Paulson Proposes Financial Overhaul

"Most Americans have no real understanding of the operation of the international money lenders. The accounts of the Federal Reserve System have never been audited. It operates outside the control of Congress and manipulates the credit of the United States." -- Sen. Barry Goldwater

"The regional Federal Reserve banks are not government agencies. ...but are independent, privately owned and locally controlled corporations." -- Lewis vs. United States, 680 F. 2d 1239 9th Circuit 1982

Paulson Proposes Financial Overhaul; AP; By Martin Crutsinger; 31 March 2008.

From the AP:

“The Bush administration Monday proposed the most far-ranging overhaul of the financial regulatory system since the stock market crash of 1929 and the ensuing Great Depression.

“The plan would change how the government regulates thousands of businesses from the nation's biggest banks and investment houses down to the local insurance agent and mortgage broker.

“Treasury Secretary Henry Paulson unveiled the 218-page plan in a speech in Treasury's ornate Cash Room, declaring, ‘A strong financial system is vitally important — not for Wall Street, not for bankers, but for working Americans.’

“The administration's plan drew criticism, however, from Democrats who said it did not go far enough to deal with abuses in mortgage lending and securities trading that were exposed by the current credit crisis. Some state officials criticized what they saw as unwanted federal intrusion on their turf.

“It would give the Federal Reserve more power to protect the stability of the entire financial system while merging day-to-day bank supervision into one agency, down from five at present.

“Sen. Charles Schumer, D-N.Y., said he strongly disagreed with Paulson. ‘The unregulated corners of our economy did much to contribute to the meltdown in our housing market and the accompanying spillover to our financial markets,’ Schumer said in a statement. ‘The administration's 'deregulation-above-all-else' attitude helped cause the problems we now face.’”

Read the rest of the story here.

Comment: Folks it was the Federal Reserve that either propelled or brought this country into the stock market crash of 1929, and the ensuing depression. In either case it is the Federal Reserve and the avaricious bankers operating outside the bounds of our Constitution that are strangling this nation.

From two views from Wikipedia:

“Austrian theorists who wrote about the Depression include Hayek and Murray Rothbard, who wrote "America's Great Depression" in 1963. In their view, the key cause of the Depression was the expansion of the money supply in the 1920s that led to an unsustainable credit-driven boom. In their view, the Federal Reserve, which was created in 1913, shoulders much of the blame.”

“In their 1963 book "A Monetary History of the United States, 1867-1960", Milton Friedman and Anna Schwartz laid out their case for a different explanation of the Great Depression. After the Depression, the primary explanations of it tended to ignore the importance of money. However, in the monetarist view, the Depression was “in fact a tragic testimonial to the importance of monetary forces.”^[7] In his view, the failure of the Federal Reserve to deal with the Depression was not a sign that monetary policy was impotent, but that the Federal Reserve exercised the wrong policies. They did not claim the Fed caused the depression, only that it failed to use policies that might have stopped a recession from turning into a depression.”

So, we are going to add more regulations and give more control over our money and banks to people that are not elected to office, and have no Constitutional authority for its existence?

Take look at some quotes from a few people that have opposed this:

"I believe that banking institutions are more dangerous to our liberties than standing armies. Already they have raised up a monied aristocracy that has set the government at defiance. The issuing power (of money) should be taken away from the banks and restored to the people to whom it properly belongs." -- Thomas Jefferson, U.S. President.

"If Congress has the right [it doesn't] to issue paper money [currency], it was given to them to be used by...[the government] and not to be delegated to individuals or corporations." -- President Andrew Jackson, Vetoed Bank Bill of 1836

"History records that the money changers have used every form of abuse, intrigue, deceit, and violent means possible to maintain their control over governments by controlling money and it's issuance." -- James Madison

"But if in the pursuit of the means we should unfortunately stumble again on unfunded paper money or any similar species of fraud, we shall assuredly give a fatal stab to our national credit in its infancy. Paper money will invariably operate in the body of politics as spirit liquors on the human body. They prey on the vitals and ultimately destroy them. Paper money has had the effect in your state that it will ever have, to ruin commerce, oppress the honest, and open the door to every species of fraud and injustice." -- George Washington in a letter to Jabez Bowen, Rhode Island, Jan. 9, 1787

"Whoever controls the volume of money in any country is absolute master of all industry and commerce." -- James A. Garfield, President of the United States

"Every Congressman, every Senator knows precisely what causes inflation...but can't, [won't] support the drastic reforms to stop it [repeal of the Federal Reserve Act] because it could cost him his job." -- Robert A. Heinlein, Expanded Universe

"We have, in this country, one of the most corrupt institutions the world has ever known. I refer to the Federal Reserve Board. This evil institution has impoverished the people of the United States and has practically bankrupted our government. It has done this through the corrupt practices of the moneyed vultures who control it." -- Congressman Louis T. McFadden in 1932 (Rep. Pa)

