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Category Archives: Max Warburg

The Rape Of Russia 7: Moving Towards The New World Order

27 Monday Nov 2017

Posted by Jim_and_Gerry in Banking, Federal Reserve System, J.P. Morgan jnr., Jacob Schiff, Max Warburg, Rothschilds, Wall Street, Zionism

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The Rothschild Coat of Arms indicating the five original strands of the family in London, Paris, Frankfurt, Vienna and NaplesRothschild biographers record that men of influence and statesmen in almost every country of the world were in their pay, [1] and that most of the royalty of Europe was under their influence. [2] The Rothschilds as a collective dynasty in Germany, Austria, Britain, France and Italy, had amassed such wealth by the mid nineteenth century that nothing or no one was immune to the purchasing power of their coin. Though they kept tight control of their dynastic affairs through intermarriage within the family, they offered a facility for other men to pursue great political ambition and profit. Chosen men. They influenced appointments to high office, had almost daily communication with the great decision makers, [3] and through them, controlled politics from behind the curtain. The Rothschilds valued their anonymity and since they generally operated their businesses behind the scenes, their affairs have been heavily veiled in secrecy through the years. [4] Their traditional system of employing semi-autonomous agents across the world was unsurpassed, [5] but it was their power over banks, investment and finance which was truly was colossal. Their modus operandi was to rescue ailing banks or failing industrial conglomerates with large injections of cash, and thereafter use them as fronts for their own ends. Every banker identified in this chapter who undermined Czarist rule and financed and aided the Bolsheviks, can be closely linked to the Rothschilds: The Warburg and Disconto-Gesselschaft banks in Germany; Olof Aschberg and Nya Banken in Sweden, Kuhn, Loeb & Co., J.P. Morgan bank and Guaranty Trust on Wall Street, Morgan Grenfell in London. They were all complicit.

When the Warburg bank in Hamburg was about to collapse in 1857, the Rothschilds injected vast amounts of money into it. [6] From that point in time M.M. Warburg Bank and its partners operated effectively as Rothschild fronts. Their enormous financial clout enabled the bank to grow from a tiny concern with a single office and a handful of staff into one of the largest and most important banks in Germany. The Warburg brothers, who have featured heavily in every aspect of war loans and financing, acted as covert agents of Rothschild. Max, who was their leading banker in Germany, and reputedly head of the German espionage system during the war, [7] also played a major role in financing both Lenin and Trotsky and enabling the ‘sealed train’ journey across Germany. Fritz Warburg was in Stockholm during the war as coordinator of major financial transactions between Germany and the Bolsheviks, and according to British intelligence reports he also had close contact with the notorious Parvus. [8]

Paul Warburg in New York was the leading agent who fronted the drive to establish the Federal Reserve System for the Secret Elite. Paul was senior partner with Jacob Schiff in Kuhn, Loeb & Co. Bank which was effectively a Rothschild front. The Schiff and Rothschild forebears had actually lived in houses in the same building they shared in the Jewish ghetto in Frankfurt am Main, and Jacob Schiff was yet another Rothschild agent. The American authorities clearly believed that he and his powerful banking associates were  deeply implicated in the Russian revolution.

Max Warburg had of the German Bank.  His brother, Paul Warburg, the most influential advocate for Federal Reserve System in America.

A file in the U.S. State Department, ‘Bolshevism and Judaism’, dated November 13, 1918, asserted that there could be no doubt that the ‘Jewish Firm’ Kuhn, Loeb & Company and its partners ‘started and engineered’ the revolution in Russia. The report added that Max Warburg had also financed Trotsky, and that Olof Aschberg and Nya Banken were involved. [9] These were key players whose detailed involvement we have already covered in previous blogs. [10]

Jacob Schiff, who had been promoting anti-Czarist activities in Russia since the Russo-Japanese War more than a decade earlier, paid for a large proportion of the pro-Bolshevik propaganda and bribes for the workers and soldiers in the Petrograd garrison in the run up to both the February and October, 1917, revolutions. Professor Antony Sutton believed that it was a mistake to call the Bolshevik Revolution a Jewish plot because gentiles like J.P. Morgan and William Boyce Thompson were also involved, [11] but Thompson was a loyal Morgan man and J.P. Morgan and the entire Morgan Empire were very firmly connected to Rothschild influence. [12]

Writing in 1974, Professor Sutton was clearly unaware that virtually the entire international banking cabal was linked through a complex chain that led back to the Rothschilds in London and Paris. For example, Olof Aschberg and his Nya Banken in Stockholm were directly linked to the Guaranty Trust in the United States. Guaranty Trust was closely associated with the J.P. Morgan circle, and that, in turn, was covertly under the influence of the Rothschild Empire. Aschberg and Nya Banken fed money to the Bolsheviks from these banks, and from the Warburg Bank in Germany which was likewise under Rothschild control. Mainstream historians relate that ‘Germany’ financed and facilitated Lenin’s takeover in 1917, but it was not the German government, it was German banking institutions which were ultimately controlled by the Rothschild dynasty.

Jacob Schiff Head of Kuhn Loeb and Co.

Jacob Schiff, the Warburgs, the Rothschilds and other predominantly Jewish international bankers, undoubtedly harboured considerable hatred for the Czarist regime in Russia because of the persecution of their co-religionists, and justifiably so, but their reasons for bringing about the Bolshevik Revolution ran much deeper than religious persuasion. This was not about love for the Bolsheviks, nor concern for the victims of Czarism or the ordinary downtrodden Russian Jews. This was about business and future plans for control of the world. However it would be simplistic to label the revolution entirely as a Jewish plot. As we have clearly shown, the Secret Elite in the person of its most influential leader, Lord Alfred Milner, was complicit in supporting the Bolshevik uprising.

Before the new world order could be created, destruction of the old order was essential. They aimed to topple the Czarist Empire and bleed it dry. At the same time their friends and co-conspirators in Britain concentrated on demolishing the old order in Europe; the Ottoman Empire, the Austro-Hungarian Empire and, above all, the German Empire. Theirs was not a Christian, Church of England or Jewish plot; their religion was control and what had begun in Oxford as a mightily influential group of imperialists, determined to control a world built on their values, found it necessary to expand their power base.

