A Conversation With Catherine on M3(This conversation over the Internet was probably the most revealing item on the web or in the media that day. Your future is at stake here. This is about the coming Hyperinflation and Great Depression.)
Source: Liberty Forum
URL Source: http://www.libertyforum.org/showfla ... view=collapsed&sb=5&o=21&part=
Also http://www.solariactionnetwork.com/phpBB2/viewtopic.php?p=9796
Published: Nov 26, 2005
Author: Catherine Austin Fitts

A Conversation With Catherine Austin Fitts on M3 [ Post 294178555 ]


Synopsis: The discontinuance of M3 stats by the FED might cover massive fraud and currrency inflation Source: Solari Action Network Published: November 26, 2005 Author: Catherine Austin Fitts For Education and Discussion Only. Not for Commercial Use.


A Note from Catherine on the Fed's Cancellation of M3

I have been asked by several network members to comment on the cancellation by the Federal Reserve of the publication of its broadest series of aggregate monetary statistics, known as "M3."



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http://www.federalreserve.gov/releases/h6/discm3.htm

Discontinuance of M3 On March 23, 2006, the Board of Governors of the Federal Reserve System will cease publication of the M3 monetary aggregate. The Board will also cease publishing the following components: large-denomination time deposits, repurchase agreements (RPs), and Eurodollars. The Board will continue to publish institutional money market mutual funds as a memorandum item in this release.

Measures of large-denomination time deposits will continue to be published by the Board in the Flow of Funds Accounts (Z.1 release) on a quarterly basis and in the H.8 release on a weekly basis (for commercial banks).

Last update: November 10, 2005



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In a nutshell, here are my thoughts:

1. The twelve federal reserve banks -- that together run the bank clearing and currency system -- are privately owned. If you call them up and write to them -- as I once did-- and ask who owns them, who manages their data and whether or not their owners have access to their data, you will be told that this is private information. Fed bank data is arguably the most valuable databank in the world.

2. The flagship Federal Reserve bank is the NY Fed. The NY Fed is the depository for the US government and manager of a powerful slush fund -- the Exchange Stabilization Fund.

3. Significant efforts have been made to ensure that citizens do not have easy access to data about how all the government revenues and expenditures, credit and regulations work within the areas from which they vote for political representation. In short, you do not get annual financial statements that document the most basic government financial performance within your Congressional District. This means you have no basis for assessing performance or providing for citizen based accountability.

4. What 1-3 in combination mean is that corporate profits and stock, mortgage and bond markets (and other capital markets) can be invisibly rigged using taxpayer funded and backed resources in the form of government contracts, subsidies, asset sales and transers, tax benefits, credit guarantees and market intervention and manipulation -- all in a manner that perpetually increases the wealth of a few insiders and drains the many outsiders. This process steadily lowers overall productivity by switching power and money from the productive to the unproductive.

5. There is over $4 trillion missing from US government agencies that we know about-- this is $14,000 per US resident -- who knows how much is missing in total. This disappearance was financed by presumably trillions in debt securities for which the US government and government agencies are liable. As total debt outstanding explodes, it becomes more and more challenging to refinance outstanding debt let alone issue more. Grossly oversimplified, our financial dependency on other nations channeling greater and greater amounts of their total retirement savings to financing our military expeditions and consumer purchases of their manufacturing output becomes ever more politically sensitive.

6. The way to keep the game going is for the Federal Reserve system to simply buy increasing amounts of debt issued by the US government and for the US Treasury and Congress to use the proceeds to protect "insiders" from the resulting inflation while squeezing everyone else while the NY Fed manages market interventions that help do the same.

7. The cancellation of M3 helps accomplish #6 by cancelling some of the statistics (particularly on "repos") that would help market analysts see what is going on.

8. The Federal Reserve's explanation that this is a cost cutting move does not compute given the nature of the Federal Reserves rich resources and the importance of transparency to the functioning of markets.

9. In short, a small group of people continue to use US government debt to finance a war machine to build and consolidate global empire and to use inside information along with the US government budget and credit machines to ensure that this war machine is richly profitable for them and their global allies while draining and depopulating everyone and everything else.

10. The cancellation of m3 is Tapeworm Economics at its best.

For some useful pieces on the M3 cancellation, see:

http://www.solariactionnetwork.com/phpBB2/viewtopic.php?t=3060&highlight=

(Response from a solari network member)

I have been thinking that the banks will use the discontinuance of M3 statistics to cover 2 things. My idea is that they know now that there are several large corporations that are going bankrupt. They can sell their soon to be worthless bonds to the FED at the discount window. They will be monetizing the debt but in 2006 they will be able to hide the surge in money supply becasue M3 will no longer be divulged. I am thinking that since they know the dollar will collapse that they will be using this new money to buy commodities, such as, gold, oil, silver and copper. We might want to watch for a spike in commodity prices over the next 6 months. I should point out that when they unload their junk corporate bonds they will leave American pension funds holding the bag when those major companies do declare bankruptcy. And the ensuing inflation will devalue what is left of their pensions and savings to zero. Now you know why they need to pass even more Patriot Acts. Tens of millions of people will become destitute and might want to say bad words about the banks and the government they own.

