BIGGEST SCAM IN THE WORLD

http://pubrecord.org/nation/8622/pentagon-papers-wall-street/
The Wall Street       Pentagon Papers: Biggest Scam In World History Exposed: Are The Federal       Reserve’s Crimes Too Big To Comprehend?


By David DeGraw The Public Record Dec 10th,       2010

What if the greatest scam ever perpetrated was       blatantly exposed, and the US media didn’t cover it? Does that mean the       scam could keep going? That’s what we are about to find out.

I understand the importance of the new WikiLeaks documents. However,       we must not let them distract us from the new information the Federal       Reserve was forced to release. Even if WikiLeaks reveals documents from       inside a large American bank, as huge as that could be, it will most       likely pale in comparison to what we just found out from the one-time peek       we got into the inner-workings of the Federal Reserve. This is the Wall       Street equivalent of the Pentagon Papers.

I’ve written many reports detailing the crimes of Wall Street during       this crisis. The level of fraud, from top to bottom, has been staggering.       The lack of accountability and the complete disregard for the rule of law       have made me and many of my colleagues extremely cynical and jaded when it       comes to new evidence to pile on top of the mountain that we have already       gathered. But we must not let our cynicism cloud our vision on the details       within this new information.

Just when I thought the banksters couldn’t possibly shock me anymore…       they did.

We were finally granted the honor and privilege of finding out the       specifics, a limited one-time Federal Reserve view, of a secret taxpayer       funded “backdoor bailout” by a small group of unelected bankers. This data       release reveals “emergency lending programs” that doled out $12.3 TRILLION       in taxpayer money – $3.3 trillion in liquidity, $9 trillion in “other       financial arrangements.”

Wait, what? Did you say $12.3 TRILLION tax dollars were thrown around       in secrecy by unelected bankers… and Congress didn’t know any of the       details?

Yes. The Founding Fathers are rolling over in their graves. The       original copy of the Constitution spontaneously burst into flames. The       ghost of Tom Paine went running, stark raving mad screaming through the       halls of Congress.

The Federal Reserve was secretly throwing around our money in       unprecedented fashion, and it wasn’t just to the usual suspects like       Goldman Sachs, JP Morgan, Citigroup, Bank of America, etc.; it was to the       entire Global Banking Cartel. To central banks throughout the world:       Australia, Denmark, Japan, Mexico, Norway, South Korea, Sweden,       Switzerland, England… To the Fed’s foreign primary dealers like Credit       Suisse (Switzerland), Deutsche Bank (Germany), Royal Bank of Scotland       (U.K.), Barclays (U.K.), BNP Paribas (France)… All their Ponzi players       were “gifted.” All the Racketeer Influenced and Corrupt Organizations got       their cut.

Talk about the ransacking and burning of Rome! Sayonara American       middle class…

If you still had any question as to whether or not the United States       is now the world’s preeminent banana republic, the final verdict was just       delivered and the decision was unanimous. The ayes have it.

Any fairytale notions that we are living in a nation built on the       rule of law and of the global economy being based on free market       principles has now been exposed as just that, a fairytale. This moment is       equivalent to everyone in Vatican City being told, by the Pope, that God       is dead.

I’ve been arguing for years that the market is rigged and that the       major Wall Street firms are elaborate Ponzi schemes, as have many other       people who built their beliefs on rational thought, reasoned logic and       evidence. We already came to this conclusion by doing the research and       connecting the dots. But now, even our strongest skeptics and the most       ardent Wall Street supporters have it all laid out in front of them, on FEDERAL RESERVE SPREADSHEETS.

Even the Financial Times, which named Lloyd Blankfein its 2009 person of the year, reacted by reporting       this: “The initial reactions were shock at the breadth of lending,       particularly to foreign firms. But the details paint a bleaker and even       more disturbing picture.”

Yes, the emperor doesn’t have any clothes. God is, indeed, dead. But,       for the moment at least, the illusion continues to hold power. How is this       possible?

To start with, as always, the US television “news” media (propaganda)       networks just glossed over the whole thing – nothing to see here, just       move along, back after a message from our sponsors… Other than that       obvious reason, I’ve come to the realization that the Federal Reserve’s       crimes are so big, so huge in scale, it is very hard for people to even       wrap their head around it and comprehend what has happened here.

Think about it. In just this one peek we got at its operations, we       learned that the Fed doled out $12.3 trillion in near-zero interest loans,       without Congressional input.

The audacity and absurdity of it all is mind boggling…

Based on many conversations I’ve had with people, it seems that the       average person doesn’t comprehend how much a trillion dollars is, let       alone 12.3 trillion. You might as well just say 12.3 gazillion, because       people don’t grasp a number that large, nor do they understand what would       be possible if that money was used in other ways. (The typical dumbed down, mentally challenged, illiterate       American will grasp the significance of this outrage when hyper inflation       hits the economy next year.  That is when "the flag waving boobs, and       the walmartians will be unable to feed their kids.  When that happens       just keep saying over and over again---those Arab/Muslims did this. You       will feel a lot better).

