Category Archives: Secret History of The War on Drugs

Law and Order: Cartel or Constitution?

 

Lawandorder01

Given that war has broken out in the fight for our marijuana freedoms as we face a multi-state threat from the so-called ‘recreational marijuana’ and their neo-conservative corporate consortium partners, we have decided to introduce a new series called ‘Law and Order’ where we openly contend that the Drug War itself is unconstitutional. We will present to you cases from the past few decades that slowly but surely eroded the rights and freedoms that We The People of America have guaranteed in our Bill of Rights and Constitution of the United States, in the name of an unholy cause called the War on Drugs.

The War on Drugs is an institution that was designed for one purpose: profit. To profit off of wars both legal and illegal, the jailing of citizens, the seizure of property, the suffering of the people, the destruction of families, the oppression of neighborhoods and the expansion of empire. No other institution has so effectively concentrated wealth at the top in the history of man, than the Leviathan that has emerged comprising of Cartels, Corporations and Government.

Best Nixon

Best Nixon

The origin of the War on Drugs is based in the oligarchical reaction to the American counter-culture that had emerged against the War in Vietnam and the destabilizing effect the war in Vietnam had on the US economy. While narco-warfare had been previously used in World War II and the topic of drug control had existed in the political realm for over 100 years, it wasn’t made intrinsic again until the Vietnam War and the creation of the War on Drugs. When Richard Nixon came to office in 1968, several correlated events took place within the White House:

  • The Consortium formed by John Foster Dulles and Allen Dulles after World War 2 had been brought back into power post-JFK. The same group had attempted to drive the Cuban Missile Crisis years before and had employed CIA operation J/M-Wave to assassinate President Kennedy.
  • CIA shipments of heroin during the Vietnam War by former members of Operation Jedburgh to the United States, proved profitable in funding unauthorized wars in Cambodia and Laos that Nixon could not obtain through a Democratic Congress.
  • The United States after 1969 began to lose its financial capacity to maintain the war in Vietnam. Nixon, in order to drive up the price of marijuana and heroin to increase war profits instigated Operation Intercept. The heroin epidemic started in Hells Kitchen raised enough money off the books to continue the war well into 1972.
  • Heroin sales were compounded by Nixon taking the dollar off the gold standard in 1971 allowing the drug money to be laundered into the economy. Nixon would later convince China to agree to the outsourcing of American jobs in return for cheaper goods undermining American labor to allow for a retaking of the US economy by the Consortium.
  • Nixon, the CIA and DEA utilized the same drugs for weapons tactics to reassert US hegemony in South America, overthrowing socialist governments and replacing them with narco-dictatorships backed by the military. This effectively established the modern cocaine trade through empowering Cartel families in Mexico, Panama, Peru and Colombia. Originally the most powerful operator was the Guadalajara Cartel, managed by the CIA, Rafael Quintero and Miguel Angel Felix Gallardo.
  • The cocaine trade rapidly expanded into the 1980’s with civil wars in Central America being funded by a drugs-for-arms scheme that cemented the relationship between the US government, the cartels and American corporations. Cocaine shipments would leave Colombia through Panama, be facilitated by Contras through Central America, to Mexico and be flown by plane into private military airports guaranteed by then Governor Bill Clinton in Arkansas.
  • The large glut of cocaine, encouraged the creation of the Crack Cocaine epidemic which started in 1984 and was fueled in large part by the trafficking of cocaine by Nicaraguan Contras and Manuel Noriega with the support of the CIA and DEA.
  • DEA agent Enrique Camarena would be murdered by the Guadalajara Cartel, Mexican Police and several DEA and CIA agents for disrupting drug flows, setting off an investigation that would eventually lead to the Iran-Contra Affair and the exposure of the international narcotics system.
  • The epidemic continued until George HW Bush invaded Panama in 1989 to shut down Noriega’s operation which had been supported by the US since the 1970’s.
  • The fall of Noriega followed suit with the takedown of Pablo Escobar who had become the richest man in the world at the time through cocaine sales ($66 billion in 1991). The fall of Pablo was effectively the end of the Colombian reign as power would shift to Mexican Cartels with DEA support.
  • The fall of the Arellano-Felix cartel, the successor to the Guadalajara Cartel, in the late 90s and early 2000’s, created a fractured power vacuum in Mexico that was heavily manipulated by Consortium and federal agency interests that has led to Mexico and Canada being the drug trafficking gatekeepers to the US that we have today. The power vacuum has since been filled by El Chapo and the Sinaloa Cartel, Los Zetas, the Gulf Cartel and several other small organizations.

The Murder of Enrique Camarena in 1984

DEA Agent Enrique Camarena

DEA Agent Enrique Camarena

This first article talks about the significance of a court case related to the death of DEA agent Enrique Camarena-Salazar in 1984. Camarena had been responsible for the destruction of a 2,500 acre marijuana farm, with a production value of $8 billion. The marijuana farm was controlled by the CIA backed Guadalajara Cartel and its overlord Miguel Angel Felix Gallardo. Camarena was tortured at Gallardo’s ranch by Dr. Humberto Alvarez Machain, CIA Agent Rafael Caro Quintero, and two crooked DEA agents who had dimed out Camarena for the bust. Quintero was the co-founder of the Guadalajara Cartel with Gallardo and been an integral part in providing funding from drug sales to the Nicaraguan Contras for Col. Oliver North and the CIA.

Rafael Caro Quintero

Rafael Caro Quintero

Quintero’s wiki:

The Guadalajara Cartel prospered largely because it enjoyed the protection of the intelligence agency then known as Dirección Federal de Seguridad (DFS-Federal Security Directorate) under its chief Miguel Nassar Haro, a Central Intelligence Agency (CIA) agent.

His cartel was also benefited by the CIA for having connections with the Honduran drug lord Juan Matta-Ballesteros, who, according to a 1983 U.S. Customs Investigative Report, was the head of the SETCO airline, a corporation that was used for smuggling narcotics into the United States. According to the Kerry Committee report, the SETCO airline was “the principal company used by the Contras in Honduras to transport supplies and personnel for the [FDN (one of the earliest Contra groups)], carrying at least a million rounds of ammunition, food, uniforms, and other military supplies [for the Contras] . . . from 1983 through 1985.”For its services SETCO received funds from the accounts established by Oliver North.

His partner and cartel co-founder, Miguel Ángel Félix Gallardo, provided a significant amount of funding, weapons, and other aid to the Contras in Nicaragua. Gallardo’s pilot, Werner Lotz stated that Gallardo once had him deliver $150,000 in cash to a Contra group, and Gallardo often boasted about smuggling arms to them. His activities were known to several U.S. federal agencies, including the CIA and DEA, but he was granted immunity due to his “charitable contributions to the Contras.

Miguel Angel Felix Gallardo

Miguel Angel Felix Gallardo

Caro Quintero has also been accused of involvement in the murder of US Drug Enforcement Administration agent Enrique Camarena Salazar. In November 1984, the Mexican authorities raided a 220-acre ranch known as El Búfalo in the state of Chihuahua, owned by Caro Quintero. The authorities reportedly burned more than 10,000 tons of marijuana – totaling a loss of around $160 million.

Camarena Salazar, who had been working undercover in Mexico, was said to be responsible for leading the authorities to the ranch. This allegedly prompted Caro Quintero and other high-ranking members of the Guadalajara Cartel to seek revenge against the Drug Enforcement Administration (DEA) and Camarena. In retribution, Camarena and his pilot Alfredo Zavala Avelar were allegedly kidnapped in Guadalajara on 7 February 1985 and brutally tortured and murdered. Caro Quintero allegedly buried the two bodies in a clandestine grave in the state of Michoacán. He then left Mexico on 9 March 1985 with his associates and his girlfriend Sara Cristina Cosío Gaona. Former Mexican Judicial Police chief Armando Pavón Reyes reportedly allowed Caro Quintero to flee from the airport in Guadalajara to seek refuge in Costa Rica in a private jet after paying a $300,000 bribe. The police chief was fired shortly afterwards and was charged with bribery and complicity in the Camarena murder.”

Camarena had been brutally interrogated and tortured, kept alive during the torture by Dr. Humberto Alvarez Machain’s application of methamphetamine and other drugs to maintain Camarena’s consciousness. His body was found in Michoacan and triggered the largest DEA homicide investigation in US history, known as Operation Leyenda. Rafael Quintero and his partner, Ernesto Carrillo were arrested for the murder with great controversy, with Felix Gallardo being protected from prosecution by the Mexican President Miguel de la Madrid.

Dr. Humberto Alvarez Machain

Dr. Humberto Alvarez Machain

The DEA, in vengeance, hired bounty hunters to abduct Dr. Humberto Machain and four other defendants to bring to trial in the early 1990’s despite vigorous protests of the Mexican government in regards to violation of the Extradition Treaty in 1978. The case became significant when Dr. Machain sued the US government for abducting a Mexican citizen in good standing in violation of the extradition treaty. In a high controversial 5-4 decision, the Republican Supreme Court ruled that Alvarez was NOT entitled to relief and that the President ultimately had the right to violate congressional treaties in the interest of national security.

The other four abductee’s were convicted as well, many of them had ties to the current and former Mexican Presidents and had been implicated in using Mexican police to help cover up the murder and destroy evidence. In October 2013, two former federal agents and an ex-CIA agent admitted that the CIA had been directly involved in Camarena’s murder because the Guadalajara Cartel’s marijuana and cocaine operations were integral to funding the overthrow of government’s in Central America.

New revelations suggest that Caro Quintero may have not been the only one responsible for the gruesome murder. Another figure has surfaced in the case, Félix Ismael “El Gato” Rodríguez, a Cuban exile who participated in the disastrous Bay of Pigs invasion in 1961. El Gato has also been linked to the 1967 ambush of Ernesto “Che” Guevara in Bolivia.

CIa Agent Felix Rodriguez

CIA Agent Felix Rodriguez

These CIA-connection claims are now being brought to light by Phil Jordan, the former director of DEA’s powerful El Paso Intelligence Center in Texas; former DEA agent Héctor Berrellez; and Tosh Plumlee, who maintained he was hired to fly covert missions on behalf of US intelligence. The three men spoke to Fox News in exclusive interviews broadcast last Thursday.

They claimed that Mexican police and agents working for the CIA participated in Camarena’s torture and murder.

“I know and from what I have been told by a former head of the Mexican federal police, Comandante [Guillermo Gónzales] Calderoni, the CIA was involved in the movement of drugs from South America to Mexico and to the US,” said Jordan, according to a transcript of the broadcast.

“In [Camarena’s] interrogation room, I was told by Mexican authorities, that CIA operatives were in there – actually conducting the interrogation; actually taping Kiki,” Jordan claims. Berrellez explained that Camarena was kidnapped and murdered “because he came up with the idea that we needed to chase the money not the drugs.

We were seizing a huge amount of drugs. However, we were not really disrupting the cartels. So he came up with the idea that we should set up a task force and target their monies,” said the former DEA agent. Plumlee added that the CIA was also involved in helping run weapons and drugs from Caro Quintero’s ranch to Central America at the time that the Reagan administration was helping to arm the Contra rebels in Nicaragua.

After Camarena’s body had been found about a month later in a rural area, DEA agents surrounded Quintero Caro at the Guadalajara airport but, according to Berrellez, Mexican drug officers pointed their guns and told them to hand over the cartel leader. Plumlee claims that Caro Quintero was later flown to Costa Rica with the help of El Gato.”

http://elpais.com/elpais/2013/10/15/inenglish/1381856701_704435.html

Judge David Carter, a highly reputable Narcotics Law professor with the University of California explains why the Camarena case was so important, in his following dissertation to the government of Brazil:

Excerpt from Conferencia Na Escola Da Magistratura, Tema: Narcotrafico

By Judge David O. Carter, Superior Court of Orange County, California

“…I have traveled to Brazil to share my thoughts about the role of the judiciary in narcotics trafficking cases. It is a very complex and sometimes dangerous area for public officials. Sometimes I give too much background on narcotics trafficking and I apologize in advance; but as we discuss the role of judges, it will be needed for you to understand our success, but more importantly – our failures. I believe you will be wiser than we were, and hopefully, avoid some of our glaring mistakes.

The issues our judges face today in the arena of international narcotics trafficking may be your issues of the future. I believe judges wield tremendous personal and political power. We may be powerful but those strengths can be turned against us.

Drug Enforcement Agency agent, Enrique Camarena, was forcibly abducted across the street from the United States Consulate in Guadalajara, Mexico on February 7, 1985. The United States and Colombia had entered into an agreement to extradite cartel members to the United States for trial and incarceration for conspiracy to transport narcotics into the United States. This was an attempt to incarcerate cartel members outside their area of influence and curtail international narcotics trafficking.

Whether it was America, Mexico, Panama, Venezuela, Peru, Colombia etc. The western hemisphere governments and the worldwide community of nations recognized the destabilizing effect of the cartel. When the initial 165 Colombian cartel members were to be extradited, the Cartel announced to the Colombian News agencies that for every cartel member extradited there would be seven Colombian judges or public officials killed. This transcript that I will read portions of IS the transcript of the tape that was played to then Vice President Bush and the National Security Council of the Torture, Interrogation, and Murder of Enrique Camarena and a Mexican pilot working with Camarena, Alfredo Zavala-Avelar at a cartel location in Guadalajara, Mexico. You will hear Enrique Camarena, the agent, who is being tortured. The interrogation was taped to send a message to the United States and the Colombian and Mexican governments to cease the indictment and extradition of cartel members. Electric cattle prods were used and he was beaten to unconsciousness, revived and beaten again. The tape was turned off during the torture and turned back on for the interrogation. Camarena will be heard complaining about these injuries. Only a few minutes will be read today if time allows.

kiki10

This case will set the tone for many of my remarks about the complex world of international narcotics trafficking and the application of international laws, treaties and government policies that attempt to control this global threat.

Read Camarena Transcript

                Most nations of the world view narcotic trafficking as a threat to their sovereignty. I am not here to restate the evils of narcotics, but I do share these common concerns of the world community. An organized and powerful narcotics cartel necessities their own military which they must maintain to stop rival drug cartels from stealing their markets and their narcotics. But this same force can be turned on legitimate democratic governments, destabilize large governments and overthrow small governments. A powerful narcotics cartel allows criminals to subvert the democratic process by giving them a larger influence in government through their use of either force or monies.

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A powerful narcotics cartel displaces economies and legitimate industries and businesses. Illegal monies obtained from narcotics and funneled into industry and business allow them to operate at lower profit margins or at a loss. This forces legitimate businesses and industries into bankruptcy and out of business. Narcotics tempts law-abiding and moral citizens to enter the world of narcotics trafficking for profit. This easy money is most tempting to the young people of our countries who dream of wealth.

Our nation has experienced this process. Our poor have become the true victims because much needed monies for food, clothing and shelter have been spent instead of narcotics – usually to the detriment of their families, including young children. Our government has then had to increase our welfare services to provide homes for the homeless and to prevent starvation and this had resulted in an increased tax burden on the middle classes….

What is the Cartel?

                I will only define and deal with core drug trafficking organizations. By definition: Core drug trafficking organizations dominate multiple phases of drug trafficking from production to distribution. They operate internationally and frequently direct subordinate organizations. The United States FBI, DEA, and CIA recognize twelve Colombian, one Peruvian, one Ecuadorian, and one Venezuelan core organization. My overview will cover of these fifteen core drug trafficking organizations.

The Medellin Cartel is comprised of Colombian drug trafficking organizations headquartered in and around Medellin, Colombia and was once considered to be the largest organized criminal enterprise in the world. However, beginning in 1989, with the assassination of presidential candidate Carlos Galan, the Medellin Cartel’s position as the most dominant organization in drug trafficking began to change. Medellin Cartel figure, Jose Rodriguez Gacha, was killed by Colombian authorities. Government pressure resulted in the surrender of key figures , most significantly, Pablo Escobar, who once again became a fugitive and was recently killed by Colombian government forces…

Pablo Escobar

Pablo Escobar

Despite the situation described above, the Medellin Cartel is far from defunct. Drug trafficking to the United States continues and the drug cartels are expanding their markets in Europe. Europe provides an opportunity for a larger profit margin with the average price per kilo of cocaine going for two to three times the price in the United States.

The Cali Cartel is a complex framework of compartmentalized sub-groups or ‘cells’. Cells range from fewer than 10 to more than 30 members. However, accurate cell membership is difficult to determine due to the cartel’s practice of transferring members between cells and back and forth from Colombia to the US. Cali Cartel exhibits characteristics similar to major corporations; using detailed business ledgers to track cocaine profits, assigning specific duties to members, and even insuring drug shipments against possible loss…

The Cartel frequently transports cocaine destined for the US through Mexico and Guatemala. Aircraft often stop in Colombia, Panama, El Salvador and/or Nicaragua for refueling. Cocaine is stored in Guatemala and Mexico to be transported into the United States, most often through Texas, Southern California and Southern Florida. Los Angeles and Miami are used as collection and storage locations for further distribution.

Demonstrated violence is needed to produce fear and curtail governments and private citizens from aggressively enforcing the law against narcotics trafficking.

The Urdinola Grajales Organization is a core organization located in the Northern Valle de Cauca. The organization is led by brothers Ivan and Julio Fabio Urdinola Grajales. The Urdinola Brothers head the Northern Valley Cartel…utilizing legitimate business interests in the areas of fruits, flowers, horticulture and numerous farms to facilitate the production and in-country transportation of cocaine and heroin. The Urdinolas also utilized numerous legitimate export and shipping connections that facilitate the transportation of the drugs to the US and Europe.

Some cartels now specialize in transporting [cocaine]. Their profits are either a portion of the narcotics that they receive for their services for resale or agreed upon monies when the load has been sold. The North Coast Cartel consists of numerous independent drug trafficking organizations, the majority based in the cities of Barranquila, Cartagena, Riohacha, Santa Marta, and the Guijara Peninsula, along the north coast of Colombia. Smuggling has long been a part of the North Coast culture, beginning with emeralds and eventually marijuana & cocaine when it became more profitable. These organizations now specialize in transporting cocaine for the two larger cartels located in Cali and Medellin.

map-drug-traffic-624

As the market for cocaine in Europe has grown, the ability of North Coast traffickers to shift cocaine shipments from the United States to that expanding market has grown proportionally. North Coast traffickers have established ties to the Sicilian Mafia and are now shipping cocaine to Italy. The cocaine is shipped from Colombia, through the Strait of Gibraltar and finally to Sicily.

I mentioned that trafficking organizations and drug cartels must have an organized and well-armed military to stop rivals from taking their narcotics. This small army is often used to hold ground areas and nowhere is this more important than in coca growing areas. This armed force is also needed to guard the raw material through the narcotics network to the distributor. Growers must grow and harvest coca and that requires dominance over the growing areas….

The primary importer to Brazil is the Jairo Echeverria Organization which is a core transportation and distribution organization based in Caracas, Venezuela. This organization is responsible for transporting and distributing cocaine for the Cali Cartel between Venezuela, the US, Europe and Brazil. The organization uses cargo containers, couriers, private aircraft and commercial aircraft, shipments range between 50 and 500kg. Several associates of the Jairo Echeverria were arrested by Italian law enforcement for delivering cocaine to the Sicilian Mafia, This organization utilizes numerous banks in the Hialeah-Miami area to facilitate their money laundering.

                My impression is that narcotics trafficking cases puts tremendous amount of pressure on judges. In Colombia, numerous judges have been killed. In my country [US], drug related cases constitute easily one half of the criminal case load in our federal and state courts. On a fact-finding level, it has caused our courts to deal with complex banking and money laundering issues. In most criminal prosecutions, we are listening to evidence about whether there has been direct evidence such as an eyewitness identification of the defendant. Often we listen to evidence that may be circumstantial in nature, that is, where there is not direct evidence but evidence from which an inference may be drawn that the defendant committed a crime…

                Narcotics trafficking cases are much more complex. Our judges and juries must listen to and understand the complex facts involved in money laundering. Offshore bank accounts may be in the name of non-existent corporations or actual corporations. Banking ledgers may be needed from numbered and confidential accounts to show both deposits and withdrawals. These transactions involve [trillions] of dollars and may be moved on a daily basis from one bank to another. This requires the cooperation of both the United States and the country where suspected illegal drug monies are deposited. Indictments are obtained in Florida on a cartel member who is arrested in the United States or in a country that allows extradition through treaties.

List of Consortium Members identified in Panama Papers

List of Consortium Members identified in Panama Papers

The prosecution then must obtain the evidence necessary to convict that cartel member. The charges may be conspiracy to launder illegal narcotics monies through either real or fictitious businesses. This requires the courts to obtain the funds, or at least the banking records of the businesses through the subpoena process, and that is solely dependent upon the cooperation of the other country where the funds are located. The banking industry worldwide promises confidentiality to its customers. Whether these banks are in the Cayman Islands, Panama, Switzerland, Venezuela, or the United States, the universal problem is obtaining these banking records.

https://en.wikipedia.org/wiki/Panama_Papers

If the bank is an American bank within the United States, then usually it is quite easy for our courts to get compliance with our orders for banking records. When the bank is outside our territorial boundaries, then we are totally dependent on cooperation between the two countries. An example is Panama, under President Noriega it was virtually impossible to obtain banking records, but since his seizure the country under new leadership is more willing to exchange information….

http://www.bloomberg.com/news/articles/2016-03-24/swiss-banks-land-in-middle-of-money-laundering-probe-again

Domestically, “RICO Laws’ were passed to stop the laundering of money through domestic American businesses. Narcotics traffickers pass narcotics monies through businesses and utilize these case flows as business profits. The narcotics traffickers even pay taxes on these monies disguised as business profits. The trafficker is then free to spend money openly in our society. Often suspicions on the part of law enforcement and the IRS are aroused with purchases of luxery items such as boats, planes, cars and other items with no identifiable source of income. The IRS has prosecuted narcotics traffickers for non-declaration of income…and for tax evasion.

The most controversial issue often involves how a nation obtains international drug traffickers to stand trial. A person may be shipping massive amounts of cocaine into Brazil and your government may decide to prosecute. Although the person is not within your territorial jurisdiction, this Cartel trafficker may be causing many criminal acts ranging from murder, attempted bribery of officials, and the importation of massive amounts of cocaine.

The first is that the foreign Cartel dealer visits your country and is seized….

The second is when a criminal proceeding begins in Brazil and names the foreign Cartel agent as a co-conspirator…allowing for extradition.

The third way the person is obtained is by conflict between nations that give rise to the use of military force. The conflict in Panama involved US military forces and President Noriega was seized. In Grenada, where US citizens were threatened, the US military occupied Grenada and was also able to shut off some the narcotic trafficking routes and airfields….

Invasion of Panama 1989

Invasion of Panama 1989

The fourth method is abduction. The case of United States vs. Humberto Alvarez-Machain raised problems for our judiciary and world governments. The DEA believed that Dr. Alvarez-Machain participated in the murder of Enrique Camarena by prolonging his life so that others [including members of CIA, DEA, and Mexican government] could further torture and interrogate him. On April 2, 1990 Dr. Alvarez-Machain was forcibly kidnapped from his medical office in Guadalajara, Mexico and flown by private plane to El Paso, Texas where he was arrested by drug enforcement agents. The US district court concluded that DEA agents were responsible for Dr. Alvarez-Machain’s abduction, although they were not personally involved in it.

