Goldman Rules: Fed issues threat to destabilize markets if Congress gets oversight

July 10th, 2009 by stacyherbert

Stacy Summary:  Huge tip of the hat to Mike2liverpool for this!!!   Seems the Fed has learned a valuable lesson from Paulson . . . your thoughts!?

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63 responses so far ↓

  • Phil
    Jul 10, 2009 at 8:29 am

    Bernie doesn’t want the music to stop … “his” music.
    Personally, I’m FED up with the same ol’ tune of crash-boom-wallop-wallop !
    ;-)

  • Danny
    Jul 10, 2009 at 8:29 am

    This article is about Ireland and the second Lisbon Treaty referendum but I think it rings through for America too. Fear is their only weapon.

    Vote ‘Yes’ or the economy gets it
    http://www.spiked-online.com/index.php/site/article/7137/

  • Nancy S
    Jul 10, 2009 at 8:38 am

    I doubt it would pass the Imperial Senate anyway, esp. now that Stuart Smally has joined.

  • ptah
    Jul 10, 2009 at 8:39 am

    Its kind of ironic that the business in the burning building down Soho\London is called Future Capital.

  • Nancy S
    Jul 10, 2009 at 8:43 am

    Oh, Wow….I guess our Imperialist Senate simple refused to vote on the bill.

    http://republicbroadcasting.org/?p=2983

  • Nancy S
    Jul 10, 2009 at 8:49 am

    Wow. I had heard when the homesellers begin to capitulate to the buyers who have been holding out, that it would kick off a race to lower prices. I wonder if it is finally starting? I bet the next leg down in the markets will shake up a lot of people still holding homes.

    http://www.bloomberg.com/apps/news?pid=20601103&sid=agq0NRuqLW38

  • sharon
    Jul 10, 2009 at 8:57 am

    Yes, I’m sure oversight will destabilise markets and threaten future generations because when the world sees what these sh*sters have been up to and how much money has been transferred out of the system and into the hands of the oligarchs they will realise just how broken America is…..all thanks to those that brought you the Fed.

  • Giuseppe Bagodonutti
    Jul 10, 2009 at 9:00 am

    Does Bernanke wear Leather Chaps when he goes clubbing?

  • Mother Earth
    Jul 10, 2009 at 9:06 am

    @Stacy Bernake said that in a congressional hearing some weeks ago (on cspan, has regulation of derivatives comming up). Must be the emperor has no bones..

    @Don Yes, I saw that one..IMHO that is one of the two technologies needed for complete domination. I’m not that happy to see these inventions combined with governments incapable of controlling the military industrial complex.

  • Joe
    Jul 10, 2009 at 9:15 am

    Down with the FED (which is aka down with Wallstreet)

  • SImon Ginsberg
    Jul 10, 2009 at 9:16 am

    A letter I wrote to the President earlier this year explains my position on the Fed. Perhaps you will find it interesting. Of course, I never heard from anyone.

    President Barack Obama
    The White House
    1600 Pennsylvania Avenue NW
    Washington, DC 20500

    Dear Mr. President:

    I am writing to congratulate you on continuing to push for change in Washington and to express my hope that you view our current banking system as the cause of our problem rather than the solution. The fact that trillions are dispensed to failed and corrupt institutions with little or no substantive debate should shed some light on who is truly in charge.

    The Federal Reserve is private (not Federal), and is effectively a system of modern slavery. This system relies on the Bank’s monopoly on money creation to put the entire country and its population in debt. Because the banks create only the principal and not the interest, booms and the resulting busts are built into the system, thereby transferring societal wealth from the individual to the banks.

    Due to the fact that money is only created in the form of debt with an interest obligation, it is not mathematically possible to ever pay off the deficit – ever. This is because the money to pay it all back simply does not exist. Accordingly, the system requires taking on ever more debt to continue to pay off the interest. The interest obligation will eventually become so great that the system collapses (or requires some other drastic action such as a massive bailout, currency devaluation etc.). This system is even more disturbing given the fact that the money “lent” to the United States and its citizens by the banks never legally existed in the first place.

    Today, our financial system is effectively controlled by the private banks that own the Federal Reserve. These banks are responsible for the creation of almost all of our money through the fractional reserve system (i.e. ability to lend about 10 times more than the banks actually have in reserves). Please understand Mr. President, that our country could have created this money itself (as Jefferson advocated and Abraham Lincoln did) – without paying interest to the international bankers.

    Under the current Federal Reserve monopoly, we now live under one of the most socially paralyzing structures the World has ever known.

