- Quotations from several speeches made on the Floor of
the House of Representatives by the Honorable Louis T. McFadden of Pennsylvania.
Mr. McFadden, due to his having served as Chairman of the Banking and Currency
Committee for more than 10 years, was the best posted man on these matters
in America and was in a position to speak with authority of the vast ramifications
of this gigantic private credit monopoly. As Representative of a State
which was among the first to declare its freedom from foreign money tyrants
it is fitting that Pennsylvania, the cradle of liberty, be again given
the credit for producing a son that was not afraid to hurl defiance in
the face of the money-bund. Whereas Mr. McFadden was elected to the high
office on both the Democratic and Republican tickets, there can be no accusation
of partisanship lodged against him. Because these speeches are set out
in full in the Congressional Record, they carry weight that no amount of
condemnation on the part of private individuals could hope to carry.
- The Federal Reserve-A Corrupt Institution
- "Mr. Chairman, we have in this Country one of the
most corrupt institutions the world has ever known. I refer to the Federal
Reserve Board and the Federal Reserve Banks, hereinafter called the Fed.
The Fed has cheated the Government of these United States and the people
of the United States out of enough money to pay the Nation's debt. The
depredations and iniquities of the Fed has cost enough money to pay the
National debt several times over.
- "This evil institution has impoverished and ruined
the people of these United States, has bankrupted itself, and has practically
bankrupted our Government. It has done this through the defects of the
law under which it operates, through the maladministration of that law
by the Fed and through the corrupt practices of the moneyed vultures who
- "Some people who think that the Federal Reserve
Banks United States Government institutions. They are private monopolies
which prey upon the people of these United States for the benefit of themselves
and their foreign customers; foreign and domestic speculators and swindlers;
and rich and predatory money lender. In that dark crew of financial pirates
there are those who would cut a man's throat to get a dollar out of his
pocket; there are those who send money into states to buy votes to control
our legislatures; there are those who maintain International propaganda
for the purpose of deceiving us into granting of new concessions which
will permit them to cover up their past misdeeds and set again in motion
their gigantic train of crime.
- "These twelve private credit monopolies were deceitfully
and disloyally foisted upon this Country by the bankers who came here from
Europe and repaid us our hospitality by undermining our American institutions.
Those bankers took money out of this Country to finance Japan in a war
against Russia. They created a reign of terror in Russia with our money
in order to help that war along. They instigated the separate peace between
Germany and Russia, and thus drove a wedge between the allies in World
War. They financed Trotsky's passage from New York to Russia so that he
might assist in the destruction of the Russian Empire. They fomented and
instigated the Russian Revolution, and placed a large fund of American
dollars at Trotsky's disposal in one of their branch banks in Sweden so
that through him Russian homes might be thoroughly broken up and Russian
children flung far and wide from their natural protectors. They have since
begun breaking up of American homes and the dispersal of American children.
"Mr. Chairman, there should be no partisanship in matters concerning
banking and currency affairs in this Country, and I do not speak with any.
- "In 1912 the National Monetary Association, under
the chairmanship of the late Senator Nelson W. Aldrich, made a report and
presented a vicious bill called the National Reserve Association bill.
This bill is usually spoken of as the Aldrich bill. Senator Aldrich did
not write the Aldrich bill. He was the tool, if not the accomplice, of
the European bankers who for nearly twenty years had been scheming to set
up a central bank in this Country and who in 1912 has spent and were continuing
to spend vast sums of money to accomplish their purpose.
- "We were opposed to the Aldrich plan for a central
bank. The men who rule the Democratic Party then promised the people that
if they were returned to power there would be no central bank established
here while they held the reigns of government. Thirteen months later that
promise was broken, and the Wilson administration, under the tutelage of
those sinister Wall Street figures who stood behind Colonel House, established
here in our free Country the worm-eaten monarchical institution of the
"King's Bank" to control us from the top downward, and from the
cradle to the grave.
- "The Federal Reserve Bank destroyed our old and
characteristic way of doing business. It discriminated against our 1-name
commercial paper, the finest in the world, and it set up the antiquated
2-name paper, which is the present curse of this Country and which wrecked
every country which has ever given it scope; it fastened down upon the
Country the very tyranny from which the framers of the Constitution sough
to save us.
- PRESIDENT JACKSON'S TIME
- "One of the greatest battles for the preservation
of this Republic was fought out here in Jackson's time; when the second
Bank of the United States, founded on the same false principles of those
which are here exemplified in the Fed was hurled out of existence. After
that, in 1837, the Country was warned against the dangers that might ensue
if the predatory interests after being cast out should come back in disguise
and unite themselves to the Executive and through him acquire control of
the Government. That is what the predatory interests did when they came
back in the livery of hypocrisy and under false pretenses obtained the
passage of the Fed.