The Secret Elites including the New York money power promoted revolution and communism for their own ends just as they promoted political Zionism for their own ends. They were but building blocks towards their globalist dream. In the same month as the Bolshevik revolution in Russia, the Balfour Declaration was signed in London. Co-incidence? A chance happening that no-one had foreseen? If you wonder why this fact has not been widely considered in history, ask yourself: who owns history? Answer: the Secret Elite; the men of immense power and wealth who have sponsored and published the versions of history of which they approve.

Louis Marshall, a leading American Zionist and legal representative of Kuhn, Loeb bank wrote in 1917 that ‘The Balfour Declaration, with its acceptance by the Powers, is an act of the highest diplomacy. It means both more and less than appears on the surface. Zionism is ‘but an incident of a far-reaching plan: it is merely a convenient peg on which to hang a powerful weapon.’  [13]

Professor Carroll Quigley

Professor Carroll Quigley was likewise very clear about this: ‘The powers of financial capitalism had a far-reaching plan, nothing less than to create a world system of financial control in private hands able to dominate the political system of each country and the economy of the world as a whole. [14]

Bolshevism and Zionism were funded and supported by the Secret Elite as they embarked on their ‘far reaching plan’, their nightmare vision of a New World Order. And times were changing as 1917 became 1918. The downfall of Imperial European Empires was no mistake. It was the end product of the wasteful and debilitating world war which, most did not realise, had just months, not years to run. For sure, it had to be prolonged until Germany was crushed, exhausted, removed from the pinnacle of world trade and influence. That had always been the bottom line for the British elite. That was why they engineered the First World War. [15]

What has been uncovered is the early development of another alliance on a completely different sphere to international diplomacy as was understood by most politicians and the general public. The switch in accumulations of wealth predicated on the world war drained the prosperity of Europe and reallocated a great deal of international financial power in Wall Street. London was by no means finished, but as providers of investment capital, the role became more evenly shared between the trans-Atlantic money-powers than ever before. The determination of the Secret Elite to create a one-world English-based order took on a transatlantic hue, an Anglo-American Establishment was finding form. Banks which may be labelled American or British or German or Belgian had common roots though they competed in the world markets. But how was that going to express itself?

The Anglo-American Establishment by Carroll Quigley

How, by the end of the war, could they refocus their control of politics, the press, and the universities, the key drivers of Professor Carroll Quigley’s original thesis? To find evidence of the change in emphasis and ownership we will ultimately have to scrutinise their activities, not just in Russia, but within the background agreements which attended the Treaty of Versailles. But we are running ahead of the narrative.

1. E.C. Knuth, The Empire of the City, p. 70.
2. Griffin, Creature from Jekyll Island, p. 233.
3. Gerry Docherty and Jim Macgregor, Hidden History, The Secret Origins of the First World War, pp. 23-25.
4. Derek Wilson, Rothschild: The Wealth and Power of a Dynasty, pp. 98–9.
5. Knuth, Empire of the City, p. 68.
6. Niall Ferguson, House of Rothschild, p. 65.
7. Ron Chernow, The Warburgs, p. 12.
8. See Blog; Rape Of Russia 2: Strange Bedfellows for Socialist Revolutionaries, posted on 17/10/2012.
9. A.N. Field, All These Things, vol.1. http://www.yamaguchy.com/library/field_an/things_01.html
10. Spence, Hidden Agendas.
11. Sutton, Wall Street and the Bolshevik Revolution, p. 189.
12. Ibid.
13. Louis Marshall in a letter to Max Senior, dated New York, September 26, 1917. Quoted in B. Jensen, The Palestine Plot, https://www.scribd.com/document/16563284/Jensen-The-Palestine-Plot-Quote-History-of-Zionism-1987
14. Carroll Quigley, Tragedy and Hope, p. 324.
15. See:  Docherty and Macgregor, Hidden History, The Secret Origins of the First World War.

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The Rape Of Russia 3: Trotsky’s Secret Benefactors

31 Tuesday Oct 2017

Posted by Jim_and_Gerry in Bolsheviks, Jacob Schiff, Leon Trotsky, Max Warburg, Russia, Vladimir Lenin

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When the Spanish passenger vessel Monserrat berthed in New York in January 1917, Trotsky was met on the rain-swept pier by Arthur Concors, superintendent and director of the Hebrew Sheltering and Immigrant Aid Society. Concors’s fellow board members, and luminaries of the American Jewish establishment, included its main financial backer, Jacob Schiff, of Kuhn, Loeb & Co. [1] Concors acted as a translator for Trotsky during an interview that had been arranged with the New York Times. Here it was claimed that Trotsky had been expelled from Europe for preaching peace and that he was a follower of the German socialist, Karl Marx. His religious convictions were accredited by a statement that Trotsky had represented Jewish newspapers Petrograd and Kiev. [2] What has never been explained is why an impoverished ‘undesirable alien’ was welcomed to America by an official of a Jewish organisation who had close links to the highest echelons of the Zionist movement in the United States. Indeed, much has been left unexplained.

Professor Richard Spence, University of Idaho.

Richard Spence, professor of History at Idaho University and recognised Russian expert, briefly recounted the involvement of William Wiseman, head of British Intelligence in the U.S., in relation to Trotsky’s short stay, but unfortunately the details were sparse. Wiseman was closely linked to Woodrow Wilson’s minder, Edward Mandell House and, after the war, was rewarded with a lucrative partnership in the Kuhn, Loeb & Co. Bank on Wall Street. Jacob Schiff, has been the focus of much attention in Trotsky’s funding, but Professor Spence urged caution in connecting him with Trotsky, stating that there was ‘no demonstrable direct link’. Such ‘demonstrable’ evidence may never be found, but Professor Spence was aware that men like Schiff were adept at concealing their intrigues. Jacob Schiff was openly supportive of the Russian Revolution and in a letter published in the New York Times on 17 March, he ‘thanked the Almighty that a great and good people had been freed from their autocratic Czarist shackles’. [3] Two days later he voiced his opinion that Russia would, before long, rank financially amongst the most favoured nations in the money markets of the world. [4] Interestingly, that same issue of the New York Times reported that there had been a rise in Russian exchange transactions in London 24 hours preceding the revolution. Ah, the Rothschilds, as ever, a day ahead of the rest of the world. It was explained away as mere coincidence.

