The petition for Articles of Impeachment was thereafter referred to the Judiciary Committee and has
YET TO BE ACTED ON.
So, this ELECTRONIC BOOKLET should be reprinted, reposted,
set up on web pages and circulated far and wide.
on the Federal Reserve Corporation
Remarks in Congress, 1934
AN ASTOUNDING EXPOSURE
Reprinted by permission 1978 Arizona Caucus Club
Quotations from several speeches made on the Floor
of the House of Representatives by the Honorable Louis T. McFadden
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
"This evil institution has impoverished and
ruined the people of these
"Some people who think
that the Federal Reserve Banks United States Government institutions.
They are private monopolies which prey upon the people of these
"These twelve private credit monopolies were
deceitfully and disloyally foisted upon this Country by the
bankers who came here from
"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
"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 draughtsman who
was employed to write the text of the Aldrich bill because that
had been drawn up by lawyers, by acceptance bankers of European
"A few days before the bill came to a vote,
Senator Henry Cabot Lodge, of Massachusetts, wrote to Senator
"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.
"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
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
"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
"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 Scotch distiller.
"While we are attempting to enforce prohibition
here, the Fed are in the distillery business in
"Why should we send our representatives
to the disarmament conference at
"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 before he has
even planted the beans in the ground. "Mr.
Chairman, if a German in
"Mr. Chairman, why should the currency of
THE UNITED STATES HAS BEEN RANSACKED
"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
"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 ducks.
"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
"Mr. Chairman, I believe that the National
Bank depositors of these
[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
"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
The Bankers' Acceptance Racket
"The Fed have been
International Banks from the beginning, with these
"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
"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 Government securities 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
"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
"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
"This is the
"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
"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
"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
"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 requirements.
"A few days ago, the President of the
"Most Americans thought it was the other
way around. What does these
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 of
"The Baltimore and Ohio Railroad is
here asking for a large loan from the people, and the wage earners
and the taxpayers of these
"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
"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
"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 States Government.
"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
"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
"The people of these
"The wealth of these
"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
"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
"The old struggle that was fought out here
"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
"Mr. Chairman, the Fed has offered to collect
the British claims in full from the American public by trickery
and corruption, if
"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
"As soon as the Hoover Moratorium was announced,
"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
"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
"The week before the bank holiday ws
Roosevelt and the International Bankers
"Do not deceive yourself, Mr. Chairman, or
permit yourself to be deceived by others into the belief that
"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
"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
"He took advantage of the people's confusion
and weariness and spread the dragnet over the
"The Prime Minister of England came here for money! He came here to collect cash!
"He came here with Fed Currency and other
claims against the Fed which
"Mr. Chairman, I am in favor of compelling the Fed to pay their own debts. I see no reason why the general public should be forced to pay the gambling debts of the International Bankers.
"By his action in closing the banks of the
"It is the money of slaves, not of free men.
If the people of the
"The people of the
"It is not being used to protect the currency!
It is being used to protect the corrupt and dishonest Fed. "The
directors of these institutions have committed criminal offense
against the United States Government, including the offense
of making false entries on their books, and the still more serious
offense of unlawfully abstracting funds from the United States
"The International Bankers set up a dictatorship here because they wanted a dictator who would protect them. They wanted a dictator who would protect them. They wanted a dictator who would issue a proclamation giving the Fed an absolute and unconditional release from their special currency in gold, or lawful money of any Fed Bank.
"Not he! He has issued one kind of proclamation only, and that is a proclamation to relieve international bankers and the foreign debtors of the United States Government.
"Mr. Chairman, the gold in the banks of this
country belongs to the American people who have paper money
contracts for it in the form of national currency. If the Fed
cannot keep their contracts with
"There must be a day of reckoning. If the
Fed have looted the Treasury so that
the Treasury cannot redeem the
"Mr. Chairman, a gold certificate is a warehouse receipt for gold in the Treasury, and the man who has a gold certificate is the actual owner of a corresponding amount of gold stacked in the Treasury subject to his order.
"Now comes Roosevelt who seeks to render
the money of the
"Next in order are the veterans of all wars, many of whom are aged and inform, and other sick and disabled. These men had their lives adjusted for them by acts of Congress determining the amounts of the pensions, and, while it is meant that every citizen should sacrifice himself for the good of the United States, I see no reason why those poor people, these aged Civil War Veterans and war widows and half-starved veterans of the World War, should be compelled to give up their pensions for the financial benefit of the International vultures who have looted the Treasury, bankrupted the country and traitorously delivered the United States to a foreign foe.