Catherine's Response (Note Catherine used to be the managing partner at Dillon Read and worked at HUD under the first President Bush. She is an expert on mortgage fraud.)

When I first got to FHA, my analysis of historical financial performance indicated that whenever the real estate market dropped...everyone put their bad mortgages "back" to FHA/HUD. We were a dumping ground for the private guys losses so to speak.

Over the years, I have watching the private banks put many of their losses back into the federal credit....so your idea about bad bonds fits with the historical patterns.


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Daniel237 writes: "Catherine mentioned the trillions of dollars in federal government spending that was intentionally never sudited so that billions of dollars could be stolen each week. The refernce material for that is here: http://www.solari.com/learn/articles_missingmoney.htm " You might want to go back and read that release from the Federal Reserve again. There are 3 components of M3. Of the 3 two will continue to be revealed elsewhere. Only the Repurchase Agreements will no longer be published. This tells us that since Repos are used to inject credit into the system and can be easily used to manipulate markets that is what they want to conceal at all costs. As I write this, gold has soared to $600 an ounce.
Wall Street might have deceived the American public, but they have failed to fool the markets. And the markets will soon pronounce the dollar's demise.

An Important Point About WTC Building 7 on 9-11. On 9-11-2001 we all saw World Trade Center buildings 1 and 2, the north and south towers, collapse. But later that day WTC 7 or building 7 which was one block away also collapsed. I want to make my controversial statement up front. It is: The men who decided to allow the controlled demolition of WTC 7 on 9-11 were knowingly allowing those same people who used explosives from the inside of the larger north and south towers to eliminate the evidence of mass murder and treason in the deaths of thousands of people on 9-11.

Now let's get to the arguments and proof. Professor Steven Jones teaches physics at Brigham Young University. Several months ago he was at an event where a woman speaker said that anyone believes that the planes alone took down WTC 1, 2 amd 7 on 9-11 ought to take another look at the evidence. He said the whole room full of college professors expressed their opinions, many for the first time in public, convincing him to investigate further in to the attacks of 9-11. The result was published on the internet. You can read his study here:
http://www.physics.byu.edu/research/energy/htm7.html

His conclusion was that WTC 1, 2 and 7 were taken down by controlled demolitions. Please note that WTC 7, a 47 story building, was never hit by a plane. It did collapse, but before it did the leaseholder, Larry Silverstein, was heard to say we had to pull it down which would indicate a controlled demolition. Professor Jones cites simple physics as his basic proof. If WTC 7 had simply collapsed in a vacuum, it would have taken 6 seconds. He analyzed the video and found that it took 6.6 seconds or just 6/10ths of a second longer. This is not possible unless the pillar and tress supports had been taken out by pre-positioned and timed bombs. If the 3 buildings had been pancaked down with each floor caving in on the floor below, then it would have taken a lot longer as each floor would resist and slow the collapse. This is understandable to the layman in terms of inertia or the conservation of momentum. Suppose a truck rear ends the last of 47 cars stalled in traffic on the freeway. The 47th car in line, slows the momentum of the truck but it is forced forward and strikes the 46th car and it in turns slows the momentum and it hits car 45 and so on to car number one. What Professor Jones is saying is that WTC 7 collapsed so fast that there was no resistance from the 46 floors below the top of the building which had been hit by debris and was burning. Earlier in the day the New York firemen had said that their two hoses would have been sufficient to control the blaze. No skyscraper had ever collapsed from fire in the past 100 years. Shortly after 9-11, a 36 story building in Madrid had burned for 36 hours and it did not collapse. Office fires burn at 550 degrees fahrenheit but steel only melts at over 2,000 degrees. If you put a frying pan in the oven at 550 degrees for 4 hours, turn off the oven and go to bed. In the morning you could pick up the pan with your bare hand because the heat had dissipated overnight. But the steel at the WTC site was still hot days later. That suggests to Professor Jones that the steel had been exposed to thermite when the bombs inside the WTC had taken down the buildings. There is much more evidence on the WTC in the previous entry on this blog.

I would like to repeat my previous point that the decision to allow WTC 7 to be "pulled down" was crucial in the coverup of 9-11. It was not the only coverup. The steel could have been tested by forensics experts for evidence of explosives inside the buildings if we lived in a democratic republic. But we do not so the best evidence was carted away and sold to foreign scrap yards as it had been 6 years earlier on April 19th, 1995 when the FBI and the Department of Justice allowed the co-conspirators to go free after having killed 168 people in the bombing of the Alfred Murrah federal building in Oklahoma City. McVeigh was seen leaving the Ryder
truck by a woman who lost her leg in the blast. But she also saw another man leave the Ryder truck about 45 seconds after Timothy McVeigh meaning that the second man was most likely the one who had detonated the charge blowing up the truck. Of course the truck was a diversion as were the planes of 9-11. There were bombs inside the Murrah buliding to take down interior pillars. General Benton McPartin who was in charge of bomb ordnance for the USAF said the building could not have been taken down by McVeigh's bomb alone. But the news media and the Congress refused to listen to him so the same scenario was repeated on 9-11. For more information on the Oklahoma City bombing go here: www.OKCBombing.org .

