Fiat Empire: Why the Federal Reserve Violates the U.S. Constitution (2007)

Why the Federal Reserve Violates the U.S. Constitution

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Are you aware that the U.S. Constitution states that only Congress has the authority to create money; this money must be backed by gold and silver; and "bills of credit," also known as Federal Reserve Notes, are illegal under Article I? Our government is violating all of these stipulations at this time? The Federal Reserve System is a quasi-private, government-sanctioned banking CARTEL that issues "bills of credit" on behalf of Congress. This banking system, in violation of the U.S. Constitution, creates endless amounts of paper currency out of thin air and then lends it to the government creating the national debt. Behind-the-scenes planners of the Federal Reserve System knew from day-one that they would have to lobby to instate an income tax to ensure interest payments on the national debt, thus the Fed and the Income Tax were both created in the same year, 1913.

Most citizens aren't aware that every dollar that comes into existence does so as a dollar of debt because the entire money supply of the United States is no longer backed by gold or silver, but DEBT. Is it any wonder we are now in a "credit crises"? We now live in a nation so overwhelmed by public and private debt, it will be impossible to pay it all off.

Due to the mathematics of principle and interest creation under "fractional reserve banking" as codified and practiced by the Federal Reserve System, the U.S. monetary system is the largest ponzi scheme in history, now well over $100 trillion dollars . . . and growing. Why else is "globalization" necessary, than to bring in fresh money?!

Watch this award-winning film to find out why some feel the Federal Reserve's practices of facilitating fiat money are a violation of the U.S. Constitution and others feel it's simply "a bunch of organized crooks." Find out what fiat money and fractional reserve banking are and why the mainstream media has strict orders to NEVER discuss the mechanics of the banking system -- unless they are prepared to lose their special privileges.

In FIAT EMPIRE you will discover why experts agree the Fed is a banking cartel that provides unjust enrichment mainly for Wall Street bankers, their corporate clients and a Congress that would rather increase the national debt than raise taxes. Find out how the media facilitates the partnership between the Fed and Congress and why it fails to fully disclose what's going on. Lastly, find out how the Federal Reserve Member Banks are owned and controlled by an elite group of insiders that use debt-based, fractional reserve money to fund their agenda of moving the United States further from its founding principles towards endless bailouts, bankruptcy, cultural Marxism and world government.

FIAT EMPIRE is inspired by The Creature from Jekyll Island, a book by well-known author and FREEDOM FORCE founder, G. Edward Griffin and features congressman Ron Paul

Also featured is Dr. Edwin Vieira, Ph.D., J.D. from Harvard (foremost authority on the U.S. Constitution and author of Pieces of Eight and Consitutional Homeland Security). Dr. Vieira and the various experts in FIAT EMPIRE discuss the Fed in connection with long-term studies which indicate that the Federal Reserve System encourages war, destabilizes the economy, generates inflation (a hidden tax) and is the supreme instrument of unjust enrichment for a select group of insiders. Dr. Theodore Baehr (founder of MOVIEGUIDEĀ® and Chairman of the Christian Film & Television Commission) rounds out the discussion by addressing the relationship between the mainstream media, the Fed and the government. Often delving into why the mainstream media only broadcasts a narrow spectrum of issues, FIAT EMPIRE explains why new voices and third-party candidates are often marginalized, if not suppressed entirely from the public discourse.

The Gross National Debt

Bear in mind that twice before in U.S. history, the American People voted down central banks similar to the Federal Reserve System. We did it then, we can do it again. We can do it again if we are able to explain to enough people HOW fiat and fractional money cause, not only excessive national debt, but mortgage and credit card debt. Increasing numbers feel this debt could destroy the U.S. dollar and crash the World economy beyond repair -- unless the profligate oligarchy that's now trying to cease power is brought under Constitutional control.

FIAT EMPIRE defines the gateway problem to all other economic problems and proposes a number of solutions to bring a Constitutional monetary system back to the United States and general welfare to you and all citizens.

As a public service, you can watch FIAT EMPIRE for free on Google Video. If you get something out of it, please purchase a DVD below. The DVD is much clearer and includes an additional 120 minutes of interviews of the experts interviewed in the film. Refer others to the DVD as well as this website (such being or at the mirror site at in the even the main site is ever shut down). Purchases of FIAT EMPIRE are going into our new documentary, ORIGINAL INTENT, now in production. ORIGINAL INTENT features Ron Paul, Pat Buchanan, G. Edward Griffin, Edwin Vieira and others. Use your FIAT EMPIRE DVD to give screenings to your family, friends and associates or purchase FIAT EMPIRE in bulk quantities and hand them out. Your family, friends and associates will appreciate and thank you for the insights in FIAT EMPIRE and the books recommended at the end. Only an informed citizenry can safeguard against rogue politicians and a tyrannical government.



