Check out the copyright fascist e-mail and response at the end of the article. Oops.
Lars Schall talked with U.S. financial investment advisor Catherine Austin Fitts. Inter alia, they discussed: the shift in the global economy; various facets of gold and currency politics; the difference between official reality and reality; some background regarding NSA & Co.; and last but not least the use of the term “conspiracy theorist”. She says: “When I hear people be derogatory about conspiracies basically that to me in my world that I grew up in is simply a symptom that they have agreed to be powerless and wear it like a badge of honor.”
By Lars Schall
After leaving the Bush
Administration, Fitts founded The Hamilton Securities Group, Inc., an
investment bank and financial software developer named after the first
U.S. Secretary of Treasury, Alexander Hamilton. In 1996, she and her
successful company became targets of a vicious, long-lasting “qui tam
lawsuit,” that resulted in the closing of Hamilton Securities. (1) Fitts
was ultimately successful in Court of Claims litigation asserting that
the government had no right to withhold monies owed to Hamilton.
In the years afterwards, Fitts
spoke publicly about the degree of fraud endemic in the federal mortgage
operations, trillions of dollars missing from government agencies and
the connections to drug trafficking and “black budgets.” (2) Moreover,
with her mentioned expertise, she was one of the first to warn of an
approaching housing bubble.
Catherine Fitts is the president of Solari, Inc., publisher of
“The Solari Report” (www.solari.com), and managing member of Solari
Investment Advisory Services, LLC. She lives in Tennessee, U.S.A.
Lars Schall: Catherine, are we really going through a global
financial and economic crisis, or are we facing something different?
Catherine
Austin Fitts: I don’t like to call it a crisis, I’d rather call it an
opportunity. We’re going through an extraordinary period of change. A
decision was made to rebalance the global economy to something that was
much more evenly developed between the developed world and the emerging
markets. That’s a very big shift. So, we’re going from being divided
between developed and non-developed into a much more one-world economy.
That re-balancing is a very significant shift. A part of the question in
that is: What size of population can we sustain as a planet? If you
look at our environmental resources, can we live in harmony with the
environment because we’re not now, and to me if there is a crisis, it’s
the question of: How do we come into alignment between humans and the
environment and then humans with each other?
We’re changing our model. In the developed world we’ve basically
said we’re going to be democracies but we’re going to finance our
democracies by running around the planet and kill everybody else and
taking their natural resources for cheap. Now we have to convert to a
model where what’s done to one is done to all and that’s part of the
rebalancing, and I think, again, that it is a big change.
Then finally the biggest question,
Lars, is we now have the technology – and I believe we probably have had
it for a while – to travel the galaxy, and the question is now we’re
just one among many planets, are we confronting more advanced
civilizations elsewhere and what is that going to do? You know, the
history of civilizations meeting each other, it’s never good for the one
that’s not technologically superior. If there is life on other planets
then there are great risks in that. So, I would say that our biggest
challenge is confronting the environmental issues, whether it’s space or
how we come into harmony with the environment here on the planet.
LS: Yes, but how do you come to the conclusion that we are able to do outer space travelling?
CAF: We know. It was funny, Gary McKinnon – are you aware of Gary McKinnon?
LS: I’m not sure right now.
LS: Yes, now I think I begin to know who you mean…
CAF:
Okay, great. So Gary McKinnon said, you know, that when he hacked into
the DOD server what he found was log books literally of star fleets that
the navy was running that were travelling throughout the solar galaxy. I
looked at that, and I looked at the amount of money that’s
disappearing, and I said, “You know, the two make sense”. Now, if it is
true or not, I don’t know. However, the Federal Government went to great
lengths to get Gary McKinnon extradited to the United States, but
ultimately failed. (3)
What was very interesting, I was doing
a Solari Report one night and I had been at the gym that morning – I
don’t own a television set – but I had been at the gym this morning and
there was a TV presentation for the new movie Men in Black III
and Will Smith, who is a favorite actor of mine, was standing on the
ship, Intrepid, which is an aircraft carrier, it’s a warship that has
been mothballed and is used as a museum up in New York. So you had Will
Smith on the deck of the Intrepid and about two hundred navy officers in
dress white. So you had these navy officers with the Men in Black
spread through them. I made a joke on the Solari Report. I described
this image and I said, “Well, I guess Gary McKinnon was right,” and just
as I said that, Lars, the whole phone system got spiked and all the
subscribers got thrown off the call, I got thrown off the call, it was
the only time that that ever happened and I got that on the Solari
Report and I said, “I guess the navy wanted to let us know that they
were, you know, Gary McKinnon was right.” (laughs)
Anyway, I’m making a joke about it but
if you look at the amount of money that’s been going into the black
budget there is no way I can explain that kind of funding unless you’re
talking about these level of expenditures. I think one of the most
important questions we can ask, we don’t have the information to answer
it, but if you collect up all of the different sightings and reports of
UFOs, we need to ask ourselves: How much would it cost to build all
those spaceships? I think there is a surprising commonality between the
budget it would take to finance all those spaceships and the number of
spaceships we see running around the planet.
