The Years 1914 – 1975
World War 1
Philanthropy
John D Rockefeller was a Baptist. The only recreation he had outside of business was the church. His contributions from an early life were given to the church. As his income grew, so did his charity. By 1882, he was giving away some $65,000 a year. A decade later, his annual donations had risen to $1.5 m. The man who had set the tone for philanthropy was Andrew Carnegie, the steel king and founder of US Steel. In Carnegie charities, there was always a large element of self-advertising. A distant competition sprang up between the two men, which was dramatized in a 1910 article which printed a score box which showed the impressive totals of the last two decades: Carnegie – $179 m; Rockefeller – $134 m.
John’s benefaction followed a less flamboyant course. He had given millions to the Baptists, in piecemeal donations. By the 1889s, the Baptist elders urged John to re-build the University of Chicago. In 1887, John gave $600,000 for this purpose. When he came to the 1889 opening, it was one of the first times that his public appearance had been greeted by cheers instead of hostile curiosity. Seeing this, the graduates chanted “John D Rockefeller – wonderful man is he- gives all his spare change to the U of C”. He was thrilled when a U of C professor published a study arguing that John was superior in creative genius than Homer, Danton, and Shakespeare. By 1910, the “spare change” he had given to the University of Chicago amounted to $45 m. By the end of his life, John said of the University, “It was the best investment I ever made”.
Yet the problem remained of how to organize his philanthropy into a science. The philanthropic field was an even more treacherous jungle than the oil business. Everywhere he went, he was constantly deluged and hounded with appeals for help. Into our story enters Reverend Frederick Gates, who had won John’s respect by his sharpness clothed with piety. John had profited handsomely from deals engineered by Gates through religious activities as a senior executive of the American Baptist Education Society. Especially appreciated was his aid in gaining control of the Mesabi iron ore mine from the Merrit brothers. Of Gates, John said: “I realized that I had met a commercial genius. I persuaded Mr. Gates to become a man of business”.
By July 1881, Gates went to work for John at 26 Broadway. Soon, all applications for help went directly to Gates office. He gradually developed the principal of “scientific giving” in his charities, and moved from “retail” to “wholesale” giving. John also used Gates business acumen to help manage his personal non Standard investments.
In the face of a huge public outcry over Standard, Gates reminded John of the dangers of inaction, “Your fortune is rolling up like an avalanche! You must distribute it faster than it grows. If you do not, it will crush you and your children”.
Gates had more in mind than simply giving money away. He dreamed of great charitable trusts- they would be corporate philanthropies that would rationalize the world of giving. These foundations would be highly visible, concerning themselves with the everyday “problems” of mankind.
The Rockefeller foundations were conceived for the dual purpose of taking the curse off the Rockefeller name, and enabling the family to carry on without interference from a hostile public and government. Gates induced John to create the first foundation to bear his name, the Rockefeller Institute for Medical research, and some 50 years later, grandson David would change the name into Rockefeller University. John gave $11 m as its first endowment to this foundation. It was designed for the purpose of controlling medicine. As there is no more vital interest for mankind than health- the business aspects of health are very profitable. And, the second aim was to gain control over education.
The Rockefeller Institute joined forces with the American Medical Association (AMA). Alone, the AMA could not put competing schools out of business. But, with the aid of the Rockefeller group, they forced through legislation that drove their rivals out of business. The way was now open to change the syllabus in medical schools that would promote medicines from the petro-chemical plants of Standard. The family has large interests in the chemical and pharmaceutical industries. Profits from these two industries exceed those from the oil business, as oil and gas are by-products are the raw materials used as feedstock for rugs and chemicals. The family has control, today, of the largest drug and chemical companies in the US, such as Pfizer, Upjohn, Merck, Du Pont, Monsanto, Bayer, etc. John’s next move was the General Education Board, the GEB, established in 1903, with an initial grant of $10m. In 1904, the GEB issued a letter, which openly states their aims _ “In our dreams, we have limitless resources, and the people yield themselves with perfect docility to our molding hands. The present educational conventions fade from our minds (such as the 3 R’s, morality and ethics) and we work our own goodwill (dumbing down) upon a grateful and responsive rural folk.” Later, the GEB extended this mandate to cover urban folks too.
John’s success in accomplishing the subversion of the people and government was so complete that by 1913 the situation was perfectly obvious to intelligence visitors from outside the US. Russian Grand Duke Alexander visited the US in 1913, and commented:” The rustic republic of Jefferson was rapidly giving way to the Empire of the Rockefellers, but the average mentality of the man in the street has not caught up with the new order of things”.
The GEB eventually succeeded in gaining control of every school, college and university in the country. Educational facilities found it hard to resist the lure of cash. They were forced to turn over to the GEB the powers of dictation and curriculum content in text books. In 1917, a US senator sounded a warning:” The Carnegie-Rockefeller influence is bad. In 2 generations, they can change the minds of people to make them conform to the cult of Rockefeller, rather than to the fundamental principles of American democracy”.
His statement is already fulfilled. The direct dividends from the activities of the GEB were many, including:
- Favorable publicity for John, worth millions,
- The power to influence public opinion as well as government policies by propaganda distributed through the schools and universities ,
- Control of research and discoveries, and their commercial applications and profits,,
- And the power to appoint staff.
By the early 1930s, research and experimental stations were established at selected universities, such as at Cornell, Chicago and Columbia. Here some of the worst mischief in education was born. The foundations jumped into the financing of education and social sciences. Between 1900 and 1930, two thirds of total endowment funding came from these two foundations for all universities. They became, if not in fact, a sort of America’s “ministry of education”. These foundations were responsible for the acceptance of John Dewey’s progressive education and permissiveness- the products which have been marching on our education campuses these past 7 decades.
