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Over thirty years ago, a book came out titled "How the Government Breaks the Law", by Jethro K. Lieberman." Even then it was old news and the examples cited seemed small compared to today's chronic law-breakers in the White House and at many federal departments and agencies. Many recent books have been written on the expansive outlaw behavior of George W. Bush and Dick Cheney.

Less attention has been devoted to the explosion of unauthorized actions by the Executive in recent years. What should be the most frequent question by reporters to government officials -- namely, “By what authority are you acting?” – is the rarest of inquiries.

A two part series on Treasury Secretary Henry M. Paulson Jr. in the Washington Post by David Cho in late November brought this point out in a stunningly frank admission by the Corporate bailout czar himself.

Speaking of the takeover of Fannie Mae and Freddie Mac, as well as other megaseizures of failing Wall Street firms, Mr. Paulson expressed these anarchic words: "Even if you don't have the authorities – and frankly I didn't have the authorities for anything – if you take charge, people will follow."

Whew! There you have it! He becomes the law and the law is what he says it is because no one – neither a rubber-stamping President, nor a supine Congress, nor any citizen, deprived of any standing to sue, is going or can do anything about it.

Reporter Cho goes on to write: "Senior government officials said Paulson helped craft rescue programs for financial firms, though he was not sure he had an unquestionable legal basis for the initiatives including the bailouts of the failing investment bank Bear Stearns in March and the wounded insurance giant American International Group (AIG) in September."

Mr. Paulson went further. Playing Congress, he backed the Federal Reserve – already a government within a government funded by banks– to unprecedented unilateral expansion of its powers and its self-made assets. The Post reported that officials from the Treasury and the Fed “never knew whether they had the legal authority to interfere with the market for such
derivatives but did so anyway because the opaque trading threatened the wider financial system."

Unauthorized Executive Branch actions tend to be contagious. Noticing that the crisis left Wall Street on its knees and willing to unilaterally assume over $8 trillion in a variety of loan, subsidy and capital obligations, the Bush regime kept making more of its powers all by itself. Why not, they may have been thinking? Look what they've gotten away with in the areas of military and foreign policy actions.

Weekend gigantic corporate bailouts – a more recent one being the $300 billion plus assumption of Citigroup's financial risks – engineered by Citigroup co-boss, Robert Rubin--were very secret affairs.

The more public grab of power was the $700 billion goliath to rescue the casino capitalists on Wall Street which was submitted in only 3 ½ pages of proposed legislation to Congress by Paulson and Ben Bernake, the Fed's chairman in September.

This was too much for the ideologies of House Republicans who beat it on the first round. Even the spineless Democrats thought the requested authority was too much of a blank check. So what happened? Bush told Paulson to give various members of Congress "sweeteners" such as pork and tax breaks for favored lobbyists to get the required votes. Consequently, Paulson was granted staggering discretion to spend the $700 billion when, where and to whom he wanted
under whatever conditions or no conditions at all. All in the name of socialism saving capitalism from massive collapse. Ironic.

Mr. Paulson came away from Capitol Hill with Congress in his hip pocket – not exactly what the framers of our Constitution had in mind in 1787.

Thus embolden, Paulson initiated a unilateral, administrative repeal of a Congressional enactment in the tax code – section 382 – to give the banks a huge windfall of about $140 billion. George K. Yin, former chief of staff of the Congressional Joint Committee on Taxation, rejected the legality of the Treasury Department's decision. He told the Post: "I think almost
every tax expert would agree that the answer is no. They basically repealed a 22-year-old law that Congress passed [and Reagan signed] as a backdoor way of providing aid to banks."

Section 382 of the Tax code “sharply restricts a company from using the tax losses of a company it acquires to reduce its own tax liability," according to the respected Citizens for Tax Justice. The Treasury's two-page notice generated a brief specialized display of outrage from members of the Tax writing committees in Congress and a hundred national, state and local organizations signed a joint letter to Congress demanding the legislators reverse the Treasury’ unauthorized edict.

So what did the House of Representatives do? It passed, later rejected by the Senate a provision in the auto bailout bill, a provision that would have extended the unauthorized Treasury ruling to the automobile industry!

What is going on here is a revolutionary coup d-etat of our legal system by executive branch diktats.

Is the organized legal profession through their bar associations in challenge mode? Are law professors churning over this mockery of the legislature and executive branch administrative law? Are conservative groups – always upset about judicial activism – going into high gear against the new monarchy in and around the White House in downtown Washington, D.C.? Are
all those futurists worried enough about the trillions of debt dollars being piled on our children and grandchildren to protest and act? Not really.

Obviously, all this is a developing story. Stay tuned, unless you are willing to be turned out.
Televison is the most powerful weapon of psychological warfare in history and yet it is a member of the family in most households. The programming that we are constantly assaulted with conditions us to a particular worldview. This fake reality changes our behavior making us less active and more compliant with society’s shortcomings.

Since television is controlled by a small handful of powerful corporations, viewers will never witness informing, truthful news and entertainment. As political and corporate power unite at an ever increasing rate, being informed is more important than ever.

People need to seek out independent and alternative unbiased sources on the internet for their information or we will continue to be manipulated by the corporate controlled media.

Congress is due to meet in joint session on Jan. 6, 2009 in order to count Electoral votes. Each house will have an opportunity to raise objections to the votes. It is doubtful Congress will perform it's duty of supporting our Constitution.
That being the case, it will be up to We The People to demand Mr. Obama prove he is qualified Constitutionally to serve. There is a very simple way to do just that here:
http://www.scribd.com/people/view/4975153-fireant
See the Obama Ticket and the Obama Ticket Back. Send your Violation Ticket in and make copies to spread around. If you wish to know more about the Obama citizenship issue, go here:
http://theobamafile.com/ObamaLatest.htm




Why is the "Birth Announcement" for a "New World Order" on our Dollar?


  • What IS the New World Order?
  • Has Congress debated it?
  • Is it something we want?
  • Who owns our money anyway?
  • Where is our government quietly leading us?
Reams and reams of evidence is mounting to suggest we are being led step by step into a One World System where we lose sovereignty as a nation and we lose the inalienability of our rights. Combined, those losses mean we would be subjects of the World Government, and no longer free. Our Constitution would be lost for good.

Evidence also suggests most of the mechanisms to bring about World Government are in place, merely awaiting a major catastrophic event for implementation. Such an event could occur at any time, it being a financial collapse or another 911. Evidence is strong enough to transport the notion from the realm of "Conspiracy Theory" to the here and now reality of main stream concern and ACTION, which is what this blog is about.

This blog is not intended as a place to hash out all the many bits of evidence. References will be given for those who are just beginning to notice the dark underbelly of our government. One thing is undeniable. When the many pieces of evidence are put together into one big picture, it is clear something is amiss in Washington which appears to menace our very liberty. That is not something to shrug off and hope someone "fixes" it. The ones entrusted with guarding our liberty AND our Constitution are either blissfully ignorant or are bought by those who wish to deny us our liberty.

When the evidence is put together in one package and the money trail is followed, all roads lead to the private banks which control most of the world's currencies, including the dollar. These PRIVATE Banks are the Nation's Banks, such as our Federal Reserve, all of which have direct tie-ins with the World Bank.

Upon examination of the Federal Reserve, a private bank, we find an overtly UN-constitutional monetary system in which a private bank loans us our "money" (certificates of debt) for which we will never pay the interest. Never. Recent "bailouts" simply added to our debt trillions of dollars by some estimates. To be brief, a private bank will eventually own America, and when the trails of New World Order are traveled, one finds the World Bank, which controls the Fed. "One World Ownership" may be a better name for it.

So why IS the birth announcement for a New World Order on our Dollar? Is it some sort of a sick joke on the American people by powerful money changers who seek world domination? That is not a far fetched question to ask, and middle America needs to start asking. That is what this blog is about; waking up middle America before she is roused by a financial collapse or another 911 and demands tyranny in order to "fix" things.

Many thousands of patriots are declaring "war" on the U.S. House of "Representatives", a paperwar. It is Congress which facilitates the unconstitutional monetary system, and a bill is before the House Financial Services Committee which will return us to Constitutional Monetary Policy as well as expose any "New World Order" shenanigans. Our liberty is too valuable and too tenuous to allow this opportunity a pass. Our objective is to fill the offices of the "House" with millions of Constitutional VIOLATION Tickets for ignoring OUR law which states currency is to be regulated by Congress and is to be backed by gold.

