The Hidden History of Money, Debt and Organized Religion

Debt the First 5,000 Years

David Graeber (2012)

In this presentation, anthropologist David Graeber talks about his 2012 book Debt: The First 5,000 Years

For me, the most interesting part of the talk is his discussion of the historical link between debt and the rise of the world’s major religions (Hinduism, Christianity, Confucianism, Islam, Buddhism, Judaism) between 500 BC and 600 AD.

As Graeber describes it, all commerce was based on credit prior to the development of coinage around 500 BC. In all societies, coinage arose in conjunction with the onset of empire building – traveling armies had to be paid in hard currency rather than credit. The result, according to Graeber, was the simultaneous rise of military/coinage/slavery* empires in Greece, China and India.

According to Graeber, all the major religions arose around the same time – as a “peace movement” opposing militarism, materialism and slavery.

Around 400 AD, when the Roman and other empires collapsed, coinage vanished, along with the standing armies that necessitated its creation. During the Middle Ages, nearly all financial transactions were based on credit. Until 1493, when the “discovery” of the New World initiated a new cycle of empire building, accompanied by militarism, coinage and slavery.

I was also intrigued to learn that Adam Smith stole most of his thinking about free markets from medieval Islamic philosophers. The Islamic ban on usury enabled the Muslim world to operate pure free markets that were totally outside of government influence or control. Trying to operate an economy without such a ban (or a system of debt forgiveness like the Biblical practice of Jubilee) leads to inevitable economic chaos and ultimately collapse, even with government intervention.

People who like this talk will also really like a series Graeber recently produced for BBC4 radio entitled Promises, Promises: The History of Debt.  In it, Graeber explores  the link between Native American genocide and the harsh debt obligations imposed on the Conquistadors.  He also discusses the formation of the Bank of England in 1694, the role of paper money as circulating government debt and the insanity of striving for government surpluses.


* In ancient times, the primary mechanism by which people became enslaved was non-payment of debt.

 

 

 

The FBI War on Rap

The FBI War on Tupac Shakur and Black Leaders

John Potash (2008)

Review

In the video below, author John Potash uses a slideshow format to discuss his 2008 book The FBI War on Tupac Shakur and Black Leaders. The book is a compilation of years of research (based on court documents, news reports, archival photos and FOIA documents) into the FBI role in the assassination and false imprisonment of black political leaders and rock stars.

This presentation mainly focuses on the FBI assassination of Tupak Shakur in 1996, though Potash also briefly covers the FBI murder of Malcolm X, Martin Luther King, Fred Hampton, Huey Newton, Jimi Hendrix and Bob Marley and the CIA murder of Robert F Kennedy.

As background, Bishop also outlines the key strategies of Cointelpro the FBI war against the Black Panther Party.  In addition to assassinating their leaders, the FBI collaborated with police intelligence units to imprison multiple Panther leaders on false charges, as well as extensive infiltrating their groups.

The Panther 21 Trial

Both Tupac’s Black Panther parents were framed on fictitious charges in the infamous Panther 21 trial in 1971. Tupac’s mother Afeni, who handled their defense pro se, got all of them acquitted. Tupac, who had numerous Panther mentors growing up, would become president of the New African Panther Organization (NAPO) in 1989,

In 1992, he helped broker a truce between the Bloods and Crips, encouraging them to focus their anger on the white power structure. In part due to his growing fame, the FBI responded with repeated attempts to assassinate him, as well as numerous arrests on fictitious charges.

By 1995, his financial resources depleted by multiple arrests and frivolous lawsuits, Tupac was eventually framed by an FBI informant on a phony sexual assault charge. Although he was acquitted on a rape charge, he would be sentenced to four years in prison (on a $5 million bond) for “touching a woman’s buttocks without her permission.”

Death Row Records

What horrified me most about this presentation was learning about Death Row Records, a recording company run by three undercover cops from the LAPD intelligence unit. The latter used their position in the recording industry to traffic drugs (the president of Death Row was an affiliate of Freeway Ricky Ross who distributed cocaine imported to the US by the CIA Contras) and guns and to murder performers who attempted to politicize rap music.

