IPFS Edwin Sumcad

Straight Light

Edwin Sumcad

More About: Federal Reserve

Severe Reactions: Cure Pill I Prescribe – Know The Role Of Fed In The Economy


      The editorials I wrote -- Fed I & Fed II -- elicited severe reactions from a shocked audience. The shock wave did not necessarily come from the grind house of horror, sex and violence in downtown Chicago, but from those who knew for the first time, that the Federal Reserve of the United States is a government institution and not a private banking entity supposedly run by “thieves”.

       Scandalized outrage came down in varied forms and in various degrees of intensity and blinding passion. Some are swearing hell for the author’s damnation, and a few just used dirty words.  The latter is obviously overtaken by extreme emotion when the high courts of the land in the Lewis case [I suggest again that you Read it] destroyed the myth that the entire Federal Reserve System is a private scheme owned by financial hijackers whose terror activities are more terrifying than that of the 911 infamy!

         With those paralyzing emotion, the brain cannot function properly, thus in those reactions no rational argument was presented on the issues raised, hence no debate.  There was no intellectual attraction from those outpouring of sentiments that were bitterly directed only to the person of the author. It is an imprimatur of the Left when it normally runs out of argument.

       Samples of these muscular [macho] outbursts can be read in comments following the reading of Fed I & Fed II.

       However, I detected a little bit of brain in one of those feverish feedbacks.  I would like to reprint it here for your reading pleasure, and my response for “your favorite entertainment” to borrow a line from the editorial management:

        ”From: RandyNAZ1985@aol.com
Subject: Re: To Educate The Ignorant, Re: The Federal Reserve
To: ed.superx722@yahoo.com.sg
Date: Friday, June 26, 2009, 7:57 AM

      “You can argue it either way, you are wasting your time posting pro fed stuff on freedoms phoenix, you’re not going to change anybody's mind. And yes I understand both cases trying to talk down to people will get you no where. The Fed is a private banking institution that puts on a public front.  This Is off their web site  "It is an independent entity within the Federal government." And its not about profit, its about control.

      “I know I’m not going to shift your opinion overnight but here is a few quote to get ya thinking:

      " ‘Give me control of a nations money supply, and I care not who makes it’s laws’." Mater Amschel Rothschild.

      " ‘Banking was conceived in iniquity and born in sin. Bankers own the Earth. Take it away from them but leave them the power to create money, and, with the flick of a pen, they will create enough money to buy it back again. Take this great power away from them and all great fortunes like mine will disappear and they ought to disappear, for then this would be a better and happier world to live in. But, if you want to continue to be the slave of the bankers and pay the cost of your own slavery, then let the bankers continue to create money and control credit."

      This is a quote from Sir Josiah Stamp, President, Bank of England (allegedly the 2nd richest man in England) that the comment presented to support the sender’s disagreement to the editorials I wrote.

      After the high courts destroyed the myth that the Fed is a private entity held hostage by government banking terrorists, this is how I disposed survivors still suffering a severe withdrawal-effect:

“From: Ed Sumcad
Subject: Re: To Educate The Ignorant, Re: The Federal Reserve
To: RandyNAZ1985@aol.com
Date: Friday, June 26, 2009, 10:19 AM

     “It really frustrates an experienced lawyer and a scholar re, World-Bank monetary specialist, to know that you really cannot understand reading court cases, aside from being short of know-how in economics, and here you are arguing with me your lack of legal knowledge you are not even aware of.

     “If you understand the legal dictum in the Lewis case [Read it again in this site], it tells you that ONLY for purposes of FEDERAL TORT CLAIMS ACT, the Fed is not – repeat, NOT -- a government entity; and neither do regional Federal banks operate as a federal agency, to hold a federal employee liable for tort actions filed in court.

      “But the Fed is always, and has always been, a public entity.  The high courts said so, in the many landmark cases I presented. It is not I who declares that the Fed is a public entity.  However, if you think you are wiser than the Justices of the high courts, then it is your own laurel, and you can bash yourself with self-praise in that imagined glory.

      “There is nothing unusual in those quoted anti-Fed-mouthing you picked up in the roadside to show your abhorrence of banks, your detestation of the banking system, and your hatred of bankers.

      “We hear a lot of this kind of bucket-kicking demonstrated on scripted videos produced by haters of banks and bankers like you.  What you quoted in an attempt to impress me is just a couple of those extracts from You-Tube-video campaigns launched against the Fed.  There are several of those TV slides, slugs or TV clips and videos running in the Internet, and you notice that the offensive languages used are similar to the attack vocabulary of the radical Left because these are no doubt scripted from a clandestine underground source that wears a mask [see what those masks represent in the published editorials Fed I & Fed II that I exposed].

      “You must understand that bankers profit from money.  Money is a commodity. Banks make a business out of it.  It is no different from a vegetable vendor who makes a business out of carrots, who sells more carrots, and creates more money out of profits every time a carrot sale is made.

      “Notice carefully, that like banks and the Fed, this vendor creates money too by borrowing or making a loan from the bank to start his carrot business. If before paying off the loan he borrows again and more from other financial institutions because he goes to the casino to gamble and his credit on record is good, you cannot blame the banking system for the resulting bubble in the financial system due to unpaid debts, nor should we point a finger of blame to financial servers for the balloon of credits that the consumers’ irresponsibility and greed create.

    “Anyway, like any legitimate business we could think of, their excuse for being – the vendors and banks -- is profit, and that is, for making a business out of carrots and money, respectively. Like the old saying goes, in free enterprise, profit-making is in the blood … all right that’s too euphemistic … rather, as Londoners would say it, this “bloody” profit is in the System!

      “This illustration is more or less replicated in the real world.  You and I are currently victims of this abuse.

      Okay, here’s the bottom line: If you really hate banks, and your blood boils with the thought that the banking system is making a fool out of you, the solution is in your hand – don’t put your money in the bank, or don’t be foolish to borrow money or make a loan from the bank. Kiss good-bye to any loan or credit, then tell me how your life looks like!

      “There is no one living in this country whose life is not connected to credit, banks and the banking system. You have to be still hiding in the cave as a bearded recluse, or living in Timbuktu, not the real one on this planet but that one in cloud nine, if credit, banks and the banking system are out of your life or are not part of the way you live!

      “If all Americans who live in this country are like you whose life has no connection whatsoever with credit, the bank and the banking system, then we do not need the Federal Reserve to supervise and regulate credit, oversee the activities of all banks and police the banking system that you think are taking advantage of you.

     “Fair?  In the meantime, I prescribe this pill of knowledge to cure your severe anxiety that not only you but a lot of Americans who caught their affliction like what you are suffering now, from I-hate-the-Fed epidemic that spread faster than the contagious outbreak of swine flu.

     “The knowledge tab of cure I prescribe is -- know the Role Of the Fed In The Economy.

     “Cheers!  And best wishes!  Ed/06/26/09.”


© Copyright Edwin A. Sumcad.  Access FP.com June 29, 2009.


The writer is an award-winning journalist.  Know more about the author by reading his published editorials and feature articles or you may e-mail your comment to ed.superx722@yahoo.com.sg.