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MorningBriefing020911

[B1-07-3/BFG001]:BFG:L: 1 of 48 Pages

 TO:ALL POINTS            BY: LYNDON LAROUCHE/NANCY SPANNAUS/PSU/KRN
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 |                       MORNING BRIEFING                        |
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 |                  Wednesday, February 9, 2011                  |
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 Lyndon LaRouche NEC Meeting, Tuesday, Feb. 8, 2011

      - WE WILL NOT COMPROMISE WITH THE FATE OF HUMANITY -
       - WE WILL NOT TOLERATE ANY SABOTAGE OF OUR EFFORT -

         LYN: ... [starts mid-sentence] unsettled is, who spread in
 our organization, the bullshit against the Angelides Report?
 People who deprecated that, it was {totally} incompetent, it was
 completely fraudulent.  There was no basis for it, and moreover,
 it's an attitude which indicates non-seriousness about the future
 of human race.  Because the fact is, right now, that we are, any
 moment, undetermined, plus or minus, at any moment it can happen.
 It's overripe to happen. {You can have a sudden, chain-reaction
 collapse, of the economy, of the entire planet}, which will hit
 first, somewhere in the trans-Atlantic region, and then will
 spread to the Pacific, that side.  That's the reality.  {If} the
 Glass-Steagall program is not introduced.
         And if it is not introduced now, with the aid of the
 Angelides Report, which is the only way it {can} be introduced
 now, {write yourself off!}   Your existence is finished, 'cause
 you're no longer in reality; you bought some bullshit story,
 which should not be accepted.  And will not be accepted.
         Because the reality is now, the preconditions, for a general
 collapse of the world economy, starting in the trans-Atlantic
 region, is now realized.  All it will take, is one trigger-point,
 to set it off. What that trigger-point will be, is not
 determined, because it depends upon an emotional/psychological
 effect inside various kinds of institutions.  But any breaking
 point, now, internationally, in this system, the way it's
 presently organized, means, {the sudden death of civilization!}
 And if our program is not in place, and installed at that point,
 you're finished!  Along with the rest of the world.  That's
 reality.
         And the only way you're going to get this Glass-Steagall
 thing through, now, is through aid of the Angelides Report,
 otherwise you haven't got a chance.
         And there was some spread of this kind of dismay, about the
 Angelides Report, in the organization, during the previous week,
 before the Angelides Report was published:  There was an
 organized campaign attacking Angelides, which was in motion
 actually two weeks, before the report was actually published.  So
 anybody who was talking down the Angelides Report, given the
 {content} of the report, was simply kissing and sucking
 somebody's rear end.  And they shouldn't have done that, 'cause
 it leaves a bad taste in the mouth.  That's reality!
         Okay. Now, the other side of that, the complementary side of
 that -- this is crucial -- without the Angelides Report, which is
 actually a product of the Clinton Administration team, without
 that report, there's {not a chance} of getting Glass-Steagall
 through; and if you don't get Glass-Steagall through, the
 planet's finished.  Not just the United States, but the entire
 planet.   Because if the United States goes, the planet goes,
 because of the character, the structure of our society is such,
 that that's the case.
         So we are now, essentially, as I indicated, in the webcast
 just concluded, recently, as I indicated in that webcast, that
 was already the objective situation. Hmm?  It's just a matter of
 the trigger being pulled;  all the preconditions for it, are now
 overripe.  And that can be explained in a lot of ways.  We've
 already explained it, pretty much thoroughly.
         But the point was, that even part of the six-person
 candidates' team, was temporarily disoriented, by this fraudulent
 propaganda, spread by somebody through somebody, into our
 organization, even into the six.  And we still do not have the
 six adequately, effectively deployed, around the conception of
 this approach to Glass-Steagall.
         And what we're doing on this, is being done largely in
 Purcellville.  Because that's where we have the most active,
 sentiently active people, in our organization.  It's true!
 There's more motivation, for knowing and understanding this, out
 of the youth operation out of Purcellville, than there is in any
 other part of the nation.  Except our ties and circles with the
 Clinton crowd, and they are doing, in their own way, what should
 be done, as a contribution to solving this problem.
         Remember that Angelides was actually associated with the
 Clinton Democratic machine.  And he has always tended to behave
 as a member of the Democratic machine, which was Clinton's
 machine.  Remember, this now goes back 18 years: We've had ten
 years of two pieces of shit, Bush shit, Bush League shit, and
 more than two years of worse shit: Obama shit.  And then you had,
 for eight years before then, you had a Clinton administration.
 And the Clinton administration came, on the basis, which actually
 I was involved in, even from prison, in the election of Clinton.
 But with, also, covered with Gore.
         So, what you have, is the reaction against the Bush
 operation, which is a fascist, British-controlled operation.
 Remember, the grandfather was the guy, who funded Hitler, to be
 set up to become the Chancellor of Germany:  Prescott Bush.  And
 he had two sons-of-bitches, and I do mean sons-of-bitches.  And
 this guy defined himself as a "Coolidge Republican," that's like
 a Kool-Aid Republican, and you know what that means! He always
 was a creepy, slimy, whining, son-of-a-bitch, if any of you guys
 are young enough, or old enough to remember what this
 son-of-a-bitch was.  It was something I contended with, along the
 ways.  And belongs to everything I despised, since I reached
 adulthood -- and that doesn't mean I was adulterated, but means
 adulthood.  Somebody tried to adulterate me, and I didn't go for
 that!
         So that's the reality.  And so, therefore, the question is
 still, what were the factors, which tended to throw some members
 of our six-person team, off the track?  Because that's what
 happened.  I talked to Kesha, and she had been thrown off the
 track.  She called me, and I explained to her what the situation
 was, as I knew it.  But it was there.  It was also elsewhere.
 And the point is, our operation is now, in a sense, screwed up,
 as they say, because of an attempt to avoid dealing with that
 problem.  People don't want to deal with it.