"There are many ways of raising revenue that are better than that barbaric act of injustice.
"Why not collect from the Fed the amount they owe the U.S. Treasury in interest on all the Fed currency they have taken from the Government? That would put billions of dollars into the U.S. Treasury.
"If FDR is as honest as he pretends to be, he will have that done immediately. And in addition, why not compel the Fed to disclose their profits and to pay the Government its share?
"Until this is done, it is rank dishonesty to talk of maintaining the credit of the U.S. Government. "My own salary as a member of Congress has been reduced, and while I am willing to give my part of it that has been taken away from me to the U.S. Government, I regret that the U.S. has suffered itself to be brought so low by the vultures and crooks who are operating the roulette wheels and faro tables in the Fed, that is now obliged to throw itself on the mercy of its legislators and charwomen, its clerks, and it poor pensioners and to take money out of our pockets to make good the defalcations of the International Bankers who were placed in control of the Treasury and given the monopoly of U.S. Currency by the misbegotten Fed. "I am well aware that the International Bankers who drive up to the door of the United States Treasury in their limousines, look down with scorn upon members of Congress because we work for so little, while they draw millions a year. The difference is that we earn, or try to earn, what we get- and they steal the greater part of their takings.
Enemies of the People They Rob
"I do not like to see vivisections performed
on human beings. I do not like to see the American people used
for experimental purposes by the credit masters of the
"The fact that they made that assertion while
they were fomenting their conspiracy against the
"The International Bankers have always hated our pensioners. A man with a small pension is a ward of the Government. He is not dependent upon them for a salary or wages. They cannot control him. They do not like him. It gave them great pleasure, therefore, to slash the veterans.
"But FDR will never do anything to embarrass his financial supporters. He will cover up the crimes of the Fed.
"Before he was elected, Mr. Roosevelt advocated a return to the earlier practices of the Fed, thus admitting its corruptness. The Democratic platform advocated a change in the personnel of the Fed. These were campaign bait. As a prominent Democrat lately remarked to me; "There is no new deal. The same old crowd is in control."
"The claims of foreign creditors of the Fed have no validity in law. The foreign creditors were the receivers- and the willing receivers- of stolen goods! They have received through their banking fences immense amounts of currency, and that currency was unlawfully taken from the United States Treasury by the Fed.
Conspiracy of War Debts
"They likewise entered into a conspiracy to deprive the people of the U.S. of their title to the war debts and not being able to do that in the way they intended, they are now engaged in an effort to debase the American dollar so that foreign governments will have their debts to this country cut in two, and then by means of other vicious underhanded arrangements, they propose to remit the remainder.
"So far as the
"Why should the foreigners be made preferred
creditors of the bankrupt
"Let the Fed meet their own obligations.
"Every member of the Fed should be compelled to disgorge, and every acceptance banker and every discount corporation which has made illegal profits by means of public credit unlawfully bootlegged out of the U.S. Treasury and hired out by the crooks and vultures of the Fed should be compelled to disgorge.
Federal Reserve Pays No Taxes
"Gambling debts due to foreign receivers
of stolen goods should not be paid by sacrificing our title
to our war debts, the assets of the U.S. Treasury- which belong
to all the people of the
"The U.S. Treasury cannot be made liable for them. The Fed currency must be redeemed by the Fed banks or else these Fed banks must be liquidated.
"We know from assertions made here by the
"That is a condition that
"He holds no office in our Government, but I am told that he is in daily attendance at the Treasury, and that he has private quarters there! In other words, Mr. Chairman, Kuhn, Loeb and Company now has control and occupy the U.S. Treasury.
Preferred Treatment for Foreigners
"The text of the Executive order which seems
to place an embargo on shipments of gold permits the Secretary
of the Treasury, a former director of the corrupt, to issue
licenses at his discretion for the export of gold coin, or bullion,
earmarked or held in trust for a recognized foreign government
or foreign central bank for international settlement. Now, Mr.
Chairman, if gold held in trust for those foreign institutions
may be sent to them, I see no reason why gold held in trust
for American as evidenced by their gold certificates and other
currency issued by the U.S. Government should not be paid to
them. "I think that American citizens should be entitled
to treatment at least as good as that which the person is extending
to foreign governments, foreign central banks, and the bank
of International Settlements. I think a veteran of the world
war, with a $20.00 gold certificate, is at least as much entitled
to receive his own gold for it, as any international banker
in the city of
"By the terms of this executive order, gold
may be exported if it is actually required, for the fulfillment
of any contract entered into prior to the date of this order
by an applicant who, in obedience to the executive order of
"If a European Bank should send 100,000,000
dollars in Fed currency to a bank in this country for redemption,
that bank could easily ship gold to
Crimes and Criminals
"Mr. Speaker, I rise to a question of constitutional privilege.
