"Money Trumps Peace"

"We are not going to achieve a new world order without paying for it in blood as well as in words and money." Arthur Schlesinger, Jr., in Foreign Affairs (July/August 1995)

One of the burning questions over the last 5 years has been how to reconcile the Iraq war with the events of 9/11 with everything else happening in our country that is discordant with our American traditions, laws and values. We were told that the link was terrorism but the terrorists didn’t come from Iraq.  We were told that Saddam was funding the terrorists but there really was no evidence of that.   We were told that terrorists were training in Afghanistan but the only proof was a video that CNN ran over and over as the administration was preparing for war.  It was only recently that I discovered a CNN article[i] that said the tape was supplied by the Indian government in the days after September 11th 2001.   

Sources told CNN that more than 120 camps are operating in the two [Pakistan and Afghanistan] countries. The camps are small, they are easy to move, and they can be difficult to track by satellite because of the region's rough terrain.

Some Indian defense officials predicted it could take a decade for the United States to root them all out.

The curious thing to this writer is that India said there were 120 camps, that they couldn't be seen by satellite, they were small and mobile - yet the impression given by CNN was of a massive effort to train Islamic terrorists for a Holy War.  They predicted it would take a decade to root out the camps.  

The prediction of a decade to root out terrorist camps strikes a disharmonious chord.  Why a decade?  How could they possibly predict such a thing?  

The images on the video were of a few guys running through an obstacle course of old tires and swinging on monkey bars.   It wasn't clear when those videos were taken because the CIA built the Islamic International Terrorist organization to destabilize the the Soviet Union and the U.S. funded the Mujahadeen[2] during the Soviet Union's occupation of Afghanistan.  

In another article, it was revealed that India also identified a $100,000 payment to alleged hijacker Mohamed Atta by a Pakistani connected with Pakistan's ISI (secret service and another organization trained by and used by the CIA to indirectly fund and support the Mujahadeen in Afghanistan).  The payment was made by Ahmad Umar Sheik (aka Omar Saeed).   A significant tidbit about Saeed is that he grew up in the suburbs of Great Britain and he attended the London School of Economics.   Another is that Mohamed Atta was an Urban Planner educated in Germany. 


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Sour Notes

On November 9, 2001, George Bush signed a technology and knowledge industry trade agreement.  The Joint Statement begins with these words: "Since September 11, the people of the United States and India have been united as never before in the fight against terrorism."

Effectively, this agreement was a torpedo to the U.S. economy.   At the time this agreement was signed, roughly 65% of our economy was in knowledge jobs.  Manufacturing in the United States began declining in the 1960's.  By 2001, it probably only accounted for about 17% of the economy and the number was that high only because of the price of cars and heavy equipment - not because of a healthy manufacturing base with a wide variety of production capacity employing lots of people. [3] 

Not only was this agreement an attack on the economy, it was an attack on our national security.  The United States is heavily dependent on the computer systems that make it work.  From the supply chain management systems that stock the grocery shelves, to the traffic lights, to the ticket reservations systems, to your paycheck, it all depends on the computer systems.  If there is a breakdown in the supply chain for food; if there is a problem in the traffic management systems in a major city; if the airline reservations systems don't work; if you don't get your paycheck or the bank can't process it, you have a country in chaos and chaos is a national security risk. 

And the icing on the cake is that George Bush signed the agreement with India on 119 - the inverse of 911.  Both of these dates were symbolic jokes. 

In the October 24, 2001 edition of the Indian newspaper Rediff, reported the following:

 October 24, 2001

'India to emerge as third largest economy by 2025'

India will emerge as the third largest economy in the world after US and China by 2025, Indian High Commissioner to Britain, Nareshwar Dayal, said citing the marked growth of IT sector in the country which has added significantly to its productivity.

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It turns out that the agreement Bush signed with India was the result of an initiative known as the "Knowledge Trade Initiative" that Bill Clinton started in March of 2000.  The negotiations were carried out in the private sector by the U.S.-India Business Council (USIBC) and the Federation of Indian Chambers of Commerce and Industry (FICCI).  Frank Wisner Vice-Chairman of AIG was the USIBC Chairman Ambassador and the Chairman of the Knowledge Trade Initiative.