Mexico responded quickly and unequivocally. On April 18, 1990 Mexico requested an official report on the role of the United States in the abduction, and on May 16, 1990 and July 19, 1990, it sent diplomatic notes of protest from the Embassy of Mexico to the US State Department. Mexico said that it believed the abduction was ‘carried out with the knowledge of persons working for the US government, in violation of the procedure established in the extradition treaty in force between the two countries’. The July 19th note requested the provisional arrest and extradition of the law enforcement agents involved in the abduction. Mexico had already tried a number of members involved in the conspiracy that resulted in the murder of Enrique Camarena in 1984. Rafael Caro-Quintero, a co-conspirator, had already been imprisoned in Mexico on a 40 year sentence but other co-conspirators, Rene Verdugo-Urquidez and Raul Lopez-Alvarez had been prosecuted in the United States and received much harsher sentences of 240 years plus life in federal prison.

The case presented fundamental questions to our court system and its relation with the Executive Branch of our government. It also raised issues of treaties and jurisdiction that is unique to narcotics trafficking cases even when they do not involve murder. Against the backdrop of the varying decisions and conflicts amongst our own judiciary is the Executive Branch’s view of abduction. Certainly, the Executive’s view changed in the 1980’s. The President and National Security Councils’ reaction to the Cartel is indicative of a nation threatened by the Cartel and feeling at war. President Reagan and President Bush both consciously chose to refer to narcotics trafficking as the War on Drugs. In 1980, under President Carter, the office of legal counsel advised the administration that such seizures or abductions were contrary to international law because they compromised the territorial integrity of the other nation and were only to be undertaken with the consent of that nation. (4B OP. OFF. Legal Counsel 549, 556 (1980).

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In 1989 there was a dramatic shift in the Executive Branch of our government. In the hearing before the Sub-committee on Civil and Constitutional Rights of the House Committee on the Judiciary, the Assistant Attorney General William Barr, Office of Legal Counsel of the DOJ, concluded that the President did have the authority to override customary international law. This became known as The Barr Letter and reflected executive opinion. It was a dramatic shift in policy and escalation of the war on drugs, in part, a reaction to Enrique Camarena’s death. The result was the abduction of Dr. Machain by the DEA believing that their authority was properly exercised through the Executive.

The United States District Court held it lacked jurisdiction to try Dr. Machain because his abduction violated the extradition treaty with Mexico. The Court of Appeals affirmed the dismissal of the indictment and repatriation of Dr. Machain, stating that the forcible abduction of a Mexico national with the authorization and participation of the United States violated the extradition treaty. The Court of Appeals said ‘although the treaty does not explicitly prohibit such abductions, the purpose of the treaty was violated by forced abduction”. It upheld the District Court’s findings….The Supreme Court in a 5-4 split decision overturned the lower court’s decision. The Supreme Court noted it had never addressed the precise issue raised in US vs. Alvarez-Machain.

Chief Justice William Rhenquist

Our courts had dealt with abductions by private citizens without government authorization or participation and had ruled on abductions from countries without extradition treaties…these rulings were favorable, but now government sanctioned abduction was the difficult issue in a highly charged media case with public outcry for the apprehension of the murder suspects. Television and movies were made of this murder. The court agreed that Dr. Machain’s abduction was shocking and it may be in violation of general international law principles, but whether the doctor should be returned to Mexico, as a matter outside of the treaty is a matter of the Executive Branch. The Supreme Court pointedly stated the ‘advantage of the diplomatic approach to the resolution of the difficulties between two sovereign nations, as opposed to unilateral actions by the courts of one nation is obvious’. The Supreme Court had basically kept Dr. Machain and said to the President “You ordered it, now you deal with it and decide if the diplomatic difficulties with Mexico are worth this abduction”.

The same decision brought a strong dissent, our Supreme Court was very divided. The dissent stated that this case raises a question of first impressions. The case is unique for several reasons. It does not involve an ordinary abduction by a private citizen or bounty hunter as in Ker vs. Illinois (119 US. 436 (1886)), not does it involve the apprehension of an American fugitive who committed a crime in one state and sought asylum in another…Rather it involves this country’s abduction of another country’s citizen; it also involves a violation of the territorial integrity of that country with which this country has signed an extradition treaty.

The dissent noted that it was ironic that the United States had attempted to justify its unilateral action based on the kidnapping, torture and murder of a federal agent by authorizing the kidnapping of a doctor. Extradition treaties promote harmonious relations by providing for the orderly surrender of a person by one state to another, and without such treaties, resort to force often follows…

Doctor Machain was remanded to the trial court where his case was eventually dismissed for lack of evidence. The lessons for me are numerous. Our state judges often do not recognize the rulings of another state judge and this same conflict can arise between federal judges and state courts…a judge’s power is confined by geography or jurisdiction. The [Cartel] is not! Each time the Cartel crosses a state boundary or national border it calls upon us to cooperate or we will fail in apprehending the traffickers. I believe the Cartel relies on the sovereignty we cherish as a buffer to successful prosecution. Each border represents added burdens to us and a need for increased understanding by states within a country and with other nations.

Case: https://supreme.justia.com/cases/federal/us/504/655/case.html

Programs and Policies

The United States has attempted many programs and policies to curtail the Cartel. The first is obviously the prosecution of narcotics transporters and sellers in our state and federal courts….the second program was legislatively enacted and is called the ‘Forfeiture Program’. The numerous laws in this area have essentially one goal: to confiscate monies and properties obtained from the capital that was acquired through narcotics sales. Until recently our focus was solely on incarcerating narcotics traffickers. Often money, real property, land, cars etc. were in other persons names, such as friends and family…in the 1980’s a policy of taking the profit away was initiated. Even here the due process rights of our Constitution apply. The person who possessed monies or property is entitled to be served with notice of the court hearing date. If the person cannot be found, publication in a newspaper of general circulation must be made to notify the party who might have claim to the property or money. The hearing usually consists of the investigating officer testifying as to how the property was confiscated. The judge is required to make findings of adequate service or attempts to serve notice of the court forfeiture proceeding on the person who had the items in possession…the judge at the hearing must find adequate probably cause that the money or property was obtained through illicit narcotics activities. These assets are then forfeited to the state or federal government depending on which agency laid claim to the asset.

mnmarijuanaburn

There have been interesting problems for the judiciary. We have seen a competition between our federal and state police agencies to lay claim to narcotics assets. The reason is that these assets are usually large sums that help support local or federal law enforcement activities. These inter-family squabbles have hurt cooperative efforts as the agencies compete for the assets. The forfeiture program has also tempted corruption in law enforcement agencies over assets, especially drug monies that can be quietly pocketed. The Zero Tolerance Policy of the United States was the outgrowth of the asset forfeiture program. Instead of rightfully targeting narcotics assets, it stated that if an individual had narcotics on their person then asset they had was to be confiscated. The glaring example of the misuse of this program was the seizure of a 60-foot yacht in Florida by the Coast Guard where a crew member was found to have just one marijuana cigarette.

https://www.aclu.org/issues/criminal-law-reform/reforming-police-practices/asset-forfeiture-abuse

A third and highly controversial program is known as the ‘Reverse Sting’….it became clear in the 1980’s that the Cartel had massive amounts of money to put in foreign banks and controlled legitimate businesses. But often the Cartel was prepared to buy already transported narcotics and resell the product at an increased price. These transactions were multi-million dollar, multi-kilo transactions. The police would have undercover agents pose as dealers to sell their load to the Cartel and when the millions arrived, the arrest would have taken place. The Reverse Sting posed multiple problems for the judiciary. In Miami, Florida and Orange County, California, the police had simply gone to the evidence lockers and taken 20-100 kilos of cocaine seized from other arrests and attempted to resell these narcotics to the Cartel. Only the police were accountable to themselves and if product was lost or stolen, there was no independent scrutiny of these activities. The uncontrolled program incentivized corruption and led to a number of murders.

asset

To the judge willing to scrutinize these sales it presents a dangerous dilemma. The American public believes we are taking narcotics off the street, yet the idea of selling narcotics to the Cartel seems to go against the policy of ridding our society of drugs…the judge involved is personally subject to criticism and even removal from office if the cocaine is purchased by the Cartel and they get away before the arrest is made. The thought of judicial cooperation in removing confiscated cocaine from police storage and then losing it to the Cartel is difficult for the public to understand….the price has already been high, I have been that designated judge where one of the agents I signed ‘Reverse Stings’ for was killed in a crossfire of six Colombians who tried to rip him off for several kilos. The question for a judge is “how deeply do we want to get involved and what is the danger of losing our impartiality and fairness?”.


Why is this case, United States vs. Humberto Alvarez-Machain relevant to our cause? Because it shows that by Supreme Court decision the President of the United States has the authority “to override customary international lawin regards to narcotics and the War on Drugs. So lawyer friends help us out, does this mean that President Barack Obama has the ability to override the UN Convention on Narcotics and RESCHEDULE MEDICAL MARIJUANA UNILATERALLY? In the name of defunding ISIS and the Drug Cartels can Marijuana as both hemp and sinsemilla be taken off of Schedule I and put on another schedule so it can be produced domestically to the benefit of our nation rather than our detriment?

Even now the DEA, DOJ and the White House are in discussion about RESCHEDULING marijuana to a Schedule II, for medical use only to return the medical marijuana program back to whom it was designed for, the patients. But Schedule II may be too restrictive if we want to unleash the productive power of hemp and maintain the genetic diversity of sinsemilla, the government must take this into consideration before just recklessly throwing the keys at Big Pharma.

Nonetheless, Enrique Camarena was killed for, doing his job, busting a CIA pot farm in Mexico ran by the Guadalajara Cartel that was being used to trade drugs for arms in a Central American war against global communism that was flooding the streets of America with foreign pot & crack cocaine, while creating a Frankenstein monster of international proportions in both Mexico, Panama and Colombia. Why was Dr. Machain abducted? DEA vendetta? Or to find out who the dirty agents and moles were?

The most damning part of this case is that it shows that American Prohibition not only led to the creation of the Cartels, but it led to the ascent of the Cartels as having more money , power and resources than the US government itself. America’s soul was sold in the name of national security and all of those in power who participated are trapped in a cage of their own corruption.

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The Truth – Part 2: Smoke & Mirrors

ANIMATION420TRIPPY

Legal Marijuana is a trap and Medical Marijuana, once a community benefit, is now mired by fraud. There it’s been said, coming from someone that has grown, cultivated, harvested, trimmed and sold marijuana for medical use; one can no longer deny the state of decay that has swept the medical marijuana business. The Green Rush is the 21st century Gold Rush, and like everything that starts off as a benefit, it is ending as a burden. This writing is no less a confession about the world that we the growing community have lived in, the real world.

The Beginning

 

Medical Marijuana was a miraculous concept dreamed up by the genius and legendary pot dealer Dennis Peron. Dennis was known for having the first major marijuana collective and the first legal collective in San Francisco. He is most well known for being the author of Proposition 215, the first medical marijuana law for compassionate use in world history. He was associated with the gay rights movement through his friend Harvey Milk and understood that medical marijuana would be instrumental in fighting the global AIDS crisis that had begun in the 1980s. The Dallas Buyers Club is actually a movie about Mr. Peron and his friends, just different characters and different situations, but nonetheless it’s the same story; about a group of afflicted people, sentenced to death indirectly by their own government, resorting to smuggling and other shady tactics just to survive their own diseases and seize their right to life. That is how the medical marijuana movement started, as a fight for the right to live.

Dennis Peron and Jack Herer - Heroes of Marijuana

Dennis Peron and Jack Herer – Heroes of Marijuana

 

Dennis’ vision, as a true hippie, was that medical marijuana growers would work together in communes or collectives to create marijuana medicine for the terminally ill to fight the ravages of industrial disease and immunological diseases in our modern world. He believed that marijuana growers should make a profit but not allow greed to become excess and inherently corrupt his vision. Many growers and collectives stood with Mr. Peron’s vision but over time they were corrupted by the greed of fast money, illegitimate opportunity and from the machinations of criminal predators, enhanced by clandestine corruption within the government itself.

Pioneers

Proposition 215 was a collective effort by many famous hippies, smugglers, lawyers and other generally good willed individuals that sought to liberate the misery of many of their friends and in many cases themselves from years of physical and psychological ailments.

Proposition 215 originally had two versions, Dennis’ version and the version we have today:

By late January, 1996, it was becoming clear that Dennis Peron’s network of volunteers could not come up with enough signatures to place the Compassionate Use Act of 1996 on the ballot. Some 433,000 valid signatures were needed by April 24; Dennis’s followers claimed to have gotten 175,000 of uncertain validity and Panzer says that number was inflated. Enter Ethan Nadelmann (Founder of Drug Police Alliance and Prop 19 advocate), a 40-yearold drug-policy expert who runs a Manhattan think tank called the Lindesmith Center, through which he allocates $4 million annually on behalf of financier George Soros. Nadelmann has a law degree from Harvard, a doctorate from Princeton, and is the author of a book about the drug war, “Cops Across Borders: The Internationalization of U.S. Criminal Law Enforcement.” He knew the effort to get a medical marijuana initiative on the California ballot had a strong chance of success because a statewide poll taken in June 1995 by David Binder Associates showed that 60% of the voters were favorably inclined.

George Soros

George Soros

Soros agreed to back a professional signature drive after reading a New York Times article that said Dennis already had gathered 200,000 valid signatures. Nadelmann was concerned about Soros et al being perceived as out-of-staters exerting political influence in California (which of course they were). He also wanted proof that the reform effort had support beyond Dennis Peron’s circle of friends. He got reassurance on both counts in February when George “I Guarantee It” Zimmer, president of the Men’s Wearhouse, a resident of Oakland, pledged $105,000 towards a professional signature drive. (It was actually in the form of a loan.) Nadelmann then kicked in $350,000 from Soros; $300,000 from Peter Lewis, the owner of Progressive Insurance in Cleveland; $100,000 from John Sperling, a professor of economic history whose Phoenix-based Apollo Group owns 88 private colleges.(and who was also backing a medical marijuana initiative in his home state of Arizona), and $50,000 from Laurence Rockefeller. “All these individuals, as businessmen, consider drug prohibition wasteful and costly,” says Nadelmann, “and each has personal reasons for feeling strongly about it.”

Peter Lewis

Peter Lewis

Of Soros he says, “He has a practical concern about the drug issue: it’s in danger of bankrupting the country. We’re spending hundreds of billions of dollars a year on the war on drugs, if you count law enforcement, medical costs, and lost productivity.” In other words, the donors represent an enlightened faction of capital. There were strings attached to the money. Nadelmann wanted control of the campaign placed in the hands of a “professional,” and he selected a Santa Monica consultant named Bill Zimmerman, based, he says, on Zimmerman’s success promoting an insurance-reform measure that passed in 1993. “Dennis Peron is a remarkable character,” says Nadelmann, “and it’s true that the movement was ‘organic,’ in that he got his signatures through volunteers. But if I had one moral to draw from this situation, it’s to go straight to the professionals and avoid the hassles involved in starting with the grass roots.” Zimmerman, upon getting the money from Nadelmann, created a front group called Californians for Medical Rights (CMR) and hired a competent outfit called Progressive Campaigns to get the signatures. The signature gatherers were paid 60¢ per —high for a popular measure_ and the rate was upped to $1 per signature before they had more than enough.”

  • The O’Shaughnessy’s Reader (2013)

http://www.beyondthc.com/wp-content/uploads/2013/03/Dennis-Peron-and-215-for-BTHC1.pdf

Dennis Peron w/ The Pioneers of Medical Marijuana - Author of Prop 215

Dennis Peron w/ The Pioneers of Medical Marijuana – Author of Prop 215

Dennis was left in a position of less authority over Prop 215 following the political takeover by Nadelmann backed by George Soros and the Consortium. The same group would later have police stings initiated against Dennis’ cannabis clubs in San Francisco to put him under financial and psychological pressure, while allowing the Consortium to negotiate a deal to modify Prop 215 with California Attorney General Dan Lundgren, the Fraternal Order of Police and the Correctional Officers Association to ensure that marijuana, despite being made medical, would remain in the California penal code and thus remain an enforceable crime in the State of California.

DA Dan Lungren

DA Dan Lungren

Soros won out with the real Prop 215 being shelved in the annals of history at the infamous Castro Castle while the second Prop 215, sponsored by the police and the US prison system, would be implemented into law. Prop 215 would become one of the largest public biological experiments in US history, as Soros intended for free medical research, and at the same time Prop 215 would became one of the largest reverse stings ever concocted by federal and state law enforcement in world history. This is the viciousness of those who have pushed for pot legalization in the forms of Prop 19, SB1262 and now AUMA, because it removes constitutional protections under medical law and brings everything back under the rigid and brutal interpretations of the Controlled Substances Act. However, defense attorneys won’t tell you this because legalization was designed in their favor, to give them more cases, more clients and more work, same with the law enforcement side. Marijuana will always be a crime as long as it remains in the California Penal Code, once it is removed from the CPC it can find its true home in the Public Health Code where it can no longer be cited by law enforcement.

marijuana-leaf

 

Marijuana is a medicine. It causes the body to regenerate itself. To regenerate from Cancer, AIDS, psoriasis, auto-immune disorders and psychological trauma. Marijuana is a regenerative plant, just twist a branch until you hear a crack, then watch it grow stronger and bulkier; because that is the natural function of marijuana genetics, to reconstruct, rebuild and restore.

The Racket

war-on-drugs

Marijuana is born into this world as seed, that seed is grown into a plant that becomes a mother, and from that mother comes trimmings known as clones.  Like life and people, some clones are good and bear good nug, while other clones are bad and bear nothing. The clones must then go under 18 or more hours of light every day to vegetate and grow into something with potential. Then the amount of light is reduced at the right time to encourage the now vegetative plants to flower and thus bear fruit. In the United States, in order to create 99 of these fruit bearing plants, an individual must have a sick patient with AIDS, cancer or some other kind of terminal disease, and their doctor’s referral, to sponsor and justify the 99 plant exemption and produce a full crop. To produce a profitable crop, several of these exemptions along with countless referral scripts from other patients with 6 to 12 plant allowances, must be collected, gathered and filed. A dispensary facilitates this process by requiring a copy of the referral paperwork in order to become a member of their collective.

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So what the hell does that all really mean? The bottom line, it means that every new patient to a cannabis collective generates approximately two pounds of marijuana or $4000 in production value per crop and that a terminally ill patient, with AIDS or cancer generates approximately 31 pounds or $62,000 in production per crop. A good grower can turn over 5 or more productions in a year, that’s about 155 pounds or $310,000 a year; the grower can sell the 155 pounds in another state, he can be looking at upwards of $900,000 or more.

cash

All in exchange for the right to purchase the pot, the patient effectively loans their allotment to the collective, and buys it back at 375% markup for consumption. What has this done? This has given incentive to a racket to keep patients from growing their own allowances and centralize production with the distributor, ie. The collective and their private networks, minimizing competition and keeping prices high. This has also politically encouraged distributors and operators to work with law enforcement on forming favorable regulatory regimes as we see with MMRSA and AUMA. Further, it has created financial incentives for the exploitation of sick patients and their medical records on a national level on the basis of obtaining their personal growing rights.

The Circus Show

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Many stood at the US High Times Cannabis Cup 2016 on 420 week, watching the dead spirits of yesteryear desperately search for that golden bud with little avail. The event was hastily put together after High Times lost their permit in Colorado for permitting illicit narcotics sales to take place on fairgrounds during the event. Like a wounded cur, High Times retreated to their own territory at the NOS Events Center in the Tweaker Capital of California, San Bernardino. The unseemly racetrack is a company owned property where High Times could continue its for-profit charade with impunity. The scam is an easy one, charge ‘potreprenuers’ and underworld figures alike for networking access, while at the same time running a tourist scam using free dabs, free carnival rides, very expensive munchies and very expensive trinkets to fleece suburban stoners while providing a cover for large scale smuggling activities.

Tom Forcade on High Times Magazine

Tom Forcade on High Times Magazine

High Times never left the business of narcotics distribution, its founder, ex-CIA agent Thomas Forcade, was one of the largest drug smugglers on the East Coast during the 60’s and early 70’s. Forcade used the magazine as not only a tool of resistance but also for underworld communications, revealing the market rates of underground pot flows and using coded articles to send messages back and forth between smugglers. Forcade would inevitably be assassinated when Richard Nixon consolidated the global narcotics markets in the early 1970’s to pave the way for the cocaine markets of the 1980’s. The US Department of the Treasury, knowing that High Times is a rogue, money laundering CIA operation has not failed to audit High Times annually, desperately searching for their link to Panamanian Bank Accounts.

For more on how the CIA has been smuggling narcotics for the last 40 years, see the Required Reading section: https://thegreenpulpit.wordpress.com/required-reading/

Dan Skye hustling more profit

Dan Skye hustling more profit

A feeling of doom and gloom had seemingly taken hold of the ‘potreprenuers’ and marijuana activists at the Cup despite the near advent of legalization. High Times Editor and corporate pocket holder, Dan Skye, pretty much said ‘Fuck The Movement’, in a not so indirect way during the awards ceremony, pretty much cheering on the death of Mr. Nice and declaring his advocacy for the short passing of other marijuana icons so that they could make way for the ascension of the new Marijuana Robber Barons. Skye could barely withhold his sellout support to the dreaded Adult Use of Marijuana Act, also known as AUMA. A bill for marijuana ‘legalization’, financially backed by the same group of Neo-Con’s (Parker, Schultz, Kissinger, Liddy, Soros, Holyoak, Thiel etc..) that heralded the Controlled Substances Act with Nixon in 1971. A bait in switch of the most epic proportions, sponsored by the worst hearts of Silicon Valley and their Republican Party/ex-DEA cohorts in Washington. This has a created a pall of depression as, much like we have seen in the 2016 election, big money politics is seemingly prevailing over common sense, with or without the American people’s permission.

  • The Green Chazzan 

Continued in Part 3….

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The Truth – Part 1: The Miami Boys

*EDITOR’s Note: We are beginning a new series today called ‘The Truth’, probably our most controversial and groundbreaking series on the marijuana industry yet. We begin with an article from the 1970’s, it is strongly encouraged that readers review our section Required Reading to help put the puzzle pieces together as our new articles are released. Shalom!

Miami Kingpins Jack Up Prices by Al Kammerer (1977)

MarijuanaBundles

Disguised as big marijuana buyers from the Midwest, a team of investigative reporters recently penetrated the marijuana market [in Florida], discovering that is has been totally taken over by a few wealthy businessmen who boast combined assets totaling hundreds of millions of dollars and there is evidence that these businessmen are receiving direct government protection. Searching into the reason why pot prices have risen 70% or more in the last 2 years, the investigators found what one of them described as ‘a really classic price fixing conspiracy, a veritable OPEC of a marijuana cartel”.

The investigators report that the situation in Miami, which is the American delivery point for most Colombian marijuana, defies the claim of ‘experts’ that a clandestine, compartmentalized cannabis scene could never be cornered. In fact, the marijuana monopoly has apparently manipulated the media and market psychology so masterfully this year that speaker after speaker rose at a recent NORML confab, to deplore the “drought”…more than 2 months after the market broke with an actual glut of marijuana. High prices have been maintained, and the glut has been covered up in the months since.

Brick-Weed4

Like California peach growers who burn trees to keep prices high, the Miami group reportedly warehouses mountains of [marijuana], leaving it to sour and mold until their price is met. One of the investigators, who spoke of experiencing close calls in various criminal circles, is in the process of gathering evidence implicating government and local ‘business’ community figures in a Capone-like web of intrigue and corruption involving the control of [marijuana].

The investigator said that:

“The marijuana cartel is like the diamond cartel. Since diamonds are always in demand, the cartel offers packets at dictated prices that are three times the actual cost, take it or leave it. Being rebellious over the situation only leads to being banned from trading. When interest and cash flow drop due to boredom, low quality or whatever, they cut loose enough good stones, or in this case, [good bud], to draw investors back into the market, where they can again be swamped with bunk goods. It’s a den of thieves, Miami. The middlemen use brainwashing techniques of sensory deprivation and random disturbances by locking the buyer up in motel rooms for days to break down their resistance. You begin seeing and hearing things, so when the phone rings it’s like being struck by a gong”

He goes on to explain how the ‘bunk pot’ is sent to the consumer while prices remain high as ever:

“Even with high grand merchandise, a package deal where they lay some of the bunk on you is the rule with these jerks. Once the intimidated buyer has committed his money, the monopoly vanishes again behind their mercenary middlemen. They sweat you out until you are ready to be plucked like a turkey.”

