The Federal Reserve

What is the Federal Reserve? It is the United States central bank and consists of twelve banks, created by a 1913 Act of Congress and signed into law by President Woodrow Wilson. They were intended to “furnish an elastic currency, to afford means of rediscounting commercial paper, to establish a more effective supervision of banking in the United States, and for other purposes”.

Fine and dandy, one must suppose. So, how were these twelve corporations created? Who actually owns them?

Each of the twelve banks were organized into a corporation whose shares were to be sold to the commercial banks and thrifts operating within any particular bank’s district.

The law stipulated that a small portion of the Federal Reserve stock could be made available for sale to the public, in amounts not to exceed $25,000 per investor, but only in the event that the sale of stock to member banks did not raise the minimum of $4 million of initial stock for each Federal Reserve Bank when they were organized in 1913. (12 USCA 281).

Each Bank was able to raise the necessary amount through member stock sales, and no public stock has ever been sold to private investors or foreigners (Woodard, 1996)

The most influential of the Fed Banks is no doubt the one in New York, and controlling it is tantamount to controlling the entire system. So who owns it?

The reported top eight stockholders of the New York Fed are, from the largest to smallest as of 1983, are Citibank, Chase Manhattan, Morgan Guaranty Trust, Chemical Bank, Manufacturers Hanover Trust, Bankers Trust Company, National Bank of North America, and the Bank of New York. These banks own 63% of the New York Feds outstanding stock. (Mullins)

Many of these banks are in fact owned by about a dozen European banking organizations, mostly British, and most notably the Rothschild banking dynasty. Who owns these British banking organizations? Who or what is the Rothschild banking dynasty?

By changing the supply of money in circulation and by controlling the prime interest rate, the Fed determines the interest rates we all pay from mortgage payments to credit cards, can cause financial markets to boom or collapse, prompting our economy to expand or stumble into recession. Such awesome power would presumably be in the hands of those whose primary concerns are the health of the US economy.

Apparently, it is not. It is in the hands of foreigners who own our banks. Exactly who these people are and where their sovereignty lies is a question we all could use an answer to.

That’s going to take a bit more digging.