From the 'Background' information on the website of the Knowledge Trade Initiative (note: these pages were recovered from the wayback machine because of their significance):

India and America are leading players in the Information Technology revolution. The information economy is driven by human capital, and as the two largest global suppliers of IT engineers, each will play a pivotal role in the information age. As demonstrated by the recent World Trade Organization Ministerial meeting in Seattle, however, fundamental differences still exist between the two countries. Issues related to the IT sector, where each country shares a common role as an industry leader, could provide the forum in which Indian and American interests intersect, and provide the foundation to a lasting economic and political partnership between the two.

Though many signs are positive, there remain many challenges. In each of the subject areas of the KTI, much work remains to be done. Furthermore, though India is currently an IT destination of choice, drawing largely upon its large supply of English speaking, low-cost, well-educated, engineers, India should not take this advantage for granted. Other countries are replicating this model for success, often without having to work through a democratic system as robust and participatory as India’s. More and more, India’s workforce advantage will be replicated elsewhere. India needs to develop the hard and soft infrastructure of its IT sector in order to ensure its long-term, sustainable advantage in this sector.

Knowledge jobs are by definition, service jobs.  According to a recovered page from the 'Knowledge Trade Initiative' website:

Service industries account for nearly 80 percent of U.S. employment and GDP. U.S. exports of commercial services (i.e., excluding military and government) were $255 billion in 1999, supporting over 4 million services and manufacturing jobs in the United States.

In effect, the Knowledge Trade Initiative and the corresponding trade agreement that George Bush signed was the largest transfer of wealth the world has ever seen - taking from the American people and giving to the technology corporations involved in the Knowledge Trade Initiative and related technology businesses and to the people of India.  It was a betrayal of a magnitude that it is hard to comprehend.  Paul Craig Roberts [4] explained it this way: 

"The United States is the first country in history to destroy the prospects and living standards of its labor force. It is amazing to watch freedom-loving libertarians and free-market economists serve as full time apologists for the dismantling of the ladders of upward mobility that made the America of old an opportunity society."


On any scale, the damage to the United States and our economic future dwarfs what happened at the World Trade Center on 9-11.  The damage to our country and the American people is both long-term and structural.    

But the plan to destroy the American economy didn't even begin in 2000.  In June of 2004, Catherine Austin-Fitts did a radio program with Jim Puplava in which she said the following:

In the mid-90's Jim, we knew that a huge amount of jobs and income-generating activities in America were going to get outsourced to Asia. I mean, those decisions were made in the early 90's, and we knew that was going to happen.

Fitts Background: Managing Director and member of the Board of Directors of the Wall Street investment bank,  Dillon and Reed.  She was also Assistant Secretary of HUD under the first Bush Administration. Fitts is  Founder and President of Solari, Inc.  And organization designed help promote 'healthy local living economies'.

How did they know that a huge amount of jobs and income-generating activities in the U.S. were going to be outsourced to Asia?   Because Clinton, the consummate Global Socialist, was following the UN dictates of the Rio Declaration on Environment and Development of June 1992.  We know that because he signed Executive Order 12852 in June of 1993 calling for the establishment of a "President's Council on Sustainable Development" which is what the Rio Declaration was about. 

This action dovetails with stealth actions of Harris Miller of the Information Technology Associates of America (ITAA) to export our high tech Information Technology jobs to India.    Miller, while CEO of ITAA began working with Dewang Mehta, remembered as the 'Father of IT' in India, in roughly 1996.  Unfortunately for Mr. Mehta, he didn't realize it was supposed to be a secret because less than a month after he let it slip in March of 2001 at a signing ceremony between ITAA and NASSCOM, he died of a surprise heart attack while attending a conference in Australia [5].  Mr. Mehta was only 38 years old.

The stealth was confirmed when Financial Times reported this comment by WIPRO Chairman Azim Premji while “speaking at a seminar organised by the All India Management Association (AIMA) and Bombay Management Association (BMA)":   

“Addressing management students here, Mr Premji explained that when software services were being outsourced, it was done surreptitiously. This was done because it was the requirement of that time. The industry then stood witness to a vast number of layoffs.”