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Your purchase of FIAT EMPIRE is helping us produce ORIGINAL INTENT, our next documentary on the Constitution. It's amazing how many Americans complain about their country and government yet do nothing about it. It's amazing how often wealthy businessmen, celebrities, investors, heirs and other people of means say no, or just donate a token sum so they won't look too bad. Why is this? How can Americans, who have benefited the most, go out and run up a $500 dinner tab or buy a $50,000 automobile, yet pass on donating even $100 to help produce a documentary that addresses the very Constitution their way of life depends on? How can people spend millions on real estate, yachts, jewelry, antiques, furniture, clothing, shoes, travel and endless vacations -- yet when asked to donate even $5,000 to help produce a movie on the Constitution, fail to step up to the plate? Do such people really deserve to call themselves American Citizens?

Watch FIAT EMPIRE and hopefully it will re-align your priorities (if you are one of the people described above). Then donate for ORIGINAL INTENT and refer this page to your family, friends and associates that claim they are concerned about their country. It's probably up to you, because you can be sure the Wolf Blitzers and the Bill O'Reillys of the mainstream media won't be helping out much. Consider these things.



Why the Federal Reserve Violates

the U.S. Constitution


James Jaeger

First Draft Script

Copyright 2005-2006

By Cornerstone-Matrixx Entertainment



"But they that will be rich, fall into temptation, and a

snare, and into many foolish and hurtful lusts, which drown

men in destruction and perdition. For the love of money is

the root of all evil. . ." -- I Timothy 6



We see a montage of our busy civilization. People hustling

all over the place. Commerce taking place. Life proceeding

somehow -- even though a dangerous creature lurks in the



When you suggest to people that

their money should be gold or

silver coin, as it says in the

Constitution, they sometimes stare

at you with a blank expression or

make the most extraordinary

comments. . .


Clips from actual interviews of American citizens where the

following question is asked: Do you feel that our paper

currency should still be backed by gold or silver?


That might have been fine in 1776,

but now our economy is so big,

there would never be enough gold or

silver to go around.


Well, if we still used gold or

silver, how could I do my banking

over the Internet? How could I do



If money were still based on coins,

gold OR silver, there's no way

modern society could function. I

mean, how could I use my credit



WHY would I want to carry all that

change around in my pocket? It's


The only thing a quarter buys these

days is a piece of bubble gum.


These statements by everyday

American citizens show that they

are concerned, yet they also show

how little many of us understand

the intentions of the Founding

Fathers. Thomas Jefferson.


CAMERA scans the parched text of the Constitution as the

"voice" of Thomas Jefferson speaks over (VO). Half way

through, we dissolve to Jefferson's words in print.


If the American people ever allow

private banks to control their

currency, first by inflation and

then by deflation, the banks and

corporations that will grow up

around them will deprive the people

of all their prosperity until their

children will wake up homeless on

the continent their fathers

conquered. -- Thomas Jefferson.



As narrator continues below, we focus on Article I, Sections

and 10 of the Constitution where the Founders stipulate that

our money should be gold and silver coin. A clearer version

of these lines rises off the Constitution and fills the

screen. These lines are as follows: "The Congress shall have

Power To coin Money, regulate the Value thereof, and of

foreign Coin, and fix the Standard of Weights and Measures;

No State shall make any Thing but gold and silver Coin a

Tender in Payment of debts."


So what's going on here? Why does

the Constitution clearly state that

our money shall be coin, yet we are

using government-issued, supposedly

official paper dollar bills known

as Federal Reserve Notes? And we

can't even cash these in for silver

any longer.



As narration above and below continue, CAMERA slowly pans

left from a close up of Thomas Jefferson's face on the

Hundred Dollar Federal Reserve Note (Series 1950) to the

words that say this bill is redeemable in lawful money, that

is, officially-minted United States gold or silver coins.

These words then morph into other words that make no mention

of redeemability as CAMERA slowly pulls back to reveal the

familiar Federal Reserve Note we use today. These newer

bills, no longer backed by silver or gold, show George

Washington, larger than ever, off to the left.


. . . and why does Thomas

Jefferson, the very man who drafted

the Declaration of Independence and

co-authored the Constitution of the

United States WARN us about banks

AND corporations? Something is off

here! G. Edward Griffin.


As narrator finishes the above, CAMERA slowly descends on the

words "Federal Reserve" printed on the dollar bill. We then

dissolve to a shot of the actual Federal Reserve Bank in New

York City. As the below narration proceeds, we successively

dissolve to each of the other 11 Federal Reserve Banks around

the country which make up the "system." A title indicating

the city of each branch floats off the screen.


What is the Federal Reserve System?

The answer may surprise you. It is

not federal and there are no

reserves. Furthermore, the Federal

Reserve Banks are not even banks.

