Has the Government Looted the Gold at Fort Knox?
George Washington’s Blog
Saturday, June 7, 2008
A group called the Gold Anti-Trust Action Committee claims that the U.S. government has defrauded the American people out of the nation’s wealth. Specifically, the group claims that the U.S. has secretly sold, leased or otherwise frittered away half of its entire gold reserves to pay for past military adventures abroad and other ill-conceived actions. Furthermore, the group claims that the government has intentionally covered up this loss of gold reserves through accounting fraud.
Are they right?
Well, as described by Darryl Robert Schoon in his book “How to Survive the Crisis and Prosper in the Process”:
Frank Veneroso is the author of the Gold Book Annual, probably the most comprehensive study and analysis of gold markets available today. One of the world’s foremost financial analysts, Veneroso’s clients have included the World Bank, the Organization of American States, sovereign nations and global money managers.
Frank Veneroso is also chief investment strategist for RCM Global Investors, the equity investment arm of Allianz Dresdner, the giant German insurance conglomerate which also owns the PIMCO bond funds, the bailiwick of Bill Gross.
It was in compiling the statistics on gold markets that Veneroso discovered that the Central Banks were hiding the vast majority of their gold loans from public view. Veneroso estimated that by the late 1990s, the highly lucrative and still hidden gold-carry trade amounted to 10,000 to 15,000 tonnes of gold.
The Central Banks pointed to their books which showed receipts showing large amounts of gold on deposit. What Veneroso suspected and found to be true, however, was that the gold wasn’t there. Ten to fifteen thousand tonnes of gold, an amount far larger than the Central Banks would admit, had been loaned to the investment banks in order to suppress the price of gold and now, in Veneroso’s opinion, were never coming back.
Veneroso noted that the amount of physical gold lent, 10,000-15,000 tonnes, is far too large for investment banks to repurchase without causing the price of gold to explosively rise, the very result the Central Banks had set out to prevent.
The success of the gold-carry trade had led to its failure. Now, at the cost of almost half of their gold reserves, the Central Banks are left only with promissory notes from investment banks instead of the tons of physical gold they had once possessed.
Whereas someone you know, perhaps even yourself, may in the very near future be forced out of their foreclosed home by bank order, rest assured that the investment banks will suffer no consequence for not repaying the gold they borrowed from Central Banks, gold that belonged to the nations that lent it, not its Central Bankers. In matters of finance, especially, the “even hand of justice” is reserved primarily for those that cannot afford it. It is estimated that in the past, Central Banks’ holdings of gold totaled 32,000 tonnes; and Veneroso’s figures show that perhaps 50 % of that is gone. This newly-discovered charade of Central Bank bookkeeping is as fraudulent as Enron’s; and as with Enron, the bookkeepers were complicit in the deception.
See also this.
Are Veneroso and GATA right? I don’t know.
But given that the wealth and stability of our nation is at stake, we should support their attempts to find out. The group has launched a campaign and filed a freedom of information act request to uncover the truth.
If you don’t have any background in the history of gold, here is a very brief history:
* The world’s leading currencies (or “reserve currencies”) have traditionally been backed by gold, at least since the days that shells were the preferred trading standard
* At the end of World War II, it was agreed by the wealthiest nations through the Bretton Woods agreement that the U.S. would be the world’s reserve currency, but that the U.S. dollar would be backed by physical gold (the “gold standard”)
* Because of huge over-spending on foreign military adventures, the U.S. had a gold deficit and was on the verge of economic disaster, and so in 1971 Richard Nixon suspended the gold standard (i.e. he de-linked the dollar from its gold backing)
* GATA and others allege that the U.S. and other wealthy nations have since intentionally suppressed the price of gold so as to make their non-gold backed currencies seem more valuable, and to hide the true level of inflation effecting paper money
* Part of this suppression has allegedly included dumping gold from Fort Knox and foreign gold repositories onto the gold market whenever the price of gold has drifted upward too much for their liking
Confessions of a Covert Agent
Psychological Operations are my specialty
Global Research, December 3, 2007
artofmentalwarfare.com – 2007-12-02
The author of the text below claims to be highly experienced in covert intelligence programmes and psychological operations – psyops. Interestingly, he charges that Robert Gates personally helped rig the presidential elections of 2000 an 2004 via massive computer fraud. Stating that this opinion is taken for granted throughout the US intelligence community, the author warns against future elections manipulated via computer fraud. He paints a vivid and disturbing picture of the levels of moral depravity now surging out of the Neocon volcano.