    After eliminating the Second Bank of the United States (The Fed’s predecessor institution), the United States was out of debt in a decade and experienced strong economic growth. Unfortunately, establishment bankers today still control the debate and remain the financial intelligentsia in New York and Washington – they represent the status quo.

    The Federal Reserve’s activities are illegal and the institution itself is not constitutional. There is in fact no law allowing them to create money in the fashion that they do. Moreover, the income tax amendment which was spawned by the same banking group that pushed through the Fed was never properly ratified. This fact has been affirmed by the Federal Courts. However, due to the amendment’s ratification by the then current treasury secretary (sound familiar), the amendment passed and has been held to be “beyond review” by the Supreme Court.

    Mr. President, the issue of how our money is created is not even in the debate. The solution to this problem (i.e. the elimination of the private money monopoly creating all money only in the form of debt) would allow the United States to drastically reduce taxes, eliminate the deficit and return the money creation power to the government as required by Article I, Section 8, of the Constitution.

    Mr. President you truly have a mandate from the people for real change. If you want to save this country (and I know you do), I beg you to investigate this issue further. I would also, of course, be honored to meet with any member of your staff to discuss this issue more fully.

    Best Regards

    _____________________________
    Simon Ginsberg
    Managing Partner

  • Photoception
    Jul 10, 2009 at 9:17 am

    So Kohn’s excuse is that the yield will go up bonds? Wtf? That is complete horse shit for so many reasons.

  • Tim Gandee
    Jul 10, 2009 at 9:51 am

    US Senator Jim DeMint recently tried to introduce an amendment to audit the Federal Reserve on an unrelated bill, but was shut down on hypocritical procedural grounds, as those procedural grounds didn’t apply to other amendments the Senate wished to keep. See the video here – http://demint.senate.gov/public/

    Also, there was a recent hearing on the role of the Federal Reserve Bank in the Congressional Financial Services Committee and the diarrhea of the mouth of Fed officials sure seems to indicate the fear of this upcoming audit (Oh yea, it will indeed happen in the near-term) – http://www.dailypaul.com/node/98935

    Do the American People have the Fed cornered at this point? Not yet, but momentum is gathering on this even though Gerald Celente predicted this audit would never catch on (he can’t possibly be right all of the time). I know my efforts in waking the People of the US have revolved around this central issue alone. The robbery of through the welfare/warfare state is ALL financed by this secretive organization and it is indeed time to lift the veil off these crooked, immoral, and repugnant fiat money peddlers.

    The Fed is the central grounds for all the tyranny throughout the world. More people are waking up and the end of the third central bank in America is eminent, either with our efforts or through the machinations of the Fed itself. History will indeed repeat itself; it is just a question of which chapter of history will repeat. Will it be an all-out hyperinflation collapse or will it be a calm walk to the exits of fiat money to the light of sound money/gold? The later will bring in an era of restricted government and abundance for those who wish to achieve the gifts of this world.

    I hope for the later, but sometimes the shi*t in my other hand seems to overflow. I am slowly becoming more of an optimist and am doing my best to relegate fear to the sidelines. I believe in the idea that once monetary policy and fiat money are understood by those now in the dark, then a true revolution will become reality and the abundance of this world can indeed be shared by all. This off course can only come about when the creators of scarcity, governments and central banks, are taken away from their current overbearing role in society.

  • Mother Earth
    Jul 10, 2009 at 9:54 am

    Would employers fire good employees temporarily to let them go bankrupt in order to cut their debt burden? It seems to me having a good job these days is a real drag..

  • Jeemobon
    Jul 10, 2009 at 10:00 am

    Yo without corruption within the FED the system collapses and we all die. We feed off of it. Honesty and morality will only lead to more death, and then we all die.

  • Brandon
    Jul 10, 2009 at 10:00 am

    The majority of the US House supports an audit of the FED yet the speaker won’t allow a vote. This is one of the major issues in US history. Jackson, Jefferson and Lincoln warned against central bankers. On the tombstone of Andrew Jackson it says ”I killed the bank”.

  • Tim Gandee
    Jul 10, 2009 at 10:09 am

    Is this President Andrew Jackson’s tombstone? – http://family.webshots.com/photo/1342635126068252108BytQRJ

    if so, the “killed the bank” inscription is no where to be found. Perhaps it is in his burial monument?