- "The danger that the Country was warned against
came upon us and is shown in the long train of horrors attendant upon the
affairs of the traitorous and dishonest Fed. Look around you when you leave
this Chamber and you will see evidences of it in all sides. This is an
era of misery and for the conditions that caused that misery, the
Fed are fully liable. This is an era of financed crime and in the financing
of crime the Fed does not play the part of a disinterested spectator.
- "It has been said that the draughts man who was
employed to write the text of the Aldrich bill because that had been drawn
up by lawyers, by acceptance bankers of European origin in New York. It
was a copy, in general a translation of the statues of the Reichsbank and
other European central banks. One-half million dollars was spent on the
part of the propaganda organized by these bankers for the purpose of misleading
public opinion and giving Congress the impression that there was an overwhelming
popular demand for it and the kind of currency that goes with it, namely,
an asset currency based on human debts and obligations. Dr. H. Parker Willis
had been employed by Wall Street and propagandists, and when the Aldrich
measure failed- he obtained employment with Carter Glass, to assist in
drawing the banking bill for the Wilson administration. He appropriated
the text of the Aldrich bill. There is no secret about it. The test of
the Federal Reserve Act was tainted from the first.
- "A few days before the bill came to a vote, Senator
Henry Cabot Lodge, of Massachusetts, wrote to Senator John W. Weeks as
- New York City,
- December 17, 1913
- "'My Dear Senator Weeks:
- "'Throughout my public life I have supported all
measures designed to take the Government out of the banking business. This
bill puts the Government into the banking business as never before in our
history. "'The powers vested in the Federal Reserve Board seen to
me highly dangerous especially where there is political control of the
Board. I should be sorry to hold stock in a bank subject to such dominations.
The bill as it stands seems to me to open the way to a vast inflation of
the currency. "'I had hoped to support this bill, but I cannot vote
for it cause it seems to me to contain features and to rest upon principles
in the highest degree menacing to our prosperity, to stability in business,
and to the general welfare of the people of the United States.
- Very Truly Yours,
- Henry Cabot Lodge.'"
- "In eighteen years that have passed since Senator
Lodge wrote that letter of warning all of his predictions have come true.
The Government is in the banking business as never before. Against its
will it has been made the backer of horse thieves and card sharps, bootlegger's
smugglers, speculators,and swindlers in all parts of the world. Through
the Fed the riffraff of every country is operating on the public credit
of the United States Government.
- THE GREAT DEPRESSION
- "Meanwhile and on account of it, we ourselves are
in the midst of the greatest depression we have ever known. From the Atlantic
to the Pacific, our Country has been ravaged and laid waste by the evil
practices of the Fed and the interests which control them. At no time in
our history, has the general welfare of the people been at a lower level
or the minds of the people so full of despair.
- "Recently in one of our States, 60,000 dwelling
houses and farms were brought under the hammer in a single day. 71,000
houses and farms in Oakland County, Michigan, were sold and their erstwhile
owners dispossessed. The people who have thus been driven out are the wastage
of the Fed. They are the victims of the Fed. Their children are the new
slaves of the auction blocks in the revival of the institution of human
- The Scheme of the Fed
- "In 1913, before the Senate Banking and Currency
Committee, Mr. Alexander Lassen made the following statement: "The
whole scheme of the Fed with its commercial paper is an impractical, cumbersome
machinery- is simply a cover to secure the privilege of issuing money,
and to evade payment of as much tax upon circulation as possible and then
control the issue and maintain, instead of reducing interest rates. It
will prove to the advantage of the few and the detriment of the people.
It will mean continued shortage of actual money and further extension of
credits, for when there is a shortage of money people have to borrow to
their cost.' "A few days before the Fed passed, Senator Root denounced
the Fed as an outrage on our liberties. He predicted: 'Long before we wake
up from our dream of prosperity through an inflated currency, our gold-
which alone could have kept us from catastrophe- will have vanished and
no rate of interest will tempt it to return.'
- "If ever a prophecy came true, that one did.
- "The Fed became law the day before Christmas Eve,
in the year 1913, and shortly afterwards, the German International bankers,
Kuhn, Loeb and Co. sent one of their partners here to run it.
- "The Fed Note is essentially unsound. It is the
worst currency and the most dangerous that this Country has ever known.
When the proponents of the act saw that the Democratic doctrine would not
permit them to let the proposed banks issue the new currency as bank notes,
they should have stopped at that. They should not have foisted that kind
of currency, namely, an asset currency, on the United States Government.