The bill under consideration is the Ron Paul "Federal Reserve Board Abolition Act". The next key date is Feb. 23, 2009. The time to act is now. The committee will allow the bill to die unless WE speak up. It is important that all Americans are aware of this issue, for our liberty may very well be on the line.

Tickets have been customized for each Congressional District and are available for download here:
www.scribd.com/people/view/4975153-fireant
Find your state by clicking on "See all folders". Also, be sure to download one of the "Ticket Backs" to print on the reverse side of the Ticket, or to email. Simply download and either print or copy/paste to your email message. The object is to get HARD COPY on the street. The two sided Ticket can be tri-folded into a complete "wakeup"tool.

There is plenty of information here on subjectseek, and here is a particularly good place to learn more about the Ron Paul bill:
http://subjectseek.com/blogs/92/The-Federal-Reserve-Abolition-Act-.html

For more information about the Federal Reserve, visit this site:
http://www.abolishthefederalreserve.com/?page_id=18

Here is a great introductory documentary by Aaron Russo titled "America: Freedom to Fascism":
video.google.com/videoplay?docid=-1656880303867390173

Let's fill the "House" up with Violations, and find out why "New World Order" is on our dollar. Opening shot in thepaperwar is Jan. 02, 2009.


Ellen Brown has summed it up perfectly in Web Of Debt!

Bernie Madoff showed us how it was done: you induce many investors to invest their money, promising steady above-market returns; and you deliver – at least on paper. When your clients check their accounts, they see that their investments have indeed increased by the promised amount. Anyone who opts to pull out of the game is paid promptly and in full. You can afford to pay because most players stay in, and new players are constantly coming in to replace those who drop out. The players who drop out are simply paid with the money coming in from new recruits. The scheme works until the market turns and many players want their money back at once. Then it’s game over: you have to admit that you don’t have the funds, and you are probably looking at jail time.

A Ponzi scheme is a form of pyramid scheme in which earlier investors are paid with the money of later investors rather than from real profits. The perpetuation of the scheme requires an ever-increasing flow of money from investors in order to keep it going. Charles Ponzi was an engaging Boston ex-convict who defrauded investors out of $6 million in the 1920s by promising them a 400 percent return on redeemed postal reply coupons. When he finally could not pay, the scam earned him ten years in jail; and Bernie Madoff is likely to wind up there as well.

Most people are not involved in illegal Ponzi schemes, but we do keep our money in accounts that are tallied on computer screens rather than in stacks of coins or paper bills. How do we know that when we demand our money from our bank or broker that the funds will be there? The fact that banks are subject to “runs” (recall Northern Rock, Indymac and Washington Mutual) suggests that all may not be as it seems on our online screens. Banks themselves are involved in a sort of Ponzi scheme, one that has been perpetuated for hundreds of years. What distinguishes the legal scheme known as “fractional reserve” lending from the illegal schemes of Bernie Madoff and his ilk is that the bankers’ scheme is protected by government charter and backstopped with government funds. At last count, the Federal Reserve and the U.S. Treasury had committed $8.5 trillion to bailing out the banks from their follies.1 By comparison, M2, the largest measure of the money supply now reported by the Federal Reserve, was just under $8 trillion in December 2008.2 The sheer size of the bailout efforts indicates that the banking scheme has reached its mathematical limits and needs to be superseded by something more sustainable.

Penetrating the Bankers’ Ponzi Scheme

What fractional reserve lending is and how it works is summed up in Wikipedia as follows:

“Fractional-reserve banking is the banking practice in which banks keep only a fraction of their deposits in reserve (as cash and other liquid assets) with the choice of lending out the remainder, while maintaining the simultaneous obligation to redeem all deposits immediately upon demand. This practice is universal in modern banking. . . .The nature of fractional-reserve banking is that there is only a fraction of cash reserves available at the bank needed to repay all of the demand deposits and banknotes issued. . . . When Fractional-reserve banking works, it works because:

“1. Over any typical period of time, redemption demands are largely or wholly offset by new deposits or issues of notes. The bank thus needs only to satisfy the excess amount of redemptions.

“2. Only a minority of people will actually choose to withdraw their demand deposits or present their notes for payment at any given time.

“3. People usually keep their funds in the bank for a prolonged period of time.

“4. There are usually enough cash reserves in the bank to handle net redemptions.

“If the net redemption demands are unusually large, the bank will run low on reserves and will be forced to raise new funds from additional borrowings (e.g. by borrowing from the money market or using lines of credit held with other banks), and/or sell assets, to avoid running out of reserves and defaulting on its obligations. If creditors are afraid that the bank is running out of cash, they have an incentive to redeem their deposits as soon as possible, triggering a bank run.”

Like in other Ponzi schemes, bank runs result because the bank does not actually have the funds necessary to meet all its obligations. Peter’s money has been lent to Paul, with the interest income going to the bank. As Elgin Groseclose, Director of the Institute for International Monetary Research, wryly observed in 1934:

“A warehouseman, taking goods deposited with him and devoting them to his own profit, either by use or by loan to another, is guilty of a tort, a conversion of goods for which he is liable in civil, if not in criminal, law. By a casuistry which is now elevated into an economic principle, but which has no defenders outside the realm of banking, a warehouseman who deals in money is subject to a diviner law: the banker is free to use for his private interest and profit the money left in trust. . . . He may even go further. He may create fictitious deposits on his books, which shall rank equally and ratably with actual deposits in any division of assets in case of liquidation.”3

How did the perpetrators of this scheme come to acquire government protection for what might otherwise have landed them in jail? A short history of the evolution of modern-day banking may be instructive.

The Evolution of a Government-Sanctioned Ponzi Scheme

What came to be known as fractional reserve lending dates back to the seventeenth century, when trade was conducted primarily in gold and silver coins. How it evolved was described by the Chicago Federal Reserve in a revealing booklet called “Modern Money Mechanics” like this:

“It started with goldsmiths. As early bankers, they initially provided safekeeping services, making a profit from vault storage fees for gold and coins deposited with them. People would redeem their "deposit receipts" whenever they needed gold or coins to purchase something, and physically take the gold or coins to the seller who, in turn, would deposit them for safekeeping, often with the same banker. Everyone soon found that it was a lot easier simply to use the deposit receipts directly as a means of payment. These receipts, which became known as notes, were acceptable as money since whoever held them could go to the banker and exchange them for metallic money.

“Then, bankers discovered that they could make loans merely by giving their promises to pay, or bank notes, to borrowers. In this way, banks began to create money. More notes could be issued than the gold and coin on hand because only a portion of the notes outstanding would be presented for payment at any one time. Enough metallic money had to be kept on hand, of course, to redeem whatever volume of notes was presented for payment.

“Transaction deposits are the modern counterpart of bank notes. It was a small step from printing notes to making book entries crediting deposits of borrowers, which the borrowers in turn could ‘spend’ by writing checks, thereby ‘printing’ their own money.”

If a landlord had rented the same house to five people at one time and pocketed the money, he would quickly have been jailed for fraud. But the bankers had devised a system in which they traded, not things of value, but paper receipts for them. It was called “fractional reserve” lending because the gold held in reserve was a mere fraction of the banknotes it supported. The scheme worked as long as only a few people came for their gold at one time; but investors would periodically get suspicious and all demand their gold back at once. There would then be a run on the bank and it would have to close its doors. This cycle of booms and busts went on throughout the nineteenth century, culminating in a particularly bad bank panic in 1907. The public became convinced that the country needed a central banking system to stop future panics, overcoming strong congressional opposition to any bill allowing the nation’s money to be issued by a private central bank controlled by Wall Street. The Federal Reserve Act creating such a “bankers’ bank” was passed in 1913. Robert Owens, a co-author of the Act, later testified before Congress that the banking industry had conspired to create a series of financial panics in order to rouse the people to demand “reforms” that served the interests of the financiers.4

Despite this powerful official backstop, however, the greatest bank run in history occurred only twenty years later, in 1933. President Roosevelt then took the dollar off the gold standard domestically, and Federal Reserve officials resolved to prevent further bank runs after that by flooding the banking system with “liquidity” (money created as debt to banks) whenever the banking Ponzi scheme came up short.

“Too Big to Fail”: The Government Provides the Ultimate Backstop

When these steps too proved insufficient to keep the banking scheme going, the government itself stepped up to the plate, providing bailout money directly from the taxpayers. The concept that some banks were “too big to fail” came in at the end of the 1980s, when the Savings and Loans collapsed and Citibank lost 50 percent of its share price. Negotiations were conducted behind closed doors, and “too big to fail” became standard policy. Bank risk was effectively nationalized: banks were now protected by the government from loss regardless of risk-taking or bad management.