'Commercial Grade'

‘Commercial Grade’

He opened an attache full of cash and rummaged around until he found a tattered address book. He explained that the number he was about to call a swarthy, heavily muscled gentleman from Hallendale, which was known for its mob connection scene. Apologizing for the weed we were smoking, he volunteered to get his source on the phone if we would pretend to be one of the many stuck with commercial, inferior grade cannabis. When he reached his man, a spirited exchange ensued until he put his hand over the mouthpiece and said “Just tell him you’re stuck with the last and can’t look at anything but gold”

It was somebody heavy on the phone. In the next 5 minutes, we were offered credit, free delivery to anywhere in the U.S. – up to 200 pounds plus the removal of seeds and shake, if we would simply help them sell off their commercial pot. But when we suggested that taking bad stuff, even on a front, always meant losses and that we wanted gold, we were simply told: “The golds and reds* are in, but we have to move off the rest of this commercial stuff before they will cut it loose”.  We objected that ‘marijuana was a vegetable’ and that warehousing it would cause it to lose potency. “That’s alright” said the contact “they are putting all the good weed in big freezers this year”. 

*Acapulco or Colombian Gold and Panama Red”

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In a classic capitalist coup, some super-rich marijuana kingpins in Miami have developed so much excess buying power that they can warehouse pot for months, opening and closing the doors at will, to dictate both price and flow. The marijuana moguls have so much buying capacity that only in the commercial grades is there enough around for a smaller buyer to invest in. they have so much capacity that they can even hold the good stuff off of the market…or allow just enough gold or red to trickle out at super premium prices that prices on commercial grade do not sag too much.

To explain the rise of a Miami-based cartel, insiders point to the fact that is become much harder in the last few years for independents to bring in boats and planes elsewhere, and those who did it cheaply, got cracked. Miami was the one place with a long tradition of government and police collusion that could enable those with money and Mafia lawyers to bargain with the authorities when necessary. The investigator referred to a case where one of his fellow teammates got busted. They located a lawyer who for $4000 made the whole thing evaporate at the police level. A scramble for influence inevitably led to the emergence of a handful of powerful men combining forces and enjoying a dominant position in the trade.

Colombian Gold

Colombian Gold

The final takeover of the Colombian market at the end of 1975 by the Miami group solidified prices at a hundred dollars higher than before, never to come down again (*until the passage of Prop 215 in 1997). It is clear that the critics of decriminalization who worry about marijuana being taken over by RJ Reynolds and Big Tobacco shouldn’t worry – pot is already under the thumb of a very large marijuana monopoly.

The investigator capped his report with the new that Don Aemillo, a [transporter] busted last Summer with 180 tons, was actually being escorted into Miami by the Coast Guard to foil jackers, all of the freighters marijuana hit the market. He then made a warning to those who might be interested in taking up a kingpin on offers to get fronted anywhere in the country: “A lot of folks who get fronted get fattened up until, at the end of the season, a couple of jackers visit them with shotguns and take it all, so the victims will be back working for the Miami Boys next year”. We hope this story reaches the New York Times and we hope the investigators stay healthy.

– The Green Chazzan 

 

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The Devil’s Work: Marijuana in the 20’s and 30’s – Part 3

Part 1

https://thegreenpulpit.com/2014/07/27/the-devils-work-marijuana-in-20s-and-30s-part-1/

Part 2

https://thegreenpulpit.com/2014/07/27/the-devils-work-marijuana-in-the-20s-and-30s-part-2/

The New Dawn and A New Deal

Franklin Delano Roosevelt

Franklin Delano Roosevelt

The use of medical marijuana began to slowly return to popularity in the United States starting in 1930. Farmers and factory workers frequently suffered from Post Traumatic Stress Disorder linked to the Great Depression as well as previous experiences fighting in World War I and they used medical marijuana to keep themselves mentally intact during the harsh, trying times of the Great Depression. The mentality of the entire country experienced an intense sea change as economic ideas surrounding government based central planning were entertained as a replacement for free market capitalism, which had led the country to utter disaster. The American oligarchy became an object of ridicule and absolute contempt by the American public. This could not have been enunciated more by the remarkable landslide election of Franklin Delano Roosevelt, considered to be a far left candidate in his era. FDR promised to use the government to make war against the “economic royalists” and “disaster capitalists” who had brought the nation to its very knees. The wealthy absolutely despised Roosevelt from the very beginning, he surrounded himself with liberal thinkers and his way of doing business was intensely different from that of his Republican predecessors.

Eleanor Roosevelt

Eleanor Roosevelt

Roosevelt, having been born out of a family that had profited heavily from the Consortium’s control of the Republican Party for many decades, was deepfully resentful of his wealthy brethren. Aristocratic jealousies and rivalries towards his natural talents and charisma culminated in his rejection and blackballing from the Porcelian Club, an elite club at Harvard for the wealthy elite, led to deep resentment and hatred for his own, the landed gentry. Roosevelt, through his wife Eleanor, was immensely sympathetic toward the plight of the American people who had been absolutely crushed by almost 50 years of absolute domination and excess by the wealthy elite and the economic collapse that resulted thereafter. Roosevelt declared that his election was a “…more than a political campaign. It is a call to arms” and he was even subtly hinting at the effort the American people would face against the domination of the syndicates, something he would receive help with from a close friend and patriotic mobster, Joe Kennedy. Roosevelt’s victory coalition largely consisted of union members, polish, Italians, jews, and blacks. Roosevelt refused to work with Hoover or compromise with the Republicans regarding an economic solution, knowing full well that they had sold out the economy to America’s criminal and enemies. However, Roosevelt would not be so fortunate as to go untested by the American oligarchy who had become content with their gold heist, regardless of the economic consequences. They would marry into the Anglo-American oligarchy and be able to have their finances stored abroad while ruling a new sharecropper nation domestically. The oligarchy had no intention of having FDR stop them from utterly dominating their newly conquered nation.

Roosevelt took office in 1933, the same year Hitler became Chancellor of Germany. The economy was devastated, over 2 million people had been made homeless and deflation continued to rule global trade. In his inaugural address, Roosevelt stated:

Primarily this is because rulers of the exchange of mankind’s goods have failed through their own stubbornness and their own incompetence, have admitted their failure, and have abdicated. Practices of the unscrupulous money changers stand indicted in the court of public opinion, rejected by the hearts and minds of men. True they have tried, but their efforts have been cast in the pattern of an outworn tradition. Faced by failure of credit they have proposed only the lending of more money. Stripped of the lure of profit by which to induce our people to follow their false leadership, they have resorted to exhortations, pleading tearfully for restored confidence… The money changers have fled from their high seats in the temple of our civilization. We may now restore that temple to the ancient truths. The measure of the restoration lies in the extent to which we apply social values more noble than mere monetary profit.”

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Roosevelt’s First 100 days was known for the enaction of the New Deal, the largest scale domestic reform ever known in US history. The New Deal would be based on an anti-monopoly anti-oligopoly tradition; bigness was seen as a form of wasteful central planning. Safety nets would be enacted; the minimum wage, child labor laws, workers compensation, unemployment compensation, unemployment relief, Social Security, public employment and health insurance would be created in America for the first time. Ideas from Wilson’s mobilization were tooled around increasing job production and harnessing middle and lower class purchasing power. The government would regulate the unfettered competition, the government would stand to protect the people from the abuses of the landed class, the government would stop the monopolies and create jobs, the government would cure the infection of organized crime that had seized its claws into the very fabric of society and the government would tax the rich to pay for all of it. New Deal opponents would be derided publically as the Old Right, servants of the landed class that had brought about the financial apocalypse around them.

Averall Harriman

Averall Harriman

The Depression hit every aspect of life, farms were destroyed, factories closed, job evaporated and both food and money were scarce. The US had been reduced economically to that of a Third World nation within in its own time. The impact on US heavy industry spread throughout the world. European nations collapsed and both fascist and socialist dictatorships took power throughout Europe. Stalin, Hitler, Churchill, and Mussolini all came into their prime during the 1930s. Canada, reliant on illegal alcohol exports to the US, saw their economic output cut in half as impoverished Americans could no longer afford simple liquor sales. American tariffs crushed Caribbean and South American trade. China and Japan went to war over territory, with Japan trying to stave off depression through a war economy. The Consortium came under the power of Colonel Henry Stimson, John Foster Dulles, George Herbert Walker, and Averall Harriman during FDR’s reign, the group had become wealthy making loans through Walker and Harriman’s banking interests to Nazi Germany. The German government was  very uninhibited when it came to human rights limitations on chemicals and pharmaceuticals. Harriman and Prescott Bush would become the bankers that funded Nazi Germany’s economic programs during the 1930s. Stimson was commissioned to bring down FDR at any cost and he decided to do so by utilizing his Anglican connections to agitate a war in Europe.

Col. Henry Stimson

Col. Henry Stimson

Stimson knew he could not touch FDR politically, he was simply too popular and the newly redirected Federal Bureau of Investigations had become a formidable opponent as well. Roosevelt’s Vice President, Henry A. Wallace, was one of the New Deal architects and even more liberal than Roosevelt was. The Economy Act balanced the federal budget by reorganizing the government but allowed for future deficit spending for emergency economic action. Congress distributed the Bonus Bill to the World War I veterans, something previously denied by the Republican government. The New Dealers promoted Keynesianism with balanced budgets as a pragmatic approach to creating start-up economic expansion. FDR passed the Emergency Banking Act which reopened shuttered banks with new cash injections from the Federal Reserve; Treasury officials were given greater law enforcement power as many banks had been previously owned by the Syndicate and were not eligible for Treasury funds. The Glass-Steagall Act limited interaction between the Commercial and Investment Banks to protect the consumer from the frauds that had been perpetrated by the banking community during the 1920s. The banking reform created unprecedented economic stability. The Securities Act of 1933 was enacted to create the SEC to monitor the banks owned by the wealthy and protect the stock market from speculative attacks by traders loyal to either the City of London or their own greed.

WPA Project

WPA Project

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Public relief agencies were created to immediately aid the working poor and create jobs. The National Industrial Recovery Act (NIRA) created the National Recovery Administration which had a blanket mandate to raise consumer purchasing power through job creation and industrial regeneration. The NRA worked closely to empower unions and give the workers greater ownership of the workspace in which they operated. Wages had to be fair and working conditions had to be safe and fair. Price stabilization was enacted to control deflation and the NRA aided in this by creating jobs in industries like coal production. The NRA became a major target for the American upper class and the Republican Party as it regulated industry in a way that to them was unheard of and far more equitable to the middle and working classes. The Public Works Administration created millions of jobs building bridges, airports, roads, dams, post offices, courthouses and highways. The Resettlement Administration (RA), the Rural Electrification Administration (REA), rural welfare projects sponsored by the WPA, National Youth Administration (NYA), Forest Service and Civilian Conservation Corps (CCC) were created to develop forests, the national parks, create utility infrastructure for towns, build schools and reforest lands to improve the environment which had been devastated by the Dust Bowl, a product of corporate farm mechanization and centralization. The Tennessee Valley Authority was created as one of the largest dam projects the world had ever known. The FHA was created to regulate housing and trade was liberalized to end the trade gridlock created by the Republican tariffs. The Gold Standard was suspended to allow the Treasury to inject emergency liquidity to stave off the disastrous deflation; the Wall Street brokers smirked at this knowing that much of America’s gold had been sent to London in 1931.

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Most importantly, Roosevelt repealed Prohibition and not just Alcohol Prohibition; he also repealed the 1922 Narcotics Drug Import and Export Act and curbed the Harrison Tax Act to make medical marijuana and more importantly, hemp, economically available. The Bureau of Narcotics oversight over medical marijuana and hemp was severely limited by the New Deal, and the advent of the AAA at first. The Agricultural Adjustment Administration (AAA) was originally created to regulate food prices, giving farmers a chance at last to fight Wall Street speculators and obtain fair food prices. Hemp was the most widely cultivated, most widely distributed and most profitable crop the farmers were allowed to produce from 1933 to 1945.

 

AAA

To quote Jack Herer:

Modern technology was about to be applied to hemp production, making it the number one agricultural resource in America. Two of the most respected and influential journals in the nation, Popular Mechanics and Mechanical Engineering, forecast a bright future for American hemp. Thousands of new products creating millions of new jobs would herald the end of the Great Depression….As early as 1901 and continuing to 1937, the USDA repeatedly predicted that, once machinery capable of harvesting, stripping and separating the fiber from the pulp was invested or engineered, hemp would once again be America’s number one farm crop….The prediction was reaffirmed in the popular press when Popular Merchanics published its February 1938 article “Billion Dollar Crop…a trillion dollar industry by today’s standards.

New Deal Hemp Farm

New Deal Hemp Farm

From the article Jack is referencing:

American farmers are promised a new cash crop with an annual value of several million dollars, all because a machine has been invented which solves a problem more than 6,000 years old. It is hemp, a crop that will not compete with other American products. Instead it will displace imports of raw materials and manufactured products produced by under paid [immigrant] and peasant labor and it will provide thousands of jobs for American workers throughout the land…..Hemp is the standard fiber of the world. It has great tensile strength and durability. It is used to produce more than 5,000 textile products, ranging from rope to fine laces, and the woody hurds remaining after the fiber has been removed containmore than 77% cellulose, and can be used to produce more than 25,000 products, ranging from dynamite to Cellophane.

From the farmers point of view, hemp is an easy crop to grow and will yield from three to six tons per acre on any land that will grow corn, wheat, or oats….Thousands of tons of hemp hurds are used every year by one large powder company for the manufacture of dynamite and TNT. A large paper company, which has been paying millions of dollars a year in duties on foreign made cigarette papers now is manufacturing these papers from American hemp grown in Minnesota….Our imports of foreign fabrics and fibers average about $200 million a year; in raw fibers alone we imported over $50 million a year in the first six months of 1937. All of this income can be made available to Americans.

New Deal Hemp Company

New Deal Hemp Company

 

1930's Hemp Field

1930’s Hemp Field

Excerpt from New Deal Era literature:

“Aside from the suspension of the Gold Standard (the first and foremost important price lifting measure) and the closing and re-opening of the banks, the most spectacular early measures of the New Deal were the Agricultural Adjustment Act and the National Industrial Recovery Act. Both were nullified by the Supreme Court which, by these very decision, contributed greatly to the outcry for judicial reform. The AAA gave subsidies to farmers for taking land out of cultivation, and did much to raise farm purchasing power in consonance with the basic aim of the New Deal….Within one year the AAA increased farm income by 38% and farm purchasing power by an estimated 25% through the inauguration of the very production control method that was originally used by the industrialists. The cost of the fam subsidy was paid for by a small imposed sales tax. The NIRA, approved June 16 1933..’intended’ to (1) legalize those voluntary trade associations which President Hoover had discouraged by removing the restraints of anti-trust laws; (2) to make them effective by bringing the recalcitrants into line through compulsion; but (3) to bestow these privileges upon trade and industry in return for their acknowledgement of social responsibility in the form of concessions to labor and the consumer….the cold blooded, ruthless fashion in which the industrialists consciously moved to vitiate these provisions of the section that was beneficial to labor perhaps did more to educate the country about the socially irresponsible character of the big proprietors than had all the preachments of the radicals for years. Moreover the pathetic eagerness with which a vast multitude grasped at just $12 a week, and the outcry from the Southern Industrialists against such ‘high wages’ drove into public consciousness the fact that labor in the United States, except its aristocracy in the AFL craft unions, had long been fiercely exploited at coolie pay. Details of the farm situation highlighted in the debate around the AAA, also had a similar educative effect, so that if the New Deal did nothing else it succeeded, in these and other of its efforts, in implanting a deep suspicion in the public mind about the motives and methods of the big feudalistic proprietors, who habitually masquerade as simple businessman.

The gigantic program of unemployment relief embarked upon by the New deal was of direct aid to retail trade and to the farmers in that the money paid out to the unemployed went immediately to the purchase of necessities. Several government agencies were created to handle the projects, but the WPA, launched on May 6 1935, finally consolidated all the divisions of relief. Works Progress funds were allocated to naval building, to municipal improvements, and construction where local governments shared part of the cost, to reforestation, and many other ends; the principal aim however was to get money into circulation. In connection with the building and construction phases of this program there was of course, a demand for cement, stone, machinery, steel, and lumber, which was of benefit to heavy industry; but the benefit was neither so great nor as immediate as that conferred upon industries more closely aligned with the retail market.

Meanwhile, various measures designed to hamper banks in their domination of heavy industry were passed under presidential authority. The first of these was the Banking Act of 1933, which divorced commercial and investment banking, provided for insurance deposits, and vested in the Federal Reserve Board the right to control loans entering speculative channels. The separation of the deposit and underwriting functions of the banks was a blow directed consciously at JP Morgan , and measurably weakened the power of that and other private banking houses. Not at all strangely, this action was sought and approved by Winthrop Aldrich, chair of the Rockefeller’s Chase Bank. Weakened under Hoover, the Rockefellers were strengthened for a time by the New Deal- by the sharp rise in oil prices, and the improvement of the real estate market, and although John D Rockefeller Jr. outwardly maintained his Republicanism, the Standard Oil clans helped the New Deal at many points and manifested cordiality to its acts. The New Deal reciprocated by doing nothing in its early stages at least, to disturb or injure the Standard Oil Empire. After passage of the Banking Act, JP Morgan immediately set up Morgan Stanley for handling securities issues, but as this branch was effectively segregated from the central house the firm could no longer function as freely as of old. Extension of the powers of the Federal Reserve Board by giving it control over the open market committee and over the reserve requirements of membership banks also weakened JP Morgan power in finance…symbolic of the new regime Marriner S. Eccles, small banker and mining entrepreneur from Utah, was made governor of the Reserve Board. Control of the money market was transferred to Washington, was thereafter to be by whoever controlled the government.”

-Ferdinand Lundberg, America’s 60 Families (1937)

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Despite FDR’s ability to unite the middle and working class into an industrial powerhouse he still faced grave issues with the American oligarchy and the Republican establishment. The oligarchy may have lost complete control of the Presidency but they still retained power over the Supreme Court and large portions of the press. FDR often had to defend his New Deal initiatives in the US Federal Court system against the Republican activist judges seeking to rule his recovery programs unconstitutional on behalf of the oligarchical interest. He responded to this by unveiling the second half of the New Deal which passed the Social Security Act, creating welfare and a social safety net; the Wagner Act, giving unions the right to form and collectively bargain; the WPA was expanded even further to create major projects like the Lincoln Tunnel, LaGuardia Airport, the Bay Bridge, and many other large urban restoration projects that laid the seeds for later Great Society projects. The Revenue Act of 1935 hit the wealthy the hardest, it was literally designed to redistribute wealth from the top to the bottom. The bill imposed an income tax of 79% on incomes over $5 million, making the tax code equitable for the first time since its implementation. The rich called Roosevelt a ‘traitor to his class’ in utter hatred of his dismantling of their empire of greed. He also enacted the Housing Act of 1937 to abolish slums and create a housing authority.

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Lend-Lease Hemp Promotion

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New Deal Hempfield

FDR also opened a new front against the Anglo-American elite by empowering the FBI to initiate surveillance against them. Fiorello LaGuardia, the notorious anti-Mafia Mayor of New York, came to power in 1932 as well on a large anti-crime ticket; he worked closely with J. Edgar Hoover to bring down ‘The Big Heat’ on the American Syndicate. He had Lucky Luciano arrested, purged the New York police force of corruption, led search-and-destroy lynch mobs against Syndicate casinos and black market rackets. The Syndicate responded by unleashing their assassins on a country wide bank robbing spree to destabilize the economy. Hoover worked with notorious gangster hunter Melvin Purvis to bring down Syndicate bank robbers like John Dillinger, Ma Barker, Babyface Nelson, Creepy Karpis, and Machine Gun Kelly. The FBI also played a pivotal role in rounding up the criminal members of the KKK, especially those who had penetrated Southern California city administrations in the 1920s and set up racial rackets. LaGuardia was also joined by Thomas Dewey, a Republican prosecutor; a former Wall Street trader, that sought to end New York corruption after losing much of his fortune in the crash. Dewey targeted Lucky Luciano’s Upstart “Commission” which had taken over the power vacuum left by the fall of Mr. Arnold and Al Capone.

Mayor Fiorello LaGuardia

Mayor Fiorello LaGuardia

One of his biggest prizes was gangster Dutch Schultz, whom he had battled as both a federal and state prosecutor. Schultz’s first trial ended in a deadlock; prior to his second trial, Schultz had the venue moved to Malone, New York, then moved there and garnered the sympathy of the townspeople through charitable acts so that when it came time for his trial, the jury found him innocent, liking him too much to convict him.

Dewey and La Guardia threatened Schultz with instant arrest and further charges. Schultz now proposed to murder Dewey. Dewey would be killed while he made his daily morning call to his office from a pay phone near his home. However, New York crime boss Lucky Luciano and the “Mafia Commission” decided that Dewey’s murder would provoke an all-out crackdown. Instead they had Schultz killed.”

  • MacMillian, The Five Families (2008)

The Mafia suffered further setbacks as fascism took over continental Europe and Benito Mussolini began a purge of Sicilian mob leaders to consolidate power within Italy. This disrupted the French Connection which relied heavily on Turkish opium in the 1930s and for Sicilian intermediaries which had been disconnected by Fascist Italy. Narcotics income practically went to zero after the New Deal’s AAA reform decriminalized medical marijuana and hemp. When Mussolini took power in the mid-twenties he went on a tour of the country to present his new leadership program of fascism to the entire country; when in Palermo, he was received by Don Francisco Ciccio, the mayor of Palermo who insulted Mussolini when he was told he would not need a police escort. Mussolini responded that fascists did not need a peasant escort insulting Ciccio. The Don ordered the townspeople not to attend Mussolini’s speech and released patients from the local mental ward to attend instead. The deeply angered Mussolini appointed Cesare Mori to form a secret police in Sicily that would end the Mafia dominance once and for all. Mori would be one of the most swift, effective and brutal opponents the Mafia had ever encountered.

Cesare Mori

Cesare Mori

Mori took up his post in Palermo in November 1925 and remained in office until 1929. Within the first two months he arrested over five hundred men, a number that would only grow in the following years. In January 1926, he undertook what was probably his most famous action, the occupation of the village of Gangi, a stronghold of various criminal gangs. Using carabinieri and police forces he ordered house-to-house searches, picking up bandits, small-time Mafia members and various suspects who were on the run. He did not hesitate to lay siege to towns, use torture, or take women and children as hostages to oblige suspects to give themselves up. These harsh methods earned him the nickname of “Iron Prefect”.

Mori understood the basis of Mafia power. In order to defeat the phenomenon, he felt it necessary to “forge a direct bond between the population and the state, to annul the system of intermediation under which citizens could not approach the authorities except through middlemen…, receiving as a favour that which is due them as their right.” Mori’s methods were sometimes similar to those of the Mafia. He did not just arrest the bandits, but sought to humiliate them as well. If he could exhibit a strong central authority to rival the mafia, the people would see that the Mafia was not their only option for protection.

Mori’s inquiries brought evidence of collusion between the Mafia and influential members of the State apparatus and the Fascist party. His position, however, became more precarious. Some 11,000 arrests are attributed to Mori’s rule in Palermo. That led to massive amounts of paperwork in order to prepare for the trials, which may have been partially responsible for his dismissal. Mussolini had already nominated Mori as a senator in 1928, and in June 1929 he was relieved of his duty. The Fascist propaganda proudly announced that the Mafia had been defeated.”