They should not have made the Government [liable on the private] debts
of individuals and corporations, and, least of all, on the private debts
of foreigners. "As Kemerer says: 'The Fed Notes, therefore, in form,
have some of the qualities of Government paper money, but in substance,
are almost a pure asset currency possessing a Government guarantee against
which contingency the Government has made no provision whatever.'
- "Hon. L.J.Hill, a former member of the House, said,
and truly: "They are obligations of the Government for which the United
States received nothing and for the payment of which at any time, it assumes
the responsibility: looking to the Fed to recoup itself.'
- "If this United States is to redeem the Fed Notes,
when the General Public finds it costs to deliver this paper to the Fed,
and if the Government has made no provisions for redeeming them, the first
element of unsoundness is not far to seek.
- "Before the Banking and Currency Committee, when
the bill was under discussion Mr. Crozier of Cincinnati said: 'The imperial
power of elasticity of the public currency is wielded exclusively by the
central corporations owned by the banks. This is a life and death power
over all local banks and all business. It can be used to create or destroy
prosperity, to ward off or cause stringencies and panics. By making money
artificially scarce, interest rates throughout the Country can be arbitrarily
raised and the bank tax on all business and cost of living increased for
the profit of the banks owning these regional central banks, and without
the slightest benefit to the people. The 12 Corporations together cover
y and monopolize and use for private gain- every dollar of the public currency
and all public revenue of the United States. Not a dollar can be put into
circulation among the people by their Government, without the consent of
and on terms fixed by these 12 private money trusts.'
- "In defiance of this and all other warnings, the
proponents of the Fed created the 12 private credit corporations and gave
them an absolute monopoly of the currency of these United States- not of
the Fed Notes alone- but of all other currency! The Fed Act providing ways
and means by which the gold and general currency in the hands of the American
people could be obtained by the Fed in exchange for Fed Notes- which are
not money- but mere promises to pay.
- "Since the evil day when this was done, the initial
monopoly has been extended by vicious amendments to the Fed and by the
unlawful and treasonable practices of the Fed.
- Money for the Scottish Distillers
- "Mr. Chairman, if a Scottish distiller wishes to
send a cargo of Scotch whiskey to these United States, he can draw his
bill against the purchasing bootlegger in dollars and after the bootlegger
has accepted it by writing his name across the face of it, the Scotch distiller
can send that bill to the nefarious open discount market in New York City
where the Fed will buy it and use it as collateral for a new issue of Fed
Notes. Thus the Government of these United States pay the Scotch distiller
for the whiskey before it is shipped, and if it is lost on the way, or
if the Coast Guard seizes it and destroys it, the Fed simply write off
the loss and the government never recovers the money that was paid to the
- "While we are attempting to enforce prohibition
here, the Fed are in the distillery business in Europe and paying bootlegger
bills with public credit of these United States. "Mr. Chairman, by
the same process, they compel our Government to pay the German brewer for
his beer. Why should the Fed be permitted to finance the brewing industry
in Germany either in this way or as they do by compelling small and fearful
United States Banks to take stock in the Isenbeck Brewery and in the German
Bank for brewing industries? "Mr. Chairman, if Dynamit Nobel of Germany,
wishes to sell dynamite in Japan to use in Manchuria or elsewhere, it can
drew its bill against the Japanese customers in dollars and send that bill
to the nefarious open discount market in New York City where the Fed will
buy it and use it as collateral for a new issue of Fed Notes- while at
the same time the Fed will be helping Dynamit Nobel by stuffing its stock
into the United States banking system.
- "Why should we send our representatives to
the disarmament conference at Geneva- while the Fed is making our Government
pay Japanese debts to German Munitions makers?
- "Mr. Chairman, if a German wishes to raise a crop
of beans and sell them to a Japanese customer, he can draw a bill against
his prospective Japanese customer in dollars and have it purchased by the
Fed and get the money out of this Country at the expense of the American
people beforehe has even planted the beans in the ground. "Mr. Chairman,
if a German in Germany wishes to export goods to South America, or any
other Country, he can draw his bill against his customers and send it to
these United States and get the money out of this Country before he ships,
or even manufactures the goods.
- "Mr. Chairman, why should the currency of these
United States be issued on the strength of German Beer? Why should it be
issued on the crop of unplanted beans to be grown in Chili for Japanese
consumption? Why should these United States be compelled to issue many
billions of dollars every year to pay the debts of one foreigner to another
foreigner? "Was it for this that our National Bank depositors had
their money taken out of our banks and shipped abroad? Was it for this
that they had to lose it? Why should the public credit of these United
States and likewise money belongingto our National Bank depositors be used
to support foreign brewers, narcotic drug vendors, whiskey distillers,
wig makes, human hair merchants, Chilean bean growers, to finance the munition
factories of Germany and Soviet Russia?