Worth reading and remembering.
Michael Carmichael is the Director of the Planetary Movement, a nonprofit public affairs organization based in the United Kingdom and a frequent contributor to Global Research.
The following article is excerpted from the upcoming edition of the book The Art of Mental Warfare by David Vincent.
The Art of Mental Warfare Editor’s Note
Psychological Operations are my specialty. PsyOps
Everything I’ve done has been highly classified, all black programs and black operations. Some people I know thought I worked for the CIA, but it’s much more complicated than that. I’ve worked with people in the CIA, DIA, NSC, NSA, SAIC, Army Intel and many more lesser known agencies within the intelligence apparatus.
Before focusing on PsyOps I started out running covert combat missions, special operations. I was good at what I did and rose through the ranks fast. When the “War on Terror” started I was paid a lot of money to consult with private military contractors. When private paramilitary units needed to get the jobs done that paid the most money they would come to me with checkbooks filled with US taxpayer dough.
I’ve seen the worst things imaginable, hell on earth. Had friends die in my arms. Seen piles of rotten corpses. Seen men, women and children tortured. I’ve seen the eyes of terrified and confused children being sold into a vicious life of slavery and an early death.
I could get a lot more graphic, but you get the idea.
That was my life, and all along I was told that I was fighting for freedom and working for the “good guys.” What a ridiculous comment that is! In the black world, that is, in the covert world, there aren’t any “good guys” — just varying degrees of evil.
As Brigadier General Butler famously stated, “War is a racket.” It doesn’t have anything to do with freedom and democracy. It is not good fighting evil. There’s just a bunch of old greedy gangsta motherfuckers making obscene amounts of cash and breeding hatred, violence, terrorists and sex slaves.
The truth is, there is no oversight! Meaning, you can get away with anything, nothing is illegal because no one knows about it, or the few who do are either in on it or have a vested interest in keeping quiet. Whether you’re runnin’ guns, weapons, drugs, gold, diamonds, women, children, it just doesn’t matter. As long as the old guard gets their resources, it’s all good. And in the end, it’s all about power. The people who really run this planet know that natural resources (oil, water, coltan, cobalt, etc.) are the key. The “War on Terror” is just a front for a geo-strategic resource grab on a massive scale. Even the wars in Northern Africa are all about exploitation of resources. Once the good ole CIA boys at Bechtel did their NASA satellite studies of the Democratic Republic of Congo’s (DRC) mineral resources and discovered that it was the “richest patch of earth on the planet,” all hell broke loose! They figured out that the DRC has 80% of the world’s coltan, among many other vital resources. Without coltan, you can’t have any technology that requires a computer chip: computers, cell phones, satellites and weapon systems, of course. So Bechtel, the CitiBank boys, the World Bank, IMF and various covert elements have been supplying brutal regime after brutal regime in the region. Well over four million and counting have died there.
Same thing with oil in the Middle East. Do you think they really give a shit about Iraqi freedom? We worked hard to make you believe that, but c’mon, they don’t give a shit about the Iraqi people. They’ve killed about a MILLION of them! And that’s NOT an exaggeration! They sure as hell give a shit about Iraqi oil though. They also care about Saudi oil, and have a nice deal with a dictatorship that brutally oppresses their people. If freedom and democracy are the issue, how about freeing the Saudi people? Why do you think 15 of the 9/11 terrorists came from Saudi Arabia? We support a regime that oppresses those people. We support them because they cooperate on the oil front. So, why strike back at them? Let’s hit Iraq. They don’t give us any oil – let’s get’em!