  • Newark, Mafia Allies (2007)

Roosevelt’s Challenge

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Seeking to preemptively stop the Supreme Court from dismantling the second New Deal, FDR attempted his court packing plan with the Judicial Procedures Reform Bill of 1937. The bill allowed the President to power to appoint an additional Justice to the U.S. Supreme Court, up to a maximum of six. FDR had also punished many of the Lochner Era judges by pushing them out of the court through pension cut threats. The court attempted to stop one of FDR’s critical measures: Executive Order 6102. This order seized the gold held by the wealthy, in the form of coins, bullion and certificates and exchanged them for dollars at fixed rate. This was to prevent the wealthy from manipulating the money supply with their gold and London accounts as they had previous done throughout the last 50 years. The court ruled that the government could not seize the gold, even though it was being done to protect the currency from speculative attack by the European powers. Chief Justice Charles Evan Hughes had a personal vendetta against FDR and also had close relations with the British Royal Family, the Dutch Royal Family and the Du Pont family who were ardently opposed to FDR’s allowance of hemp production. Hughes led the challenge against FDR’s attempt to break the railroad monopoly, the New Deal farm subsidies, stock market regulations, the NRA and NIRA, the AAA and the New Deal coal program. The Supreme Court ruled on many of these on “Black Monday” on May 27, 1935. Roosevelt’s court packing bill was unfortunately defeated, but his attempt to unseat the oligarchies power in the court led to more desperate and violent ends to stop his reforms.

Chief Justice Charles Evan Hughes

Chief Justice Charles Evan Hughes

FDR won a stunning landslide reelection in 1936 much to the chagrin of the American landed elite. He had a strong anti-imperialist foreign policy which derided the exploitation and immiseration caused by the British and French Empires and their colonialism of other continents. FDR also wished to renounce the right to unilateral intervention in South America and give more diplomatic power to international bodies. He became more critical of Adolf Hitler, especially as FDR’s enemies began to rally around Hitler with Henry Ford. Col. Stimson, head of the Anglo-American Consortium  began conspiring with Churchill on ways to compel FDR to comply with British wishes and also on ways to assassinate FDR as well. He had already been the target of several coup attempts, one most infamously participated in by Prescott Bush and Averall Harriman called the Business Plot. The coup was averted by the testimony of Smedley Butler who became opposed to the American oligarchy after the Bonus Army massacre. The Consortium  would be indicted again by FDR for supplying illegal monies and arms shipments to Hitler during World War II in 1942 under the Union Banking Corporation, those named in the indictment included many Consortium  leaders: Averell Harriman, E Roland Harriman, Prescott Bush, Samuel Pryor, Fritz Thyssen, and Robert Lovett.

Prescott Bush

Prescott Bush

One of the top targets of the oligarchies response to FDR’s court packing attempt was the new hemp crop propping up the Middle Class. Not only was it an industrial threat to the Anglo-American oil, pharmaceutical and vice companies but it was the main engine driver of FDR’s New Deal programs and the oligarchy believed that if the crop could once again be controlled it’s decline would also defeat the New Deal.

In the mid-1930.when the new mechanical hemp fiber stripping machines and machines to conserve hemp’s high cellulose pulp finally became state-of-the-art, available and affordable, the enormous timber acreage and businesses of the Hearst Paper Manufacturing Division, Kimberly Clark USA, and virtually all other timber, paper and large newspaper holding companies stood to lose billions of dollars and perhaps go bankrupt.

Coincidently in 1937, DuPont had just patented processes for making plastics from oil and coal as well as a new sulfite process for making paper from wood pulp…accounting for over 80% of all the companies railroad carloadings over the next sixty years into the 1990s. If hemp had never been made illegal, 80% of DuPont’s business never would have materialized…jeopoardizing the lucrative financial schemes of Hearst, DuPont and DuPont’s Chief Financial backer, Andrew Mellon of the Mellon Bank of Pittsburgh”

-Jack Herer

Andrew Mellon

Andrew Mellon

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Andrew Mellon, evil billionaire and executive harbinger of the Great Depression immediately set to work employing his ex-cronies within the Bureau of Narcotics, chiefly Henry J. Anslinger to reinstitute marijuana and hemp prohibition through a press based social engineering campaign using Hearst’s media resources. Anslinger was actually married to Mellon’s niece and he shared in Mellon’s lucrative financial ties. The idea for the Marijuana Tax Act of 1937 was developed originally to create a tax to profit off the sale of medical marijuana and hemp synthesis as a medical application, it was originally designed from firearms taxes but both Mellon, DuPont, Anslinger and Hearst intended to meddle with the act to generate a different result.

In the secret Treasury Department meetings conducted between 1935 and 1937, prohibitive tax laws were drafted and strategies were plotted. Marijuana could not be banned outright; the law called for an ‘occupational’ excise tax upon dealers and a transfer tax upon dealings in marijuana. Importers, manufacturers, sellers and distributors were required to register with the Secretary of the Treasury and pay the occupational tax.”

-Jack Herer

ReeferMadnessPoster

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Anslinger led a very public, racially charged campaign backed by the American oligarchy against medical marijuana. He was opposed by the AMA and Fiorello LaGuardia, but Anslinger abused his Bureau of Narcotics position to strip pro-marijuana doctors of their licenses, corralling the AMA into submission despite medical evidence to the contrary. Anslinger debated publically with LaGuardia while leading a highly publicized drug seizure campaign with the Bureau of Narcotics against medical marijuana. Medical marijuana dealers were derided as being ethnic and of the criminal underworld. Racist and classist media was used to turn American views against marijuana as a corrupting illicit drug. Reefer Madness was born. The blow to the AAA by the Supreme Court firmly put medical marijuana back in Anslinger’s jurisdiction and abusing the regulations of the Marijuana Tax Act, he barred all marijuana dealers from being federally licensed by the Treasury Department effectively putting a halt to hemp production at the national level. Marijuana production for hemp would only be allowed going forward by the Bureau of Narcotics for oligarchical dealers that wished to grow hemp on their lands in US territories for the military.

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FDR also faced another challenge from the Department of the Navy in which Henry Stimson had become very influential and was bringing the relationship between US and British naval intelligence closer for his own purposes. This led to penetration of Naval Intelligence by British Intelligence who openly recruited members of the American syndicate to serve as intelligence operatives in Europe. Stimson sought to counter FDR next by realigning the military apparatus and officer’s corps behind him which was more effective than trying to bribe FDR military loyalists like Smedley Butler, Douglas MacArthur and Dwight Eisenhower. Stimson also directed the oligarchies efforts to unseat Vice President Henry Wallace during the Democratic National Committee and replace him with Harry Truman, a Stimson loyalist and someone who could eventually turn Eisenhower to their influence. He was much colder and calculating than the brash Harriman, Bush and Walker business coup attempts, which had failed numerously throughout FDR’s tenure; the public battles with the court also brought more criticism against oligarchical power and gave FDR more strength to expand the New Deal. FDR had also started the Lend-Lease program with the beginning of the Spanish Civil War, an economic program for the British and French that demanded payment in gold. If Hitler went to war, FDR could repatriate gold through lend lease, Stimson knew that more extreme measures would be necessary.

Henry Wallace

Henry Wallace

Stimson and John Foster Dulles began to direct members of the Consortium to begin increasing financial and military backing to Adolf Hitler and the Wehrmacht of Nazi Germany. This occurred most notably during the Spanish Civil War from 1936 to 1939 which served as preliminary war game for the greater conflict to come. Hitler would conquer Europe, Hitler would destroy their rivals, Hitler would conquer the world and anoint the wealthy the master race of all Earth. Competition among the American oligarchy and the British peerage broke out over who was pro-New Deal and who was pro-Hitler. Neither accepted Stalinist Communism, but both stood behind the economic miracles of the American New Deal and Nazism. Both ideas were similar in method but differed immensely in execution; both ideas revolved around central planning but while FDR sought to support and restore market conditions, Hitler sought to fundamentally alter the world order. Neither of them wanted the dominance of a British reserve currency any longer; the British had destroyed the world economy and a new reserve currency had to emerge. Hitler’s aggression towards the Jews and other European states beginning in 1938 was the end result of decades of evil and excess by an unforgiving and unapologetic sect of the power elite. The Consortium could not seize the reins of power in America back from FDR and the New Deal Democrats, so they preferred to destroy it by backing Hitler’s plans for world domination. Stimson would also provoke the Japanese by utilizing his connection to strain trade relations between the Japanese Empire and the US. FDR routinely plotted against Stimson and Churchill with Vice President Wallace and Joe Kennedy; he had become keenly aware of what the American oligarchy and the British oligarchy were trying to perpetuate but he faced a big problem, the American gold still remained within City of London vaults and that the power of the Consortium would continue until America could repatriate the stolen precious metals. FDR knew Stimson and the Consortium wanted to drag America into the war to force a war economy that they could control, especially through opium and pharmaceutical sales for the war injured; he opposed the war on that principle, having now spent his Presidential career in battle with these oligarchical forces. However, he knew that he would eventually have to convince the American people to make war, otherwise financial recovery would be impossible because the Nazi’s would seize American gold reserves in London that were needed to pay down the Depression debts.

Adolf Hitler

Adolf Hitler

This ultimate prospect was what forged the fateful, albeit temporary alliance, between FDR and Stimson that lasted from 1940 to 1945; unifying the American public with the American elite to stop the ultimate evil that was Adolf Hitler from ruling the world. By 1940, the British had been defeated by the Nazis at the Battle of Dunkirk and the Battle of Britain raged against the English isles; the Royal Family now paid for its sins in the face of total annihilation against the Frankenstein monster of their own creation, the Nazi War Machine. The City of London was under constant bombing by the German Luftwaffe and fears that the international and royal gold reserves of London would be seized by a foreign power became a reality for the first time. The Nazi’s had already confiscated Jewish and foreign gold from seized territories throughout Europe and were using the proceeds to generate currency to continue the massive wear effort; seizing the City of London would be the economic coup d’grace and the ultimate triumph for Hitler. Both FDR and Stimson feared that the United States would never recover from such a blow nor remain under the control of either side, but rather through financial obligation to Nazi Germany. However, despite cooperation, the Consortium continued to work against FDR and the New Deal by financially aiding the Nazis and funding strikebreakers like the KKK, American Legion and the German Bund; namely the Bush and Walker families who envisioned a Nazi victory in Europe.

Nuremburg

Nuremburg

Stimson, in an uneasy affair, would become Roosevelt’s Secretary of War in 1941. Stimson appointed top members of the Consortium, Robert Patterson, Robert Lovett, the Dulles Brothers and Stimson’s right hand, John McCloy, to executive positions within FDR’s cabinet. Stimson also elevated the career of Republican loyalist General George Patton in an attempt to coerce Gen Dwight Eisenhower under his influence to maintain rank over Patton. The Consortium reached out to Lucky Luciano to provide top recruits from the Mob that could serve as officers within the Army and Navy of whom Stimson and his loyalist officers could use to form the OSS under the purview of Consortium officer William Donavon. Stimson’s new group of Consortium upstarts would later be instrumental in the assassination of John F Kennedy. Stimson, along with Oppenheimer, is considered one of the fathers of the atomic bomb; he took direct personal control of the project and his advice was followed at every aspect by both Roosevelt and Truman. Stimson overruled military officers when they opposed his views and often destroyed their careers. This would be proven later when under his influence Gen Douglas MacArthur was pushed from the military high command by Stimson’s lackey Harry Truman.

Hiroshima and Nagasaki

Hiroshima and Nagasaki

 

“He was the only top government official who tried to predict the meaning of the atomic age—he envisioned a new era in human affairs. For a half century he had worked to inject order, science, and moralism into matters of law, of state, and of diplomacy. His views had seemed outdated in the age of total warfare, but now he held what he called “the royal straight flush.” The impact of the atom, he foresaw, would go far beyond military concerns to encompass diplomacy and world affairs, as well as business, economics and science. Above all, said Stimson, this “most terrible weapon ever known in human history” opened up “the opportunity to bring the world into a pattern in which the peace of the world and our civilization can be saved.” That is, the very destructiveness of the new weaponry would shatter the ages-old belief that wars could be advantageous. It might now be possible to call a halt to the use of destruction as a ready solution to human conflicts. Indeed, society’s new control over the most elemental forces of nature finally “caps the climax of the race between man’s growing technical power for destructiveness and his psychological power of self-control and group control–his moral power.”

  • Stimson’s Memoir
John McCloy

John McCloy

Stimson’s White House coup came in early 1945, when Henry Wallace was unseated as Vice President at the Democratic National Convention in January; he had feuded publically with many of the oligarch’s over labor rights and had been trashed repeatedly for it in the newspapers. The political effects of the media’s assault finally took their toll and he was replaced by Harry Truman, a pawn of Averall Harriman. This event was shortly followed by FDR’s assassination on April 12 of 1945; he had already suffered declining health after several poisoning attempts between 1941 and 1944. He was poisoned while vacationing at his personal retreat in Georgia, his death was attributed to stress from years of political struggle, overwork, sleeplessness and general declining health from traveling to peace negotiation with Britain and Russia. FDR’s son alleged that Stalin informed him that Churchill had ultimately been responsible for the poisoning of FDR, possibly beginning at the conference at Yalta. Stimson retired at the end of the war, but before doing so he appointed members of the Consortium to Truman’s cabinet, they would be infamously known as “The Wise Men”: McGeorge Bundy, George Kennan, the Dulles Brothers, Robert Lovett, John McCloy, Dean Acheson, Charles Bohlen and Averall Harriman.

General Douglas MacArthur

General Douglas MacArthur

The Wise Men of the Consortium would be instrumental in putting a halt to the reforms implemented by Franklin Delano Roosevelt and the New Deal. The Wise Men empowered Anslinger to further ends and put a young Congressman named Joseph McCarthy under his wing to serve as a protégé. The Wise Men would retool the CIA to go after the OAS’ opium fields in Indochina and from there they would restart the international opium trade with the help of their mafia connections established through Lucky Luciano, who would be freed from jail along with his mafia associates in Italy under the guise of anti-communism. The same lines from the 1920’s Red Scares would be drummed up again, marijuana use would be blamed on unionists, socialists and communists. The Wise Men would work with the Syndicate Upstarts in Hollywood to bring Ronald Reagan to power within the Hollywood union; Reagan persecuted many of the left wing stars under the guise of anti-communism to remove their influence from opposing Syndicate/Wise Men influence in Hollywood. The major opposition to the Wise Men came in the form of FDR’s close friends General Douglas MacArthur and Joe Kennedy, father of JFK, RFK and Ted Kennedy. Joe Kennedy was FDR’s business and Syndicate confidant, the head of the old Irish Mob, a bootlegger, a marijuana smoker, and a man with contempt for the likes of Capone, Luciano and especially Stimson. He was known with actively feuding with many of FDR’s enemies, including the Canadian Bronfman/Seagram’s families which Kennedy competed with using distilleries managed by FDR’s son, James Roosevelt. Samuel Bronfman was also a member of the Consortium and a founder of modern Canadian conservative power brokers.

Joe Kennedy

Joe Kennedy

General Douglas C. MacArthur, super-patriot and epic war hero, successfully retained much of the power of the American military command from the Wise Men until midway through the Korean War when Averall Harriman and Dean Acheson were successfully able to put enough pressure on Truman to force a removal over MacArthur’s perceived insubordination to the Wise Men’s intentional mismanagement of the conflict. Korea, to the Consortium, was a distraction to be created while ex-syndicate members now represented in the Italian Mob, CIA, MI6 and OAS set up opium facilities in Turkey, Sicily, France, Spain, Vietnam, Laos, Cambodia and Burma to create an international opium distribution network that was more vast than any other known in world history, yet secret and hidden from the public through control of media outlets and trafficking flows. Joe Kennedy was wiser than his counterpart and used his wealth to financially align himself with Joseph McCarthy as a form of protection primarily for John F Kennedy, whom he was already grooming for President to restore the New Deal. He also groomed his other son Robert Kennedy to become Attorney General and use his families’ connections to effectively combat the Italian Mafia that had been borne from Luciano’s Commission. Kennedy knew he would have to fight the Republican Wise Men in the top world, the Mafia Commission in the underworld and the Consortium in the back world to protect the gains achieved socially and economically by the New Deal. Joe Kennedy would die shortly after JFK would become President. He would not witness the assassinations of his sons at the hand of the Consortium, nor would he see the dismantling of his friend and mentor, Franklin Delano Roosevelt’s, achievements for the American people be dismantled following the election of Richard Nixon and the era of Consortium rule that was to follow.

JFK

JFK

Barack Obama

Barack Obama

This story is a tale of truth from the 20th century, buried deep beneath 100 years of propaganda, misdirection, lies and subjugation. The Drug War is illegitimate, it is a form of slavery that was originally designed for depopulation, but is now designed for a jailhouse population and to keep humanity sick and poor so that the Consortium may continue to profit. Right now, our President Barack Obama, stands like FDR before the financial power of the Consortium; he has been trying to free marijuana from the constraints of Prohibition’s bondage, knowing full well, just as FDR did, that hemp can save an economy and marijuana could save the health of the planet from industrial disease. You must help humanity by helping the President free this medicine, please share this story with everyone you know; the Consortium have pledged themselves to death and profit, we must oppose them by pledging ourselves to life and you can do that by sharing this knowledge with others. Baruch Hashem.

– The Green Chazzan 

**Special thanks to the American Patient’s Rights Association for their excellent research! 

What happened after? Check out our Narc vs. Narc series!

https://thegreenpulpit.com/2014/04/22/narc-vs-narc-the-origins-of-the-modern-medical-marijuana-movement/

Reference List **Being Updated**

  • Katcher, Leo (1959). The Big Bankroll. The Life and Times of Arnold Rothstein, New York: Da Capo Press ISBN 0-306-80565-0
  • Cohen, Adam, Nothing to Fear: FDR’s Inner Circle and the Hundred Days that Created Modern America (2009)
  • Herer, Jack. The Emperor Has No Clothes. (2007) 
  • Lundberg, Ferdinand. America’s 60 Families. (1937)
  • Rothbard, Murray. America’s Great Depression. (1963)
  • Nixon, Edgar Franklin D. Roosevelt and Foreign Affairs (1969)
  • Zinn, Howard, ed. New Deal Thought (1966)
  • Kessler, Ronald. The Sins of the Father: Joseph P. Kennedy and the Dynasty He Founded. Warner, 1996
  • Gerber, Larry G. The Limits of Liberalism: Josephus Daniels, Henry Stimson, Bernard Baruch, Donald Richberg, Felix Frankfurter and the Development of the Modern American Political Economy (1983)
  • Roosevelt, Eliot. As He Saw It. (1974)
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The Devil’s Work: Marijuana in the 20’s and 30’s – Part 2

Mr. Arnold

Arnold Rothstein - The original Mr. Big

Arnold Rothstein – The Original Mr. Big

Arnold Rothstein was the Boss of All Bosses, literally the founder of American organized crime and one of the greatest criminal masterminds to have ever lived. Rothstein was born in 1882, the son of a wealthy Jewish immigrant racketeer and was known to be a natural at probability, mathematics, and was well read on matters of business. Rothstein started taking over Manhattan gambling rackets at a young age by his late twenties expanded his personal rackets to fixing horse races; providing horse race tips allowed Rothstein to network informants and earn friends within the private banking community. Rothstein became connected to members of New York’s Tammany Hall and of New York high society through the popularity of his no tax elite gambling halls. Rothstein conducted business with members of the 60 Families including the Rockefellers, Carnegies, Hearst, Goulds, Morgans and other members of the railroad and banking trusts from California. After becoming a millionaire in 1912, Rothstein moved on to large scale racketeering and started creating the building blocks for the first organized crime organization in the United States using his financial prowess as support.

Rothstein rose to power in what became known as the infamous Black Sox Scandal. Rothstein had successfully rigged the 1919 World Series and was acquitted along with the players in the ensuing investigation. Records related to the court case also disappeared and this was attributed to payoffs made by Rothstein during that time. Rothstein saw opportunity in the disaffection of the general public with the political class and his golden goose came with the passage of the Volstead Act following the Boston Police Strike. His money and connections with bootleggers and former alcohol dealers would serve him well in setting up a vast network of private clubs where alcohol could be enjoyed at prohibition prices. His fixing of the World Series had made him and his associates from Chicago, Cleveland and New York immensely wealthy and they were eager to profit from Rothstein’s further ventures.

Bureau of Narcotics Raid

Bureau of Narcotics Raid

Rothstein’s organizing of the underworld into organized municipal syndicates would go largely without criticism and unnoticed as the government focused its resources on crushing labor unions and communism. The Palmer Raids would begin in November of 1919, with Attorney General Mitchell Palmer appointing one, J. Edgar Hoover, head of the Department of Justice’s General Intelligence Unit. Hoover was to compile a list of labor leaders and communist sympathizers to round up for investigation and arrest. Large groups of labor sympathizers were rounded up and charged under the Espionage Act and deported many of the convicted to Europe. The Syndicate was formed under the leadership of Rothstein known in the underworld as ‘Mr. Arnold’ or ‘Mr. Big’, was facilitated by his infamous sub-bosses: Meyer Lansky, Lucky Luciano, Dutch Schultz and Legs Diamond.

Lucky Luciano

Lucky Luciano

Several of Rothstein’s associates from Tammany Hall were looking to go into filmmaking but were barred from film production on the East Coast due to industrial patents held by Thomas Edison and his associates at the Motion Picture Patent Company. Rothstein worked with Cleveland and Chicago Syndicates to set up the movie studios in Los Angeles to produce films and promote west coast rackets as railroad expansion brought in eastern migration.  Rothstein introduced the concept of racketeering theatres, triggering company battles for movie rights and display rights at theatres; he achieved this by hustling the construction workers unions and manipulating union tactics to coerce the theater owners. Rothstein’s associate Lepke Buchalter, who would later go on with Rothstein to form Murder Inc., was put in charge of setting up a new movie studio system on the west coast to take over the movie production industry. Rothstein provided loans for the new studios and expanded his control of construction unions to the national level. He financed the Selwyn Brothers, Samuel Goldwyn, Louie B. Mayer, Meyer Lansky, Bugsy Siegel and Moe Dalitz to form now infamous studios such as MGM, Paramount, United Artists and 21st Century Fox.

Bugsy Siegel

Bugsy Siegel

Rothstein’s organization of the Mob couldn’t have come at a better time. The labor crisis of 1919 evolved into an economic crisis in January of 1920 as the war demobilization sharply contracted the economy. The United States entered a very severe bout of deflation that lasted for seven months, crushing the middle and lower class labor forces as Wilson reestablished the Gold Standard; this move would tarnish his administration and bring about Republican victory. Returned veterans could not find jobs, labor strikes crippled industries, the reimplementation of the Gold Standard and wage stagnation crippled the economy devastating many municipal economies throughout the country. Organized crimes’ fortunes enhanced when Warren Harding, the Ohio Republican candidate for President won his election under the slogan of “A Return to Normalcy”. Harding was a puppet of the Ohio oil and railroad interests, represented by the “Ohio Gang” a band of politicians and industrialists selected for Harding’s cabinet; but he also fell under the influence of Lou Rothkopf, Arnold Rothstein’s head of the Cleveland syndicate. Harding’s victory was a free pass to economic control for the Mob; alcohol and marijuana speakeasies were quickly established in every major urban area throughout the country. Harding with the Federal Reserve cut taxes, lowered interest rates and increased the money supply, making the availability of dollars more easily available in the market. Rothstein essentially possessed the perfect racket, his organized syndicates around North America would peddle vice to the public while taking in their increased supply of dollars; in turn Rothstein had these dollars converted to gold. The gold increased in value as Harding issued more dollars into the economy and allowed Rothstein to have a medium in which to easily launder the Mobs speakeasy monies. The gold would be stored at mob friendly banks in the City of London and New York. This would inevitably begin the cycle that led to the Gold Crisis of 1931 and the acceleration of the Great Depression.