In layman's terms, the Federal

Reserve banks are the banks'

banker. In more accurate technical

terms, the Federal Reserve System

is a quasi-private, governmentsanctioned

banking cartel, which,

as has happened before in this

nation's history, should be

abolished for the following

specific reasons: It is incapable

of accomplishing its stated

objectives; it is a cartel

operating against the public


it is the instrument of supreme

usury, what some call unjust

enrichment; it generates inflation,

our most unfair tax; it encourages

war; it destabilizes the economy;

and it's an instrument of


INT. JAMES McCABE'S OFFICE In an office with hundreds of

books in the background, James McCabe discusses the Federal

Reserve System and what's going on. JAMES McCABE When my

father, Thomas B. McCabe, was chairman of the Federal Reserve

System, the national debt was "only" $255 billion. It's now

over $6.1 trillion . . . and that's just the current debt,

what's due within 12 months. Since the Truman Administration

when dad served, the U.S. government, in concert with what

amounts to a group of private banking corporations, has

expanded the currency AND the credit to a point where today's

dollar has significantly lost its purchasing power.


Purchasing power? Expansion of the

credit? What do we mean by all

these words, words we may have

heard many times but still fail to

connect the dots?


We are interviewing a check-out CLERK who is holding up three

tomatoes-on-the-vine in one hand and a Federal Reserve Note

(FRN) in the other. A number of customers stand behind her.


I remember when it took ONE of


(referring to the FRN)

to buy THREE of these.

(referring to the


Now it takes THREE of these

(referring to the FRN)

to buy even ONE or TWO of these.

(referring to the


A dollar simply doesn't have the

power to purchase very much any



Yep. It's not your prices that

have gone UP, it's that the VALUE

of these things,

(refers to the FRN)

has gone DOWN. Hey, remember when

they used to say SILVER CERTIFICATE

on them? Now all they say is

Federal Reserve NOTE. They're not

even IOUs now. Give me a break!



And this over-blown, off-center

picture of Franklin. Pah-leeze!

Who authorized THAT?! Certainly

not ME, or any of us tax-paying



CAMERA tracks down isles of food, rows of new automobiles,

shelves of electronic appliances, racks of clothing, houses

for sale in the neighborhood.


Are you confused? If so you're not

alone. Since the early 1900's

almost no one talks about the

country's banking system any more,

yet our money, like water, is one

of the most important commodities

we have.


More than that, the quality of our

money effects the productivity of

every man, woman and company in



As time goes on, people figure out

better ways of doing things, better

ways of making products, cheaper

and faster. For instance, one

farmer can now grow food for

thousands of people whereas he used

to be able to feed only his family.

Thus, everything SHOULD be getting

cheaper because the supply of

everything has been growing faster

than the demand. This is true even

though the population has been

growing as well. Unfortunately,

this is not what we observe. With

the exception of a few industries,

like the computer industry, AND

products we import from places like

China, it seems that almost

everything is getting HIGHER in

price but often LOWER in quality.

How can this be? Over the decades,

the productive energy of society

seems to be getting siphoned off.

INT. JAMES McCABES'S OFFICE - DAY As Mr. McCabe talks, we see

shots of Ross Perot warning about NAFTA, cars lined up at the

Mexican border, a little girl sucking the last of a milk

shake, shots from old vampire movies, printing presses

running wildly, a little boy accidentally pouring too much

milk in a cup of coffee, Congressmen in session pounding the

table, another kid blowing up a balloon, people standing in

soup lines, a shot from APOLLO 13. (Note, if James McCabe is

not available to do the below interview, the producers

anticipate offering the opportunity to Ross Perot.) JAMES

McCABE That loud sucking sound you hear is not only NAFTAgenerated

jobs going to Mexico, it's the purchasing power of

your money being sucked out by the vampires at the Federal

Reserve. These folks realize how profitable it is to

endlessly dilute the money supply with freshly-printed cash.

THAT'S inflation. (pause) With a little help from their porkbellied

friends in Congress, they then lend this fresh cash

into the system so they can collect billions in interest

payments. With all this bogus paper floating around, is it

any wonder we have a permanent increase in prices? (pause) I

would say it's high-time for the country, and the handful of

responsible Congressmen, to re-open the national dialog on

our banking system. Now that we have had an unfettered

chance to experience the Federal Reserve System in full-blown

action since the Great Depression -- which of course the

bankers had nothing to do with -- (wink wink) -- there are a

number of issues that indicate "we may have a problem



As narrator speaks, we see a montage of newspapers,

television clips and graphs addressing the following

subjects: recessions and depressions, booms and busts since

the escalating national deficit AND debt, graphs of inflation

and loss of purchasing power, unemployment statistics, the

cost of insurance and healthcare, stock market bubbles, overpriced

real estate, balance of trade deficits, ENRON,

WORLDCOM and Arthur Andersen criminals being led away in

handcuffs, perpetual wars, human suffering.


It's almost impossible to believe

that the all-powerful dominant

mainstream media, what Bill

O'Reilly calls the ELITE MEDIA,

would endlessly cover all these

issues yet be silent on the very

subject that is common to all of

them -- money, and the entity that

creates and manages the so-called

money supply: the Federal Reserve

System. Why is this?


CAMERA dissolves from the buildings and/or logos of the multinational

media corporations that own all the major movie

studios, TV networks, cable companies and publishing houses.

