Central Banking Warfare model, where central banks print currency, and the military ensures its acceptance. The Federal Reserve is about as 'Federal' as Federal Express.
Research by Catherine Austin Fitts and her colleagues.
I often draw a comparison to a familiar scenario that many can relate to—the tale of a man who leads a double life. He's a diligent professional with one family, yet in another town, he starts a completely separate family. Neither family is aware of the other's existence. It's as though he's attempting to support two families with a single income. What we've observed here is what some individuals refer to as a 'breakaway civilization. - Catherine Austin Fitts
Here is the video
Transcript below is paraphrased (its a lot of work to transcribe so we are doing this in three tranches)
Our plan is to begin after World War II, examining the Bretton Woods and the dollar system, followed by the formation of the National Security State and the secretive black budget. Subsequently, we'll delve into what I've termed the 'financial coup,' which gained momentum in 1996. Then, we'll touch upon a concept known as Financial Advisory Standards or Financial Accounting Standards Advisory Board Statement 56. Finally, we'll discuss the 'going direct reset,' representing the current and significant reset.
Additionally, we'll briefly touch on financial transaction freedom and the current developments in the banking sector. This constitutes our agenda for the upcoming slides.
let's explore the history of the Federal Reserve, the current central bank of the United States, established in 1913.
From a few years after its inception until the conclusion of World War II, the U.S. and the U.K. jointly held the global reserve currency status. However, as World War II unfolded, the U.S. transitioned to the dollar as the dominant reserve currency.
This marked the introduction of the Bretton Woods system, a trade model where the U.S. held sway over global security and sea lanes, crucial for international trade. This system operated under the U.S. dollar as the primary currency, which I call the Bretton Woods system.
This transition to the dollar-centric system is rooted in a centuries-old model known as the Central Banking Warfare model, where central banks print currency, and the military ensures its acceptance.
The identity of the dominant reserve currency holds immense significance, as many nations and central banks maintain their reserves in it. At the same time, a substantial portion of global trade takes place using that currency. This arrangement has prevailed since the Bretton Woods system was established.
Several key entities play pivotal roles in the Central Banking Warfare model, with the Bank of International Settlements (BIS) in Switzerland being the central bank of central banks, enjoying sovereign immunity.
The Federal Reserve represents the central bank of the United States, while the G7 central banks, including the Fed and the BIS, largely govern global currency and monetary policies. In the Western world, we have adopted a debt-based currency model, wherein currency issuance involves debt, for which the treasury assumes liability.
The accumulation of excessive debt has raised concerns, as many countries find themselves in debt traps, where citizens bear an unsustainable burden. However, this debt model is integral to the control system that emanates from the Central Banking Warfare model.
The financial system in the G7 nations, which are among the world's leading economies, comprises two key aspects: fiscal policy and monetary policy. Central banks oversee monetary policy, while legislators manage fiscal policy through taxation and borrowing.
As countries accumulate more debt, the power of central banks grows, leading to the current reset, wherein bankers exert greater control, and national sovereignty is diminishing.
The central theme underlying these issues revolves around preserving individual and national sovereignty.
The dollar reserve system has remained dominant since World War II, and it is often described as 'dominant and dangerous.' While the Euro is the second-largest reserve currency globally, the dollar's market share far surpasses it.
For those wishing to move away from the dollar, it is exceedingly challenging to find a suitable alternative in terms of size.
Nations worldwide have made concerted efforts to establish alternative methods of trading and reserve currencies as the dollar's dominance has grown increasingly burdensome.
The issue at hand is how much longer the dollar can maintain its reserve currency status, and what the implications of such a change would be.
Real assets like food, energy, and land are at the core of any currency system.
The dollar's continued dominance is closely tied to its 'Petro standard,' a system wherein a significant portion of global fossil fuel trade occurs through the dollar.
As we shift away from fossil fuels, the advantages of the Petrodollar system wane.
Since 2014, there has been a notable shift in commodity-producing nations moving away from this system, advocating for trade in real assets rather than currency printed out of thin air. This shift is a response to both sanctions and the stability of the dollar system.
In summary, this brief overview encapsulates the period from World War II to the present in terms of monetary and fiscal policies.