  • sharon
    Jul 10, 2009 at 10:20 am

    Here’s an interesting one from the Telegraph which basically says the British gov are shit and a bunch of liars:-

    http://www.telegraph.co.uk/comment/5789251/The-bigger-Britains-government-gets-the-worse-it-is-for-us.html

    “………..How has government become so disconnected from reality? Five techniques have been deployed to create the appearance of success while presiding over failure. First, moving the goalposts. Meanings and targets have been altered to the point where…………………………Reports of success fail to match our experience. Employers choose well-educated immigrants over indigenous school-leavers; parents are unable to secure places at the schools of their choice; hospitals are infection-ridden……………………………Official language is impenetrable, confusing or downright dishonest, packed with benchmarks and beacons, learning pathways and person-centred planning.

    Will we ever break free? David Cameron wants to clean up politics through greater transparency. That is welcome, but not sufficient. The only answer, alongside disavowing spin, is a serious reduction in state activism: cutting the size of government, abolishing targets, freeing citizens, axing databases. Such a government will discover the virtues – and rewards – of honesty. It will also be much cheaper. But learning to let go will not be easy.

    “

  • Tim Gandee
    Jul 10, 2009 at 10:30 am

    @Future Mrs. Max Keiser – what do you make of this? – http://www.bloomberg.com/apps/news?pid=20601087&sid=aeFVNYQpByU4

    Everyone seems to be freaking out about this new world currency on infowars.com, but is it gold? If so, wouldn’t that be a benefit or is this just the bait and switch? The introduction of this one world currency is from a government, so I tend to believe the switch-a-rooski? I don’t know anymore. I need a hot dog and beer and everything will be ok?

  • Caroline
    Jul 10, 2009 at 10:39 am

    The Fed response to what an audit could do to the system makes me more certain they’re running a scammer’s monetary system. I say audit the Fed, we’re all screwed anyways.

  • Dedo
    Jul 10, 2009 at 10:42 am

    @sharon,…I’m guessing the spin on that telegraph story is to create consternation between folk (not unlike most gumpf coming out of the press), and then gradually slip in the odd solution. eg,…one centralized government for the whole planet! ,…….You know that ole one world order shenanigans thingy. Did you know Cameron is a blue blood,.grrrrrr

  • Dedo
    Jul 10, 2009 at 10:45 am

    @sharon,….by the way, I love your posts ,…so full of passion
    (make me chuckle)

  • Richard@lattitude30N
    Jul 10, 2009 at 10:47 am

    @Tim Gandee: Here is the yahoonews.com article on the gold coins @ the G-8

    http://news.yahoo.com/s/ap/20090708/ap_on_re_eu/g8_summit_gifts_2

    It appears that Berlesconi had fun creating “table gifts” for the participants….the “eurodollar” worth $3900 each. Much like the Liberty dollar….Maybe we should have the Interpol arrest him…HA!!

  • Tim Gandee
    Jul 10, 2009 at 10:51 am

    Thanks Richard. Is it gold or those pirate choco coins? HAHA

  • Dedo
    Jul 10, 2009 at 10:53 am

    @Richard@lattitude30N,.. Fancy that, receiving gifts for bringing the world to it’s knees.

  • Giuseppe Bagodonutti
    Jul 10, 2009 at 10:58 am

    Berlusconi needs a fuzzy, wide-brim, purple bolero…
    and some see-through Platform boots with goldfish in the heels…

  • Phil
    Jul 10, 2009 at 11:02 am

    @Sharon … “The bigger Britain’s government gets, the worse it is for us”

    Nice article .. I can only agree.
    Not just for the UK BTW …. for all countries.

    I especially liked the first comment :

    … “How many of New Labour’s Cabinet have ever held a proper job? How many have had to ensure that the creditors cough up, that the suppliers stick to their promised delivery dates, and ensure that there’s enough in the kitty to pay satisfy the workforce come payday?”…

    So true !

    It’s a damn shame we couldn’t run the country ourselves via some sort of Internet platform where “everybody” could vote on “all” issues ; including where ( our tax ) money gets spent.
    Private Enterprise would then invent a simple Internet-Browsing device for the old Grannies that don’t understand technology , thus enabling them to participate as well.

    Something has to change IMO … these Govt. parasites are “nearly” all the same. The likes of Ron Paul are VERY rare these days IMO.

  • Richard@lattitude30N
    Jul 10, 2009 at 11:05 am

    @Tim Gandee and @ Dedo: If I remember correctly, IMHO the main reason that Ross Perot entered the presidential race in 1992 against HW Bush was to preserve his personal wealth( back then he was the owner of EDS)…I can only assume Berlesconi is garnering favors of the G-8 member nations’ leaders( and their finance ministers) for the same reason( he too is worth a few billion). Wasn’t the Italian monetary system on it’s heals after the collapse of Parmalat?? And lets not forget the recent $134.5 billion in bonds that went ??????????????