- THE UNITED STATES HAS BEEN RANSACKED
- "The United States has been ransacked and pillaged.
Our structures have been gutted and only the walls are left standing. While
being perpetrated, everything the world would rake up to sell us was brought
in here at our expense by the Fed until our markets were swamped with unneeded
and unwanted imported goods priced far above their value and make to equal
the dollar volume of our honest exports, and to kill or reduce our favorite
balance of trade. As Agents of the foreign central banks the Fed try by
every means in their power to reduce our favorable balance of trade. They
act for their foreign principal and they accept fees from foreigners for
acting against the best interests of these United States. Naturally there
has been greatcompetition among among foreigners for the favors of the
- "What we need to do is to send the reserves of our
National Banks home to the people who earned and produced them and who
still own them and to the banks which were compelled to surrender them
to predatory interests.
- "Mr. Chairman, there is nothing like the Fed pool
of confiscated bank deposits in the world. It is a public trough of American
wealth in which the foreigners claim rights, equal to or greater than Americans.
The Fed are the agents of the foreign central banks. They use our bank
depositors' money for the benefit of their foreign principals. They barter
the public credit of the United States Government and hire it our to foreigners
at a profit to themselves.
- "All this is done at the expense of the United States
Government, and at a sickening loss to the American people. Only our great
wealth enabled us to stand the drain of it as long as we did.
- "We need to destroy the Fed wherein our national
reserves are impounded for the benefit of the foreigners. "We need
to save America for Americans.
- SPURIOUS SECURITIES
- "Mr. Chairman, when you hold a $10.00 Fed Note in
your hand, you are holding apiece of paper which sooner or later is going
to cost the United States Government $10.00 in gold (unless the Government
is obliged to go off the gold standard). It is based on limburger cheese
(reported to be in foreign warehouses) or in cans purported to contain
peas (but may contain salt water instead), or horse meat, illicit drugs,
bootleggers fancies, rags and bones from Soviet Russia (of which these
United States imported over a million dollars worth last year), on wines
whiskey, natural gas, goat and dog fur, garlic on the string, and Bombay
- "If you like to have paper money- which is secured
by such commodities- you have it in Fed Note. If you desire to obtain the
thing of value upon which this paper currency is based, that is, the limburger
cheese, the whiskey, the illicit drugs, or any of the other staples- you
will have a very hard time finding them.
- "Many of these worshipful commodities are in foreign
Countries. Are you going to Germany to inspect her warehouses to see if
the specified things of value are there? I think more, I do not think that
you would find them there if you did go.
- "On April 27, 1932, the Fed outfit sent $750,000
belonging to American bank depositors in gold to Germany. A week later
another $300,000 in gold was shipped to Germany. About the middle of May
$12,000,000 in gold was shipped to Germany by the Fed. Almost every week
there is a shipment of gold to Germany. These shipments are not made for
profit on the exchange since the German marks are blow parity with the
- "Mr. Chairman, I believe that the National Bank
depositors of these United States have a right to know what the Fed are
doing with their money. There are millions of National Bank depositors
in the Country who do not know that a percentage of every dollar they deposit
in a Member Bank of the Fed goes automatically to American Agents of the
foreign banks and that all their deposits can be paid away to foreigners
without their knowledge or consent by the crooked machinery of the Fed
and the questionable practices of the Fed.
- [Ed. Note- Problem with next paragraph in original] "Mr.
Chairman, the American people should be told the truth by their servants
in office. In 1930, we had over a half billion dollars outstanding daily
to finance foreign goods stored in or shipped between several billion dollars.
What goods are these on which the Fed yearly pledge several billions of
dollars. In its yearly total, this item amounts to several billions of
dollars of the public credit of these United States?
- "What goods are those which are hidden in European
and Asiatic stores have not been seen by any officer of our Government
but which are being financed on the public credit of the United States
Government? What goods are those upon which the 17 United States Government
is being obligated by the Fed to issue Fed Notes to the extent of several
billions of dollars a year?