There are limits, however, to the amount of support even the government’s deep pocket can provide. In the past two decades, the bankers’ lending scheme has been kept going by an even more speculative scheme known as “derivatives.” This is a complex subject that has been explored in other articles, but the bottom line is that more dollars are now owed in the derivatives casino than exist on the planet. (See Ellen Brown, “It’s the Derivatives, Stupid!” and “Credit Default Swaps: Derivative Disaster Du Jour,” www.webofdebt.com/articles.)  Attempting to fill the derivatives black hole with taxpayer money must inevitably be at the expense of other essential programs, such as Social Security and Medicare.

Interestingly, Social Security and Medicare themselves are in some sense Ponzi schemes, since earlier retirees collect their benefits from the contributions of later workers. These programs, too, may soon be facing bankruptcy, in this case because their mathematical models failed to account for a huge wave of Baby Boomers who would linger longer than previous generations and demand expensive drugs and care through their senior years, and because the fund money has have been drawn on by the government for other purposes. The question here is, should the government be backstopping private banks that have mismanaged their investment portfolios at the expense of workers contractually entitled to a decent retirement from a fund they have paid into all their working lives? The answer, of course, is no; but there may be a way that the government could do both. If it were to nationalize the banking system completely – if the government were to assume not just the banks’ losses but their profits, oversight and control – it might have the funds both to maintain Social Security and Medicare and to provide a sustainable credit mechanism for the whole economy.

Replacing Private with Public Credit

Readily available credit has made America “the land of opportunity” ever since the days of the American colonists. What has transformed this credit system into a Ponzi scheme that must continually be propped up with bailout money is that the credit power has been turned over to private parties who always require more money back than they create in the first place. Benjamin Franklin reportedly explained this defect in the eighteenth century. When the directors of the Bank of England asked what was responsible for the booming economy of the young colonies, Franklin explained that the colonial governments issued their own money, which they both lent and spent into the economy:

“In the Colonies, we issue our own paper money. It is called ‘Colonial Scrip.’ We issue it in proper proportion to make the goods pass easily from the producers to the consumers. In this manner, creating ourselves our own paper money, we control its purchasing power and we have no interest to pay to no one. You see, a legitimate government can both spend and lend money into circulation, while banks can only lend significant amounts of their promissory bank notes, for they can neither give away nor spend but a tiny fraction of the money the people need. Thus, when your bankers here in England place money in circulation, there is always a debt principal to be returned and usury to be paid. The result is that you have always too little credit in circulation to give the workers full employment. You do not have too many workers, you have too little money in circulation, and that which circulates, all bears the endless burden of unpayable debt and usury.”

In an article titled “A Monetary System for the New Millennium,” Canadian money reform advocate Roger Langrick explains his concept in contemporary terms. He begins by illustrating the mathematical impossibility inherent in a system of bank-created money lent at interest:

“[I]magine the first bank which prints and lends out $100. For its efforts it asks for the borrower to return $110 in one year; that is it asks for 10% interest. Unwittingly, or maybe wittingly, the bank has created a mathematically impossible situation. The only way in which the borrower can return 110 of the bank’s notes is if the bank prints, and lends, $10 more at 10% interest . . . . The result of creating 100 and demanding 110 in return, is that the collective borrowers of a nation are forever chasing a phantom which can never be caught; the mythical $10 that were never created. The debt in fact is unrepayable. Each time $100 is created for the nation, the nation’s overall indebtedness to the system is increased by $110. The only solution at present is increased borrowing to cover the principal plus the interest of what has been borrowed.”

The better solution, says Langrick, is to allow the government to issue enough new debt-free dollars to cover the interest charges not created by the banks as loans:

“Instead of taxes, government would be empowered to create money for its own expenses up to the balance of the debt shortfall. Thus, if the banking industry created $100 in a year, the government would create $10 which it would use for its own expenses. Abraham Lincoln used this successfully when he created $500 million of ‘greenbacks’ to fight the Civil War.”

National Credit from a Truly National Banking System

In Langrick’s example, a private banking industry pockets the interest, which must be replaced every year by a 10 percent issue of new Greenbacks; but there is another possibility. The loans could be advanced by the government itself. The interest would then return to the government and could be spent back into the economy in a circular flow, without the need to continually issue more money to cover the interest shortfall.

The fractional reserve Ponzi scheme is bankrupt, and the banks engaged in it, rather than being bailed out by its victims, need to be put into a bankruptcy reorganization under the FDIC. The FDIC then has the recognized option of wiping their books clean and taking the banks’ stock in return for getting them up and running again. This would make them truly “national” banks, which could dispense “the full faith and credit of the United States” as a public utility. A truly national banking system could revive the economy with the sort of money only governments can issue – debt-free legal tender. The money would be debt-free to the government, while for the private sector, it would be freely available for borrowing at a modest interest by qualified applicants. A government-owned bank would not need to rob from Peter to advance credit to Paul. “Credit” is just an accounting tool – an advance against future profits, or the “monetization” (turning into cash) of the borrower’s promise to repay. As British commentator Ron Morrison observed in a provocative 2004 article titled “Keynes Without Debt”:

“[Today] bank credit supplies virtually all our everyday means of exchange, and this brings into sharp focus the simple fact that modern money is no longer constrained by outmoded intrinsic values. It is pure fiat [enforced by law] and simply a glorified accounting system. . . . Modern monetary reform is about displacing the current economic paradigm of ‘what can be afforded’ with ‘what we have the capacity to undertake.’”5

The objection to government-issued money has always been that it would be inflationary, but today some “reflating” of the economy could be a good thing. Just in the last year, more than $7 trillion in purchasing power has disappeared from the money supply, including wealth destruction in real estate, stocks, mutual fund shares, life insurance and pension fund reserves.6 Money is evaporating because old loans are defaulting and new loans are not being made to replace them.

Fortunately, as Martin Wolf noted in the December 16 Financial Times, “Curing deflation is child’s play in a ‘fiat money’ – a man-made money – system.” The central banks just need to get money flowing into the economy again. Among other ways they could do this, says Wolf, is that “they might finance the government on any scale they think necessary.”7

Rather than throwing money at a failed private banking system, public credit could be redirected into infrastructure and other projects that would get the wheels of production turning again. The Ponzi scheme in which debt is just shuffled around, borrowing from one player to pay another without actually producing anything of real value, could be replaced by a system in which the national credit card became an engine for true productivity and growth. Increased “demand” (money) would come from earned wages and salaries that would increase “supply” (goods and services) rather than merely servicing a perpetually increasing debt. When supply keeps up with demand, the money supply can be increased without inflating prices. In this way the paradigm of “what we can afford” could indeed be superseded by “what we have the capacity to undertake.”

Vincent Gioia hits it on the head!
As American taxpayers bear the burden of bankrolling multiple financial scams now and into the foreseeable future, the Federal Reserve has refused to disclose the names of recipients or details of assets put up as collateral on two trillion dollars of "emergency" loans given to address the "financial emergency" rushed through congress. The Federal Reserve Bank responded to Bloomberg by saying it's allowed to withhold internal memos as well as other information requested by Bloomberg.

This display of arrogance of power is unprecedented. The government wants taxpayers to take its word for how it's spending an enormous amount of money. How gullible does the Federal Reserve think the American people are; the answer, very gullible or they wouldn't have gotten away with the scam.

What started as $700 billion has grown to $2 trillion. Total Federal Reserve lending exceeded $2 trillion for the first time November 6. It rose by 138 percent, or $1.23 trillion, in the 12 weeks since September 14, when central bank governors relaxed collateral standards to accept securities that weren't rated AAA. House Financial Services Committee Representative David Scott, a Georgia Democrat, said Americans had "been bamboozled." Congress may have been bamboozled but it is the American taxpayer who is left holding the bag because of congressional incompetence.

Federal Reserve Bank Chairman Ben Bernanke and Treasury Secretary Henry Paulson said in September they would provide transparency in the $700 billion bailout of the banking system; they also said the money would be used to buy up "toxic mortgages" but the rules changed immediately after Congress gave Bernanke total discretion to distribute the billions of dollars. So now all that Americans can do is complain. Americans have short memories so it is doubtful voters will remember this fiasco in the 2010 congressional elections.

The chances are that the so-called asset-back securities and other paper tied to leveraged buyouts are consumer debt and who knows what other kinds of garbage lies on the banks balance sheets. Yet the Federal Reserve still wants to protect the identities of the banks that are essentially continuing to thrive and expand by buying other banks with American taxpayers' money. That's outrageous.

