- To make money in the stock market, you need to use the
same tools which the big operators use; that is, capital, and information.
The amount of capital which you can lay your hands on may be limited. It
is for most people. But the amount of information you can obtain, may be
limited only by your desire to get the facts, and your willingness to reject
previous misconceptions or misinformation. Then you may begin to understand
what is going on in the market.
- You must first recognize that fundamental changes have
been taking place in our capital structure, and in money-ma! king properties.
For more than a century, the American tradition had it that to achieve
great wealth, you must have the good fortune to strike it rich with a gold
mine, to strike oil, or to own your own bank. In the past decade, we have
witnessed the amazing phenomena of millionaires, and even billionaires,
who owned vast wealth in the form of gold mines, oil wells, or banks, and
who suddenly were declaring bankruptcy. What was happening to the American
dream? The answer is that capitalization, or debt structure, was now overcoming
capital assets. The cash flow, even from a gold mine, an oil well or bank,
was no longer sufficient to pay interest charges, much less to handle the
payment of the principal of the debt structure.
- This dilemma was not inevitable, nor did it arise from
optimism, or over-optimism, the courage to take risks, which made America
the most productive and the wealthiest nation in the world. The debt structure
vs. capital assets dilemma was deliber! ately created by a small group
of capital managers, or financi! ers, who cleverly used their phalanx of
money-creating central banks to overcome rival groups and rival nations.
- This situation directly affects stock transaction which
takes place on the world exchanges. Your problem now is how do I translate
this debt structure - capital assets conflict into profitable transactions
- The basic problem is similar to that of a poker game
- how do you find out what cards the other fellow is holding? Despite the
great secrecy which shrouds major financial transactions, almost every
financial move is telegraphed in some way, due to the continuing and growing
concentration of financial power in a few hands. Today, a shadowy (but
not unknown) financial network achieves its goals through relatively few
participants. In some thirty-five years of research, I have narrowed these
participants down to the major players. They not only bring tremendous
pressure on the exchanges through their power to buy or sell enormous blocks
of stock, but ! they also exercise a daily effect on the prices and daily
volume of the exchanges through their control of the faucets, the turning
on or off of the money-creating flow of the central or pseudo-government
- Here again, there are always some indicators of major
moves in either direction, although the exact decisions remain the secret
of the major players. The tremendous power exercised by these creators
dwarfs the power earlier exercised by such stock market plungers as Bet
A Million Gates, bank pioneers such as George F. Baker of First National
Bank (now Citibank), or oil magnates such as the late H. L. Hunt. The 42-year-old
heir of the Hunt empire, Ray Hunt, recently told Fortune (July 8, 1985):
- "We'll never go back to the good old days of the
oil industry." It is not only the good old days of the oil industry,
but also the empire building days of the Vanderbilts in railroads, Carnegie
in steel, or Baker in finance, which have disappeared. They have been tra!
nsmuted into new types of financial operations, such as merger! s, lever
aged buyouts, and other forms of takeovers. Here again, the major players
either originate these operations, or they move in and take them over at
- Yet we rarely are told the exact identities of the major
players. The financial papers such as the Wall Street Journal and Forbes
write about the "raiders," the modern financial buccaneers who
supposedly loom out of the fog as lone wolf operators and seize control
of major corporations. The financial reporters don't tell us that when
the Belzbergs buy control of the Scovill Corp., they are merely acting
as agents of the Rothschilds, or that the Bronfmans, in buying a large
share of DuPont, are also merely carrying out the instructions of the Rothschilds
- Forbes recently identified Seagrams of Canada as the
No. 1 foreign investor in the United States. It wholly owns the $2.4 billion
Joseph Seagrams and Sons of New York, and 23% of the $14 billion DuPont
- And Seagrams of Canada is w! holly controlled by the
- Right? Wrong. The Bronfmans own large blocks of stock
in Seagrams (US News recently gushed that Edgar Bronfman may be the most
powerful man in America), but the Seagram empire is controlled by the law
firm of Vineberg and Phillips through Trizec Corp., which in turn is con
trolled by Eagle Star Holdings PLC of London. And who controls Eagle Star?