- The Bankers' Acceptance Racket
- "The Fed have been International Banks from the
beginning, with these United States as their enforced banker and supplier
of currency. But it is none the less extraordinary to see these these twelve
private credit monopolies, buying the debts of foreigners against foreigners,
in all parts of the world and asking the Government of these United States
for new issues of Fed notes in exchange for them. "The magnitude of
the acceptance racket as it has been developed by the Fed, their foreign
correspondents, and the predatory European born bankers, who set up the
Fed here and taught your own, by and of pirates, how to loot the people:
I say the magnitude of this racket is estimated to be in the neighborhood
of 9,000,000,000 per year. In the past ten years it is said to have amounted
to $90,000,000,000.00. In my opinion it has amounted to several times that
much. coupled to this you have to the extent of billions of dollars, the
gambling in the United States securities, which takes place in the same
open discount market- a gambling on which the Fed is now spending $100,000,000.00
- "Fed Notes are taken from the U.S. Government in
unlimited quantities. Is is strange that the burden of supplying these
immense sums of money to the gambling fraternity has at last proved too
heavy for the American people to endure? Would it not be a national [calamity
to] again bind down this burden on the backs of the American people and
by means of a long rawhide whip of the credit masters, compel them
to enter another seventeen years of slavery?
- "They are trying to do that now. They are trying
to take $100,000,000.00 of the public credit of the United States every
week, in addition to all their other seizures and they are sending that
money to the nefarious open market in a desperate gamble to reestablish
their graft as a going concern.
- "They are putting the United States Government in
debt to the extent of $100,000,000 a week, and with the money they are
buying our Governmentsecurities for themselves and their foreign principals.
Our people are disgusted with the experiences of the Fed. The Fed is not
producing a loaf of bread, a yard of cloth, a bushel of corn, or a pile
of cordwood by its check-kiting operations in the money market.
- "Mr. Speaker, on the 13th of January of this year
I addressed the House on the subject of the Reconstruction Finance Corporation.
In the course of my remarks I made the following statement: In 1928 the
member banks of the Fed borrowed $60,598,690,000. from the Fed on their
fifteen-day promissory notes. Think of it. Sixty billion dollars payable
on demand in gold in the course of one single year. The actual amount of
such obligations called for six times as much monetary gold as there is
in the world. Such transactions represent a grant in the course of one
single years of about $7,000,000 to every member of the Fed.
- "Is it any wonder that American labor which ultimately
pays the cost of all banking operations of this Country has at last proved
unequal to the task of supplying this huge total of cash and credit for
the benefit of the stock market manipulators and foreign swindlers? "In
1933 the Fed presented the staggering amount of $60,598,690,000 to its
member banks at the expense of the wage earners and tax payers of these
United States. In 1929, the year of the stock market crash, the Fed advanced
$58,000,000,000 to member banks.
- "In 1930 while the speculating banks were getting
out of the stock market at the expense of the general public, the Fed advanced
them $13,022,782,000. This shows that when the banks were gambling on the
public credit of these United States as represented by the Fed currency
they were subsidized to any amount they required by the Fed. When the swindle
began to fall, the bankers knew it in advance and withdrew from the market.
They got out with whole skins- and left the people of these United States
to pay the piper. "My friend from Kansas, Mr. McGugin, has stated
that he thought the Fed lent money on rediscounting. So they do, but they
lend comparatively little that way. The real discounting that they do has
been called a mere penny in the slot business. It is too slow for genuine
high flyers. They discourage it. They prefer to subsidize their favorite
banks by making them $60,000,000,000 advances and they prefer to acquire
assistance in the notorious open discount market in New York, where they
can use it to control the price of stocks and bonds on the exchanges.
- "For every dollar they advanced on discounts in
1928, they lent $33.00 to their favorite banks for whom they do a business
of several billion dollars income tax on their profits to these United
- The John Law Swindle
- "This is the John Law swindle over again. The theft
of Teapot Dome was trifling compared to it. What King ever robbed his subject
to such an extent as the Fed has robbed us? Is it any wonder that there
have been lately ninety cases of starvation in one of the New York hospitals?
Is there any wonder that the children are being abandoned?
- "The government and the people of these United States
have been swindled by swindlers deluxe to whom the acquisition of American
or a parcel of Fed Notes presented no more difficulty than the drawing
up of a worthless acceptance in a Country not subject to the laws of these
United States, by sharpers not subject to the jurisdiction of these United
States, sharpers with strong banking "fence" on this side of
the water, a "fence" acting as a receiver of a worthless paper
coming from abroad, endorsing it and getting the currency out of the Fed
for it as quickly as possible exchanging that currency for gold and in
turn transmitting the gold to its foreign confederates.
- Ivar Kreuger, the Match King!
- "Such were the exploits of Ivar Krueger, Mr. Hoover's
friend, and his rotten Wall Street bakers. Every dollar of the billions
Kreuger and his gang drew out of this Country on acceptances was drawn
from the government and the people of the United States through the Fed.