These corporations are as follows: WALT DISNEY COMPANY, TIME



voice of "Ted Turner" reads an excerpt from his widely

suppressed article, MY BEEF WITH BIG MEDIA. (Note, in the

event Mr. Turner is not available to do the below interview,

two possible alternatives could be author-attorney, John

Cones or Hollywood observer, Ted Baher.)


Today, media companies are more

concentrated than at any time over

the past 40 years. Consolidation

has given big media companies new

power over what is said, not just

on the air, but off it as well.

Naturally, corporations say they

would never suppress speech. But

it's not their intentions that

matter; it's their capabilities.

Consolidation gives them more power

to tilt the news and cut important

ideas out of the public debate.


As the narrator speaks VO, we watch a continuous montage of

events the corporate media avidly covers to keep our

attention pegged on the EFFECTS of a ravaged monetary system

rather than the CAUSE, which is the Federal Reserve System.

This montage would include the endless parade of murders,

rapes and scandals, such as O.J. Simpson, Michael Jackson,

Monica Lewinski, Amber Fry-type "news" stories, to exemplify

but a few.


Yes the dominant media "entertains"

us with the "news." Could this be

one of the reasons any critical

reporting of universally important

issues, such as the Federal

Reserve, have been cut out of the

public debate for so long, as Mr.

Turner suggests? Or are there

other reasons? If so, what are

they? Why would 9 major media

corporations, corporations that

control the information flow to 95%

of the American citizens, fail to

report on the detrimental

activities of the Federal Reserve

System, a private banking cartel

that literally controls 100% of the

money flow to the same citizens, as

well as the lion's share of the

money flow to Congress itself? G.

Edward Griffin.


CAMERA pulls back from a long shot of J.P. Morgan's hunting

club to reveal seven men emerging from a gleaming black coach

parked at the railway station on Jekyll Island. These men

are elite bankers and U.S. government officials as follows:

Nelson W. Aldrich, Henry P. Davidson, Charles D. Norton, A.

Piatt Andrew, Frank A. Vanderlip, Benjamin Strong and Paul M.

Warburg. As they get off the train, a TITLE reveals what

bank they work for (such as National City Bank of New York)

or what government post they hold (such as Assistant

Secretary of the U.S. Treasury).


The basic plan for the Federal

Reserve System was drafted at a

secret meeting held in November of

at the private resort of J.P.

Morgan on Jekyll Island off the

coast of Georgia. Those who

attended represented the greatest

financial institutions of Wall

Street and, indirectly Europe as

well. The reason for the secrecy

was simple.

Had it been known that rival

factions of the banking community

had joined together, the public

would have been alerted to the

possibility that the bankers were

plotting an agreement in restraint

of trade -- which, of course, is

exactly what they were doing. What

emerged was a cartel agreement with

five objectives: stop the growing

competition from the nation's newer

banks; obtain a franchise to

effectively create money out of

nothing for the purpose of lending;

get control of the reserves of all

banks so that the more reckless

ones would not be exposed to

currency drains and bank runs; get

the taxpayer to pick up the

cartel's inevitable losses; and

convince Congress that the purpose

was to protect the public. It was

realized that the bankers would

have to become partners with the

politicians and that the structure

of the cartel would have to be a

central bank.


Various shots of our national buildings around the Capitol.

Stock footage of the government going about its daily

business of "serving" the People.


The motivation for Congress to go

into partnership with the elite

bankers who formed the Federal

Reserve is clear: endless amounts

of money could effectively be

printed up and lent to Congress,

thus individual Congressmen would

no longer be forced to depend on

raising taxes to generate

additional revenue -- an unpopular

action that can cost them reelection.

Ironically, if there were

no Federal Reserve System, there

would be no need for an income tax.

In fact, the country did fine

without it for 137 years. The

income tax Amendment was introduced

the same year the Federal Reserve

System was formed, 1913.

Coincidence? Prior to the

formation of the Federal Reserve

System, the country never did

better. In fact THAT was the

problem -- at least for the major

banks. Capital formation, also

known as SAVINGS, was happening all

over. America was doing great! So

much so, the big New York banks

were losing business. No one

needed to borrow money. Why SHOULD

they when they could finance

expansion out of earnings, AND pay

no interest?


But why isn't the dominant media

telling us THIS story? What would

motivate them to refrain from a

critical report on the Federal

Reserve System, especially today

when critical reports are often

made on every aspect of life. Dr.

Ted Baehr.


As Dr. Baehr speaks, we see shots of political campaigns. We

see the network-sponsored presidential debates, we see

headlines announcing that the government has granted

additional bandwidth in the broadcast spectrum to this

corporation or that, all dominant media companies. And on

the last line below, we see an explosion of a hydrogen bomb.


It costs millions of dollars to run

for President or Congress today.

Where does most of the campaign

money get spent? It goes to

network air time. The purchase of

media. TV commercials. And who

gets this money? The companies

that dominate the media, of course -

- basically 6 multi-national

corporations which own the 6 major

movie studios and 5 major networks.