Since America’s public school system was decentralized, the Rockefeller Foundation has concentrated on influencing schools of education, and on financing the writings of textbooks, which were subsequently copied nationwide. By controlling the textbooks, the family gained an open sesame on the minds of millions of students. It was not necessary to poison every glass of water out of every tap in a community. It was necessary only to drop poison in the reservoir. This education is Rockefeller education. After all, they planned, and, paid for it. Those who control education will, over the course of two generations, control a nation. The Rockefellers have, over the past 10 decades, been a controlling influence in the direction of American AND global education. While education is a powerful tool for controlling the thinking and outlook of students, it is not the only means – as we shall see.
Next, comes the classic case of what accountants call “pre-tax planning” on record. By 1910, state after state was approving the 16th Amendment, which provided for a graduated income tax. John D began making plans to avoid the consequences of the tax by the establishment of the Rockefeller Foundation. The best way forward for the Rockefeller group to eliminate growing competition, was to impose a progressive income tax while making sure the law contained built-in escape hatches for themselves. What the income tax finally became was a siphon gradually inserted into the pocket books of the general public. Imposed as a class tax, the income tax was gradually turned into a mass tax in a jujitsu turnaround.
By the time the 16th Amendment became law, the escape hatch was ready – the Rockefeller Foundation was in full operation. Directly following the Supreme Court decision in 1911, ordering the break-up of Standard Oil, John D sought a charter from Congress for the Rockefeller Foundation to promote “the well-being of mankind”. Congress refused twice a charter to hold $100 m, on the grounds of tax evasion. The family succeeded in securing from New York State, in 1913, a charter to hold $500m.
The careful orchestration of both parts of the campaign represents one of the most successful financial coups in history. The money the family has made from it is incalculable. By exempting them from the burden they forced on their competition, they were able to operate in a world of laissez faire capitalism while foisting the weight of more costs on their competition. It is the equivalent of a sprinter forcing every other runner in a race to carry a 20 kg ball. The name of the game is CONTROL.
Another important tit-bit – In 1919, American women were now allowed to vote for the first time. The women’s’ movement was excited in winning this victory! What they did not realize was that some wise alec in John’s office came up with the idea, that the “women are now working (since most able men had gone into the army to go and fight in Europe (in 1917), and that they are paying no taxes. Why not give them the right to vote, and thus we can insist that they must pay tax. In this way, millions more can be earned by the government, and this money can be used to pay the interest on the loans we advance to the government “. And so it came to pass.
Backing the graduated income tax bill had another timely advantage for John D. He not only avoided taxes by creating 4 giant tax-exempt foundations; he used them as repositories for his divested interests in the various Standard Oil entities. In the switch, John made his assets non-taxable so that they may be passed down through generations without being ravaged by estate taxes which everyone else had to pay- John D planned ahead!
Each year the family can donate half of their income to the foundations and deduct the “donations from their income tax. Nelson Rockefeller admitted that “the foundations pay no capital gains or income taxes, so these funds continue to multiply”. Having the foundations as a tax-free piggy bank is only one of the advantages they provide the family. The real motive behind most private foundations is keeping control of the wealth. In the foundation world, where “not for profit” really means “not for taxation”, one changes ownership for control. In most cases, where the family has donated money, they have insisted on maintaining control of that money. They would “give” money away to the foundations under their control, and then have the foundations spend the money in ways that brought even more power and profits to the family. John D was to refer to this as the “principle of scientific giving”.
The foundation ploy was one of the cleverest moves shrewd old John D ever made. Philanthropy is the essential element in the making of Rockefeller power. It gives them a priceless reputation as public benefactors which the public value so highly, that power over public affairs is placed in the family’s hands. Philanthropy generates more power than wealth alone can provide. The foundation ploy was copied by many industrialists. Then comes in Ivy Lee – without him, American business would not be what it is today. By 1912, the American people had reached the limits of their patience with the robber barons. Ivy Lee – the founder of modern day advertising techniques showed the barons how they could survive and prosper. All that was needed was a new image. He came out with the shiny dime idea. He kept John D supplied with bright new 10 cent pieces, which John readily passed out, most often when in the range of cameras. Why this scheme helped alter the public’s image of John is a mystery, but it did. John was no longer a gasping materialist; he was a kindly old gentleman. The foundation has supplemented the activities of the GEB and the Institute, and has extended them into many parts of the world, most often in areas where the Rockefeller group is active. It combines the function of a tax-exempt business relations agency and super diplomatic corps. Through its well-advertised and publicized subsidies, it has gained entry into many government circles from which the interests it represents – the Rockefeller family- would be excluded.
Undoubtedly, it had become apparent to John D, that in order to avoid government interference into his business, the family must take them over more directly and completely than they had thus far done. First, the family wanted to control all aspects of business in America. It would have been impossible to take over every city hall, and state house; the family wanted all power vested at the apex of the executive branch of the federal government- then they would only have to control one man at the top- the Oval Office. Then they would have a monopoly, which could be used to squeeze out the competition. Their need for a national monopoly required them to control a national government. Going for a worldwide monopoly requires them to control a global government. That’s one of the key reasons why the family established the UN, in 1946. John D Jnr donated the land on which the UN sits. The UN also banks with Chase Manhattan Bank.
