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Why the ‘Federal Reserve’… is a Criminal Operation!

May 3, 2013

Criminal law is the body of law that relates to crime. It includes the punishment of people who violate these laws. Criminal law differs from civil law, whose emphasis is more on dispute resolution and victim compensation than on punishment. Let’s review the organization and the operations of our Fed (short name for Federal Reserve Banking System) to discern if this entity fits this description. Does our financial System operate in a Criminal/Fraudulent manner?

Those of us who understand today’s operations of the Fed generally view this organization as a ‘criminal’ operation with a fraudulent group of administrators at the helm. First of all, the Fed was organized in 1913 to accomplish specific results for the American people (according to the public marketing for this organization). It was also allowed to function as an independent operation (from a legal viewpoint) so that it could accomplish specific goals (objectively). The 100 year history of this organization and its operations, however, suggest that it has not followed its mandate or its mission. Today, our ‘dollar’ has lost some 96.2% of its purchasing power since the beginnings of this institution. Does this represent competence?

The Federal Reserve Act, which established this organization, has been amended and/or modified some 200 times without any real transparency or accountability to the American people regarding these changes. Furthermore, there has not been a full and transparent audit of this organization/operation (which reveals its accounting methodology and its operations) since its inception (now nearly 100 years). Few Americans understand this organization, its operations, or its purpose as our centralized financial administrator. Many who do understand the history and the inside operations of this entity seem to view it as unconstitutional (based on Article I, Section 8 of our Constitution)…and also a corrupt institution philosophically (a moral and operational hazard for solving America’s economic problems).

The other aspect of this operation is its ‘money creation’ process. According to the Federal Reserve Act of 1913, this operation is supposed to ‘print’ Federal Reserve Notes (as our legal tender and as our currency). These notes are supposed to be ‘printed’ by our Bureau of Engraving and Printing (a bureau administered by our Treasury Department). Today, however, our Fed by-passes the BEP and merely creates virtual ‘digits’ as our currency (by punching numbers into the computer screen). Most of the member banks of this System also operate via a ‘fractional reserve banking methodology’ which allows member banks to create loans (now digital loans) mostly without any real deposit reserves as backing. Most lending today results from entering mere accounting entries in the computer screen to record a new loan transaction (this represents the creation of money…’out of nothing’). Money, in other words,  is created ex nihilo.

According to the Federal Reserve Act and the official records on the internet, this operation does not appear to have any official authority to create our currency as it does. According to my research, the Fed is supposed to ‘print’ Federal Reserve Notes as our legal tender and our medium of exchange. Today, however, this organization is creating ‘digital’ units via the electronic computer…and this process by-passes the ‘printing’ process completely. Our BEP is not functioning as the Bureau for these ‘digital’ creations by our Fed. In other words, our Fed is now NOT ‘printing’ our currency BUT it is creating ‘digits’ within the computer screen. This does not appear to be authorized by the Federal Reserve Act nor is it authorized by our Congress (at least I find no official records which have formalized this process).

Our current Fed Chairman, Ben Shalom Bernanke, appears to be operating the Fed in a fraudulent manner (a crime on the American people) by his current QE operations. In lieu of having our BEP ‘print’ our currency (as is required by the Federal Reserve Act), Ben is now just ‘creating’ digits within the computer screen…via a directive to his manager at the computer desk at the N.Y. Federal Reserve Bank. These ‘digits’ then get distributed to select recipients (mostly Dealer Banks) for further manipulations of the general financial markets. Are any of these operations representative of legal/authorized processes? Is our Congress in full support of these types of machinations? I don’t think many Congressmen understand these operations!

Furthermore, there is no official oversight (by our elected representatives of the American people) over this ‘digitization’ process…currently initiated mostly by Ben (with approval of the FOMC). Our Congress seems mostly unaware of the illegality of this counterfeiting operation…which Ben has initiated these past few years. QE is a short name for ‘quantitative easing’ which is a process of creating our legal tender (our currency) by his own authority and via his own thinking (consciousness). Ben has become the official counterfeiter of our currency units (now digits within the computer screen). He has created trillions of $’s via his QE  and loan operations and he continues this counterfeiting today…with no criminal prosecution by our legal system. Why?

This entire operation seems totally anathema to what the Fed is supposed to be doing (if the Federal Reserve Act has any legal meaning on these issues). Our currency is supposed to be a ‘printed’ note and our BEP is supposed to be ‘printing’ this note for the entire banking system and the American people (as our official legal tender). Today, however, our Fed has established a network of high-speed computers to distribute our currency and to administer our credit system (with no approval from the voting citizen or the legal/constitutional process). This seems like legal corruption to me. This makes the computer ‘digit’ our official currency unit (as of today)…and our ‘printed’ note is merely a minor aspect of the entire overall currency system (only some 4% of all money transactions are executed via paper notes today). Who is aware of these issues?

According to my reading of the Federal Reserve Act, none of this seems authorized or officially legal. This makes our Fed (and its administrators) a criminal operation and the actions of our Fed Chairman fraudulent. Why should a ‘digit’ become legal tender without the official authorization of our elected members of Congress? Who has given our Fed Chairman the authorization to create our legal tender currency ex nihilo (out of nothing…his consciousness)? Where in the Federal Reserve Act is there a specification for this type of operation and this type of administration? Creating our money ex nihilo does not seem like sound economic behavior! Give this issue some serious consideration!

What is ‘fraudulent’ behavior according to the definition:    isn’t it: beguilingdeceivingdeceptivedeludingdelusivedelusoryduplicitousfallaciousmisleadingspecious;  spurious,  deceitfulfalsecrooked (informal)untrueshamtreacherousdishonestdeceptivecounterfeitcraftyswindlingdouble-dealingduplicitousknavish, and phony.

Many patriots have pointed out that our centralized Federal Reserve Banking System is a fraudulent operation since its inception in 1913. Those who organized this banking cartel did not inform the American public of their schemes and intentions. This resulted in an organization which was mostly kept in private hands and administered without any transparency with regard to their operations. Today, some 100 years after its inception, the American people still are unaware of how this banking cartel functions and controls our economy. The mystery continues as there is little transparency within this cartel of groupthink administrators. And our ‘inside the beltway’ politicians have no interest in educating the American people on this institution.

A few patriots who have exposed Central Banking as a corrupting enterprise are:  Thomas Jefferson, Andrew Jackson, Henry Ford, Dennis Kucinich, James Garfield, Buckminster Fuller, Louis McFadden, Louis Farrakhan, Charles Lindbergh, Sr., G. Edward Griffin, and Ron Paul (to name just a few). What is now needed is for the American public to get themselves informed on this issue. I am convinced that if the American public understands the corruption within this organization and its administrators, they will desire for this entity to be abolished.  It is unlikely that our politicians will voluntarily expose this banking cartel on their own. The vested interests of our politicians and this banking cartel are much too intertwined at present. The American people need to wake up and then pressure our leaders to abolish this corrupt institution.

Watch these videos for additional education on our corrupt Federal Reserve  Banking System (the Fed):

1.  http://youtu.be/3pVq7BZj3aU  (Louis Farrakhan’s perspective)

2.  http://youtu.be/Mv_DA4QgSdE  (Ron Paul’s perspective)

3.  http://youtu.be/N4wSsMKtL-8  (G. Edward Griffin’s perspective)

Take the time to get educated on the above issues and then VOTE your convictions. I am:  https://kingdomecon.wordpress.com.

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