Banker and Financier, head of the Kuhn Loeb Bank of New York was also a prolific Jewish philanthropist

Jacob Schiff held a deep rooted hatred of Czarist Russia because of its gross and frequent ill-treatment of Jews. He had willingly financed revolutionary propaganda during the Russo-Japanese War and before and during the First World War. [5]  The Jewish Communal Register of New York City 1917-1918 stated that ‘Mr. Schiff has always used his wealth and his influence in the best interests of his people. He financed the enemies of autocratic Russia and used his influence to keep Russia from the money market of the United States’. [6] Note the reference to ‘his people’. In 1910, Schiff was one of several Americans who campaigned to revoke a commercial treaty with the Russians over their mistreatment of Russian Jews. When the Czarist regime sought him out for loans he refused, and no one else at Kuhn, Loeb was permitted to underwrite Russian requests for finance. After the Czar’s abdication, Schiff dropped his opposition to the Russian government. His views on Zionism experienced a similar volte-face. Schiff initially opposed Zionism, believing it to be a secular, nationalistic perversion of the Jewish faith and incompatible with American citizenship. He funded agricultural projects in Palestine, however, and later favoured the notion of a cultural homeland for Jews in Palestine. [7]

Schiff encouraged and financed armed revolt against the Czar. He provided financial support for Jewish self-defence groups in Russia, including Bolshevik and other socialist revolutionaries. He was set on fomenting revolution in Russia. The America author, G. Edward Griffin, pondered the question of Schiff’s involvement and unequivocally stated that Schiff ‘was one of the principle backers of the Bolshevik revolution and personally financed Trotsky’s trip from New York to Russia’. [8] Years later, Jacob Schiff’s grandson admitted that his grandfather had given about $20 million for the triumph of communism in Russia. [9]

Professor Spence agreed that Schiff ‘had a track record of financing revolutionaries’, and was ‘pro-German’. [10] This latter observation somewhat lets his thesis down. The German born Schiff was not pro-German. He and his German born Warburg partners in Kuhn, Loeb bank on Wall Street, and his good friend (and their brother) Max Warburg in Germany, together with their close Rothschild links in France and London, were not operating a nationalist agenda, whether it be German, British or American, but an internationalist agenda. And that agenda was the domination of the political system of each country and the economy of the world as a whole. [11]

These international bankers of German-Jewish descent had little patriotic sympathy or support for Germany. They belonged to the secret cabal that deliberately caused the First World War in order to destroy Germany. The leading German financier, Max Warburg, was himself deeply implicated in that conspiracy. They were globalists, first and last, seeking control of the entire world. It is why the question of their support for political Zionism, and how that fitted into their agenda, is of critical importance when considering both the Bolshevik Revolution and the Balfour Declaration. The time-scale within which the Anglo-American global-elites power-base moved from London to New York, and the ever growing influence of political Zionism, has yet to be determined. If such issues are not to be addressed, the truth will remain buried. [12]

Trotsky

On 25 March, 1917, Trotsky, who had been living a very comfortable life-style with his family in New York for the previous eleven weeks, was issued with papers for his passage to Russia. The British consulate assured him that no obstacles would be placed in his way. ‘Everything was in good order’, according to Trotsky, [13] but who had the power to issue such high-level permits? The surprising answer is that it reached right to the top of government in Washington. Professor Antony Sutton revealed that ‘President Woodrow Wilson was the fairy godmother who provided Trotsky with a passport to return to Russia to carry forward the revolution’. The passport came with a Russian entry permit, a British transit visa [14] and $10,000 in cash. One first-class cabin and sixteen second class cabins were booked for Trotsky and his party of fellow revolutionaries on the S.S. Kristianiafjord, of the Norwegian-America Line. They departed New York for Oslo and the onward journey to Petrograd, but failed to anticipate trouble ahead. Everyone had. During a scheduled stop at Halifax, Nova Scotia, Canadian officials removed Trotsky and his entire entourage from the ship and incarcerated them in an internment camp. The Halifax officials had not been advised of Trotsky’s mission and naturally considered the men a danger to the Allied cause. A flurry of angry telegrams eventually descended upon Nova Scotia from both sides of the Atlantic. Trotsky and the others were  released to continue their journey to Russia.

A Canadian Intelligence officer, Lieutenant Colonel John Maclean, later wrote an article entitled, Why did we let Trotsky go? How Canada lost an Opportunity to Shorten the War. According to MacLean, Trotsky was released ‘at the request of the British Embassy in Washington… acting on the request of the U.S. State Department, who were acting for someone else.’  [15] MacLean did not elaborate on who that ‘someone else’ was. The Canadian officials were instructed to inform the press that Trotsky was an American citizen travelling on an American passport, and his release was specifically requested by the state department. Clearly, Trotsky had strong support at the highest levels of power in Britain and the U.S., and orders were issued that he must be given ‘every consideration’. [16] Trotsky and his entourage were duly released and allowed to continue their journey. This is not normal procedure.

Who was that ‘someone else’ that held such power and took unprecedented steps to release Trotsky from the cells in Nova Scotia and allow him to continue his journey to Russia? Canada, as a Dominion of the British Empire, would have obediently complied with any instruction from the British foreign office, and the man in charge just happened to be Lord Arthur Balfour, member of the inner circle of the Secret Elite and the very man who would sign the Balfour Declaration on their behalf.

Pavel Miliukoff, member of the provisional government.

Trotsky claimed that Pavel Miliukoff, foreign secretary in the post-revolutionary Russian government, had initially wanted him released, but two days later ‘withdrew his request and expressed the hope that our stay in Halifax would be prolonged.’ [17] That made sense because the provisional Russian government knew that Trotsky and Lenin refused to accept their legitimacy and posed a serious threat to their government if they returned to Russian soil. Miliukoff and Alexander Kerensky were determined to keep Russia in the war; Trotsky and Lenin were equally determined to sign a peace pact with Germany and end the slaughter. The British and American authorities were fully cognisant of the fact.

In early May, Trotsky and his party arrived at Christiania (now Oslo) in Norway, and made their way by rail to Russia. On 18 May 1917, they stepped off a train at the Finland terminal in Petrograd, just as Lenin had, one month earlier. Had it not been for Trotsky’s unexpected arrest in Nova Scotia, their arrival would have been perfectly synchronised.