Through its multiple foundations, the Rockefeller family invested its money where it would have the most influence, and do the family the most good. And by far, the chief beneficiaries of its charities have been the Rockefellers. John D boasted that he hated competition. Whenever he could, John used the government to promote its own interests, and to hinder its competitors. Monopoly capitalism is impossible unless you control a government with the power to strangle would-be-competitors. If you wish to control business on a national level, you must control the national government. If you want to establish worldwide monopolies, you must control a world government.
The Federal Reserve System
The Rockefeller’s principle mouth piece in the Senate was Nelson Aldrich- son-in-law of John D, and Nelson’s maternal grandfather. John realized he needed more control levers over both the government and the public. Studying the method of control exercised by the Rothschilds over various countries in Europe, John concluded that what he needed in America was a central bank.
After the crash of 1907, voices were raised demanding that the government establish a central bank to control the ups and downs of Wall Street. The man who was to play the most significant part in providing America with a central bank was Paul Warburg, a partner in Rothschild firm, Kuhn Loeb. Paul Warburg wrote and spoke on the need for “bank reform”, and worked closely with Nelson Aldrich., who was appointed by the senate to head the National Monetary Commission. He would spend the next two years in Europe as a guest of the Rothschilds, who showed him the intricacies of Europe’s central banks- and the benefits that would accrue to the Rockefellers if a similar system was imposed on America. Notwithstanding the oil wars between the two families, in the arena of international finance, both saw tremendous benefits in co-operation. In 1910, at a secret meeting on Jekyll Island, off the Georgian coast, key agents of the two families met to plan the way forward. From the Rothschild side, was Davison (JP Morgan), Paul Warburg (Kuhn Loeb), and Benjamin Strong (Bankers Trust). From the Rockefeller side was Nelson Aldrich and Vanderlip (Citibank). With President Wilson as the new US President, and taking advantage of Congress breaking for Christmas, the Federal Reserve Act was passed on 28 December, 2013.
There was genuine opposition to this Act, but it could not match the influence of Wall Street. As Congressman Lindberg told Congress;” This Act establishes the most gigantic trust on earth- with this, the invisible government by the money power will be legalized”. And Congressman Patman; ”In the US today, we have two governments. We have the duly elected government, and then we have an independent, uncontrollable government in the Federal Reserve operating the money power”.
Neither Presidents, Senators, the US Secretary of Treasury direct the Federal Reserve. In the matter of money, the Federal Reserve directs them. The shareholdings of the Federal Reserve was split between the two families, with the Rockefeller Group getting a 34% holding, and the Rothschild group getting 66%. Meanwhile, after the breakup of Standard Oil into 39 different companies, it found itself confronted by foreign competition in the domestic market for gasoline. Until a few years before, gasoline had been burned off in the refining process. Now, it was all important. Henry Ford was churning out thousands of cars, and by 1912, there were more than 1 million cars on American roads. The greatest opportunity for expansion had arrived with Standard Oil in poor shape to meet the competition.
The competition was embodied by Henri Deterding of Royal Dutch Shell. Between 1911 and 1913, Deterding not only invaded the American markets with Shell products, including gasoline, but bought up his own source of supply within the US. In this, his cause was aided by the JP Morgan bank- which was closely allied to the London Rothschilds.
With the coming of war to Europe, these commercial rivalries were put on hold as there were more important geopolitical matters on the agenda between these two families. The government of America, and its economy was financially restructured in three ways: the establishment of the Income Tax Act, the establishment of the central bank – the Federal Reserve, and finally, the establishment of the Rockefeller Foundation. All that was required now was a war – for nothing increases a nation’s debt than war. The profits made in this war would be taxed, which was not the case before.
On the personal side of the family, John d fathered 4 daughters and one son – born in 1874, and named John Davison the 2nd, or Junior. He grew up in his father’s footsteps and was tutored in the Rockefeller mold. One of his personal tutors was Mackenzie, who would later become the Canadian Prime Minister. In 1905, Junior married Abby Aldrich. This marriage was beneficial to the family since Senator Aldrich was Standard’s best friend in Washington. It was typical of many Rockefeller marriages that benefitted the family. A list of Rockefeller marriages would be almost endless. Whether they were unions of convenience or of love is not important. The point is that an already astronomical fortune has been increased because of them.
According to Ferdinand Lundberg, in his masterpiece ; “ The Rich and the Super Rich ; “ The rich families which the Rockefellers have interlocked, in turn, have been interlocked by marriage with other wealthy families, so that one can trace an almost unbroken line of biological relationships from the Rockefellers through the wealthiest 60 families in America. If the rich are capitalism’s aristocracy, then the Rockefellers are its royalty”.
World War 1 took place between 1914 and 1918, mainly in Europe and the Middle East – A British-instigated war, the aim of which was to crush Germany-Britain’s economic rival. The war resulted in the dissolution of 3 empires – the Ottoman, Austro-Hungarian and the Czarist Russian Empires. The beginning of the war saw the British Empire financially broke. The war further weakened the European nations – Britain, France and Germany. This resulted in the capital of world finance shifting from London to New York, in February 1917. . The US entered the war in March 1917, and was involved in the fighting only from November.
By 1916, the Standard Oil chairman was a regular visitor to the White House. Since the war started, many American firms saw their business booming with war orders- none more so than the Rockefeller and Morgan groups. London complained that Washington’s foreign policy was being run by Standard Oil interests. These groups made super-massive profits out of the war, with much of the profits being re-invested in a host of other companies, many of which were in their infancy, such as General Motors, IBM, ITT, and others like them.