If you look at the history of covert special operations, it’s all about securing a piece of land that has some valuable resource. Once the resource is identified, special ops figures out the most efficient way to suppress or extinguish the population that is unfortunate enough to live near it. Then the big companies come in, from the United Fruit Company to the Bechtels and Halliburtons of the world. That is the way it has been and still is, from John D. Rockefeller and Allen Dulles right through Kissinger, Bush Sr. and Cheney. Millions of innocent civilians have been slaughtered. Let me repeat that: Millions of innocent civilians have been slaughtered. And I’m not kidding you. These are evil motherfuckers and they are no friends of ours. These things don’t have anything to do with protecting the US people or standing up for freedom and democracy. They don’t give a shit about the average American. In this age of the global economy, the concept of nation state is obsolete. If only proud Americans could understand that. Pride in the American way is just another propaganda device for PsyOps agents — people like me — to use to manipulate you and make you think that black is white and white is black.
If you were to ask me who is a bigger threat to the people of the US, Cheney or bin Laden, or who has done more damage to the US, I would say Cheney without hesitation. Cheney, along with Bush Sr. and Kissinger, has been running the covert world for about 40 years now.
A little side note for you: I firmly believe Robert Gates, the current Secretary of Defense and Bush Sr.’s right-hand man in the covert world, used computer cryptography and software security assets to get Bush Jr. elected both times. I do not have direct knowledge of the operation, but research “Robert Gates,” “Bill Owens,” “electronic voting security,” “HAVA,” “VoteHere” and “Scientific Applications International Corp.” [We will post more on this in the near future.] The operation went so well that Gates was going to be made the first ever Director of National Intelligence. He turned down the job, but then took the Secretary of Defense position when Rumsfeld was removed from his public position. I don’t think there will ever be solid evidence linking directly to members of the administration; it’s all a tangled web of plausible deniability. But I do think it will eventually be proven that the elections were manipulated to deliver Bush the victory. Many people in the covert world take this for granted, as common sense. Please don’t confuse this as partisan propaganda. I don’t give a shit about the Democrat or Republican PsyOps mind-fuck dynamic. They’re just labels to divide a potentially powerful united US public.
It’s hard to get the average American to understand these things. Most everyone in this country has been mind-fucked since birth. For a very blatant example, you can look at the advertising industry and the way they have increased intensely their focus on the youth. It’s all about breeding impulsive emotionally driven consumers through repetition – over and over again – buy, buy, buy. You hear something enough and you internalize the message. It becomes something like the air you breathe, like gravity. It’s there, omnipresent, but you don’t realize it or consciously think about it. It becomes the spring from which your thoughts leap forth.
What it all boils down to is the exposure rate. You take a simple message and you repeat it over and over, such as mentioning Saddam and 9/11. You don’t have to say Saddam was involved in 9/11, because that is not true. You just have to mention Saddam and 9/11 in the same simple repetitive message thousands of times and people will support an attack on a country that didn’t have anything to do with 9/11 because they’ve been psychologically conditioned to link the two.
It’s psychological operations on a grand scale, mass psychology. The scientific art of manipulating public opinion is 100 years old now. PsyOps have evolved to the point, thanks to the all pervasive mass media, where we can make you believe, or at least passively accept, whatever we want you to. I secretly worked with the world’s most powerful media companies to get you to believe what “they” want you to believe. The media is the most efficient weapon of tyranny and oppression ever created. No need to physically control populations anymore when you can do it mentally – program it in, internalize the rules.