Can you imagine what we could do to restructure society with $12.3       trillion? Think about that…

People also can’t grasp the colossal crime committed because they       keep hearing the word “loans.” People think of the loans they get. You       borrow money, you pay it back with interest, no big deal.

That’s not what happened here. The Fed doled out $12.3 trillion in       near-zero interest loans, using the American people as collateral,       demanding nothing in return, other than a bunch of toxic assets in some       cases. They only gave this money to a select group of insiders, at a time       when very few had any money because all these same insiders and       speculators crashed the system. (The FED did what       it was designed to do: Protect the International Banking       Cartel.)

Do you get that? The very people most responsible for crashing the       system, were then rewarded with trillions of our dollars. This gave that       select group of insiders unlimited power to seize control of assets and       have unprecedented leverage over almost everything within their economies       – crony capitalism on steroids.

This was a hostile world takeover orchestrated through economic       attacks by a very small group of unelected global bankers. They paralyzed       the system, then were given the power to recreate it according to their       own desires. No free market, no democracy of any kind. All done in       secrecy. In the process, they gave themselves all-time record-breaking       bonuses and impoverished tens of millions of people – they have put into       motion a system that will inevitably collapse again and utterly destroy       the very existence of what is left of an economic middle class.        (That is the ultimate objective).

That is not hyperbole. That is what happened.

We are talking about trillions of dollars secretly pumped into global       banks, handpicked by a small select group of bankers themselves. All for       the benefit of those bankers, and at the expense of everyone else. People       can’t even comprehend what that means and the severe consequences that it       entails, which we have only just begun to experience.

Let me sum it up for you: The American Dream is O-V-E-R.

Welcome to the neo-feudal-fascist state.

People throughout the world who keep using the dollar are either A)       Part of the scam; B) Oblivious to reality; C) Believe that US military       power will be able to maintain the value of an otherwise worthless       currency; D) All of the above.

No matter which way you look at it, we are all in serious       trouble!

If you are an elected official, (I know at least 17 of you subscribe       to my newsletter) and you believe in the oath you took upon taking office,       you must immediately demand a full audit of the Federal Reserve and have       Ben Bernanke and the entire Federal Reserve Board detained. If you are not       going to do that, you deserve to have the words “Irrelevant Puppet”       tattooed across your forehead.

Yes, those are obviously strong words, but they are the truth.

The Global Banking Cartel has now been so       blatantly exposed, you cannot possibly get away with pretending that we       live in a nation of law based on the Constitution. The jig is up.

It’s been over two years now; does anyone still seriously not       understand why we are in this crisis? Our economy has been looted and       burnt to the ground due to the strategic, deliberate decisions made by a       small group of unelected global bankers at the Federal Reserve. Do people       really not get the connection here? I mean, H.E.L.L.O. Our country is run       by an unelected Global Banking Cartel.

I am constantly haunted by a quote from Harry Overstreet, who wrote       the following in his 1925 groundbreaking study Influencing Human Behavior: “Giving       people the facts as a strategy of influence” has been a failure, “an       enterprise fraught with a surprising amount of disappointment.”

This crisis overwhelmingly proves Overstreet’s thesis to be true.       Nonetheless, we solider on…

Here’s a roundup of reports on this BernankeLeaks:

Prepare to enter the theater of the absurd…

I’ll start with Senator Bernie Sanders (I-Vermont). He was the       senator who Bernanke blew off when he was asked for information on this       heist during a congressional hearing. Sanders fought to get the amendment       written into the financial “reform” bill that gave us this one-time peek       into the Fed’s secret operations. (Remember, remember the 6th of May, HFT,       flash crash and terrorism. “Hey, David, Homeland Security       is on the phone! They want to ask you questions about some NYSE SLP program.”)

In an article entitled, “A Real Jaw-Dropper at the Federal Reserve,”       Senator Sanders reveals some of the details:


At a Senate Budget Committee hearing in 2009, I asked Fed Chairman       Ben Bernanke to tell the American people the names of the financial       institutions that received an unprecedented backdoor bailout from the       Federal Reserve, how much they received, and the exact terms of this       assistance. He refused. A year and a half later… we have begun to lift the       veil of secrecy at the Fed…

After years of stonewalling by the Fed, the American people are       finally learning the incredible and jaw-dropping details of the Fed’s       multi-trillion-dollar bailout of Wall Street and corporate America….