The Council on Foreign Relations /CFR
Meanwhile, the new international presence of American power had created the need for a new organization to shape policy at the highest level. In tandem with London, where the Rothschilds formed the Royal Institute of International Affairs (RIIA), aka Chatham House, the Rockefellers also established the Council on Foreign Relations, or the CFR, in New York, at a building donated by an heir to the Standard Oil fortune, Harold Platt. The building is called the Platt House.
The policy makers had hoped to start work on establishing a global government. The CFR and the RIIA were the first steps towards this goal. What is the appeal of a World Government for the family? John D’s motto was “competition is a sin!” He used every devious strategy to create a national oil monopoly. His strategy was as ruthless as it was effective. Get control of your competitors, and then keep control over them. The best way to achieve this was to gain control of the government, then use the powers of that government to stifle and cripple your competitors. Political power was essential to protect and advance his empire. In other words, he sought national political control to protect his national monopoly.
Today, the family has business interests in most countries of the world. Many of these countries were former colonies of European nations, and who owed their so-called independence to the Rockefellers. They are ruled for the most part by dictators who have no more understanding of economic realities than Lady Gaga has of the sanctity of a convent. The answer has been obvious to the family for more than a century: create a world government which you will control, and have this entity control all the others. This was the reason why John D built the headquarters building of the League of Nations in Geneva, in 1921. Built at a cost of some $20 million, it now serves as the European base or extension of the UN. It was as if the laws of political and social gravity had changed, and Junior (John D’s son and only heir-apparent) found himself drawn to the center of things. The times had passed when he would be invited to the White House, only to be asked at the last minute to enter by a rear door for fear of knowledge of his presence would cause a scandal. Soon, Junior would be breakfasting with Presidents in the Oval Office.
By wars end, the financial and business structure was dominated by two groups- the Rockefeller and Morgan groups. Within two decades, the Morgan group would become inconsequential, leaving the Rockefeller group the dominant business faction in the country. The House of Rockefeller is not just a wealthy and successful family. Instead, it is an empire. No other family has sought control over so many institutions which affect every facet of life. Whether it be government, business, energy, banking, the media, religion, entertainment, education; at the apex of the power structure you will find Rockefeller money and front men and agents. Such total pervasiveness, influencing every aspect of life, cannot be happenstance.
That the Rockefellers are a unique and remarkable family is an understatement. No fiction writer could create such a family. No Hollywood movie would be able to do justice to the scope and power of the family. The Rockefellers are bigger than life, and stranger than fiction. With world control of oil and finance as the goal, Junior announced his objective of world government in a speech in New York in 1924; “- – someday, no one will speak of my country, but of our world “.
The Bolshevik Revolution
In 1917, the Rothschilds succeeded in toppling the Czar in Russia, and they then installed a communist government in power. The Rockefellers joined with London in this coup. The reason why the Rockefellers joined with London to topple the Czar was economic competition. In every category, Russia was increasing production of oil and natural resources dramatically, and this was hurting the profits of the Rockefeller group. By installing a communist government in Russia, this competitive threat goes away.
By 1927, their old agent, Stalin had assumed power in Moscow. Stalin gave Standard Oil of New York – Mobil- a contract to market Russian oil in Europe, in return for a $75 million loan. Then Mobil built an oil refinery in Russia, which helped put the Russian economy on its feet. Many other American investments in Russia followed. The Chase bank handled Russia’s financial business in America. For the next 20 years, the US and the Rockefeller group helped Russia in many ways – economically, financially, and with an over-abundance of military aid between 1940 and 1945.
British-American Rivalry
The First World War was primarily a contest between a rising Germany and a rising America to see who would inherit Britain’s position as the dominant global power. The war destroyed Germany, and emasculated the British Empire. From this point on, the contest between Germany and the US began, as to who will replace a declining Britain as the global power. The US used its new financial strength to invest massively in Germany, thus enabling it to direct and control Germany’s geopolitical direction. This contest erupted in World War 2. The war devastated Eurasia, and left America as the sole global superpower.
With New York as the financial capital of the world, due to a massive rise in her gold reserves emanating from warring countries in Europe, plus huge foreign currency reserves, Wall Street felt it had a right to increase its share of the global economy. Britain was finished financially, and its economy base weakened due to a lack of investments in its infrastructure. Thus, Britain was trying to hold on to whatever economic advantages it still had. Starting in 1919, Britain and America were in conflict over many issues.
If the British Empire emerged as the territorial victor of Versailles, the United States, or at least certain powerful banking and industrial interests (the Rockefeller family and its allies) emerged with the clear idea that they, and no longer Britain, were now the most powerful economic power in the early 1920s. For the next several years, a bitter and almost bloody struggle took place between the Rockefeller and Rothschild blocs. By the beginning of the 1920s, the three pillars of British imperial power- control of the world’s sea-lanes, control of world banking and finance, and control of strategic raw materials – were each under threat from the Rockefeller group. For the coming decade, a bitter struggle between the combined but conflicting goals of London and New York were fought. The seeds of the Second World War took root in this conflict.