Thus candidates are, to a great

degree, dependent on what Ted

Turner calls big media, to get

elected. But after they get

elected, to show their

appreciation, they often pass

legislation which benefits only the

big media corporations.

Such legislation might include who

gets first call on more broadcast

spectrum . . . or who gets to even

BE IN the broadcasting business,

i.e., gets a license. In short:


Thus, it would be a "conflict of

interest" if the media were to

broadcast anything that might

lessen Congresses' ability to do

what it wants. And the primary

thing Congress wants to do is

OBTAIN and SPEND money --

especially money that perpetuates

the status quo and the expansion of

government. None of this is

possible without their partnership

with the Federal Reserve bankers.



As narrator discusses the structure of the Federal Reserve

System, we cut to various shots of the following banks:



ownership lists have been in the public domain in the past.


Let's take "a second look" at the

words of Thomas Jefferson, a deeper

look at exactly WHO owns and

operates the private banks known as

the Federal Reserve System and what

their "mission statement" might be.

TITLE: ". . .the banks and corporations that will grow up

around them will deprive the people of all their prosperity.

. ."



The banks AND corporations that

will grow up around them will

deprive the people of all their



Interesting that Jefferson not only

mentions the BANKS that will grow

up, but the CORPORATIONS as well.

Bear in mind that each one of the

FEDERAL Reserve Banks is basically

a PRIVATE corporation. Neither you

and I, the People, nor the FEDERAL

government for that matter, OWN

these corporations, these so-called

banks. They are owned by OTHER

corporations known as "member

banks." According to accidental

releases of 'Fed' stockholder

information, as of 11:05, Tuesday,

July 26, 1983, five member banks

owned 53% of the stock in the

Federal Reserve Bank of New York,

the most MAJOR of the 12 Federal

Reserve Banks around the country.

This is a controlling interest in

the controlling bank. The MAJOR

stockholders of these MAJOR banks,

however, are confidential. No one,

not even the government or the

President of the United States,

knows who they are, nor can they

find out. We all began to lose

track of this ownership on Tuesday

the 26th of July, 1983 at 11:05 AM.

Only a small group of elite

INSIDERS knows who these owners or

controlling agents are in present

time. Bill Van Alen.


As William L. Van Alen, Jr., founder of the socially

responsible NOAH FUND, and Narrator speak, we cut to shots of

major law firms, accountancies, agents, brokers and the army

of enablers in the "system" -- a system not unlike the

control system portrayed in the motion picture, THE MATRIX.

We then cut to a group of kids playing MONOPOLY as one kid

scoops up a handful of red hotels and slaps down a stack of

green Federal Reserve Notes.


Does this sound like a Thomas

Jefferson operation? Does the socalled

Federal Reserve System sound

like something Ben Franklin, the

man who co-authored the

Constitution and invented the potbelly

stove, would set up? Or does

it sound more like something George

Orwell would write about in his

nightmare book, 1984?


No one knows who the controlling

owners of the Federal Reserve

member banks are because these

individuals use what's known as

NOMINEES and STREET stock to hide

their identity. But let's back up

for a moment. We need to remember

that most of us have seen the

gradual but perpetual "behind-thescenes"

push for socialism by a

relatively small number of

prominent people: politicians,

movie stars, business executives,

academics, clergy and so forth.

Here's what the analysts now say

about this bunch. Best estimates

indicate that a network of about

people, mostly located in large

urban areas worldwide, facilitate

the acquisition and control of the

voting stock of these banks, and

other major corporations, by proxy.

These so- called movers and shakers

are the main "soldiers" in what

could be termed an international

"socialist army." This army,

directed by an insider control

group of about 300 "line officers",

gives the marching orders as to

where literally hundreds of

TRILLIONS of dollars of monetary

power will be directed.

Interestingly, many of these 300

insiders seem to be related to one

another by blood, marriage, and

business ties, and, it appears,

have family ties to the original

robber barons of the industrial

revolution at the turn of the 19th



Fortunately or unfortunately, most

of the 7,000 involved may be

largely unaware of their negative

effects on society. They may even

sincerely, but naively, believe

they are simply "doing good."

Nevertheless, now talking about the

300 line officers who form the

inner body, we estimate that about

30 of this group are anything BUT


This 30-person core -- what could

be considered a "general staff" --

seem to know precisely what they

are doing, AND what their goal is:

nothing less than world domination

through economic high-tech

feudalism. Eventually, as people

become aware of the effects of the

insiders, we may see the day when

federal investigations describe

these "monetary scientists" as the

most dangerous and depraved

criminals in the world --


a global syndicate of individuals

who seek to impose THEIR plan on

civilization and, in the process,

TRASH the "In God We Trust" plan

that inspired the Founders when

they set up the United States of



Thus, having successfully

established the ultimate moneymaking

machine, the Federal Reserve

System, this nefarious cartel of

tyrants is in a position to

literally acquire control over the

assets of the world -- deprive the

People of ALL their prosperity --

as Thomas Jefferson would say. This

is the calculus of the situation,

and this is exactly what they are

doing -- with a little help from

their "virtuous," but "ignorant"

servants in Congress, as John Adams

might say. Yes, the Founding

Fathers must surely be rolling over

in their graves.


