In modern American society, it is not customary to remember how Presidents Thomas Jefferson, James Madison, and especially Andrew Jackson warned the American population: the Republic and the Constitution are in danger! The clan of financiers mercilessly influences the policy of the state, wanting to obtain a monopoly on the emission of banknotes (emission is such an issue of money into circulation, which leads to a general increase in the money supply in circulation, which, of course, leads to inflation and a real deterioration in people's lives).
First encounters
One of the Founding Fathers, Thomas Jefferson, viewed the private banking monopoly as the greatest threat to the republic's existence. In particular, he wrote: “If the American people ever allow banks to control the emission of their currency, first through inflation and then deflation, the banks and corporations that will arise around them will deprive people of all their property, and their children will be homeless on the continent that their fathers took possession of. The right to issue money must be taken from the banks and returned to Congress and the people to whom it belongs. I sincerely believe that banking institutions are more dangerous to freedom than regular armies."
On the other hand, Alexander Hamilton, the first US Treasury Secretary, introduced a bill to the House of Representatives in December 1790 granting a concession to the privately owned Bank of the United States. Thus, he established the first private monetary monopoly in US history - the predecessor of the modern Federal Reserve System. Hamilton's proposal for a national bank was to grant a privileged minority the right to a private monopoly by Congress. The Bank of the United States now had the exclusive right to print currency, it was exempt from taxation, and the US government was ultimately responsible for all of its actions and debts.
In 1811, the concession with the First Bank lost its validity, and Congress refused to renew the agreement due to inconsistency with the Constitution. But a year later, the war on the European continent gave the bank's supporters the opportunity to put forward a new proposal: they say that the dire economic situation caused by the war requires financial support in the form of a new national bank. Ultimately, the bankers managed to oblige the House of Representatives and the Senate to pass a bill that allowed the establishment of the Second Bank of the United States. The bank law was approved on April 10, 1816 by President James Madison.
Toughie
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However, the power of the politicians did not want to bend under the yoke of the power of the financiers. A particularly tough confrontation arose between the bankers and President Andrew Jackson. In July 1832, Congress granted the Second Bank of the United States another concession, but President Andrew Jackson vetoed the bill, accompanied by an emotional message that is still of great interest to those who are partial to American history. Some, however, view the writing as "pedantic, demagogic and full of pretense." In reality, as the famous American conspiracy theorist Anthony Sutton writes, Andrew Jackson's fears and arguments turned out to be prophetic for the American people.
Back in his inaugural address in January 1832, Jackson outlined his position on the Bank and the extension of the concession: “The agreement with the Bank of the United States expires in 1836. And in all likelihood, shareholders will apply for an extension of their privileges. I cannot take this step in order to avoid the vices generated by haste in adopting a law that affects fundamental principles and hidden financial interests. I will not dare to do this, giving due to the voters and parties interested in too soon submitting the document for consideration by the legislature and the people.
The compliance of this law with the Constitution is completely called into question, since the law provides shareholders with special privileges that can have dangerous consequences. Its expediency is questioned by the majority of our citizens. And we must assume that no one will deny that he did not achieve our noble goal of introducing a single and strong currency throughout the country."
A year later, the concession debate with the Bank of the United States escalated into a conflict between Andrew Jackson and his Treasury Secretary, William Duane. Jackson demanded the withdrawal of all government deposits from the US Bank, owned by individuals. In turn, Dwayne opposed Jackson's initiative. As a result, the president won, and the minister resigned.
In a letter to the American people dated June 26, 1833, Andrew Jackson elaborated on his demand. To keep government deposits, he suggested choosing a bank in each city, preferably a state-owned bank with a good reputation.
But Congress again petitioned for an extension of the concession with the Bank of the United States, and Jackson again vetoed the bill, making increasingly bold statements: "It is the responsibility of the bank to conduct its business in such a way as to exert the least pressure on the money market." Ultimately, the president decided to sever all ties between the Bank and the state: “The Bank of the United States has the power of power and in this case will intend to squeeze out state-owned banks, especially those that may be chosen by the government to allocate funds. So it will lead to want and devastation throughout the United States."
Prophetic message
President Andrew Jackson's last message to the American people, March 4, 1837, was, in fact, prophetic. He openly warned American citizens about the dangers threatening their freedoms and well-being (he was the last American president who could afford such a luxury - independence from the power of the powerful financial elite). In one of his works, Sutton quotes from this message: “The Bank of the United States waged a real war against the people in order to force them to submit to their demands. The need and confusion that gripped and agitated the whole country at that time cannot yet be forgotten. The cruel and merciless character that this struggle wore against entire cities and villages, people brought to poverty, and a picture of serene prosperity, which was replaced by a world of darkness and decay,- all this should forever remain in the memory of the American people.
If these are the privileges of the bank in peacetime, what will they be in case of war? Only a nation of free citizens of the United States could emerge victorious from such a collision. If you didn’t fight, the government could pass from the hands of the majority to the hands of the minority. And this organized financial clique would dictate its choice to high-ranking officials by collusion. And, based on her needs, would force you to war or peace."
A victorious march of bankers?
After the resignation of Andrew Jackson, the bankers again launched a counteroffensive. But for a long time they did not succeed in regaining the lost positions completely. For a quarter of a century, the so-called era of free banks began, which was replaced by the rule of national banks. Moreover, during the last quarter of the 19th century, the US economy went through a series of financial crises. In 1907, another panic broke out. It was she who became the impetus for the creation of the Federal Reserve System. Three years later, leading US financiers gathered on Jekyll Island, where they worked out a compromise solution regarding the structure and functions of the future central bank. The result was a diagram that was presented to the congress.
In 1912, the largest US bankers appointed Woodrow Wilson, the famous historian, emotional professor and ardent Protestant, as president. The main sponsor of the election campaign was a prominent New York financier Bernard Baruch, who was supported by Jacob Schiff, Morgan, Warburg and other "sharks" of the banking world. It was Woodrow Wilson, who owed Wall Street, a year later, who signed the bill to create the Fed. The bankers' appetites went very far - they were generally going to do without the participation of the state here, in which they did not succeed. However, this did not prevent American financiers from capitalizing on two world wars, and by now turning the US army into one of the tools for playing on the currency exchange. President Jackson turned out to be a visionary after all.
Magazine: Secrets of the 20th century №33. Author: Andrey Chinaev