[R-G] [BillTottenWeblog] The Money System is a Confidence Trick

[Bill Totten]

by Arian Forrest Nevin, JD


Banks loan us money they create out of nothing. Not only is this a scam,
but it is outlawed by the Constitution, although our government allows
this criminal activity. This activity is at the heart of our unsound money
system, which is the direct cause of our nation`s current economic
collapse. To reverse our economic decline we must have a sound and
constitutional money system.

"I thought that, as a scientific man, I ought to know something about
economics. So I studied the money system for two years and could make
nothing of it. Then, one day, the truth dawned on me. What I was studying
was not a system, but a confidence trick." The conclusion that the money
system is a confidence trick comes from "the father of nuclear fission"
Nobel Prize winning chemist Frederick Soddy.

A confidence trick is a scam, a racket, a rip off, a con. What makes the
money system a confidence trick? Put most simply, money is created for
private profit by banks rather than created for the common good by the
government. Only the government of a nation should create money. The
confidence trick that is the money system takes two forms.

First, rather than simply print money, the government, when it wants more
money than it has obtained through taxation, issues bonds. The Federal
Reserve then creates new money that did not exist before and uses this
money to purchase the bonds. Then the populace, through taxation, is
forced to pay the interest on these bonds. This is how the National Debt
was created. Rather than impoverishing the populace by forcing them to pay
interest on bonds, the government could simply create money instead of
having the Federal Reserve create money to purchase government issued
bonds.

Second, banks devised a subtle way to counterfeit money. Banks invented a
separate and distinct form of money other than cash. Banks invented a kind
of money which exists solely as entries in their computers. Over 99% of
money exists in this form. Anytime a check, credit card, debit card, or
money order is used, electronic bank money is being used. Whenever someone
gets a loan from a bank the bank is in fact creating entirely new
electronic money that did not exist before. Through this subtle form of
counterfeiting banks have been able to take control of the money system.
This confidence trick is played not only by US banks but by all banks the
world over. The money system is the world`s longest running and most
successful confidence trick.

Not only is allowing banks to create money and charge us interest a
confidence trick, but it is also illegal! The Constitution explicitly
gives the power to create money to Congress and to Congress alone. It does
not authorize Congress to allow private corporations to create money.
Article I, Section 8, Part 5 of the Constitution of the United States
gives Congress the power, "To coin money, regulate the value thereof, and
of foreign coin". The Constitution is the highest law in the United States
of America. No law passed by Congress can override the Constitution. It is
illegal for banks to create money, and it is illegal for Congress to allow
banks to create money. The only way banks could legally create money would
be if an amendment to the Constitution authorizing money creation by banks
were passed. There is no such amendment. Sadly the Constitution is not a
self-enforcing document, and if the people do not force the government to
follow its dictates the government is free to ignore the law without
consequence.

President Garfield stated, "He who controls the money supply of a nation
controls the nation". Is it any wonder that against the will of the great
majority of Americans the banks and Wall Street were able to get the
bailout bill passed? The so-called bailout was nothing other than a
massive transfer of purchasing power from the people to the banks and the
acquisition of worthless debt and stock by the government at high prices
from the banks. Banks were able to force this bill through because of the
enormous power they wield from controlling the money system. The Secretary
of the Treasury, Henry Paulson, is a banker. He is the former CEO of
Goldman Sachs, and he conducts government policy in accord with the
interests of banks and not of the American people.

The truth of the monetary system has long been withheld from the American
people. We have been kept in the dark by the twin commandments put into
effect through the influence and power of banks: we shall not have an
honest money system, and we shall not examine the money system except
under their direction. An honest, constitutional money system is the one
thing banks will not stand for. The workings of the money system and the
economy are always discussed in mysterious terms. People feel that it is
something too complicated for them to understand. In fact, only falsehoods
and false principles need to be discussed in mysterious terms. Any person
of average intelligence can understand how the money system works.
However, banks do everything in their power to keep people from
understanding how the money system works, because if the majority of
Americans ever did understand, then there would soon be a great call for
the abolition of the unsound and dishonest monetary system and a call for
its replacement with an honest and constitutional one.

Never on television, radio, in newspapers, or in magazines is the truth of
the money system discussed. The people are to be kept in the dark and
ignorant. Only on the internet and in a few books is the truth of the
monetary system discussed. Those who literally create money can certainly
afford to direct the discourse regarding the money system in a direction
favorable to their interests. Economists prophesize nothing but economic
doom and gloom for us upon the horizon. This is true so long as we have a
dishonest money system. As soon as it is replaced with an honest money
system the way will be open to much greater prosperity than ever before.

The worldwide economic crisis we face today is caused directly by the
dishonest and unsound money system. There can be no liberty without
economic freedom. There can be no economic freedom without an honest money
system. The people must demand an honest money system. We must put such
pressure on the government that they have no alternative but to execute
the will of the people. Either we continue to pay billions and trillions
yearly to be kept artificially poor or we demand honest US constitutional
money. The choice is clear.

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