The credit of the United States Government was peddled to him by the Fed
for their own private gain. That is what the Fed has been doing for many
- "They have been peddling the credit of this Government
and the [signature of this] Government to the swindlers and speculators
of all nations. That is what happens when a Country forsakes its Constitution
and gives its sovereignty over the public currency to private interests.
Give them the flag and they will sell it.
- "The nature of Kreuger's organized swindle and the
bankrupt condition of Kreuger's combine was known here last June when Hoover
sought to exempt Krueger's loan to Germany of $125,000,000 from the operation
of the Hoover Moratorium. The bankrupt condition of Krueger's swindle was
known her last summer when $30,000,000 was taken from the American taxpayers
by certain bankers in New York for the ostensible purpose of permitting
Krueger to make a loan to Colombia. Colombia never saw that money.
- "The nature of Krueger's swindle was known here
in January when he visited his friend, Mr. Hoover, at the White House.
It was known here in March before he went to Paris and committed suicide.
- "Mr. Chairman, I think the people of the United
States are entitled to know how many billions of dollars were placed at
the disposal of Krueger and his gigantic combine by the Fed, and to know
how much of our Government currency was issued and lost in the financing
of that great swindle in the years during which the Fed took care of Krueger's
- "A few days ago, the President of the United States
with a white face and shaking hands, went before the Senate of behalf of
the moneyed interests and asked the Senate to levy a tax on the people
so that foreigners might know that these United States would pay its debt
- "Most Americans thought it was the other way around.
What does these United States owe foreigners? When and by whom was the
debt incurred? Itwas incurred by the Fed, when they peddled the signature
of the Government to foreigners- for a Price. It is what the United States
Government has to pay to redeem the obligations of the Fed.
- Thieves Go Scot Free
- "Are you going to let these thieves get off scot
free? Is there one law for the looter who drives up to the door of the
United States Treasury in his limousine and another for the United States
Veterans who are sleeping on the floor of a dilapidated house on the outskirts
- "The Baltimore and Ohio Railroad is here asking
for a large loan from the people, and the wage earners and the taxpayers
of these United States. It is begging for a handout from the Government.
It is standing, cap in hand, at the door of the R.F.C. where all the jackals
have gathered to the feast. It is asking for money that was raised from
the people by taxation and wants this money of the poor for the benefit
of Kuhn, Loeb and Co., the German International Bankers.
- "Is there one law for the Baltimore and Ohio Railroad
and another for the hungry veterans it threw off its freight cars the other
day? Is there one law for sleek and prosperous swindlers who call themselves
bankers and another law for the soldiers who defended the flag? "The
R.F.C. is taking over these worthless securities from the Investment Trusts
with United States Treasury money at the expense of the American taxpayer
and the wage earner.
- "It will take twenty years to redeem our Government.
Twenty years of penal servitude to pay off the gambling debts of the traitorous
Fed and to vast flood of American wages and savings, bank deposits, and
the United States Government credit which the Fed exported out of this
country to their foreign principals.
- "The Fed lately conducted an anti-hoarding campaign
here. They they took that extra money which they had persuaded the American
people to put into the banks- they sent it to Europe- along with the rest.
In the last several months, they have sent $1,300,000,000 in gold to their
foreign employers, their foreign masters, and every dollar of that gold
belonged to the people of these United States and was unlawfully taken
- Fiat Money
- "Mr. Chairman, within the limits of the time allowed
me, I cannot enter into a particularized discussion of the Fed. I have
singled out the Fed currency for a few remarks because there has lately
been some talk here of "fiat money". What kind of money is being
pumped into the open discount market and through it into foreign channels
and stock exchanges? Mr. Mills of the Treasury has spoken here of his horror
of the printing presses and his horror of dishonest money. He has no horror
of dishonest money. If he had, he would be no party to the present gambling
of the Fed in the nefarious open discount market of New York, a market
in which the sellers are represented by 10 discount corporations owned
and organized by the very banks which own and control the Fed.
- "Fiat money, indeed!
- "What Mr. Mills is fighting for is the preservation,
whole and entire, of the banker's monopoly of all the currency of the United
- "Mr. Chairman, last December, I introduced a resolution
here asking for an examination and an audit of the Fed and all related
matters. If the House sees fit to make such an investigation, the people
of these United States will obtain information of great value. This is
a Government of the people, by the people, for the people. Consequently,
nothing should be concealed from the people. The man who deceives the people
is a traitor to these United States.
- "The man who knows or suspects that a crime has
been committed and who conceals and covers up that crime is an accessory
to it. Mr. Speaker, it is a monstrous thing for this great nation of people
to have its destinies presided over by a traitorous government board acting
in secret concert with international usurers.
