Hall Of Mirrors, 1919

 

(Conspiracy Nation, 2/23/05) – The peace talks consequent to the November 11, 1918 armistice which ended the First World War took place at Versailles, France, in the Hall Of Mirrors, in 1919.

 

The word “armistice” is from the Latin arma + stitium, meaning a temporary suspension of hostilities, a truce. [1] It does not mean a surrender. Germany had not surrendered on November 11, 1918.

 

Huge debts followed the Great War. Consequent to Versailles, a fine of $33 billion was imposed on Germany. Managing implementation of the settlement were bankers, not statesmen. The blood money of the vast war tribute was crystallized into billions of dollars in bonds, offered for sale to the American people on assurances from the bankers. But Germany felt that since it had never surrendered, punitive damages could be rejected. Apparently, American investors were suckered into buying “reparation bonds,” and in that way war debts were paid down under false pretenses. [2]

 

The Hall Of Mirrors was where scores of illusions coexisted with one reality also present: but which were the illusions and which the reality? Bankers not statesmen managed the peace. “Reparation” bonds were sold to too-trusting investors. Yet Germany did not completely acknowledge owing any punitive damages, since it had never surrendered. In 1925, France and Germany met onboard a small boat, the “Orange Blossom.” Newspapers ballyhooed the historic nature of the meeting, and thereby, by sleight-of-hand, the issue of Germany and the disputed $33 billion damages was sidelined. Later, France and Germany privately agreed “that bonds should be sold outside Europe and that Germany should, for its co-operation, receive one-third of the money thus obtained.” [2]

 

“Meanwhile, preparations had been made in America for the purchase of these blood bonds. The borrowing rate of money became surprisingly low in our Federal Reserve Banks… Hundreds of millions of dollars of German bonds were sold at a price better than $90.00 each to hundreds of banks.” But then, Lo! The “Orange Blossom” agreement became discredited in France. Most Germans never had any intention of honoring such bonds. The price of the German bonds collapsed, sinking from $91 to $68. Simultaneous with the collapse came economic depression in the United States. “The banks which invested in these bonds feverishly called their loans made to speculative individuals to protect their bond purchases. The market crashed! Those who had bought on margin were ruined!” [2]

 

And so, it can be understood that enormous sums of money were exported from the United States “especially to the national banks of allied governments whose policies have been identified with the Treaty of Versailles.” The growing realization that these reparation bonds would never be honored “had something to do with the crash of the stock market, which had been artificially inflated to secure the money which was poured abroad.” [2]

 

------- Notes -------

[1] Webster’s Seventh New Collegiate Dictionary. 1969.

[2] By The Sweat Of Thy Brow by Rev. Charles Coughlin. 1931

 

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