"Notwithstanding calls for enhanced transparency, the Board must protect against the substantial, multiple harms that might result from disclosure," Jennifer J. Johnson, the secretary for the Federal Reserve Board of Governors, said in a letter e-mailed to Bloomberg News. "In its considered judgment and in view of current circumstances, it would be a dangerous step to release this otherwise confidential information," she wrote.

Oh really? Maybe the people who provide the cash should get to be the judge of that. And in any case, who, exactly, will be endangered?

Dangerous - for whom? And what is the danger? You mean some fat cats might lose their jobs or their homes? Or some bankers might have to pay more dues for their country clubs?

Congress has put two trillion dollars, about 1/20 of world GDP, under the control of one man, with no checks and no accountability, and we don't know where the money went, or to whom. What we do know is that there has been no visible improvement of the financial problems all this money was supposed to correct. What we can assume is that it's going to the very same people who caused the problem; they will be the ones benefiting. Does this sound like Constitutional government to you? To me, it sounds like a financial dictatorship.

You think Madoff's $50 billion fraud was something? He's a piker compared to these guys.

The Federal Reserve responded to Bloomberg's law suit by saying that there is a trade-secret exemption in the Freedom of Information Act that could be expanded to include potential harm to any of the central bank's customers. But Bruce Johnson, a lawyer at Davis Wright Tremaine LLP in Seattle, said that expansion is not contained in the freedom-of- information law.

Furthermore, Trade secrets? A trade secret is something like the formula for Coca Cola. A trade secret is an unpatented business or technical process the release of which would harm the competitive position of the holder. I can't imagine what sort of "trade secrets" might apply to the acquisition of bad debt from poorly managed financial institutions.

The Federal Reserve Bank is a "private" organization, and is NOT a U.S. government agency or entity. Remember how Congress approved about $700 billion but did not require oversight to actually give the money out? This is what happens when you have a for-profit institution that has absolutely ZERO congressional oversight or transparency requirements. And yet people still think the Federal Reserve Bank is a good idea.

The Democrats are in charge and Democrat representative Barney Frank is Chairman of the House Financial Services Committee. In an interview November 6, Barney Frank said "The Fed's disclosure is sufficient and the risk the central bank is taking on is appropriate in the current economic climate." Barney Frank said he has discussed the program with Timothy F. Geithner, president and chief executive officer of the Federal Reserve Bank of New York. "I talk to Geithner and he was pretty sure that they're OK. If the risk is that the Fed takes a little bit of a haircut, well that's regrettable.'' - "Such losses would be acceptable if the program helps revive the economy."

Barney Frank said the Fed shouldn't reveal the assets it holds or how it values them because of the "delicacy with respect to pricing.'' He said such disclosure would "give people clues to what your pricing is and what they might be able to sell us and what your estimates are.'' He wouldn't say why he thought that information would be problematic.

This is who we have "protecting the public interest."

People seem to forget that those who run the United States government are nothing more than stewards and representatives for the American people. When the President and Congress spend money causing astronomical massive debt they ignore that it is not their personal debt but the collective debt of the American people which is now well over 12 TRILLION DOLLARS and counting.

The so called representatives of the American people in our government just gave out 2 trillion dollars to bailout failing and inefficient private corporations and yet are refusing to specify to the American taxpayers exactly WHO they gave all of our money to in these bailouts; Americans should not stand for it.

On June 15, 2007, Ron Paul introduced HR 2755: Federal Reserve Abolition Act. There were no co-sponsors, no further action was taken, and the legislation was referred to the House Committee on Financial Services and effectively pigeonholed and ignored.

It’s a bold and needed measure to “abolish the Board of Governors of the Federal Reserve System and the Federal reserve banks, to repeal the Federal Reserve Act, and for other purposes.”

The bill provides for management of employees, assets and liabilities of the Board during a dissolution period, and more as follows:

– it designates the Director of the Office of Management and Budget to liquidate Fed assets in an orderly and expeditious manner;

– transfer them to the General Fund of the Treasury after satisfying all claims against the Board and any Federal reserve bank;

– assume all outstanding Board and member bank liabilities and transfer them to the Secretary of the Treasury; and

– after an 18-month period, submit a report to Congress “containing a detailed description of the actions taken to implement this Act and any actions or issues relating to such implementation that remain uncompleted or unresolved as of the date of the report.”

On November 22, “End the Fed” protests were held in 39 or more cities nationwide (including New York, Chicago, Los Angeles and Washington, DC), but you’d hardly know it for lack of coverage. Attendee demands were simple and emphatic:

– end a private banking cartel’s illegal monopoly control over the nation’s money supply and price;

– return that power to the US Treasury as the Constitution mandates;

– end a fiat currency system backed by the waning full faith and credit of the government; and

– return the country to a sound, hard currency monetary system.

“End the Fed! Sound Money for America!” is their slogan, and writer and US policy critic Webster Tarpley puts it well:

“….the privately owned central bank….has been looting and wrecking the US economy for almost a hundred years. We must end a system where unelected, unaccountable cliques of bankers and financiers loyal to names like Morgan, Rockefeller, and Mellon set interest rates and money supply behind closed doors, leading to de-industrialization, mass impoverishment, and a world economic and financial depression of incalculable severity.”

In theory, the Fed was established to stabilize the economy, smooth out the business cycle, manage a healthy, sustainable growth rate, and maintain stable prices. In fact, it failed dismally. It contributed to 19 US recessions (including the Great Depression) and significantly to the following equity market declines that accompanied them as measured by the Dow or S & P 500 average - the S &P’s inception was 1923; it became the S & P 500 in 1957:

– 40.1% (Dow) from 1916 - 1917;

– 46.6% (Dow) from 1919 - 1921;

– the 1929 (Dow) crash in two stages - 47.9% in 1929 followed by a strong, temporary rebound; then - 86%; an 89% peak to trough total from October 1929 to July 1932;

– 49.1% (Dow) from 1937 - 1938;

– 40.4% (Dow) from 1939 - 1942;

– 25.3% (S & P) from 1946 - 1947;

– 19.8% (S & P) in 1957;

– 26.8% (S & P) from 1961 - 1962;

– 19.3% (S & P) in 1966;

– 32.7% (S & P) from 1968 - 1970;

– 45.1% (S & P) from 1973 - 1974;

– 20.2% (S & P) from 1980 - 1982;

– 32.9% (S & P) in 1987;

– 19.2% (S & P) in 1990;

– 18.8% (S & P) in 1998;

– 49.1% (S & P) from 2000 - 2002; and

– about 50% (S & P) and counting (excluding a bear market rebound) from October 2007.

The Fed is also directly responsible for monetary inflation and the decline in the US standard of living since its year end 1913 inception and especially since the 1970s. From the late 18th century to 1913, virtually no inflation existed under the gold standard except during times of war. Using government data, it now takes over $2000 to equal $100 of pre-Fed purchasing power. In other words, a 1913 dollar is worth about a nickel today.

At that time, a dollar was defined as 1/20 of an ounce of gold or about an ounce of silver. The Fed then changed the standard away from precious metals to the full faith and credit of the government. Ever since (except for periods such as the 1930s) inflation eroded the currency’s value and (more than ever) continues to do it today.

It’s why one analyst calls the dollar “nothing more than a popular symbol for the tangible substances it once represented - gold and silver.” Its true value represents the world’s waning confidence in America’s ability to honor its debt obligations, and with good reason.

Under the Federal Reserve System (besides inflation), we’ve had rising consumer debt; record budget and trade deficits; a soaring national debt; a high level of personal and business bankruptcies; today, millions of home foreclosures; high unemployment; the loss of the nation’s manufacturing base; growing millions in poverty; an unprecedented wealth gap between the rich and all others; and a hugely unstable economy now lurching into crisis mode.

In a November 24 Wall Street Journal op-ed, Hong Kong-based author and equity strategist Christopher Wood believes “The Fed Is Out of Ammunition.” With trillions in personal wealth erased, “there is little doubt that we are witnessing a classic debt-deflation bust at work, characterized by falling prices, frozen credit markets and plummeting asset values.”

He notes how “over-investment and over-speculation” on borrowed money got us here. Today, the Fed can control the supply of money but not its velocity or the rate it turns over. The current collapse set it in reverse with no signs of an impending turnaround.

Wood believes monetary and fiscal measures won’t work. There are no easy solutions - “not as long as politicians and central bankers (won’t) let financial institutions fail,” and let market forces wash out excesses over time.