Death Row Records was also instrumental in ending the Bloods/Crips truce by instigating a fictitious East Coast/West Coast rap war and collaborating with police “rap squads” in Los Angeles, New York and elsewhere to frame truce leaders on phony charges carrying long prison sentences. They were also instrumental in breaking up Niggas wit Attitudes (N.W.A.)

Tupac was released from prison within days of signing with Death Row, which closely censored the political content of his recordings and performances. The FBI and the undercover cops at Death Row also instigated the phony feud between Tupac and rap star Biggie Small.

After Tupac left Death Row to start his own record company, the FBI organized his assassination and planted rumors in the press that Biggie Small had ordered the drive by shooting. They subsequently murdered Biggie Small to cover up the FBI role in Tupac’s murder.

Empire Building US-Style

Apologies of an Economic Hitman

Directed by Stelios Kouloglou (2008)

Film Review

This is a very intriguing Greek documentary about John Perkins, author of the 2004 book Confessions of an Economic Hitman. In the film, Perkins summarizes his recruitment by the NSA to work as an “economic hitman.” Despite his close affiliation to US intelligence, he was technically under the employ of a private engineering company called Charles T Main Inc. It was his role to approach third world presidents with bribes to accept World Bank loans for massive infrastructure projects – which were usually built by major US companies such as Bechtel and Halliburton.

This was done with the deliberate intention of saddling the third world countries with debt they couldn’t repay. Their only option would be to seek refinancing from the International Monetary Fund (IMF), which usually demanded they slash public services and open up their resources to further exploitation by Wall Street interests .

As Perkins describes it, this was the strategy of choice (as opposed to direct military intervention) for expanding US empire between 1945-2000. Any third world leader who refused to play ball was openly threatened with assassination. The first step in dealing with a recalcitrant leader was to send in the “jackals,” CIA officers and contractors who would try to instigate a military coup. If this failed, US intelligence would send in an assassination team. If this also failed, they would fall back on military invasion and occupation (always a last resort).

The film zeroes in on the assassination (via plane crash) of Ecuadorian president Jaime Roldós Aguilera and Panamanian president Omar Torrijos in 1981. It also provides interesting background to the US invasion of Iraq, following Saddam Hussein’s rejection of a massive Bechtel oil pipeline project.

I was previously unaware of the CIA effort to instigate a military coup against Saddam in 1996. The CIA discarded the option of assassinating him because he had too many doubles. Even his own bodyguards never knew if they were guarding the real Saddam.

What Really Happened at Waco?

Waco: The Rules of Engagement

Directed by William Gazecki (1997)

Film Review

Waco is a long but well-made documentary about what was essentially an FBI coverup of an unlawful military assault on innocent civilians. What immediately struck me about the film are the obvious parallels between the military assault at Waco, the 1975 incident at Pine Ridge in which Leonard Peltier and other AIM activists were arrested for resisting an armed FBI assault and the FBI/Philadelphia police decision to bomb the MOVE compound in 1985 (see The Day Philadelphia Police Dropped a Bomb on 61 Families).

The documentary is anchored around a 1995 Congressional investigation which, unlike the whitewash of the JFK assassination, the Oklahoma City bombing and 9-11, successfully unearthed most of the sordid facts about the government’s illegal (and unconstitutional) military assault in Waco. Predictably the corporate media buried the investigation and its findings. Thus the systematic disinformation the Clinton administration disseminated about David, Koresh and the Branch Davidians is what remains uppermost in the public mind.

What surprised me most about the film was learning that the Branch Davidians weren’t a cult, that the Mount Carmel church where they lived wasn’t a bunker and that David Koresh himself wasn’t a deranged psychopath who buffaloed his followers into a virtual suicide pact.

The Branch Davidians were actually an old offshoot of the Seventh Day Adventist Church which relocated from Los Angeles to the Mount Carmel center at Waco in the 1930s. Koresh (born Vernon Howell) was raised there and eventually selected as the group’s spiritual leader.

Testimony given during the Congressional hearings establishes quite clearly that the initial ATF assault (in which the Branch Davidians defended themselves and killed four ATF agents) was a public relations stunt aimed at influencing upcoming ATF appropriations hearings.