President Warren Harding

President Warren Harding

Another powerful medium for Rothstein and Rothkopf’s monies was the newly established film industry; large sums of cash were often accepted in 1920’s California without question. The Depression of 1920-21 had absolutely crushed the speculative oil boom that had driven the state following the Gold Rush; the Southern conservatives, city administrations and police departments could not resist the large influx of mob cash and the allure of Hollywood glamour that had stimulated the imaginations of millions around the world. The arrival of Rothstein’s agent, Bugsy Siegel, would change Los Angeles’ destiny forever; as his dynamic personality was able to merge the interests of the California conservative elite with that of organized crime. Traditionally, since the late 1800s, the Irish Mob made it a habit of implementing themselves within city political machines to protect their neighborhoods from corruption and abuse at the hands of other ethnic gangs. Under Rothstein’s unified syndicate model the Irish Mob retained significant influence as the gatekeepers for mafia activities being ran by other ethnic gangs like the Italians and the Armenians. The Irish would maintain control of the cities’ apparatus, the city hall, the police department and the public works administrations; the Italians would function as the gangland muscle and the operators; the Armenians would be the transporters and the Jews would be the money men; collectively these groups would birth the American Mob.  Irish control of the Los Angeles Police Department and LA County Sheriff made it easy for Rothstein to corrupt the police; the Sheriff practically operated as his personal squadron, covering up the misdeeds of famous Hollywood celebrities who worked for Rothstein’s studios while exposing the deeds of others to the press for profit. The American Mob’s racist sentiments in the twenties enhanced the situation of police abuse towards minorities. The police were expected to ignore and even aid syndicate activities while also being directed to make arrests predominantly in Black and Latino neighborhoods; race based arrests were easy media sensations and could easily maintain the prestige of the police force while covering for their participation in the rackets. Rothstein was practically in control of 25% of  United States business by 1925.

 

‘A Return to Normalcy’

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The United States had retained the Gold Standard following the passage of the Federal Reserve Act in 1913; the natural inflation from the 1880’s had been hyperextended by the artificial inflation created during World War I. The Labor Crisis of 1919 slowed the government response to the economy leading to the Depression of 1920-21. Warren Harding won a landslide victory, restoring Republican power under the guidance of the Ohio Gang using the slogan ‘A Return to Normalcy’. Harding responded to the crisis with import-export tariff’s and a job’s program but troubles remained far from over as the new administration began to blatantly hand over the reigns of economic power to the wealthy. Prohibition Laws became a tool of domestic surveillance with the Bureau of Prohibition and the Executive Office itself being notoriously corrupted by mob influence. Union tensions heightened quickly during the Battle of Blair Mountain, the largest civil uprising in US history and the origin of the infamous Mother Jones, when 3000 police had a massive shootout with 10,000 armed coal miners. The blood shed was to remind the unions that the government was willing to help the corporations use force against them.

Battle of Blair Mountain

Battle of Blair Mountain

Harding’s government also brought about the Lochner Era, a time of an extremely conservative Supreme Court that gave the constitution to the large corporations on a silver platter. The Lochner Court was vehemently anti-union and struck down many attempts at pro-union legislation and attempts to implement child labor, minimum wage and maximum work hour laws. The Court also aggressively struck down taxes against large corporations, many among them being Syndicate interests. Harding’s government was very similar to that of George W. Bush’s, the origins of the term cronyism began with Harding’s government due to criticisms resulting from civic abuses by the Ohio Gang. This cabal of White House officials firmly entrenched interests sympathetic to the American oil cartel. This led to the Teapot Dome Scandel when the Secretary of the Interior, Albert Fall, gave a no bid contract on Naval oil reserves to Sinclair Oil and Pan American Petroleum. In return, Fall received millions of dollars (in todays money) in bribes and pay offs. The congressional Democrats successfully led an inquiry into the abuse and found the assets Fall had used to purchase with the bribe money, the scandal became the Watergate of its time and the court proceedings lasted well beyond Harding’s death in 1923. Fall would become the first cabinet member to be convicted of bribery.

Secretary Albert Fall

Secretary Albert Fall

Governance under Harding had collapsed with the Teapot Dome scandal and his death in office and the more respectable Vice President Calvin Coolidge was thrust into the presidency. Coolidge was also a Presidential patsy for the landed elite just as Harding was before him, but unlike Harding, Coolidge was more politically astute and was able to cover for many of the crimes perpetrated by the US Republican oligarchy. Coolidge oppressed the farmer class heavily during his tenure, allocating many of the benefits of government services to the urban service, business and financial sectors. Coolidge made one, J. Edgar Hoover, the head of the Bureau of Investigation which was to administrate the Mann Act, an anti-prostitution racket agency that was primarily used to collect information on philandering officials and prominent men.  He appointed a rogue’s gallery of politicians to his cabinet to transform the economy into a state of ‘scientific taxation’, which was a euphemism for lowering taxes for the rich and deregulating industry. Herbert Hoover was made Secretary of Commerce, he transferred authority of child labor back to the states and created a mass deregulation program for the economy. Andrew Mellon was also named Secretary of the Treasury; Mellon was opposed to medical marijuana over strongly held racial and classist beliefs. Coolidge made it his mission to fulfill Harding’s obligation to roll back the taxes that the wealthy had instituted during World War I; the war contracts that the wealthy had benefitted from were gone and the financial elite desired to transform the US into a service/financial based economy based on theories of Hayekian supercapitalism. The US had become immensely wealthy through obtaining European gold in World War I and were able to extend their money supply to expand development like never seen before. New York became the hub for the global elite and Hollywood entered its Golden Age through the wealth expansion; lower rates instituted by the Federal Reserve also stimulated economic excess. Taxes were cut three times under Coolidge in 1924, 1926 and 1928; government services were also cut which increased the financial burden on state and local governments.

Calvin Coolidge

Calvin Coolidge

The lower class accounted for over half the US population in the 1920s; wages and profits among the lower and middle class stagnated throughout the 20’s in a similar manner to that of the 2000’s while business profits hit new high watermarks thanks to the easy money. Because of the wage stagnation, low rates, deregulation and easy money, lending criteria was tossed out the window after 1925 by investment banking institutions. ‘Buying on Margin’ became a casual social term. Financial products and instruments that were normally available only to the oligarchical elite were made available to the public at large. Because of the asset and liquidity bubble being generated by the Federal Reserve and the Treasury department, banks offered margin deals on American stock to the middle and lower classes as a means of retirement savings. The American people, largely uneducated in finance, were unaware that the government had created an artificial economy based on low rates, hot money, European bonds, and cheap fiat. Meanwhile, the Republican government was asset stripping itself, reducing taxes and lowering receipts, selling valuable government land to private owners instead of profiting on leases, dismantling government income and also allowing the sale of federally held gold.  However the economy, after 1927 became largely built on the Federal Reserve’s monetary expansion as European investors began to slowly withdraw assets to fight the onset of the Depression brought upon by World War I.

roaring-twenties-vs-great-depression

US culture became greatly defined by what was described in the Great Gatsby in the mid-20s, a have and have not culture. This was called the ‘Weimar Culture’ attributed to attitudes also seen in post-war Germany during the inflationary era of the Weimer Republic. The youth were called ‘The Lost Generation’, disillusioned by war and Wilson’s domestic dictatorship; this generation produced many great authors including Ernest Hemingway, F. Scott Fitzgerald, T.S. Eliot and many others. Cultures like Dadaism emerged that resembled metrosexual cultures of today. Urban populations grew rapidly, crime became a public norm, liberal views of equality for women and gays became prevalent especially among the urban educated, and violation of the Volstead Act or Prohibition was widely in vogue. Family units widely collapsed during the 20s following the early 1920 depression and the fast money environment that ensued afterwards made it economically difficult to sustain having children. The divorce rate increased sharply during the 20’s and the definition of relationships with women widely changed. A sexual revolution of sorts occurred; cosmetics, which had previously only been used by prostitutes and clothing models became extremely popular for the flapper culture.  Open relationships and divorce became normal, especially with the economic difficulties men faced versus the cultural promotion of wealth and excess in the Roaring 20’s. This was widely viewed as a rejection of the ‘Victorian’ way of life. Eugenics was considered ‘science’ and extreme nativism became culturally popular. Xenophobia was a widely held belief following World War I with much of the economic malaise being blamed on the Europeans. The KKK, like the Tea Party, rose up as a reaction to this new liberal culture. The KKK would prove to be the most radical Prohibitionists, forming their own Prohibition Anti-Saloon League lynch mob’s to bust alcohol and medical marijuana speakeasies (“tea pads” in Los Angeles)

roaring-20s-summer

“The white, native-born Protestant American, as a member of the religious and racial majority, was usually incapable of doubting his native institutions. The blame for the maladies of his world must rest elsewhere. And so he looked to other influences – Roman Catholics who supposedly challenged Protestant hegemony and the separation of church and state. Catholic, Orthodox, and Jewish immigrants crowding onto American shores, Negroes seeking more equitable treatment, American Jews who kept living costs up while wages went down, and numerous other elements of frustration before which he felt helpless. Then the Klan entered his community and offered him a way to fight back. It’s not surprising that the Klan’s strongest supporters were residents of the rural and isolated countryside and city dwellers who had just recently arrived from the farm who were shocked by the lifestyles they witnessed in the big city. The drastic changes of the preceding half century had largely passed them by and lessened their influence in the country they felt they had once dominated. Now resentment of city and city people and nativism came together in the form of the Ku Klux Klan.” – Indiana State Library

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Mr. Arnold took to expanding his control over the open US economy through industrial racketeering. Bootlegging proceeds were used to gobble up real corporations like construction companies that would then be used to extort monies from companies they developed for. The actual bootlegging would be left to men from the lower gangland echelons while Rothstein and his higher up associates would provide social and legal cover. Often Rothstein would have his speakeasies and marijuana clubs ceremonially raided by the police under his payroll so that the business would be left alone from future investigations. Rothstein’s gangland penetration of local police departments and Henry J. Anslinger’s Bureau of Narcotics would be critical to his development of the international heroin trade. Rothstein, seeing the opportunities present under Narcotics Prohibition, bailed out several major Chinese opium traffickers in California to assume control of their business in return. To domestically traffic the opium, Rothstein bought a series of art galleries around the country and would often ship fermented heroin through art pieces to keep the authorities unaware. Rothstein would establish the Ports of Los Angeles/Long Beach and San Francisco as two of the largest drug trafficking ports in all of North America.

Old Big Pharma

Old Big Pharma

Almost immediately Rothstein saw a higher return on the syndicate’s heroin sales over their marijuana sales. With heroin their customers could not help but come back for more and would be willing to pay higher prices once their addictions sat in. Marijuana users tended not to use heroin and were ultimately less profitable than their opium addicted counterparts. The narcotics money was washed through the same process that the alcohol and cigarette monies went through, cash would go unreported and would be laundered into gold. Rothstein maintained private agreement with members of the Anglo-American opium oligarchy, to maintain shipments of opium to America from Turkey, India and the Far East in exchange for gold, which Rothstein could easily reproduce. The shipments, in tandem with the illegal alcohol shipments from Canada and Mexico, revealed the beginnings of a private business consortium that was willing to put its full weight behind Rothstein and the American Mob to continue a banned but extremely profitable business from being restricted by a sovereign government. Rothstein, by the time of his death, possessed influence over every major Alcohol and Tobacco distributor in the world; every city machine and sizeable municipal police force was in his pocket; the film industry, under the guidance of his lackey Louis B. Meyer, had become a very lucrative source of income and he had the silent backing of the Anglo-American Pharmaceutical companies that were quietly selling him opium to be sold on the street. The industries under Rothstein’s stewardship would eventually become the Big 5 of Marijuana Prohibition: Big Alcohal, Big Tobacco, Police/Prison Unions, Big Pharma/Opium and Big Oil who became involved with Rothstein after he brought new investment into Southern California.

Louis B Meyer

Louis B Meyer

Organized crime would rule the United States from 1921 until 1932. The power of money was all prevailing following the Financial Crisis of 1920 and Prohibition had practically handed the newly organized Mob a bottomless bank account. Operations under Rothstein were notoriously smooth and came to be known as the Golden Age of the Gangster as ethnic gangs worked in harmony to keep Rothstein’s new cash flows maintained. In the mid-1920’s, Rothstein’s associate, Lou Rothkopf of the Cleveland Mob, came to influence a Bureau of Prohibition officer named Henry J. Anslinger. Rothkopf put Anslinger in charge of overseeing the northeastern heroin rackets, arresting competition and protecting the Syndicate’s operations. Rothstein, realizing the usefulness of having a corrupt police demagogue under his payroll, floated Anslinger several busts to promote his career as a drug czar. The notoriety and connections gave Anslinger official duties as a US drug control advisor and international narcotics control authority. He was promoted by the US government to travel throughout Europe and evaluate the drug control programs of the Western European nations. As the US’ narcotics representative, Anslinger made contact with Rothstein’s business associates within the Anglo-American Opium Cartel; he found that they were very pleased with the outcome of the drug control treaties. Profits had never been higher, despite opium’s international ban, Rothstein’s drug ring had created a large and highly lucrative domestic heroin market in an America powered by hot and fast cash. The British oligarchy, hampered by the economic costs of World War I, empowered Anslinger to set up heroin processing plants throughout the world using their embassies and diplomatic anti-narcotics missions as cover. They realized that the greater the drug sales in the United States, the sooner they would be able to economically recover their war losses through Rothstein’s laundered gold exports to the City of London. Anslinger would travel to all of the major opium producing regions of the world to establish covert factories that would synthesize the raw opium into heroin, the most notorious being the French Connection established between Turkey, Indochina, Sicily, Corsica and Marseilles.

Harry J Anslinger

Harry J Anslinger

However as the money grew, so did the greed among the gangs. Through an unfortunate twist of fate, the Boss of all Bosses, Arnold Rothstein, was assassinated in the fall of 1928 in a barbershop that he owned. The lynchpin to the entire American Syndicate had been killed and the power vacuum left behind by Mr. Arnold was immense. The government launched an immediate investigation into Rothstein’s syndicate, uncovering large heroin networks throughout New York State and Chicago. International heroin production centers were also unveiled in France, Holland and Belgium by the Bureau of Narcotics as being the key to Rothstein’s narcotics empire, however the Bureau had already relocated most of the critical operations to Southern France and Italy by the time of the raids. The Syndicate quickly fell into turmoil as Italian Bosses like Al Capone violently put their foot forward to assume control of the alcohol rackets. Future mob kingpins Lucky Luciano, Meyer Lansky and Frank Costello targeted the gambling and narcotics rackets with the intention of quickly reestablishing the primacy of the Syndicate’s operations as they had been under Rothstein.

Al Capone

Al Capone

With Mr. Arnold’s death, the decorum that had previously taken place within the Mob was gone. Between 1929 and 1934 the American Mafia was virtually a mobsters free for all. Gangs quickly struck out on their own, developing their own scams and rackets; violently competing with each other for control of shipping lanes and turf. The anarchy was accelerated by the Stock Market Crash of 1929. Rothstein’s Gold Ring had reached its nadir, too many dollars (liquidity) had been removed from the economy by the public’s love for the illegal alcohol and narcotics industries. The government, already having cut taxes several times on the populace, found itself in a financial crisis as too much money had been created relative to the national gold supply. The German economy entered hyperinflation in 1929; the European economy had become dependent on War Reparations and the issuance of new bonds to be bought by American investors. The imbalance of the global economy created a crisis in European bonds by 1929 as European countries failed to economically recover from World War I; the default of bonds created a stock market contagion that quickly spread to the United States. As the stock market began to collapse, large margin calls began to wipe out large blocks of liquidity in the market; the US economy had become severely overextended by the speculative bubble. The agricultural and manufacturing sectors had declined due to deregulation, union busting and debt; these sectors composed of the majority of the US economy and were not strong enough to insulate America from the economic shocks to the financial and services sectors. Loans dried up and banks began to become insolvent as their capital investments were reduced to zero.

 

Collapse

The Dust Bowl

The Dust Bowl

Hoover was considered to be a ‘useful idiot’ by Andrew Mellon and the Ohio Gang who had persuaded Coolidge to exit stage right in popularity in favor of Hoover, who was a staunch careerist. Mellon had become the spokesman for the American oligarchy in the 1920s and owned one of the largest international banking firms in New York. He had a great reputation for using fiscal policies to ease credit and reduce the public debt. He was keenly aware of the situation that had materialized within the United States, a large pool of fiat liquidity had amassed without the proper Gold supply to back it; imminent defaults on European bonds would have led to large losses and a categorical reduction in the US gold supply to make good on those losses. Mellon and the Federal Reserve had expanded the dollar supply so rapidly during the Roaring 20’s that the United States could only pay 40% of its gold liability. To protect the bullion interests of the oligarchy, Mellon raised the interest rate and sharply contracted the money supply to deflate the dollar back to gold parity. This decision was fine for oligarchical interests who held large bullion and dollar supplies but was utterly devastating for the American farmer and manufacturer who watched as the prices of their products bottomed out, killing thousands of farm businesses and factories throughout the country. Many of the service sector businesses had become mob owned after 1925 and these businesses practically evaporated with the US money supply.

Hoover returned to the playbook used by Harding and Coolidge; putting forward ideas to cut taxes to stimulate growth while investing in large infrastructure projects to stimulate employment. However, unbeknownst to Hoover, a large portion of the assumed tax base had been fraudulent due to the flourishing of organized crime under the previous administrations. The large majority of the population were farmers, mal-investment led to an overproduction in agricultural goods which compounded with the deflation created by Mellon and the Federal Reserve, crushed the commodities market and all of the American farmer’s profits with it. Manufacturing goods followed suit as factories lost their customer bases and raw material vendors. There was literally no tax base left to be had. Hoover scrambled to provide government aide to the public sectors, creating public works programs to build new federal buildings, passing large agricultural subsidies, and prevailing wage acts to boost growth. Hoover, however would not break with Mellon’s view of keeping a balanced budget, refusing to push the government into debt to stave off the Depression. Instead he ran with suggested ideas like deporting 500,000 migrant workers and helping pass the disastrous Smoot-Hawley Tariff which exploded like a bomb on international trade.

Andrew Mellon

Andrew Mellon

In 1929, following the St. Valentine’s Day Massacre, Hoover became aware of the large hand of international narcotics that had taken control over the economy of the United States. Vast quantities of heroin and alcohol were being produced outside of the country and the dollar income from those sales was being used to buy US and foreign gold. It became apparent that the Bureau of Prohibition had become completely corrupted, thus Hoover commissioned Mellon to use the authority of the Treasury to divide the Bureau into two organizations: The Bureau of Prohibition which was to be formed from new recruits and led by Eliot Ness; and the Bureau of Narcotics, which drew recruits from the old bureau and was led by Henry J. Anslinger. Hoover hoped to mitigate the Bureau’s corruption by focusing them on tackling heroin rackets ran by minorities not realizing that it was the Bureau who managed them. Heroin imports and sales had declined temporarily following the assassination of Arnold Rothstein; the US government mistook this for a decline in popularity of the drug when in fact the Bureau of Narcotics was already in the process of making the international heroin trade more efficient by establishing the French Connection.

Hoovervilles

Hoovervilles

The final nail in the economic coffin would come in 1931. Eliot Ness’s Untouchables had ferociously dismantled Al Capone’s alcohol empire, breaking the Canadian-Seagram’s Connection and pushing the Italian Mobs back into competition for the narcotics rackets. Ness was a national hero in a decade of practical lawlessness and it became clear that public opinion had staunchly turned against the Mob following Capone’s brutal massacres. Traditionally gangland activities had always stayed incognito and behind-the-scenes, but Capone, an Italian, had loudly brought the bloody violence, public corruption and racket competition before the scrutiny of the public. The landed gentry had also earned the ire of the public at large as they were blamed, and rightfully so, for bringing about the economic devastation that had ripped the world apart. Calls for bigger government and the seizure of the wealth’s ill-gotten assets created a panic among the American elite who saw an existential threat to their status in society with the rejection of lessee-faire capitalism as an economic ideology.

depression-5

 

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Trade unionists and economic liberals like Franklin Delano Roosevelt became popular as political candidates, calling for increased taxes and the seizure of monetized commodities. Andrew Mellon, facing impending impeachment, called for a meeting between the Anglo-American elite which included Averill Harriman, leader of the Consortium  and one of the richest bankers in New York. Harriman and Lord Montague Norman of the British Central Bank made a shocking proposal: Norman would raise the interest rate on the pound from 1% to 5%, 1.5 points above the US prime rate with an additional 0.5% on all gold deposits and that all gold would be guaranteed by the English Crown. The Dollar had proven to be a formidable adversary to the international dominance of the British Pound following the First World War. Norman viewed his plan as a painful necessity in maintaining the Pound as the global reserve currency which in turn would maintain the power of the British Empire. Norman’s rate hike would become historically infamous as the coup d’grace to the global economy; literally overnight, vast sums of gold deposits exited the private accounts and accounts of Central Banks around the world. The gold was quickly centralized in the City of London which guaranteed depositor safety from the Crown and higher rates of interest. An international currency crisis immediately followed as non-pound denominated currencies collapsed from the sudden decline in gold reserves. The US economy entered the worst period of deflation in its history, the sudden loss of gold reserves put the economy into complete freefall; banks closed, loans and deposits vanished with the loss of dollar reserves. New money could not be created and old money was being hoarded as prices declined by the hour. The Republican moneyed elite had reached the depths of their own greed and depravity, they had successfully defrauded their own country, the entire country, through the use of organized crime.

Bonus Army Massacre

Bonus Army Massacre

The Great Depression was an unspeakable horror. By the end of 1931, industrial production collapsed by 46%, prices fell by a third, foreign trade declined by two-thirds and unemployment soared by over 600%.  Urban cities filled with citizens from the South and Mid-West, desperately searching for work. Hoovervilles became common with the large population of homeless erecting tent cities to support themselves. The most notorious Hoovervilles’ were in New York’s central park, the Port of Seattle and The Bonus Army, an assemblage of 17,000 World War I veterans and their families in Washington DC led by the famous General Smedley Butler. The federal government had not honored several of the certificates issued to veterans from World War I and Hoover met the protestors with violent reprisals from the local police and the Army which eventually drove the Hooverville from Washington DC.

Continue to Part 3…..

https://thegreenpulpit.com/2014/07/27/the-devils-work-marijuana-in-the-20s-and-30spart3/

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The Devil’s Work: Marijuana in the 1920’s and 30’s – Part 1

Devils Work

Forward – He Who Has The Gold Makes The Rules

The Secret History of the Drug War from the 1920’s and onward, starts to get really heavy with lots of twists and turns between corrupted federal and state agencies, mafia bosses and syndicates, merciless corporations and bent politicians, as well as monarchies and brutal oligarchical agendas. This article unveils the truth about why medical marijuana prohibition happened, it is a long and complex tale that will be divided into several parts for the reader’s convenience. As I stated in my thesis, the goal of these reading’s is to illustrate how the American Drug War built large and lasting institutions throughout the 20th century, how Republican Party primacy was achieved through the War on Drugs and how the Drug War evolved into a uniquely American mechanism of state oppression that would shake the very foundations of our democracy. References and a wider array of empirical evidence will be sited here from time to time but most will be reserved for the book that will be released by this author, hopefully within the year. These articles are primarily for public consumption, meant to educate the public on why our laws are the way they are and to stimulate thought and discussion as to how our laws may evolve to the greater benefit of our families, livelihoods and our democracy.

