Game-changing 19-minute video: Fed transcript proves open criminal admission of fraud worth trillions

hat tip: InvestmentWatchblog, SGT Report 

John Titus, engineer and lawyer, writer and producer of Bailout, with YouTube channel of BestEvidence, read the latest Federal Reserve Open Market Committee meeting transcript (always delayed for five years), and discovered full admittance of financial fraud by the Fed in trillions of dollars. John explains:

BestEvidence’s newest film, “They Come from Planet Klepto,” undertakes an intensive examination of the transcript and exhibits from the Fed’s June 2009 FOMC meeting held during the first few critical months of the most ambitious monetary experiment of all time, which the Fed falsely swore was temporary in nature. As it turns out, the Federal Reserve never intended to unwind the radical balance sheet expansion it began 7 years ago at all, as one of the central purposes of the Fed programs—aside from enabling broke banks to erect an illusion of solvency big enough to justify bonuses—was to cover up the very Wall Street crimes that caused the meltdown of 2008 in the first place.

John’s main points, as best I see them, and also from his 41-minute interview with SGT:

  • 2009 Fed transcript reveals that the original “bailout” of $700 billion claimed as “troubled asset relief program” to buy toxic mortgage backed securities (MBS) was a LIE because they discussed how to make the public think they had an “exit plan” while not having one. The “bailout” climbed in value to $1.7 trillion, then to $16 trillion in “short-term loans.” US banks used the money to pay bonuses and buy competitors. PuppetGov documents this point at the closing 8-minute video.
  • The Fed created and transferred $1.7 trillion to insider banks to purchase MBS at more than full value when publicly sold at $.05/dollar (5% of full value). These MBS pooled loans were claimed as AAA, and were BBB at best. This fraud with sub-prime loans were hidden by appreciating home values, but when home values fell with job losses, MBS fire sales were at 5 cents/dollar. These mortgages destroyed title, were not really mortgages, and were sold more than once.
  • The Fed’s $1.7 trillion given to partner banks for worthless MBS, was then given back to the Fed by the banks as “excess reserves.” The Fed will keep the MBS papers forever because they prove criminal fraud.
  • The Fed’s excess reserves cause “birthrate” for new businesses to have shrunk below “death rate” for existing businesses. This shows that because the Fed pays interest to banks to prevent loans to Main Street, the Fed became a competitor to a lending program for Main Street. The Fed induces higher reserves just like in the Great Depression when the Fed required higher reserves.

The joke is on us about what these three former US Treasury Secretaries call “income inequality,” and will only end with arrests of .01% “leaders” for obvious crimes centering in war and money. Seen this 1-minute video of how funny they see our poverty? Do you really believe they’re unaware that 40% of US children now spend at least a year living in poverty?

John’s source materials:

Bank deposits:…

Bank loans:…

Bernanke speech (text):…

Bernanke speech (video):…

Excess reserves:…

June 2009 FOMC transcript:…

June 2009 FOMC presentation materials:…

Total reserve balances:…

Fed “Oceans of Cash” paper:…

Mortgage-backed securities held by the Fed:…

Merrill Lynch’s MBS sales, July 2008:…

Bailout (2012):… (N.B.: I wrote and produced this film before learning how to turn on a camera. -JET)

Business birth and death rates:…

Aldrich Plan cartoon:…

Ford Theatre Reunion’s Godzilla cover:…


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. 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

Note: has blocked public access to my articles on their site (and from other whistleblowers), so some links in my previous work are blocked. If you’d like to search for those articles other sites may have republished, use words from the article title within the blocked link. Or, go to, paste the expired link into the box, click “Browse history,” then click onto the screenshots of that page for each time it was screen-shot and uploaded to webarchive. I’ll update as “hobby time” allows; including my earliest work from 2009 to 2011 (blocked author pages: here, here).


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  • diogenes

    The first video is especially clear and informing. I would like to learn more about the originations of the phony mortgages and the trail of ownership and the cashflow along the way: WHERE DID THE MONEY GO? WHO GOT IT?

    I would also like to hear more about the assertion that a sizeable portion of the bundled mortgages never even existed but where created out of nothing in the process of creating the bundle. Whose work was that and how do we know? Where did the money go there?

    Also, since according to the video the meeting whose minutes are discussed was in fact convened merely to sign off on a previously determined plan, I want to hear more about who makes the decisions behind those plans, how and where.

    And firstly and lastly, we need to know whose orders these planners are taking: who, specifically, holds their leashes? Who, specifically, owns the Fed?

  • colinjames71

    This is maybe the most important thing ever posted here. Up there, that’s for sure. Thanks Carl!

  • hvaiallverden

    Good to see its been confirmed, all the things WE where riddiculed of and of course the usually display of notions as this even more riddicilous term “conspiracy nutts” as WE where then.
    But I dont think anything would happend to the ZioNazis and NeoCONs whom is behind it all, abolutelly nothing will happends.
    There is as far I can see only ONE solution to all this.
    Hang the bankers.


  • LeseMajeste

    “BOO!, it’s ‘al CIA Duh,’ BOO! it’s ISIS, BOO!, it’s Islamists, BOO!,”…. It’s a bunch of BS generated by the Neocons and Zionists to cover up the Jew criminal activities of ripping off Americans for tens of trillions of dollars, while filling their heads with tall tales about Muslim boogiemen, which are just fronts for Zionist terror ops.

    Yes, I know our Overlords insist their GOY sheep use the PC term Jewish, but I never was a PC kinda guy.
    Heard enough? Wait, there’s more!

    Newspapers Boast about New Jewish Head of the Federal Reserve

    Our nation’s infrastructure is in pitiful shape, from bridges falling down, to rutted out, over crowded highways, to outdated nuke power plants to an electrical grid system that’s one hot Summer away from causing rolling ‘Brownouts,’ but we’ve been trained to only think what’s good for Israel.
    WTFU America, or forever put yourself and your offspring under the iron boot heel of Zionist tyranny.

  • Jerry Lennon

    There is a solution to this if a real movement backed the idea of returning the power that was granted in the constitution to create money back to congress. US constitution-Article 1 Sec 8
    Well maybe , someone who has no agenda and is not a Socipath on a ego trip can add this to his platform. ” I will promote that legal interest free US made money will be given to States banks so the funds can be loaned back to the community and the interest generated will be shared according to need by the USA government and the States to lower the tax burden on US citizens .
    The principal and percentage of the interest will be returned to the state for loans to its citizens.
    Let the discussion on the pros and cons began.

  • Robert Barsocchini

    Key info and great summary.

  • Which Corporations Control the World?

    A surprisingly small number of corporations control massive global market shares. How many of the brands below do you use? It’s a Small World at the Top, the largest banks hold a total of $25.1 trillion enough to fund the federal U.S. government for over 7 years or roughly $3500 per person on earth.

  • Suresh Kumawat
  • Suresh Kumawat
  • Suresh Kumawat
  • Suresh Kumawat
  • Here is a far more thorough summary of all of this: it shows that the U.S. Constitution does not apply to us, it is a bankruptcy compact between the states and government. In international law it gives the banksters only 70 years to collect and must be renewed thereafter.