- "Every effort has been made by the Fed to conceal
its powers- but the truth is- the Fed has usurped the Government. It controls
everything here and it controls all of our foreign relations. It makes
and breaks governments at will.
- "No man and no body of men is more entrenched in
power than the arrogant credit monopoly which operated the Fed. What National
Government has permitted the Fed to steal from the people should now be
restored to the people. The people have a valid claim against the Fed.
If that claim is enforced the Americans will not need to stand in the bread
line, or to suffer and die of starvation in the streets. Women will be
saved, families will be kept together, and American children will not be
dispersed and abandoned.
- "Here is a Fed Note. Immense numbers of the notes
are now held abroad. I am told that they amount to upwards of a billion
dollars. They constitute a claim against our Government and likewise a
claim against our peoples' money to the extent of $1,300,000,000 which
has within the last few months been shipped abroad to redeem Fed Notes
and to pay other gambling debts of the traitorous Fed. The greater part
of our money stock has been shipped to other lands.
- "Why should we promise to pay the debts of foreigners
to foreigners? Why should the Fed be permitted to finance our competitors
in all parts of the world? Do you know why the tariff was raised? It was
raised to shut out the flood of Fed Goods pouring in here from every quarter
of the globe- cheap goods, produced by cheaply paid foreign labor, on unlimited
supplies of money and credit sent out of this Country by the dishonest
and unscrupulous Fed.
- "The Fed are spending $100,000,000 a week buying
government securities in the open market and are making a great bid for
foreign business. They are trying to make rates so attractive that the
human hair merchants and the distillers and other business entities in
foreign land will come her and hire more of the public credit of the United
States Government to pay the Fed outfit for getting it for them.
- World Enslavement Planned
- "Mr. Chairman, when the Fed was passed, the people
of these United States did not perceive that a world system was being set
up here which would make the savings of the American school teacher available
to a narcotic-drug vendor in Acapulco. They did not perceive that these
United States was to be lowered to the position of a coolie country which
has nothing but raw material and heart, that Russia was destined to supply
the man power and that this country was to supply the financial power to
an "international superstate". A superstate controlled by international
bankers, and international industrialists acting together to enslave the
world for their own pleasure?
- "The people of these United States are being greatly
wronged. They have been driven from their employments. They have been dispossessed
from their homes. They have been evicted from their rented quarters. They
have lost their children. They have been left to suffer and die for lack
of shelter, food, clothing and medicine.
- "The wealth of these United States and the working
capital have been taken away from them and has either been locked in the
vaults of certain banks and the great corporations or exported to foreign
countries for the benefit of the foreign customers of these banks and corporations.
So far as the people of the United States are concerned, the cupboard is
- "It is true that the warehouses and coal yards and
grain elevators are full, but these are padlocked, and the great banks
and corporations hold the keys.
- "The sack of these United States by the Fed is the
greatest crime in history.
- "Mr. Chairman, a serious situation confronts the
House of Representatives today. We are trustees of the people and the rights
of the people are being taken away from them. Through the Fed the people
are losing the rights guaranteed to them by the Constitution. Their property
has been taken from them without due process of law. Mr. Chairman, common
decency requires us to examine the public accounts of the Government and
see what crimes against the public welfare have been committed.
- "What is needed here is a return to the Constitution
of these United States.
- "The old struggle that was fought out here in Jackson's
time must be fought our over again. The independent United States Treasury
should be reestablished and the Government should keep its own money under
lock and key in the building the people provided for that purpose.
- "Asset currency, the devise of the swindler, should
be done away with. The Fed should be abolished and the State boundaries
should be respected. Bank reserves should be kept within the boundaries
of the States whose people own them, and this reserve money of the people
should be protected so that the International Bankers and acceptance bankers
and discount dealers cannot draw it away from them.
- "The Fed should be repealed, and the Fed Banks,
having violated their charters, should be liquidated immediately. Faithless
Government officials who have violated their oaths of office should be
impeached and brought to trial.
- "Unless this is done by us, I predict, that the
American people, outraged, pillaged, insulted and betrayed as they are
in their own land, will rise in their wrath, and will sweep the money changers
out of the temple.
- "Mr. Chairman, the United States is bankrupt: It
has been bankrupted by the corrupt and dishonest Fed. It has repudiated
its debts to its own citizens. Its chief foreign creditor is Great Britain,
and a British bailiff has been at the White House and the British Agents
are in the United States Treasury making inventory arranging terms of liquidations!