When I was in business school, I learned that the United States doesn't have a central bank in the traditional sense.
In many other countries, central banks are government-owned entities, but the central bank is privately owned in the United States.
Although the President appoints the Federal Reserve Board, the Federal Reserve System itself is essentially controlled by private banks. In the U.S., there are 12 private banks scattered across the country, with the New York Fed having the most significant influence.
All of these banks are owned and operated by their members, and much of their crucial policies and information are kept confidential.
You have a hybrid governance structure on the board in Washington, appointed by the president. However, it's often humorously stated that the Federal Reserve is about as 'Federal' as Federal Express.
Let's explore what transpired at the conclusion of World War II.
In addition to the establishment of the Bretton Woods system, there was the creation of a National Security State. This occurred through enacting two laws, the National Security Act in 1947 and the CIA Act. These laws formed an infrastructure that allowed a significant portion of the federal budget to be managed secretly. Not only were many of the expenditures kept confidential, but a substantial amount of the revenues.
As this system expanded, an increasing share of the funds ended up in the hands of private corporations, which were then given the authority to control and operate a considerable portion of our most powerful technology, intelligence, or military operations, largely hidden from the public.
This development has led to what some describe as a 'breakaway civilization.' Essentially, the US federal budget, including the black budget and secret funds, has been financing what amounts to a separate, parallel society.
This separate entity has grown over time, and many financial irregularities, often perceived as corruption, are, in reality, the means of funding and running this parallel civilization.
People within this framework often see themselves as operating outside the bounds of the law, guided by what they consider a higher moral authority rather than adhering to the law.
Transitioning to the next slide, Sawyer, as this shadow world expanded, it became a tax-exempt realm, given its substantial immunity from legal oversight.
This financial dependency on unconstitutional resource management, including criminal activities, grew over time. Suppose you examine organized crime and money laundering in the United States. In that case, you'll find that these activities are not just controlled from the top down but are deeply interwoven with this parallel structure.
To illustrate, consider the scenario where a concerned individual, like a 'soccer mom,' attempts to combat drug trafficking in her neighborhood. She may initially encounter figures akin to 'Tony Soprano' from the famous TV series, but soon she realizes that 'Tony Soprano' is essentially financing 'James Bond.'
In other words, there's a direct link between criminal activities and what we could describe as a parallel, covert civilization.
the National Security State and the black budget?
"I'd like to mention that, which Katherine may not delve into at this point, there are numerous slush funds throughout this system.
Much of what Katherine and I have been doing, starting from our time as government contractors after Katherine served in government, involves tracing money laundering within the government's books.
The cash flows involved are staggering. The most challenging aspect to grasp is the significant part of our economy that operates through the covert side. It's like a hidden parallel universe beneath the surface, and most people are unaware of it."
We have documented substantial sums, including the phenomenon known as the 'missing money.' Between fiscal years 1998 and 2015, the United States had $21 trillion unaccounted for.
This figure was initially reported by Dr. Mark Skidmore from Michigan State University, who collaborated with us. This issue raised questions, especially as there was $21 trillion in outstanding treasury debt at the time.
Essentially, it indicates a problem much larger than the reported sum."
"I remember a situation where Katherine had open communication with certain intelligence figures, and one of them commented that they had been searching for where the money was laundered within the government.
They had explored various avenues but hadn't found anything. Then, 'some girl,' as he put it, managed to locate it.
So, money laundering occurs primarily within the Department of Defense and HUD. HUD, for instance, oversees the Federal Housing Administration, one of the largest mortgage insurers globally if it were a private entity. As for specific numbers, it's crucial to go through the link collection to get a comprehensive overview."
Katherine further elaborates, "The 21 trillion dollars signifies a problem much larger than it may seem. “
In fact, it represents a 40-plus trillion-dollar issue when you delve deeper into it.
The challenges in comprehending these vast cash flows and systems are akin to Disneyland, where there's an 'upstairs' and a 'downstairs,' and everything is meticulously orchestrated 'downstairs.' At the same time, people walk around 'upstairs' blissfully unaware of the parallel universe beneath them.
We will publish part II and part III on Tuesday