the autobiographer Frederic Morton "the family grooms the inaudibility and invisibility of its presence as a result, some believe that little is left apart from a great legend - and the Rothschilds are quite content to let legend be their public relation"
Today, their historical ingenuity and financial acumen is undoubtedly at work building new wealth regardless of a bear or bull stock, bond, or gold market. They undoubtedly revolve in circles that include the LBMA, and possibly every important central bank board of directors, including the IMF. While even by conservative accounting, they are undoubtedly the wealthiest family in the world, though you will never see them listed in Fortune magazine.
Through the involvement of N.M. Rothschild and Sons Ltd. in the LBMA in London, I believe they benefit from virtually every transaction in financial trading, whether treasuries or gold bullion, negotiating gold lease terms for central banks and mining companies, or simply purchasing their own share of gold and gold real estate. One could even imagine that they are involved in the trading of oil for gold and dollars (as per ANOTHER's hypothesis), given their family's interests in Royal Dutch Shell, the world's largest oil company. As Count Corti in 1926, we shall examine the "reported" evidence of their past and current influence in world financial events.
The English House of Rothschild (N.M. Rothschild & Sons)
Of the two major Rothschild Houses (French and English), the London House (New Court ), founded by Nathan Mayer Rothschild and operating today as N.M. Rothschild and Sons, is undoubtedly the most influential, especially as it pertains to gold and currency trading. Twice daily a Rothschild agent sits in a cloistered room "fixing" the price of gold in the world's largest bullion trading market: the London Bullion Market Association ( LBMA ). Historically, N.M. Rothschild was owner and operator of England's Royal Mint Refinery and was the primary gold agent to the Bank of England.
Nathan helped finance Britain's conquest of Napoleon at Waterloo, and benefited in London's stock market from advanced knowledge (from his superb courier service using pigeons) of Napoleons defeat at Waterloo. Nathan helped finance the Duke of Wellington's army having bought 800,000 pounds of gold from the East Indian Company for $8 million then selling the gold to the Duke to help defeat Napoleon. Hence, Nathan became chief broker and pay master general to England's most important army; the Rothschilds were England's lifeline for getting paycheques to the English army. Nathan could single handily wipe out savings of many a competitor by dumping "consols" in London driving down their share prices, as he did with the advance news of Napoleon's defeat. Nathan eventually switched businesses to "buying and selling money only."
On a daily basis, Nathan was legendary in London's markets for jumping in and out of the market with tens of thousands of princely rounds, never too early and never too late. Eventually Nathan would become richer than Prince William, his father Mayer's German client. It is said that the Rothschilds were the inventors of the courier service using passenger pigeons to relay news amongst the family and to their client beneficiaries. Nathan's ability to depress stock prices, then buy them up after people panicked was legendary.. He would use Rothschild agents to send false news which would be used by observers falsely leading the crowd astray, then he would buy up the same stock at ridiculous low prices. One of the Rothschild's first victims was the legendary Barings and Ouvard Bank which Nathan almost destroyed after their competitor attempted to wrestle merchant banking business from the House. Ironically, Barings Bank recently suffered an untimely death at the hands of a rouge derivatives trader in Singapore!
More than any other family, the Rothschilds have built and maintained an empire unparalleled by any monarchy in history. Their acumen as money changers and financier to the leaders of Europe over the past 200 years is unparalleled. No single corporation or business entity has survived with so much accumulated wealth intact.
To this day, N.M. Rothschild & Sons of London still lists as its primary business the selling and buying of treasuries and gold bullion. N.M. Rothschild helps fix the price of gold in London each day through the LBMA. A recent London Times articles explained that the gold price fix ceremony where five men (including a Rothschild) talk on their phones for 10 minutes, then lower tiny Union Jacks sitting on their desks, thereby fixing London's gold price each day. This ceremony takes place at 10:30 a.m. and 3 p.m., like clockwork, the same way, in the same place, and with mostly the same firms participating since the first gold fixing was enacted at Rothschild in St. Swithin's Lane on Friday Sept. 12, 1919. The company's name is also associated with many gold mining companies (e.g. Trillion Resources Ltd. and other Canadian mining companies).