The Secret Elite in London and the international bankers in the United States, with the connivance of their well-controlled governments, sent back the two men whom they knew would remove Russia from the war. Matters of great significance allowed them to adopt this change in foreign policy. They were well aware that a peace agreement between Russia and Germany would eventually release upwards of a million German troops from the Eastern Front, but there was a compensatory factor. The United States had just entered the war and the loss of Russian troops was more than recompensed by the fresh faced young Americans who would be sacrificed in due course. Official reports showed that had it not been for the Russian treaty with Germany, ‘the war would have been over a year earlier’ [18] because the combined allied strength would have been overwhelming. Millions of men died needlessly or suffer terrible wounds in 1918. The Secret Elite prolonged the war, again and again. Profits multiplied.

1. Richard B. Spence, Hidden Agendas; Spies, Lies and Intrigue surrounding Trotsky’s American visit of January-April 1917.
2. New York Times, 15 January, 1917
3. New York Times, 18 March, 1917.
4. New York Times, 20 March, 1917.
5. New York Times, 24 March, 1917.
6. The Jewish Communal Register of New York City, 1917-1918, p. 1019. https://archive.org/stream/jewishcommunalr00marggoog#page/n953/mode/2up/search/money+market+of+the+
7. E. Slater and R. Slater, Great Jewish Men, pp. 274-276.
8. G. Edward Griffin, The Creature from Jekyll Island, p. 210.
9. Cholly Knickerbocker, New York Journal American. As quoted by Griffin, p. 265.
10. Spence, Hidden Agendas.
11. Carroll Quigley, Tragedy and Hope, p. 324.
12. The Austrian philosopher, Guenter Jaschke, wrote recently to co-author Jim Macgregor, ‘How can it happen that a minority of idiots, psychopaths and madmen rule the world, while the silent majority is paralysed?
13. Trotsky, My Life, p. 279.
14. Sutton, Wall Street and The Bolshevik Revolution, p. 25.
15. Ibid., pp. 32-33.
16. Ibid., pp. 33-34.
17. Trotsky, My Life, p. 284.
18. Sutton, Wall Street, p. 32.

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The Rape Of Russia 2: Strange Bedfellows for Socialist Revolutionaries

24 Tuesday Oct 2017

Posted by Jim_and_Gerry in Banking, Bolsheviks, J.P. Morgan jnr., Leon Trotsky, Max Warburg, Russia, Vladimir Lenin, Zimmermann

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Grigory Zinoviev, relatively unknown zealot for the Marxist revolution.Isolated in Zurich, Lenin was allegedly ‘stunned’ on hearing news of the Czar’s abdication. He immediately cabled his trusted lieutenant Grigory Zinoviev, the alias of Hirsch Apfelbaum, son of a Jewish-Ukranian dairy farmer. Zinoviev joined Lenin in Zurich and helped plan their return. Desperate to seize control of the revolution from the provisional government, but isolated in central Europe, their first task was to get back to Russia. Promptly. The best option was to travel by rail to Stockholm then on to Petrograd, but Germany stood in the way. Contacts were made, options considered and a strange deal agreed with the German government. Within days, Lenin was informed that he would soon be hearing from his old associate, Helphand-Parvus. [1]

Parvus, who assisted Trotsky in his voyage to the United States, played another significant role for the Secret Elite in spiriting Lenin safely across enemy territory and into Russia. An intriguing and mysterious individual, Parvus warrants our attention. Born in Belarus in 1867, his real name was Israel Lazarevich Gelfand. When he first met Lenin in Munich in 1900 he was a brilliant young journalist and Marxist theoretician who helped by printing the early issues of Iskra. In 1905 he was imprisoned with Trotsky and sentenced to three years exile in Siberia. Parvus mentored Trotsky on the theory of Permanent Revolution before they both escaped. He made his way to Germany and changed his name from Gelfand to Helphand, but became better known simply as Parvus.

Around 1908 Parvus moved to Constantinople where he remained for five years. He was associated with the Young Turks, produced propaganda journals, set himself up as grain importer and, more importantly, an arms merchant. Parvus became extremely rich, but his years in Constantinople were shrouded in mystery. His most important contact was Basil Zaharoff, the leading armaments salesman and agent of the Rothschilds and their mighty Vickers Armaments cartel. [2] Parvus earned a fortune selling arms for Zaharoff [3] and became deeply involved in the overthrow of the Czar.

Seventeen years after first meeting Lenin, Parvus was a grossly fat, bizarre paradox. He was both a flamboyant tycoon, displaying the worst of bourgeois vulgarity, and yet had a brilliant Marxist mind. The millionaire Marxist became a cartoon caricature ‘with an enormous car, a string of blondes, thick cigars and a passion for champagne, often a whole bottle for breakfast’. [4] Parvus viewed himself as kingmaker, the power behind the throne that Lenin would occupy. The association between the millionaire and Lenin horrified many socialists and revolutionaries, but Lenin claimed that he detested Parvus. Perhaps he did, but behind closed doors, they happily colluded in the rise of the bolshevik leader.

Parvus had been warmly greeted by Lenin in Berne in 1915, where they held a private meeting. Its detail remains clouded in mystery, yet proved to be extremely important in the history of the world. Without Parvus and his organisation, through which millions of gold marks were channeled to the Bolsheviks, Lenin could never have achieved supreme power. ‘It was a strangely remote association in the sense that neither had direct contact with the other and both adamantly denied its existence…’ [5] How convenient.

Israel Lazarevich Gelfand, otherwise known as Alexander Parvus, was a strange associate for Vladimir Lenin.

Parvus had spent considerable time in Germany since the early 1900s and was considered by many, including the German authorities themselves, to be a loyal German agent. Judging by his activities from the time he moved to Constantinople in 1908, there can be little doubt that he was a double agent working for the British, or, to be more precise, the Rothschilds. Parvus was an extremely important player for them because he could operate freely in Germany and liaise with other important Rothschild agents such as Max Warburg. The fortune he made in Constantinople with Zaharoff’s help gave him access to members of the German Foreign Ministry, under- secretary, Arthur Zimmermann in particular.