"The Federal Reserve banks are one of the most corrupt institutions the world has ever seen. There is not a man within the sound of my voice who does not know that this nation is run by the International bankers." -- Congressman Louis T. McFadden (Rep. Pa)

"Some [Most] people think the Federal Reserve Banks are the United States government's institutions. They are not government institutions. They are private credit monopolies which prey upon the people of the United States for the benefit of themselves and their foreign swindlers." -- Congressional Record 12595-12603 -- Louis T. McFadden, Chairman of the Committee on Banking and Currency (12 years) June 10, 1932

You need to be worried; Bush is calling for more regulations, and Democrats in the Senate are calling for regulations above Bush! This is madding.

Centrally planned economies have always failed; they failed in Soviet Union, China, and in Great Britain of the post WWII era until Prime Minister Margaret Thatcher came into office, yet we think it will work here in the United States. Do we have some “divine” ability that these former counties did not have? Folks we are marching steadily toward a collusion of socialism and corporatism.

This country was built upon freedom and liberty, and quotes of the founders above demonstrate this. However, we through our ignorance are allowing these tyrannical bureaucrats to bind us. They are binding us through credit and debt, and are draining this country. Wake up folks.

Ohio Soldier's Remains Found in Iraq

I am stepping away momentarily from the focus of this weblog to pay tribute to a young man that laid down his life for our nation. No agendas, just simply honoring a fine young man.

Ohio Soldier's Remains Found in Iraq; By Terry Kinney; AP; 31 March 2008.

From the AP:

“Sgt. Keith Matthew Maupin's parents vowed to never let the U.S. Army forget about finding their son.

“Their efforts included trips to the Pentagon and even meeting with President Bush, but they ended in disappointment Sunday: An Army general told them the remains of Maupin, a soldier who had been listed as missing-captured in Iraq since 2004, had been found.

“‘My heart sinks, but I know they can't hurt him anymore,’ Keith Maupin said after receiving word about the remains of his son, who went by Matt.

“The Army didn't say how or where in Iraq his son's remains were discovered, only that the identification was made with DNA testing, Maupin said. A shirt similar to the one his son was wearing at the time of his disappearance was also found.”

Comment: My prayers this day will be for Matt Maupin’s family as they grieve their fallen son and loved one.

If you could, fly your flag at half staff for our gallant soldier from Ohio, and please wear a black armband in morning for his family.

No one has greater love than this, to lay down one's life for one's friends. (John 15:13).

The Story of Federal Reserve

This is very fascinating and well made video by writer G. Edward Griffin based off his latest book The Creature From Jekyll Island: A Second Look At The Federal Reserve.

Additional information

About the Author from Amazon:

G. Edward Griffin is a writer and documentary film producer with many successful titles to his credit. Listed in Who’s Who in America, he is well known because of his unique talent for researching difficult topics and presenting them in clear terms that all can understand. He has dealt with such diversified subjects as archaeology and ancient earth history, international banking, internal subversion, terrorism, the history of taxation, U.S. foreign policy, the science and politics of cancer therapy, the Supreme Court, and the United Nations. Some of his better known works include The Discovery of Noah's Ark, Moles in High Places, The Open Gates of Troy, No Place to Hide, World Without Cancer, The Life and Words of Robert Welch, The Capitalist Conspiracy, The Grand Design, The Great Prison Break, and The Fearful Master. His most recent book is entitled The Creature From Jekyll Island: A Second Look At The Federal Reserve.

Sen. McCain proposes “New World Order-Phase II”

I heard the speech given by Sen. McCain to the Los Angeles World Affairs Council, which was played on the Rush Limbaugh show yesterday (26 March 2008 ), and there was nothing remotely republican or conservative about this speech. This is tantamount to a second phase of the former President Bush’s “new world order.” McCain is a disaster waiting to happen. Here are few quotes Rush posted on his web site:

MCCAIN: We can't build an enduring peace based on freedom by ourselves, and we do not want to. We have to strengthen our global alliances as the core of a new global compact, a league of democracies that can harness the vast influence of the more than 100 Democratic nations around the world to advance our values and defend our shared interests. At the heart of this new compact must be mutual respect and trust.

MCCAIN: Our great power does not mean we can do whatever we want, whenever we want, nor should we assume we have all the wisdom and knowledge necessary to succeed. We need to listen, we need to listen to the views and respect the collective will of our Democratic allies. When we believe international action is necessary, whether military, economic, or diplomatic, we will try to persuade our friends that we are right. But we in return must be willing to be persuaded by them.