The supposed justification for the assault was the presence of illegal weapons on the premises. As good Texans, the Branch Davidians visited a lot of gun shows and bought and sold weapons as a source of revenue. The search warrant accused them of illegally modifying automatic weapons – which Koresh denied. He invited the ATF to come and inspect their guns in mid-1992. The ATF declined to do so.

Most of the media attention (and the search warrant itself) focused on the fact that Koresh had multiple wives, included several who were underage teenagers. While both polygamy and child rape are illegal under Texas law, they in no way justify a full scale military assault that kills innocent civilians, including the rape victims themselves.

The FBI would follow up the failed ATF operation with a full scale military siege (with tanks) that lasted 51 days.

The evidence presented during the hearings includes intriguing clips from a video camera FBI negotiators gave the Branch Davidians to talk about themselves and their beliefs and infrared footage showing the FBI, Janet Reno and Bill Clinton lied through their teeth about not firing on the Branch Davidians and David Koresh deliberately starting the fire that destroyed the compound.

It also comes out that the FBI deliberately destroyed the crime scene (as Bush would later do at Ground Zero), as well as systematically obstructing efforts by the local medical examiner and the Texas Rangers to conduct independent investigations.

Untold History of the US – Bush and Obama Age of Terror

Part 10 of Oliver Stone’s Untold History of the United States covers the Bush II and Obama presidency.

The Bush II Presidency

Stone begins this section by reminding viewers that Al Gore won the 2000 election by 540,000 votes. He asserts Gore would also have won the electoral college if the Supreme Court hadn’t intervened and stopped the recount in Florida.

Under the heavy influence of Vice President Dick Cheney and other Project for a New American Century (PNAC) members, Bush immediately withdrew from the International Criminal Court treaty (which Clinton supported), the Nuclear Test Ban Treat, the Kyoto Accord and the Anti-ballistic Missile Treaty. He also suspended US-led talks for Korean unification and for peace in Israel-Palestine.

Following 9-11 (which Stone refers to as the new Pearl Harbor PNAC called for), Bush launched illegal wars of aggression against Afghanistan and Iraq. In addition to authorizing the illegal indefinite detention of “enemy combatants” at Guantanamo, he also authorized the use torture and significantly expanded the US of “extraordinary rendition”* by the CIA, a program started by Clinton.

During his two terms as president, Bush doubled the defense budget, forcing massive cuts in domestic spending – which Stone maintains destroyed the US economy.

Meanwhile he pushed the Patriot Act through Congress to suppress domestic dissent against these policies.

The Obama Presidency

Stone begins this segment by reminding us that Obama rejected public campaign financing in 2008. His opponent John McCain, in contrast, accept public financing. As a result, Obama received all the major donations from Goldman Sachs and other Wall Street banks. This enabled him to significantly outspend McCain.

Stone blasts Obama for campaigning as the anti-war, change candidate. Who immediately on receiving the Nobel Peace Prize, massively increased troop numbers in Afghanistan, as well as expanding the war on terror to Libya, Pakistan, Yemen, Syria, Somalia and the Philippines.

In addition to continuing NATO expansion to increase the likelihood of war with Russia, Obama significantly expanded the southern military command (SouthCom) to target democratic populism in South America (eg Venezuela, Bolivia, Ecuador, Brazil and Argentina). In 2008 he created AfriCom a sixth military command aimed at countering Chinese investment in Africa.

Obama has also significantly increased the likelihood of war with China by encircling them with new troop deployment and sophisticated nuclear weapons systems.


*Extraordinary rendition is the term used when the CIA kidnaps criminal or terrorist suspects in a foreign country and secretly (and illegal) transports them to a country known to engage in torture.

Untold History of the US – Bush and Clinton Squandered Peace

Part 9 of Oliver Stones Untold History of the United States covers the Bush senior and Clinton presidency

Bush Senior Presidency

Stone begins by exploring the role of Bush’s father Prescott Bush and other Wall street figures in supporting the rise of Hitler and the Nazi war machine. The list of Wall Street corporations that supplied money, weapons, chemicals, tanks, aircraft and other material support to the Third Reich is a long one: Ford, IBM, GM, Hearst, Standard Oil, Dupont, Kodak, United Fruit, Westinghouse, Douglas Aircraft, ITT, GE, Singer, International Harvester, Union Bank, Chase Manhattan Bank, JP Morgan and the Bank of International Settlements.