At the advent of Prohibition there were several political, social and economic circumstances that have to be considered to fully understand its rationale:

  • America in the late 19th and early 20th century had become a state defined by hyper-patriotism, messianic racism, eugenics and racial science, religious revivalism and reactionaries, political corruption and Gilded Age greed.
  • The British Opium Wars and the American Civil War heavily enriched a faction of Robber Barons known as ‘The Consortium ’, ‘The Opium Cartel’, ‘The Robber Barons’ and ‘The Gold Ring’. The Opium Cartel would dominate Republican politics following the Civil War and would include many powerful Republican figures of the Robber Baron Era including William Huntington Russell, John D. Rockefeller, Theodore Roosevelt, E. H Harriman, George Herbert Walker, Leland Stanford, Collis Potter Huntington, Mark Hopkins, Charles Crocker, Jay Gould, Andrew Mellon and Warren Delano Jr.
  • Opium was used prior to 1906 as a medicine and as a weapon of vice against enemy nations. The Anglo-American Opium Cartel profited heavily from both producing both opium and morphine, while owning Chinese Opium Dens and controlling the Chinese people trafficking trade to California through Chinese organized crime. Medical marijuana and marijuana were viewed as competitors to opium and opiate products in America. The Opium Cartel would come to dominate and monopolize western US railway through opium imports from China to California to make morphine. Trade liberalization of opium in the late 1800’s would allow the Opium magnates to help other industrialists build their monopolies through banking deposits and loans.
  • Many of the opium magnates would become major railroad, chemical, oil, tobacco, alcohol and finance powers themselves but the most powerful would evolve their corporations into the pharmaceutical companies that we know today as ‘Big Pharma’. This cabal of ultra-wealthy and their financial networks would historically be known as ‘America’s 60 Families’, the American super-elite who intermarried with ‘the landed gentry’ of Europe. Many powerful American figures would come out of this dynasty, most notably President’s Theodore and Franklin D. Roosevelt, Gerald Ford, VP Nelson Rockefeller, George Bush and George W. Bush, and many others. In the 21st Century, these interests are represented by a faction within the Republican Party that controls Tobacco, Alcohol, Pharmaceuticals, Oil and Prisons otherwise known as the Neo-Conservatives.
  • At the beginning 20th century, Republicans and Democrats were divided into four camps:
    • Roosevelt Progressives (Republican) – Strong military, Gold Standard, Nativist, Big Business, Robber Barons, Anti-Labor, Eugenics, Big Pharma, Big Alcohol, Big Tobacco, Big Firearms, KKK, Close Ties to Europe, Chemical Companies and Banks.
    • Taft Progressives (Republican) – Isolationist, Gold Standard, Anti-Trust, Pro-Labor, Pro-Minimum Wage, Pro Food Control, Public Works, Urbanization, Women’s Suffrage.
    • Business Progressives (Democrat) – Strong military, Gold Standard, Big Business, Anti-Labor, Eugenics, KKK, Social Conservatives and Temperance, Religious Reactionaries, Prohibitionist, Women’s Suffrage.
    • Southern Democrats, Free Silver and Free Soil (Democrat) – Isolationist, Anti-Trust, Pro-Farmer, Pro-Labor, Religious Revivalist, Prohibitionist, Nativist, KKK (mixed pro and con), Anti-Gold Standard, Anti-Eugenics, Small Business.

American politics by 1900 became completely controlled by political machines and big business interests of the American elite, elections were more often than not rigged and were also racially bias due to Jim Crow laws and segregation. Yellow journalism became a powerful tool to influence finance and politics and many newspapers were first opened by the elite, like William Randolph Hearst, the New York Times and the Oppenheimer Family, to harness the power of the media to achieve their political goals. American politics were largely defined by the outcome of the civil war and the imposition of the Gold Standard by the Republicans upon the American people. Wedge politics was heavily influenced by British racial theories and Protestant Revival ministers during the mid-to-late 1800s and as a result social ills were largely attributed to foreigners, targeted ethnicities and classes, their religions, and the industries they were associated with. Newspapers owned by wealthy industrialist families would exploit racial tension and fear as a means to suppress Marxism, Socialism and the new labor movements called ‘Unions’.

The Gold Standard became an economic imposition throughout the world as Great Britain, the holder of the world’s reserve currency at the time, the Pound Sterling, had used the policy to repatriate its own gold from China. Great Britain held a large empire throughout the world that benefitted from global fiat exchanges of the pound which has surfaced out of necessity through the Napoleonic Wars. Large debt excesses to China after 1820 emerged due to gold settlement policies and the British, in order to stave off inflation and economic disarray, engaged in a policy of opium purchases and sales to China.

The plot to sell opium for gold was highly complex and could not have been achieved without the help of American railroad industrialists. China’s population suffered opium epidemics into the 1840’s and realized England was attempting to hook their population on an English owned product prior to returning to a Gold Standard; this would give the British the opportunity to reverse the trade balance and strengthen the British Pound. Regulatory intervention was blocked by the first Opium War and hot money investment flowed into China through the development of the opium trade in California; a market and money bubble would emerge in China during the American civil war through medical narcotics demand from China.

The California Opium Baron’s would pioneer the California railroad industry to ship Chinese and British gold across the United States to New York where it would be delivered to London. Lincoln knew that the Northern Republican elite were descended from British merchant aristocracy and created the fiat greenback as a way to stave off British influence over the Union economy during the war as they were backing both sides. This financial process, after Lincoln’s assassination, led to the creation of the Republican Gold Ring, the consolidation of the 60 families and inevitably the imposition of the Gold Standard in America by the Anglo-American financial elite.

We will explore America’s evolution with medical marijuana through the early 20th century as Prohibition, corrupt government and organized crime would jostle to gain control of the distribution of the herbal medicine.

 

Superpatriotism

kkk took my baby

The noise from among the different medical marijuana camps in recent years have left most Americans, speculating in bewilderment about the reasoning behind marijuana’s prohibition. Figures like Don Duncan of American’s For Safe Access, Thomas Forcade of High Times and Keith Stroup of NORML have often misled the public by primarily attributing marijuana prohibition to petty racism and cultural attitudes of the late 1930s.  Wiser heads like Jack Herer left evidence pointing to more sinister machinations surrounding the chemical company DuPont Nemours (DuPont-Astor-Roosevelt), Monsanto, Koch owned paper companies like Georgia Pacific and to no surprise, Big Tobacco companies like Phillip Morris and RJ Reynolds.

However, even with all of this ‘evidence’ the citizenry seem unable to draw a definitive conclusion as to why medical marijuana is illegal, it just doesn’t add up. If medical marijuana was used as a medicine in America for almost 150 years, why would it be suddenly just taken away? Was fervent patriotism and racism enough? How could the medical community so recklessly group marijuana with opium? Were Big Tobacco and Big Pharma politically able to do it alone?

The key to understanding all of the above, is to inherently understand the nature and foundation of Prohibition itself. In order to do this we must take an honest and sober look at the politics and society of the United States up to the initiation of Prohibition in 1919. America from the Spanish American War onward had been imbued with a sense of Superpatriotism that was commonplace among the Western nations prior to World War in 1914. The American economy had rapidly emerged as the world’s leading industrial economy and like so many industrializing nations, had found itself in a state of class war between Big Business and the newly emerged organized labor.

Anti-Saloon League Poster

Anti-Saloon League Poster

The rise of labor power in America came as a symptom of organized industrial corruption that had come to pervade all aspects of society from the 1880s through the 1920s. Big Business responded to labor with violent repression through their political front men and by sponsoring racial-religious organizations like the Temperance Movement, the Anti-Saloon League, the KKK, the Know Nothings and other various Protestant nativist groups that would keep the middle and working classes divided. America was also defined by an immense wealth disparity between the rich and poor. The wealthy insulated by the Gold Standard from the working classes, indulged in Eugenics and Racial Sciences to justify not only their race but also their positions in society and in the world.

KKK

This amalgamation of forces would soon spiral out of control under the dictatorial presidency of Woodrow Wilson. The period of Woodrow Wilson’s presidency was defined by racial hyper-nationalism that can only be resembled in very small part by American patriotic fervor experienced during Ronald Reagan and 9/11. The hyper-nationalist movement was intensely public, demagogic, intimidating, exceptionalist and intensely race based; claiming that Protestant white America had been blessed by God through genetics to lead the world. Wilson himself was a pawn and collaborator of big business interests; the Republican-Consortium  machine had put their weight behind him following their disastrous experience with William Howard Taft and Wilson had shown to be a trustworthy replacement. Wilson himself was a high ranking member of the KKK and had silently supported the marketing of heroin over morphine for Big Pharma while publically endorsing the limiting of alcohol, marijuana and natural medicines, blaming them for bringing about the influence of socialism and communism.

Woodrow Wilson

Woodrow Wilson

Wilson’s personality was able to successfully merge The Temperance Movement, Women’s Suffrage, the KKK, Anti-Saloon League and Know-Nothings into one far right extremist faction under Democratic leadership that he used as a political tool to carry out his ambitions. The Temperance and Women’s Suffrage Movement would distract from labor and provide political cover for Wilson, while the KKK and Anti-Saloon League would play the violent role of the strike breaker and riot ultra. Wilson played upon the racial fears of the South and incited Protestant ministers with propagations of anti-Semitism, interracial relations and plots from the Vatican to improve his standing.

The Second Klan saw threats from every direction. A religious tone was present in its activities; “two-thirds of the national Klan lecturers were Protestant ministers,” says historian Brian R. Farmer. Much of the Klan’s energy went to guarding “the home;” the historian Kathleen Bleeits said its members wanted to protect “the interests of white womanhood.”

“The pamphlet ABC of the Invisible Empire, published in Atlanta by Simmons in 1917, identified the Klan’s goals as “to shield the sanctity of the home and the chastity of womanhood; to maintain white supremacy; to teach and faithfully inculcate a high spiritual philosophy through an exalted ritualism; and by a practical devotedness to conserve, protect and maintain the distinctive institutions, rights, privileges, principles and ideals of a pure Americanism.

“The massive immigration of Catholics and Jews from eastern and southern Europe led to fears among Protestants about the new peoples, and especially about job and social competition. The Great Migration of African Americans to the North stoked job and housing competition and racism by whites in Midwestern and Western industrial cities. The second Klan achieved its greatest political power in Indiana; it was active throughout the South, Midwest, especially Michigan; and in the West, in Northern California, Colorado and Oregon. The migration of both African Americans and whites from rural areas to Southern and Midwestern cities increased social tensions.”

Wilson’s suppression of the labor movement was essential to the power of Big Business at this time. Big Business, especially Big Pharma, were undergoing a transition into the war economy in 1914 following the passage of the Federal Reserve Act the year prior to centralize finance. Large businesses began centralizing operations and staking their bets in war contracts behind the armies of the warring European nation states. Wilson passed several unlawful executive orders curbing laborers first amendment rights to speech and assembly to help suppress labor resistance for the American corporations while they engaged in grand scale war profiteering. During the war, labor strikes were met with brutal reprisals, including the Ludlow Massacre of 1914 at John D Rockefeller’s Colorado Fuel & Iron Company, in which 1200 striking coal miners and their families were brutally attacked by the Colorado National Guard resulting in the deaths of 25, including women and children who had been burned alive. Wilson derided the unions as socialists, enemy saboteurs and German sympathizers; with his extremist lobby groups promoting alcohol, opium and marijuana as the cause of labor unrest.

Ludlow Massacre

Ludlow Massacre

Marijuana use would have its first negative use association during World War I as it was often used by tradesmen and unionists in their downtime to heal from work stresses. Marijuana was blamed for the laborers affinity for communism and socialism, derided as being confused from their overuse of medicinal and herbal marijuana leading to their subversive nature. These newspaper articles and campaigns would become the precursor to William Randolph Heart’s Reefer Madness campaigns in the 30s. The KKK and the Temperance Movement saw an easy target in Marijuana, they could achieve their political ends by linking marijuana use to minorities and whites of low social standing. Republican and Democratic city administrations saw the opportunity to expand the power of their police forces by supporting these political agendas, by banning marijuana use police forces could freely enter minority neighborhoods and increase arrests. Cities could also impose greater neighborhood controls on the basis of drug use. This led to a spread of prohibitive ordinances in many cities throughout the country following the Harrison Tax Act of 1914.

William Randolph Hearst

William Randolph Hearst

Marijuana was especially targeted by the Californian conservative oligarchy because of the deep resentment held towards minorities by new Southern white immigrants who had been disaffected by their exploitation under Southern Reconstruction. Many Southerners and Mormons, following the Civil War moved to California to capture the tail end of the Gold Rush; following 1880 another large influx of Southerners and Northern Know-Nothings moved to California to participate in the oil and logging boom. They established conservative bastions throughout the state, most notably in San Diego, Anaheim, Long Beach, Simi Valley, Pasadena, Bakersfield, Fresno, Oceanside, Sacramento, Ventura and Oroville. Strong bureaucracies within these city governments were created to ensure the continuation of the personal and corporate interests of the new Southern gentry and bar ethnic minorities from equitable representation. Many of these administrations expanded in the 20’s and 30’s, drawing their ranks from the KKK, Nazi sympathizers, and Southern recruits with strong segregationist beliefs. These types of individuals were especially targeted for police recruitment, filling the ranks of the LAPD, SFPD and countless Sheriff’s Departments throughout the state.

KKK in Anaheim

KKK in Anaheim

America under Wilsonian Democracy brought about the triumph of elite wealth over the middle and lower classes in not just industry but in education and ethics as well. The rise of Communism and Marxism throughout Europe had created a boogeyman for the American industrialist to use against the American laborer.  This fear would be used to promote American involvement in World War I. William Jennings Bryan, a champion of the poor and faithful from the South had watched his influence within the Democratic Party wane under the power of Wilson’s Business Progressives’ and their alliance with the Southern KKK. Bryan had previously struggled against the Republicans under William McKinley and Theodore Roosevelt to combat the Gold Standard and the economic subjugation that had resulted for the American farmer. Bryan now found himself now found himself battling against the Progressive’s in all aspects of politics while serving as Wilson’s Secretary of State. For one, the Progressive’s had asserted eugenics, social Darwinism and racial sciences as fact rather than theory; pushing the rejection of religion and monotheism from the classroom in favor of a racial science based curriculum. Bryan would later take this on in the infamous Scopes Monkey Trials in the mid-20s. More importantly, The Progressive Republicans and Democrats, united by William Randolph Hearst and Big Pharma and led by Theodore Roosevelt, began to put immense pressure on Wilson to enter World War I.

Big Pharma profited immensely from World War I by selling opium, morphine and heroin to the European nations through military contracts, especially to Russia who was ill equipped but possessed the largest army. By 1915, Russian losses were mounting and the American industrialists had become concerned that Russia would not be able to continue to purchase the massive quantities of narcotics needed to supply their troops. Big Pharma seeking to continue the war time profits and an extension of the war heavily funded the Republican and Democratic KKK to pressure Wilson into putting US troops in the war. Bryan, a political enemy of Big Pharma and a pacifist, had led the passage with the Temperance Movement of the Harrison Tax Act of 1914 in a bid to limit the power of Big Pharma in America and end the nation’s Heroin epidemic that occurred during the previous decade. Bryan, with good intentions, supported the Act to damage the opium trade, seeing it as the source of Republican power and the money power behind the Gold Standard and the Robber Barons; he actually encouraged the use of marijuana as a regulated medicine but saw ‘the regulations of poisons’ as a pretext to limit the power of the Opium trusts.

William Jennings Bryan

William Jennings Bryan

Bryan epitomized the prohibitionist viewpoint: Protestant and nativist, hostile to the corporation and the evils of urban civilization, devoted to personal regeneration and the social gospel, he sincerely believed that prohibition would contribute to the physical health and moral improvement of the individual, stimulate civic progress, and end the notorious abuses connected with the liquor and opiate traffic. Hence he became interested when its devotees in Nebraska viewed direct legislation as a means of obtaining anti-saloon laws.”

However, with the Harrison Tax Act, Big Pharma had successfully directed the Republicans to amend the tax act with the goal of leaving foreign sale and distribution of opium and heroin legal and abolish copyrights and patents of foreign formulas that had been held by Germany on the grounds of national defense. Trading embargoes by the German’s during World War I, along with supply shortages to Russia compelled Big Pharma to support US entry into the war to create a new market for its highly regulated opiates. Lobby pressure on Wilson’s Administration forced Bryan out of the White House in 1915, radicalizing Bryan to put his full power behind Prohibition and the new Anti-Evolution movement that had surfaced as an extreme response to the inculcation of eugenics in schools. Bryan saw these movements as an effort in social morality, not so much as to what they represented, but in that the Democrats could effectively combat the influence of the Northern Industrialists using the ethical platform.

President Theodore Roosevelt

President Theodore Roosevelt

Theodore Roosevelt, Bryan’s adversary, enjoyed a very strong post-presidential public and political reputation and was able to portray Bryan’s efforts, prior to WWI, to coordinate the US Army against Pancho Villa during the Mexican Civil War as ‘weak and humiliating’ to a hyper-nationalist public. The British blockade in 1916 on continental Europe would put pressure on the industrialist’s war profits and in turn, the pressure was put on Wilson’s re-election to ensure compliance with their demands for US involvement in the war. Wilson catered to the Republican’s demands, moving left politically to assuage labor voters, bringing in the coalition of Roosevelt Republicans to narrowly defeat Charles Evan Hughes and the Taft Republicans in the 1916 election. Wilson’s successful re-election allowed the floodgates on war profiteering to slam wide open. Famous Marine General Smedley Butler would later recount the utter corporate corruption that occurred during WWI in his now infamous book “War is a Racket”. Record gold imports by the US Treasury and US corporations for arms and supplies sales to Europe during World War I would occur at this time, enriching many American industrialists beyond their wildest dreams. The transfer of gold from Europe to America would be key to both America’s future economic power and key to the dominance of American big business in the century to come. Sales of opiate medication was the number one tradable item for gold during World War I and always remember “he who has the gold makes the rules”.

 

The Great War Changes The World

World War I

World War I

World War I is one of the most generationally traumatic events to ever occur in human history. It was the culmination of centuries long rivalries between the church, the monarchy and the moneyed elite for control of at the first the continent of Europe and then the world. World War II, nuclear weapons, The War on Drugs, financial crimes and panics of nations, and revolutions that followed would never have occurred without it. World War I was the first change in the order of the world since the fall of the Roman Empire and the rise of Charlemagne.

World War I was carefully crafted and planned by the monarchy and moneyed elite as a sick and perverse social and economic experiment; as we had discussed before, racial and cultural supremacy along with eugenics were cultural beliefs of the day. The elite viewed racial theory as a form of ultimate human competition with themselves being the best competitors of their own races and nations. The monarchs were at the head of the elite bloodlines and marriage into royal bloodlines became an obsession of the American and European industrialists from the 1880s to the 1920s. King Edward VII, King of England from 1901-1910 and son of Queen Victoria, had viewed the Third French Republic and the new German Empire as an existential threat to Anglo domination of the world. Edward was a politically powerful king with a vast network of friends in the international financial community who created the idea of the war as a potential goldmine for war profiteers and as a way to ‘keep Europe in balance’. France, Russia, Austria and Germany would square off on the continent of Europe while British and American pharmaceuticals, gun-makers, banks, oil and chemical manufacturers, steel makers and the shipping industry would all profit heavily from supplying the war effort. American and British gold supplies were heavily interlinked, thus America could be used as a source of war credit for England to maintain the war for several years.

King Edward VII

King Edward VII

Edward also saw the war as the way to maintain the international supremacy of the British Empire, something that had come to be challenged in recent years by German super-nationalism and German gold mining. The king wanted pound sterling financial supremacy to continue and this could only be done by heavily indebting the other European nations through war.   He manufactured the Entente Cordial with France to create a balance of military alliances with Russia and England against Germany and Austria-Hungary; he often criticized his own nephew, Kaiser Wilhelm II of Germany, known for his temper, to openly to stoke diplomatic tensions. Edward also reformed the British military in preparation for war, creating the Expeditionary Force with the thought that the French would bear the brunt of the assault. German militarism under the Kaiser had also taken a hostile tone with the dismissal of Bismarck and the realignment of foreign policy for a war with England. The moneyed elite on both sides wanted the war, to expand their own wealth, redefine international trade, test the mettle of their military machines and to see which European tribes were indeed superior on the battlefield.

War broke out in 1914 following the assassination of the Archduke Franz Ferdinand of Austria in Serbia. Kaiser Wilhelm promised German support against Serbia, taking the bait offered by King Edward and triggering a war with Russia and the alliance system. The war break out in colonial hotspots around the globe but the primary focus of the war would be on the Western Front between France and Germany and the Eastern Front between Germany and Russia. Trench warfare, tanks, machine guns, air warfare and chemical warfare would make their debut reigning chaos across Europe. American troops were committed to the war in 1917.

World War I Map

World War I Map

Shades of the Iraq War persisted throughout the conflict with cost plus contracts, supply shortages, unsupplied payments and pay offs to participant commanders. Wilson and the Northern Industrialists transformed the US economy into a war economy of whose basis was total profit for the wealthy at the expense of poor. The Federal Reserve Act enforced the new Federal Income Tax to subsidize the war profiteers, using the tax monies to pay for the war contracts. Big Business were able to essentially wash their own money through the war knowing that any taxes paid would go to pay the contracts and war bonds they held. The First World War proved to be the most single profitable event for the American Upper Class beyond the Civil War itself, pushing them to a new height of power and influence unseen before in the world.

World War I’s legacy would impose its mark on every major military event since its occurrence, for it would trigger a chain of events that would lead to some of the most infamous events in world history. Engineering of war contracts by big financial names like JP Morgan, Rockefellar, Bernard Baruch and many other kings of Wall Street led to the beginning of Wall Street’s winner take all economy in the 20s as the Upper Class saw that they could plunder the populace at will. Wages had remained stagnant despite the imposition of production increases for the war, management refused to pass profits downward and labor unions were formed to oppose both the war and the harsh conditions that they were subject to by employers.

worldwar1battle

The war would claim 39 million lives, both soldier and civilian, and would rewrite the balance of power for the entire world. The monarchy of Russia had been completely overthrown by a communist revolution and was left in a brutal state of civil war; the monarchy of Germany itself had also been overthrown and had been replaced by an oligarchical republican government. France and England found themselves in a state of financial and military disarray, exhausted resources and war time debts to the United States had left them in a dependent position. Most of the European countries left the gold standard during World War I, however the US had remained on the standard to allow its industrialists to settle supply shipments in gold payment. The United States would emerge as the wealthiest nation in the world.

 

The Labor Crisis of 1919

Steel_Strike

 

1919 was a bell weather year for the United States as social pressures at home reached their boiling point and exploded. Despite the conclusion of the war, the United States remained in a state of wartime centralization and it had appeared that Wilson had no intention of demobilizing the power of the war profiteers. The Russian Revolution of 1918 also had empowered the spirits of labor movements worldwide as the Empire of the Russian Tsar collapsed under a workers revolution and a new Soviet state had been established much to the shock of the entire western world. Europe itself had devolved into a state of conflict between socialists and the emerging fascist groups born out of the disaffected military elite fighting to retain their royalist privileges. In the United States there was a feeling of disdain and skepticism following the war toward the economic rhetoric of the Upper Class, and the government itself which was seen as servants of wealth and pickpockets of the people.

