October 30, 2011 By Joseph P. Farrell

Someone sent me the following link about recent leaked papers from the Federal Reserve, and the comments they evoked from a sitting US Senator:

The Wall Street Pentagon Papers

OK...beyond the stupid picture of Bernanke with the camera looking up at him...a typical ploy of propagandists to deify their subjects ... what the article states is, to me, quite interesting. First, we note that it was an independent US Senator, Bernie Sanders, that had the guts to point out Federal Reserve corruption. We hear little about it from Republithugs or Dummycrooks, other than Ron Paul. The same Senator Sanders also asks the significant question: has the Fed become the central bank of the world?

But I suggest, the honorable Mr. Sanders' comments notwithstanding, that the real shockers - for most people anyway - are three statements that the author of the post, David deGraw, makes:

(1)"All the Racketeer Influenced and Corrupt Organizations got their cut;" and let's not forget

(2) "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."

OK...true enough. What Mr DeGraw is getting at here is something I've commented on myself, namely, that in the ponzi scheme of central banks issuing monetized debt as a nation's currency, i.e., issuing the facsimile of money, is that the ultimate collateral on the debt is the nation and its people itself. The racketeering and corruption are thus inherent to the system, and Mr. DeGraw is right in implying that the RICO act comes into play here, for "crony capitalism" resembles nothing so much as the 'business' of organized crime.

I point out that in this system, especially when a nation like the US has shipped most of its manufacturing overseas - and both the Dummycrooks and Republithugs have been complicit in this "free market" nonsense, the result is that he backing of the dollar as a reserve currency comes down to force.... the "backing" in other words, is the US military, and this we have seen ample evidence of in the past few months and years.  It means inevitably that unless we can get a handle on this runaway corruption, and put our monetary and fiscal house in order, that a geopolitical clash is inevitable.

(3) "The Progressive’s Matthew Rothschild has a good quote: 'The financial bailout was a giant boondoggle, undemocratic and kleptocratic to its core.'"

This is the statement I found to be the most interesting in the whole article. I have no idea if Matthew Rothschild is a member of the far-flung banking clan or not, but I rather suspect, given its size, that he is. I have previously blogged about another Rothschild bankster who also called for the end of the Eurozone or at least a massive restructuing of it. Well, that has happened. What intrigues me is that the statements of Matthew Rothschild indicate more than just a bit of a fissure between the Rockefeller group and the Rothschild group, for as I pointed out in Babylon's Banksters, the primary target of the Gaussian copula formula of David Li were Rothschild interests and secondarily the Rockefeller interests.

I suspect that these banking moves by the Fed are signals that there is a real struggle occurring for who will influence Europe the most: the Fed, or, as we saw this week with the quiet Chinese support of the new bailout package announced by Chancellorin Merkel are her French counterpart, a new role for China in Europe.  It's getting interesting folks!