The French House (Baron Edmond de Rothschild et.al.)
The French House, which was most recently headed by the Baron Edmond de Rothschild, was the most powerful private merchanting banking arm and the richest of all the Rothschilds and ran the Compaigne Fincanciere, a world wide organization which builds villas, hotels, pipelines, and finances other banks. Rothschild Freres, run by cousing Baron Guy Eduoard, was the largest private bank in France. The French House also controlled mining companies ( De Beers and gold mines in South Africa ) , metal plants ( Rio Tinto ), oil interests ( Royal Dutch Shell ) , and chemical industries (Morton, 1962). The Baron was estimated to be the richest Rothschild and probably the most multiple millionaire/billionaire in Europe. That wealth is now passed on to his son, in Rothschild tradition always to the males, Benjamin ( 34 years of age ) . Edmonds cousin Baron Guy Eduoard was director of the Bank of France. Baron Guy, who owned the Compagnie du Nord railway network in France, was known to use participants to join in ventures serving as initiator and packager as well as guarantor with very deep pockets of cash.
As Morton (1962) notes, the two banks in London and Paris are still probably the largest private institutions in the world. "Although the French house controls scores of industrial, commercial, mining, and tourist corporations, NOT ONE bears the family name." In the 1920s the banks of England and France were organized under the French House into a noisless international syndicate that reached from J.P. Morgan in New York to their cousin Baron Louis' Creditanstallt in Vienna, Austria.
To appreciate the Rothschild's ability to sustain and increase their wealth and avoid the scrutiny of both the public, the markets, and the state taxation system, consider the story of the death of Edouard Rothschild, of the French House. Anticipating the death of Eduoard in 1949, Rothschild agents began to sell their majority stock holdings of Royal Dutch Shell, Rio Tinto and Le Nickel ( giant mining corporation ) to drive down the price of shares just prior to his death to reduce the value of the estate that was subject to taxation by the French Government. This selling created a panic in the world markets depressing stock prices further. A few days following the death of Eduoard, Rothschild agents bought the volume of stock back at depressed prices, and his reported estate wealth was taxed at the depressed price on the day of his death. One should never underestimate the capacity of a Rothschild to influence markets, even today.
Rothschild interests touch virtually every aspect of our lives. They helped found and finance Royal Dutch Shell and De Beers. Following World War II they invested in vast areas of resource rich properties in Canada, possibly gold rich deposits. Joey Smallwood, premier of Newfoundland, Canada, described the 50,000 square mile land purchase by Rothschild as the biggest land deal in Canadian history. Their influence extends to the Bank of England, Bank of France and most likely the U.S. Federal Reserve, and possibly the IMF. They thus have enormous influence on the world's monetary policy.
We shall never have a full accounting of their wealth. All we can go on is Morton's (1962) comment that their wealth is "ineffable as always." Even our conservative estimates suggest a family with staggering wealth and thus influence. In a world awash in debt and unsustainable fiat currencies subject to implosion, the power of gold and the preference of the Rothschilds to gold cannot be easily ignored.
The Rothschilds and the LBMA: The World's Central Bank?
Consider the Rothschild's profound position of influence in the LBMA and the transaction fees they are earning on each and every transaction of treasuries and 42 million ounces of gold transactions DAILY (recently reported volumes of physical, leased, forward sales). . The Rothschild business earns income from "transactions" (including transfers, calls, puts, trades, leases) and one can only begin to imagine the transaction costs associated with last reported trading of over 42 million ounces of gold per day through the LBMA (more than twice South Africa's annual gold production).
