SCENARIO OF NATIONAL BANKRUPTCY
SCENARIO OF NATIONAL BANKRUPTCY by Pro-Liberty for The Daily Coin
Doom and gloom is appearing with increased frequency in U.S. and global financial writings but specific details of economic catastrophe are never given. Let us speculate.
Is a view into an ultimate future available ?
ANSWER: Sure, that is easy. Read what has happened to Greece and Argentina. William Blum and Chossudovsky give many more examples. Bank deposits have been seized; pensions have been wiped out; jobs have been lost; real estate owned by individuals is selectively confiscated; the economy crashes; national assets are sold at fire-sale prices to debtors; government must ask financiers for permission to pee; etc. The same New York City parties appear to be repeatedly involved.
How will it be handled in the U.S. ?
ANSWER: The Federal Reserve of New York will handle it. They have exclusive handling of funds to pay off instruments of indebtedness that have been issued by the U.S. They will select who gets funds which the government has available. Ref. 31 CFR 375.3.
Who will benefit from the crash?
ANSWER: Firms that are tasked with collection of Treasury securities for redemption will be selected by the FRBNY; i.e., select Primary Dealers that currently receive >$10 trillion annually from redeeming Treasury securities. Some of the TBTF banks were involved in creating the Federal Reserve. The concept that they hold ownership of the Board of Governors, in a closely held corporation that does not have to file with the SEC, should not be overlooked. The BOG has administrative and regulatory control of the 12 FR bank franchises. [Two FR banks have been held to be private corporations for the issues at bar—which is irrelevant.] The FR system will be used to the owners’ benefit. Ref. https://thedailycoin.org/2018/08/16/a-look-at-the-federal-reserve-through-a-different-lens/.
Are there incidents that suggest the involved entities have abused their position of trust in the past ?
ANSWER: Sure. They are called conspiracy theories and have been available for decades. Ref. https://thedailycoin.org/2019/07/25/war-mongering-brought-to-you-by-wall-street/ Even the NYTimes is now aware of the existence of a Deep State.
But cannot the U.S. merely print more money ?
ANSWER: The FR has received legislation that permits them to practice ‘fractional reserves’ (without margin requirements) and call it QE or non QE. That practice has been used to rescue the banking system. That option does not have to be used to rescue the government. Book-entry money for the government to spend involves ‘new cash’ securities which must be auctioned (but the money cannot go to the government). If the securities cannot be sold, it appears the government will not be credited book-entry money. The decision appears to be in the hands of the Fed.
Are the actions of the above parties lawful ?
>ANSWER: It depends on who you ask. The Charter of the Fed stipulates all “net profit” of the Fed belongs to the government. It appears that “new cash” from the auctions of Treasury securities, that is handled by the FRBNY, strangely disappears. No consideration from any potential recipients appears evident. Also, the structure of the Fed develops a National Debt obligation that, mathematically, is impossible to culminate. A contract that cannot be culminated is an act of fraud and is void from its inception.
Ref.: The 1992 GAO report reveals the FRBNY electronically receives auction bids [ http://www.gao.gov/assets/90/82783.pdf ] and 31 CFR 375.3 grants unlimited exclusive authority to disburse auction funds.