Many of these companies demanded (and received) reparations when the Allies bombed their German factories.

Stone devotes much of this episode to the fall of totalitarian rule in Eastern Europe (1989-91), which he describes as the largest peaceful revolution in history. He also discusses the military coup by Boris Yeltsin that shut down parliamentary rule in the Russian Federation and the role of Wall Street, the World Bank, IMF and a handful of Russian oligarchs in systematically stripping the Russian people of their industrial wealth. During this period, many Russians died of malnutrition and medically preventable illness. The life expectancy would drop from 67 to 57 for men and from 76 to 70 for women.

Bush senior, surrounded by anti-Soviet hawks (eg Dick Cheney and Donald Rumsfeld who would go on to found Project for a New American Century) rebuffed all Gorbachev’s overtures for world peace. Stone maintains Gorbachev would never have been forced out of office if Bush had supported him.

The Clinton Presidency

Instead of delivering the promised “peace dividend” when the Cold War ended, Clinton initiated a new wave of defense spending and multiple military interventions overseas. Among them

  • He launched a war on Yugoslavia to gain access to Caspian Sea oil for US oil companies.
  • He authorized numerous bombing raids on Iraq, supposedly as enforcement of the no-fly zone in regions controlled by Kurds and Shiite rebels.
  • He began expanding NATO to former Eastern Bloc countries to enable US oil companies to build pipelines to transport Russian oil to Europe.
  • He ordered 75 cruise missiles (at $750,000 each) to be fired on a Sudanese pharmaceutical factory and Zawhar Kili Camp in Afghanistan to distract public attention from the Monica Lewinsky scandal.

Bush and Clinton: Squandered Peace – New World Order

Untold History of the US: Rise of the New Right

Part 8 of Oliver Stone’s Untold History of the United States covers the Ford, Carter and Reagan presidencies.

The Ford Presidency

Gerard Ford, appointed to the vice presidency after corruption charges forced the resignation of Vice President Spiro Agnew, assumed the presidency (with Nelson Rockefeller as vice president) when Nixon resigned in 1974. Ford’s most notable foreign policy was to end the détente* negotiations Nixon initiated with the Soviets to minimize the risk of nuclear war.

The Carter Presidency

Peanut farmer and former Georgia governor Jimmy Carter narrowly defeated Ford in 1976 on a platform that promised to end the arms race, reinstate détente negotiations and end US military intervention in third world countries.

According to Stone, Carter’s National Security Advisor Zbigniew Brzezinski (also Obama’s long time member) destroyed Carter’s presidency by forcing Carter (who had no foreign policy experience) to renege on his election promises. Under pressure from Brzezinski, Carter refused to return the Shah to Iran for trial following the 1978 Iranian revolution,** as well as restoring military aid to El Salvador’s right wing dictatorship in 1980 and secretly funding and training a jihadist Muslim insurgency to oppose the Soviet invasion of Afghanistan.

The Reagan Presidency

Like Carter, former California governor Ronald Reagan also had no foreign policy experience and allowed anti-communist CIA and Pentagon hawks to fill this vacuum. Under Reagan, CIA director William Casey stripped the CIA of any officials who resisted his policy of falsely blaming the Soviets for CIA-inspired terrorist activities. Casey also started the illegal Contra army that tried to overthrow Nicaragua’s democratically elected government, in addition to funding and training death squads in El Salvador and Guatemala to assassination union officials, intellectuals and human rights advocates. Casey and National Security Council member Oliver North also initiated the illegal arms deal with Iran that financed the Contras after Congress discontinued their funding.

In 1985 President Mikhail Gorbachev approached Reagan about negotiating a bilateral disarmament package that would phase out all nuclear weapons by 2000. Initially receptive, Reagan rejected Gorbachev’s condition that the US keep their Strategic Defense (Star Wars) Initiative in the lab. Reagan also refused Gorbachev’s proposal to participate in a joint peacekeeping force in Afghanistan following Soviet troop withdrawal.