The Fed and Treasury will spend trillions of dollars to correct things, “but will merely compound (the problem) by adding debt to debt.” The current crisis will end up “discrediting mechanical monetarism - and with it the fiat paper-money system….The catalyst will be foreign creditors fleeing the dollar for gold. That will in turn lead to global recognition of the need for a vastly more disciplined global financial system” with gold very likely playing a part.

Absent a hard money currency has led to the kind of monetary madness that Nouriel Roubini calls “crazy” policy actions - an explosion of quantitative easing in the trillions with no end of it in sight.

Roubini: “The Fed Funds rate has been abandoned…as we are already effectively at (zero interest rates) that signal a liquidity trap….Even (a sharp) fall in mortgage rates….will be of small comfort to debt burdened households as only those (that) qualify for refinancing will be able to” net out a “modest” monthly mortgage saving of about $150.

The Fed’s “desperate policy actions….will eventually lead to much higher real interest rates on the public debt and weaken the US dollar (the result of a) tsunami of implicit and explicit public liabilities and monetary debt.” It will get foreign investors to “ponder the long-term sustainability of the US domestic and external liabilities,” and why not. They keep growing exponentially, and with nothing restraining a runaway Fed, dollar debasing may continue to the point where no one will want to hold them. It’s gotten some analysts to recommend moving a portion of savings out of them into gold - the ultimate safe haven in times of crisis.

Abolish the Fed and Return the Nation’s Money Creation Power to Congress Where It Belongs

Ron Paul has been in the vanguard of the Abolish the Fed movement, and on September 10, 2002 on the House floor said:

“Since the creation of the Federal Reserve, middle and working-class Americans have been victimized by a boom-and-bust monetary policy. In addition, most Americans have suffered a steadily eroding purchasing power because of the Federal Reserve’s inflationary policies. This represents a real, if hidden, tax imposed on the American people….”

“It is time for the Congress to put the interests of the American people ahead of the special interests. Abolishing the Federal Reserve will allow Congress to reassert its constitutional authority over monetary policy.”

“Abolishing the Federal Reserve and returning to a constitutional system (as mandated) will enable America to return to the type of monetary system envisioned by our nation’s founders: one where the value of money is consistent because it is tied to a commodity such as gold….I urge my colleagues (to co-sponsor) my legislation to abolish the Federal Reserve.”

Paul introduced his legislation in the 106th, 107th, 108th, and 110th Congresses. Each time, it died in committee. On November 22, he attended the End the Fed rally in Houston and addressed the crowd.

He called the current economic crisis as bad or worse than in the 1930s and said: “we know who caused it. It was the Federal Reserve that gave us all this trouble.” He explained that we had a “free ride for decades because we’ve had a system that was devised where the dollar could act as if it were gold.”

Not after August 1971 when Nixon closed the gold window, ended the 1944 Bretton Woods Agreement, and no longer let dollars be backed by gold or converted into it in international markets. A “new economic system” was created. It let us “spend beyond our means, live beyond our means, print money beyond our means,” and it caused our current dilemma.

We created “an appearance of great wealth. But it was doomed to fail,” and it became apparent in the past year: “the failure of the dollar reserve standard that was set up in August of 1971. It has ended. The only question” is what will replace it?

There’s all kinds of talk, including setting up a new international fiat currency “with the loss of US sovereignty in total. We have to stop this move towards one world government and a one world currency.” Otherwise our freedom and Constitution will be lost. When it was written, it contained prohibitions.

Article I, Section 8 gives Congress alone the right to coin (create) money and regulate the value thereof. The founders also wanted gold and silver to be legal tender, not fiat money, nor should there be a central bank. In 1935, the Supreme Court ruled that Congress cannot constitutionally delegate this power to another body. By creating the Federal Reserve System in 1913, Congress violated the Constitution it was sworn to uphold and defrauded the American public. Today’s crisis is the fruit of its action, but watch out.

“The writing is on the wall, and the end of this system” approaches. “They cannot patch it up, they can’t up it back together again. They know it and we know it. The only argument is what is it going to be replaced with?”

For now, “Central banks in the West especially have been dumping gold to artificially lower (its price) to pretend the dollar is of great value. They’re still doing it, but they’re running out of time (and) out of gold.” It’s shifting to stronger economic powers, ones who’ve been saving money, loaning it back to us, “and are ready to buy up America if we continue to do this. So it is a contest (between fiat) money and hard money, and that is such an important issue.” It reflects what Daniel Webster once said:

“There can be no legal tender in this country….but gold and silver. This is a constitutional principle….of the very highest importance.” Gold, however, wasn’t the original monetary system standard. Silver was, the silver dollar, and only a constitutional amendment can change it.

Paper currency as well, whether backed by gold or not, wasn’t the hard money authorized by the Constitution. Honest money is honest weights and measures of silver and gold. Federal Reserve Notes are paper fiat debt obligations. Fiat currency of any kind is a mechanism of wealth transference from the public to a privileged elite - through inflation and loss of purchasing power. It creates debt for the many and wealth for the few, especially when a private banking cartel controls it.

Our existing monetary system combines money, credit and debt into a dishonest system of empty promises in exchange for future ones. There is no eventual payment, only unfulfillable assurances to new generations that will be forced to pay for the debt now accumulated. It’s a moneychangers dream - ever-expanding debt and a continuing interest rate stream, masquerading as wealth creation for the people. It’s in fact a system of bondage and indebtedness benefitting the few at the expense of the many, a modern-day feudalism. It’s how an elite 1% got to own 70% of the nation’s wealth.

In the 1920s, Josiah Stamp, Bank of England president said:

“Banking was conceived in iniquity and was born in sin. Bankers own the earth. Take it away from them, but leave them the power to create deposits, and with a flick of the pen (today a computer keyboard) they will create enough deposits to buy it back again. However, take it away from them, and all the great fortunes like mine will disappear, and they ought to disappear, for this would be a happier and better world to live in. But if you wish to remain the slaves of Bankers and pay the cost of your own slavery, let them continue to create deposits.”

Creating the Federal Reserve System to let bankers and not the government control the price and amount of fiat money debased the currency and is the root cause of today’s financial problems. A return to honest gold and silver weights and measures is needed. The Constitution states that nothing but these metals are money and that paper bills of credit (like Federal Reserve notes) aren’t allowed. Even ones backed by gold as the Constitution doesn’t grant Congress the power to be bankers. It may only coin (create) and borrow money, not loan it out or give it away - and certainly not to bankers at the expense of the public interest.

Further, the Constitution contains no provision allowing Congress to enact legal tender laws. Article I, Section 10 forbids the individual states from making “anything but gold and silver coin a legal tender in payment of debts.” However, US Code, 31 USC 5103, establishes US coins and currency, including Federal Reserve notes, as legal tender and has been used to debase the currency ever since - the way Gresham’s Law works: bad (or debased) money drives out good (the kind with little difference between its nominal and commodity values).

For example, until 1964, US coins (except pennies and nickels) contained 90% silver. Starting in 1965, dimes and quarters were converted to their current nickel - copper composition. Half-dollars (now produced in limited quantities) had 90% silver. It then dropped to 40% in 1965 and by 1971 all US coins (except pennies and commemorative mintings) contained nickel and copper and no silver - a good example of debasing. As for paper currency, it’s just paper.

Under a private banking cartel’s control, it’s been misused, stolen, and corrupted the way New York Times columnist Floyd Norris suggests in his November 24 article headlined: “Another Crisis, Another Guarantee.” First the banks, then the auto companies, and who knows who’s next in line for theirs. “As the nation’s obligations rise into the trillions, at some point investors (and the public) may begin to question whether a government running huge deficits can also credibly promise that the dollar will not lose its value.” How can there be any faith and credit left when it’s vanishing and the Fed and Treasury operate like giant hedge funds.

It got UK-based Eclectica Asset Management chief investment officer, Hugh Hendry, concerned enough to say: “All (US) financials will be owned by the government in a year. I bet you. It’s not good,” but it’s coming. US taxpayers will be “paying for this for a long time,” and it’s deeply concerning considering the amount of money creation - with no end in sight as problems keep mounting and limitless amounts keep being thrown at them.

On November 25 the Financial Times associate editor, Wolfgang Munchau, also worries about the Fed’s “weapon of mass desperation” (so-called quantitative easing); focusing only on deflation and risking a currency crisis. He calls it a flawed, dangerous and shocking oversight - the possibility of “a mass flight out of dollar assets (at some point) and a large rise in US market interest rates, followed by a huge recession.”