All the perplexities, confusion,

and distress in America arise, not

from defects in their Constitution

or Confederation, not from want of

honor or virtue, but from the

downright ignorance of the nature

of coin, credit and circulation.


More clips of various American citizens in which the

following question is asked: Where does Congress get most of

its funding?


I would imagine taxes.


Taxes. Raising taxes.


Selling cigarettes and liquor?

Probably lotteries as well.

Despicable for government to be

involved in such things.


They borrow it from you and me . .

. and the Japanese.


As we can see, the average American

citizen has conflicting ideas as to

where Congress gets its funding.

In actuality, Congress gets most of

it by borrowing it from the Federal

Reserve. The Federal Reserve gets

the so-called money by effectively

printing it up. The whole process

is known as the Mandrake Mechanism.

Thus, today's paper currency, far

from the gold and silver coinage

stipulated by the Founders, is

essentially created out of thin

air. Again, G. Edward Griffin.


As Mr. Griffin speaks, we see various shots of people working

hard, sweating and really putting out energy. These shots

are inter-cut with bankers simply pushing buttons on

computers and filling out deposit slips while chatting with

pretty office girls. We see printing presses printing up TBills,

T-Bonds and T-Notes which morph into Federal Reserve

Notes bearing the words: "One Silver Dollar Payable to the

Bearer on Demand" which are suddenly Xed out in red ink.

Against a background of morphing dollars (from the 1907 Gold

Certificate for $10 Dollars to the 1963 Federal Reserve Note

for $1) we see more printing presses printing out the

unbacked, fiat, Federal Reserve Notes feverishly.


Today's American dollar has no

intrinsic value. It is a classic

example of fiat money with no limit

to the quantity that can be


Its primary value lies in the

willingness of people to accept it

and, to that end, legal tender laws

may require them to do so. It is

true that our so-called money today

is created out of nothing, but it

may be more accurate to say it is

based upon debt. In that sense, we

can see that today's money is

created out of LESS than nothing.


Superimposed we see hands grabbing and releasing sand in the

wind, checks being made out for mortgage payments and rents,

we see a foreclosure sign nailed to a house; a man digs a

ditch, a woman smiles at a child who is blowing up a balloon.

We see cashiers accepting Federal Reserve Notes for food as

the words "This Note is legal tender for all debts public and

private" stream across the screen. We see the child's

balloon burst as the day-care "mother" looks on, suppresses a

laugh, and then spindles a Federal Reserve Note




Our leaders cannot allow a serious

reduction in either the national or

consumer debt. The Mandrake

Mechanism by which the Fed converts

debt into money may seem

complicated at first, but it is

simple if one remembers that the

process is not intended to be

logical but to confuse and deceive.

The end product of the Mechanism is

artificial expansion of the money

supply, which is the cause of

inflation. This expansion then

leads to contraction and, together,

they produce the destructive boombust

cycle that has plagued mankind

throughout history wherever fiat

money has existed.


As Rep. Ron Paul speaks, we dissolve back to the Constitution

and a shot of the Founding Fathers signing it. We see a

montage of the gold and silver coins Americans used once upon

a time as well as the more recent Gold and Silver

Certificates. Rep.

Ron Paul then slowly picks up a copy of the book, MONEY,

published by Principia Publishing and turns to page 84 where

CAMERA moves in for a close up of the $100,000 Gold

Certificate (series 1934) which ONLY the Federal Reserve

Bankers are allowed to use, and redeem in gold, even today.


All this brings us back to Article

I, Sections 8 and 10 of the

Constitution. Our Founding Fathers

knew all about fiat money. In

fact, this is the reason many of

them fled war-torn Europe to seek a

new life of peace in the American

Colonies. All great republics

throughout history cherished sound

money. When money was sound,

civilizations were found to be more

prosperous and freedom thrived.

Thus the Founding Fathers knew

that, unless the money supply was

gold or silver coin with all paper

currency backed by gold or silver --

thus creating a tamper-proof medium

of exchange -- profit-seeking

bankers would inevitably print up

and LEND into circulation as much

fiat money as possible, directly or

indirectly, so they can charge the

public a maximum of interest. The

Founders also knew that

unscrupulous politicians would be

tempted to partner with these

bankers so they could establish a

source of funds as an alternative

to taxation. This has resulted in

career Congressmen who have customtailored

the government to suit

THEIR needs, rather than the needs

of the People. Often their "needs"

involve war, as fiat money provides

the primary way of financing war

without raising taxes -- again the

very thing many of the Colonists

fled war-torn Europe to avoid.


Constitutional money prevents all

this. It also prevents inflation

and the destructive boom and bust

cycles in the economy -- the so

called Business Cycle.

Contrary to what you may have heard

in your Econ 101 class, given in

one of our nation's governmentfunded

schools, there is NOTHING

natural about the Business Cycle.