- Evelyn de Rothschild.
- When Seagrams faced a 30% drop in volume, due to the
dwindling market for hard liquor in the United States, who guided the firm
into Conoco, and then masterminded the purchase of Conoco by DuPont? If
you suppose that Edgar Bronfman anticipated all this, and worked to bring
it about, then you don't know who really makes the big decisions. Seagrams'
stake in DuPont is currently worth $3.2 billion, or 80% of Seagrams net
- In 1984, DuPont profits were 73% of Seagrams earnings.
- The second largest foreign investor in the U.S., again
according to F! orbes 1985 listings, is Anglo-American Corp. In 1985, it
owned! 21% of Philbro-Salomon, and 29% of Engelhard Corp. Anglo-American
is the gold mining arm of the world diamond trust, DeBeers, which is owned
by the Oppenheimer and the Rothschild families. The principal director
of DeBeers, again, is Evelyn de Rothschild.
- Forbes lists the largest foreign owned corporation in
the world as Royal Dutch Shell. Formerly controlled by the Samuel family,
it is now another Rothschild property, controlled through their subsidiary,
Shell Transport & Trading Co.
- The fourth largest foreign investor in the U.S. is British
Petroleum, which owns Standard Oil of Ohio, and British Petroleum of North
- One of the directors of British Petroleum is Sir Alastair
Pilkington, who is also a director of the Bank of England.
- The sixth largest foreign investor in the U.S. is B.A.T.
- $12.9 billion a year operation which was formerly known
as British-American Tobacco Corp. BAT owns 100% of BAT US, 100% of Peoples
Drug Stores, Hard! ee's Fast Foods, and Eagle Star Insurance, the Rothschild
holding company, which controls the Bronfman empire. Sir Jasper Hollom,
who has been a director of the Bank of England since 1936, is a director
of BAT; also on the board of BAT is Sir Denis Mountain, who is chairman
of Eagle Star Insurance, and Eagle Star Holdings, a principal Rothschild
holding company. Another director of BAT is Sir Michael Palliser, who married
the daughter of Paul Henri Spaak, former Director General of the United
Nations. Sir Michael was a career officer with the British Foreign Office,
being named head of planning in 1946. He served with the Foreign Office
from 1946 to 1964 as Minister to Paris, and Minister to Brussels, the two
leading headquarters on the Continent of the Rothschild operations. Sir
Michael is now chairman of the influential think tank, the Institute for
Strategic Studies in London. He is also vice chairman of the oldest merchant
bank in London, Samuel Montagu & Co., and inter! locks with other Rothschild
interests as director of Eagle Sta! r, and S hell Transport & Trading
- Going on down the list, we find the 76th largest foreign
investor in the U.S., is Olympia & York Co., which has been buying
up large sections of Manhattan. Olympia & York has acquired the Rouse
Co., a large developer; Trizec Corp., which controls the Seagram empire;
and Abitibi Price, a billion dollar producer of newsprint. Olympia &
York is supposedly controlled by the well-publicized Reichmann brothers,
Albert, Paul and Ralph, but here again, we have the paper "cutouts"
for the real owners, the Rothschild family.
- Far-reaching consequences are indicated by the foreign
takeover of a number of large American supermarket chains. This could be
crucial in view of projected food shortages around the end of this century.
General Occidental now owns 100% of Grand Union stores, as well as 25%
of Crown Zellenbach. The Wall Street Journal will tell you that General
Occidental is Sir James Goldsmith, but will neglect to tell you that Sir
James! was until recently one of the six partners of Banque Rothschild
of Paris. He also owns Cavenham Foods. The popular British TV series, "To
the Manor Born," featured a foreigner who had taken the name of Sir
Richard de Vere, and who owned a large supermarket chain, Cavendish Foods.
The character was a direct takeoff on Sir James Goldsmith and Cavenham
- The Brussels firm, Deihaize de Lion, is now the 32nd
largest foreign investor in the U.S. It owns the Food Giant and the Food
Lion chain of supermarkets. The German firm, Tengelmann Group, has purchased
52% of A & P Stores. One of the directors of A & P is Barbara Haupthfuhrer.