"Whereas, I charge. . .Eugene Meyer, Roy A. Young, Edmund Platt, Eugene B. Black, Adolph Casper Miller, Charles S. Hamlin, George R. James, Andrew W. Mellon, Ogden L. Mills, William H. Woo W. Poole, J.F.T. O'Connor, members of the Federal Reserve Board; F. H. Curtis, J.H. Chane, R.L. Austin, George De Camp, L.B. Williams, W.W. Hoxton, Oscar Newton, E.M. Stevens, J.S. Wood, J.N. Payton, M.L. McClure, C.C. Walsh, Isaac B. Newton, Federal Reserve Agents, jointly and severally, with violations of the Constitution and laws of the United States, and whereas I charge them with having taken funds from the U.S Treasury which were not appropriated by the Congress of the United States, and I charge them with having unlawfully taken over $80,000,000,000 from the U.S. Government in the year 1928, the said unlawful taking consisting of the unlawful creation of claims against the U.S. Treasury to the extent of over $80,000,000,000 in the year 1928; and I charge them with similar thefts committed in 1929, 1930, 1931, 1932 and 1933, and in years previous to 1928, amounting to billions of dollars; and
"Whereas I charge them, jointly and severally with having unlawfully created claims against the U.S. Treasury by unlawfully placing U.S. Government credit in specific amounts to the credit of foreign governments and foreign central banks of issue; private interests and commercial and private banks of the U.S. and foreign countries, and branches of foreign banks doing business in the U.S., to the extent of billions of dollars; and with having made unlawful contracts in the name of the U.S. Government and the U.S. Treasury; and with having made false entries on books of account; and
"Whereas I charge them jointly and severally, with having taken Fed Notes from the U.S. Treasury and with having put Fed Notes into circulation without obeying the mandatory provision of the Fed Act which requires the Fed Board to fix an interest rate on all issues of Fed Notes supplied to Fed Banks, the interest resulting therefrom to be paid by the Fed Banks to the government of the U.S. for the use of the Fed Notes, and I charge them of having defrauded the U.S. Government and the people of the U.S. of billions of dollars by the commission of this crime, and
"Whereas I charge them, jointly and severally, with having purchased U.S. Government securities with U.S. Government credit unlawfully taken and with having sold the said U.S. Government securities back to the people of the U.S. for gold or gold values and with having again purchased U.S. Government securities with U.S. Government credit unlawfully taken and with having again sold the said U.S. Government security for gold or gold values, and I charge them with having defrauded the U.S. Government and the people of the U.S. by this rotary process; and
"Whereas I charge them, jointly and severally, with having unlawfully negotiated U.S. Government securities, upon which the Government liability was extinguished, as collateral security for Fed Notes and with having substituted such securities for gold which was being held as collateral security for Fed Notes, and with having by the process defrauded the U.S. Government and the people of the U.S., and I charge them with the theft of all the gold and currency they obtained by this process; and
"Whereas I charge them, jointly and severally, with having unlawfully issued Fed currency on false, worthless and fictitious acceptances and other circulating evidence of debt, and with having made unlawful advances of Fed currency, and with having unlawfully permitted renewals of acceptances and renewals of other circulating evidences of debt, and with having permitted acceptance bankers and discount dealer corporations and other private bankers to violate the banking laws of the U.S.; and
"Whereas I charge them, jointly and severally, with having conspired to have evidences of debt to the extent of $1,000,000,000 artificially created at the end of February, 1933, and early in March 1933, and with having made unlawful issues and advances of Fed currency on the security of said artificially created evidences of debt for a sinister purpose, and with having assisted in the execution of said sinister purpose; and
"Whereas I charge them, jointly and severally, with having brought about the repudiation of the currency obligations of the Fed Banks to the people of the U.S. and with having conspired to obtain a release for the Fed Board and the Fed Banks from their contractual liability to redeem all Fed currency in gold or lawful money at the Fed Bank and with having defrauded the holders of Fed currency, and with having conspired to have the debts and losses of the Fed Board and the Fed Banks unlawfully transferred to the Government and the people of the U.S., and
"Whereas I charge them, jointly and severally, with having unlawfully substituted Fed currency and other irredeemable paper currency for gold in the hands of the people after the decision to repudiate the Fed currency and the national currency was made known to them, and with thus having obtained money under false pretenses; and
"Whereas I charge them, jointly and severally, with having brought about a repudiation of the notes of the U.S. in order that the gold value of the said currency might be given to private interests, foreign governments, foreign central banks of issues, and the Bank of International Settlements, and the people of the U.S. to be left without gold or lawful money and with no currency other that a paper currency irredeemable in gold, and I charge them with having done this for the benefit of private interests, foreign governments, foreign central banks of issue, and the bank of International Settlements; and
