Saturday, February 15, 2014

Banks in Crisis Mode

The G20 consists of a group of central banks and finance ministers of 19 countries plus the European Union. The G20 decreed (and presumably instituted government regulations to back them up) that their banks have clear title to depositors’ funds. As soon as funds are deposited they become the banks’ money and the depositors become unsecured creditors holding IOUs or promises to pay.
Money that you deposit in a bank belongs to the bank, not to you. They control it; you don’t.
That alone is sufficient reason to withdraw—while you can—your money (their money) from banks.
If you have a stock market account with a brokerage firm such as Morgan Stanley, take notice of your statements where cash, dividends, and interest from your investments are credited to a money market fund or a bank deposit. Once again, it becomes their money, not yours.
In the Cypriot financial crisis of 2012–2013, the European Commission and the International Monetary Fund effectively took charge; closed the country’s second largest bank, and imposed a one-time levy on deposits, “possibly around 40% of uninsured deposits” in the island’s largest commercial bank, the Bank of Cyprus. The depositors lost out.
Germany is (was?) the second largest holder of gold, of which 1,536 metric tons—nearly half of their reserve—is stored on the fifth subfloor of the Federal Reserve Bank of New York on Liberty Street, 80 feet below street level, on the bedrock of Manhattan Island. In 2007 when Bundesbank staff members requested to see their gold, they were denied access and limited to the anti-room of the reserve. In May of 2011, they were granted permission to see only one of nine compartments holding their gold bars.
In January 2013, the Bundesbank, Germany's central bank, announced it plans to move to Frankfurt half of its gold that is stored in New York. It is reported that they were denied shipment until 2020. At any rate, to date the Bundesbank received shipments of a mere 37 tons, just over 5% of their 700 tons expectations. Even if they were unable to withdraw the full amount in one transaction, that is still well below the 87.5 tons that the Bundesbank would have received if it were to collect the 700 tons on an annual installment basis in the 8 year interval between 2013 and 2020.
This January 2014, HSBC—the Hongkong and Shanghai Banking Corporation—one of the world’s largest banking firms with 6,600 offices in 80 countries, questioned depositors wishing to withdraw funds from their account on how they intended to spend the money, and limited withdrawals to £3,000 ($4,922).
The JP Morgan Chase Bank is banning wire transfers to foreign banks to prevent the risk of capital flight as America wakes up to the desperate situation that the banks are in. The bank is also prohibiting cash withdrawals of $50,000 or more.
Do you see where this is leading to?
So, what do you do with the funds withdrawn from the bank? Stuff it into your mattress or bury it in a coffee can in your back yard as they did in the great depression of the early 1930s?
Cash, whether kept it in a cookie jar or burried it in the back yard, loses its purchasing power through inflation. And when hyperinflation hits, cash loses its value alarmingly.
Ever since “quantitative easing” was introduced following the bank crisis of 2008, the Federal Reserve has been printing $85 billion each month. That amounts to more than a trillion dollars per year. The more dollars printed, the less valuable the dollar becomes. Look what happened to Germany in the early 1920s when they kept printing money to pay their debts.
Considering the vast amount of money that the Federal Reserve has printed and continues to print, we should be seeing the beginning effects of hyperinflation by now. The reason we haven’t as yet is because the banks are hoarding it. When in due time this money is dumped into circulation, hyperinflation will ensue, and the value of the cash you are holding will drop precipitously.
An economic crisis is being engineered. It is inevitable. At some point in time, the unseen hands of the people who control everything, the same people who are engineering the crisis, will introduce a global currency to replace the dollar and currencies of other nations. They even have a name for this new currency. They call it the “Bancor”.
Chaos will spread throughout the globe. It will be deliberately induced.
Their slogan will ring true: “Ordo ab chao” Order out of chaos.
It will be their order; their new world order.
That is the game plan.
Russell Stepanchak
February 10, 2014

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