MCCAIN: America must be a model citizen if we want others to look to us as a model. How we behave at home affects how we are perceived abroad. We must fight the terrorists and at the same time defend the rights that are at the foundation of our society. We can't torture or treat inhumanely suspected terrorists we have captured. I believe we should close Guantanamo and work with our allies to forge a new international understanding on the disposition of dangerous detainees under our control.

MCCAIN: We need to be good stewards of our planet and join with other nations to help preserve our common home. The risks of global warming, the risks of global warming have no borders. We and the other nations of the world must get serious about substantially reducing greenhouse gas emissions in the coming years, or we will hand off a much diminished world to our grandchildren. We need a successor to the Kyoto treaty, a cap-in-trade system that delivers the necessary environmental impact in an economically responsible manner. We Americans must lead by example and encourage the participation of the rest of the world.

Bold highlight used by blogger to denote corporatist elements of his speech.

Comment: I can say with all assurance that I will not cast my vote for this Fascist/Corporatist, who will further lead this country in to more war and economic disaster while advancing the global corporatist one world order as he hands over our sovereignty to European and third world nations.

The Republican Party is in dire straits with this guy. What were Republican Party members thinking when they voted for this guy; it was fear, they were thinking about the fear that has gripped this nation since 9/11. The fear that the MSM and inside the beltway political class has manufactured to increase the scope and power of the federal government and further propel us toward the end state of a one world order.

If you think I am loony, read the stuff McCain said again. Rush did and he got it, will you?

Paulson Seeks Greater Role for Federal Reserve

Who is the Federal Reserve?

Paulson Seeks Examination of Rules; Governing Big Financial Players; By Tom Barkley; The Wall Street Journal. March 26, 2008.

From the WSJ (subscription):

Treasury Secretary Henry Paulson called Wednesday for "some type" of additional oversight of investment banks by the Federal Reserve in connection with the recent decision to give them access to the central bank's credit.

Separately, the top two members of the U.S. Senate Finance Committee have asked the Federal Reserve and Treasury Department for extensive details on J.P. Morgan Chase & Co.'s deal to acquire Bear Stearns Cos.

The Fed's move earlier this month to start providing liquidity to primary dealers for the first time since the 1930s "deserves praise," said Mr. Paulson in prepared remarks for a speech to the U.S. Chamber of Commerce. But it also raises regulatory issues, since the Fed only regulates depository institutions, he said.

"Certainly any regular access to the discount window should involve some type of regulation and supervision," said Mr. Paulson. (Read the prepared text of the speech.)

Thus, he suggests two measures to improve Fed oversight of investment banks, including greater access to information and public disclosure.

The Fed should have access to the information it needs to make lending decisions, said Mr. Paulson. The central bank should continue to work with the Securities and Exchange Commission and Commodity Futures Trading Commission, he said, and consider whether more formal cooperation is needed.

The recently created Term Auction Facility to lend more cash to commercial banks could provide a model for transparency, disclosing the eligible institutions and the magnitude and pricing structure of the lending program, he said.

Still, Mr. Paulson said it is premature to conclude that primary dealers or other nonbanks should have permanent access to Fed credit, saying the recent action "should be viewed as a precedent only for unusual periods of turmoil."

Read the rest of the article here.

Comment: Since I started studying the events that took place in 1913, the 16^th and 17^th Amendments, and the Federal Reserve, I believe we have been marching toward one end; despotic oligarchic tyranny aided by corporatists (fascists) and socialists. And with the information contained in this article my opinion is further bolstered.

Are we that stupid that we can’t see what’s going on? Why would we turn over further unconstitutional oligarchic authority to an entity that we have no control over nor know who has membership? Where in the US Constitution does it say anything about a Federal Reserve?

Beware folks, Treasury Secretary Henry Paulson is not a republican, conservative, or even libertarian minded; he is democrat with socialist inclinations who is close friends with Sen. Chuck Schumer of New York. These are not people that have liberty in mind when they do their work; rather it is control they seek; control of our lives, businesses, and government. He is the very kind the Founders feared, and Orwell foresaw.

Write your Congressman, Rep. Ron Paul, and Sen. Grassley and tell them you are opposed to any further control of the banking industry by the Federal Reserve. Tell them it’s time we knew more about this secretive body.

While you should contact your Senator, I believe it is useless. The Senate long ago stopped representing their respective state and US citizens, today they serve only the elites; this is why Paulson can say what he did publicly. If wasn’t the case you be reading about the US Senate calling for Paulson’s dismissal and Bush's censor.

Cross posted at One Oar in the Water

Wrap-up of the 17th Amendment on the Web, 18 March 2008

Wow, almost three months since I posted a wrap-up. I thought during the winter I would have been able to spend more time with this weblog, but that has not been the case. Anyway here are some of the articles I had backlogged.

