Congressman Louis T. McFadden, Chairman House Banking Currency
"Mr. Chairman, when the Fed was passed, the people of these United States did not
perceive that a world system was being set up here which would make the savings of the
American school teacher available to a narcotic-drug vendor in Acapulco. They did not
perceive that these United States was to be lowered to the position of a coolie country
which has nothing but raw material and heart, that Russia was destined to supply the man
power and that this country was to supply the financial power to an "international
superstate". A superstate controlled by international bankers, and international
industrialists acting together to enslave the world for their own pleasure?
"The people of these United States are being greatly wronged. They have been
driven from their employments. They have been dispossessed from their homes. They have
been evicted from their rented quarters. They have lost their children. They have been
left to suffer and die for lack of shelter, food, clothing and medicine.
"The wealth of these United States and the working capital have been taken away
from them and has either been locked in the vaults of certain banks and the great
corporations or exported to foreign countries for the benefit of the foreign customers of
these banks and corporations. So far as the people of the United States are concerned, the
cupboard is bare.
"It is true that the warehouses and coal yards and grain elevators are full, but
these are padlocked, and the great banks and corporations hold the keys.
"The sack of these United States by the Fed is the greatest crime in history.
"Mr. Chairman, a serious situation confronts the House of Representatives today.
We are trustees of the people and the rights of the people are being taken away from them.
Through the Fed the people are losing the rights guaranteed to them by the Constitution.
Their property has been taken from them without due process of law. Mr. Chairman, common
decency requires us to examine the public accounts of the Government and see what crimes
against the public welfare have been committed.
"What is needed here is a return to the Constitution of these United States.
"The old struggle that was fought out here in Jackson's time must be fought our
over again. The independent United States Treasury should be reestablished and the
Government should keep its own money under lock and key in the building the people
provided for that purpose.
"Asset currency, the devise of the swindler, should be done away with. The Fed
should be abolished and the State boundaries should be respected. Bank reserves should be
kept within the boundaries of the States whose people own them, and this reserve money of
the people should be protected so that the International Bankers and acceptance bankers
and discount dealers cannot draw it away from them.
"The Fed should be repealed, and the Fed Banks, having violated their charters,
should be liquidated immediately. Faithless Government officials who have violated their
oaths of office should be impeached and brought to trial.
"Unless this is done by us, I predict, that the American people, outraged,
pillaged, insulted and betrayed as they are in their own land, will rise in their wrath,
and will sweep the money changers out of the temple.
"Mr. Chairman, the United States is bankrupt: It has been bankrupted by the
corrupt and dishonest Fed. It has repudiated its debts to its own citizens. Its chief
foreign creditor is Great Britain, and a British bailiff has been at the White House and
the British Agents are in the United States Treasury making inventory arranging terms of
Great Britain, Partner in Blackmail
"Mr. Chairman, the Fed has offered to collect the British claims in full from the
American public by trickery and corruption, if Great Britain will help to conceal its
crimes. The British are shielding their agents, the Fed, because they do not wish that
system of robbery to be destroyed here. They wish it to continue for their benefit! By
means of it, Great Britain has become the financial mistress of the world. She has
regained the position she occupied before the World War.
"For several years she has been a silent partner in the business of the Fed. Under
threat of blackmail, or by their bribery, or by their native treachery to the people of
the United States, the officials in charge of the Fed unwisely gave Great Britain immense
gold loans running into hundreds of millions of dollars. They did this against the law!
Those gold loans were not single transactions. They gave Great Britain a borrowing power
in the United States of billions. She squeezed billions out of this Country by means of
her control of the Fed.
"As soon as the Hoover Moratorium was announced, Great Britain moved to
consolidate her gains. After the treacherous signing away of American rights at the
7-power conference at London in July, 1931, which put the Fed under the control of the
Bank of International Settlements, Great Britain began to tighten the hangman's noose
around the neck of the United States.
"She abandoned the gold standard and embarked on a campaign of buying up the
claims of foreigners against the Fed in all parts of the world. She has now sent her
bailiff, Ramsey MacDonald, here to get her war debt to this country canceled. But she has
a club in her hands! She has title to the gambling debts which the corrupt and dishonest
Fed incurred abroad.
"Ramsey MacDonald, the labor party deserter, has come here to compel the President
to sign on the dotted line, and that is what Roosevelt is about to do! Roosevelt will
endeavor to conceal the nature of his action from the American people. But he will obey
the International Bankers and transfer the war debt that Great Britain should pay to the
American people, to the shoulders of the American taxpayers.
"Mr. Chairman, the bank holiday in the several States was brought about by the
corrupt and dishonest Fed. These institutions manipulated money and credit, and caused the
States to order bank holidays.