Reagan left office in 1988 in disgrace over the Irangate scandal. He was also responsible for doubling the national debt, thanks to a massive increase in military expenditures coupled with sizeable tax cuts. In 1985, the US switched from being a creditor nation to being the biggest debtor nation.


*Détente is defined as the easing of hostility or strained relations between countries.

**This decision would cost Carter the 1980 presidential race when Iranian militants took 52 US Embassy employees hostage in 1979.

Part 8: Reagan, Gorbachev & Third World: Rise Of The Right

Untold History of the US – Johnson, Nixon and Vietnam

Part 7 of Oliver Stone’s Untold History of the United States concerns the Johnson and Nixon presidencies.

The Johnson Presidency

Johnson continued Kennedy’s glorious tradition of overthrowing foreign democratic governments. He openly admitted the military aggression he authorized wasn’t about fighting communism – but about fighting third world peoples for their resources. He saw no other way 6% of the world’s population could control 50% of its wealth.

  • In 1963 Johnson reversed Kennedy’s order to draw down US “military advisors” and introduced ground troops to Vietnam.
  • In 1964 he ordered US troops to overthrow the democratically elected government of Brazil.
  • In 1965 he invaded the Dominican Republic to crush a popular insurrection against a CIA-inspired right wing coup.
  • In 1966-67 he authorized a bloody CIA coup to oust President Sukarno in Indonesia and replace him with the right wing dictator Suharto.
  • In 1967, he ordered the CIA to (illegally) spy on anti-Vietnam War protestors through Operation Chaos.
  • In 1967, he fired Secretary of Defense Robert McNamara when he opposed escalating the bombing in Vietnam.

When a bipartisan group of elder statesman called for US troop withdrawal from Vietnam, Johnson decided to focus on Vietnam peace negotiations instead of running for a second term in 1968.

The Nixon Presidency

Robert Kennedy was the clear front runner in the 1968 election prior to his assassination in July 1968.

Despite basing his campaign on a “secret plan” to end the war in Vietnam, Nixon and Kissinger (who secretly undermined the Paris peace negotiations to help Nixon win the elections) vastly expanded the war, which would last seven more years. More than half the GI deaths in Vietnam occurred under Nixon.

As president, Nixon made 13 separate threats to use nuclear weapons in Vietnam. Stone believes it was only the massive anti-war protests (which deeply unnerved Nixon) that prevented their use.

Nixon and Kissinger were also responsible for secretly and illegally bombing Cambodia and Laos, the 1973 coup that overthrew Chile’s democratically elected government, and Operation Condor, a secret dirty war against pro-democracy movements in Brazil, Chile, Argentina, Uruguay, Paraguay and Bolivia.

Part 7:  Johnson, Nixon and Vietnam: Reversal of Fortune – Cataclysm in Vietnam

Untold History of the US – JFK to the Brink

In Part 6 of Untold History of the United States, filmmaker Oliver Stone reveals that Kennedy vacillated between supporting and opposing the anti-communist Pentagon hawks who tried to control his foreign policy.

  • In 1960, JFK made the “missile gap” (ie the so-called Soviet advantage in strategic weapons) a major plank of his campaign – only to discover (on taking office) that the US was far ahead in every category.
  • Under pressure from the CIA and Joint Chiefs, he initially approved the Bay of Pigs invasion, only to refuse to authorize air support when he discovered they had lied to him about domestic Cuban support for the invasion.
  • After the bungled Bay of Pigs operation, he fired Allen Dulles and other top CIA officials and placed all overseas CIA operations under State Department control. At the same time, he also put his brother Bobby in charge of Operation Mongoose, a secret program in Louisiana to train Cuban exiles to overthrow and/or poison Castro (Joan Mellen discusses Bobby’s role at length in her 2013 book on the JFK assassination – see New Evidence in the JFK Assassination).
  • He resisted pressure from the Joint Chiefs to invade Laos.
  • Despite resisting pressure from the Pentagon to increase arms expenditures, in 1961 he warned the American people against dangerous Soviet aggression and encouraged them to build fallout shelters.
  • He approved the deployment of 16,000 advisors (in addition to CIA personnel) to engage in guerilla warfare in Vietnam. He also approved Operation Phoenix, which involved massive defoliation of the Vietnamese with cancer and birth defect-causing Agent Orange, the assassination of labor leaders and human rights advocates and the mass displacement of Vietnamese civilians into concentration camps.
  • He resisted pressure from the Joint Chiefs to launch a nuclear strike on Cuba when a U2 spy plane discovered the Soviets had supplied Castro with nuclear-tipped ICBMs.