She is a trustee of the Markie Foundation, which interlocks with the Carnegie
Corp., the German Marshall Fund, and the American Council on Germany. The
last two groups exercise total control over the militarily occupied nation
of West Germany.
- During the past one hundred and fifty years, the Rothschild
fortunes have been centered in ! the Bank of England, and four family controlled
firms, Sun All! iance As surance. Rio Tinto, DeBeers, and Eagle Star. Rio
Tinto is the 41st largest foreign investor in the U.S., owning 100% of
U.S. Borax and 100% of Indal U.S. It also has holdings in other U.S.
- companies. The Rothschilds also control Copperweld, Federal
Express, and other U.S. firms. In the Forbes list of the 500 largest foreign
corporations Sun Alliance Assurance is 332nd; Banque Bruxelles Lambert,
the Belgian branch of the Rothschild bank, is 431st; and another family
holding, Societe Generale de Banque, is number 224th.
- A gentleman recently called me from Dallas, and said,
"I always knew that the stock market is controlled, but until I read
your books, I did not realize how absolute the control really is."
Of course, control, to be effective, must be absolute, or as absolute as
possible. This is why the financiers must control all political parties,
not merely the majority party. Realizing the extent of this control does
not mean that you are helpless. On the contr! ary, you can turn it to your
- Knowing who exercises control and why can be a potent
weapon in your hands. However, you must know who is actually in charge.
You cannot be deceived by the pathetic stooges, the flotsam and jetsam
dredged up by the financiers from the lowest elements of the population,
and who ostensibly exercise control for the benefit of the real powers.
Only children believe that clowns are the most important part of the circus.
- Certainly it is better to know than not to know. You
can read all the major financial journals for years, and you will not get
the information which is being presented here. With this information you
can decide where the market is going, plan your strategy. Ask yourself
why stock prices, metals, and food prices have been held down at ruinous
levels for the past quarter of a century. Economist William H. Meckling
of the University of Rochester was quoted on the editorial page of the
Wall Street Journal, Aug. 20, 19! 85, as pointing out that the Dow Jones
averages, to accurately! reflect inflationary trends and monetary developments,
should have reached 5600 on Jan. 1, 1983, instead of the actual 1047. He
observes that in the eighteen year period from Dec. 1964 to Dec. 1982,
the real value of Dow Jones stocks fell by 62%. Obviously, it is to someone's
advantage that stocks should be hovering in the 1300 range today, instead
of selling at their true value of 5600. By keeping these prices depressed,
the major players have forced out much of the stockbuying and stockholding
public. They are now executing mergers and buyouts to grab these underpriced
stocks for themselves. The leveraged buyouts also play into the hands of
the financiers because they suddenly convert a debt-free corporation into
one which is mortgaged to the full value of its holdings, and which is
committed to paying heavy interest on its new loans.
- Texaco borrowed $4 billion from a consortium of banks,
Barclays. Chase Manhattan, Lloyds, Manufacturers Hanover, Midland Bank,
and National ! Westminster Bank, to purchase Getty Oil. Norfolk Southern
borrowed $1.3 billion from Morgan Guaranty Trust to buy Conrail: Nestle
borrowed $2.5 billion from Citibank to buy Carnation. By creating these
huge new debts, which take priority payment from the earnings of these
firms, the banks can pay their way out of the dilemma of their disastrous
Third World loans.
- In the financing of these mergers, we find the new leaders
of Wall Street. For almost a century, Wall Street was dominated by two
Rothschild representatives. Although J. P. Morgan Co. is still going strong,
Kuhn, Loeb Co., as well as Lehman Brothers, have been combined into a new
operation, known as SLAM, or Shearson Lehman American Express. It is closely
linked with First Boston Corp. in handling many of the large mergers. A
double page spread in the Wall Street Journal, Aug. 15, 1985, hails First
Boston Corp. for "Leadership in Mergers, Acquisitions and Divestitures."