Have you ever seen the documentary Phoenix Lights?
LS: No, but I believe I’m familiar with the phenomenon.
CAF: Well, there was a huge spaceship
that rolled down the side of Arizona in 1996. A group of citizens filmed
it and made a whole series of documentaries. The government of Arizona
denied that it really happened and later came in and confessed that it
happened. (4) I’ll never forget when I first saw that spaceship, I’ve
been doing lots of articles on the four trillion dollars that had gone
missing from HUD and DOD between fiscal 1998 and 2002 and looked at the
spaceship and the first thing I said after seeing the films was, “I bet
you Lockheed Martin would charge four trillion dollars to build that.” (laughs)
So, what I’m saying is we’ve seen a phenomenon of extraordinary
technology including technology for space travel at the same time we’ve
seen trillions of dollars disappear.
LS: Yes.
CAF: And to me, I think we need to ask the question where has that
many trillions of dollars gone and what does it have to do with this
phenomenon? We’re seeing very advanced technology being exercised or
flown around the planet.
LS: In order to give our readers
something so that they can inform themselves about this on a serious
basis, would you say that it’s worthwhile to pick up the books written
by Richard Dolan?
CAF: Yes, I recommend reading Richard
Dolan’s two-part series UFOs and The National Security State. (5)
Interestingly enough, I said to my subscribers that I would read the
first and last chapter twenty times. The book is very long and goes
through hundreds and hundreds of sightings of different kinds of
spaceships. It’s incredible if you travel across America and around the
world, Lars, how many people have sighted these kinds of spaceships. So,
this is becoming a fairly high percentage of the population in many
places who have personally experienced this kind of technology.
LS: Yes, and especially in South America.
CAF: Yes, and of course, as you know,
the question is always asked: are these built / managed by humans or are
they being built and managed by somebody else? I think if you look at
the amount of money that’s gone missing into the black budget, I think
you can make a case certainly that a lot of it could have been financed
by humans. We know that the Nazis were developing anti-gravity
propulsion technology right before the end of World War 2.
LS: Related to their project known as “Die Glocke” / “The Bell”. (6)
CAF: So, this is technology that’s
been being developed for quite some time, and one of our challenges as a
planet is there’s an enormous split in the population between people
who are moving forward in a rapid way, doing very high-tech things,
including through the black budget, and a much larger population who, if
anything, is reducing their skills and intelligence and ability to deal
with advanced technology.
LS: Yes.
CAF: So you see an enormous split in the learning metabolism within the population.
LS: And related to this minority we are then talking about the so-called “breakaway civilization.”
LS: I think consequential one question needs to be, “Is the US really the master in its own house?”
CAF: The thing that you and I are
struggling with – and any sophisticated investor is struggling with – is
that it is not really clear what the governance system on planet Earth
is and how it works. What we do know is that sovereign nations have
taxing power and large budgets. The reality is those sovereign nations
are not in control and not running things. Now, because they’ve large
budgets and may have large operational capacity they’re very important
and very influential, but I don’t think the United States’ people elect
and control the United States Government or that the United States
Government is in control of North America. I think the government system
at best is murky and in my experience certainly working as a government
official, decisions were made outside of government and relayed into
the government as to what the decisions would be. The government works
for the “shadow government.”
LS: Yes, but what is the “shadow government”?
CAF: Well, that’s the question which
from everything we’ve seen is quite full of factions. It’s a big planet,
there are lots of different operational capacities. They’re different
groups and different factions. There’s a lot of competition as the
system centralizes. What we’re watching is a large centralization of
political control, and part of that is that the technology allows that
kind of fantastic consolidation into centralized places. From what I saw
whether on Wall Street or in Washington, you have a variety of groups.
One of the most important groups in North America is the Bohemian Grove
that gathers every July for several weeks – the leadership of business,
government, different sectors goes off, you know, into a Redwood Forest
in the north of San Francisco and has the time to come together and make
consensus and make decisions and set policies as to where they want to
go but then it’s different things and implemented. It’s a very organic
process.
LS: I think a lot of people who are
not really familiar with what you’re talking about will now say, “Well,
Ms Fitts is a conspiracy theorist.” Where do you take the courage from
to talk about those things nonetheless even though you know that this
will take place?
CAF: Well, here’s the thing: we have
an official reality and then we have reality, and the two are different.
I’m a financial person, and so what I’m interested in is that, you
know, all reality can be expressed mathematically with the math of time
and money. I’m an investment advisor. What I’m interested in is, if you
look at what’s driving the money, it’s reality. So if you’re interested
in protecting your clients or your investors or your subscribers’ money,
you need to stick with reality.
