Sir Josiah Stamp was appointed a director of the Bank of England in 1928 so he was not a radical or a so called “conspiracy theorist”. One of our favorite quotes concerning the banking system was made by Sir Josiah Stamp and we think what he said back in the 1920s is very relevant to what is taking place in front of our very eyes.

He said the following: “Banking was conceived in iniquity and was born in sin. The Bankers own the earth. Take it away from them, but leave them the power to create deposits, and with the flick of the pen they will create enough deposits to buy it back again. However, take it away from them, and all the great fortunes like mine will disappear and they ought to disappear, for this would be a happier and better world to live in. But, if you wish to remain the slaves of Bankers and pay the cost of your own slavery, let them continue to create deposits.”

For the last year we have been witness to the continuing implosion of the Western banking system. The problem, of course, has been that bankers lent money that they did not have to people that did not have the money to pay them back. Besides lending money they did not have they lent it many times over or in financial market speak they levered themselves to the hilt! Greed and bad money management has led to the bankers’ demise as house prices started turning south and the bankers’ loans started losing value.

One would think that in a supposedly free market capitalist system that we have in the Western world the banks would be allowed to fail and their depositors would have lost all their money. Unfortunately this isn’t happening and what Sir Josiah Stamp said way back in the 1920s is happening one more time now as the Federal Reserve and the Bank of England in conjunction with their respective Treasurys are creating hundreds of billions of dollars and pounds, on the back of the taxpayers, in order to shore up almost worthless securities and OTC derivatives that the banks hold. So the old process seems to be in motion again as the bankers’ assets have been taken away from them but with the flick of a pen, or by switching on a PC and typing a number one with many zeros behind it, the Fed and the Old Lady of Threadneedle Street are trying to buy back the whole world again!

It will be interesting to observe over the next few years if the American and the British taxpayer wake up and realise that they are being taken for a ride and demand real reforms that bring about a monetary system that is based on sound money and a banking system that is not controlled by a cartel of banks headed by a Central Bank.

Will we go for slavery or liberty?