Attorney Robert Gerald Lorge GOP US SENATE NOMINEE 2006 WI's Page

The Greatest Fraud On America

The Economic and Financial crisis facing America today is one of the greatest, if not "The Greatest" Fraud ever perpetrated in the American and World financial marketplace and in particular upon the American Taxpayer. We have been lead to believe that the present problems are based on a lack of liquidity in the markets caused by three supposedly unforeseen events shaking the stability of consumer and market confidence.
First, by bad real estate mortgage loans by all the major banks, the so called "subprime mortgages" made to borrowers of limited incomes and assets, on adjustable rate mortgage (A.R.M.) terms that caused and are causing defaults as interest rates increased from 6.2% towards 9, 10, or 11% and credit card interest rates held by the same class of defaulting borrowers and spenders whose rates went from 18% to 24% or more, again causing a cascade of more defaults on loans not backed by tangible assets as security for the loans.
Second, by the huge run up in oil prices as speculators, many in brokerage houses that are now defunct, artificially drove up oil future contracts on the commodities markets, pushing a barrel of oil from the $30 and $30 range (it was in the $20 at the end of the 1990s) all the way to $175 or more, and now, after the collapse of these hidden speculators back down to the current $40 ranges.
Third, the increase of imports from China and elsewhere, and with it the loss of factories here at home and jobs as "Free" trade did not result in balanced fair trade, even creating a glut of cargo containers stacked up at the Port of Los Angeles and Long Beach like no deposit no return soda bottles, and with all that, the piles of debt, trade debt, as mounds and mounds of money both in U.S. Treasury notes as well as Corporate "paper" bonds and various debt instruments and i.o.u.'s of America's businesses piled up in China. With this, was the talk in prior years of China getting restless as it and it alone purchased the debt to allow America to continue to borrow, with demands behind the scenes to either pay higher interest rates for Chinese willingness to continue to hold these debts, or face the threat that China would dump these debt "dollars" all at once and destroy the value of the U.S. Dollar as the world's reserve currency.
None of these three events is behind the fabricated and fraudulent crisis now facing America. They are mere excuses, and decoys, to invent a crisis where there was none, towards other more valuable agendas, that trump the "value" placed on economic and financial markets today, namely an agenda for political power and political restructuring that is inherently more "valuable" than mere money spent, and lost, and wasted in the process.
It is true that many businesses and homeowners have huge debts or are unable to incur even short term loans to finance daily business transactions such as loading up a semi-trailer of ham at places like Hillshire to long time customer stores for want of their bank issuing a mere letter of credit, for customers that all sides agree are "good for it" and credit worthy. It is true the cost of gasoline and diesel at the pumpt slowed down the transportation of both goods and people in cars, trucks and airlines across the globe. But the speculations that drove up those prices is not what has caused the Baltic Dry Freight Index (BDI) to drop over 94%, with miles of oceanic ships now standing still. None of these things are not true, they are true, but that is not what is causing the crisis, or preventing the crisis from being "fixed" so that recovery can begin. The current crisis is not being fixed on purpose, intentionally, so that extreme liberal and outright socialistic policies and programs can be pushed through our Congress and bankrupt this nation's people into submission to international socialism.
They forgot to hide the key fact that betrays their fraud and malevolent if not treasonous intentions: WHERE IS THE MONEY?
The last time I looked at the money supply, both for America and the World, I did not see anywhere that the money supply was thrown into a huge shredder somewhere. Also, amidst dropping and in most cases negative population growth rates in Japan, Europe and America, and the industrialized parts of the former Soviet Union, and with China having had a "one child policy" for decades, it is not as if a limited finite supply of money was too evenly spread out amongst too many "new" people. In short, there is not money shortage. What is more, money as we know it today has no intrinsic value. It is not backed by so many ounces of Gold, since Nixon took the U.S. off the gold standard. Money is merely paper script, and by itself it is not even worth mere paper stationary because someone already wrote all over it, so you can't use it for notepad paper, and it makes a boring read after each dollar is the same except for it's serial number.