The advertisement cites twelve recent ! mergers involving large firms,
including Dunlop Tire, Revco, C! owles Me dia, Gulf, Allied Corp., Sara
Lee, and Castle & Cooke.
- The co-chairmen of First Boston are Pedro Paul Kuczynski
and Yve Andre Istel. Kuczynski was born in Lima, Peru in 1938; his mother
was a Godard. He was educated at Oxford, Cambridge, and Princeton. He served
with the World Bank from 1961-67 and was named senior economist there 1971-73.
He was with the Banco de Venezuela and the Central Bank of Peru from 1957-69,
and with the International Monetary Fund in Washington from 1969-71. He
joined Kuhn, Loeb Co. in 1975, staying until 1977. He became president
of Halco Mining Co. in 1977, a Pittsburgh aluminum firm doing $277 million
a year. Kuczynski was Minister of Energy of Peru from 1980-82. He joined
First Boston in 1982. Richard Mellon Scaife, scion of the Mellon fortune,
is a director of First Boston.
- Kuczynski's co-chairman at First Boston, Yve Andre Istel,
also came from Kuhn Loeb Co. Born in Paris, he worked for his family banking
house, Andre Istel and C! o. of Paris and New York. He married Nancy Lazarus,
and later joined Kuhn, Loeb Co. He is now manager of Shearson Lehman American
Express. His brother Jacques Istel, is manager of Andre Istel & Co.,
and director of the Dreyfus Fund of New York.
- SLAM, or Shearson Lehman, is actually the continuation
of the old Kuhn, Loeb Co., which was set up by Jacob Schiff as the secret
American representative of the Rothschild family. Schiff had been born
in the Rothschild house on Judengasse in the Frankfurt ghetto.
- The present directors of Shearson Lehman include Peter
Cohen, president; George Sheinberg, director, who is also chairman of American
Express Credit Corp., and director of Warner-Amex Cable, Franks Broadcasting
System; ex-President Gerald Ford; Kenneth J. Bialkin, of the law firm of
Willkie, Farr and Gallagher, director of Gulf, E. M. Warburg Pincus, and
Municipal Assistance Corporation of New York, which bailed the city out
of bankruptcy; Howard L. Clark, Jr., ! exec., v.p. American Express, director
Magic Chef, and Palm Be! ach Co.; Roger S. Berlind, chairman Berlind Production
Co., Financial News Network, and Etz Lavud Inc., an Israeli firm; and James
S. Robinson III, chairman of American Express, director of Union Pacific
Railroad (the Harriman family company), Coca Cola, and Bristol Myers Co.
- American Express, a $9.77 billion a year operation, is
in a very profitable business, the business of printing and circulating
money. It is mind-boggling to think how many billions of dollars worth
of American Express travelers checks are printed and sold each year. Judging
from the volume of its television advertising, it finds it worthwhile.
- Directors of American Express include the chairman, James
D. Robinson III, mentioned above; ex-president Gerald R. Ford, who is also
director of a large defense contractor, G. K. Technologies; Anne Armstrong,
former Ambassador to England, chairman of the Reagan-Bush campaign, and
director of the Texan axis of the Rothschild fortune, First City Bancorporation.
Sh! e is also a trustee of the Atlantic Council, Guggenheim Foundation,
Hoover Institution, and the Council on Foreign Relations; Henry Kissinger,
former Secretary of State under Nixon and Ford, now partners with Lord
Carrington of England in a public relations firm (Lord Carrington is related
by marriage to the Rothschilds).
