Debtors of the World, Default United!
Hans Schicht
Although I have the greatest respect for all the efforts made by a few courageous lance bearers fighting to free the precious metal markets
from manipulation, to get gold and silver reinstated as legal tender and rid us of the perfidious fiat currencies, I doubt that their frontal approach, specifically aimed at gold and silver, will succeed in forcing the hand of the Bankers in Power.
The behavior of the precious metals of late should be seen as an integral part, a segment, in the greater concept and financial set-up thought up in the seventeenth century by a small elite of very shrewd Bankers: the establishment of a Financial Empire founded on Debt. It is this very concept of Debt Banking which has to be clearly understood as a prerequisite to be able to follow the on-goings in the financial and the precious metal markets and what lies behind the actions. Once clarity achieved, all details of the financial muddle we find ourselves in will start falling into place, including the gold and silver manipulations.
The suppression of the precious metal prices, as well as the creation and manipulation of currencies and interest rates and the control of the
world's oil are all but tools used in the power game of global debt exploitation pursued by the Merchants of Debt. These tools are being
played one against the other daily behind the scenes, either directly, or indirectly through the derivative markets, where manipulative ongoings are easy to hide and are difficult to follow and to perceive for outsiders. But whatever, the main and basic policy of the Merchant of Debt stays always the same: create debt and see to it that the victims have no alternative to regain their financial strength and freedom.
Fantasy Debt creation has brought about the greatest wealth transfer ever seen in history. From the people, from the entrepreneurs, from the governments, all into the coffers of the Merchants of Debt, the Bankers. Where at the beginning of the 20th century the Banks presented less than an estimated 3% of GNP on a world average, today, at the beginning of the 21st century, the Bankers have become the masters of the world. And only a handful of Top Bankers control it all. They control you and me, the governments and all the world's resources. Not only control, but also are keeping people and governments eternal hostages in their chains of debt. The Merchants of Debt have taken over the world and everybody has to dance to their purse strings, the people, enterprise and the governments.
Never before in history has there been such a transfer of wealth without a single shot being fired. And all was achieved through debt enslavement by stealth.
Debt and interest are the bread and butter of the Banker. The more debt outstanding, the greater the Banker's debt empire and the more interest flowing into the Banker's vaults, be it extracted from personal debt, business debt or government debt. It is Debt which has turned the whole world up-side-down. All the financial bubbles we have seen of late, the stock market bubbles, the real estate bubble, the derivative bubble, etc, are all but part of the papa debt bubble. The debt bubble is the lynch-pin.
Debt has developed into a deadly cancer preying on society. It is a misconception that the Western financial system developed only
consequent of the needs of economic growth. It is more so, that it was debt banking, from its earliest conception, which penetrated and then influenced the direction of Western economic development where it could, so as to serve the Banker's interests best. Whereas before down-to-earth entrepreneurs built and ran industry and business, today financial managers, appointed by the now majority share holders, the Bankers and their Wealth Transfer Machines, have replaced the old pioneers.
There are hundred thousands of ordinary people, thousands of companies and many Developing Countries which of late have come under
severe duress and lost their freedom of action, or were driven into bankruptcy by the aggressive, unscrupulous credit pushing of the
Merchants of Debt.
When whole populations are driven away from their birthplace by ethnic cleansing, the world speaks of crimes against humanity. When millions are slaving daily to pay tribute to the Banker, for loans created out of thin air, which costs the Banker near to nothing, or millions are in jeopardy of losing their possessions and livelihood through unscrupulous financial manipulations and dubious practices, is that not the equivalent of financial crimes against humanity? Modern slaves are not in chains, they are in debt.
Today, Debt slavery exceeds by far all what physical slavery till it was abolished stood for. The US debt per family now exceeds $ 100.000 - plus interest due to the Bankers. But that is not all: of the tax dollars, paid in by the same families, about one third and more flows through the government's treasury straight back to the same Bankers and their cohorts to cover the interest due on government loans.
What we should be striving for is the abolition of debt slavery along the lines of the abolition of physical slavery one hundred and fifty years ago. The way to proceed and achieve such has been shown to us by the proven success of the Class Actions brought against the tobacco industry. The similarities of arguments which could be applied are striking: inducement by stealth to an action which might cause harm to the physical or financial health of the victim, the cognizance of such by the seducer, who nevertheless keeps proceeding. The danger of a developing addiction to nicotine or debt. The follow-up action by the seducer to impede that the victim could ever free himself from the physical or financial enslavement induced. Stealth cigarette advertising aimed at minors and credit cards sent to minors being the worst offenders. Peddling nicotine or debt, what is the difference? Both lead to misery.