The stakes were enormous. Would the capital of a new world empire after Versailles remain London, or would it become New York? The answer was not all obvious in 1920. It took the entirety of the 1920s in often bitter, almost military conflicts over war debt repayment terms, rubber agreements, naval accords, the parity of new Gold Standard, and most significantly, control of untapped oil regions of the world, before the present Anglo-American (Rothschild-Rockefeller) condominium emerged in its present form. Wall Street and the New York Federal Reserve Bank proceeded to dominate the financial destiny of Europe in the post-war period. The Germans owed Britain, France and her partners $33 billion, while they, in turn, owed the US $12.5 billion- at an interest rate of 5%. This combined debt overwhelmed the world finance and monetary policy from 1919 through to the October 1929 crash on Wall Street. The entire pyramid of international finance was built upon the edifice of this war debt structure. Wall Street refused to compromise on the debt issue- for this time, they had their hated European rivals on the run.
This rivalry reached an alarming level when the Rockefeller group threatened to co-opt the gold and mineral center of the British Empire in 1924. Princeton Professor Edwin Kemmerer went to South Africa and told them that they should establish direct financial ties with New York, and bypass their traditional dependence on London. As the Rothschilds knew, this would open the door for the US to economically co-opt what Britain had militarily fought to secure, and, with it, gain dominant power over the world’s gold supply, and thereby power over world credit and finance.
London acted quickly to pre-empt this consequence by giving the Rockefellers a 40% share in Iraq’s oil; and further agreed to make no further attempts to dismember Turkey, as well as compromising in Germany by letting Wall Street take over the economic and financial control of Germany. For the Rothschilds, this wound did not heal rapidly. It became increasingly clear to the Rothschilds that they would have to defeat the power of the Rockefeller group, or effectively co-opt it into a new alliance. After Versailles, the Rockefellers realized that they had been skillfully cut out of the spoils of war by the Rothschilds. The newly carved Middle East boundaries, as well as the markets of post-war Europe, were dominated by the Rothschilds, through its covert ownership of Royal Dutch Shell and Anglo-Persian (later called BP).
The Middle East
In South Africa, in 1924, a new government came to power that leaned towards the Americans. The Americans applied pressure on the British by coming to an agreement with the new South African government of Herzog, to re-direct gold flows to New York, instead of it going to London. Britain could not take this chance, and an agreement was reached, whereby the Rockefeller Group was given a 40% stake in the Iraq Petroleum Company, and in return, Britain would retain full control of South African gold.
American pressure on Britain was relentless. This included the US military drawing up plans to invade Canada (Operation Orange) and decimating the Royal Navy in the Atlantic and the Japanese fleet (a British ally) in the Pacific (Plan Blue).
In 1927, both parties came to an understanding, and, a cease-fire came into being. The oil wars between these two families ranged throughout the world, from Russia to Mexico, from the US to Asia; but, the principle focus was on the Middle East, especially Iraq. In April 1920, at a meeting in San Remo, Italy, the Rothschild family divided Iraq’s oil amongst their three oil companies; Shell and BP each got 37.5%, for a total of 75%, and French got 25%. The French formed a company to handle their share in the Iraq Petroleum Company, called Total! The Rockefeller group was furious about being left out.
The financial pyramid collapsed in October 1929 as the credit flows from New York banks into Germany suddenly stopped. But, by then, the Anglo-American power struggle over world finance and oil had been resolved. The oil wars, which had shaken the world for more than a decade, were finally resolved in a “cease-fire”.
The Red Line Agreement was signed in Scotland, in 1928, by the heads of Standard Oil, Shell, and BP. They agreed to accept existing market divisions and shares, to set a secret world cartel price, and to end the destructive competitions and price wars of the last decade. They concluded the most powerful economic cartel in history. Since that time, with minor interruptions, the Anglo-American grip over the world’s oil flows has been firm. Threats to break that grip have been met with a ruthless response.
In this revised agreement, the three oil countries of Iran, Iraq and Kuwait were divided between the two families: In Iran – BP had a 100% holding. In Iraq, the Rothschilds got 60%, and the Rockefellers got 40%. In Kuwait, it was a 50-50 split between BP and Gulf Oil (a Mellon family company which was bought out by the Rockefellers in the late 1980s). The region below this was wide open. In 1930, the Rockefellers made a move into this area – first into Bahrein, then later, into Saudi Arabia.
Because Ibn Saud defeated the Hashemite clan from the Hijaz a few years earlier, there was bad blood between them. The British brought the Hashemite clan under their protection and gave the sons rulership over Jordan and the new state of Iraq. In 1928, border disputes between Jordan and the new state of Saudi Arabia broke out into warfare. Ibn Saud suspected a British hand in this, for they refused to supply him arms, with which to defend himself. Standard Oil steps into this picture. Soon arms and monies were flowing to Ibn Saud from Rockefeller agents, who helped to turn the tide, and soon he managed to quash the troubles on his northern borders.
With this success, Ibn Saud was ready to return the favor to the Rockefeller group. With this victory, Ibn Saud changed the name of his country to the Kingdom of Saudi Arabia, on September 22, 1932.
In May 1932, a Rockefeller company, Standard Oil of California (or Chevron as it is known today), discovered oil in Bahrain, an island just off the Arabian Peninsula. Six years later, another Rockefeller oil company discovered oil in Saudi Arabia proper, at Dammam – not far from Bahrein. The Rothschilds, up to today, curse themselves for allowing Arabia to fall into the hands of the Americans and the Rockefellers; for, besides oil, the Rothschilds – as standard bearers of the Levitical/Illuminati/Talmudic creed, know the importance of controlling Saudi Arabia. But, it was not meant to be. Ibn Saud made sure of that, for, although he used the British, he never trusted them, and hated them for their deviousness and cunning. Ibn Saud was not stupid. The Rothschilds were Jews and Zionists, while the Rockefellers were Christians. It was the “lesser of two evils “. This was the foundation on which the US-Saudi alliance took shape in the decades to come.