Parvus suggested that the Imperial Germans and the Russian Marxists had a common interest in the destruction of the Russian autocracy, and persuaded them to provide substantial funding to topple the Czar and bring about a separate peace with the Reich. It was unquestionably an attractive proposition. The Germans obliged. They had supported the revolutionary movement since the war began by feeding money to Russia through Parvus in order to ‘create the greatest possible degree of chaos in Russia’. On one day alone, 5 April 1917, the German Treasury paid more than 5,000,000 gold marks to Parvus for political purposes in Russia. [6] Incredibly, the Allies and their German foes were playing, and paying for, the same game in Russia, but for very different reasons. The Germans thought Parvus was working to their agenda, but the Secret Elite knew he was working to theirs. While German officials believed that they were using Parvus’s network as a means of putting pressure on the Czar to plea for a peace settlement, the British, supported by Ambassador Buchanan, urged him to sabotage any move towards a separate Russian-German peace. ’The task facing Parvus was greatly facilitated by the helpless naivety of his secret contact, Count Brockdorff-Rantzau, German ambassador in Copenhagen.’ [7]

The Secret Elite had decided to spirit Lenin and Trotsky into Russia as quickly as possible. This was Parvus’s masterstroke. [8] Immediately after the February Revolution he entered negotiations with the German authorities to provide a special train to transfer Lenin and his supporters safely through Germany from Switzerland. Interestingly, it was Arthur Zimmermann, by now the German Foreign Secretary, who made the initial contact by inviting Parvus to meet with him. Thereafter, Zimmermann personally supervised the arrangements. [9]

Arthur Zimmermann

We have to question Zimmermann’s actions, both here and in later activities such as his infamous and ludicrous telegram that provided Woodrow Wilson with the perfect excuse to bring the United States into the war. Was Zimmermann, in collusion with Max Warburg and other Rothschild agents such as Zaharoff, acting in the interests of Bolshevism and Zionism rather than those of Germany? He was certainly sympathetic to the Zionist cause, protected Palestinian Jews when they were threatened by the Turkish authorities and mooted the idea of a joint Turkish-German declaration in favour of colonisation in March 1917. [10] Did he keep the Kaiser in the dark? Where did his true loyalty lie? Disagreements still rage over whether or not Zimmermann informed Wilhelm II about the arrangements for Lenin’s transfer. Author Michael Pearson claimed that the Kaiser and his Generals approved the move in advance, whereas Professor Antony Sutton maintained that they were not informed until Lenin was safely across the border into Russia. [11]

Lenin’s action could have been viewed as treason. He had, after all, accepted help from Russia’s sworn enemy who benefitted from his declared intention. On 9 April 1917, Lenin, together with Gregory Zinoviev, Karl Radek and other Bolsheviks and their wives, a party of thirty-two in total, boarded a Swiss train that took them from Berne to Zurich. On transferring to another train to carry them to the German border, they were subjected to abuse by a crowd of around 100 hostile Russians screaming “Spies” “Pigs” and “Traitors.”  [12] They then boarded a German train that was ‘sealed’ from the outside world. Over the next three days the now famous ‘sealed train’ took them via Frankfurt and Berlin to the small sea-side port of Sassnitz in North-East Germany, from where they boarded a Swedish ferry for Trelleborg. The following day they received a warm welcome on the quayside from one Jacob Furstenberg.

Furstenberg was the alias of Yakov Stanilavovich Ganetsky, an important player in Lenin’s return from exile and a key link between Parvus and Lenin in the transference of large sums of money from Germany. Furstenberg was the son of a wealthy Jewish family who owned a factory in the city, and had a range of contacts in the semi-criminal underworld. He ‘was seen even by Lenin’s close comrades as a sinister character’ [13] but considered by Lenin as a trusted friend.

Yakov Stanilavovich Ganetsky, otherwise known as Jacob Furstenberg.

Furstenberg was also Parvus’s ‘key right-hand man’, and president of a company he set up in Copenhagen during the war. The ‘company’ comprised an espionage ring and network of agents both inside and outside Russia, that sold Russian products to the Germans and vice versa. This war-profiteering comprised merchandise like chemicals, medicines, surgical instruments and much more. [14] Some of the money raised was used to finance Lenin’s propaganda from the first day of the revolution. [15] Lenin, the ‘pure socialist revolutionary’ and ‘man of the people’ was deeply involved with these despicable characters and benefited from the obscene profits made at the expense of men killed or horrendously maimed in the trenches. Furstenberg, indeed, was Lenin’s most trusted agent. [16] They formed their own personal axis of evil.

The revolutionary and the sinister war profiteer were strange bed-fellows. In theory, Furstenberg was everything that the Bolshevik leader abhorred. He prospered by dealing in basic necessities that were in short supply: medicines, drugs and dressings for the wounded; contraceptives for the troops. His blackmarket business methods were equally disreputable. Furstenberg was elegant, debonair and never without a flower in his buttonhole, a dandy for whom bolshevism seemed illogical. The two men had known each other since they met at the traumatic 1903 conference in London when Lenin split the party. [17] Furstenberg joined Lenin at Trelleborg, and he and the other Bolsheviks continued to Malmo for the night train on to Stockholm. Meanwhile, in the Wilhelmstrasse in Berlin, Arthur Zimmermann followed their progress ‘with close interest.’ [18]

Sweden had dominated the market in illicit trade between the Allies and Germany since the early months of the war, and at the heart of much of that business sat a Swedish banker and businessman, Olof Aschberg and his bank, Nya Banken. Furstenberg, was an associate of Aschberg’s [19] and much of the money sent from both the United States and Germany for the Bolsheviks, passed through Nya Banken. Aschberg’s London agent was the British Bank of North Commerce [20] whose chairman, Earl Grey, was linked to the inner-chambers of the Secret Elite in London. Another important Nya Banken connection was Max May, vice-president of J.P. Morgan’s Guaranty Trust of New York, also an associate of Olof Aschberg. [21] Much of the ‘German’ money transferred through Nya Banken to the Bolsheviks came via the Disconto-Gesellschaft bank in Frankfurt am Main. [22] When one realises that Disconto-Gesellschaft was part of the Rothschild Group [23] and J.P. Morgan was a front for the Rothschilds on Wall Street, the hidden hand of Rothschild becomes apparent, yet again. [24]