There is an interesting poll on the Sean Hannity website in which fans are polled concerning electing US Senators directly or through the state legislators. Not surprising his listeners choose the direct election opinion demonstrating the lack of ‘federalist’ understanding in the Hannity Nation.

Memo to the Superdelegates: No Principles, Please
New York Times - United States
Only a few years ago, retiring Senator Zell Miller said that popular election of senators was a bad idea and that the 17th amendment should be repealed. ...

A Plan to Improve America: The Second Goal
By ReasonableCitizen
Here are some suggested elements for each amendment:. 1. Repeal the 17th Amendment and establish a new Amendment :. “The people of the United States hereby declare that the Senate of the United States shall be composed of three Senators ...
ReasonableCitizen - http://kindlingman.wordpress.com

I smell a rat
By Dale
So in my continued moments of despair, frustration and perplexing of how we have 3 loser Senators out of 300+ million people in the USA running for the highest office....this all goes back to the 17th Amendment of the Constitution. ...
Dale's Political Blog - http://politicaldale.blogspot.com/

5000 year leap
By the GOOD doctor
i am learning that senators were set up to advocate for the state. the legislators of the state and the representatives from the "house of reps" would sent 2 senators to Washington (not a vote till the 17th amendment) to keep Washington ...
The Confessions of St. Joshua - http://saintjoshua.blogspot.com

From here and from there - 14
By Rogel
The 17th amendment was ratified in 1913. It is no coincidence that the sharp rise in the size and power of the federal government starts in this year (the 16th amendment, establishing a federal income tax, ratified the same year, ...
It looks obvious - http://www.rogelsview.com

The popular election of senators
By philstar
The 17th amendment changed all this allowing for the popular election of senators, ratified in 1913. I have some follow up questions to the poll: 1. What, in your opinion, do you see as the purpose of a United States Senator? ...
Sean Hannity Discussion - http://forums.hannity.com

Pledges 'n' Delegates
By Zorg
In 1913, the 17th Amendment changed that to allow Senators to be chosen by direct, popular vote in the states. Representatives to the House of Representatives were to be chosen by "the people of the various states" according to Art. ...
THEZORG - http://zzzorg.blogspot.com/

Superdelegates And The 17th Amendment
Liberty Papers - Elk Grove,CA,USA
It has a parallel with our own Constitution and the 17th Amendment, and thus I find myself cheering on the “antidemocratic” forces within the party rather ...
See all stories on this topic

Looks like I'll be buying a book soon...
By sag
... and that was impossible so long as educated Americans remained responsive "to the Roosevelt buncombe." While I think that the downfall of America began with the ratification of the 17th Amendment, which nationalized the Senate, ...
- http://sag6.blogspot.com/

1913: America's Worst Year - Election Reform
By Fennoman
Rather than solve that problem, populist pressure lead to the passage of the 17th Amendment, making senators directly elected by voters. They are no different from representatives. This meant that the Senate was now filled with people ...
Scragged - http://www.scragged.com

The 2nd Law that Never Was
By NYer4RonPaul
As some of us already know, Bill Benson discovered that the 16th Amendment (income tax) to the Constitution was never really ratified by the Several states. But then I learned that he also discovered that the 17th Amendment (elections ...
- http://www.ronpaulwarroom.com

April 8
By ???
1913 - The 17th Amendment to the United States Constitution, requiring direct election of Senators, becomes law. 1916 - In Corona, California, car racer Bob Burman crashes, killing three and badly injuring five spectators. ...
오늘 (English) - http://oneul-en.tistory.com/

Strong mayor = less government
Federal Way News - Federal Way,WA,USA
Finally in 1913, the 17th Amendment was passed and the people gained the right to vote for their own representatives to the US Senate. ...
See all stories on this topic

1913: America's Worst Year

The folks at Scragged have an interesting three part posting on the infamous year 1913, the year that the 16^th and 17^th Amendments and the Federal Reserve were enacted, which has positioned a once free U.S. citizen in the role of slave to the federal government.

“One particular year in our history shows what happens when the populace becomes complacent and jealous, doesn't pay attention, is manipulated by the media, or is lied to by those in power. What happened in 1913 that was so bad?

· The Constitution was amended to permit the federal government to levy an income tax

· The Constitution was amended so that senators were elected by the citizens of each state rather than being appointed by the state legislatures

· The Federal Reserve Bank was introduced

“The articles in this series will explain why each of these "innovations" was such a disaster for our nation.”

Comment: The three part postings are a good prima describing what has been the most devastating corruption to the US Constitution. This is a good start, but one in which all citizens have to look deeper into. This was the year we truly became slaves to the federal government; make no mistake about it. The only way we are going to stop the march toward “benevolent and corporate socialism” is to repeal the damage that resulted in 1913.