I’ve spent a lot of time tracking and
trying to understand what’s presented as the official reality, but the
thing that drives the money is reality. I’m a financial risk manager and
so I just don’t have time to pretend the official reality. Now, if you
look at my understanding of the world it emerged from working on Wall
Street or working in the government. I’ve spent many years litigating
with the federal government and my personal experience is that the world
is driven by quiet decisions made quietly in various groups and then
implemented in these ways – that’s how the world works, that’s the basic
organizing principle. I think one of the reasons that the PR guys came
up with the idea of making acting in concert something to be treated in a
derogatory fashion – you know, the dividing line of class in America
are people who create, manage and engage in what’s called conspiracies,
whereas everyone else is trained to be incapable of doing it because
that’s the basis of power vs. powerlessness. So, I come from a world
where being able to get together with other people, organize plans,
implement those plans and do it quietly and secretly is basis of
exercising and accumulating world power. So, when I hear people be
derogatory about conspiracies basically that to me in my world that I
grew up in is simply a symptom that they have agreed to be powerless and
wear it like a badge of honor.
I just come from a different world. I’m not trying to persuade
anyone of my particular view of the world. I’m much more interested in
maintaining the highest possible learning speed about how to protect and
help my clients, investors and subscribers. So I’m very performance
orientated.
LS: I like that. Anyway, what are your thoughts on a free trade zone between the US and the EU?
CAF: I think it’s inevitable. I don’t
know how long it takes. It takes generations at this rate. The developed
world, as we re-balance the global economy, is going to come closer and
closer together. There’s a wonderful, wonderful quote from the former
head of Luxembourg, Jean-Claude Juncker, who said several years ago, “We
know what we have to do, we just don’t know how to get re-elected if we
do it.” So I think people who are left to manage the government
apparatus are going to find more commonality with each other and so it’s
going to be easier and easier for the leadership of the EU and the
different countries in Europe to get together with the leaders in the US
and find ways of advantaging each other up against the different
problems that they struggle with, which are enormous.
LS: Why is it that the topic of economic espionage is widely ignored when it comes to the recent NSA & Co. revelations?
CAF: Well, first of all remember
within the developed world we have allies who are both competing with
each other and co-operating. It’s very bad for business to let your
allies know that you’re basically dirty tricking them in the game of
economic warfare. So that’s a very uncomfortable reality particularly
for the Americans because I think the Americans have been very, very
good at this game. That’s number one. Number two is we now we have a
financial system which is very dependent on a market management system.
The NSA and related surveillance systems have gone way beyond – they’re
not just an insider training machinery for equipment warfare, they’ve
become something much more proactive. It’s proactively figuring out how
to manage markets and manage them broadly geopolitically. So you now
have something that’s inventing markets and inventing the economy and
directing and steering the economy forward. I don’t know if you have
ever read Isaac Asimov’s book, The Foundation?
LS: Not that particular one, no, I’m sorry.
CAF: We’ve gone from a surveillance
machine to a market rigging machine to a market creation machine; the
economy creation machine is something that’s evolving towards,
literally, the Foundation kind of machine that’s trying to replace God
in terms of communicating and optimizing between people.
LS: So there’s insider trading / informed trading going on between intelligence agencies and private banking institutions?
CAF:
Absolutely. But first of all, there’s no such thing, I think, in the
big banks as private banking institutions. Right now the federal
government has as its depository the New York Fed. So, you have a
private bank that is the banker to the Government and basically,
essentially and in many respects is in control of the Government
accounts. Now, that Central Bank is printing paper and nobody is going
to take that paper unless the US military makes sure everybody does. So
we’re talking about a hybrid that’s very integrated into one thing. The
New York Fed is really, its member banks who act as agent and if you
look at those member banks through the New York Fed, they’re managing
the Exchange Stabilization Fund which is the mother of all slush funds
and market intervention funds but they are also implementing national
security directives in the market.
So, if you take a
look for example at the oil price over the last twenty years, we have
been proactively managing the oil and energy prices for a variety of
geopolitical goals. I would say one of the ways we brought down
communism was by keeping the price low and bankrupting Russia and then
went into Russia in the 1990s and basically raped the place and ended up
with European and American interests acquiring Russian oil assets et
cetera. So, you know, these banks are implementing for the national
security state all sorts of market interventions, which are policy now,
it’s not an open policy to drive the oil price down but drive the oil
price up, that’s what’s happening. So, you know, these agencies and
institutions are acting as one cartel simultaneously together. I think
it’s gone way beyond insider trading. I think they have an agenda and
they’re creating a world that’s being planned out and we’re using these
systems to implement it in a whole variety of ways –
not just collecting information, but building the economy out in many different ways.
What they’ve created
at least in America on the ground is a harvesting machinery. America
breaks down into 3100 counties and what you’ve got is a machinery that
harvests each one for a variety of governmental and black budget
purposes. The economy in most counties is designed to generate money for
the black budget more than to optimize the economy.
LS: Why would you say it is
significant in that regard to talk also publically about the
Prosecutor’s Management Information System (PROMIS), a database system
developed by Inslaw Inc., a U.S. information technology company, which
was founded by William A. Hamilton, a former analyst with the National
Security Agency (NSA)? Where’s the relevance of this topic?