When the Second World War broke out, in 1939, the Rockefellers shut in production in Saudi Arabia, and over the next few years, the US government spent $200 million building the necessary oil field infrastructure in that country. Saudi Arabia would play an over-size role in the world from this point on. The family had formed a new entity called Aramco to handle Saudi oil production. It was composed of 4 of their oil companies, Exxon, Mobil, Chevron and Texaco. Because of its huge oil reserves, its low cost of production, it was said that the “center of gravity” of the world oil industry would become Saudi Arabia. Furthermore, it was geographically situated to supply both Europe and Asia with oil, hoping to gain market share from the 3 Rothschild oil companies – Total, BP, and Shell.
By the early 1930s, the two families had resolved most of their issues, and had now begun to work on a new joint project. This was to put a strong man into power in Germany. The man chosen was Adolf Hitler. Both Franklin Roosevelt in Washington and Hitler in Germany assumed power in the same month – January 1933. These two 12-year reigns began, which were to end at almost the same instant in 1945. From New York’s point of view, Hitler was put into power to destroy Western Europe, especially France and Britain- the two key Rothschild countries. From London’s point of view, they put Hitler into power to destroy Russia, and as well as launch an anti-Jewish program in Germany. This would serve as the excuse to force the world’s power to grant them a political state in Palestine, using the mandate of the Balfour/Rothschild Declaration.
China
Between 1897 and 1930, Wall Street invested heavily in China and, to a lesser extent, in Japan. Most of these investments were in the form of loans. The US was in competition with other powers over access into Chinese markets. But, when Sun Yat Sen’s revolution in 1911 ended the rule of the Manchu Dynasty, China descended into many warring factions-especially after the death of Sun Yat Sen in 1925. Backward and spiraling, lacking a central army and modern budgeting, China was frustrating to foreign bankers. A divided China could not stand as a guarantor of foreign loans- the risks were too high. Thus, by 1920, few foreign loans to China were made by Wall Street. Even with this, the American groups had far more money than Britain, France or Japan, and so China became a preserve of Wall Street.
As recalled from earlier articles, Japan had become a financial colony of the Rothschilds, since 1857. Japan had the same position in Asia as England was to Europe. The Japanese economy was dominated by large business groups known as Zaibatsu. Built around a core of banks, surrounded by insurance companies, trading and other manufacturing companies- these zaibatsu groups were into all aspects of business in Japan. The two largest groups in Japan were the Misui and Mitsubishi groups. Mitsui was headed by the family of Baron Takuma Dan- whose family started and built Mitsui from scratch over 9 generations. The founders of the Mitsubishi group were the Iawasaki family, headed by Baron Iwasaki.
Japan’s economy had boomed during the war years. And since Japan was a British ally, both were determined to keep America out of Asia and the Pacific region. This alliance was the greatest threat to American moves in the Far East. The Rockefellers needed to destroy this alliance in such a way that joint action by Britain and Japan against America must be rendered impossible. The US military drew up plans to destroy the Japanese fleet, called the “Blue Plan”. The naval build-up was called off at the last minute. What followed was the 1921 Washington Arms Conference, and the conflict was defused, and thereafter Japan based its security on co-operation, but that did not survive the decade. Then Japan had suffered a severe earthquake and fire in 1923, when more than half of Tokyo and Yokohama was reduced to ashes. The economic implications of this tragedy hit 4 years later, when bank failures and stock market crashes dragged Japan into depression.
Then, with the onset of a global depression following the 1929 stock market crash, Japanese exports vanished, and the economy went into a deep depression. To compound matters, China boycotted Japanese goods. These economic setbacks enhanced the power of the nationalists and the army, who blamed foreign powers for Japan’s troubles. The Japanese had long coveted Manchuria, that resource-rich north- eastern corner of China. The nationalists now saw Manchuria as a solution to their problems. They claimed Manchuria as a divine right.
With the death of nationalist leader Sun Yat Sen in 1925, left the foreign bankers without a moderating influence within China. Their new leader Chiang Kai-Shek, or Chiang, staged another of their periodic revolts against the British-French oligarchy of the Rothschilds and its Japanese ally, and then looted the Rothschild-owned vaults in Shanghai in 1927. It caused a shock in London, when the US forces refused to join the Anglo-French forces in shelling Nanking. When the Rothschilds sent T.V. Soong to mediate with Chiang, by offers of cash and his sister May Ling in marriage to Chiang, the Japanese felt double-crossed.
Japan’s Road to War
By 1902, the Rothschilds had re-organised Japan’s financial system, and brought its central bank under its control. The family then proceeded to build up Japan economically, financially and militarily. The Rothschilds needed Japan to act as their “stick” against China-an Asian version of Britain’s famed “balance-of-power” politics. Tokyo had become indignant at a situation, in which Japan had to do the bidding of the Rothschilds, and then, invariably, been obliged to turn over to London the fruits of victory; and furthermore, been obliged to pay London huge interest charges on loans advanced to fight wars. The wheels of the great Japanese industrial machine slowed down with the rest of the world, leaving the Japanese with a huge interest debt, and rapidly falling income. This brought about conditions ripe for war. All of this heightened the sense of vulnerability that came from a lack of resources and shrinking access to international markets.