We have learned that the $700 billion Wall Street bailout… turned out       to be pocket change compared to the trillions and trillions of dollars in       near-zero interest loans and other financial arrangements the Federal       Reserve doled out to every major financial institution in this       country.…(The 700Billion was just a diversion to       distract Boobus Americanus).

Perhaps most surprising is the huge sum that went to bail out foreign       private banks and corporations including two European megabanks — Deutsche       Bank and Credit Suisse — which were the largest beneficiaries of the Fed’s       purchase of mortgage-backed securities….

Has the Federal Reserve of the United States become the central bank       of the world?… [read Global Banking Cartel]  (Yes, all the central banks are run by the SAME       people).



What this disclosure tells us, among many other things, is that       despite this huge taxpayer bailout, the Fed did not make the appropriate       demands on these institutions necessary to rebuild our economy and protect       the needs of ordinary Americans….

What we are seeing is the incredible power of a small number of       people who have incredible conflicts of interest getting incredible help       from the taxpayers of this country while ignoring the needs of the people.       [read more]

In an article entitled, “The Fed Lied About Wall Street,” Zach Carter       sums it up this way:


The Federal Reserve audit is full of frightening revelations about       U.S. economic policy and those who implement it… By denying the solvency       crisis, major bank executives who had run their companies into the ground       were allowed to keep their jobs, and shareholders who had placed bad bets       on their firms were allowed to collect government largesse, as bloated       bonuses began paying out soon after.

But the banks themselves still faced a capital shortage, and were       only kept above those critical capital thresholds because federal       regulators were willing to look the other way, letting banks account for       obvious losses as if they were profitable assets.

So based on the Fed audit data, it’s hard to conclude that Fed       Chairman Ben Bernanke was telling the truth when he told Congress on March       3, 2009, that there were no zombie banks in the United States.

“I don’t think that any major U.S. bank is currently a zombie       institution,” Bernanke said.

As Bernanke spoke those words banks had been pledging junk bonds as       collateral under Fed facilities for several months…

This is the heart of today’s foreclosure fraud crisis. Banks are       foreclosing on untold numbers of families who have never missed a payment,       because rushing to foreclosure generates lucrative fees for the banks,       whatever the costs to families and investors. This is, in fact, far worse       than what Paul Krugman predicted. Not only are zombie banks failing to       support the economy, they are actively sabotaging it with fraud in order       to make up for their capital shortages. Meanwhile, regulators are       aggressively looking the other way.

The Fed had to fix liquidity in 2008. That was its job. But as major       banks went insolvent, the Fed and Treasury had a responsibility to fix       that solvency issue—even though that meant requiring shareholders and       executives to live up to losses. Instead, as the Fed audit tells us,       policymakers knowingly ignored the real problem, pushing losses onto the       American middle class in the process.” [read more]

Even the Financial Times is jumping ship:


Sunlight Shows Cracks in Fed’s Rescue Story

It took two years, a hard-fought lawsuit, and an act of Congress, but       finally… the Federal Reserve disclosed the details of its financial crisis       lending programs. The initial reactions were shock at the breadth of       lending, particularly to foreign firms. But the details paint a bleaker,       earlier, and even more disturbing picture…. An even more troubling       conclusion from the data is that… it is now apparent that the Fed took on       far more risk, on less favorable terms, than most people have realized.       [read more]

In true Fed fashion, they didn’t even fully comply with Congress. In       a report entitled, “Fed Withholds Collateral Data for $885 Billion in       Financial-Crisis Loans,” Bloomberg puts some icing on the cake:


For three of the Fed’s six emergency facilities, the central bank       released information on groups of collateral it accepted by asset type and       rating, without specifying individual securities. Among them was the       Primary Dealer Credit Facility, created in March 2008 to provide loans to       brokers as Bear Stearns Cos. collapsed.

“This is a half-step,” said former Atlanta Fed research director       Robert Eisenbeis, chief monetary economist at Cumberland Advisors Inc. in       Sarasota, Florida. “If you were going to audit the facilities, then would       this enable you to do an audit? The answer is ‘No,’ you would have to go       in and look at the individual amounts of collateral and how it was broken       down to do that. And that is the spirit of what the requirements were in       Dodd-Frank.” [read more]

See also:

Fed Data Dump Reveals More Contradictions About       its $1.25 Trillion MBS Purchase Program Fed Created Conflicts in Improvising $3.3       Trillion Financial System Rescue Meet The 35 Foreign Banks That Got Bailed Out       By The Fed Ben Bernanke’s Secret Global Bank
Here’s the only person on US TV “news” who actually covers and       understands any of this, enter Dylan Ratigan, with his guest Chris Whalen       from Institutional Risk Analytics. This quote from Whalen sums it up well:       “The folks at the Fed have become so corrupt, so captured by the banking       industry… the Fed is there to support the speculators and they let the       real economy go to hell.”