LaRouche Issues Warning: `You Can't Have Your Bank, and Hedge Funds Too'
September 7, 2007 • 10:16PM

As the LaRouche Youth Movement drive to save the country's homeowners and banks sweeps across the country, pressuring Congress to enact LaRouche's "Homeowners and Bankers Protection Act of 2007" by the end of September, the international hedge fund cartel—which is run by the British Monarchy out of their Cayman Islands possession—has launched a desperate deployment designed to save...itself! "To hell with homeowners!" they say, "and to hell even with banks" that the hedge fund parasites have taken over and now control.

These locust funds this week brazenly flooded the U.S. Congress with their lobbyists—and their money—to push for their policy. And the evidence was in plain view at the hearings of Rep. Barney Frank's House Financial Services Committee on Sept. 5, and again on Sept. 6 at the House Ways and Means Committe.

Lyndon LaRouche, in discussions on Sept. 7, addressed this situation of the growing polarization in Washington and elsewhere in the country, over the LaRouche policy for resolving the crisis, versus that of the hedge funds.

"There's really one group, which is supporting what we're pushing, which wants to save the banks and the housing. The other group wants to sacrifice the banks and the housing, to save the hedge funds. So we have a fight: Who's on one side, and who's on the other side?

"The point is that, through the hedge funds operation, the banks aren't in control anymore. The banks are controlled by it. So you're trying to find out which banks are behind the hedge fund operations? You've got to find out which hedge fund operations are behind the banks, and controlling the banks. That's the problem.

"This is Rohatyn; this, of course, is also George Shultz, who are behind this. They are saying that you've got to save the hedge funds. Why are they saying you've got to save the hedge funds, and not the banks? Because the hedge funds are controlling the banks! And if you try to defend the banks, you're going to sink the hedge funds, and get the banks back in control of their own business.

"So this has to be made clear. Will you defend your bank, or the international hedge fund cartel? There is a conflict between the international hedge fund cartel, whose headquarters is the Cayman Islands, the British monarchy, as against the banks on the federal and state level in the United States, and in Europe. The banks don't control banking anymore: the international hedge fund cartel does.

"Our view is, the only way you're going to save civilization is sink the hedge funds, and keep the banks. You've got a choice: dump the banks in favor of the international hedge funds—it's called Globalization II—or save the banks and let the hedge funds sink all by themselves.

"We have to make the issue conscious. The reality is there, but the consciousness of the people and institutions is falling way behind the tempo of reality. We have to make it clear, definitive: Which do you choose? You can't have both. You can't have your bank and hedge funds too. You either save your bank at the expense of the hedge funds, or you give up your bank and everything in it, to an international London-centered authority, to a British-centered authority, most of which have offices in the Cayman Islands."

LaRouche went on to explain the urgency of getting Congress to pass his Homeowners and Bankers Protection Act of 2007 (HBPA): "My estimate is that by the end of September, you won't have the United States, unless something is done about this crisis. I know what we're dealing with here. We're dealing with something which is analogous to what happened in Germany in the middle to Fall of 1923. It takes a different form, because what they're doing today is they are monetizing worthless paper, and using that to create hyperinflation in the market. And this hyperinflation is hungrier and hungrier for more rent and things like that. And those inflationary effects are accelerating the breakdown of the housing sector. So that in about 30 days more of this stuff, you are going to have a blow-out of the U.S. economy, comparable to what happened in Germany, going in the direction of what happened in Germany in the Fall of 1923. We're that close."

LaRouche then discussed how to deploy to get the HBPA passed:

"We should not split our effort, between the housing bill and other initiatives. This is the issue. The question of this bill is the only issue. Any other issue is a waste of time. If this issue does not win, everything else will fail. If this issue wins, then we have a chance, the country has a chance. And if we split the effort, we're going to regret it, deeply, within 30 days. There should be only one concentration: on this bill. Period. Because the fate of the nation depends upon it. "The power that makes this legislation go through is not the Congress. The Congress has to pass the legislation, but the driver to convince the Congress to pass the legislation will come from the states, not from the Congress itself. The way this thing will work, is that you go to the people, and you go to the people in the states.

"You see, you don't have a 'national housing crisis;' you have a state by state, national housing crisis. People don't live in an abstract congressional form; they live in actual states, and communities within states. Therefore, the pressure is on from the communities who are suffering mass evictions, which are rising at an accelerating rate. And our job is to keep them from being evicted. If they are evicted, then we lose the country.

"So the state legislators and people around them are the ones who will kick the Congress in the rear end, and in the head if necessary, to get the national legislation passed. That's the algebra of this thing. Any other interpretation is wrong, because it's not looking at reality. It's looking at things like objects, like "I want to buy this toy rather than that toy." People have not yet come out of childhood. They're arguing which toy to buy. "It's funny. You know people still have, as young adults and older, they still have this kind of thing they had when they were children, of which toy to buy. And often they look at things in life—they even have mating patterns among young people which are based on which toy do I like better. It's something to play with, you see. It's not serious, which goes especially with the post-industrial society mentality.

"The continued existence of the United States as a nation, over the months ahead, depends absolutely on getting this legislation through, now," LaRouche concluded.