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What made the export of knowledge jobs and high technology possible was the communications pipeline built by Global Crossing.  India has a large population of English speaking people and the cost of labor is between a sixth and a tenth of what it is here.  Global Crossing was a corporation founded in 1997 and incorporated in Bermuda, doing business in Beverly Hills.  Global Crossing was the beneficiary of both the dot.con boom and the Telecommunications Act of 1996

Gary Winnick was the co-founder Global Crossing along with David Lee.   Winnick's background was that he was a close working associate of Michael Milken, the Junk Bond King at Drexel, Burnham, Lambert.  Winnick used the same strategy as the Carlyle Group in terms of getting big names involved.  One of those was George H.W. Bush.  Bush took stock in Global Crossing in lieu of speaking fees when promoting the corporation in Japan (pg 7 above report). 

The kickoff of the dot.con stock market boom is generally attributed to the incredible one day stock price rise of Netscape.  That explanation never made sense to this Programmer/Analyst because Netscape's claim to fame was just a browser.  Big Deal.  What was really behind the tech boom though was the idea of the global network and what percentage of the world's economic activity could be replaced by and controlled through the internet.  

The tech corporations obviously being the ones to grasp the enormity of it all, were the leaders in the dot.con stock fraud in cahoots with the investment bankers and financial media to create an IPO led stock market boom based on illusory start-up dot.con companies.  A few selected firms made it big... most did not.  The money spent creating the illusion of the tech boom was petty cash compared to what they are now making by destroying the U.S. economy through the trade agreement with India.  And a significant percentage of the money stolen from investors through the fraud was used to build the global network that made it all possible.


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On February 15, 2007, there was a hearing on the state of the economy by the House Committee on Financial Services.  The two opening statement by the Chairman, Barney Frank and the Ranking Member, Spencer Bachus are telling in their contrast.  One member is listening to his constituents and is aware of the impact globally of what is being done to regular working people.  The other is living in the world of dis-reality created by the economic fraudsters profiting from the destruction of our nation's economy. Listen to the audio clips to hear the difference in perceptions:

Ranking Member: Spencer Bachus 
Chairman:  Barney Frank


There was also a hearing of the House Budget committee on the IRS and the Tax Gap.  A few things were said in this hearing that are critically important to understand how the attack on our economy was engineered and how the cover up of the crimes is being accomplished.  Stated succinctly, "screw up the computer system to cause a delay of game... while the economy is being drained of knowledge jobs and correspondent tax revenues... use the dufus excuse... computer foul-ups, lessons learned, and misdirection to cover up....by the time everything is straightened out, the U.S. economy will be drained, heavily in debt and in a never-ending war with the Middle East.  If there are any doubts, consider that we are talking about trillions of dollars and the death of a nation.  Remember the quote, "if you are going to fight with the king, you have to kill the king" and make no mistake, they are killing the United States as a nation.    

Basically, here's how the scam worked:

1.  Y2k (they don't mention it) but that was probably the impetus behind the IRS modernization program that began in the late 80's.  Given the magnitude of the Y2k problem, it was insanity to try and replace a system like the IRS tax processing system with the impending deadline of the millennium rollover but they did it anyway. 

Testimony of Mr. George, IG for Tax Administration, Treasury Dept. :  IRS Modernization 

[Note: it's not possible to spend billions on a software project in a couple of years - you can't hire enough people and you couldn't manage it (coordinate their activities) so something is wrong here.  Also note what Nina Olsen says about a new system for private collectors.

2.  The many failures of the modernization program probably led to the hearings in the mid 90's on the abuses of the IRS which led to the legislation for a 'kinder and gentler' IRS and the stand down on enforcement.  This occurred at the same time that Al Gore was 'reinventing government' with a focus on 'service to the customer' and outsourcing government functions. 

Opening Statement - Ranking Member: Paul Ryan:  Hearings on IRS abuses in 1990's and the solution

The modernization project, staff reduction in IRS enforcement and stand down was the disarmament of the IRS.  This provided the cover up of the fact that the IRS tax processing system was no longer functioning.   The tech industry and telecom corporations knew it though and they exploited it to the maximum degree which is why there were so many corporate accounting scandals and bankruptcies after the abrupt end of the dot.con boom not coincident to the completion of the global network.   The SEC was a problem, but airplanes flying into buildings took care of that - at least buying time for the crooks and traitors to make their escape while giving the excuse to start what will be a never ending war with the Middle East.   