CAF: PROMIS was the beginning and it’s
very funny, when I called Bill Hamilton who runs INSLAW and, as you
said, used to work at the National Security Agency – when I first called
him and said I wanted to talk to him, he said, “Have you read Black
Money by Michael Thomas?” I said, “No”, and he said, “Read it and call
me back.” If any of your readers are interested in learning about
PROMIS, I strongly recommend that book because it’s wonderful sort of
fiction beach reading. It gives you sense of the power of PROMIS. (8)
What Bill and his
team created was a piece of software that would allow different
databases to be aggregated and converted into intelligence in a way that
we can do now with relational databases. But in those days when you had
non-compatible databases, aggregating data was difficult. The
allegations are that PROMIS was then used to crack and access
information and indeed even manipulate bank accounts on any bank that
was on the payments and settlements systems. So it dramatically broke
down the financial controls and privacy within the financial system.
Now, PROMIS was long
ago and there’s been many developments since then. PROMIS was the
beginning of a very two-tiered society where one group of people had
enormous access to all the financial data, and it wasn’t just the
central banks which always had it, but it was the intelligence agencies.
So you combine that with artificial intelligence and it gives you the
ability to begin to create this machinery that proactively manages the
markets in enormous ways. If it wasn’t for that kind of technology, we
could never go to a world where central banks manipulate markets in the
way that they do now.
LS: I think a lot of people are
wondering why our politicians here in Europe right now are behaving like
sell-outs related to those current NSA & Co. revelations, and I
don’t know if this is really an answer to it, but nevertheless may I ask
you to explain to us the concept of “control files,” please?
CAF: One of the challenges of managing
an economy, you know, when you have an economy that has an official
story and then has an unofficial story, you run into all sorts of
personal problems. I’ll give you an example: between fiscal 1998 and
fiscal 2002 we had four trillion dollars of undocumented adjustments at
NASA, HUD and the Department of Defense. Now, four trillion dollars, you
know, in one year we had more money missing from the Department of
Defense than the government collected in taxes. So we’re talking about
financial fraud on an unimaginable scale. In accounting terms 5 percent
is deemed to be material. So now we’re talking about more than 100
percent, that’s very material. Well, how do you shift four trillion
dollars out of the official accounts and shift them in that way without
anyone knowing and still have your workforce do as they’re told? You
know, you run into the problem that everybody gets greedy. So you have
this question, how do I have my workforce work together, follow orders,
be obedient and shift four trillion dollars into the black budget
without them wanting a piece of action? So when you run these parallel
systems the question is, how do you get everybody to do what you want?
I remember when I worked as Assistant
Secretary of Housing I had the Secretary order me to do things that were
illegal and I refused. He threatened me saying, “You know I’m going to
get a control file on you, so that I can make sure you do these illegal
things,” and I said, “You’re not going to be able to,” and I finally got
fired because he couldn’t create the control file. I wouldn’t go ahead
and break the law and so I ended up being fired.
Now, how do you get thousands and
thousands of people to do what you say? Well, it takes several things
but one is the control file. Now, what is a control file? Do you
remember J Edgar Hoover and his dirty pictures?
LS: Sure.
CAF: If I have dirty pictures of you
doing something that is very compromising, something that you don’t want
your family and friends to know about, something that could hurt your
professional reputation, your career or your personal relationships, if I
have that evidence in a file, generally I could get you to do what I
want. Now, what’s interesting is we’ve evolved to a place in this
country where even if I can’t get a control file on you it’s relatively
easy to get the media to accuse you of things that are false and by the
time it all gets sorted out you’re destroyed anyway. So, the threat of a
false control file works. Generally what I found is the real apparatus
of the black budget and governance in America is run by control files
and, of course, the ultimate is the ability to kill with impunity. So,
we have people who have surveillance and intelligence machineries that
can give them control files on anybody who is important and they also
have the ability to kill with impunity and act above the law and as a
result, the real control system in America is very, very different than
what the law or the formal governmental apparatus would indicate.
There’s a post on my blog, I’ll send you the link, where I wrote up a
little story about control files. (9)
LS: Thank you.
CAF: And one of the things, that I
think is one of the most interesting dynamics going on behind the scene,
is we see now for many years the premier control file network was the
Vatican because you had certainly in America the church having a local
church in every community and you have everybody to come and confess
their secrets to the priest every week. So it was the ultimate
intelligence collecting network with fantastic information on the
ground. One of the many problems that the Vatican faces is we now have
the telecommunication companies and intelligence agencies building a far
superior network with a much lower overhead.
LS: Yes.
CAF: And so the Vatican is struggling to re-invent itself in a
world where it’s no longer the premier control file and intelligence
network that it has been really for the last two thousand years.
LS: Do you think that the whole NSA
& Co. revelations is also a little bit like a huge control file
vis-à-vis the populations in the sense that, “Now you know we watch you,
we have something against you in our hands!”