"These holidays were frame-ups! "They were dress rehearsals for the national
bank holiday which Franklin D. Roosevelt promised Sir Ramsey MacDonald that he would
"There was no national emergency here when Franklin D. Roosevelt took office
excepting the bankruptcy of the Fed- a bankruptcy which has been going on under cover for
several years and which has been concealed from the people so that the people would
continue to permit their bank deposits and their bank reserves and their gold and the
funds of the United States Treasury to be impounded in these bankrupt institutions.
"Under cover, the predatory International Bankers have been stealthily
transferring the burden of the Fed debts to the people's Treasury and to the people
themselves. They the farms and the homes of the United States to pay for their thievery!
That is the only national emergency that there has been here since the depression began.
"The week before the bank holiday ws declared in New York State, the deposits in
the New York savings banks were greater than the withdrawals. There were no runs on New
York Banks. There was no need of a bank holiday in New York, or of a national holiday.
Roosevelt and the International Bankers
"Roosevelt did what the International Bankers ordered him to do!
"Do not deceive yourself, Mr. Chairman, or permit yourself to be deceived by
others into the belief that Roosevelt's dictatorship is in any way intended to benefit the
people of the United States: he is preparing to sign on the dotted line! "He is
preparing to cancel the war debts by fraud!
"He is preparing to internationalize this Country and to destroy our Constitution
itself in order to keep the Fed intact as a money institution for foreigners. "Mr.
Chairman, I see no reason why citizens of the United States should be terrorized into
surrendering their property to the International Bankers who own and control the Fed. The
statement that gold would be taken from its lawful owners if they did not voluntarily
surrender it, to private interests, show that there is an anarchist in our Government.
"The statement that it is necessary for the people to give their gold- the only
real money- to the banks in order to protect the currency, is a statement of calculated
"By his unlawful usurpation of power on the night of March 5, 1933, and by his
proclamation, which in my opinion was in violation of the Constitution of the United
States, Roosevelt divorced the currency of the United States from gold, and the United
States currency is no longer protected by gold. It is therefore sheer dishonesty to say
that the people's gold is needed to protect the currency.
"Roosevelt ordered the people to give their gold to private interests- that is, to
banks, and he took control of the banks so that all the gold and gold values in them, or
given into them, might be handed over to the predatory International Bankers who own and
control the Fed.
"Roosevelt cast his lot with the usurers. "He agreed to save the corrupt and
dishonest at the expense of the people of the United States.
"He took advantage of the people's confusion and weariness and spread the dragnet
over the United States to capture everything of value that was left in it. He made a great
haul for the International Bankers.
"The Prime Minister of England came here for money! He came here to collect cash!
"He came here with Fed Currency and other claims against the Fed which England had
bought up in all parts of the world. And he has presented them for redemption in gold.
"Mr. Chairman, I am in favor of compelling the Fed to pay their own debts. I see
no reason why the general public should be forced to pay the gambling debts of the
Roosevelt Seizes the Gold
"By his action in closing the banks of the United States, Roosevelt seized the
gold value of forty billions or more of bank deposits in the United States banks. Those
deposits were deposits of gold values. By his action he has rendered them payable to the
depositors in paper only, if payable at all, and the paper money he proposes to pay out to
bank depositors and to the people generally in lieu of their hard earned gold values in
itself, and being based on nothing into which the people can convert it the said paper
money is of negligible value altogether.
"It is the money of slaves, not of free men. If the people of the United States
permit it to be imposed upon them at the will of their credit masters, the next step in
their downward progress will be their acceptance of orders on company stores for what they
eat and wear. Their case will be similar to that of starving coal miners. They, too, will
be paid with orders on Company stores for food and clothing, both of indifferent quality
and be forced to live in Company-owned houses from which they may be evicted at the drop
of a hat. More of them will be forced into conscript labor camps under supervision.
"At noon on the 4th of March, 1933, FDR with his hand on the Bible, took an oath
to preserve, protect and defend the Constitution of the U.S. At midnight on the 5th of
March, 1933, he confiscated the property of American citizens. He took the currency of the
United States standard of value. He repudiated the internal debt of the Government to its
own citizens. He destroyed the value of the American dollar. He released, or endeavored to
release, the Fed from their contractual liability to redeem Fed currency in gold or lawful
money on a parity with gold. He depreciated the value of the national currency.
"The people of the U.S. are now using unredeemable paper slips for money. The
Treasury cannot redeem that paper in gold or silver. The gold and silver of the Treasury
has unlawfully been given to the corrupt and dishonest Fed. And the Administration has
since had the effrontery to raid the country for more gold for the private interests by
telling our patriotic citizens that their gold is needed to protect the currency.
"It is not being used to protect the currency! It is being used to protect the
corrupt and dishonest Fed. "The directors of these institutions have committed
criminal offense against the United States Government, including the offense of making
false entries on their books, and the still more serious offense of unlawfully abstracting
funds from the United States Treasury! "Roosevelt's gold raid is intended to help
them out of the pit they dug for themselves when they gambled away the wealth and savings
of the American people.