As to why the Americans refused to join the Rothschilds in bombing China in 1927, the answer has oily overtones. By the 1920s, Standard Oil had gained a virtual monopoly supplying kerosene to light up the lamps in China. A highly profitable monopoly would not be so if the Chinese had discovered their own oil. The US marine force was present in China safe=guarding US interests in China, and as General Smedley Butler, after his retirement said. “All I ever did for 25 years in China is watch Standard Oil cans.”
All went well until the warlord of the Shansi province granted a concession to the Japanese in 1925, to drill for oil, and they found plenty of it. This posed a serious threat to Standard Oil. Standard ordered Chiang to oust the warlord, cancel the concession, and evict the Japanese. This was done in 1927, and was the key reason why the Americans did not join the British in attacking Chiang’s forces.
The Japanese did not take kindly to their concession being cancelled, after spending a fortune on it. Nor did they feel kindly towards the Standard Oil crowd whom they knew to be responsible. They vowed to come back and seize China, if necessary, to get their oil. Between all these incidents, followed by the Great Depression, the Japanese military and nationalists came to dominate the government, and soon Japan embarked on its course of military expansion and imperialism in East Asia.
Japan had gained many economic and political advantages in Manchuria, including the right to maintain military forces, as a result of its victories over China in 1895 and Russia in 1905. By 1930, there was strong support within Japan to take over Manchuria. The Japanese had grown to fear the dual threats of Soviet communism and Chinese nationalism. In mid-February, Japan’s pro-west Prime Minister was assassinated. In September 1931, Japan invaded Manchuria and bombed Shanghai-the Rothschild money center of Asia and the headquarters of its opium cartel. The Rothschilds froze credit lines to Japan. When the League of Nations condemned Japan, it walked out and embarked on its own path-one which would lead it to ruin within 15 years.
The Japanese nationalist-military faction then embarked on a mission to remove the influence of foreign finance on its policies. One by one, all connected with Rothschild finance were killed. In February 1932, Baron Inouye, the Finance Minister, was killed. Next came the turn of Baron Dan- head of the Mitsui group, in April. The Japanese army overran Manchuria, and proceeded to build dams and industries there. In May, Prime Minister Inukai was killed. It would be the end of party politics in Japan. The military had taken over.
The Japanese army continued to annex parts of northern China, and would culminate in the Sino-Japanese war, and the killing of nearly 1 million Chinese. In 1937, the world witnessed the Japanese attack on Nanking, and the subsequent Rape of Nanking. A US warship, the USS Panay, was providing escort services to Standard Oil. Panay and three Standard Oil tankers, Mei Ping, Mei An and Mei Hsia, came under attack from Japanese naval aircraft. The three Standard Oil tankers were also bombed and destroyed. The vessels had been helping to evacuate the families of Standard Oil’s employees and agents from Nanking during the Japanese attack on that city.It was this attack that caused US opinion to turn against the Japanese. It was also sweet revenge for the Japanese, as it was Standard Oil that was responsible for the loss of their oil concession some 12 years earlier. The Rockefeller Empire vowed to teach the Japanese a lesson.
It has always been a Rockefeller policy never to be satisfied with half a loaf when they can get a whole loaf at no cost to themselves. To accomplish destroying Japan, it was necessary to bring American force to the table. As it would have impossible to ask Congress to declare war on Japan because it was destroying Standard Oil property, a new tactic was followed. When Rockefeller attorney, Henry Stimson- Secretary of State in the Hoover Administration- approached President Hoover on behalf of the Rockefellers to declare war on Japan, Hoover refused despite Rockefeller guarantees that he would be re-elected President. Stimson then approached Franklin Delano Roosevelt (FDR) who was delighted with the idea of his own war. FDR was fully in accord with Junior’s wishes, and this was an important factor in Rockefeller support that won him the presidency in November 1932. At his first cabinet meeting in February 1933, FDR proposed a declaration of war on Japan. It was only with difficulty that his cabinet members were able to dissuade him from this course. Rather, he was induced to plan for the war that he pledged to Simpson, at a future date.
Clearly the US could not attack Japan. But if Japan could be induced to attack the US- then that would be a very different story. Over the next three years, after the Panay incident, America began imposing economic and financial sanctions on Japan. In early 1941, the US imposed oil sanctions. This then forced the Japanese to embark on taking control of South East Asia’s natural resources-especially oil. To counter US interference, the Japanese bombed the US Pacific Fleet at Pearl Harbor in December 1941, thus setting off the Asian wing of World War 2.
Over the next 40 months, the US slowly took back all the lands that Japan had conquered. When Japan decided to surrender in July 1945, the US nuclear-bombed two Japanese cities. This was to serve as a warning to Russia’s Stalin not to exceed the boundaries that was reached at Yalta on the post-war division of the world between the West and Russia. Since August 1945, Japan has become a colony of the US – in particular of the Rockefeller Empire.
The 1929 Market Crash
In 1925, Britain went back onto the gold standard. The resulting depression throughout the British Empire weakened her. After the 1928 cease-fire between the two families, Britain needed to regain her financial strength, and at the same time, weaken Wall Street’s financial strength. It was a war over financial power. So, it persuaded the US Fed to reduce interest rates, while the Bank of England increased interest rates. The resulting outflow of gold from New York to London, created tight money conditions within the US. By September 1929, this low-interest rate policy was leading to the stock markets over heating. In early 1929, the US fed began raising interest rates, and these two factors brought about the infamous October stock market crash. Over the next 3 years, prices fell by 90%!
In 1933, the Rockefeller family put FDR into the White House. It was time to exact revenge on British-and particularly- Rothschild financial power. Standard Oil took over the US government. The State Department was filled with Standard Oil executives, as were all the rest of the key government departments. For decades, the family has given berths to retired military officers who had proved useful to the family’s interests, to good advantage.