CAF: To a certain extent I think the
revelations about the NSA reflect competition. You have other groups who
want to make sure that that intelligence gets shared and the NSA
doesn’t get too big for its britches. So, I don’t think you’re seeing a
fundamental change. The NSA has been told that they can’t be a cowboy,
they’ve got to share and be obedient to the governments and a variety of
other parties. So I think the machinery that they’re operating is going
to continue and grow. I think more people are going to have that
capacity and what you’re watching is, you know, how’s the government
system going to work? I don’t think it’s going to change the fact that
we’re going to a world where we live in what I call The Truman Show,
which was a movie about people who were under surveillance 24/7. It’s
what Scott McNeal said, that “There is no privacy, get over it.” What
the technology is doing, it’s completing changing what privacy is
possible.
LS: One rather general question
related to intelligence agencies and the National Security apparatus of
the U.S. on the one hand, and high finance on the other: If one looks at
the National Security Act and the creation of the CIA, why is it that
most of the key figures of the latter organization have a background in
high finance and investment banking? (10) Would it be an exaggeration if
one would assume that the CIA was created to shield long-term Wall
Street interests in the world?
CAF: I think the
combination. The CIA was created to institutionalize support capacity
and funding for the secret societies. I just think it was a way of
building the capacity behind what’s called the one-way mirror. If you’re
going to run a society where you have an official reality and a very
different reality, then you need a support capacity and funding to make
that possible. If you go to Disney World, Lars, you know, you have this
wonderful world upstairs and then you go down below the ground and then
you’ve got an entire underworld of people who are managing and
orchestrate the world above ground, and I think the CIA was created to
build that underground bunker at Disney World.
So, now the big
question, of course, is what was it that happened in ’47 and ’49 that
got everyone asking the question, do we need to keep all of this secret
because essentially what you created with the ’47 and ’49 Act was the
ability to claw money out of government agencies and out of the Exchange
Stabilization Fund to go into highly classified projects. Then you
created a series of Executive Orders that would allow that funding to be
channeled to private corporations. What was created was a financial
mechanism that lost control of the technology for the federal
government, because you basically created a non-transparent source of
money to private corporations to own and develop the most powerful
technology in the world. It was the creation of that capacity that led
to the breakaway civilization. You created a monster that could then
engage in a financial coup d’état, steal enough money so they could be
financially independent. Not to say that they’re going to give it up,
but you basically created a financial mechanism for a financial coup and
at the heart of a financial coup is not the money, it’s the most
powerful technology in the world that is completely invisible to the
average person who has financed it. You have no governmental mechanism
to control or reign those people back in.
One of the
interesting things you see, G7 funding to sort of get control of the tax
havens, and I think one of the questions is, is there a bit of a
tug-of-war going on between the breakaway civilization and the people
responsible for management of the government as a result of all of these
things? Ultimately, at the root of this is the big question: What
happened in 1947 that got everybody wanting to build this secret state
on a secret basis? What’s that about? One of the things you come back to
again and again is that a big part of that money is going into
underground facilities and space travel. So, to me, a lot of this is not
about what’s going on planet Earth, it’s about what’s going on outside
of planet Earth.
LS: Related to the recent off-shore
leaks, do you buy into it that this was a genuine act of independent
investigative journalism? Or, was it rather an intelligence operation,
or to be more precise: a demonstration of performance capacity?
CAF: I think it’s a combination of
things. If you look at all the leaks going on, I’m assuming that you’ve
got a whole series of both private and public intelligence operations
and investment interests competing and so to me most of these things are
a competition among factions. They’re often not investigative
journalism that is up against the system. In America alone you have
numerous intelligence agencies that we know of. I’m sure we have more
that we don’t know of, and it’s the same around the world. You’re
watching a competition among well-funded sources and a lot of
factionalism is going on. So, how do I see it now? You have people
involved who are genuinely journalists. But if you look at the kind of
money it takes for these operations to do go on, essentially the
majority of this has to be well-funded operations and that brings us
back to either public or private intelligence operations.
LS: Coming to something different, why are you paying close attention to the precious metal markets?
CAF: I once sat down with a group of
very knowledgeable people and said, “Okay, if we just decided we were
going to optimize wealth on planet Earth, how much could financial
wealth be compared to what it is today?,” and I came to the conclusion
that our current wealth was 1 percent of what’s possible. If you said to
me, “What’s the economic model that would get us to a world of much
greater financial wealth and abundance?,” then I think you need four or
five very important characteristics.
The most important is we need to shift off of the debt model to an equity model.
So generally we finance most government corporations primarily with
debt. If we could finance with equity in a much broader way, we can
build much more alignment between people in different places. I always
say debt equals war and equity equals peace. If I have equity in a
place, I’m much less inclined to bomb it than if I don’t. So debt to
equity, I would say, is an important step. So is transparency,
which is what we’ve been talking about. Right now we have no privacy of
the individual, and yet all the information about government monies is
surprisingly non-transparent and certainly the governance system is
hidden behind a one-way mirror. We need transparency. Another important
issue is: Do we have sound money? The harvesting machinery on
planet earth is the government is printing money, then they debase the
money and add a horrible tax to the citizens because the citizens hold
so much of their savings in the currency whatever it is. Right now all
the currencies are debasing together, and so it’s a fantastic harvesting
machinery. That needs to end. If we’re going to have a healthy economy
we need sound money.