Mark Everson, IRS Commissioner: tax gap (individuals)

3.  The Misdirection.  What Mark Everson is doing with his tax gap report is attempting to explain the drop in revenues from individual income tax filers by telling the Congress that it is due to cheating.  The reality is that the drop in revenues is due to the millions of middle class, knowledge jobs that have been exported to India.  When the number of jobs created during this administration are discussed, the quality of those jobs are never mentioned but they are for the most part low end McD and Walmart jobs which obviously don't begin to make up for the revenue losses of the exported middle class jobs. 

Spratt - tax gap amounts

Q & A - Spratt to Everson on composition of tax gap and their research 

Spratt-Everson on Corporate Tax Havens

Doggett - Corporate "catch and release"  

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With the knowledge of what was done to the IRS tax processing system and the cover-up of the loss of tax revenues, add into the mix, Al Gore's reinvention of government and outsourcing of government functions - in particular the GSA and the Pentagon:

Blair House Papers   (pg 39 GSA)

"GSA will close nine data centers, out-sourcing all of

its data center requirements to the private sector.

Al Gore 1997, Blair House Papers


Outsourcing the Pentagon

And the theft of trillions of dollars from the Department of Defense budgeting and procurement systems:

Rumsfeld Buries Admission of Missing 2+ Trillion Dollars in 9/10/01 Press Conference

On September 10, 2001, Secretary of Defense Donald Rumsfeld held a press conference to disclose that over $2,000,000,000,000 in Pentagon funds could not be accounted for. Rumsfeld stated: "According to some estimates we cannot track $2.3 trillion in transactions."


Getting back to India's part in this conspiracy, they provided the evidence on Islamic terrorism in Afghanistan and pointed the finger at Pakistan for the $100,000 payoff to Mohamed Atta.  Their incentive for doing so was obviously the November 9, 2001 Trade in Technology agreement which is profiting India, the technology corporations and obviously the Bush and Cheney families.  They also set the timeframe of about a decade which was no doubt their estimate as to how long it would take to drain our country of knowledge jobs with the loss of revenues covered up by the 'gosh, gee' goofy computer consulting people who spent years screwing up the IRS computer systems.   It is long enough to cripple our economy and to allow the invasion by 30-40 million Mexican nationals to be completed.   It is also time enough to have our military broken and destroyed fighting people in the Middle East who had nothing to do with any of this but who are now honor-bound to fight back until they destroy us - like we destroyed them.

If you understand all of the above, then you have the answer to the war in Iraq and you can more fully appreciate George Bush's statement that "money trumps peace...sometimes". 









  "We can hardly expect the nation-state to make itself superfluous, at
least not overnight. Rather what we must aim for is really nothing more
than caretakers of a bankrupt international machine which will have to
be transformed slowly into a new one. The transition will not be
dramatic, but a gradual one. People will still cling to national
-- Henry Morgenthau
CFR, Secretary of the Treasury under FDR
Source: 1945


Global Computer Systems

        The purpose of most computer systems is to eliminate labor as a cost factor.  If you have global computer systems, it eliminates labor in all countries where the system is in operation.  Because the labor costs are lower than domestic businesses of the same sort, the global system puts domestic businesses out of business.

E-Trade to Unveil Global Trading Platform

The Trans-Pacific Multimodal Security System    scroll down to the last picture - "Duplication in other economies" refers to normalization - elimination of duplicate functions. 

Enron - Global Commodities Trading Platform




[i] “India Identifies Terrorist Training Camps”, September 19, 2001 Posted: 9:36 PM EDT (0136 GMT), By Satinder Bindra, CNN New Delhi Bureau,  http://archives.cnn.com/2001/WORLD/asiapcf/central/09/19/inv.afghanistan.camp/ 

[2] "Oil and the Taliban", Coastal Post Online, Edward Miller, March 2002, http://www.coastalpost.com/02/03/14.htm

[3] Note:  These figures are approximate based on various readings over time.  If you want precise statistics...look them up yourself :)

[4] America's Bleak Jobs Future, Paul Craig Roberts, March 6, 2006  http://www.counterpunch.org/roberts03062006.html

[5] Note: This might seem like an unfair accusation except that the very same thing happened a couple of years ago to an Indian businessman who appeared on the Lou Dobbs program.  That very evening after the program, he died of a surprise heart attack after he admitted to Dobbs that we would be losing all of our high tech jobs to India.  Lou made the announcement of his death on the next evenings program.