Most of the episode focuses on the naval blockade JFK imposed on Cuba during the Cuban Missile crisis and the delicate negotiations between him and Khrushchev to prevent this event from escalating into full blown nuclear war.

It’s Stone’s view that both Kennedy and Khrushchev lost control of their militaries during this period. According to Stone, it was down to a single brave Soviet submarine commander that global nuclear annihilation was averted in 1962. He believes the near-miss in Cuba caused Kennedy to rethink US involvement in Vietnam – and issue National Security Memorandum 263 in summer 1963. The latter ordered the gradual withdrawal of all US forces from Vietnam to commence in December 1963.

Johnson would reverse this directive within weeks of the JFK assassination.

Part 6 – JFK to the Brink

Untold History of the US – The Cold War

Parts 4 and 5 of Oliver Stone’s Untold History of the United States explore the exaggerated claims of Soviet expansionism that characterized the Truman/Eisenhower administration.

Part 4 begins by contrasting the economic standing of the US and the USSR when the war ended in 1945. The US economy was booming. America controlled 50% of the world’s economic production and most of its gold. The Soviet economy, in contrast, had been shattered. Truman reneged on Roosevelt’s promise to provide the Soviets post war aid to assist in their recovery. During the US occupation of West Germany, he also discontinued German war reparations to the USSR.

The late forties was a period of excruciating poverty for Eastern Europe, with major famine in the Ukraine. With the Soviet economy in a shambles, the claims made by Truman about their intention to conquer the world were ludicrous.

After Henry Wallace, the last holdover from the Roosevelt administration, made a major speech (echoing statements by Einstein and Eleanor Roosevelt) opposing nuclear weapons, Truman fired him.

This episode also explores the first implementation of the Truman Doctrine, justifying US intervention in the domestic affairs of other countries. Truman first used it in 1947 to put down a popular uprising against a fascist coup in Greece. In a clear precursor to US intervention in Vietnam, Truman sent in US advisors to train the Greek military in “counterinsurgency tactics,” ie death squads to crush unions and human rights organizations and concentration camps to extinguish civilian support for pro-independence activists.

Part 4: Cold War: 1945-50

Part 5 explores the election of Eisenhower to power in 1952, coinciding with Khrushchev’s rise to power in 1953 and the re-election of Churchill in 1951 (Churchill was replaced by Labour Prime Minister Clement Attlee from 1945-51).

Eisenhower, who had opposed using the A-bomb against Japan at Pottsdam, became a fervent nuclear weapons supporter as president. Under pressure from anti-communist hawk John Foster Dulles, he resisted Khrushchev’s and Churchill’s to organize a peace summit to limit the nuclear arms race.

Eisenhower would go on to engage in war crimes in Korean, causing massive civilian deaths by bombing North Korean dams.

In addition to authorizing the CIA overthrow of democratically elected governments in Iran in 1953 and Guatemala in 1954, he paid 80% of French military costs as they endeavored to defeat Vietnam’s pro-independence movement.

In this episode, Stone also explores the formation of the Non-Aligned Movement in 1955 in Java. Members consisted of world leaders determined to remain independent of either US or Soviet influence. In attendance at the first meeting were Ho Chi Minh  (Vietnam), Tito (Yugoslavia), Nehru (India), Nasser (Egypt), Zhou Enlai (China) and Sukarno (Indonesia). The CIA eventually removed each of these men from power, in some cases via assassination.

Part 5: the ’50s: Eisenhower, The Bomb and the Third World