It's as artificial as the bogus,

fiat money that causes it. On the

other hand, Constitutional money

promotes steady, long-term growth,

capital formation, prosperity and

minimal debt. And up until 1913,

when the Glass-Owen Bill was rushed

through Congress to form the

Federal Reserve System -- Americans

HAD all this. So why has the

American citizen been forced off

the so-called gold standard, while

the Federal Reserve Banks, and

their private stockholders, alone,

STILL remain on it?!


By now, you should be asking

yourself some serious questions

about this Creature that was

concocted on Jekyll Island in 1910,

a creature which roams the land to

this very day -- attempting to

inflate our way to prosperity by

endlessly expanding the currency,

the credit, pork programs and yes:

ultimately the government -- thus

truncating individual freedoms and

liberty for all.


Clips from actual interviews of American citizens where the

following question is asked: What is the Federal Reserve



I guess it's where they keep the

gold. Something to do with Ft.



Sure, it's a system that keeps

America calm and reserved so we

don't abuse our neighbors around

the world.


The Federal Reserve System? I

would suppose it has something to

do with my bank. Oh, that's it,

they insure my deposits up to a

hundred grand. Now if I only HAD a

hundred grand!


As I once heard author G. Edward

Griffin put it: The Federal

Reserve is the banks' banker. It's

a quasi-private, governmentsanctioned

banking cartel that

should be abolished for seven

reasons: It is incapable of

accomplishing its stated

objectives; it is a cartel

operating against the public

interest; it is the supreme

instrument of usury; it generates

inflation, our most unfair tax; it

encourages war; it destabilizes the

economy; and worst of all, it's an

instrument of totalitarianism.


Wow! Now THAT citizen is informed!

Too bad everyone is not as aware of

how far we have strayed from our

founding principles. But alas,

that's why the producers of this

promotional film propose a

continuation of the dialog.

Americans need to stay on top of

one of their most influential, if

not most nefarious, institutions,

the Federal Reserve System. More

importantly, they need to find out

exactly WHAT this private BANK has

done to the American Dream and HOW

it happened. They also need to

find out WHY it happened and WHO is



Because so many people in the U.S.

are now semi-illiterate, thanks to

the government-sponsored, fiat

money funded public school system,

we believe this discussion can be

stimulated only by a series of

documentary films.

In many ways film has replaced the

written word for the masses -- and

these films, at the very least, can

be broadcast across the Internet

and sold on DVD by direct mail.


The first documentary will address

questions such as: How does the

Federal Reserve effect your day-today

life? Why does it now take a 2-

income family to make ends meet

thus preempting women from their

traditional role of providing more

consistent child care? Why do we

see a never-ending expansion of

government? Why do we have a

nightmarish array of federal, state

and local regulations? Where do

both political parties get the

money to continue the welfare

state, economic interventionism,

endless militarism and empire

building? How often does your

company have to raise prices in

order to pay the costs of complying

with a bewildering assortment of

government controls?


Where does the government get the

funds to wage perpetual war and

conduct frivolous investigations

yet fails to provide the basic

protection citizens needed on

September 11, Why does so much of

what you purchase these days last

only a year or two and then break

or have to be replaced? Why does a

first-class stamp now cost nearly

40 cents, when it used to cost only

5 cents? Why do we see a deepening

wealth disparity which continues to

stir up discontent, drug use and

crime? Why are most of us worse

off than our parents at the same

age? How can the country be over 7

trillion dollars in debt, yet our

children are still coming out of

government-run schools

mathematically and scientifically

illiterate compared to other

countries? In sum, why do you feel

like you're on a treadmill and have

to constantly run faster just to

keep up?


We cut to Mr. Ewart, an expert on the etymology and accurate

use of monetary words and phrases. He is also an expert on

the intentions of the Founders as embodied in the

Constitution and numerous other important documents. Note:

Due to an illness, it may not be possible to use Mr. Ewart's

voice. In such case, a narrator may be used on the lines



Inflation causes a PERMANENT rise

in the general price level, not a

temporary price rise in narrow or

isolated markets. What then is a

rise in the general price level?

The general price level of a

community, country, state or nation

is determined by monitoring the

prices voluntarily paid for a long

list of products and services.

Remember, inflation is a CAUSE of

the rise in the general price

levels. Often people confuse CAUSE

and EFFECT. For instance, rain is

a CAUSE of wet streets; WET STREETS

don't CAUSE rain. Smoke and flames

don't CAUSE arson; they are the

EFFECTS of arson. By the same

token, price increases don't CAUSE

inflation; INFLATION is a CAUSE of

price increases. Thus, printing of

paper currency by the Federal

Reserve is the sole CAUSE of

inflation which, in turn is THE

cause of long-term price increases.