There are only three things that make money, as script or "fiat currency" as it is called have any value at all. First, if it is U.S. Dollars, is that oil is priced in U.S. Dollars (USD or $) and thus, you may say that since the Opec Cartel of the 1970s anyway, that America at least is on the "Black Gold" standard. Secondly, U.S. Dollars are backed by the full faith and credit of the United States government, which means, by our nuclear military power if necessary. In the day to day usage, this means, as each bills plainly says on it's face, that it is "legal tender for all debts public and private", which means if you offer to pay any debt in dollars and the creditor refuses, your debt is legally discharged, it is deemed paid, as the penalty backed by our courts and government, for the refusal to accept the U.S. Treasury dollars for such debts, and that means, that our courts, will enforce this through the government, which as mentioned goes all the way up the enforcement chain of command to our military power, that we have bigger and more guns that any creditor who thinks they can thumb their noses at the courts. This of course did not occur until bank notes, similar to bank i.o.u.'s or bonds or shares were the prime method of paper money until the Civil War. Third, the debts that are "public" are required to be paid in dollars. You can not exist for long in a barter society, or one where you own property or have a transactional income without dollars, because the government taxes you and requires you to have obtained U.S. Dollars to pay those taxes. They will not accept gold, silver, nor so many pounds of wheat or soybeans for the payment of taxes, they demand U.S. Dollars, and that is what keeps the U.S. Dollar in business for the most part, in addition to the first two reasons as to it having any utilitarian value.
These three sources of value of the U.S. Dollars result in it being a currency. The word "currency" comes from the Latin word meaning "to run", like streams run, and thus have a current, like electricity runs through a wire and thus have an electric current. Money must run through the economy in order to be a currency. If it stands still, it has no value. And this brings us back to the Fraud being perpetrated on America today. The money is out there. It is either running through the economy as it always has, and thus there is not real liquidity crisis, or someone is paying interest on it for sitting somewhere, not exchanging hands in physical or electronic commerce somewhere. Otherwise, the holder of the money is taking a loss on it, as it does nothing sitting still, has not value and is as said worth less than stationary paper by itself, without it moving, running through the economy.
This betrays what is happening and who is doing it to us all. The so called bail outs are creating an incentive (actually what would be called a dis-incentive) to not loan money, but to sit on it. The more the banks sit on the money, the less there is of it, the higher the demand for it, like the Hillshire examples of the trailer of ham, eventually people will get hungry for that ham, need to have it on the shelf, need to be able to pay for it and buy it. You can charge high interest for money in higher and higher demand when there is a shortage like a shortage of anything in demand. But, the banks and those governments holding U.S. Dollars have discovered that the American Congress is willing to throw billions if not trillions of more dollars at them for not taking any risks at all in loaning out the money, but by hording the money, as they are doing. Because the money is somewhere, and between Communist Chinese banks and Japan and our own Multinational banks, that is where the lion's share of the money is, since it is not in your pockets. And the larger the banks, the more money they have, with limited employees and centrally controlled management, the less able they, unlike smaller community banks and home town savings and loans and credit unions are able to logistically loan that money out or logistically do all that paperwork quickly and efficiently to refinance loans already out there. But why should they if they are being 'bailed out" by the government giving them even more money than they could expect even at high interest rates from making usual and customary loans.
If the government did nothing or does nothing, the money in the hands of the holders of all that money will lose value due to inflation unless they make it work, make it run, through the economy by investing it and loaning it out themselves. If the Federal Reserve and U.S. Treasury kept interests rates low, the Communist Chinese dominated banks, the Japanese banks and pension funds, and all those multinational large bank and brokerage houses might start dumping dollars, surely, they might compete, as free markets are supposed to to, by trying to get borrower business with lower and lower interest rates that would cure the liquidity and credit crisis of and by itself.
Continuing to throw money at the situation with no strings on it will bankrupt the taxpayer first but the American small businesses second and foremost, and with it, usher in an age of dominated again by the huge Trusts that Teddy Roosevelt fought to dismantle a century ago, and the threat of world socialism endemic with these large enterprises that are only efficiently equipped to deal with other large entities such as government central planning of socialist structured governments, which, as we saw at the close of the last century, failed in the former Soviet Union. But who paid the record $750 million to install this President and the One Party dominated Democrat Congress, other than the same Wallstreeters and Washington D.C. insiders who alone will benefit from the Trillions of dollars of planned, orchestrated and architectured taypayer "Bail Ins" designed to sink the Ship of State once and for all.
However, we hear the whispers of those same International Socialists now, in the guise of liberal spending bills and phony bail outs saying and deluding themselves and the many as the Pied Pipers of the eons have in prior generations, that "this time", it somehow will be "different". It will not. Math never changes. And simple math is the only "change" that America really needs.

Attorney Robert Gerald Lorge was the 2006 Republican Nominee for the United States Senate in Wisconsin and current Wisconsin State Director of "America Coast to Coast C2C" and "Rebuild the Party" conservative political organizations, and practices law in Wisconsin while pursuing commercial Honeybee honey and pollination services as owner of Capital Hill Farms Lorge Honeybees in Bear Creek, Wisconsin.