- Kissinger is also a director of Chase Manhattan Bank,
trustee of Aspen Institute and the Rockefeller Brothers Fund; his brother
Walter, also a refugee from Germany, is director of Manufacturers Hanover,
another of the Rothschild banks, and the National Council on U.S.-China
Trade; Joseph H. Williams, chairman of the Williams Companies, a $2.17
billion a year oil operation, director of American Petroleum Institute,
and Peabody Coal Co.; Martha Wallace, management consultant, member Trilateral
Commission, chairman Rhodes Scholar Selection Committee, American Council
of Germany (which rules West Germany in the name of the financiers), and
the Japan Soc! iety. She formerly was with RCA, Time, Fortune, and the
Henry Luce Foundation, now director Chemical Bank NY, Bristol Myers, New
York Stock Exchange, New York Telephone, National Council on U.S.-ChinaTrade,
British North American Committee, and International House; Rawleigh Warner,
chairman of Mobil Corp., director of AT&T, Chemical Bank and Signal
Co. (a $6.67 billion company which interlocks with Rothschild interests
in Texas and Rothschild interests in Canada through another director, Philip
Beekman, president of Seagrams); Robert V. Roosa, partner of Brown Bros.
Harriman, chairman of Brookings Institution, Trilateral Commission, director
Texaco; Peter Cohen, president Shearson Lehman Bros.; Charles W. Duncan,
Chairman Coca Cola Europe, director United Technologies, former deputy
Secretary of Defense, 1977-79, Secretary of Energy, 1979-81; Richard M.
Furlaud, chairman Squibb Pharmaceutical, director of Olin, a munitions
firm, trustee Rockefeller University; Magnus Bohm; David Culver, president
Alcan, director of Seagrams, Canadair, and Amer! ican Cyanamid.
- Through Seagrams, Culver interlocks with the giant Rothschild
complex, Eagle Star Holdings PLC, which controls their Canadian and American
operations; Robert Genillard, chairman of Thyssen Bornemitza, the giant
European holding company formed from the former Thyssen Steel complex of
Germany, also director Corning Glass and Swiss Aluminum; Fred Kirby, the
Woolworth heir who is chairman of the Alleghany Corp.; and Archie McCardell,
director of Honeywell, General Foods, and Harris Bancorp.
- The presence of such well known political figures as
Gerald Ford and Henry Kissinger illustrates the fact that what we know
as Big Business is inextricably linked with the wielding of total political
power in America. The Central Intelligence Agency, known to its employees
as The Company, and to those familiar with its operations as "The
Central Investment Agency," is headed by William Casey, who made a
fortune while working with Leo Cherne at the Research Instit! ute of America.
Cherne has long been associated with such left! wing ins titutions as the
New School for Social Research in New York. He was chairman of the board
of Freedom House from 1946-75. As head of the CIA, Casey has devoted much
of his time to managing his extensive stock portfolio. He was recently
involved with one of his wartime OSS pals, Joe Rosenbaum, in a huge Mideast
- It is not coincidental that political power and international
finance go hand in hand. All economic problems are eventually solved by
the barrel of a gun. Money cannot own anything; it can only serve as the
medium by which to transfer ownership. In the history of mankind, property
has been transferred by the power of the gun perhaps as often as by any
other technique. This is the unspoken reason for the frantic struggle to
enact gun control legislation in the United States. As long as American
citizens possess some 200,000,000 guns, the financiers have to put on hold
their five thousand year old dream of seeing all of the world's wealth
fall into t! he hands of a small group of parasites.
- The previously cited economist, William H. Meckling,
has proposed that Congress and the state legislatures be abolished, and
that all statutes be put to public referendum. This "revolutionary"
solution would return the world to the pure Greek democracy of some five
thousand years ago.
- It would also destroy the program of the parasites. Meckling's
proposal to abolish Congress is somewhat redundant, because the Congress
of the United States has had no independent existence since 1945. It has
been a rubber stamp Duma for the international financiers, and it has routinely
enacted into law the most vicious acts against the interests of the American
people. The state legislatures have served as a rubber stamp for the financial
interests since the Council of State Governments was set up by the Rockefellers
in the mid-1930s. Nevertheless, the American colony, although still under
complete control, shows unmistakable signs of unrest,! because of the ruthless
war which has been waged against it s! ince 194 5 by the subversive interests.
- "As a result of the war, corporations have been
enthroned and an era of corruption in high places will follow, and the
MONEY POWER of the country will endeavor to prolong its reign by working
on the prejudices of the people until wealth is aggregated in the hands
of a few and the Republic is destroyed. I feel at this moment more anxiety
for the safety of my country than ever before, even in the midst of war."