It's confusion over terms like this

apologists for the Federal Reserve

System hope will continue to

obfuscate its detrimental effects

on society so that they, and

insider monetary scientists, can

continue to unjustly enrich



As Mr. Ewart continues to explain inflation, it is pouring on

Wall Street, but the "rain" is trillions of tiny Federal

Reserve Notes with their ink hardly dry. Green pools of

quick sand form all over the sidewalks and streets as

unsuspecting business men and citizens march into them and




Thus the three most important

factors influencing the general

price level of a society are, one,

the supply of money and credit,

which is the purchasing media.

Two, the supply of goods and

services. And three, the

availability of people to buy those

goods and services.


As Mr. Ewart speaks VO, we see the below titles, A, B and C.

As he makes his point of what causes an increase or decrease

in the general price level, the capitalized words change from

INCREASES to DECREASES, and vice-versa.



Here are the three circumstances,

any one of which can cause an

INCREASE in the general price


A. The supply of purchasing media INCREASES. B. The supply of

goods and services DECREASES. C. The population (demand)


Here are the three circumstances,

any one of which can cause a

DECREASE in the general price


A. The supply of purchasing media DECREASES. B. The supply of

goods and services INCREASES. C. The population (demand)




Since productive people almost

always find better, less wasteful,

ways to do things, in a simple

trading society, one which doesn't

use money or other media of

exchange, productivity almost

always increases. As individuals or

social productivity increases,

everyone's standard of living



Each of us has his or her own

"personal computer" called our

brain. When we use our "computer"

properly, our standard of living,

from generation to generation,

steadily improves because we

continually find less-wasteful ways

to do things.


As long as the availability of our

purchasing media remains relatively

stable, which it does when we use

gold or silver coins -- or their

redeemable paper substitutes --

prices tend to decline from

generation to generation, in spite

of the increasing demand for

products and services from an ever

larger population. If you live in

a society which adheres to

traditional American values, as you

grow older the prices you pay for

almost everything would be

relatively lower and your standard

of living would be relatively



Unfortunately, since we do not

observe this happening, present

world circumstances suggest we Homo

sapiens have done something

radically wrong.


As producer, Bill Van Alen, concludes the film, we stride

through a series of quick, "fair use" images of our world as

seen over an assortment of TV networks. The images are

mostly alarming, mostly the antithesis of the world we COULD

have if people only adhered to traditional values and lawful

money as set forth by the Framers of the United States



The documentary we are producing

will present an overview of both

Constitutional AND fiat money and

how they come into existence. It

will discuss the thinking behind

the Constitution and explain why

our country, and its people, are in

serious trouble unless we quickly

steer a course back to a system of

sound, Constitutional money.

But all is not doom and gloom. We

will present a way the country CAN

gradually legislate its way back to

sound money, backed once again by

gold and silver.


Future documentaries will be based

on the research outlined in the six

chapters of the book, THE CREATURE


Griffin and possibly expanded upon

by other experts in the field.

These documentaries will more fully

explain how the Federal Reserve

System operates, with emphasis on

federal deficits and the practice

of "fractional reserve banking" --

the main engine of inflation and

the culprit behind the continuous

loss of purchasing power, what we

experience as a continuous rise in



We will also give the true history

of money and banking and explain

why gold has been used down through

the ages to maintain the structural

integrity of monetary systems and

why fiat money, government-decreed

money generated by central banks,

such as the Federal Reserve --

gives profligate and tyrannical

governments the means, opportunity

and motivation to wage perpetual

war and endlessly expand government

to the point where it encroaches on

our freedom and liberties.


We will show how the country can

return to the U.S. monetary system

of about 30 years ago --

circulating coins and dollar bills,

100% made or backed by gold and

silver. And, with this, we will

definitively answer the most often

asked question: Is there enough

gold and silver to go around? We

will explain how the predatory

practices of the Federal Reserve

System were imported from the

central banking systems of our

former enemies.


We will explain why the American

People have, in the past, already

abolished three Federal Reservelike

central banks as soon as they

realized what was happening, and

why this will happen again when

they realize life, liberty and the

pursuit of happiness are once again

in grave peril.


And lastly, the final documentary

will examine two possible futures --

a PESSIMISTIC, Orwellian future

based on a scenario whereby we

contine with the Federal Reserve

System until the United States

ceases to exist -- and the other --

a REALISTIC future based on a

scenario whereby we come to our

senses and reform or abolish the

Federal Reserve System.

Unfortunately, there is no

OPTIMISTIC scenario. It's too late

for that. There will be pain and

loss because we will have to suffer

through and correct the damage we

have already CAUSED because of our

collective lack of responsibility

and wandering from the path set

forth by the Framers of our

Constitution. This is the reality,

as unpleasant as it may be to

confront it.


So if you are concerned about which

FUTURE your children and

grandchildren WILL face, support us

in this important effort to seek

out like-minded individuals and

together inform the People about

the Creature from Jekyll Island --

before our luck runs out.


TITLE: "What luck for rulers that men do not think." -- Adolf





As CAMERA scans close ups of reference books, the following

TITLE superimposes: We strongly recommend you read the

following books: THE CREATURE FROM JEKYLL ISLAND by G. Edward

Griffin available at

MONEY by James E. Ewart available at




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