Coming_out_of_the_smoke

The First Red Scare broke out in 1919 over a dispute between newly formed labor unions and the war time provisions business leaders had used to oppress and bust the unions. The action began right away in early January when the Seattle General Strike broke out with over 60,000 shipyard workers striking for higher wages. The strike paralyzed Seattle and there was a general fear among the wealthy class that America now risked a Proletarian Revolution as seen in the Soviet Union just a year before. The Mayor of Seattle had 3000 police and federal troops engage with the rioters deriding them as anarchists. The Yellow Press owned by several members of the 60 Families and upstarts like William Randolph Hearst accused the Strike as being an attempt at Communist revolution. The General Strike would end the following month following labor negotiations and the government would respond to the striking workers with the creation of the Overman Committee.

“The Overman Committee was a special 5-man subcommittee of the U.S. Senate Committee on the Judiciary chaired by North Carolina Democrat Lee Slater Overman. First charged with investigating German subversion during World War I, its mandate was extended on February 4, 1919, just a day after the announcement of the Seattle General Strike, to study “any efforts being made to propagate in this country the principles of any party exercising or claiming to exercise any authority in Russia” and “any effort to incite the overthrow of the Government of this country. The Committee’s hearings into Bolshevik propaganda, conducted from February 11 to March 10, 1919, developed an alarming image of Bolshevism as an imminent threat to the U.S. government and American values.”

Tensions were further inflamed following the landmark Supreme Court decision of Schenck vs. The United States, a case where one Charles T. Schenck, a member of the American Socialist Party, had been indicted under Wilson’s Espionage Act of 1917 for distributing subversive anti-war leaflets to military draftees during World War I stating that the Draft was illegal under the 13th Amendment. Schenck had appealed under his First Amendment rights but the Supreme Court upheld his conviction. To many this was seen as a travesty of justice and a declaration that the courts would be against organized labor for the time to come. The American Legion was formed following the verdict to put down unions by hiring unemployed veterans to form mercenary like security squads that would assist the police in quelling strikes and riots. Mitchell Palmer, an avowed anti-labor politician, was selected by Wilson to be his last Attorney General and squelch the labor menace.

Seattle shipyard

April grew even tenser, as prominent labor leader IWW head Eugene Debs was incarcerated for speaking out against the war and the Wilson Administration’s perpetuation of the war economy. The Boston Telephone Strike would soon follow as 9,000 telephone operators went on strike in New England. Strikebreaking groups were successfully beaten back by unions and the wage increases were implemented. Union reactionaries responded to the Debs imprisonment by mailing 36 mail bombs to several government officials, Attorney General Palmer and industrialists including John D Rockefeller. Unions like the AFL, CIO and IWW started looking for financial backing to step up their resources against the increased political pressure from the money industrialists. Strikebreakers were often aided by the police and the local city machines which were often ran by the Irish Mobs on behalf of the city’s landed gentry. Jewish and Italian gambling racketeers from ethnic immigrant gangs out of Cleveland and New York had rivalries with the Irish dating back to the late 1800s and would start providing financing and muscle to unions to help them conduct their strike activities against the municipal apparatus.

These racketeers would help finance the May Day Strike of 1919 which was a multi-city general labor protest in Boston, New York and Cleveland. Police tried to stop the marches but were overran by union organizers and mob thugs. Veterans and soldiers joined in the protest burning their military uniforms and government war propaganda. The largest protest was organized in Cleveland in support of the union candidate for Mayor; the Rockefellar Consortium organized a group of War Loan workers to form a gang and attack the protest, leading to a riot and street violence. Rockefellar and Oppenheimer-owned news magazines blamed the laborers, drug use and communism for inciting the War Loan workers to attack.

Rent_Strike,_New_York_Times,_1919

The following month in June eight large mail bombs with up to 25 pounds of dynamite each were sent to several US cities with political and business targets alike. Mailers were sent with the bombs accusing the recipients of inciting class warfare and domestic subjugation.  The newspapers worked hard to frame the entire labor movement as an anarchist movement and this was aided by Wilson’s doubling down on Women’s Rights to Vote and Prohibition to keep the family focus on social management rather than labor rights. However by Mid-Summer the Chicago Race Riots would break out in what became known as Red Summer.

Chicago Race Riots

Chicago Race Riots

Red Summer was a culmination between labor tensions ongoing throughout the year and the influx of African American labor from the South into the Northern industries that had started during the decade. African Americans were largely blamed by the racial policies of the Wilson government as being socialist instigators in their demands for equal rights in both society and the workplace: “Authorities viewed African Americans’ advocacy of racial equality, labor rights, or the rights of victims of mobs to defend themselves with alarm. In a private conversation in March 1919, President Wilson said that “the American Negro returning from abroad would be our greatest medium in conveying bolshevism to America.”

Riots broke out all over the country with race riots breaking out in South Carolina, Texas, Arizona, and Illinois. Struggles between blacks and whites broke out in the military over Wilson’s policies of re-segregation, undoing much of the progress that had been achieved since the Civil War. Chicago saw the greatest violence break out between the black community and the police over police killings and unsolved murders. Government accusations of communism led to white lynch mobs killing black citizens throughout the country. Militias on both sides were formed leading to several skirmishes through the South. Race riots would continue ceaselessly for all three summer months of 1919.

headline

Deep divisions among the socialist political representatives emerged during their attempt to organize. Some factions wanted to work for Lenin’s Comintern, while others proposed an independent American communist organization and center-left unionist organizations. The Boston Police Strike would also break out during Red Summer, the AFL unionized the policemen who immediately went on strike for higher wages and benefits.

Police Commissioner Edwin Upton Curtis denied that police officers had any right to form a union, much less one affiliated with a larger organization like the AFL. During the strike, Boston experienced two nights of lawlessness until several thousand members of the State Guard supported by volunteers restored order, though not without causing several deaths. The public, fed by lurid press accounts and hyperbolic political observers, viewed the strike with a degree of alarm out of proportion to the events, which ultimately produced only about $35,000 of property damage. A report from Washington, D.C. included this headline: “Senators Think Effort to Sovietize the Government Is Started.” Senator Henry Cabot Lodge saw in the strike the dangers of the national labor movement: “If the American Federation of Labor succeeds in getting hold of the police in Boston it will go all over the country, and we shall be in measureable distance of Soviet government by labor unions. “The Ohio State Journal opposed any sympathetic treatment of the strikers: “When a policeman strikes, he should be debarred not only from resuming his office, but from citizenship as well. He has committed the unpardonable sin; he has forfeited all his rights. The strikers were called “deserters” and “agents of Lenin.” The Philadelphia Public Ledger viewed the Boston violence in the same light as many other of 1919’s events: “Bolshevism in the United States is no longer a specter. Boston in chaos reveals its sinister substance.” President Woodrow Wilson, speaking from Montana, branded the walkout “a crime against civilization” that left the city “at the mercy of an army of thugs.”

In September of 1919, the AFL voted with the steelworkers unions to have an industry-wide strike. Half of the US steel industry was immediately shutdown posing a threat to the power of steel barons like Andrew Carnegie. The Steel Barons paid the newspapers handsome sums to turn public opinion against the steelworkers and brought in 40,000 immigrant scabs to work the factories. Union power was widely blamed on the influences of alcohol and the vices of alcohol, marijuana, prostitution and opiates. The political discourse had become dominated by the radical KKK, Eugenics, Anti-Union and Temperance Movements who were all calling for large scale sterilization and prohibition programs. Rejection of law became popular as a cultural motif for the 1920s because government overall was seen as corrupt and subservient only to the upper classes. Narcotics abuse had also become an urban problem with the rise of popularity of heroin and the prevalence of post-war opium addiction. Heroin had out popularized Medical Marijuana as the narcotic of choice during that decade but had been regulated out of the market by the Harrison Tax Act, leaving a market opportunity for a Jewish gambler and fixer named Arnold Rothstein.

– The Green Chazzan

Continue to Part 2…

https://thegreenpulpit.com/2014/07/27/the-devils-work-marijuana-in-the-20s-and-30s-part-2/

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Narc vs. Narc 2: The California Cannabis Coup D’etat

chi-20140525-001

Why was medical marijuana conceived? To quote a great man, it was conceived “to free a plant, to free a people, to free a planet”. Marijuana’s past had been lost in over a century of prohibition brought upon by an extreme belief in the pseudoscience of eugenics, previously used as a medicine to heal the central nervous system and the immune system for thousands of years. Marijuana had nearly come to be free again several times in the 1960’s and 1970’s but, due to financial forces seeking to keep the plant bonded and the people dependent on their products and services, the promised reform never came. The state created an organization called the Drug Enforcement Agency who were given carte blanche to enhance the prison complex by distributing drugs from cannabis to crack throughout the United States to entrap US citizens and confiscate their wealth for four decades. So medical marijuana had to be created, to free the pharmaceutical benefits of a plant, to free a people from an abuse of power and to free the planet from abuse of its resources.

Compassionate Use

Dennis Peron and Jack Herer - Heroes of Marijuana

Jack Herer and Dennis Peron – Heroes of Medical Marijuana

The modern era of medical marijuana reform in the United States began with the passage of the Compassionate Use Act of 1996 also known as Proposition 215. The Proposition was created by famous Pioneers of Medical Marijuana Dennis Peron and John Entwhistle Jr. in collaboration with the old Prop 215 gang Anna Boyce RN, Valerie Corral, Dale Gieringer, Thomas Seiler, William Panzer, the infamous Scott Imler, Steve Kubby, and psychiatrist Tod H. Mikuriya. Proposition 215 was organized when Peron united with Los Angeles AIDS commissioner Richard Eastman and Dr. Charles Farthing of the AIDS Healthcare Foundation to lobby the State of California to make medical marijuana available to critically and terminally ill patients throughout the state.

Most Americans don’t realize that when Proposition 215 was first created there was a clause that existed within the bill that prevented law enforcement from abusing their powers to turn California into a state of quasi-legality and quasi-enforcement, there was more comprehensive allocations to the patients regarding insurance and general protections from prosecution were clearly delineated. However on the eve of the due date of Prop 215’s ballot signatures, Peron had come to realize that they did not have enough signatures to introduce Prop 215 on the ballot. Peron and the other Pioneers knew that the window of government allowance for such a piece of legislation would be short. They were desperate to find funding and gather enough signatures, Peron found himself without a choice and he turned to the only willing hand, George Soros.

George Soros

George Soros

George Soros had a long held interest in medical marijuana because he has heard rumors that the DEA had buried studies since the 1960s showing that certain strains of medical marijuana could extend life. Soros, already a major shareholder in several large pharmaceutical corporations throughout the world, wanted to dominate the cannabis seed market and take control of literally the entire marijuana market for his own profit, much like how Edison stole many inventions from Tesla so did Soros seek to steal cannabis’ medical secrets from the hippies and masters of medicine like Dennis Peron and Jack Herer. Peron, delinquent on signatures and funding was left with little choice but to cave in to the corporate consortium led by Soros and followed by business magnates like George Zimmer and Peter Lewis.  Soros used his financial and political prowess to immediately dominate the political proceedings for Proposition 215.

Soros quickly worked to build his alliances within the state by promising more leeway to the medical community in the legislation while also cutting a deal with the California Police Unions and Prison Unions to allow law enforcement activities against patients and dispensaries to continue unabated. Both Soros and Peter Lewis saw that it was in their interests to keep a law enforcement loophole open so they could employ gangs, corrupt police and DEA officials to conduct raids against competition, namely his former Prop 215 business partners the Pioneers of Medical Marijuana and the Green Triangle.

Peter Lewis

Peter Lewis

Soros and Lewis would act upon this ruthlessly during the Bush years as they would soon discover that their dispensaries had trouble competing with the superior growing techniques of the Emerald Triangle and the California Hippies who had been growing themselves since the beginning of the Vietnam War. The hippies believed in the spirit and moral guidance of the original Proposition 215 and they tried to offer the marijuana at lower cost with superior quality to the people of California. This was completely contradictory to Soros’ plan, as he sought to monopolize the finer seeds and utilize them to develop pharmaceutical syntheses that he could patent and control. Soros turned to the Republican Party who had experience from the Sensimilla Wars of the late 70’s to early 80’s in creating intimidation campaigns against growers and doctors in California. Despite Democratic leadership, Republicans had been deeply imbedded in the executive offices of the government since the Nixon and Reagan eras; the DEA was practically a drug running paramilitary wing of the GOP after being utilized by the CIA to run operations in South America in the 70’s and 80s. They were especially loyal to Consortium power brokers like George H.W. Bush whose son, George W Bush, was unfortunately fated to win a controversial election in Soros’ favor in 2000.

The Bush Doctrine

That's Our Bush

That’s Our Bush

When George W Bush came to power, our long national nightmare truly began and to add insult to injury the Bush Justice Department catered to Soros’ demands: eliminate competition within the Emerald Triangle to the best of their ability and deliver the seeds of the hippies to him in which Soros would ensure premium compensation. Bush, on behest of his father Bush Sr. who shared financial interests with Soros in pharmaceutical opium from abroad, sent Dick Cheney to meet with a private group of individuals of which included Peter Lewis, Paul Wolfowitz, George Soros, the Reynolds family, the Seagrams family and a number of other billionaires to discuss the ‘opportunities’ the impending conflict in Afghanistan could provide. Many of the executives in the room were top Anglo-American pharmaceutical interests who were primarily interested in dealing with the Northern Alliance warlords of Afghanistan and acquiring the best opium on the planet to be used to mass produce millions of painkillers throughout America and Europe.

Gulbuddin Hekmatyar

Gulbuddin Hekmatyar – Afghan Opium Warlord

Soros and Lewis made their opinions clear at the meeting that they were more interested in the rare sativa and indica found in the regions of Afghanistan and Pakistan. Along with the new heroin route from the Golden Crescent to the Middle East, it had to be guaranteed that large supplies of rare cannabis and especially cannabis seeds were included. Routes were also created through Pakistan to India and Thailand to ship cannabis and heroin eastward to California.

“…….after American and British troops invaded Afghanistan, removed the Taliban and installed the interim government, the land under cultivation leapt back to 285 square miles (740 km2), with Afghanistan supplanting Burma to become the world’s largest opium producer once more. Opium production in that country has increased rapidly since, reaching an all-time high in 2006. According to DEA statistics, Afghanistan’s production of oven-dried opium increased to 1,278 tons in 2002, more than doubled by 2003, and nearly doubled again during 2004. In late 2004, the U.S. government estimated that 206,000 hectares were under poppy cultivation, 4.5% of the country’s total cropland, and produced 4,200 metric tons of opium, 76% of the world’s supply, yielding 60% of Afghanistan’s gross domestic product.[98] In 2006, the UN Office on Drugs and Crime estimated production to have risen 59% to 407,000 acres (1,650 km2) in cultivation, yielding 6,100 tons of opium, 82% of the world’s supply.[99] The value of the resulting heroin was estimated at $3.5 billion, of which Afghan farmers were estimated to have received $700 million in revenue. For farmers, the crop can be up to ten times more profitable than wheat. The price of opium is around $138 per kilo. Opium production has led to rising tensions in Afghan villages. Though direct conflict has yet to occur, the opinions of the new class of young, rich men involved in the opium trade are at odds with those of the traditional village leaders.”

BBC News Aug 2, 2006 “UN Warns of Soaring Afghan Opium”

Soros needed a man to go around the world and arrange a centralized seed distribution system that he could control. The man for that job was someone with whom Soros had worked with before to control cannabis in Holland, Arjan Roskam the so called ‘Strain Hunter’. Roskam was connected globally to drug cartels and could use his connections with South American, African and Asian narco-traffickers to import their strains and also make the seed pipeline more efficient for his benefactor Soros. Watching the most recent marijuana special on Vice News featuring Roskam, it is clear to see that he is connected to narco-traffickers in Colombia.

Arjan Roskam

Arjan Roskam

Soros was able to entrap many of the California growers by introducing exotic seeds from Afghanistan, rare indicas that were not previously available on the shores of California. From a grower’s perspective, how could they pass it up. The potential of the new plants were relatively unknown and the prospect of newer, stronger, healthier, more potent and better pharmaceutical grade plants was impossible to simply just be left alone. After the growers created the strains Soros and his consortium would use their DEA assets to raid the farms and seize the seeds while arresting its creators. This led to large scale friction and distrust of other up in Northern California; the marijuana movement had been contaminated by the corporate oligarchy from its beginning.

Arjan Roskam on Vice News:

George Soros and Peter Lewis next formed three lobby organizations that hired Bush DEA officials in favor of their agenda, the Marijuana Policy Project, Americans For Safe Access led by rogue DEA agent Don Duncan and the Drug Policy Alliance led by Ethan Nadelmann. The goal of all three of these organizations was to use the influence of the billionaires to pressure municipal legislators into enacting legislation that disqualified and disallowed their competition from going into business.

Marc Emery

Marc Emery

Marc Emery was also an individual that came under the influence of Soros and Lewis following the passage of Prop 215 in 1997. Emery, like Peron, had hoped Soros influence would be enough to empower him to defy the Canadian government and bring about marijuana reform in Canada as well. After being raided several times by Canadian authorities Emery was beginning to see the game that was being played, many of his farmers were being sold out by his new business partners to the Canadian government in exchange for their seed hauls which Soros was gobbling up by the truckload.

Emery defied Soros and Lewis by starting a mail order seed service that became the largest in the world, distributing hemp and marijuana seeds to every corner of the Earth in an attempt to stop Soros and Lewis from cornering the global marijuana seed market by taking over Canada and then California. Soros and his partners would inevitably have Emery imprisoned and extradited to the United States in 2005 as punishment for what Soros viewed as the ultimate sin.

Welcome home Marc.

Proposition 19

Rouge DEA - Richard Lee

Rouge DEA Agent Richard Lee

Prop 19, also known as the “Regulate, Control and Tax Cannabis Act” was created to monopolize the California marijuana industry under the power of Soros and his consortium. A new upstart group was formed from Duncan, Nadelmann, Steve DeAngelo, Richard Lee,  and some of the more greedy members of the marijuana elite to lead a business coup against the Pioneers of Medical Marijuana in the form of the legislation known as Proposition 19. The group had already made a fortune selling out rival dispensaries and growers to greedy California attorneys and the DEA of which many of them, including Duncan and Lee, were agents of.  Proposition 19 sought to further strip patient protections and entrap many rival growers to  Soros’ & the Consortium’s own group of marijuana cultivators.

Soros intended for Prop 19 to be the ultimate assault upon the Emerald Triangle. Despite importing seeds from around the world, Soros and his consortium failed to stem the dominance of the Green Triangle and its superior quality of medical marijuana. He wanted the ability to seize the marijuana farms of Northern California in a similar manner to that of George Deukmeijian circa 1980.

The Triangle, along with several other entities managed to defeat Prop 19 at the ballot however many marijuana advocates failed to realize that it was a two pronged attack. As Prop 19 failed the vote in 2010, the municipal bans that were planned by Soros and the League of California cities continued to be implemented statewide starting in Long Beach and spreading through California counties like a wildfire. Jack Herer also died that year, fracturing the Pro-Medical movement with the loss of his leadership and giving power over to the new Soros backed movement called Legalization.

Antonio Villaraigosa

Antonio Villaraigosa

The City of Long Beach was the first to take the lead with the fraudulent lottery perpetuated by City Attorney Robert Shannon and Mayor Bob Foster and the brutal crackdowns that followed on anyone that dared to compete with the anointed dispensaries that had paid their lords the proper tribute. Los Angeles attempted to follow suit, spearheaded by the traitorous Antonio Villaraigosa (a professed advocate) and Jose Huizar banning thousands of marijuana dispensaries throughout LA and allowing certain, more favorable dispensaries to remain open; not to mention those of the Mexican drug cartels.

Many dispensaries desperately turned to ASA, MPP, NORML and DPA for help. They found themselves in even worse hands among Soros litter as ASA attorneys drained the dispensaries dry of their financial resources and practically handed them over to county and state prosecutors on a silver platter. Marijuana attorneys made a profitable business out of offering their expertise at very high rates and then underperforming on the court case, often with the intention of acquiring their client’s very profitable medical marijuana dispensary for themselves.

Medical Marijuana vs. The Legal Marijuana Mob

The Marijuana Mafia. as we have previously acknowledged in past posts (see bottom), has a hand that controls its puppet strings and it is, as we also mentioned before, called The Consortium or The Opium Mob. A group of large big business interests that have held control over opiates and pharmaceuticals for well over 100 years and of whose actions are currently being led by George Soros to dominate the global marijuana seed markets so that they may ensure that their financial dominance along with the hegemony of the opium plant (plant of death) over the marijuana plant (plant of life) continue.

Steve DeAngelo aka Steve The Douche

Steve DeAngelo – DC Mobster

The Marijuana Mafia is currently in political struggle with the Pro-Medical patients advocacy groups that are seeking to see marijuana regulated as a medication, not regulated as an OTC intoxicant like alcohol. Pro-Medical advocates stand by the healing potential of the marijuana plant, advocating a potential worldwide multi-trillion dollar industry within ten years if medical research and grower innovation is allowed to continue in accordance with medically oriented regulations like Proposition 215. The Marijuana Mafia is fixated on seed control and short term profit through standard OTC marijuana sales, not wishing to explore or develop new strains but rather produce as much quantity and volume as they can, while stifling competition, innovation, improvement and exploration of the cannabis plant itself. The Marijuana Mafia have been DEA collaborators for the past twenty years, exercising their connections to put good growers like Eddie Lepp in jail so that he couldn’t produce medicine that could actually help the patients because it competed with the Mafia’s bottom line.

Mayor Eric Garcetti

Mayor Eric Garcetti

Their latest victory has been the passage of Proposition D in Los Angeles, championed by Villaraigosa and the notoriously corrupt LA County Board of Supervisors as a way to regulate marijuana collectives it has once again fostered an environment of unfair competition, police and municipal corruption and an increase in price while a decline in quality. Current Mayor Eric Garcetti has said nothing in regards to reforming the city or county Marijuana law. Interestingly enough, some of the champions of the law, like Cheryl Shuman, have been shut down under the regulation that they sponsored. Her Marijuana Farmers Market in Boyle Heights was shut down under the pretext of Proposition D, ah irony.

This madness needs to end.

A Glimmer of Hope

With that being said, I am proud that President Barack Obama and Attorney General Eric Holder recognized Washington and Colorado’s states’ rights to medical marijuana.  De Facto acknowledging California’s right to Medical Marijuana as well along with all other states that have passed their own medical marijuana regulation. The President has brought the country ever a step closer to the golden goal of rescheduling Medical Marijuana to a Class IV or V controlled substance; the final nail in the coffin of 100 years of prohibition and entrapment. God Bless America.

Commander in Chief

Commander in Chief

 

-The Green Chazzan

The Marijuana Mafia 

https://thegreenpulpit.com/2014/03/19/the-marijuana-mafia/

https://thegreenpulpit.com/2014/04/22/narc-vs-narc-the-origins-of-the-modern-medical-marijuana-movement/

https://thegreenpulpit.com/2014/03/27/the-opium-mob/

https://thegreenpulpit.com/2014/03/26/the-secret-past-of-marijuana-laws-the-plant-and-the-poppy/

https://thegreenpulpit.com/2014/02/11/rescheduling-marihuana-and-other-ideas-on-achievable-reform-part-1/

https://thegreenpulpit.com/2014/02/24/marijuana-and-the-california-water-crisis/ ****That’s right! We reported it first!!!!!!”

