Washington's Blog - Catherine Austin Fitts just published documentation of Department of Defense (DOD) official audit reports from 1998 that acknowledge “losing track” of $6.5 trillion, along with Department of Housing and Urban Development (HUD) admission of “losing” over $100 billion. This is euphemistically termed “unaccounted,” and literally means that DOD agrees they received these funds, agrees the funds are gone, and then claims to not have records of where the money went.
This is the work of Dr. Mark Skidmore and graduate students; Dr. Skidmore is the Director of the North Central Regional Center for Rural Development at Michigan State University and Professor and Morris Chair in State and Local Gov’t Finance and Policy. Catherine was managing director and member of the board of directors of the Wall Street investment bank Dillon, Read & Co. Inc., Assistant Secretary of Housing and Federal Housing Commissioner for HUD in the first Bush Administration, and president of Hamilton Securities Group, Inc. She has designed and closed over $25 billion of transactions and investments to-date, and has led investment strategy for $300 billion of financial assets and liabilities.
I wrote last year upon publication of DOD’s report. Of course, such “official” looting never happens with lawful accounting because records always show where the money goes. This would be like your bank agreeing they received a $65,000 deposit from you, agreeing the money was gone, and not refunding your account while claiming no further information of this “unaccountable,” “lost,” and “missing” money.
The most common historical explanation of governments “losing” money is, of course, embezzlement to enrich an oligarchy.
$6.5 trillion means how much now?
- ~$65,000 per US average household, based upon ~$50,000 annual income. This means if your household’s annual income is ~$100,000, your family was looted ~$130,000.
- Embezzling a billion dollars from a US military project 6,500 times.
- Embezzling a billion dollars of our tax money every day for 18 years (that’s $10 from every US household everyday).
An Inspector General is supposed to be head of an independent and non-partisan auditing organization to discover and investigate waste, embezzlement, and fraud. They are supposed to act as “watchdogs” to ensure government agencies are transparent and lawful, with power to subpoena and take testimonies under oath.
You may recall that DoD’s claims of trillions of our tax dollars somehow going missing isn’t new, and reported as $2.3 trillion by Secretary of Defense Rumsfeld on September 10, 2001 as “a matter of life and death” the day before a claimed airplane bulls-eyed into the Pentagon’s accounting department, killing the very accountants tasked to find the “missing” money.
3-minute CBS report:
The fact that the Inspector General has not investigated with subpoenas and testimonies under oath speaks strongly as evidence of criminal complicity with the embezzlers.
A similar condition exists with the Federal Reserve, but we’re allowed a little clarity from this 5-minute video of Congressman Alan Grayson (an economist) asking questions of the Fed’s Inspector General during the Financial Services Subcommittee on Oversight and Investigations in 2009, where she admits she has no idea who received trillions in off-balance-sheet transfers from the Fed:
Both cases are .01% oligarchs transferring public funds to “other than public” recipients; that is, massive theft.
This could never occur within an ethical, law-abiding government, but would occur within a dictatorial empire. Let’s look at connected facts:
- DoD engages in ongoing Orwellian unlawful Wars of Aggression.
- DoD’s wars are started with lies known to be false as they were told, as fully disclosed by official US government documentation.
- Corporate media is criminally complicit by “covering” these crimes.
- As with any historical empire, what is used for money has to also be controlled to enrich “masters” and pay minions, and is with the Federal Reserve system. In contrast, obvious reforms can quickly be calculated at ~$1,000,000 per US household.
- Taken together, the US cannot be defined as a constitutional republic, but has become a rogue state.
- This US behavior reaches back deep into history.
Therefore: Government of the people, by the people and for the people acts as its Orwellian opposite: Government of the oligarchs, using the people, and enriching themselves.
Essential economic facts showing .01% looting & lying
Before we consider the obvious solution of We the People seeing the Emperor’s New Clothes facts and demanding arrests to stop these OBVIOUS crimes centered in war, money, and lies, a few more data points of more trillions of our dollars looted from us by oligarchs:
- We’ve already documented how the global so-called “elite” 1% are now wealthier than the 99% while ~30,000 children die daily from preventable poverty in gruesomely-slow agony. Just 62 people on Earth own more than the bottom 50%, with the most recent data of just five humans owning almost more than the poorest half of us (a ratio of 5: 3,500,000,000 or 1:750,000,000).