Max Warburg, one of the most powerful bankers in Germany, was the older brother of Paul Warburg, the major force in establishing America’s Federal Reserve System which helped Wall Street fund war in Europe. It is worth repeating that Max, himself a Rothschild agent and reputedly head of the German espionage system during the war, [25] was involved with Arthur Zimmermann in ensuring Lenin’s safe passage across Germany. Max Warburg was likewise involved in the safe passage of Trotsky to Russia. A U.S. State Department file, ‘Bolshevism and Judaism’, dated 13 November 1918, asserted that there could be no doubt that the ‘Jewish Firm’ Kuhn, Loeb & Company and its partners ‘started and engineered’ the revolution in Russia. The report added that Max Warburg had also financed Trotsky, and that Aschberg and Nya Banken were involved. [26] This tangled web makes little sense unless one understands just how closely all of these named bankers and banks were linked to each other, and to their common goal of international control.Lenin arrives at Finland Station ... a much 'refreshed' photograph.Lenin’s train arrived late on the evening of Easter Monday, 17 April 1917, at the Finland rail terminal in Petrograd. Both inside and outside the station, bands played “La Marseilles” and a large bouquet of flowers was thrust into Lenin’s hands as a guard of honour presented arms. [27] The Bolshevik leader immediately denounced members of the provisional Government, and issued a series of ten directives in what came to be known as the ‘April Theses’. He demanded the immediate withdrawal of Russia from the World War, and all political power placed in the hands of workers and soldiers’ soviets.

Vladimir Lenin undoubtedly benefitted from financial backing from Germany, mainly through the intrigues of men linked to the Rothschilds such as Parvus and Max Warburg, but what of Trotsky, so generously accommodated on his voyage from Barcelona to New York? Richard Spence, professor of history at the University of Idaho, has meticulously documented the network of connections between Trotsky and international bankers, [28] and his work is required reading for those who desire a deeper understanding of the Bolshevik Revolution. His grasp of the connections between the international bankers themselves or, their globalist aims, appears less firm. Spence quoted French Intelligence reports from Barcelona in 1917 which revealed that Trotsky’s benefactor was a Russian émigré, Ernst Bark, a resident of Madrid.

Finance Minister Pytor Bark in talks with the French Minister of Finance and David Lloyd George in 1915.

Bark masterminded Trotsky’s release from prison, his accommodation in Spanish hotels, and his first-class passage to America. He was the first cousin of Pyotor Bark, Minister of Finance in Russia from 1914. Inside these complex secret international machinations, Pyotor Bark employed Olof Aschberg as his financial agent. Having seen how Aschberg and his Nya Banken were closely linked with Parvus in facilitating Lenin’s return to Russia, it comes as no surprise that they were similarly involved in ensuring Trotsky’s return. Professor Spence concluded that Ernst Bark ‘was Parvus’s cat’s-paw in Spain’. [29] In an interesting aside, Pyotor Bark was arrested after the Bolshevik revolution but immediately released on higher orders. Thereafter he moved to England, became managing-director of the Anglo-International Bank in London and was awarded a knighthood. Here was a man whose powerful contacts included the higher echelons of British banking circles. [30]

What a strange concoction of armaments dealers, sinister profiteers and bankers whose background had nothing in common with the revolutionary forces set loose in Russia. The short lived Nya Bank (1912-1920) clearly acted as a conduit for funds from Germany to the Bolsheviks, and the convoluted connections between Nya, Morgan’s Guaranty Trust, the British Bank of North Commerce, the Rothschild-backed Disconto – Gesellchaft, Max Warburg and the Kuhn Loeb bank in New York and the Russian Minister of Finance, displayed financial interest that transcended normal politics. That Lenin and Trotsky should both owe their political re-emergence to such vested interests is, on the face of it, fundamentally wrong. These bankers and financiers were motivated by their own financial advantage, not the symbolic red flag. What was going on?

1. Pearson, The Sealed Train, p. 57.
2. See Blog, Munitions 8: The Strange and Unendearing Story of Basil Zaharoff, published originally on 22 July 2015..
3. Pearson, The Sealed Train, pp. 57- 8.
4. Ibid., pp. 58-59.
5. Ibid., p. 64.
6. Preparata, Conjuring Hitler, pp. 30-31.
7. Ibid., pp. 32-33.
8. Ibid. p. 33.
9. Pearson, The Sealed Train, p. 65.
10. Isaiah Friedman, The Question of Palestine: British-Jewish-Arab Relations, 1914-1918, p. 145.
11. Antony Sutton, Wall Street and the Bolshevik Revolution, p. 40.
12. Pearson, The Sealed Train, p. 83.
13. Ibid., p. 49.
14. Pearson, The Sealed Train, p. 61.
15. Volkognov, Lenin, p. 115.
16. Ibid., p. 114.
17. Pearson, The Sealed Train, pp. 101-102.
18. Ibid., p. 83.
19. Sean McMeekin, History’s Greatest Heist, p. 225.
20. Sutton, Wall Street and the Bolshevik Revolution, p. 57.
21. Ibid., p. 67.
22. McMeekin, History’s Greatest Heist, p. 59.
23. Niall Ferguson, The House of Rothschild, p. 384.
24. The convoluted and intricate means by which the Rothschilds and their associates on Wall Street funded the Bolsheviks are beyond the scope of this chapter, and we would point interested readers to the late Antony Sutton’s powerful book, Wall Street and the Bolshevik Revolution. Professor Sutton revealed exactly how Guaranty Trust, American International Company and the Kuhn, Loeb bank of Jacob Schiff and Paul Warburg gave large sums of money not merely to Bolsheviks, but to the German espionage system.
25. A.N. Field, All These Things, vol.1. http://www.yamaguchy.com/library/field_an/things_01.htm
26. Sutton, Wall Street and the Bolshevik Revolution, pp. 186 -7.
27. Pearson, Sealed Train, p. 128.
28. Richard B. Spence, Hidden Agendas; Spies, Lies and Intrigue surrounding Trotsky’s American visit of January-April 1917.
29. Ibid.
30. Obituary. Sir Peter Bark, Bernard Pares The Slavonic and East European Review Vol. 16, No. 46 (Jul., 1937).