I got interested in
precious metals because precious metals are a form of sound money. It
has drawbacks, particularly because it’s such a political asset. The
precious metals price is the smoke alarm. So central banks have an
enormous reason to manipulate the smoke alarm and, as we’ve seen in the
last two years, when central banks are asking the Americans to send
their gold back, as we have seen with Germany and other central banks,
it creates enormous incentive for the Americans and the G-7 to drive the
price way down. So, it’s far from a perfect form of sound money, but
I’m interested in it because I think we do need to have currency systems
that do something other than harvest and debase the average person.
LS: Why does gold tend to have a rather bad press when it comes to financial mainstream media?
Now, in defense of
the people who pulled their money out of the economy and put it in gold
are saying, “Look, if you run the system with a double standard as to
who has to obey the law, then I don’t want to play,” and that’s the
debate that’s been going on with gold because more and more people are
saying, “Look, I can’t participate in the economic process, I can’t
participate in innovation of technology, you know, if you, the guys that
run the breakaway civilization, are above the law, can steal and do
anything you want.” I was an entrepreneur. I built software tools that
were absolutely fantastic, could have made enormous difference to the
economic and wealth creation process and the Department of Justice stole
them and sat on them for six years. When I finally got them out of the
court the most valuable pieces were gone and, in the meantime, my
competitors had a field day and a lot of real estate guys made money
pumping and dumping the real estate market. So I think in situations
like that an entrepreneur says, “Well, you know, if I win, you steal it.
If I lose, I lose and in the meantime you’re bailing out the banks. I
don’t want to play, I’m just going to take my gold and go sit on the
sidelines.” So, that’s one of the issues. The other issue is, if you
look at the people who have been promoting gold, I think a lot of the
case for gold has not been well-made and it wouldn’t surprise me if some
of those people were being paid to make a bad case on purpose.
LS: Yes! (laughs)
CAF: I think that you have many people
marketing the case for gold promoting the idea that the world is going
to come to an end and the system is all corrupt and it’s a very negative
picture of the world. What they don’t understand is, right now more
than 50 percent of the population in any given county in America is
highly dependent on the federal budget and if the currency game were to
stop tomorrow, they would all be up the river without a canoe. So,
making a case that leaves the majority of the majority of the population
high and dry is, to me, not a very effective political tactic. Whether
it’s the equity value creation or doing what The Powers That Be want or
the general population being terrified of being left high and dry, I
think those are the things that end up giving gold a bad press. The
reality is the worst the press gets, the more central banks and the top
guys try to and get more gold. So, if you want to buy gold there’s
somebody talking their book by talking the price down as they require
it.
LS: What are your thoughts related to a “return of the gold standard”? Or asked differently, cui bono?
CAF: Frankly, I think we are on a gold standard in one sense, in
that central banks and the most powerful people have used gold for
generations to settle accounts.
LS: I agree.
CAF: So I think there is a gold
standard. Now, the major standard for the dollar right now, the reserve
currency, is an oil standard because to run this currency game and to
keep a currency as a reserve currency you need to control an asset on
the assets side of the balance sheet and tie it to maintaining the power
of the currency. The reason our military is so important for protecting
the value of the dollar is as long as people need oil and we control
the sea lanes and the satellite lines, we control the trade in oil on
that. That, to me, is the primary enforcement to making the dollar the
reserve currency. You know, behind the scene gold is being used to sell
wholesale accounts. This latest squabble between the central banks
asking for their gold back is a reflection of that. One way or another
we are moving to a gold standard but it’s at the wholesale level and
behind the scenes and it will probably stay at the wholesale level and
behind the scenes.
LS: Do you like Bitcoin?
CAF: I’m not a Bitcoin fan and that’s
because I’ve never met a digital system that The Powers That Be couldn’t
control. I like putting a gold coin in my pocket and walking away.
LS: Yes.
CAF:
So I think for a currency to be a great currency it needs to be both
atoms and bits. It’s got to be both, because we need to function in the
bit world and we need to function in the atom world, and a currency that
is only bits is a currency that can be manipulated. One of the things
that The Powers That Be would love more than anything is to move to a
digital currency so the more they can get us to like and adopt digital
currencies, the easier it’s going to be to harvest us. If you think you
can harvest everybody with the current currencies wait till you see what
you can do when all the currencies are digital. Nicholas Negroponte,
when he ran the MIT Media Lab, said in a digital age, data about money
is worth more than money. I agree absolutely. So digital currencies have
their place but the notion that the intelligence agencies can’t
ultimately control any digital system you’re dreaming if you think they
can’t, they can.
Now, that doesn’t
mean that they can control Bitcoin or something like it coming out of
the box, but I assure you if they can cut the cable and that’s what they
have to do, they will. The president just signed an Executive Order
giving them a kill switch, that’s how I read it. (11) So, the theory
that we can solve the lawlessness of our situation with something like
Bitcoin is a mirage and I don’t buy it. If you want to get into digital
currencies, you just need to understand they’re going to be wildly
volatile and you run the risk of losing everything if we get into any of
these systems problems. So, everything has its place. I love having
options, so I’m not saying don’t put money in digital currencies.
