April 25, 2011 By Joseph P. Farrell

As most of you know by now, I've been flirting with the idea that the disasters in Japan were induced by means of a technology, as a message sent to the errant government of Japan by...well, "somebody." Indeed, I'm not the only one on the internet flirting with the idea; others have already married it and are producing children. But I propose over the next few days' blogs, to scrutinize the idea a little more closely.  Before we get to all that, however, as always, I emphasize that this analysis is highly speculative; it is a way of connecting certain dots, but certainly not the only way to connect them, nor even the only set of dots to be connected.

That said, my analysis in these coming blogs will be based upon fleshing out my idea that the domestic political context in Japan provides the best corroborative evidence that indeed Japan was deliberately and savagely attacked. The dot that I am adding into the mix of the next few blogs is a large dot, in my opinion perhaps the most significant one: the seizure by the Italian financial police, the Guardia di Finanza, considered to be among the world's finest, on June 3, 2009, of two "Japanese" nationals and $134.5 billion of alleged U.S. treasury bearer bonds. The other dot to be connected here, are the Japanese national elections that occurred only three months later on August 30, 2009. It is between these two poles or dots that my analysis proceeds. Many have remarked that the story and its strange connections read like a Robert Ludlum or John LeCarre spy thriller of the 1970s. But Ludlum or LeCarre would have been envious of this plot line, and in previous comments from various members and guests this connection has been suggested as well, and it is an idea that began to percolate in my mind. Herewith are the results, such as they are, of that percolation.

Let's review the case, as it was reported in various media outlets. In June of 2009, two "Japanese" men were apprehended at the Italian-Swiss border at the town of Ponte-Chiasso with $134.5 billion in U.S. treasury bearer-bonds concealed in a false bottom briefcase. Here are the facts of the case as best as I can make them out now, for the story was not covered in any mainstream US media to any great degree:

The "Stash" as Photographed by Italian Authorities

(1) The press identified the smugglers as being "Japanese nationals" but no confirmation of this allegation was ever forthcoming, and the identities of the men was never released (to my knowledge);

(2) There were 249 bearer bonds were in denominations of $500,000,000, with ten so-called "Kennedy bonds" each denominated at a value of $1,000,000,000. Some of the $500,000,000 bonds were dated as far back as 1934.

This is where the plot begins to thicken.  For one thing, bonds of $500,000,000 denominations did not exist - so we're told by various articles on the internet - in 1934, and thus, they were deduced to be counterfeits, though, strangely, the Italian authorities at the time of the arrest were waiting for the U.S. Securities and Exchange Commission to make a declaration as to their authenticity. Moreover, we are informed by a number of internet articles and posts - Bloomberg for example - on this bizarre episode that the bonds were all so well-executed that they were "indistinguishable from the real ones." J.S. Kim, in his post on the subject "Strange Inconsistencies in the $134.5 Billion Bearer Bond Mystery," asks a pertinent question: How can this quality be so good, and "yet the people involved in the alleged forgery (be) so ill-informed as not to date the bearer bonds with a more recent year that would not immediately identify them as fraudulent?... An equivalent analogy would be if an expert art forger meticulously re-created a Picasso oil canvas and then erroneously signed the work with the wrong artist's name. This story just does not add up."

The second problem, noted by Kim in his article, is that the $1,000,000,000 denominated "Kennedy bonds" were never known to exist at all. Again, Kim points out the problem: "...(This) discovery defies any logical explanation. Why would expert counterfeiters make 249 bearer bonds with denominations of $500 million apiece, each indistinguishable from the real thing, and then instead of just making 20 more such bonds, decide to make 10 bonds in denominations of $1 billion apiece in a bearer bond design that never has existed? Were the alleged counterfeiters just too lazy to confirm if Kennedy bearer bonds were ever a legitimately issued security? Again, this story makes no sense."

Add to these points the following:

(3) On March 30, 2009, the US Treasury Department stated that the Troubled Asset Relief Program had - you guessed it - $134.5 billion remaning in its Troubled Asset Relief Program, the exact amount of the "stash" seized in Italy.

Let's pause before going further. This fact led some to speculate that, in fact, the bonds - including the so-called Kennedy bearer bonds - were real, but that they had been secretly issued by elements in the American government to keep the economy afloat. Others continued to maintain the counterfeit story. Some began to advance the argument that the Treasury's announcement in March of 2009 would have allowed two months for forgerers to counterfeit the exact amount of bonds and then allow them to be caught, in a murky economic warfare operation.

To continue:

(4) The two "Japanese" men traveled to Chiasso on a train normally populated by Italian workers on their way to work in Switzerland. Once again, J.S. Kim asked the question on everyone's minds: "If they were really intent on successfully smuggling these bonds, counterfeit or real, why would they not take more care to select a travel route in which it was literally impossible for them not to stick out like two sore thumbs? Again, this part of the story defies all logic."

And finally:

(5) The bearer bonds, as noted above, were discovered by the Italian authorities in a false hidden briefcase compartment during normal customs inspections. Kim points out that if the bonds were indeed legitimate and owned by a nation-state, then they would normally have been transferred by diplomatic pouch exempt from such customs searches!

It is, as Kim notes, "a huge story," but huge because of all its inconsistencies and any potential explanations for them, for whether or not the bonds or any portion of them were legitimate or counterfeit, the question is: who were the real players, and, if counterfeit, what was the motivation for the operation in the first place? There is, however, one fact of the story that is overlooked, and I am surprised no one has mentioned it: the so-called $1 billion denominated "Kennedy" bonds, a denomination that never existed, so we're told. But consider the supreme irony that one of America's last presidents to challenge the "authority" of the Federal reserve by an executive order to issue $4 billion-plus in debt-free United States Notes during his presidency, was murdered a mere five months after signing the order to do so. We'll get back to the "Kennedy bonds" on Thursday's post, because in my opinion, they may hold the key to the story.

This raises two possibilities to my mind: (1) if these "Kennedy" bonds were legitimate, or at least, counterfeits of legitimate but secretly issued "Kennedy" bonds, then this means, as others have pointed out, that someone in the American government was issuing securities secretly, and it means that whoever was behind this operation had access to that extraordinarily secret knowledge, and it also means that someone within the American government had a rather droll sense of irony, denominating such large bonds with Kennedy's image in a bizarre "message"; (2) if they were straightforwardly counterfeit with no basis in reality, then again, the choice of Kennedy as the image on the bonds was again a rather droll "message."

These possibilities highlight an inescapable conclusion: If we assume that all these bonds were counterfeit, then the mere fact that they were such excellent - almost "indistinguishable" - exemplars of the genuine articles means that whoever was behind the counterfeiting operation ultimately had to be a nation-state in possession the genuine article. Only the genuine article could have provided any counterfeiters with an exemplar to imitate, and thus, ultimately, there is a holder of US securities behind this operation at some point. This means, additionally, that the context by which to interpret the Kennedy bonds changes dramatically, for if the counterfeits are based on secret exemplars then a clear message is being sent to whatever circles in the American parapolitical power structure as secretly issued them: We know the game. And little changes if the Kennedy bonds are totally illegitimate.

The question is, who would that nation-state behind the counterfeiting be? Obviously, they would be large holders of American debt, and with an ability to counterfeit near-perfect bonds, implying technological sophistication.

(To be continued).