"Whereas I charge them, jointly and severally, with conniving with the Edge Law banks, and other Edge Law institutions, accepting banks, and discount corporations, foreign central banks of issue, foreign commercial banks, foreign corporations, and foreign individuals with funds unlawfully taken from the U.S. Treasury; and I charge them with having unlawfully permitted and made possible 'new financing' for foreigners at the expense of the U.S. Treasury to the extent of billions of dollars and with having unlawfully permitted and made possible the bringing into the United States of immense quantities of foreign securities, created in foreign countries for export to the U.S. and with having unlawfully permitted the said foreign securities to be imported into the U.S. instead of gold, which was lawfully due to the U.S. on trade balances and otherwise, and with having lawfully permitted and facilitated the sale of the said foreign securities in the U.S., and
"Whereas I charge them, jointly and severally, with having unlawfully exported U.S. coins and currency for a sinister purpose, and with having deprived the people of the U.S. of their lawful medium of exchange, and I charge them with having arbitrarily and unlawfully reduced the amount of money and currency in circulation in the U.S. to the lowest rate per capita in the history of the Government, so that the great mass of the people have been left without a sufficient medium of exchange, and I charge them with concealment and evasion in refusing to make known the amount of U.S. money in coins and paper currency exported and the amount remaining in the U.S. as a result of which refusal the Congress of the U.S. is unable to ascertain where the U.S. coins and issues of currency are at the present time, and what amount of U.S. currency is now held abroad; and
"Whereas I charge them, jointly and severally, with having arbitrarily and unlawfully raised and lowered the rates of money and with having arbitrarily increased and diminished the volume of currency in circulation for the benefit of private interests at the expense of the Government and the people of the U.S. and with having unlawfully manipulated money rates, wages, salaries and property values both real and personal, in the U.S. by unlawful operations in the open discount market and by resale and repurchase agreements unsanctioned by law, and
"Whereas I charge them jointly and severally,
with having brought about the decline in prices on the New York
Stock Exchange and other exchanges in October, 1929, by unlawful
manipulation of money rates and the volume of U.S. money and
currency in circulation: by theft of funds from the U.S. Treasury
by gambling in acceptances and U.S. Government securities; by
service rendered to foreign and domestic speculators and politicians,
and by unlawful sale of U.S. gold reserves abroad, and
"Whereas the U.S. Government will thus go into debt to the extent of $3,000,000,000 and will then have an additional claim of $3,000,000,000 in currency unlawfully created against it and whereas no private interest should be permitted to buy U.S. Government securities with the Government's own credit unlawfully taken and whereas currency should not be issued for the benefit of said private interest or any interests on U.S. Government securities so acquired, and whereas it has been publicly stated and not denied that the inflation amendment of the Farm Relief Act is the matter of benefit which was secured by Ramsey MacDonald, the Prime Minister of Great Britain, upon the occasion of his latest visit to the U.S. Treasury, and whereas there is grave danger that the accused will employ the provision creating U.S. Government securities to the extent of $3,000,000,000 and three millions in currency to be issuable thereupon for the benefit of themselves and their foreign principals, and that they will convert the currency so obtained to the uses of Great Britain by secret arrangements with the Bank of England of which they are the agents, and for which they maintain an account and perform services at the expense of the U.S. Treasury, and that they will likewise confer benefits upon the Bank of International Settlements for which they maintain an account and perform services at the expense of the U.S. Treasury; and
"Whereas I charge them, jointly and severally, with having concealed the insolvency of the Fed and with having failed to report the insolvency of the Fed to the Congress and with having conspired to have the said insolvent institutions continue in operation, and with having permitted the said insolvent institutions to receive U.S. Government funds and other deposits, and with having permitted them to exercise control over the gold reserves of the U.S. and with having permitted them to transfer upward of $100,000,000,000 of their debts and losses to the general public and the Government of the U.S., and with having permitted foreign debts of the Fed to be paid with the property, the savings, the wages, and the salaries of the people of the U.S. and with the farms and the homes of the American people, and whereas I charge them with forcing the bad debts of the Fed upon the general public covertly and dishonestly and and with taking the general wealth and savings of the people of the U.S. under false pretenses, to pay the debts of the Fed to foreigners; and
