The Federal Reserve (US Dollar)

pablo_escobar

My elders would tell me "money doesn't grow on trees, y'know" without realising most of our recent wealth has been generated out of thin air.

1 UK sterling pound used to be the same value as 1 pound of silver.
During the 2nd world war, England used most of it's gold to buy weaponry. The gold and wealth transferred into the hands of the US.

When the US owned 80% of gold reserves, the dollar was believed to be a good strong currency, in high demand.

The US has been off the gold standard since 1971 due to the Vietnam war and most of the world is finally waking up to the fact all debt incurred by the US government will never be paid.

The current dollar itself is nothing more than a ponzi scheme to fund wars.

Knowing this, how much of Ireland's debt can be sourced back to the Federal Reserve?

Do the Federal Reserve "lend" money at 0% interest backed by nothing to the EU banks which then lend to the Irish banks at 1-2% and finally to the Irish citizen an arbitrary borrowing rate?

If that's the case, why should Irish people be obligated to pay back something which never existed to begin with? borrowed at 0%

Do you know a bank currently lending money at 0%?

Why should a private enterprise such as the Federal Reserve which nobody knows much about be allowed to control the wealth of people in the rest of the world?

We don't know who the shareholders are, they refuse to divulge who receives the money they create and we know the IOUs it gets from the US government will never be paid.

We know the ponzi scheme is used mainly to fund wars in Afghanistan, Iraq and Pakistan along with bases around the world.

Is the intention of the federal reserve to control economies of the world?
Was it setup to drag us all into incurring debt which could never be paid?

What is the end result of this ponzi scheme?

robtri

the fed is not privately owned..... here

The Federal Reserve was created by Congress. It is setup in accordance to law.
http://www.law.cornell.edu/uscode/html/u…;

The Federal Reserve is controlled by the Board of Governors. The Board of Governors is a 100% government agency. The members of the Board of Governors are all selected by a President and confirmed by the Senate. Board members cannot be officers, directors or shareholders of any bank, banking institution or trust company.

Below the Board of Governors are the twelve district banks. The district banks are setup similar to private corporations, but in reality they are not. People believe the Federal Reserve is owned by banks because of the method used to have commercial banks become members of the system. In reality, this is not the case. National banks, like Bank of America, N.A., and The National Bank of Arizona, are required by law to become members of the Federal Reserve system. State banks may become members if they meet certain requirements. Of the approximately 8,000 commercial banks in the U.S., about 38% are members of the Federal Reserve system.

How does a bank become a member? The bank is required to SUBSCRIBE to shares of stock in a Federal Reserve district bank. The amount of shares the bank must subscribe to is set to a percentage of the bank's capital. The bank can subscribe to no more and no less than the required amount. For example, let's assume a national bank has $100 million in paid-in capital. The bank would have to subscribe to an amount equal to 3% of their paid-in capital or $3 million. Since the par value of the shares are $100, they would get 30,000 shares.

The shares of Federal Reserve district banks are somewhat special. First, member banks cannot lay any claim to assets of the Federal Reserve district banks beyond the par value of the stock they hold. Second, the shares don't have any voting rights. Member banks do not have any vote on the decisions of the district bank's board of directors. Member banks do get to vote on six members of the nine member board of directors of a district bank, but each member bank only gets ONE vote per seat regardless of how many shares they subscribe to.

Re: The Federal Reserve reports to nobody
The Federal Reserve reports to Congress every year.
http://www.federalreserve.gov/boarddocs/…;
http://www.federalreserve.gov/boarddocs/…;

Re: Who runs it?
The Board of Governors.

Re: Who is on the Board?
http://www.federalreserve.gov/aboutthefe…;

Re: How much money do they make?
The Federal Reserve operates much like a non-profit. Member banks receive a standard 6% dividend on the shares they hold in recompense for losing the use of the capital they had to pay to the Federal Reserve. The Federal Reserve earns most of its money by collecting interest on the approximately $800 billion in U.S. Government securities it holds. In 2006, this amounted to $36.5 billion. Earnings of the Federal Reserve go to pay salaries and expenses of the district banks and the Board of Governors. After expenses are paid and any statutory requirements are met, excess earnings are returned to the U.S. Treasury. In 2006, the Federal Reserve returned $29.1 billion to the U.S. Treasury. This can clearly be seen on the independently audited financial statements of the Federal Reserve district banks.
http://www.federalreserve.gov/boarddocs/…;

Re: Do they pay taxes?
No, since they are a government entity, they don't pay taxes. The member banks pay taxes, but the Board of Governors and the district banks do not.

pablo_escobar

Yes it is privately owned and the US court system agree with me.

read here

Examining the organization and function of the Federal Reserve Banks, and applying the relevant factors, we conclude that the Reserve Banks are not federal instrumentalities for purposes of the FTCA, but are independent, privately owned and locally controlled corporations.

Each Federal Reserve Bank is a separate corporation owned by commercial banks in its region. The stockholding commercial banks elect two thirds of each Bank's nine member board of directors. The remaining three directors are appointed by the Federal Reserve Board. The Federal Reserve Board regulates the Reserve Banks, but direct supervision and control of each Bank is exercised by its board of directors

As Ron Paul once said.

The truth is that the Federal Reserve is about as "federal" as Federal Express is. The Federal Reserve is a private bank that is designed to maximize profits for the elite international central bankers that own it.

So you see, all debt is sourced back to this one private entity which controls the money supply and your lives.

If i'm wrong, please show me where.

The fact is, we're all enslaved to this institution running one massive ponzi scheme to fund trillion dollar wars.

0% borrowing rate? i challenge you to find another bank lending at 0%

robtri

as stated above... the Federal Reserve and Federal reserves banks are completly different entities....