of our Republic is the invisible government which like a giant octopus sprawls its slimy legs over our cities, states and nation. At the head is a small group of banking houses... This little coterie...run our government for their own selfish ends. It operates under cover of a self-created screen...seizes...our executive officers...legislative bodies...schools...
courts...newspapers and every agency created for the public protection.”
N.Y. Mayor, John Hylan
 |
MONEY CREATION PROCESS AND THE FEDERAL RESERVE
Our Modern Money Creation Process is a Fraud Whereby Criminals Known as Bankers Create Money Out of Thin Air and Use it to Enslave the People.
In The Legalized Crime of Banking and a Constitutional Remedy (1958), Silas Walter Adams discusses the money creation process in great detail.
Here is an excerpt that will enlighten you on what is really going on inside our fraudulent banking system…
"… First, there is the Reserve authorities power to write a cheque against no funds.
"Page 85 of the Reserve Booklet (issued May 1, 1939, by the Board of Governors of the Federal Reserve):
MONEY CREATION PROCESS: MONEY FROM NOTHING
"‘Federal Reserve Bank credit . . . does not consist of funds that the Reserve authorities "get" somewhere in order to lend, but constitute funds that they are empowered to create.
"‘The process of creation is one of giving the promises of the Federal Reserve Bank — in the form of Federal Reserve Notes and Reserve deposits — in exchange for the promises made by others to the Federal Reserve Banks, the reason for the exchange being that the Federal Reserve Banks' promises are recognized BY LAW as having a particular monetary utility not possessed by the promises of individuals or of private institutions.’
"That simply means that the Federal Reserve authorities can write a cheque against
no funds or give the sellers of securities to the Reserve Banks deposit credits on their books.
"These securities are (a) U.S. Bonds, (b) Corporation stocks, or (c) investment obligations, which the member banks may sell (or deposit with them) — and the member banks get credit to their reserve funds.
Interested in Learning More About the Fraudulent Banking System and Freeing Yourself From Debt Enslavement? Join Our Debt Relief Education Program Today. Just Fill in Your Information Below to See if You Qualify:
MONEY CREATION PROCESS: $1,000 FOR 30 CENTS
"If the Reserve authorities should pay for the securities (promises of others to pay) with Federal Reserve notes, instead of just giving the seller deposit credits on its books to the seller, it would mean nothing, because the Bureau of Engraving and Printing (the Treasury) prints reserve notes for Reserve Banks at a cost of only 30 cents a $1,000.
"To follow that course would be both perfectly silly and useless; for the seller of the investment obligations would have no use for the cash, he would just deposit the money in the bank, receive deposit credit against which he could write cheques.
MONEY CREATION PROCESS: NO FUNDS LENT
"The Reserve Banks are now very careful to say, ‘We buy U.S. Bonds and pay for them with Reserve notes.’
"Bankers are fighting desperately to hide the fact, that, in reality, they are lending no funds; but create funds every time the Reserve authorities buy investment obligations, or make a loan, and every time any commercial bank buys investment obligations, or makes a loan.
"Just as Congress, by law, empowered the Reserve authorities to write a cheque against no funds; the Reserve Act empowers commercial banks, who are member banks — and there are some 8,000 (total 14,537) other State banks and trust companies who do business as branches or under trusteeship of member banks) to write a cheque against no funds.
MONEY CREATION PROCESS: BRAINWASHED CONGRESS
"A congressman wrote me that he used to think that when the Reserve Banks, which are the fiscal agents of the Government (keeping its deposits and clearing the Government's cheques paid to customers for materials and services) bought U.S. Bonds, that the Reserve Banks just gave the Government credit in its deposit account for the bonds…
"but now he has learned that ‘Instead money is created in the form of Federal Reserve notes taken from the Treasury's Bureau of Engraving and Printing, and used to buy United States Government Bonds.’
"He has been brain washed.
"The Congressman did say this: ‘. . . when Government bonds are bought for the 12 Federal Reserve banks, the capital stock and surplus of the banks is not used for this purpose, and funds of the Reserve banks are not used for this purpose, and the deposits of member banks are not used for this purpose.’
"The Congressman is wool-gathered in the assertions that the Reserve banks use Reserve notes (greenbacks in daily circulation) to pay the Government for the bonds.
"He is not wool-gathered in his statement that they do not use capital, surplus or bank deposits; for banks do not, never did lend their capital, their surplus or their depositors' deposits.
MONEY CREATION PROCESS: FIAT MONEY
"But let's note how silly the Congressman's assertion that the Reserve authorities get from the Government Reserve (free) notes, and then hand them back to the Government in payment for the U.S. Bonds.
"The Government prints these bonds for the Reserve Banks at a cost of only 30 cents a $1,000 and the Treasury keeps them in storage, just like a printer would keep a customer's letterheads in storage, doling them out to the customer as he called for them.
"The Government took blank paper, and printed some gobbledegook on both sides and presto, it is money. The paper is 21/2" by 6" and it may be a $1 bill, a $5 bill, a $10 bill, a $20 bill, or a $50 bill on up.
"It is a fiat of a private corporation, made legal tender by printing ‘The United States of America’, promising to pay the bearer Five Dollars, and in very small 4 point type, tender for all debts, public and private and is redeemable in lawful money at the United States Treasury, or at any Federal Reserve bank."
MONEY CREATION PROCESS: EDUCATE YOURSELF & BECOME FREE
Americans must wake up to the fact that the people who are the producers in America are scammed by the banking elite.
While the producers slave away in their little shack homes, the bankers create money from nothing and steal the wealth of the land through the Federal Reserve. The bankers produce nothing and contribute nothing but misery and slavery to the people.
Go to our Resources Page and educate yourself.
Educate yourself on why your debt is impossible to pay off because the interest must be paid with more borrowed money.
Then, allow us to help you actually eliminate it off the books those bankers hold over you…
Join our Debt Relief Education Program today. Just fill in your information below to see if you qualify:
THIS MONEY CREATION PROCESS ARTICLE IS NOT COPYRIGHTED. YOU ARE FREE AND ENCOURAGED TO PASS THIS CRITICAL INFORMATION ON TO AS MANY FELLOW AMERICANS AS POSSIBLE. POST IT AND EMAIL IT NOW TO AT LEAST 10 PEOPLE!
Top of Money Creation Process Page
<<< Return from Money Creation Process to Resources Main Page
Give Us Your Opinion on the Money Creation Process by Visiting Our Forum