  • Phil
    Jul 10, 2009 at 11:07 am

    Denninger gearing up again …

    SEC Destroys California

    http://market-ticker.denninger.net/archives/1201-SEC-Destroys-California.html
    …
    …
    … “”The staff of the SEC has expressed its belief that California’s recently issued IOUs are ‘securities’ under federal securities law. As such, holders of these IOUs and those who may purchase them are protected by the provisions of the federal securities laws that prohibit fraud in the purchase or sale of securities,” the agency said.”…
    …
    …
    .
    .

    Yeah Karl, I saw the news as well this morning and thought “Uh Oh ” !
    Nice that you picked this one up !

  • frances snoot
    Jul 10, 2009 at 11:30 am

    “So Kohn’s excuse is that the yield will go up bonds? Wtf? That is complete horse shit for so many reasons.”
    @Photoception:
    Not really. When the Fed is declared insolvent, who will buy US long-term Treasuries?

    Also, then the blame can be foisted upon the Congress and the flag-wavers.

  • Giuseppe Bagodonutti
    Jul 10, 2009 at 11:35 am

    @Phil

    your “internet voting” idea has been juggled about in the political underground in Canada…
    the problem is, it would make our wind-bags in Ottawa (that only generate CO2) an insignificant spectacle of posterity …
    I imagine the rest of the Global-Governments would have the same “issue”

    but don’t worry,
    maybe in 100 years, TECHNOCRACY will become a reality
    then all the Lawyers, Politicians, and Bankers will disappear…
    and I’ll be dust…
    or reincarnated as a mollusk…

  • Giuseppe Bagodonutti
    Jul 10, 2009 at 11:40 am

    @Richard

    Italy’s Monetary system went down the shitter when they adopted the Euro…
    At least they could manipulate their currency before that…
    (I still remember the good days of the Lira… everything was so cheap back then…good exchange on the $CDN)

    And yes… Belusconi OWNS most of the Mass Media…
    and Construction Companies (at least he USED TO own those)…
    there’s no such thing as “conflict of interest” in Italian Politics…

  • Phil
    Jul 10, 2009 at 11:47 am

    @Giuseppe Bagodonutti …. “internet voting”

    Notice how politicians say they can NOT trust an Online voting system …. but apparently Online-Banking is secure enough !
    ;-)

    … just a quicky .. for fun :

    Easy Solution …
    Every citizen that votes sendss X-$s or X-Euros to a “Voting Account” at their local bank, followed by their Social Security Number or equiv. as wel as the the Vote-ID of the subject at issue. These “votes” will be counted centrally to avoid cheating ( using social sec. number as a Key ) and the results published on the internet. The winning “Vote” gets all the funds for financing the subject at issue … but of course the “Vote” is counted using ONLY the Soc-Sec-Number as 1 vote.

    This would be far cheaper than the current system of using taxes which are then spent on things we did NOT vote for … like the big salaries of politicians for starters !

  • Giuseppe Bagodonutti
    Jul 10, 2009 at 12:16 pm

    @Phil

    RE: Voting idea…

    hmmmm
    That actually makes some sense…
    that way, if you as a citizen believe in a certain issue,
    you can back it up with your money/vote…
    As well, that would potentially eliminate a lot of taxation, since any schemes would be directly funded…
    HOWEVER, I can see Corporatism creeping into that scenario…
    but then,
    what’s the difference now, since corporate interests are predominate movers in politics anyway…
    at least under your idea,
    the citizen would have more say as to how their funds are spent…
    Then, when the politipigs decide to give themselves a raise,
    I can cast my vote attached to 1 shiny Nickel (5 cents CDN)
    ;)
    this almost sounds like Techno-anarcho-capitalism…

  • Richard@lattitude30N
    Jul 10, 2009 at 12:41 pm

    Listening to the AJ show and Webster Tarpley brings up the point that they keep taxing “production” as in industrial production….yet even after we have saved the $14 trillion in securities and global banking losses…an incrimental transfer tax on derivative trading ( valued in the 100′s of trillions ) is not mentioned as a potential source of revenue……Since the “production economy” as we have all been familiar as a taxable base becomes #2…then obviously the #1 economic base……securities trading….should be the main source of revenue…this is the factor that MSM isn’t getting across to the electorate…..forcing “us” to accept their mind control that labor and production is the main source for taxation……..clearly this is the new tea tax circa the American Revolution….

  • Gordo
    Jul 10, 2009 at 12:51 pm

    No more off shore TAX avoidance for US citizens.