Also consider their involvement and influence over monetary policies exercised by the Bank of England and the Bank of France (and possibly the US Federal Reserve System) and in Geneva. Consider the world's above ground gold reserves is roughly 120,000 tons -- with roughly 40,000 tons or 33% held by central banks. How is the remaining "private" gold holdings distributed? Does anyone have such an account? Certainly not the World Gold Council and their statistics. If a single private owner held 5% of world's remaining gold, would that not constitute majority share holdings? If any player could have accumulated, and could afford a 5% holding of the world's gold supply over the last 200 years, it would be the Rothschilds. Could it be that the Rothschilds through their involvement in daily London gold trades are quietly amasing more of the precious metals in their private vaults, while the confidence game of the Central Banks tries desperately to avoid what Soros calls "unsustainable" fiat currency built on unsustainable debt? It was Mayer Amschel Rothschild who kept a secret subterranean vault full of gold beneath the House of Rothschild in Frankfurt in the 1770s (Morton, 1962) .
While the world is led to believe that gold is a barbaric relic of the past, a huge confidence game is being played out in fiat currency markets, illustrated by the events in Asia. In order to maintain confidence in inherently unsustainable fiat currencies and unsustainable debt, confidence in gold must be depressed, given that it is the only alternative store of value. The increasing volume of gold transacted through LBMA reflects the crescendo this confidence game has reached. These large volumes also suggest that gold is trading as currency and not as a barbaric commodity, as the press is apt to suggest. Could it be that the LBMA is being used as a testing ground for the establishment of a new gold-backed world currency system? If so, the Rothschilds are in a position of enormous influence over such a genesis process.
Consider these words of Stanley Fisher (WSJ, Nov. 12, 1997), IMF's Deputy Managing Director: "What is needed at this point in the world's economic affairs is leadership in setting up a SYSTEM more dependable than using IMF bailouts as a guide to the future value of money. Where that leadership comes from is a tough question."
Indeed, will the leadership and system Fisher is speaking come from the House of Rothschild through the central institution of the LBMA? Only time will tell.
If the Rothschilds, through the LBMA operations, are effectively cornering the world's gold supply they would undoubtedly be in a prime position to benefit from a currency crisis - which they and Soros undoubtedly expect, given Soro's claims that the Asian, and thus by implication all fiat currencies, are inherently unsustainable. This crisis of sustainability is already engaged in Asia and will undoubtedly wash over Europe, England and the U.S. And who recently announced another bailout package? The IMF, of course.
The Houses of Rothschild, more than any other players, knows the historical power of gold and importance of a gold-backed currency system. The English system they helped engineer remained resilient and sustainable for over 200 years until the early 1900s. The Rothschilds believe in gold as the ultimate store of value; always have and always will. Undoubtedly they do not consider the metal a barbarous relic of the past.
Epilogue
We are reminded of Morton's words, "today the family grooms the inaudibility and invisibility of its presence as a result, some believe that little is left apart from a great legend - and the Rothschilds are quite content to let legend be their public relations."
What is unique about old power and money of the Rothschilds is their uncanny ability to sustain their power and wealth, and keep it within the family. While it is a tribute to the power of family, the danger is their ability to control and influence the daily lives of average human beings, with fewer resources and less power. Such power can lead to the temptation of becoming as powerful as the gods. Control over such important forms of value such as gold, as an instrument of liberty, may lead to the temptation of exercising dominion over such liberty. The maintenance of power and wealth is ultimately motivated by an anxiety of losing the security that such power has provided. The power and wealth of the Rothschilds carries with it enormous privileges and hopefully a sense of responsibility for the welfare of others. While the Rothschilds and Rockefellers have exercised philanthropy to the benefit of many, even this exercise has benefited their corporations through a tax system which rewards such "charitable" and "atruistic" organisations. What distinguishes the Rothschilds from other world power brokers, like Soros, is their diminutive "presence" in the world, in spite of their untold influence on almost every aspect of our economic existence. Their continued bullishness on gold exhibited through their activities in the LBMA and gold trading suggests that we maintain our confidence in the this barbaric relic. Ultimately, however, one must be keenly aware of the potential controlling influence over gold which the Rothschilds and their merchant banking brethren can exercise, and thus placing our liberty in their hands.
It has been said that "the wealth of Rothschild consists of the bankruptcy of nations"
References:
The Globe and Mail (various issues)
The Wall Street Journal
Morton, Frederic (1962). The Rothschilds.
Corti, Baron Egon Caesar (1928). The Rise of the House of Rothschild.
Soros, George (1994). The Alchemy of Finance