                       - De-generations -
         And this has involved some other things, which involves
 generations, or de-generations.  We no longer have successive
 generations, we now have successive {de}generations.   That is,
 those who were a little bit in their thirties, tend to be a
 little bit more solid, than those in their late twenties; those
 in the early twenties are difficult to talk to, because their
 mind-set is not exactly that.  And below 20, boy!  You got a
 hopeless case.
         So, we've been in a process of successive {de}generations,
 in recent times.  People no longer believe in truth.  Some people
 {tend} to believe in truth, as long as it doesn't conflict with
 their beliefs.  [laughter]  That's precisely the way it is!  It
 goes with all kinds of things, it affects all kinds of social
 processes.  So, what's going on, is, polite lying, in various
 degrees, and various degrees of people among us, and well as
 outside.  The point is, what is the threshold, at which you lie?
 What is the issue, which goes to the threshold of lying.  When it
 becomes inconvenient, for your desired lifestyle, and I don't
 mean financial lifestyle, I mean personal lifestyle, not
 financial lifestyle, hmm?
         Because, then, there's a point at which you say, "yes,
 but..."  as any billygoat will explain that to you.  "Yes, butt."
 "Yes, I agree...but...!  Yes, I agree... but!"  And then they get
 horny again.  And that's what happens among youth, they get
 horny, they give you a lot of a lot of but, but, but!  [laughter]
         It's not by chance that I said that!
         And, the point is, we're at a point, where the ratio of the
 increase of worthless currency, or the equivalent, is escalating
 at a rate which is hyperbolic.  It's superhyperbolic.  And
 therefore, the ratio of money, to reality, is climbing at an
 accelerating rate, exactly like 1923 Weimar Germany, the summer
 and autumn of that period.   Now, you have not reached the
 3,000:1 percent ratio of inflation.  But you certainly have
 reached the 300% ratio per year of inflation.  And the ratio of
 inflation, in terms of these percentiles, is increasing.  And
 it's increasing because of the total population,  those who are
 employed of the total population, is shrinking, which means that
 those who are producing, is shrinking. Hmm?  And of those who are
 employed in actually productive work is shrinking even more!  We
 just shipped out a whole category of hard-commodity production,
 from the United States, to ship to China; from General Electric,
 for example, it's gone!
         The administration is lying!  What they do, is they chop off
 people who are still alive, who are in the labor force, who used
 to be employed, who are {dis}employed, and therefore, they sy,
 the "unemployment is shrinking," because the Federal government
 is lying, by cutting off the lists people who are still human
 beings, who are in the labor force!   They didn't quit labor
 force, the labor force quit them!   And the labor force quit
 them, largely because of people like George W. Bush Jr., and at
 an accelerating rate, Obama.
         So the actual rate of unemployment is increasing!
         Now, the worst of it is, that much of the unemployment which
 is not decreasing, as rapidly, is useless employment:  Wall
 Street type employment; paper work employment, shrinking -- it's
 still there, but the other part of the economy is shrinking
 still.
         So the ratio of production per capita, of physical wealth,
 per capita, is collapsing.  While already, the rate of inflation
 is going toward a 300% level, even this year, so far.  You have a
 hyperinflationary situation.