    The burden off proof will be on the citizen

    http://finance.yahoo.com/tech-ticker/article/277731/IRS-%22Turning-Over-Every-Rock%22-to-Raise-Revenue-Obama-Targeting-Overseas-Assets?tickers=^DJI,^GSPC,UBS,HRB,INTU,JTX

  • Dedo
    Jul 10, 2009 at 1:01 pm

    @Phil,….Andrew Galambos postulates similar with his theory of volition,…….you ever read his book? (sic itur ad astra)

  • Phil
    Jul 10, 2009 at 1:11 pm

    @Dedo …”Andrew Galambos”

    No …. I’ll look it up .. Thx !

  • Phil
    Jul 10, 2009 at 1:14 pm

    @Dedo … “Sic Itur Ad Astra: The Theory of Volition (Volume 1)”

    http://www.amazon.com/s/ref=nb_ss_gw?url=search-alias%3Dstripbooks&field-keywords=sic+itur+ad+astra&x=0&y=0

    Gulp … 2,400$ !
    I guess they don’t want us to read it !
    ;-)

  • sharon
    Jul 10, 2009 at 1:18 pm

    @ Dedo……….thank you (bless!)

    @ Phil…….totally agree!

  • Phil
    Jul 10, 2009 at 1:21 pm

    @For Russian President Dmitry Medvedev, the monetary future is now. At his closing press conference, Medvedev held up a golden coin bearing the words “united future world currency,” which he said was minted in Belgium and handed to G-8 attendees.

    G-8’s Dominance Faces Challenge From China, India (Update2)

    http://www.bloomberg.com/apps/news?pid=20601086&sid=ay67icisnzws

  • Phil
    Jul 10, 2009 at 1:36 pm

    .. “. China has incorporated a façade of Westernism but to cast China as the world’s financial engine is to understand how desperate the West has become. “…

    Chinese bank announces bombshell
    http://www.thedailybell.com/index.asp?fl=

    From…
    The China Bubble and the Convergence of Oligarchies
    http://jessescrossroadscafe.blogspot.com/2009/07/china-bubble-and-convergence-of.html

  • Dedo
    Jul 10, 2009 at 1:53 pm

    @Phil,…….gives an insight to our times, I purchased my copy approx’ 12 yrs ago, bought a copy for a friend two yrs ago from amazon for about £100,…..Just had a hunt online for it and the price you mention is the best.
    Imagine how ignorant folk will be in generations from now,…

  • Fibon1123
    Jul 10, 2009 at 1:57 pm

    Master of the Mint Newton Sterling to gold for stability and profit !
    NOTHING MUCH CHANGES in the fractal universe !!
    —————————————————————————–
    As Master of the Mint Newton unofficially moved the Pound Sterling to the gold standard from silver in 1717; great reforms at the time and adding considerably to the wealth and stability of England. It was his work at the Mint, rather than his earlier contributions to science, that earned him a knighthood from Queen Anne in 1705.
    ————————————————————————-
    The Old English and use is incredible, your humble servant grovel grovel, well he was a MP. Exchange rate silver problems and gold. From ships to micro seconds spotting gaps for profi.
    take a look, at our new world currency again again again lol?
    ——————————————————————————-
    http://socserv.mcmaster.ca/econ/ugcm/3ll3/newton/newton.htm

  • Fibon1123
    Jul 10, 2009 at 2:12 pm

    Master of the Mint Newton began

    The Great Recoinage in England shifted the
    balance of coins in circulation from silver to
    gold, by over-valuing gold, thus paving the
    way to an informal gold standard.

    History Time line and here we are again:
    Its a PDF worth a look:
    ————-
    http://www.google.co.uk/search?q=isaac+newton+gold+standard&hl=en&start=100&sa=N

  • TS Gordon
    Jul 10, 2009 at 2:16 pm

    It’s great for us that Ron Paul has brought this thing into the light of day. Now it’s critical for the US public adopt a no nonsense campaign concerning the control of our own currency. Of all the obscene Congressional issues we had followed during Bush’s term this is the Archilles heel of the NWO. Breaking up the FED–and arresting these foreign scum– is the key to using what’s left of our nation’s positive influence to make peace with the world. Without sufficient backlash, (and let’s presume there will be little or none,) I think you may as well max our your credit cards and buy Gold upon the announcement of Stimulus Package #3…

  • alister
    Jul 10, 2009 at 2:48 pm

    Forbes [the man] Compares Financial Crisis to Fall of Caesar [and mentions keiser...]

    http://www.youtube.com/watch?v=08T0usWl0Dk

 
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