Understand the limits. Bail-ins are coming. Bitcoin is uninsured.
Insurance may not necessarily, as we saw in Cyprus, be the “be all and
the end all”, but deposit insurance accounts for a lot.
LS: Talking on a global scale, what
are the most important challenges to mankind according to your analysis
that the vast majority of people is not aware of?
CAF: For five hundred years we’ve been
on what James Turks calls the “Central Banking-Warfare Model”. The
central banks print money and the military makes sure everybody takes
it. Part of that, as we said, was the folks in the developed world going
to the non-developed world and stealing what they need to make their
economy go. Now we’re going to have to go to a much more integrated
model globally. We’re either going to have to practice non-violation
globally or not. You know, this is a big thing for folks in the
developed world, to literally convert to a model where it’s the same set
of rules for the developed and the emerging markets.
So how we get to
practice non-violation globally is, I think, one of the most important
challenges and with that is an enormous spiritual and cultural
evolution. To me the greatest opportunity on the planet is spiritual.
The ultimate issue in any system of law is who enforces. If we’re going
to move to a position where we can handle the kind of technology that
we’re being blessed with, then we’re going to be called upon to make an
enormous shift so that we have the kind of spiritual and cultural basis
that can handle technology that’s this powerful. As that happens on this
planet, then we’re going to be turning and facing what is an endless
series of geophysical risks; space weather and what in the world is
going on in outer space.
So, I would say our two most important
challenges is the spiritual and cultural rising to match the
technology, including practicing non-violation globally, as we come to a
much more integrated culture and economy and then turning as a society
and taking responsibility to interact in space and understanding and
managing our geophysical risks within the context of the whole galaxy.
LS: And what are the solutions for those challenges?
CAF: The solution is for each one of
us to do what I call “come clean.” So each one of us has to change; in
other words we don’t need to wait for the leadership to do anything. We
can simply begin to change ourselves. For more, I have an article up on
my website called, ”Coming Clean”. (12)
LS: Yes.
CAF: Whether it’s who we associate
with, how we spend our time, what we do. I know from looking at your
work as a journalist that you have been coming clean for a long time.
So, you’re trying to change rather than go sit at the big networks and
spill the propaganda out, you know, you’re trying to lead a pathway
through real journalism helping people see the world as it really is and
find solutions. Each one of us has to do that. So, it comes down to
there’s seven billion people on the planet – are each one of us making a
contribution to getting to where we need to go or are we simply going
around in circles trying to make money in the official reality? We each
have to choose. So, the more of us who choose your path, Lars, the
better off we’re going to be. So I congratulate you.
LS: Well, thank you very much! So I
guess it boils down to, I paraphrase now, what Gandhi says, you know, be
the change that you want to see taking place in the world?
CAF: Yes, the way we’re going to build
the future is by attracting in the one we want. We’re going through an
enormous shift and there’s no way we can, you know, hid in the bunker
with our dehydrated food and gold coins and thinking it’s going to come
out alright. We have to go out there, into the middle of the thick and
thin of it and create solutions.
LS: Yes.
CAF: Part of creating real solutions is – I don’t have time for the
official reality. I used to have a deputy in the Bush Administration
who would say, “In the destruction of the old, let there be the creation
of the new.” As the Titanic is sinking, we need to go pick up some
boards and chairs and some other things and start building arks. So,
it’s very important to look at reality.
LS: Yes.
CAF: Which is why I love what you’re doing.
LS: Thank you! And thank you very much for taking your time for this interview, Catherine!
SOURCES:
(1) Compare Catherine Austin Fitts: “The Myth of the Rule of Law,”
and “Dillon, Read & Co. Inc. and the Aristocracy of Stock Profits”,
both published under: http://dunwalke.com/gideon/
(2) See for example Catherine Austin Fitts:
See further Catherine Austin Fitts: “America’s Black Budget &
Manipulation Of Markets”, published at Scoop Media on May 27, 2004
under: http://www.scoop.co.nz/stories/HL0405/S00268.htm
Catherine Austin Fitts / Chris Sanders: ”The Negative Return Economy“, published at Scoop Media on August 26, 2004 under: http://www.scoop.co.nz/stories/HL0408/S00277.htm
(3) Related to the story of Gary McKinnon see for example Jon Ronson: “Game over”, The Guardian, July 9, 2005, here: http://www.guardian.co.uk/theguardian/2005/jul/09/weekend7.weekend2
(4) Compare Lynne D. Kitei M.D.: “The Phoenix Lights – A Skeptic’s
Discovery That We Are Not Alone”, Hampton Roads Publishing; Revised,
Expanded, 2010
(5) Richard Dolan: “UFOs and the National Security State: An
Unclassified History, Volume 1: 1941 – 1973″, Keyhole Publishing, 2000,
and: “The Cover-Up Exposed, 1973 – 1991 (UFOs and the National Security
State, Vol. 2)”, Keyhole Publishing, 2009.