Marijuana in Afghanistan

http://www.huffingtonpost.com/h-a-goodman/legalizing-marijuana-shou_b_5583767.html

 

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Interlude: America, The Venetian Republic – Part 2

Freedom From Fear

Shay's Rebellion

Shay’s Rebellion

The currency crisis had also created disaffection among the military veterans, who had been paid in Continentals and had watched their war wages fade to nothing following the end of the war. Daniel Shays, an honored soldier and farmer began collaborating with former members of the Sons of Liberty, most prominently Samuel Adams and Colonial Regulators to begin arming veterans for an insurrection against the oppressive post-Revolutionary oligarchical state. Adams had accused the merchant classes of manipulating access to foreign currency to pay down their own debts by reducing specie availability and then increasing the debts of others by increasing the availability of specie when loans were made to farmers. Daniel Shays opposed the local Massachusetts Courts on the grounds of debt relief, but the courts seized his lands and the lands of many others on behalf of the ruling Boston merchants; effectively using debt, taxation and litigation to deprive Shays and the farmers of their property rights in order to deliver their property into the hands of the oligarchy.

The governor, Daniel Bowdoin, had vigorously attempted to counter the policies set by John Hancock as the previous governor which allowed for devalued currency to be accepted in equivalent value to the dollar for payment of debts. This was successful in insulating Massachusetts farmers from the federal currency collapse and allowed for the exportation of devalued currency from the state keeping inflation and new loan interest low. Bowdoin, using the national debt as a political shield, stepped up tax collections and land seizures leading to general protests against his leadership and accusations of collaboration with the merchant oligarchy. Protests led by Daniel Shay’s broke out in what would become known as Shay’s Rebellion; militias assaulted police and tax collectors, shut down the courts and targeted members of the oligarchy for public beatings.

Gov. James Bowdoin

Gov. James Bowdoin

The state of Massachusetts descended into a state of civil war as middle and working class rebels engaged with pro-oligarchical militias throughout the state, by 1786 the situation had grown direly out of control and the oligarchs enlisted 3,000 mercenaries to help them finish the conflict. Samuel Adams, seeing a threat to the power of the landed classes throughout the country, switched allegiances claiming Shay’s was being backed by British agents and that rights to a trial should be suspended on grounds of treason. By early 1787, the mercenary army in addition to the continental army led by George Washington suppressed the rebellion and Marshall Law was declared to maintain control over the state; anyone deemed to have participated in the rebellion was stripped of their rights as Freemen. Bowdoin would use his response to the rebellion to help formulate the Federalist ideology, calling a strong centralized oligarchical government that could prevent the return of what he regarded as ‘peasant rebellions’.  Many of the leaders of the rebellion fled to Canada and Vermont following the conflict leading to the creation of the temporary Vermont Republic and the State of Vermont itself.

President George Washington

President George Washington

The outcome of the conflict led to the collapse of Bowdoin’s abilities to govern and a landslide reelection of John Hancock, who largely granted clemency to all of the rebellions participants. Hancock cut taxes and restructured the state economic system at the expense of the Merchant oligarchy using avoidance of another rebellion as a pretext. Thomas Jefferson did not fear the rebellion spreading further, stating in his infamous ‘Tree of Liberty’ speech that the bloodshed of the conflict was a good thing for maintaining order among the classes and would dissuade further conflicts related to the matter. George Washington on the other hand viewed the rebellion with great alarm, calling for constitutional and government reforms, fearing an eventual civil war and overthrow of the oligarchy by the lower classes; Washington understood the desires of the laborers and farmers, as they had all fought in the Revolutionary War as patriotic equals. Washington was also aware that English espionage with the Native Americans had not ceased despite the end of the war and that some oligarchical entities had considered a bid to return to English rule in despair over the very obvious failures of the Second Continental Congress and the oligarchical states governments. Washington used his influence to bring these oligarchs into the federalist fold, promising a strong central government like that of England’s, which would bring both peace and prosperity through law and order. Federalism and Anti-Federalism would emerge from this conflict among the oligarchical elite, those who wished a new stronger central government and those who wished to retain their power within the competing oligarchical republican states.

In the Constitutional Convention of 1787, Shay’s Rebellion and the threat to oligarchical rule was discussed at length. Those who had previously opposed the formation of a central government and a strong national military under the Anti-Federalist banner abandoned these positions, citing the lack of coordination by both the state and congressional governments in being able to effectively put down Shay’s Rebellion. The ultimate concern of the oligarchs was the preservation of their wealth and power, ideological compromises would have to be made in order to protect their assets from the revolts of the lower classes. What was also addressed was the inefficiency and corruption of the court systems; robbers and vigilantes had used the confederacy system to commit crimes in some states and flee to others for legal asylum, a tactic used by the Southern planter class to destabilize the North for what they called ‘economic warfare’ against the South. The idea of a Popular Vote was immediately rejected at the Convention on the grounds of the rebellion in favor of an Electoral Vote that could nullify the Popular Vote and ensure oligarchical control over the Republic at all times. Initially House Representatives and Senators were to be chosen only by the state legislatures of the oligarchical elite.

The Constitutional Convention

The Constitutional Convention

The model for the Republic of Venice was decidedly adopted over those of the Athenian and Spartan Greek city-states.  A Doge-like executive would be selected as President to be the direct commander-in-chief over the armed forces to clear bureaucratic gridlock and allow for a swift military response to domestic rebellions. A Gran Consiglio of a legislative branch representing the interests of the elite would be created as a counterweight to the President and finally a Venetian Council of Ten or the Supreme Court would be introduced as a third branch judicial body to balance out the other branches. The Republic of Venice was an oligarchical empire that had managed its society through long periods of prosperity through strict laws, political intrigue, domestic surveillance and very strict oligarchical class control. This was assumed to be a more powerful form of government for the American oligarchy and an effective answer to the lack of a strong and willful state. The new Constitution would be created to keep everything the oligarchy had won from their British counterparts, make a compromise on the representation of the middle and lower classes, and create a mechanism of legal control over the populace that could be used to coordinate domestic military operations when needed.

After the Philadelphia Convention, leading figures in the war, Patrick Henry, Samuel Adams and Richard Henry Lee publically opposed the constitution citing Anti-Federalist values, citing a threat to individual rights and the promotion of the Presidential position as a return to monarchy. It should be noted that Adams and Lee had played major roles in the previous government and had concerns about the decline of oligarchical rule in the colonies in favor to the central government of the constitution. Thomas Jefferson, another anti-federalist warned against popular votes and popular politics being manipulated by the constitutional government, citing an impending ‘Tyranny of the Majority’ that would strip ‘Freemen’ of their class interests. Patrick Henry wrote extensively of fears that the Federalists sought to create a new aristocracy that resembled the British peerage system, which was not too far from the truth for many Federalist oligarchs.

Samuel Adams

Samuel Adams

The Massachusetts Convention in 1788 was very vitriolic and contentious. Fist fights broke out at the convention between members of the federalist and anti-federalist factions. The impasse between the two groups finally ended when Samuel Adams and John Hancock (also an Anti-Federalist) threatened to unite the Northern farmers against the Convention and overthrow the government of the Confederation unless Constitutional amendments and a Bill of Rights was included. The landed oligarchs took the threat very seriously; Hancock had already made good on several earlier threats and the popularity between Hancock and Adams as ‘men of the people’ would have brought the population behind them. The Constitution was ratified with the debate over the amendments to continue in the 1st US Congress. George Washington was nearly unanimously elected to be the First President of the United States in 1789, viewed by both oligarchical factions and the public alike with immense respect, he would serve as the compromise candidate to get the ball rolling on the new administration of government.

Washington saw his goal as stabilizing the new republic from the past ten years of economic strife. He signed Jay’s Treaty with England, a new trade agreement that would take off some of the international currency pressures against the dollar. Washington set standards for the presidency, only serving two terms to symbolically reject the notion of military dictatorship, and despite being immensely wealthy, accepting the Presidential salary to establish it so less wealthy men could serve in the position. Washington, understanding that he was setting the tone for years to come rejected the use of aristocratic titles for government positions and accepted opposing views in the form of civil debate, rejecting the notion that the Presidency was an office of political violence and potential tyranny, like many of the governors had come to be seen.

Hamilton and Jefferson

Hamilton and Jefferson

The Constitution was largely influence by Alexander Hamilton who had sought to avert the financial collapse of the new republic and contain the potential British influence that could come from it. His initial propositions to have representatives for life modeled after the House of Lords led to accusations of British collaboration which at times were historically murky given the situation at hand. However Hamilton’s proposals to fix the economy as Secretary of the Treasury contradicted this notion, he allowed the federal governments to assume all revolutionary debt from the states in exchange for a centralization of the currency system. Wealthier states and their representatives like Thomas Jefferson and James Madison opposed this debt centralization plan, citing that their taxes would be used as a form of a bail out for less fortunate states; Hamilton saw Jefferson and Madison as being firmly entrenched in their oligarchical beliefs and positions from previous years citing the currency issues that had arisen between the states.

The original three interests of the revolution would firmly split into two camps over the idea of a National Bank:

Madison objected to Hamilton’s proposal to lower the rate of interest and postpone payments on federal debt as not being payment in full; he also objected to the speculative profits being made. Much of the national debt was in the form of bonds issued to Continental veterans, in place of wages the Continental Congress did not have the money to pay. As the bonds continued to go unpaid, many had been pawned for a small fraction of their value. Madison proposed to pay in full, but to divide payment between the original recipient and the present possessor. Others, such as Samuel Livermore of New Hampshire, wished to curb speculation, and reduce taxation, by paying only part of the bond. The disagreements between Madison and Hamilton extended to other proposals Hamilton made to Congress, and drew in Jefferson when he returned from serving as minister to France. Hamilton’s supporters became known as Federalists and Jefferson’s as Republicans.”

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Alexander Hamilton and Thomas Jefferson were Washington’s top advisors and bitter rivals; Hamilton who had a close relationship with the landed gentry of England through his own family ties sought to create a national banking system to restore American credit and turn the US into an economic force. Jay’s Treaty with Britain was denounced as a result of Hamilton’s close ties to the British and an affront to the French, who were undergoing a republican revolution of their own. Jefferson and his allies supported the anti-monarch bourgeoisie in France and saw Hamilton’s reconciliations as attempts to thwart their plans. Jefferson’s views were largely oligarchical and he sought to restore the predisposition of the Confederation period stating that he was “in a struggle between the Treasury department and the republican interest.”

Hamilton suggested that Congress should charter the National Bank with a capitalization of $10 million, one-fifth of which would be handled by the Government. Since the Government did not have the money, it would borrow the money from the bank itself, and repay the loan in ten even annual installments. The rest was to be available to individual investors. The bank was to be governed by a twenty-five member board of directors that was to represent a large majority of the private shareholders, which Hamilton considered essential for his being under a private direction. Hamilton’s bank model had many similarities to that of the Bank of England, except Hamilton wanted to exclude the Government from being involved in public debt, but provide a large, firm, and elastic money supply for the functioning of normal businesses and usual economic development, among other differences. For tax revenue to ignite the bank, it was the same as he had previously proposed; increases on imported spirits: rum, liquor, and whiskey.”

Gold and Silver

Gold and Silver

 

The United States owed a national debt of $90 million in 1790, equivalent to roughly 2.3 billion dollars in debt today;  Hamilton came up with a number of alternative solutions to handle the debt that were enabled through various property and excise taxes. Hamilton had also been instrumental in putting the standard for a bimetallic currency in the Constitution to enable the US to mint its own gold and silver coins and finally run the Spanish gold coin out of circulation. Hamilton argued that by undermining gold to maintain a high price and oversupplying West Indies silver imports to keep the silver price low, silver coins would always be readily available to expand the money supply when needed; Hamilton also proposed the minting of smaller value coins of silver and copper for small transaction with the lower classes. He created a naval inspection service called the Revenue Cutters, a precursor to the Coast Guard, whose primary purpose was to crack down and tax interstate smuggling, especially between anti-federalist oligarchical rivals trying to dodge taxes.

Tensions however would rise as Hamilton’s policy popularity led to a number of public declarations in favor of the merchant oligarchy over the agrarian oligarchy, citing French economic theories that pushed for an advanced manufacturing based economy to pay off large debts. The Copper Panic of 1789 would destabilize the Presidency of George Washington, along with Hamilton’s Policy. The Confederation states had minted their own coins using copper to create a hard currency alternative to the devaluing continental; the British had attempted to destabilize the economic markets by having spies introduce counterfeit copper coins into the American market creating a surplus of the coins and lowering the value of copper. The counterfeiting intensified during the period of Shay’s Rebellion, compounded by the fact that states had engaged in following John Hancock’s lead in exporting the fiat Continental currency and borrowing and issuing new loans with the copper currency. This led to debt disparities between the states and states engaging in copper counterfeiting of their own to contain the exported inflation. By 1789, the market was flooded with the debased coins, sharing an inflation rate well over 400% and the ability to do commerce with the coins ceased; state banks tried to stem the currency circulation by issuing new fiat but this was stopped by Hamilton who feared a return to the Confederacy system and its hyperinflationary issues. The copper was taken out of public circulation leading to another contraction in the public money supply and of available credit.

Whiskey Rebellion

Whiskey Rebellion

The Copper Panic and the Whiskey Excise Tax created an uproar among the farming community. Whiskey had been a frontier form of exchange and the new taxes made it less desirable, cutting into the incomes of the poor and farming classes. The farmers outside of the states especially resented the tax because they did not have Congressional representation and farmers who did have representation did not feel fairly represented, leading back to the ‘no taxation without representation’ conundrum that they had spent a decade fighting to free themselves from. A fresh bout of Indian attacks on Western frontier pushed the Ohio Valley farmers into a state of rebellion as they felt the new government was no different from the old despite the progress that had been made. Local Republican oligarchs preyed upon this sentiment politically, hyping up merchant class conspiracies to defraud the poor of their wealth and enlisting them in ad hoc conventions to discuss new types of republican government.  In 1793, hostilities intensified as tax collectors became the victims of lynch mobs, and effigies of local governors were burned publically. In 1791, the Whiskey Rebellion broke out when several rogue distillers refused to pay taxes; Hamilton was accused, even by many modern historians, of exacerbating the controversy by issuing federal subpoena’s to the frontier distillers to create a popular revolt against direct oligarchical taxation that could be crushed by the military to enrich the creditor class at the expense of the taxpayers once the tax system had been enforced. Many historians believed that Hamilton created the excise tax as a means of social discipline against the veterans of the lower classes for the incidents of Shay’s Rebellion and the earlier military payments crisis in 1783.

Western Pennsylvania entered a state of full blown rebellion, peace talks had been a formality by Washington’s government and Hamilton had issued the spread of countryside propaganda to denounce the claims of the rebels. The rebellion demanded concession of rights for the poor and landless Americans but this was refused in favor of military action and domestic policing to suppress the rebellion. Washington empowered the governors to establish deputized militias that would suppress the gathering of any new militias in Western Pennsylvania. Washington led the American army into Pennsylvania to put down the rebellion, appointing Alexander Hamilton the field commander after tactical control of the region was established. Most of the leaders of the rebellion fled west or into Canada, the participants captured were convicted of treason and later pardoned in 1794.

Washington

Washington

Many oligarchs viewed Washington’s actions favorably, demonstrating decisive military action and government authority in stemming rebellions and enforcing the rule of law. Anti-Federalist oligarchs became more accepting of the new Constitution following this incident but played on agrarian fears to create political distrust against Hamilton and the Federalists, promoting the power of Thomas Jefferson and Aaron Burr as political contenders to replace the President. Jefferson left Washington’s cabinet after the Whiskey Rebellion, the two would never speak again as Washington considered Jefferson as having a financial hand in the rebellion to undermine the Constitution and of being an agent to French interests. Washington did not trust the new French aristocracy of the Jacobins and their policies of ‘Continental Freemasonry’ which Washington felt were against the principles of traditional oligarchical rule and suggested questionable political morals. Washington’s reasoning’s brought about Republican accusations of close ties to British Freemasonry and the British Royal Family, especially following the political events of Jay’s Treaty which Washington had primarily agreed to as a means of controlling debt.

Washington’s Warning

Farewell Address

Farewell Address

 

George Washington’s Farewell Address was an important moment for the continuation of republicanism and for the inspiration of democracy within the new American country. Washington was deeply concerned by the civil-political divisions that Hamilton and Jefferson had generated within the new and fragile republic. Washington warns the American public that their independence from the European powers, safety and domestic peace were dependent on the unity between the states and the people. He said that because of this foreign power and domestic tyrants alike will incessantly and fervently work to divide the country to maintain control over it. Washington warns to be suspicious of anyone that promotes secession or sectionalism as a means to accomplish goals, for they are surely to be under the influence of a foreign power. He urges people to put their identities as Americans above their political, racial, and regional identities, place liberty and unity above all else as one. Washington cites several examples of how American unity benefits the welfare of the country and then warns against an overgrown military establish, which he regards as a threat to liberty and a path to military tyranny. Washington warns against anyone who states that the United States is too large to be ruled by one government or that any further state divisions are needed. He then offers strong warnings that the true motives of a sectionalist are to create distrust or rivalries between regions and people to gain power and take control of the government.

Washington points to two treaties acquired by his administration, Jay Treaty and Pinckney’s Treaty, which established the borders of the United States’ western territories between Spanish Mexico and British Canada, and secured the rights of western farmers to ship goods along the Mississippi River to New Orleans. He holds up these treaties as proof the eastern states along the Atlantic Coast and the federal government are looking out for the welfare of all the American people and can win fair treatment from foreign countries as a united nation.” He continued on supporting the Constitution over the Articles of Confederation….“and reminds the people that although it is the right of the people to alter the government to meet their needs, it should only be done through constitutional amendments. He reinforces this belief by arguing that violent takeovers of the government should be avoided at all costs and that it is in fact the duty of every member of the republic to follow the constitution, and submit to the laws of the constitutional government until it is constitutionally amended by the majority of the American people. Washington warns the people that political factions who seek to obstruct the execution of the laws created by the government, or prevent the constitutional branches from enacting the powers provided them by the constitution may claim to be working in the interest of answering popular demands or solving pressing problems, but their true intentions are to take the power from the people and place it in the hands of unjust men. Despite Washington’s call to only change the Constitution through amendments, he warns the American people that groups seeking to overthrow the government may seek to pass constitutional amendments to weaken the government to a point where it is unable to defend itself from political factions, enforce its laws, and protect the people’s rights and property. As a result he urges them to give the government time to realize its full potential, and only amend the constitution after thorough time and thought have proven that it is truly necessary instead of simply making changes based upon opinions and hypotheses of the moment.”

Washington strongly warns against the influence of political parties and their influence on a man’s right to vote. He derides them as oligarchical special interests that do not have the interest of the republic or the common good at heart. Washington was clearly referring to the oligarchical regionalism that was promoted by Thomas Jefferson which sought to benefit the Southern Planter oligarchy and prohibit Merchant Class relations with England. Washington also advocated neutrality between France and Britain, something neither party wanted to do.

“While Washington accepts the fact that it is natural for people to organize and operate within groups like political parties, he also argues that every government has recognized political parties as an enemy and has sought to repress them because of their tendency to seek more power than other groups and take revenge on political opponents. Moreover, Washington makes the case that “the alternate domination” of one party over another and coinciding efforts to exact revenge upon their opponents have led to horrible atrocities, and “is itself a frightful despotism. But this leads at length to a more formal and permanent despotism.” From Washington’s perspective and judgment, the tendency of political parties toward permanent despotism is because they eventually and “gradually incline the minds of men to seek security and repose in the absolute power of an individual.” Washington goes on to acknowledge the fact that parties are sometimes beneficial in promoting liberty in monarchies, but argues that political parties must be restrained in a popularly elected government because of their tendency to distract the government from their duties, create unfounded jealousies among groups and regions, raise false alarms amongst the people, promote riots and insurrection, and provide foreign nations and interests access to the government where they can impose their will upon the country.”

Washington continued on in the speech to promote the new system of Venetian Government as a means of controlling the oligarchical interests, exalting the system as being able to maintain an oligarchical balance in the interest of power. He warns against the use of force and pushes the use of amendments in changing the nature of the government, referring to the violence and terror of the French Revolution occurring at the time. Washington calls for the diffusion of knowledge to prevent an uneducated populace and calls for a maintenance in ethics and morality to ensure the prosperity of culture:

Of all the dispositions and habits which lead to political prosperity, religion and morality are indispensable supports. In vain would that man claim the tribute of patriotism, who should labor to subvert these great pillars of human happiness, these firmest props of the duties of men and citizens. The mere politician, equally with the pious man, ought to respect and to cherish them. A volume could not trace all their connections with private and public felicity. Let it simply be asked: Where is the security for property, for reputation, for life, if the sense of religious obligation desert the oaths which are the instruments of investigation in courts of justice? And let us with caution indulge the supposition that morality can be maintained without religion. Whatever may be conceded to the influence of refined education on minds of peculiar structure, reason and experience both forbid us to expect that national morality can prevail in exclusion of religious principle.” – George Washington

Washington continues with declaring that public credit is a source of strength and security. He urges the preservation of credit through avoiding war, unnecessary borrowing, and paying off war debts as quickly as possible in times of peace to prevent economic decline. He also implies that the government should choose carefully how to tax to pay off debt and that some goods and services are better left untaxed, alluding to the rebellions over Federalist excise taxes. Washington once again warns of foreign nations using espionage to influence domestic events, citing good diplomatic relations as key but that only ‘real patriots would remain uninfluenced’ by the desires and recommendations of foreign governments who would seek only their own gain. Washington warns against ‘entangling alliances’ alluding to the royal families of Europe and their warlike ambitions, recommending only treaties of convenience and trade not military commitment. He defends the neutrality of the United States and states that the US ‘has the right’ to remain neutral in foreign politics. He concludes the address by asking the American peoples to forgive his sins and failures, hoping that they will pay heed to his final warnings.

As we look at America today, we must take Washington’s warnings to heart. The state of the republic reflects that of the Articles of Confederation with oligarchical tyranny and corruption of institutions being the law of the land; Washington’s desires for the people to be able to change their government has not come to pass with ease and many age old outlying problems of the republic goon without being addressed. Solutions are stifled by the Republican and Democratic parties, owned by oligarchical entities now more than they ever were, with two studies from Princeton and a French author showing that public influence over government decisions is practically non-existent. The political parties today represent the oligarchical elite of international business with hardly a landed class or a merchant class to be represented among the internationalist power elite. They manipulate the value of our currency and the cost of goods and services in order to establish class domination and rule over government, clearly just as they always have. The Middle Class of America must come to a realization that their existence is not natural, but economically and politically unique; and that in order to retain their position of society they must keep to Washington’s warnings of vigilance about the fragility of republicanism and democracy especially among the midst of oligarchical corporate predators. Consider how far we have come since the Days of the Articles of Confederation, and ask yourself sociologically what has changed? Why do we continue to pass our decision making on to oligarchical elites? When will we be prepared for direct democracy ourselves, not held hostage by the cheque  of an elite electoral college but of a true rule by the majority, by the greater interest of the people? Shouldn’t the United States be the tyranny of the majority, a class of true freedom and liberty? Or will we forever be hostages of the wealthy’s paradise, a Venetian Republic.

-The Green Chazzan

Reference List:

Cooke, Jacob Earnest. Alexander Hamilton. Charles Scribner’s Sons, 1982. ISBN 0-684-17344-1.

Kohn, Richard H. (December 1972). “The Washington Administration’s Decision to Crush the Whiskey Rebellion”. The Journal of American History 59 (3): 567–584. doi:10.2307/1900658JSTOR 1900658.

Chernow, Ron (2004). Alexander Hamilton. New York: Penguin Press. p. 427. ISBN 1-59420-009-2.

Deconde, Alexander (1957). “Washington’s Farewell, the French Alliance, and the Election of 1796”. Mississippi Valley Historical Review 43 (4): 641–658. ISSN 0161-391X.

Wikisource: http://en.wikisource.org/wiki/Washington%27s_Farewell_Address

Zinn, Howard (2005). A People’s History of the United States. New York: HarperCollins. ISBN 978-0-06-083865-2OCLC 61265580.

 

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