Banks' shady past

Some more reasons why we cannot trust banks: The following is an extract from a letter written by Rothschild Bros of London to a New York firm of bankers on 25 June 1863: "The few who can understand the System (Cheque Money and Credits) will either be so interested in its profits, or so dependent on its favours, that there will be no opposition from that class, while on the other hand, the great body of people mentally incapable of comprehending the tremendous advantage that capital derives from the system, will bear its burdens without complaint and perhaps without even suspecting that the system is hostile to their interests." The United States Bankers' Association magazine of August 1924 stated: "Capital must protect itself in every possible way, both by combination and legislation. Debts must be collected, mortgages foreclosed as rapidly as possible. When, through process of law the common people lose their homes, they will become more docile and more easily governed through the strong arm of government applied by a central power of wealth under leading financiers. These truths are well known among our principal men who are now engaged in forming an imperialism to govern the world. By dividing the voter through the political party system we can get them to expend their energies in fighting for questions of no importance. It is thus by discreet action we can secure for ourselves that which has been so well planned and so successfully accomplished." In 1891 a confidential circular was sent to American bankers and their agents, containing the following statements: "We authorise our loan agents in the western States to loan our funds on real estate, to fall due on September 1st 1894, and at no time thereafter. On September 1, 1894, we will not renew our loans under any consideration. On September 1st we will demand our money - we will foreclose and become mortgagees in possession. We can take two-thirds of the farms west of the Mississippi and thousands of them east of the great Mississippi as well, at our own price. We may as well own three-fourths of the farms of the west and the money of the country. Then the farmers will become tenants, as in England. After September 1st, the interest we receive on coupons will be accumulated - we will not lend any of our funds after that date, as we can make more money by withholding our interest income."

To carry into effect the instructions of 1891, a second circular was sent out bearing the date 11 March 1893, under the signature of the American Bankers Association:

"The interests of national (private) banks require immediate financial legislation by Congress. Silver, silver certificates and Treasury Notes must be retired - and National Bank Notes upon a gold basis made the only money. This will require the authorisation of $500,000,000 to $1,000,000,000 of new bonds as a basis of circulation. You will at once retire one-third of your circulation (your paper money) and call in one-half of your loans. Be careful to make a monetary stringency among your patrons, especially among influential businessmen. The future life of national banks as fixed and safe investments depends upon immediate action as there is an increasing sentiment in favour of government legal-tender notes and silver coinage."