- Abraham Lincoln.
- "Jonathan Williams recorded in his LEGIONS OF SATAN,
1781, that Cornwallis revealed to Washington that 'a holy war will now
begin on America, and when it is ended, America will be supposedly the
citadel of freedom, but her millions will unknowingly be loyal subjects
to the Crown.' Cornwallis went on to explain what would seem to be a self-contradiction:
'Your churches will be used to teach the Jew's religion, and in less than
two h! undred years, the whole nation will be working for divine world
government. That government that they believe to be divine will be the
British Empire. All religions will be permeated with Judaism without even
being noticed by the masses, and they will all be under the invisible all-seeing
eye of the Grand Architect of Freemasonry.'" --Senator
Joseph R. McCarthy.
- "I believe that banking institutions are more dangerous
to our liberties than standing armies. Already they have raised up a monied
aristocracy that has the Government at defiance. The issuing power should
be taken from the banks and restored to the people, to whom it properly
belongs." - Thomas Jefferson.
- "Permit me to issue and control the money of a nation,
and I care not who makes its laws." - Meyer Amschel Rothschild.
- BANKERS MANIFESTO of 1892
- We must proceed with caution and guard every move made,
for the lower order of people are already showing signs of restless commo!
- Prudence will therefore show a policy of apparently y!
ielding to the popular will until our plans are so far consummated that
we can declare our designs without fear of any organized resistance.
- Organizations in the United States should be carefully
watched by our trusted men, and we must take immediate steps to control
these organizations in our interest or disrupt them.
- At the coming Omaha convention to be held July 4, 1892,
our men must attend and direct its movement or else there will be set on
foot such antagonism to our designs as may require force to overcome.
- This at the present time would be premature. We are not
yet ready for such a crisis. Capital must protect itself in every possible
manner through combination and legislation.
- The courts must be called to our aid, debts must be collected,
bonds and mortgages foreclosed as rapidly as possible.
- When, through the process of law, the common people have
lost their homes, they will be more tractable and easily governed through
the influence of t! he strong arm of the government applied to a central
power of imperial wealth under the control of the leading financiers.
- People without homes will not quarrel with their leaders.
History repeats itself in regular cycles. This truth is well known among
our principal men who are engaged in forming an imperialism of the world.
- While they are doing this, the people must be kept in
a state of political antagonism.
- The question of tariff reform must be urged through the
organization known as the Democratic Party, and the question of protection
with the reciprocity must be forced to view through the Republican Party.
- By thus dividing voters, we can get them to expend their
energies in fighting over questions of no importance to us, except as teachers
to the common herd. Thus, by discrete actions, we can secure all that has
been so generously planned and successfully accomplished.
- -- Read into the Congressional Record by Congressman
Charles Lindberg, Sr.
- "The government should create, issue and circulate
all ! the curr ency and credit needed to satisfy the spending power of
the government and the buying power of consumers..... The privilege of
creating and issuing money is not only the supreme prerogative of Government,
but it is the Government's greatest creative opportunity. By the adoption
of these principles, the long-felt want for a uniform medium will be satisfied.
- The taxpayers will be saved immense sums of interest,
discounts and exchanges. The financing of all public enterprises, the maintenance
of stable government and ordered progress, and the conduct of the Treasury
will become matters of practical administration. The people can and will
be furnished with a currency as safe as their own government. Money will
cease to be the master and become the servant of humanity. Democracy will
rise superior to the money power." -- Abraham Lincoln, on the
issuance of the Greenbacks, government issued, debt-free money.
- "If this mischievous financial policy, which has
its origin in ! North America, shall become endurated down to a fixture,
then that Government will furnish its own money without cost. It will pay
off debts and be without debt. It will have all the money necessary to
carry on its commerce. It will become prosperous without precedent in the
history of the world. The brains, and wealth of all countries will go to
North America. That country must be destroyed or it will destroy every
monarchy on the globe." -- Lord Goschen, Hazard Circular - London
- The International Bankers Versus America:
- Mr. Mullians essay was first published in 1985