Commentary - 10/02/08

Majority of Senators Bet On The Dragon [and AMI's Press Release]

Well, you can forget their words as they didn't match their actions. Their action, 74-25, was to bet on the Dragon and continue the excesses of the last 95 years. Yes, they've had 95 years to correct a wrong that started in 1913 and today's financial problems are the direct result. Unfortunately, you ain't seen nothing yet.

1968 was the halfway point at 50 years. The value of the dollar had been devalued 50 percent. Men that wanted to slay the Dragon, such as John and Robert Kennedy and Martin Luther King, were silenced by assassination.

Now we're at 95 Percent devaluation and the Dragon still wants more. In the Midwest, both Senators from Kansas voted NO MORE! while both Senators from Missouri both voted MORE! Even in the heartland, our representation is split between those who favor the majority of their people, and those who favor the few financial predators.

In this Bloomberg article, Paulson Bank Rescue Proposal Is `Crazy,' O'Neill Says

Former U.S. Treasury Secretary Paul O'Neill said the $700 billion bank-rescue proposal under negotiation in Washington is ``crazy,'' with potentially ``awful'' consequences for the world's largest economy.

``Doesn't this seem like lunacy to you?'' said O'Neill, who was President George W. Bush's first Treasury chief, from 2001 to 2002, in a telephone interview today. ``The consequences of it are unbelievably bad in terms of public intrusion into the private sector.''

Paul O'Neill goes on the say:
``Is anybody thinking there?'' asked O'Neill, who also served as deputy budget director in the Ford administration. ``It's too late, it's not going to make any difference and it's aggravating as hell when there's a better idea and you can't even get it in play,'' he said, recognizing little success so far in pitching his own proposal.

O'Neill, 72, was fired after an almost two-year tenure marked by strains with White House officials and comments that roiled markets.

It's obvious how much the Dragon is attempting to completely own us now, as even it's old friends have no say.
``None of them are returning phone calls,'' O'Neill said. ``I honestly don't think they really understand it and they're so much in a bubble that it's impossible to penetrate it.''
So if the Dragon's old friends can't get a word in edgewise, what do we do?
Last night I received an e-mail from a real dragonslayer, as follows:
Dear Friends of Monetary Reform,

Below is our press release after the 4th Annual Monetary Reform Conference (a report will soon go out; participants are emailing their congratulations)

Meanwhile, a gang of ruthless thieves is attempting to steal an additional $700 billion from our nation, under threat of an economic meltdown.

There are two things you can and should do RIGHT NOW to stop this outrage:

1) Forward this email immediately to your entire email list by Thursday at the latest, and request that they also forward it to their lists, etc, etc, etc!

2) Forward this email to both of your U.S. Senators, and to your Congressman.
(The email address of your Congressman is at
Your Senators' email addresses are at:

Do this before Thursday's vote!

Thanks, Stephen Zarlenga of American Monetary Institute
- - - - - - - - - -
Press Release from the American Monetary Institute -- Sept. 29, 2008
Contact person: Stephen Zarlenga -- Phone: 224-805-2200
[Please respect use of this telephone number.]

The following press release is issued by the American Monetary Institute following its 4th annual Monetary Reform Conference at Roosevelt University, Sept. 25-28th. [which I attended]

"The private financial sector has failed. The public sector is expected to rescue them and it will. Therefore the public sector should control the money system to benefit the country".

Why No Immediate Wall Street Bailout Will Work

In order for the bail out to work, it needs to restore confidence among the public, not just Wall Street gamblers. Confidence won't be restored by rushing Congress into bailing out the very same people who wrecked our money and banking system. That will actually harm things further. The public understands this and sees the $700 billion grab as adding insult to injury.

The only way to restore confidence is if the Congress is seen to be carefully deliberating how to solve the crisis, in the American interest. The people will then understand that Congress is doing its job and our country can then start rebuilding it’s money system. The Predators accurately judged the Democratic and Republican Congress to be jellyfish. But they misjudged the American people, who have given our congress some backbone. We are going to have our opportunity to replace our unjust money system with a good one in the coming months and years, as this crisis develops.


Monetary Reform of the Federal Reserve System.

At the heart of the problem is that our money system has been privatized. Naturally it’s been run for the benefit of the “privates” in control, with minimal concern for the public interest.

Legislation called The American Monetary Act has been in preparation for years. It’s based on well known monetary principles and actual experience from our own, and other countries monetary history. (See the Act at

The Act incorporates the Federal Reserve System into the U.S. Treasury. It removes the banking system's privilege to create money, placing that firmly within government, and it establishes areas for governmentally created money to be introduced into the economy for infrastructure, including the human infrastructure of health care and education.

Should the situation deteriorate markedly now, the American Monetary Act could be put into effect immediately with the reliable understanding that it would be a definite and major improvement over the current system.

Our money system would then shift away from credit and debt, to real money. One difference between money and credit is that during uncertain times, credit evaporates as confidence declines, but money does not go out of existence, it is much more stable. A big part of the current problem is that while we have had loads of bank credit circulating, there has been very little “real money” issued by government in circulation mainly our coins and bills. The credit is evaporating along with housing valuations.

The AMI has been ready and working on these provisions for years, while realizing that it unfortunately might require a crisis to bring real attention to it. We have the crisis now.

Rather than borrowing the $ billions being demanded, and ending up paying back about 3 times the amount after interest charges, The US Government would issue money itself, instead of borrowing it from banks. But while the banks issue credit that substitutes for money, the U.S. would issue actual money. Our Government has the power to create the money, in an account, or by simply printing it as “greenbacks.”

There would not be inflationary effects, because it was already believed that those moneys existed in the form of the real estate values and loans. In effect this would stop a deflation which will follow from writing down those assets and loans to their present market values. Conditions in the act assure that the banking system could not use those government created dollars for further credit creation, as that would be inflationary. The US Treasury would help direct the money into the real economy, not speculation.

Warmest regards and ready to help,
Stephen Zarlenga
Director, American Monetary Institute
224-805-2200 [Please respect use of this telephone number.]

Today, we must say, "NO MORE!"
The Dragon Wins NO MORE!
Let's accept our failures now.
Pass the American Monetary Act to prevent giving away TITLE to our homeland.
© 2008 by Edward Ulysses Cate
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