A Bloomberg.com November 24 headline highlights the problem: “US Pledges Top $7.7 trillion to Ease Frozen Credit,” and it might as well have said there’s plenty more where that came from if needed. With another $800 committed to two new loan programs the total reached $8.5 trillion, according to Bloomberg or nearly 60% of US 2007 GDP of $14 trillion, and the numbers keep rising exponentially because the problems continue to mount.

Bloomberg puts it in perspective saying “the (current) commitment dwarfs (TARP and puts) Federal Reserve lending last week (at) 1900 times the weekly average for the three years before the crisis,” and with the added $800 billion it’s about 2100 times pre-crisis levels.

In addition, the Fed refuses to identify recipients of about $2 trillion of emergency handouts or what troubled assets (if any) it’s accepting as collateral. Call it lending or spending. They’re public tax dollars being spread around like confetti and debasing it all as a result.

The Free Lakota Bank

On November 21, this writer discussed how Lakotahs are treated in an article titled “Fate of Lakotahs Highlights America’s Failed Native American Policies.” On November 24, the following press release and follow-up information announced:

“People of Lakota Launch Private Bank for Only Silver and Gold Currencies.” All deposits are “liquid, meaning they can be withdrawn at any time in minted rounds. Some may confuse our economic system with isolationism….which it is not. Since we currently produce much more than we consume, we have the right to decide what medium of exchange to accept for our effort. And so we accept only value for value. Across our great land, over thousands of tribes and merchants participate in our system of trade. We invite others to trade with us and bring value back into our transactions.”

This is the world’s first non-reserve, non-fractional bank that accepts only silver and gold currencies for deposit. The Lakotas “invite people of any creed, faith or heritage to unite in an effort to reclaim control of wealth. It is our hope that other tribal nations and American citizens recognize the importance of silver and gold as currency and decide to mirror our system of honest trade.”

The bank states that it issues, circulates and accepts for deposit “only AOCS - Approved silver and gold currencies.” It calls paper not real money but “merely a promise to pay - a mortgage on wealth that does not exist, backed by a gun aimed at those who are expected to produce it. Since we deal only in real money, we do not participate in any central bank looting schemes.” When corruption is rewarded and “honesty becom(es) self-sacrifice….you may know that your society is doomed.” Even as victims of adversity, Lakotas are working to prevent it.

End the Fed

Privatized money control is the single greatest threat to democratic freedom. As former lawyer, economist, academic, and Canadian prime minister (from 1935 - 1948) William Lyon Mackenzie King once said:

“Until the control of the issue of currency and credit is restored to government and recognized as its most conspicuous and sacred responsibility, all talk of sovereignty of Parliament and of democracy is idle and futile….Once a nation parts with control of its credit, it matters not who makes (its) laws….Usury once in control will wreck any nation,” and indeed it has, far more now than ever.

It worried Thomas Jefferson enough to call banking institutions “more dangerous to our liberties than standing armies” at a much simpler time in our history. The right to create and control money belongs to the people through their elected representatives. For the past 95 years, powerful bankers accountable to no one have had it. They effectively run the country (and own it), and unless We the People change things, we’ll continue to be victimized by economic tyranny and the eventual political kind that’s coming.

Stephen C. Webster reported:

A career Army officer who survived the attacks of Sept. 11, 2001, claims that no evacuation was ordered inside the Pentagon, despite flight controllers calling in warnings of approaching hijacked aircraft nearly 20 minutes before the building was struck.

According to a time-line of the attacks, the Federal Aviation Administration notified NORAD that American Airlines Flight 77 had been hijacked at 9:24 a.m. The Pentagon was not struck until 9:43 a.m.

On behalf of retired Army officer April Gallop, California attorney William Veale has filed a civil suit against former Secretary of Defense Donald Rumsfeld, Vice President Dick Cheney and former US Air Force General Richard Myers, who was acting chairman of the joint chiefs on 9/11. It alleges they engaged in conspiracy to facilitate the terrorist attacks and purposefully failed to warn those inside the Pentagon, contributing to injuries she and her two-month-old son incurred.

“The ex-G.I. plaintiff alleges she has been denied government support since then, because she raised ‘painful questions’ about the inexplicable failure of military defenses at the Pentagon that day, and especially the failure of officials to warn and evacuate the occupants of the building when they knew the attack was imminent” said Veale in a media advisory.

Gallop also says she heard two loud explosions, and does not believe that a Boeing 757 hit the building. Her son sustained a serious brain injury, and Gallop herself was knocked unconscious after the roof collapsed onto her office.

The suit also named additional, unknown persons who had foreknowledge of the attacks.

“What they don’t want is for this to go into discovery,” said Gallop’s attorney, Mr. Veale, speaking to RAW STORY. “If we can make it past their initial motion to dismiss these claims, and we get the power of subpoena, then we’ve got a real shot at getting to the bottom of this. We’ve got the law on our side.”

The lawsuit’s full text follows.

UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF NEW YORK ___

APRIL GALLOP, for Herself and as Mother and Next Friend of ELISHA GALLOP, a Minor, No. _____________

Plaintiff, Jury Trial Demanded

vs.

DICK CHENEY, Vice President of the U.S.A., DONALD RUMSFELD, former U.S. Secretary of Defense, General RICHARD MYERS, U.S.A.F. (Ret.), and John Does Nos. 1– X, all in their individual capacities, Defendants.

__________________________________________

COMPLAINT FOR VIOLATION OF CIVIL RIGHTS, CONSPIRACY, AND OTHER WRONGS

PRELIMINARY STATEMENT

1. This case arises from the infamous Attack on America of Sept 11, 2001, and especially on the Pentagon; and is premised on an allegation of broad complicity in the attack on the part of key U.S. Government officials, beginning with and led from the top by Vice President Dick Cheney, then-Secretary of Defense Donald Rumsfeld, and Richard Myers, then acting Chairman of the Joint Chiefs of Staff. The plaintiffs allege that these and other government officials, whose identities will be ascertained from their proven or evident relevant roles and activities, and who are named herein as ‘John Doe’ defendants, together with other known and unknown operatives and functionaries, official and otherwise, engaged in an unlawful conspiracy, or a set of related, ongoing conspiracies, in which the concrete objective was to facilitate and enable the hijacking of the airliners, and their use as living bombs to attack buildings containing thousands of innocent victims; and then to cover up the truth about what they had done.

2. The defendants’ purpose in aiding and facilitating the attack, and the overall object of the conspirac(ies), was to bring about an unprecedented, horrifying and frightening catastrophe of terrorism inside the United States, which would give rise to a powerful reaction of fear and anger in the public, and in Washington. This would generate a political atmosphere of acceptance in which the new Administration could enact and implement radical changes in the policy and practice of constitutional government in our country. Much of their intention was spelled out prior to their coming into office, in publications of the so-called Project for the New American Century, of which defendants Cheney and Rumsfeld were major sponsors. There they set forth specific objectives regarding the projection of U.S. military power abroad, particularly in Iraq, the Persian Gulf, and other oil-producing areas. They observed, however, that the American people would not likely support the actions the sponsors believed were necessary, without being shocked into a new outlook by something cataclysmic: “a new Pearl Harbor”. By helping the attack succeed, defendants and their cohorts created a basis for the seizure of extraordinary power, and a pretext for launching the so-called Global War on Terror, in the guise of which they were free to pursue plans for military conquest, “full spectrum dominance” and “American primacy” around the world; as they have done.

3. In pursuit of the goals of the conspiracy, the named and unnamed defendants knowingly and by agreement committed a series of acts and omissions which were aimed at and did generally accomplish the following objectives:

+ To permit the men they later identified as the hijackers and any immediate accomplices to enter and remain in the country, and carry out the activities, movements and communications needed in their preparations for the hijacking, free from interference by police or counter-terrorist authorities; and then allow the groups of these men to book passage, all on the same day, and board the flights;

+ To cause normal operation of the regular off-course airline flight interception practice of the US Air Force, in cooperation with civil flight control authorities, to be altered, suspended or disrupted in such a way as to remove its protections, at least on that day, and thus permit three of the four apparently hijacked planes to reach their targets and crash into them (or appear to do so…);1

+ To cause the normal operation of ground and air defenses which guard the Pentagon from external attack to be altered, suspended or disrupted in such a way as to remove or negate the building’s normal protections, and thus permit an airliner, believed to be hijacked by possible suicide bombers, and following a forbidden, descending flight path, to reach the Pentagon undeterred;

+ To cause and arrange for high explosive charges to be detonated inside the Pentagon, and/or a missile of some sort to be fired at the building, at or about the time the wayward airliner supposedly arrived there, to give the false impression that hijackers had crashed the plane into the building, as had apparently happened in New York;

+ To arrange, thereafter, and fabricate, propound and defend, as part of the conspiracy, an elaborate, highly complex and sophisticated cover-up, centering around the Report of the 9/11 Commission, and continuing to this day. To this end, defendants misappropriated the highest authority of government to block, misdirect and otherwise evade any fair, independent investigation of the evidence, and officially if implausibly explain away the evident wholesale failure of America’s defenses with misinformation, omissions and distortions, withheld and destroyed evidence, and outright lies.