By February 1932, in the midst of the presidential election year, US gold reserves had fallen to alarming lows. More than $1 billion of monetary gold had gone, owing to foreign drains and to private hoarding of gold as the domestic American banking crisis escalated. The Federal Reserve was mandated by law to find another $1.5 billion of gold reserves. The amount of Federal Reserve ‘free gold’ at that point was down to $433 million, and it was disappearing at the rate of $150 million per week. Rothschild agent, Bernard Baruch redoubled his public and private call to maintain adherence to the gold standard at all costs, thus allowing more gold to leave the US for Britain. Hoover adamantly affirmed he would do nothing further to “tamper” with the automatic workings of the Gold Standard. Gold continued to leave the vaults of the Federal Reserve, and bank failures mounted ever higher.
In any event, dollar convertibility with gold was to hold until the new President, Franklin Delano Roosevelt, in one of his first official acts of office, declared on April 19, 1933 that the United States had suspended convertibility of the dollar under the Gold Standard. This was done so that the hated British were not in a position to weaken the US.
The business of US banking shifted dramatically from financing stock margin buying and international loans, to that of financing the rise of an enormous Federal Government debt. Banks became, in effect, government bond traders rather than commercial business lenders. The stock market was not to recover its highs of 1929 for almost four decades. The longer-term consequence of the Roosevelt era policies was a dramatic shift away from the power of international private banking, especially investment banking as done by J.P. Morgan, Kuhn Loeb, Dillon Read and others. Their ability to earn bountiful profits from underwriting bond issues in Europe or Latin America collapsed in September 1931 when Britain left the Gold Exchange Standard.
With no gold standard to serve as a psychological underpinning for the possible risk of huge international loans, banks were forced to look closely at the actual credit risk of their borrowers. What they saw was scary. The result was that international credit dried up almost overnight. Banks, fearing default, called in existing loans. The cumulative effect contributed to a self-fulfilling cycle of default and deflation worldwide.
J. P. Morgan & Co. was never to recover its previous dominance in New York and international finance after that. From the years in which Morgan & Co. were the exclusive bankers to the UK Treasury during the First World War, the House of Morgan had built its growing international influence through deepening and leveraging its ties to the power of the fatally weakened City of London, and the Rothschilds. During frantic and fruitless efforts by the Bank of England’s Norman to keep Britain within the Gold Standard in summer of 1931, the New York Fed’s Strong told Norman that Britain’s government would have to work out a rescue package with J.P. Morgan & Co.
The British Labor government was brought down over the refusal of a majority of the Government’s Cabinet members to accept the harsh cuts in British unemployment benefits demanded by J.P. Morgan & Co. as a precondition for their loan. Morgan had pledged to organize a syndicate of New York and other banks to raise the sizeable sum of $200 million to save the Pound and, with it, Morgan’s gold standard, but Morgan was too late. On September 19, 1931 the government announced that Britain had decided to leave the gold standard entirely. That decision effectively ended J.P. Morgan’s strategy of incorporating Great Britain and the City of London as partners in a New York-centered financial imperium. From that point on, the British Government never again would use J.P. Morgan & Co. as its exclusive Government financial agents in the United States, a role Morgan had played since 1914 to its enormous advantage. This marked the clear decline of the House of Morgan within the American establishment, as well. Sharks are good at smelling blood, especially of their rivals.
The second devastating blow to the primacy of the House of Morgan in New York finance came in June 1933 when the US Congress passed the Glass-Steagall Act, officially named the Banking Act of 1933. As a measure intended to curtail future stock and financial speculation bubbles, the new act prohibited a bank holding company from owning other financial companies, including insurance and investment banks. In addition, it established the Federal Deposit Insurance Corporation for insuring bank deposits.
The only major New York bank that encouraged Congress to pass the Glass-Steagall Act was Rockefeller’s Chase Bank. Chase chairman Winthrop Aldrich was the son of Senator Nelson Aldrich, the same Senator Aldrich of the infamous ‘Aldrich Plan’ that became the core of the 1913 Federal Reserve Act. Winthrop Aldrich strenuously lobbied Congress to pass Glass-Steagall, despite the strong opposition from Morgan and other New York banks. Unlike J.P. Morgan, the Chase Bank had become the world’s largest deposit bank largely through extending traditional loans to the circle of Rockefeller companies such as Standard Oil. Chase was less dependent than Morgan on the underwriting of international bonds or the speculation in buying and selling of stocks.
The Rockefellers conveniently put the knife in the back of their Morgan rivals when they were weakest. Chase emerged unscathed from the Congressional investigations into bank improprieties by the Senate Banking Committee, and the bank was prominently profiled as a ‘friend’ of the New Deal, a rarity in a Wall Street milieu .The Glass-Steagall Act, passed amid the national bank panic in the first days of Roosevelt’s administration, dealt a devastating blow to the once almighty House of Morgan, a blow from which it never fully recovered. The Rockefeller faction emerged on the ashes of the House of Morgan to dominate US establishment policy as no other.
Another factor was the creation of the SEC – the Stock and Exchange Commission. It was designed to regulate the stock markets in New York. Its first head was Joe Kennedy – the father of future president JFK. The Rockefeller group was now in a better position to control Wall Street’s destiny. London and the Rothschilds were clear losers.
The Story Continues in Part 3 https://behindthenews.co.za/the-rockefeller-empire-part-3-of-a-6-part-series/