(6) See for example Igor Witkowski: “The Truth About the Wunderwaffe”, European History Press, 2003
(7) See for example Joseph P. Farrell: “Covert Wars and Breakaway Civilizations”, Adventures Unlimited Press, 2012
(8) Michael M. Thomas: “Black Money”, Crown Publishing Group, 1994
(9) Catherine Austin Fitts: “Control Files”, July 29, 2012, here: http://solari.com/blog/control-files/
(10) Take a look at the professional background of, for example,
Clark Clifford, James V. Forrestal, Ferdinand Eberstadt, William J.
Donovan, Allen Dulles, William H. Jackson, Frank Wisner, William Casey,
Stanley Sporkin, David Doherty, John Deutch, and A.B. “Buzzy” Krongard.
Moreover, it is of interest that “(i)n its first two decades, CIA, like
its intellectual parent the Council on Foreign Relations, was dominated
internally and externally by the aristocratic elements of the New York
overworld. All seven of the known deputy directors of CIA during this
period came from the same New York legal and financial circles; and six
of them were listed in the New York Social Register as well.” Peter Dale
Scott: “The Road To 9/11: Wealth, Empire, and the Future of America”,
University of California Press, 2007, page 12. Compare also Peter Dale
Scott: “Drugs, Oil, and War: The United States in Afghanistan, Colombia,
and Indochina”, Rowman & Littlefield Publishers, 2003, page 187,
200-201.
(11) See “Executive Order — Assignment of National Security and
Emergency Preparedness Communications Functions”, White House, Office of
the Press Secretary, July 6, 2013, here:
See further Marilyn Daly: “Obama signs executive order to allow
shut down of all US communications”, Examiner.com, July 8, 2013, here: http://www.examiner.com/article/obama-signs-executive-order-to-allow-shut-down-of-all-us-communications
(12) “Coming Clean”, here: http://solari.com/archive/coming_clean/
banzai7
COPYRIGHT FASCIST TODAY
Sir,
http://stgeorgewest.blogspot.be/2013/08/debt-equals-war-and-equity-equals-peace.html
You have not asked our permission to post this copyright blogpost in its
entirety.
You have not bothered to use an excerpt and use a Read More... back
link instead, which we normally approve without further communication.
As a result we have filed a formal DMCA complaint against your blog and
we demand immediate removal of all references to proprietary posts on
http://goldswitzerland.com or on http://matterhornassetmanagement.com.
Sincerely,
--
Edward Maas
Partner
Matterhorn Asset Management AG / GoldSwitzerland
Dear Edward,
Sorry to upset you Ed. It was certainly not our intention. It may seem odd to you, but you are contacting a free and with zero income blog. That being the case, we did not realise that it was possible for us to have an issue with patent or copyright.
As a member of the pirate party, campaigner against copyright and as a devout kopimi, hence my interest in such as your piece, I believe that all information should be free and that mankind did not wait for the afterbirth of copyright to invent the wheel, neither does it serve any but the few. Indeed this is the path of war spoken of in the article in question. Hypocrite?
Our zeal to avoid advertising altogether is the culprit but we don't take kindly to having faux freedom fighter fascists set on us. You can counter with devices to make it difficult to re-blog, then we will avoid you all together and you can see where that will get you.
We do respond well to simple friendly emails.
Remember your humanity. Come all the way with us. Information wants to be free and you won't be the loser... or will you?
Best intentions and with sincerity
Angelo Agathangelou
Free mind.
P.S. Be good, great piece by the way. I can work with 'man made' UFO's.
_____________________________
COPYRIGHT FASCIST TODAY
Sir,
http://stgeorgewest.blogspot.be/2013/08/debt-equals-war-and-equity-equals-peace.html
You have not asked our permission to post this copyright blogpost in its
entirety.
You have not bothered to use an excerpt and use a Read More... back
link instead, which we normally approve without further communication.
As a result we have filed a formal DMCA complaint against your blog and
we demand immediate removal of all references to proprietary posts on
http://goldswitzerland.com or on http://matterhornassetmanagement.com.
Sincerely,
--
Edward Maas
Partner
Matterhorn Asset Management AG / GoldSwitzerland
Dear Edward,
Sorry to upset you Ed. It was certainly not our intention. It may seem odd to you, but you are contacting a free and with zero income blog. That being the case, we did not realise that it was possible for us to have an issue with patent or copyright.
As a member of the pirate party, campaigner against copyright and as a devout kopimi, hence my interest in such as your piece, I believe that all information should be free and that mankind did not wait for the afterbirth of copyright to invent the wheel, neither does it serve any but the few. Indeed this is the path of war spoken of in the article in question. Hypocrite?
Our zeal to avoid advertising altogether is the culprit but we don't take kindly to having faux freedom fighter fascists set on us. You can counter with devices to make it difficult to re-blog, then we will avoid you all together and you can see where that will get you.
We do respond well to simple friendly emails.
Remember your humanity. Come all the way with us. Information wants to be free and you won't be the loser... or will you?
Best intentions and with sincerity
Angelo Agathangelou
Free mind.
P.S. Be good, great piece by the way. I can work with 'man made' UFO's.
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