Class Action proceedings against debt enslavement would find unquestionable support and sympathy from the millions of people, who are or feel directly involved and who would have no trouble understanding the arguments. Class Action would be far easier to conduct than all the intricate legal suits against the legality of fiat money and the Reserve Banks, against the suppression of gold and so on. The latter which only the intelligencia could and would be able to follow and understand, and which proceedings the controlled press would have no trouble distorting for public consumption.
Where are the hero lawyers who would and could undertake a Class Action against debt? The time is ripe and a name could be made!
In its course, a Class Action of the kind would get to the heart of the intrigues of high finance. It would force "glasnost" in financial affairs and bring the whole dirty spider web of manipulation into the public eye. The role of the banks. Who stands behind them. The way fiat money and credit are created. Who is behind the suppression of the precious metals. The role, workings and ownership of the Reserve Bank and the Central Banks. And their relationships with the IMF and World Bank, etc.
On international level, Developing Countries should unite and initiate legal action through the International Court of Justice in the Hague. Roughly, their case could be conducted along the following lines:
What the was the original value and purpose of loans extended? Who were the decision makers at the time? Who might have profited? In how far where and are the markets for the exports of the Developing Countries free or controlled? Were the rates for the interest-due subject to change (could be manipulated)? By which means and by whom were the Developing Countries induced to take up loans? Where there any obstructions to repay? Or inducements to extend or expand the loans, resulting in eternally roll-overs and increases in the loan packages? Where there onerous loan conditions infringing on sovereignty or on the country's livelihood? Were there any attempts made to get control of the Developing Country's resources, enterprises and especially banks and financial institutions? And last but not least: in how far might the manipulation and suppression of the gold price ( as advanced by GATA) or any commodity price manipulation by the lenders or their cohorts have restricted the Developing Countries in repaying their loans?
The above may be a last chance for a legal and peaceful way to cut the cancer of debt out of our lives and right all what is wrong. The power of the Banker has to be cut down to size, now, before it is too late. Inaction or ignoring the dangers of the monstrous Debt Bubble exploding uncontrolled with millions of people all over the world suddenly becoming destitute, and that might be soon, will bring total disaster. Destitute people in rage, who have nothing to lose, are like a herd running wild, trampling and destroying all what is in their way. Storming the Banks, riots, blood running in the streets, revolution, even war. The prospects look grim.
There is still another way action might be taken when a real crisis unfold, like happened in Mexico:
A powerful movement "el Barzon" is an alliance of middle class, mainly agricultural people duped by banks recalling loans in unilaterally and prematurely in consequence of the tequila crisis. The Barzon sees this action by the banks as illegal and defends its members' rights where it can. So it happened in 1998 that in the town of Morelia a bank's debt collector, who came to foreclose a property, was shaved bald, stripped naked, had paint thrown over him and was chased out of town. In Mexico City and many bigger towns there are regular Barzon demonstrations with trucks, tractors and even cattle driven into the center of town. The Barzon has made international connections.
The success of Class Action could reverse the tide and lead to a powerful Wealth Return Machine. Freeing people from financial slavery. Returning their assets. Giving people back their independence and dignity. Restoring the sovereignty and resources of governments, so, with the treasuries replenished, taxes could be drastically lowered or even suspended for years to come. Re-installing positive money, nothing less than currencies 100% comprised of gold and silver. Rescinding all debt and fiat paper. Abolishing loans and interest. Making investment through share holding the only way to participate in or support ventures. Bringing openness in the affairs of man by abolishing anonymity. Abolishing chain share holdings where one company can hold shares in other companies. Establishing automated, manipulation proof, electronic markets. Obliging governments to run their bookkeeping on the Internet. Ad infinitum.
The reasoning behind the above is based on "natural economics". It holds that economic growth should always originate from grass roots and only be fomented at grass roots. The thesis is contrarian to present economic theories, which cannot keep from interfering from above. All developments endangering natural process will only lead to unbalanced concentrations of power, which have to be cut down to size before turning malignant. For instance, the spread of banking, now culminating in a totally misdirected globalization drive, forced upon us by the Merchants of Debt and to their sole benefit, is unacceptable. However, a very different people's globalization, developing from grass roots with the help of the Internet, would decisively be beneficiary for the whole world.
The tragic is, that debt banking is so little understood. I only wish, that the many, who are rightfully clamoring for monetary reform and the
re-instatement of the precious metals as currency, would go still one step further and slay the debt dragon at the same time! If this is not done, people can forget about ever regaining full personal freedom and dignity.
The trouble, however, is, that the cancer of debt banking has spread already so far, that correction is going to be painful and the patient might not survive.
Orwellian Society is turning out to be much more sophisticated and refined than foreseen. Not by political force but by subtle debt chains, the people are being herded and exploited, like IOU-s, as the Merchant of Debt pleases.
June 13, 2003
Hans Schicht
(electronic copyrights waived, all other copyrights reserved)
For more on the subject please go to "The Wealth Transfer Machine" and "The Merchants of Debt" written for gold-eagle.com by the same author.
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