"Whereas I charge them, jointly and severally, with violations of the Fed Act and other laws; with maladministration of the h evasions of the Fed Law and other laws; and with having unlawfully failed to report violations of law on the part of the Fed Banks which, if known, would have caused the Fed Banks to lose their charters, and
"Whereas I charge them, jointly and severally, with failure to protect and maintain the gold reserves and the gold stock and gold coinage of the U.S. and with having sold the gold reserves of the U.S to foreign Governments, foreign central banks of issue, foreign commercial and private banks, and other foreign institutions and individuals at a profit to themselves, and I charge them with having sold gold reserves of the U.S. so that between 1924 and 1928 the U.S. gained no gold on net account but suffered a decline in its percentage of central gold reserves from the 45.9 percent in 1924 to 37.5 percent in 1928 notwithstanding the fact that the U.S. had a favorable balance of trade throughout that period, and
"Whereas I charge them, jointly and severally, with having conspired to concentrate U.S. Government securities and thus the national debt of the U.S. in the hands of foreigners and international money lenders and with having conspired to transfer to foreigners and international money lenders title to and control of the financial resources of the U.S.; and
"Whereas I charge them, jointly and severally, with having fictitiously paid installments on the national debt with Government credit unlawfully taken; and
"Whereas I charge them, jointly and severally, with the loss of the U.S. Government funds entrusted to their care; and
"Whereas I charge them, jointly and severally, with having destroyed independent banks in the U.S. and with having thereby caused losses amounting to billions of dollars to the said banks, and to the general public of the U.S., and
"Whereas I charge them, jointly and severally, with the failure to furnish true reports of the business operations and the true conditions of the Fed to the Congress and the people, and having furnished false and misleading reports to the congress of the U.S., and
"Whereas I charge them, jointly and severally, with having published false and misleading propaganda intended to deceive the American people and to cause the U.S. to lose its independence; and
"Whereas I charge them, jointly and severally,
with unlawfully allowing
"Whereas I charge them, jointly and severally, with having entered into secret agreements and illegal transactions with Montague Norman, Governor of the Bank of England; and
"Whereas I charge them, jointly and severally, with swindling the U.S. Treasury and the people of the U.S. in pretending to have received payment from Great Britain of the amount due on the British ware debt to the U.S. in December, 1932; and
"Whereas I charge them, jointly and severally, with having conspired with their foreign principals and others to defraud the U.S. Government and to prevent the people of the U.S. from receiving payment of the war debts due to the U.S. from foreign nations; and
"Whereas I charge them, jointly and severally, with having robbed the U.S Government and the people of the U.S. by their theft and sale of the gold reserves of the U.S. and other unlawful transactions created a deficit in the U.S. Treasury, which has necessitated to a large extent the destruction of our national defense and the reduction of the U.S. Army and the U.S. Navy and other branches of the national defense; and
"Whereas I charge them, jointly and severally, of having reduced the U.S. from a first class power to one that is dependent, and with having reduced the U.S. from a rich and powerful nation to one that is internationally poor; and
"Whereas I charge them, jointly and severally,
with the crime of having treasonable conspired and acted against
the peace and security of the
"Resolve, That the Committee on the Judiciary is authorized and directed as a whole or by subcommittee, to investigate the official conduct of the Fed agents to determine whether, in the opinion of the said committee, they have been guilty of any high crime or misdemeanor which in the contemplation the Constitution requires the interposition of the Constitutional powers of the House. Such Committee shall report its finding to the House, together with such resolution or resolutions of impeachment or other recommendations as it deems proper.
"For the purpose of this resolution the Committee is authorized to sit and act during the present Congress at such times and places in the District of Columbia or elsewhere, whether or not the House is sitting, has recessed or has adjourned, to hold such clerical, stenographic, and other assistants, to require of such witnesses and the production of such books, papers, and documents, to take such testimony, to have such printing and binding done, and to make such expenditures as it deems necessary."
After some discussion and upon the motion of Mr. Byrns, the resolution and charge was referred to the Committee on the Judiciary.
"Attacks on McFadden's Life Reported"
Commenting on Former Congressman Louis T. McFaddens's
"heart-failure sudden-death" on
President Andrew Jackson stated in reference to the bankers at the state of his administration:
"You are a den of vipers and thieves.
I intend to rout you out, and by the Eternal God, I will rout you out."