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The Commission For Relief In Belgium 8: Solving The Problem With Other People’s Money

11 Friday Sep 2015

Posted by Jim_and_Gerry in Banking, Belgian Banks, Belgian Relief, CNSA, Comite National, Herbert Hoover, Max Warburg

≈ 1 Comment

Crowds outside the National Bank of Belgium in Brussels fearing a run on the Franc in July 1914.In August 1914, the Banque National de Belge transferred its gold reserves and ‘a large number of State bonds’ to the Bank of England and despite protestations from the Germans that these assets should be returned, they remained safely in London vaults along with the printing blocks for official Belgian currency. [1] This arrangement had been secretly agreed in 1913, and though several members of the board of the National Bank of Belgium were sent by the Germans to London in February 1915 to ‘recover’ bonds and gold, the mission was little more than tokenism. There were no circumstances under which gold would have been returned. Which raises the question of what was it all about?  

The critical issue for bankers in early 1915 was the circulation of money which was becoming an ever increasing problem for both the CRB and the occupying forces. A solution had to be found. Without money, commerce would shudder to a halt. Herbert Hoover journeyed to Berlin in February 1915 to meet amongst others, the German Minister of Finance. [2] The Reichsbank offered to solve the impasse by raising a $50,000,000 loan in America, guaranteed by Germany, but to be repaid by Belgium. They suggested the construction of a ‘relief bank’ but the proposal had to be rejected. No matter how important he considered himself, Hoover did not have the power to impose a $50,000,000 debt on the Belgian government. [3]

Another proposition demonstrated just how much the ‘Relief’ business was worth to international bankers. According to Hoover’s memorandum of the meeting on 4 February, 1915, the Germans suggested that the CRB might use ‘ friends of the German Government in New York City’ to discount their bills of exchange through Max Warburg in Hamburg and the New York banking firm of Kuhn, Loeb and Co. International trade worked effectively through this system whereby one party, say, a German importer pays for American grain by a giving the American exporter a bill, much like a cheque, to be paid in three months time. If the exporter needs the cash early he can take the bill of exchange to a merchant bank which will discount it. That means the bank will instantly pay him a sum of cash at less than the bill’s value. The bank can afford to wait three months and take the full amount. It has always been big business. In wartime it was huge business.

Paul Warburg, the brains behind the creation of the Federal Reserve System in America.Max Warburg, head of the Warburg Bank in Hamburg and financial advisor to the Kaiser.

The Warburg brothers, Max and Paul were key players in international finance. Max Warburg was head of the family bank, M.M. Warburg and Co. in Hamburg, and Paul Warburg was senior director at Kuhn, Loeb and Co. in New York. Like the J.P. Morgan empire, both Warburgs had strong Rothschild connections. [4] Paul had been instrumental in the creation of the Federal Reserve System in America, and basically both these men were deeply involved in the business deals which were wrapped around Belgian Relief. How convenient was this for the Secret Elite? Max Warburg offered to take over the market in discounting South American grain bills [5] which would divert the profits from London.

Later that same evening, Warburg met with Hoover at Berlin’s Adlon hotel and talked about his great success in discounting bills for cotton shipments from America to Germany through Kuhn, Loeb in New York. He believed that his firm could offer a better return for discounting the grain bills. [6] Next day, Hoover held talks with Albert Ballin, the Head of the Hamburg-America shipping line, and a frequent visitor to London before war broke out. Indeed Ballin’s connections in Britain gave him access to Secret Elite controlled politicians and, days before the final declaration of war, he went to London ‘ostensibly on business’. Here he met Sir Edward Grey, Richard Haldane and Winston Churchill but we do not know what they talked about. [7] Official histories limit the discussion to assurances given to Ballin that Britain would remain neutral, but was that all? Barely one week later, Albert Ballin and Max Warburg had been put in charge of the Zentraleinkaufsgesellschaft, (ZEG) the state-owned organisation charged with purchasing food for Germany from foreign countries. [8]

The Hoover memorandum states that Ballin was keen to have his impounded Hamburg-American freight ships released for use by the CRB, [9] but Hoover knew that it would not have been acceptable to the British public for German ships to freely carry goods across the Atlantic. Having taken a cargo to Rotterdam, it would have been comparatively easy for Ballin’s freight ships to slip into German waters. It was a risk too far even for the Secret Elite. However there is another consideration. Both men were rivals for the scarce commodity, food.

Alfred Ballin, Head of the Hamburg-Amerika line

Hoover had the great advantage of access to the world market, while Ballin was restricted to the Romanian grain harvest and what could be imported from America through the sham blockade. [10] Ballin would also have known about the vast quantities of CRB imports flowing through Rotterdam, and precisely how much was being diverted to Germany. Given that Albert Ballin was in charge of German food procurement, and Herbert Hoover headed the Commission for the Relief of Belgium, how likely is it that their talks were limited to shipping and finance?  Are we to believe that Hoover and Ballin failed to talk about food importation? Be mindful that Hoover’s memorandum is the only known record of their discussions.

Hoover’s visit continued with a meeting with the financial advisor to the Imperial government in the company of Max Warburg who repeated ‘two or three times’ that his brother’s influence with the Federal Reserve System would be financially beneficial to the CRB. [11] The Warburgs were desperate to muscle into the markets for discounting bills of exchange and the claim that they had influence over the Federal Reserve in New York was no mean boast. Unfortunately for them, so too did J.P. Morgan. It was a non-starter, but both sides had to find a solution to the tricky problem of money. Without money workers couldn’t be paid, pensioners would go penniless and trade would stutter to a standstill. Faced with that reality-check, both the Belgian government in exile and the German government of occupation accepted a solution which was mutually beneficial.

Emile Francqui’s Societe Generale was appointed to act as the national bank in Belgium, and was granted the exclusive right to issue bank-notes until 20 November, 1918. [12] Instructed by the German authorities, these notes did not carry any national emblem or picture of the Belgian royal family or indeed anything that symbolised patriotic loyalty. [13] By this point Emile Francqui had become the ‘national mediator’ [14] and little wonder, given the power that was devolved to his bank. Naturally, banks charged for their services, and the Societe Generale had much to gain. More pertinently, this arrangement suited all parties, belligerent and neutral, and helped prolong the war.

When Herbert Hoover negotiated the massive loans for Belgian Relief from allied governments he used the J.P. Morgan organisations in America, co-ordinated through Morgan Guaranty Trust of New York which, in turn, made the requisite transfer to Morgan Guaranty in London. Part of the ‘money’ was then transferred on paper to Banque Belge pour L’Etranger in London to pay for civil servants, pensioners, schoolteachers and many other Belgian government workers. From there, the money was transferred to the Societe Generale in Brussels.