To give a little more background on publicly revealed psychological operations, in 1977, after the Congressional Church Committee investigated CIA manipulation of the news media, and right after George Bush Sr. left his post as the Director of the CIA, famed Watergate reporter Carl Bernstein searched a little deeper into what was known as Operation Mockingbird. He revealed that over 400 US journalists were actually carrying out clandestine CIA PsyOps services. Bernstein identified operations involving almost every major US news outlet, most notably The New York Times, CBS and Time magazine. The CIA responded to all of this with a “limited hangout.” A “limited hangout” is CIA speak for when classified information gets out and you have to make it seem as if you are “coming clean” with all the information on the operation, but in reality you are really just admitting part of the operation so you can cover up other deeper parts and continue the program. This worked very effectively for them, as the US public quickly moved on and this operation has largely been forgotten. Currently, I would estimate, with cable news and the Internet now, that there are well over a thousand covert operatives spread throughout the news media. They have a firm grip on television, newspapers, wire services, radio and magazines. However, with the Internet – that’s their weak spot – it’s too decentralized and difficult to control.
The Pentagon’s Information Operations Roadmap now describes the Internet as an enemy “weapons system.” The Pentagon doesn’t hide the fact that they want total control over information, or as they call it “information dominance.” They very plainly state that they seek to “control land, sea, space and information.” This is what they refer to as “full spectrum dominance.” If you don’t think they see this as a top priority, look at Iraq. The plan to “embed” journalists with the military in Iraq was a strategic operation that considered “journalism as part of psychological operations.” The journalists that weren’t “embedded” were considered “enemy combatants.” More journalists have been killed in Iraq than in any other war, and it is the US doing a large portion of the killing.
Before I go too far here, the point I want to make to the US public, the bottom line is that the most power crazed and greed addicted people are above the law and get away with everything. In the covert world rules do not apply. Democracy is a fairy tale. Nothing is what it seems, reality isn’t real. Through the looking glass Alice goes.
I’ve fought against it and got nowhere. I’ve informed people that I naively thought could do something, but nothing could be done. I took all the blood money I’ve made and donated it to humanitarian causes. Will it make a difference? No. Not in the grand scheme of things, but in the short run it may save a few people… maybe. And that’s all I can hope for at this point.
I’ve become so cynical! I live with guilt and cynicism weighing on my every move, my every thought.
When you’ve seen the things I have seen, been involved with the things I’ve been involved with, when you’ve spent the majority of your life living like I have, what do you do when you decide to give it up and get out? Can you ever get out?
I was able to get out, thus far, when no one I knew thought I could get out. But once you lived in the covert world, “normal” civilian life feels like a prison sentence. Then again, the covert world was a prison sentence.
I’ve been strongly advised to keep a very low profile and forget about things for a while. But I find it hard to just fade into the night when we are reaching an event horizon, a breaking point. Despite my cynicism, there is a part of me that knows I have to keep fighting. The stakes are just too high, higher then they’ve ever been. The human species is in serious trouble, facing a set of crises unlike anything we’ve ever faced before. Unless these covert forces are exposed, and ultimately eliminated, I don’t see how we can even begin to make the bold actions that we need to start making now – and I mean right fucking now! These covert forces are a root cause and driver, a cancer spreading through the system and planet.
As far as I can tell, you can’t change the system from within the intelligence community itself. This includes the Senate Intel Committee. If the urgently needed changes are ever to happen, it has to come from the US public. Now I know first hand how the American public has been conditioned to be apathetic and not get involved in politics and has been fed a steady diet of misinformation. But propaganda only works to the point where the population being propagandized is not feeling the direct impact and negative consequences on a personal level in their daily lives. That’s why the draft played a large role in bringing an end to Vietnam. We need another draft to push the mainstream over the edge and into action, but the façade is beginning to crack – 9/11 had some effect, the war in Iraq certainly, Katrina, massive job loses and an economic downturn that has really just begun have all factored into creating a critical mass. Even the most propagandized population in the history of civilization will have to act when their very survival and well- being is directly threatened and impacted. I just hope enough people will understand the need for bold decisive action now, before it’s too late.