4. In the attack on the Pentagon, in particular, plaintiff avers that the official story, that a hijacked plane crashed into the Pentagon and exploded (causing the plaintiff’s injuries), is false. In fact, the bombing was accomplished another way, so as to limit the damage, protect the defendants, and only make it appear that a plane had been crashed into the building. This claim is supported by data from the plane’s supposed “black box”, released by the National Transportation Safety Board (NTSB), which indicate the plane passed over the building at very low altitude, just as an explosion and fireball were engineered by other means, a planted bomb or bombs and/or a missile. This is supported by the lack of any photographic evidence of a wrecked airliner at the Pentagon, compounded by the record of reported refusal by the U.S. Department of Justice to release some 85 video tapes from surveillance cameras in locations at or near the Pentagon, which it has declared exempt from Freedom of Information Act disclosure.

5. Whatever way the bombing of the Pentagon was accomplished, however, and whatever else may or may not have been done by defendants to facilitate the hijackings that day, it is clear the defendant top commanders would have had and did have, at a profound minimum, enough foreknowledge, on that day and in the intelligence information they received beforehand, to have sounded a warning in time for plaintiff and others to evacuate the building, and thereby avoid much if not all the death and injury which occurred. In the end, more than half an hour passed after flight controllers first sounded the alert on Flight 77, while all concerned were fully aware of the suicide crashes in New York; plenty of time for the Pentagon to be evacuated. ‘Top gun’ jet fighter-interceptors under defendants’ command, available with time to spare, were not summoned; and the people in the building, including plaintiff and her infant, were not

warned. This was the result of unlawful conspiracy among these highest-level commanders, and others, who acted knowingly and intentionally to have the Pentagon attacked or to allow it to be attacked, without warning, with deliberate indifference to and in reckless and callous disregard for the fundamental constitutional and human rights of plaintiff and her child, and many other people, dead, injured and bereaved.

6. Plaintiff April Gallop brings this action for herself and as next friend of her son Elisha Gallop now aged 7, who was a two-month-old baby in her arms on that day, her first back from maternity leave. She was a career member of the US Army, a ranking specialist with top secret clearance, who had served six years, two-and-a-half of them in Germany, before being assigned to the Pentagon in 2000. Her desk was roughly 40 feet from the point where the plane allegedly hit the outside wall. As she sat down to work there was an explosion, then another; walls collapsed and the ceiling fell in. Hit in the head, she was able to grab the baby and make her way towards the daylight showing through a blasted opening in the outside wall. There was no airplane wreckage and no burning airplane fuel anywhere; only rubble and dust.

7. Plaintiff and her baby both suffered substantial head and brain injuries, which seriously affect them still today. Plaintiff charges that, because of the conspiracy alleged herein, she and her child and others were injured by acts of terrorism participated in by defendants. Further, as more fully described within at Pars 57-59, she and her child were and subsequently have been denied fundamental rights — including by acts of retaliation against her for raising painful questions about what occurred — as the cover-up continues.

JURISDICTION & VENUE

8. This Court has jurisdiction of this case, as follows:

a. Under the First, Fourth, Fifth and Ninth Amendments to the U.S. Constitution, as applied to federal officials under the rule of Bivens v Six Unknown Named Agents, 403 U.S. 388 (1971); and 28 USC 1331;

b. Under the federal Common Law — given that the most direct occurrences and mechanisms of plaintiffs’ injuries, no doubt including crucial agreements and other communications among various defendants, took place in the Pentagon, a federal enclave — giving plaintiff a right of action in this Court for conspiracy to commit and facilitate actions likely to cause wrongful death, great bodily injury, terror and other loss to plaintiff and others to whom defendants owed a special duty of care; where, instead, defendants acted with reckless and callous disregard for and deliberate indifference to the likelihood of great harm to plaintiff and others, and deprivation of their rights;

c. Under the Terrorism Acts, 18 U.S.Code 2333(a), for acts of terrorism brought about by actions wholly outside the scope of defendants’ duties, in perversion of their authority, and beyond the bounds or color of any law; and therefore not exempt or immune under the provisions of Sec. 2337, the application of which to exonerate these defendants would be unconstitutional.

9. Venue for the case is set by the special provisions of the Air Transportation Safety Act of September, 2001, 49 U.S.C. 40101, Subsection 408(b)(3), bringing all claims arising from events of 9/11 to this honorable Court .

PARTIES

10. Plaintiff APRIL GALLOP is an American citizen, resident of the State of Virginia, a member until this year of the U.S. Army, stationed at the Pentagon on 9/11, claiming for herself and for her minor child, ELISHA GALLOP, who was just two months old on 9/11/01, and was with her when the building was hit. Plaintiff respectfully petitions the Court to appoint her as guardian ad litem for the purposes of this action and related matters.

11. Defendants are DICK CHENEY, the Vice President of the United States; DONALD RUMSFELD, formerly and at relevant times Secretary of Defense of the U.S.; Gen. RICHARD MYERS, then acting chairman of the Joint Chiefs of Staff; all sued in their individual capacities. Additional named, unknown defendants are other persons who were and are co-actors and co-conspirators in sundry phases of the (terrorist) undertaking complained of herein, whose identities, and some of whose precise places or functions in the plot(s) alleged herein are not yet known or fully known, but who certainly include high-ranking members of the Defense Department, the Military, the C.I.A., the F.B.I. and other agencies. Such persons are named and alleged as co-defendants, designated as John Does Nos.1-X and hereby notified of this action, pro tanto, to be identified for the record and impleaded by plaintiffs as the particulars of both culpable and innocent acts and omissions by everyone involved in these events become known.

12. Existence of a Class. Plaintiff notes that a number of other persons suffered injury and loss in the Pentagon on September 11 as she did, and are similarly situated to her, plainly within the provisions of Rule 23, F.R.Civ P., so that she represents a Class, the members of which evidently are also entitled to recover judgment as sought herein. She does not now assert the Class interest; but, where it appears there could be action by the Court affecting this question, and a class could emerge, she wishes to and does hereby reserve the right, subject to the Court’s approval, to act as lead plaintiff.

13. Limitations. There is no time bar to the claims in this action. The Statute does not run against plaintiff’s child, as a minor, under Virginia law (Va. Code Ann., §8.01-229). As to the plaintiff herself, defendants and their cohorts and agents, by means of elaborate planned and other ad hoc cover stories, public lying, alteration of records, misappropriation of official authority and other nefarious activities, have concealed and continue to conceal, fraudulently, the truth about the attacks and the way they occurred — and their own participation and complicity in the range of acts and omissions needed, in furtherance of conspiracy, to bring them about. Likewise, the original conspiracy to act secretly in furtherance of terrorism, and lie and dissemble afterwards, in order to foment war and vengeance against the supposed perpetrators, has stayed alive and continued to harm the plaintiff, as she will show.

STATEMENT OF FACTS

I. Background: Al Qaeda and the 9/11 Attack

14. As the world knows, four large commercial airliners filled with ordinary passengers were reported hijacked in the northeastern United States the morning of September 11, 2001. Two were evidently crashed into the World Trade Center towers in New York, which later collapsed; a third was said to have hit the Pentagon in Washington DC, and the fourth, supposedly aiming for the White House or the Capitol, was reported crashed in Pennsylvania by its passengers, fighting back against the hijackers.

15. The alleged hijackers were quickly identified by US authorities, supposedly from passenger lists, as 19 men of Middle Eastern descent, fifteen from Saudi Arabia, two from the United Arab Emirates, one Egyptian and one Lebanese. Their pictures, apparent police mug shots, were shown on TV around the world soon after the attack. It emerged that some if not all of these men were already known to police and intelligence authorities in the US and elsewhere as terrorist suspects. They were said to be associated with Al-Qaeda, a network of radical ‘Islamic’ militants, led by the renegade Saudi aristocrat Osama bin Laden, and pledged to unremitting ‘holy war’ against the United States and its people. Al Qaeda was blamed for several previous terrorist attacks, including suicide attacks in which hundreds died, in the Middle East and Africa, and against a U.S. Navy warship in the Persian Gulf. An earlier, precursor group of ‘Islamist’ terrorists, based in Brooklyn and New Jersey, carried out the first bombing of the World Trade Center, in 1993.

