Skip to comments.FDR’s 1933 Gold Confiscation was a Bailout of the Federal Reserve Bank
Posted on 03/02/2011 3:15:56 PM PST by dennisw
So along comes FDR. One of the very first things he did was issue an executive order basically outlawing the private ownership of gold bullion. US Treasury Gold Certificates were no longer legal tender when held by the general public, unless exchanged at the US Treasury or Federal Reserve Bank for other non-gold paper. The US Treasury could then transfer 6,000 metric tons of gold to the Federal Reserve as a token backing for the full faith and credit of the United States. Reportedly, the US Treasury sent gold certificates to the Federal Reserve in exchange for Federal Reserve Notes. So the net result of this exchange was that the privately-controlled Federal Reserve Bank held US Treasury Gold Certificates backed by US Treasury gold, while the US Treasury held Federal Reserve Notes backed by credit. These actions bailed out the privately-controlled Federal Reserve bank, which as of 1933 would no longer be in danger of collapsing due to a sort-fall of 20,000 or more metric tons of gold.
As citizens complied with the new law by turning in gold, the gold reserves of the US Treasury and Federal Reserve increased. After most of the publics gold was turned in, FDR raised the official price from $20.67 to $35.00 per troy ounce. How convenient. Gold-clause Federal Reserve notes were not recalled and remained in circulation. But they could no longer be exchanged for gold, except by certain foreign central banks. Those with connections were able to buy valuable assets with mere paper. Wealth was concentrated in fewer hands.
(EXCERPT-must read the whole thing to get it)
(Excerpt) Read more at moonlightmint.com ...
If they try it again, give them another kind of metal.
“As citizens complied with the new law by turning in gold”
I doubt there would be much compliance today.
Unfortuneately, I sold all mine long ago. A very long time ago. Far, far in the past. Years ago. Spent all the money. Blew much of the money on whiskey and wild women. The rest I wasted.
Unless this guy has it wrong-— Seems US government gold (a taxpayer’s asset) was transferred to the private bank called the Federal Reserve. In order to pull off this heist/bailout/transfer gold ownership within USA had to be declared illegal.
As far as I know the USG claims to have gold reserves in Fort Knox
While the Federal Reserve Bank of NY has massive gold deposits in a sub-basement. Gold of foreign nations is also held there. This gold repository was used in the plot in one of the Die Hard movies and a theft was attempted.
So at least in theory the USG and the Fed Reserve possess large amounts of gold
But hey, the conventional wisdom is that the economy just wouldn’t work if it weren’t for a central bank.
How would you survive if you were to just contract with people freely and weren’t coerced into using the federal reserve notes?
The entire monetary system of the US, and most of the entire world, is based on fraud, deceit, lies, and theft.
You are 100% correct. Pure theft.
I gave all my gold away as wedding presents to people I don’t know and can’t trace.
Also: I had a boating accident and would you believe it ...
What is usually not mentioned is that the confiscation of gold and the re-valuing of gold were done at least six months apart.
Now, who’s gold is that, that they took, revalued the dollar by almost half, and SUPPOSEDLY is kept at Fort Knox?
It is the American citizen’s gold, that who’s!
Audit the FED, Audit Fort Knox, the filthy little thievessss.
I doubt there would be much compliance today.>>>>>>>
1933 FDR depended on voluntary compliance with gold confiscation. There were no raids of homes of safe deposit boxes. People who did not comply let their children inherit their gold coins or the coins were somehow spirited out of America to Canada, Mexico and Europe.
FDR wanted all ALL one ounce gold coins to be traded in for 20$ worth crisp new Federal Reserve Notes and to be melted down and go to the Treasury or the Federal Reserve. . This obviously did not happen or we would not have pre-1933 US gold coins trading as numismatic coins these days
“depended on voluntary compliance’
How much was turned in compared to how much was out there? I suppose it was sold as the “patriotic” thing to do.
You are 100% correct. I would say only 3 Americans out of 1000 know or give a hoot about this. Americans were ordered to surrender all gold coins at the rate of $20/oz. They got 20$ in Fed Reserve Notes in return for each oz. Afterwards FDR declared that for settling trade accounts with foreign nations the US dollar to be defined as 1/35th ounce of gold instead of 1/20th ounce of gold. This was a dollar devaluation as far as foreigners were concerned.
You may find this article below quite interesting and it goes well with yours...
The History of the “Money Changers”
Economists continually try and sell the public the idea that recessions or depressions are a natural part of what they call the “business cycle”.
This timeline below will prove that is simply not the case. Recessions and depressions only occur because the Central Bankers manipulate the money supply, to ensure more and more is in their hands and less and less is in the hands of the people.
Central Bankers developed out of money changers and it is with these people we pick the story up in 48 B.C. below.
My guess is half of private gold was kept and half turned in (exchanged for FRNs) and yes it was promoted as being the patriotic thing to do to combat the Depression we were in
>> “If they try it again, give them another kind of metal.” <<
Yes, at 1100 feet per second.
lol I got nuthin and don’t know anything about nuthin neither
The unionized cops will back them - we know that. The military may also back them too. The media will set the tax paying public up as the bad guy.
This is right on target. It was a bailout of The Fed.
FR is filled with a lot of Gomer’s who love the Fed and hate Ron Paul. I am not a Ron Paul guy, I like the son. The father and the son “get it” about The Fed.
They are the only ones standing up to the Fed.
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