So, to the people who have awareness of the problems facing us, if I could give advice, it would be this:
1. Try the Bush Administration for war crimes. If the case could ever be brought to court, the evidence to convict is definitely there. This is why the administration has been strongly against the International Criminal Court. If we are to begin repairing this country, and the world, we must begin by showing these power crazed and covert forces that they are accountable. If we can convict someone like Cheney, we will send a powerful message to the covert world. If we let them walk, we will keep having these problems. New people will follow them and take their place.
2. Investigate where all the military spending has been vanishing off to. There are literally trillions of taxpayer dollars unaccounted for. This money is fueling the covert world and terrorism in general. As part of this, I would include an investigation into war profiteering as well.
3. Make it mandatory that all electronic voting machines must have a 100% verifiable paper trail.
4. Get people into the Federal Communications Commission (FCC) who will smash the current media ownership rules. The concentration of media ownership is the foundation of the covert power structure. Without that, the whole thing is a house of cards. That’s why the FCC is currently trying to ram through rules that will further consolidate media ownership before the Bush administration leaves office. As part of this, it is pivotal that we protect the open architecture of the Internet. The media belongs to the people, as does the government, in theory anyway, but we need an information system that actually serves the public interest.
5. Declare a national and global emergency on the environmental front. We have already reached the breaking point. We need organized, governmental, policy driven, bold action now.
6. We need to address entities that now have power over the Constitution, such as the undemocratic and unelected corporate global governing structure – institutions like the World Trade Organization (WTO) and the International Monetary Fund (IMF) and “agreements” like NAFTA and DR-CAFTA, to name a few. Most Americans don’t even know what these power structures are, let alone that they have power that supersedes the Constitution. We must also address the National Security Act, that’s where the ultimate power of our country lies. The National Security Act has effectively made the Constitution meaningless and is the primary driver of the covert world. The PATRIOT Act and various other newly granted powers must also be drastically revised or eliminated completely in order to protect our civil liberties.
7. Lastly, we need to have publicly financed elections. As long as we have a system that requires candidates to raise tens of millions of dollars to even be considered for office, we will have politicians who bend over backwards for the richest one percent and the most powerful elements of society at the citizens’ expense. An important aspect of this has to be a requirement for large media companies to provide candidates with free airtime. Candidates have to spend the majority of their money on advertising in the mainstream media. That’s why the major news media spend so much time focusing on who is raising the most money, because they are the ones who end up with all that money. Once we have publicly financed elections and free airtime for candidates, we will get people in office who will work in the interests of the public because they are not beholden to the large and powerful entities. When you have politicians depending on the public instead of the private sector for survival, all the issues mentioned above could be addressed because they won’t have to fear the withdrawal of support from large corporations and the wealthy and powerful who do not want these things to happen. This will also enable us to eliminate tax breaks for the richest one percent, put an end to corporate welfare practices, and stop funding for obscene military and prison industrial companies that are profiting off of disasters and no longer serve security interests. Then we can redirect that money into environmental, education, health care and social security programs, to mention a few.
In the current political environment this may all sound like an unrealistic pipe dream, but these are the seven pivotal things that MUST happen. If all seven don’t happen within the next few years, we will have set the world on a disastrously irreversible course. This is “the unfortunate reality of our current situation.” It is not going to be easy, but you better start fighting for it now, while we still can.
It really does come down to us. You have to personally, in your daily life, do everything you can. With enough public pressure all of these things are achievable. Once we get a small portion of the population acting in this direction, it will quickly catch on and spread. Even though the overwhelming majority of the US population is incredibly propagandized on the surface, just underneath is the realization of the need for mass action. They just need leaders to point this out. The mainstream just needs a spark. Do what you can to set it off. It is a matter of unprecedented significance.