I did hear an interesting story about the removal of the scrap metal at the WTC on a KPFA radio show called Guns and Butter. Bonnie Faulkner was interviewing Jim Hoffman of www.WTC7.net . They said that sophisticated tracking devices costing $1,000 each were placed on each truck that was to haul away debris. Each $1,000 device was sacrificed at the end of each trip. One truck driver stopped to eat. When the authorities determined from his tracking device that he had taken an hour longer than expected, they fired him on the spot. You can find Bonnie's show on the internet at www.KPFA.org .

Now back to the main point that the best evidence that 9-11 was an inside job and was destroyed as was Oklahoma City in 1995. think for yourself the steps involved in a controlled demolition. Suppose a decision was made on 9-11 at 10 am to pull down WTC 7. How long would it take you to do it? First, you would have to gather your experts and get them to the site despite the traffic problems. Then you would also have to get blueprints for building 7. Then you would have your engineers study the blueprints, hold a meeting and make their plans. You would also have to send out for the bombs. I do not know how far away their nearest bomb storage facility was, but it took time. And then they had to get approval from the site owners, the leaseholder, the fire and safety officials and the city administration. After that they had to go past the fire and police lines and the rescue workers and inside building 7 which was burning at the time. Then they had to have their gas masks on while they positioned dozens of bombs. Then they went outside and set off their charges. If this is the way it did happen, we would have been told so. The only other alternative is that the bombs were pre-positioned for building 7 as Professor Jones had said.

Now let us contemplate what this means. It means that fire and safety officials, the mayor, the FBI, the leaseholder and the New York Port Authority which owned the World Trade Center are complete idiots or they knowingly allowed the perpetrators of 9-11 to destroy the evidence that would have undone them. Willaim Rodriguez was in the sub-basement on 9-11. Both he and his boss were injured from a bomb blast that went off just seconds before the first plane hit their tower. He has since orgainized weekly rallies and led marches past the major media centers in New York. The media knows that he has discovered 27 other witnesses, including New York city firemen, who saw and heard explosions inside the WTC. They know. The city officials know. WTC 7 was allowed to be taken down so it would destroy evidence of the greatest crime in American history. They know. But their fear is so great of the real perpetrators of 9-11 that they refuse to do anything at all.
You can read the about William Rodriguez here:
http://www.ArcticBeacon.com/Jul12-2005.html

If you are still convinced that the World Trade Center was taken down by those 2 planes alone and you think you can prove it, you can go to Jimmy Walter's website and file a claim for the million dollar reward he will give to anyone who can prove that bombs did not take down the World Trade Center. Go here http://Reopen911.org .

It should be noted that the FBI has not found either one ticket or boarding pass for any of the alleged 19 Arab "hijackers" on any of the 4 doomed flights. Nor did the FBI find any surveillance videos of even one "hijacker" getting on board. What does this mean? Go to an airport and ask people in line what the probability is that even one person could get on a flight without either a ticket or a boarding pass. If they say one in a million, then the odds of 19 Arabs doing that in succession is a million times a million nineteen times. That works out to a one followed by 114 zeroes. It is the same as picking five out five numbers in a state lottery with one in a million chances of getting all five numbers and doing that ninteen times in a row. But their "luck" extended beyond that. They were also able to predict the exact hour and day that NORAD, the FAA and other U.S government agencies would conduct "terror drills" which gave the "hijackers" time to hit their targets. Of course their "luck" included 4 airlines crews not being fast enough to input their 4 digit hijack codes. And their "luck" also included the phenomenal ability of Cessna school washouts being able to fly jumbo jets to their destinations. Flight 77 was on a path to Donald Rumsfeld's office when he changed course, performed a 270 degree turn and went down 7,000 feet so he could hit empty offices and spare Rummy's life. Professional airline pilots tried several times to re-create flight 77's final path and none were able to do it. These Arabs must be phenomenally lucky to get on board planes without tickets and to choose the exact hour and day of "terror drills" and to be able to fly better than professional airline pilots without any experience or real training. Of course 7 of the 19 alleged "hijackers" were alive on 9-12-2001. That is real "luck". To be able to fly a plane into a building and to survive!! And the cornoner found no Aran DNA on flight 77. And you know what that means. They were devout Muslims and resurrected themselves. Either that or your government lies big time.

My final question to you is this: Are you willing to do what it takes to turn America into a democratic Republic with freedom and justice for all including the victims of 9-11 and the 168 people killed in Oklahoma City? For the benefit of those of you employed by the Department of Homeland Security, I am talking about turning America into a democracy by non-violent means. I am not instigating anyone to violence. George Bush is an idiot and far too stupid to understand what happened on 9-11. I am merely saying that practicing free speech will save this country and
possibly the world.