- Great Britain, Partner in Blackmail
- "Mr. Chairman, the Fed has offered to collect the
British claims in full from the American public by trickery and corruption,
if Great Britain will help to conceal its crimes. The British are shielding
their agents, the Fed, because they do not wish that system of robbery
to be destroyed here. They wish it to continue for their benefit! By means
of it, Great Britain has become the financial mistress of the world. She
has regained the position she occupied before the World War.
- "For several years she has been a silent partner
in the business of the Fed. Under threat of blackmail, or by their bribery,
or by their native treachery to the people of the United States, the officials
in charge of the Fed unwisely gave Great Britain immense gold loans running
into hundreds of millions of dollars. They did this against the law! Those
gold loans were not single transactions. They gave Great Britain a borrowing
power in the United States of billions. She squeezed billions out of this
Country by means of her control of the Fed.
- "As soon as the Hoover Moratorium was announced,
Great Britain moved to consolidate her gains. After the treacherous signing
away of American rights at the 7-power conference at London in July, 1931,
which put the Fed under the control of the Bank of International Settlements,
Great Britain began to tighten the hangman's noose around the neck of the
- "She abandoned the gold standard and embarked on
a campaign of buying up the claims of foreigners against the Fed in all
parts of the world. She has now sent her bailiff, Ramsey MacDonald, here
to get her war debt to this country canceled. But she has a club in her
hands! She has title to the gambling debts which the corrupt and dishonest
Fed incurred abroad.
- "Ramsey MacDonald, the labor party deserter, has
come here to compel the President to sign on the dotted line, and that
is what Roosevelt is about to do! Roosevelt will endeavor to conceal the
nature of his action from the American people. But he will obey the International
Bankers and transfer the war debt that Great Britain should pay to the
American people, to the shoulders of the American taxpayers.
- "Mr. Chairman, the bank holiday in the several States
was brought about by the corrupt and dishonest Fed. These institutions
manipulated money and credit, and caused the States to order bank holidays.
- "These holidays were frame-ups! "They were
dress rehearsals for the national bank holiday which Franklin D. Roosevelt
promised Sir Ramsey MacDonald that he would declare.
- "There was no national emergency here when Franklin
D. Roosevelt took office excepting the bankruptcy of the Fed- a bankruptcy
which has been going on under cover for several years and which has been
concealed from the people so that the people would continue to permit their
bank deposits and their bank reserves and their gold and the funds of the
United States Treasury to be impounded in these bankrupt institutions.
- "Under cover, the predatory International Bankers
have been stealthily transferring the burden of the Fed debts to the people's
Treasury and to the people themselves. They the farms and the homes of
the United States to pay for their thievery! That is the only national
emergency that there has been here since the depression began.
- "The week before the bank holiday ws declared in
New York State, the deposits in the New York savings banks were greater
than the withdrawals. There were no runs on New York Banks. There was no
need of a bank holiday in New York, or of a national holiday.
- Roosevelt and the International Bankers
- "Roosevelt did what the International Bankers ordered
him to do!
- "Do not deceive yourself, Mr. Chairman, or permit
yourself to be deceived by others into the belief that Roosevelt's dictatorship
is in any way intended to benefit the people of the United States: he is
preparing to sign on the dotted line! "He is preparing to cancel the
war debts by fraud!
- "He is preparing to internationalize this Country
and to destroy our Constitution itself in order to keep the Fed intact
as a money institution for foreigners. "Mr. Chairman, I see no reason
why citizens of the United States should be terrorized into surrendering
their property to the International Bankers who own and control the Fed.
The statement that gold would be taken from its lawful owners if they did
not voluntarily surrender it, to private interests, show that there is
an anarchist in our Government.
- "The statement that it is necessary for the people
to give their gold- the only real money- to the banks in order to protect
the currency, is a statement of calculated dishonesty!
- "By his unlawful usurpation of power on the night
of March 5, 1933, and by his proclamation, which in my opinion was in violation
of the Constitution of the United States, Roosevelt divorced the currency
of the United States from gold, and the United States currency is no longer
protected by gold. It is therefore sheer dishonesty to say that the people's
gold is needed to protect the currency.
- "Roosevelt ordered the people to give their gold
to private interests- that is, to banks, and he took control of the banks
so that all the gold and gold values in them, or given into them, might
be handed over to the predatory International Bankers who own and control
- "Roosevelt cast his lot with the usurers. "He
agreed to save the corrupt and dishonest at the expense of the people
of the United States.
- "He took advantage of the people's confusion and
weariness and spread the dragnet over the United States to capture everything
of value that was left in it. He made a great haul for the International
- "The Prime Minister of England came here for money!
He came here to collect cash!