16. At the time the Clinton Administration was succeeded by that of George W. Bush and defendant Dick Cheney, in January, 2001, an extensive, complex U.S. counter-terrorism effort against Al Qaeda was in progress, involving personnel and resources from a number of government agencies, including the FBI, the CIA, the NSA, the U.S. Military, and others, requiring coordination between these agencies at the highest levels. The Chief of Counterterrorism under President Clinton, Richard Clarke, was retained by Bush, but later strongly criticized the Bush Administration for ignoring the Al Qaeda threat, allowing the effort begun under Clinton to lapse, to the point where he felt constrained to apologize to the families of those who died, for the failure he said led directly to the devastation of September 11th. At all events, it is clear from the accounts of Clarke and others that, once Mr. Bush and Defendant Cheney were in office, the effort to combat Al Qaeda was decisively blunted at the top, and at key points down the chain of command.

17. In particular, little or no attention was paid by defendants and others responsible to an increasingly explicit series of warnings, during 2001, that Al Qaeda was hoping and planning to strike inside the US; and that there were concrete plans — which cadres in U.S. agencies were aware of, and were in fact conducting exercises to prepare for, and defeat — which included attempting to crash planes into important buildings. U.S. investigators were well aware that the man they believed was the enemy network’s chief bomb-maker for the 1993 attack on the Trade Center, Ramzi Youssef, had hoped and attempted to bring a tower down in that attack; and that this remained a goal of the group.

18. Responsible intelligence officials were aware that Al Qaeda members were operating inside the U.S., and there were a number of critical investigative leads. Two of the hijackers-to-be lived with an FBI informant in San Diego. The CIA monitored a meeting in Malaysia in 1999, after which two of the participants came to the U.S., where authorities supposedly lost track of them. There were reports from FBI field offices in Arizona and elsewhere that figures on the suspect list were taking or seeking training as pilots — including one who reportedly said he only wanted to learn how to fly an airliner, not how to land or take off — but coordination and follow-up investigation on these and other leads was blocked by John Doe defendant CIA and FBI higher-ups and key players. Notwithstanding such malfeasance, the signs and portents of an imminent attack were very strong in the summer of 2001. As the then CIA chief George Tenet testified, “The system was blinking red.”

19. Despite the flow of ominous information to various sections of the US counterterrorism apparatus, however, and the danger to innocent people — and as a result of conspiracy among defendants Cheney and Rumsfeld, and other members of the Government in various positions — the many warnings of a coming attack by Al Qaeda forces (as many as forty messages in all, according to the Commission Report, from eleven different countries) were studiously ignored.

20. That is, defendants and others in the highest circles of the Government knew more than enough beforehand about the threat and gathering danger of an imminent possible attack by Al Qaeda in the U.S. to understand that they needed to take strong, thoroughgoing measures to increase the country’s protections and alertness. Instead, led by defendants Cheney and Rumsfeld, and because defendants were callously indifferent to the rights and safety of innocents — including their own people in the Pentagon, plaintiff among them — the government did not respond. On information and belief, no special meetings of high officials and agency heads were called, to make sure protections systems were on high alert and functioning properly, and that all needed information was being shared. No special warnings were given to the Federal Aviation Administration, the Immigration Service, the Military and other affected agencies. No consultations were had about possible methods of attack, including specifics about possible hijackings, and the use of planes as missiles to hit buildings, despite operational planning and training which had already occurred at lower echelons. The FBI did not step up surveillance of suspected terrorist individuals or “cells”, or immigration checks, or let such people know they were being watched, in order to impede their activities; and it appears that no coordinated, high-level monitoring and analysis of the threats, and planning for counteraction, ever took place. Instead, the threat was dismissed, and ignored.

21. It should be noted that plaintiff cannot and does not know with certainty the outlines of the plot at its initiation. The attacks may have been conceived of as a false-flag operation from the beginning, with the defendants and their operatives as creators, planners, and executors, with the assistance of others as necessary. Or, defendants may have employed Muslim extremists to carry out suicide attacks; or they may have used Muslim extremists as dupes or patsies. The roles of the supposed “nineteen” could have been to hijack the airliners, or simply, unwittingly, to be on the planes when they were crashed into buildings by remote control. It is also possible that the defendants learned of a plot originated by Muslim extremists, and co-opted or overrode it with their own plan. Whatever lay in the minds of the defendant conspirators at the outset, it is clear that the nineteen men so quickly identified as the hijackers, some if not all of them known terrorist suspects, traveling under their own names, simply walked onto the four planes that morning, with their “box cutters”, without hindrance or incident.

II. Failure of the Air Defense System.

22. Accounts from the FAA and the National Military Command Center vary widely, suffer from internal contradictions, and are in conflict with each other; but credible reports show that FAA flight controllers were aware of a problem with the first plane as early as 8:14 or 8:15 a.m. the morning of September 11th, and evidently called the military for emergency assistance, pursuant to routine, by 8:21 a.m. or thereabouts. They learned the second plane was off course and not responding a short time later. According to reports, United Flight 11 hit the WTC North Tower at 8:46 a.m. and Flight 175 hit the South Tower at 9:03. The Pentagon was hit at or about 9:32 a.m. — although the official version says 9:38 — and the fourth plane crashed in Pennsylvania shortly after 10:00 a.m. High performance jet fighter planes stationed at various bases around the northeastern U.S. — tasked to intercept and deal with unidentified or straying aircraft entering or flying in U.S. airspace under NORAD district command, or otherwise at NORAD’s disposal — were available at a moment’s notice. None were notified, however, or sent to the right place, until it was too late; at least for the first three planes.

23. No interceptor planes came to stop the supposed hijackers — shoot them down if necessary — even though the Air Force has for many years maintained a practice of immediate response in which the fighters have readily been “scrambled” when aircraft are seen to go too far off course, or lose radio contact with flight controllers. The interceptor program has been an elite assignment in the Air Force, even after the Cold War ended, in which pilots fly regularly, and wait in ‘ready rooms’ near the hangars, and planes are kept in top condition, with engines warm and ready for takeoff. The best jets are used, which can reach speeds of 1600-1800 miles per hour, and the personnel are so well trained and practiced that pilots routinely go from hearing the scramble order to 29,000 feet in less than three minutes. The scramble orders are normally made by local NORAD commanders in cooperation with the FAA. Both the FAA and the affected NORAD North East Air Defense Sector (NEADS) military command have radar tracking coverage of the entire airspace, and special telephone hotlines between them and with higher authority. Nor are these forays rare, reportedly occurring once or twice a week at various U.S. locales during the past several years. Published Federal Aviation Administration (FAA) records showed that, between September 1, 2000 and June 1, 2001, interceptor jets took to the air 67 times to check on “in-flight emergencies” involving wayward planes.

24. No interceptors came to defend the Pentagon, in particular, and plaintiff and the other occupants, because of actions and failures to act by defendant Rumsfeld, Defendant General Myers and John Doe others in concert with them, even though more than an hour passed between the time the first warning went out to the Military, at or about 8:21a.m., and the attack on the Pentagon at 9:32; even though the first tower was hit in a suicide crash in New York at least 46 minutes before the Pentagon was hit; and even though ‘combat air patrol’ jets from any of several bases in the region could have reached the Pentagon — or the path of Flight 77 — in a fraction of that time.

25. Having pre-arranged a coordinated failure of the Pentagon defenses, and its warning system, the defendants hid and distracted themselves, and otherwise failed to act, just at the time they were needed to ensure defense of the building; and they have dissembled ever since, as part of the conspiracy, in representing where they were and what they did during that time. As with the planes that hit the towers in New York, the Military and the 9/11 Commission, while failing to cast blame, explained away the failure to launch fighter interceptors at the Pentagon as the result of a failure by flight controllers — which FAA personnel deny — to notify the Air Force of the flight emergencies in a timely way. This was cover-up, in furtherance of the conspiracy.

26. Likewise, by the acts of one or more defendants in furtherance of the conspiracy, no defenses at the Pentagon responded either, no missile or anti-aircraft batteries opening from the ground around the building, or the roof; no sharpshooters deployed with hand-held missiles at stations close by; nothing. And, shockingly, when the towers in New York had already been hit, and Flight 77 (or a substitute, see below) was out of radio contact and headed back towards the capital; and even when the plane approached, and then doubled back and headed toward the building in a long dive, no alarm was sounded.

27. It is evident, particu