- The US .1% own more than the bottom 90%.
- The top 20 Americans (.000006%) own more than the bottom 50%.
- The top three public benefits of monetary and banking reform would add ~$1,000,000 to every US household. The lies of omission and commission by US “leaders” with legal fiduciary responsibility to communicate full and transparent economic data to never advise Americans of these options is a massive crime causing damages in the trillions of dollars yearly.
- Our current system of creating what we use for money as debt has the so-called “developed” and “former” colonial nations $50 trillion in debt, and lying for public austerity rather than admit the option of monetary and banking reforms.
John Perkins’ 2-minutes of context as an illustration of what the US rogue state executes:
More game-changing economic data that confirm what we receive for economic leadership is literal criminal fraud:
- decaying infrastructure getting uglier from “deferred maintenance,”
- real unemployment near 25% with most families demanding both parents work longer and longer hours,
- real inflation well above official reports,
- US poverty of 20% among children, 40% for living at least a year in poverty,
- 72% of California students in schools with over half the children classified as “socio-economically disadvantaged,”
- the annual interest payment of ~$450 billion for the US national debt is over four times the amount needed to invest for ending all forms of global poverty (~$100 billion/year for ~10 years).
- a rigged-casino economy designed for “peak inequality,”
- “too big to fail” banks demand public subsidies (so-called “bailouts”) while gambling with over $200 TRILLION in derivatives,
- these “too big to fail/jail” banks deriving most of their income from subsidies and apparent market manipulations,
- Daily and never-ending Orwellian criminal-complicit lies of corporate media.
- US college Class of 2015 students average $35,000 in debt, with the total for 2015 graduates nearly $70 billion: more than ten times the amount from just 20 years ago. The average time to pay this debt is now 15 years (think paying until age 40).
- half of US 25-year-olds live with their parents, more than twice the number from 15 years ago.
- Over one million US college students are “Sugar babies”: selling sex as part-time employment. The UK has the same condition (here, here).
- 31% of US adjunct professors live in poverty.
81-minute interview with Byron Dale and Greg Soderberg of WealthMoney.org (the three of us have combined over 90 years of research on this topic):
Demand .01% arrests for Orwellian lies and crimes
Obviously, when the truth is rogue state empire annually killing millions, harming billions, and looting trillions, the foremost response for justice is public call for .01% arrests.
I mean really, this is beyond anyone’s imagination of psychopathic Big Lie crimes (although the facts will show more .01% horrendous crimes when Truth is unleashed).
The categories of crime we can demonstrate beyond reasonable doubt now include:
- Wars of Aggression (the worst crime a nation can commit).
- Likely treason for lying to US military, ordering unlawful attack and invasions of foreign lands, and causing thousands of US military deaths.
- Crimes Against Humanity for ongoing intentional policy of poverty that’s killed over 400 million human beings just since 1995 (~75% children; more deaths than from all wars in Earth’s recorded history).
- Tens of trillions in looting beyond the $6.5 trillion just reported by the US Department of “Defense” as “lost.”
Note: I make all factual assertions as a National Board Certified Teacher of US Government, Economics, and History, with all economics factual claims receiving zero refutation since I began writing in 2008 among Advanced Placement Macroeconomics teachers on our discussion board, public audiences of these articles, and international conferences (and here). I invite readers to empower their civic voices with the strongest comprehensive facts most important to building a brighter future. I challenge professionals, academics, and citizens to add their voices for the benefit of all Earth’s inhabitants.
Carl Herman is a National Board Certified Teacher of US Government, Economics, and History; also credentialed in Mathematics. He worked with both US political parties over 18 years and two UN Summits with the citizen’s lobby, RESULTS, for US domestic and foreign policy to end poverty. He can be reached at Carl_Herman@post.harvard.edu