Debt-Based Banking

Watching the famous Money Masters video..

I saw it before years ago..

Get something new out of it each time I watch.

Something new this time: the U.S. has been using debt-based banking since the Civil War (i.e., 1864).

Some good quotes:

"The financial system ... has been turned over to ... the Federal Reserve Board. That board administers the finance system by authority of ... a purely profiteering group. The system is private, conducted for the sole purpose of obtaining the greatest possible profits from the use of other people's money."
-- Congressman Lindbergh

"We have in this country one of the most corrupt institutions the world has ever known. I refer to the Federal Reserve Board ... This evil institution has impoverished ... the people of the United States .. and has practically bankrupted our Government. It has done this through ... the corrupt practices of the moneyed vultures who control it."
-- Louis T. McFadden

"Most Americans have no real understanding of the international moneylenders ... The accounts of the Federal Reserve System have never been audited. It operates outside the control of Congress and ... manipulates the credit of the United States."
-- Barry Goldwater.

Know Your Enemy: E.H. Harriman and Union Pacific

Previously had blogged a little bit about E.H. Harriman, and how he was helped in taking over the Union Pacific Railroad by the likes of Rockefeller and Kuhn Loeb & Co's British-affiliated private bankers, such as Otto Kahn, Jacob Schiff and Felix Warbug. Harriman gained control of the railroad in 1898.

E.H. Harriman, who in addition to Union Pacific also
controlled Southern Pacific, the Saint Joseph and
Grand Island, the Illinois Central, the Central of Georgia,
the Pacific Mail Streamship Company and the Wells
Fargo Express Company

William Rockefeller, treasurer of Standard Oil and brother of Standard founder John D. Rockefeller owned National City Bank ("Citibank") together with Texas-based James Stillman. In return for their backing, E.H. Harriman deposited in City Bank the vast receipts from his railroad lines. When he issued tens of millions of dollars of "watered" (fraudulent) railroad stock, Harriman sold most of the shares through the Kuhn Loeb company.

Samuel P. Bush, father of Prescott, grandfather of
George H.W., and great grandfather of G.W.

WWI would elevate Prescott Bush + his father, Samuel P. Bush, into the lower ranks of the Eastern Establishment. As war loomed in 1914, National City Bank began reorganizing the U.S. arms industry. Percy A. Rockefeller took direct control of the Remington Arms Company, appointing his man as the CEO of Remington.

The Rockefellers seized direct control of
the Remington Arms Company in 1914

The U.S. entered the war in 1917. In the spring of 1918, Prescott's father - Samuel P. Bush - became the chief of Ordinance, Small Arms and Ammunition Section of the War Industries Board. The senior Bush took national responsibility for government assistance to and relations with Remington and other weapons companies. (Sam) Bush's entire background up until this point had been in in the railroad business; he was president of the Buckeye Steel Castings Co in Columbus Ohio prior to this; the makers of railcar parts. His entire career had been in the munitions business.

Winston Churchill and Bernard Baruch

The War Industries Board - in turn - was run by Bernard Baruch - a Wall Street speculator with close personal + business ties to old E. H. Harriman. Baruch's brokerage firm had handled a lot of speculation for Harriman in the past. In 1918, Samuel Bush became director of the Facilities Division of the War Industries Board. Prescott's father reported to the Board's Chairman, Bernard Baruch, and to Baruch's assistance: Wall Street private banker Clarence Dillon.

Robert S. Lovett, President of Union Pacific Railroad, chief counsel to EH Harriman and executor of his will, was in charge of national production and purchase "priorities" for Baruch's board. With the war mobilization conducted under the supervision of the War Industries Board, U.S. consumers and taxpayers showered unprecedented fortunes on war producers and certain holders of raw materials. Hearings in 1934 by the committee of U.S. Senator Gerald Nye attacked the "Merchants of Death" - war profiteers such as Remington Arms (controlled by the Rockefellers) and the British Vickers company -- whose salesmen had manipulated many nations into wars; and then supplied all sides w/ the weapons to fight them.

The Remington Arms Company, controlled by Percy Rockefeller, had supplied:

• millions of arms to Czarist Russia;
• 1/2 of the small-arms ammunitions used by the Anglo-Americans in WWI;
• 69% of the rifles used by the U.S. in that conflict;

Sam Bush continued his relationship w/ these businessmen after WWI, something that would aid especially his son Prescott in his service to the Harriman family.