Societe Generale Banknote from 1916. It was the only accepted banknote printed in Belgium at the time.

Though this was managed on ledger accounts, like all paper currencies, if accepted in exchange, the system worked. The Societe Generale had, under German authorisation, printed acceptable banknotes estimated at 1,600,000,000 Fr which circulated through the economy and underscored trade and commerce. Franqui’s bank was permitted to issue bills to the value of three times its holdings in gold, in foreign currency, in Reichsmarks and in credits on foreign banks. [15] The Societe Generale’s role was therefore, absolute. Francqui was the bankers’ banker. At this point, with an acceptable currency in circulation and used by both the public and by international banks, the German government imposed a 40,000,000 Fr (£1,600,000) tax per month on Belgium. This equates to  £114,5000,000 per month at today’s values. There was muted outrage, but little else. The bankers protested, but paid up rather than risk their personal fortunes. The Germans had agreed an important trade off. They did not interfere with overseas investments held by Belgian Banks. Perhaps that is why their protests amounted to a mere whimper.

There was an additional problem with the lack of money in circulation  because the Belgians were by nature cautious and inclined to save any spare income. In any case there were very few luxuries available outside the American Relief shops in Brussels and Antwerp. However, in September 1916, the occupying force took stringent measures to annex the public savings accounts in both the Banque National de Belge and the Societe Generale. They demanded that the funds held in Reichsbank notes be transferred back to German control or the banks would be sequestered. Whether or not the threat was real, $120,000,000 was collected for the German treasury and transferred to Berlin. [16] Germany firstly imposed a tax and carried off about one quarter of the money which the American loans had guaranteed, and then annexed savings.  This money boosted the Reichsbank’s holdings and was used by the German government to buy foreign goods. So the war was effectively prolonged because Belgian Relief provided Germany with food to sustain her armies and funds to pay for her war effort.

Cardinal Mercier, Catholic prelate and hero of Belgian Catholics for his strong resistance. Hoover played up the plight of 'Catholic' Belgium to boost funds.

The popular belief was that the funds used for Belgian relief came from public charity, mostly of American origin. Not so. Though Hoover embarked on many fund-raising initiatives and made constant appeals to individuals, national groups, even Pope Benedict XV, whose Papal message to America in early December 1916 was strategically timed to coincide with Christmas gift-giving, [17] the major source of income came from official government loans organised through J.P. Morgan’s American consortium. In early 1915, Hoover had negotiated an Anglo-French-Belgian subsidy of $5,000,000 per month and in 1916 this was increased by 50% to $7,500,000 per month. [18] In 1917, The New York Times ran an article which implied that Hoover was being ‘shamed’ by the paucity of charitable funds sent from the USA, a mere $9,000,000 (under 4%) of the total $250,000,000 spent by the end of 1916, even although ‘fat profits had been made in America from the sale of supplies for Belgium.’ [19] It was a clever ploy, targeted at the American public conscience, for Hoover did not care where his funds came from. Nor do his figures make sense. In America alone, thousands of committees were formed to collect funds.  The Literary Digest alone donated over $300,000 and numerous institutions, magazines and newspapers in America ‘ gave till it hurt’. [20] We will never know the true extent of the fraud.

Once America declared war in April 1917, Hoover was able to access even greater funds from the US government, which agreed to contribute directly.  In May 1917, $75,000,000 was appropriated for his use. And the incredible fact is that these sums were credited to the French, British and Belgian Governments, but spent, as in all cases by the CRB. The money from the American Government was to be advanced in instalments of $12,500,000 per month, of which $7,500,000 was to go to Belgium and $5,000,000 to France, whether or not the afore-mentioned had asked for it. [21] These were awesome figures and the language used signalled Hoover’s primacy in deciding how funds were to be spent. His agencies decided what would be bought from suppliers all over the globe, which shipping agencies would carry the cargoes, which distributors would be employed. Fortunes were made.

Hoover was fearless in overspending other people’s money. By mid-1916 the commission’s expenditure in Belgium exceeded its income by $2,000,000 a month, [22] but Hoover knew that he would be able to source the funding for the simple reason that all of this was planned. The political will was there; it simply had to find reason. Financial muscle was never far from his centre of power. The Morgan/Rothschild axis was wrapped around the entire project; but they were not the givers, they were not donating funds; they acted as suppliers of funds … at a price. They were bankers.

[1] The Times 22 Feb. 1915.
[2] George I. Gay and H.H. Fisher, Public Relations of the Commission for Relief in Belgium, pp. 245-250, Documents 135-138.
[3] George H. Nash, The Life of Herbert Hoover, The Humanitarian, 1914-1917, pp. 86-7.
[4] Gerry Docherty and Jim Macgregor, Hidden History, The Secret Origins of the First World War. pp. 214-5.
[5] Gay and Fisher, Public Relations of the Commission, p. 245, Document 135.
[6] Ibid., p. 247, document 136.
[7] Bernhard Huldermann, Albert Ballin, p. 215.
[8] Ibid., pp. 223-228. http://www.archive.org/stream/albertballin00hulduoft/albertballin00hulduoft_djvu.txt
[9] Gay and Fisher, Public Relations of the Commission, p. 248, Document 137.
[10] See our blogs between December 10 and February 4, 2015.
[11] Gay and Fisher, Public Relations of the Commission, p. 248, Document 138.
[12] Manfried Pohl and Sabine Freitag, Handbook on the History of European Banks.
[13] Brand Whitlock, Belgium Under German Occupation, p. 214.
[14] Charles D’Ydewalle, Albert King of the Belgians, p. 147.
[15] Brand Whitlock, Belgium Under German Occupation, p. 217.
[16] Ibid., p. 215.
[17] New York Times, 21 December 1916, p.8.
[18] George H. Nash, The Life of Herbert Hoover, p.197.
[19] New York Times, 31 January 1917.
[20] John Hamill, The Strange Case of Mr Hoover Under Two Flags, pp. 322-3.
[21] New York Times, 10 May 1917.
[22] George H. Nash, The Life of Herbert Hoover, p. 196.

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