         Now, you'll find, that actually, the people who are trying
 to sustain the hyperinflationary paperwork, are reaching the
 limit, where {they} can  no longer do it!  So now, you have
 reached a point of a breaking point.  The thing is bankrupt, it's
 hopelessly bankrupt.  All it takes is something which triggers a
 chain-reaction among bankrupt pieces of paper, and {the whole
 damned system goes!  Just as it happened in Weimar Germany.  But
 it happens on a world scale; it becomes a chain-reaction through
 the trans-Atlantic region, first, and then sweeps into China,
 India, and so forth in the Pacific region.  And the entire planet
 goes into a breakdown crisis, in which the population of the
 planet will be reduced to a small fraction of what it is today,
 at a fairly rapid, and accelerating rate!
         That's the issue!
         Now, on the Angelides Report, what we've seen so far, is
 absolutely accurate.  It does not prescribe a remedy, except in
 negative terms.  It prescribes the fact, of the degeneration of
 the economy.  That is completely accurate.  {We} have prescribed
 the remedy; what Angelides has done, a man who's associated with
 Clinton, has done, is to {lay out the facts}, since 2008, but
 retrospectively, into the 1970s, facts, which step by step,
 account for the degeneration of the U.S. economy.
         And who's against it?  Fascists.  The enemies of Angelides,
 all the leading spokesmen are fascists.  Or just plain
 degenerates.  Because, there's no one who's sane, who does not
 know the American population is suffering!  There's no one who
 doesn't know, that the states are hopelessly bankrupt.  The
 states themselves and the Federal government itself, is saying
 they're bankrupt!  They're saying, "We can never pay for these
 things!  We have to drop them!  We have to kill people!
         And how could anyone, deny the Angelides Report?
         As a matter of fact, the denials were pouring out, before
 {any facts about the content} of the Angelides Report, were out.
 So how could they condemn something,  -- hmm?   -- where the
 facts weren't presented?  And the facts are massive!  They're
 going to come pouring out in these coming two weeks!
         And what this indicates, when you look at these facts, and
 other things I know: We're on the edge, that at {any instant --
 any instant!}  -- it is probable, that there will be a
 chain-reaction collapse of the entire world economy, with
 genocidal effects, and {no known way, of preventing that
 genocide.
         So anyone who's pooh-poohing the Angelides Report, is in
 {very} poor shape, especially among us.  It must mean something
 very sick.  But we know there's a massive amount of lying
 spreading around, from fascist circles!  Fascist circles in the
 political party!  Especially the Republican Party; fascism among
 elders of the Tea Party group, and so forth, all spreading.
         Now, what's the remedy?  The problem is, that we are the
 remedy, and therefore, anybody among us, who is going with this
 bullshit against Angelides, is really doubly a negative factor!
 Because, if you don't get the people alarmed, to understand what
 must be done, {before the collapse occurs!} you don't have a
 chance of stopping it.
         Now, we know why these degenerates are against Angelides,
 and they are degenerates.  No honest person is against the
 Angelides Report's evidence, unless they're stupid.  If they come
 in with a certification that they're stupid, all right, we take
 them off the list of shitheads.  We just tell them their head
 isn't functioning, that's why they're not shitheads any more.
         That is the reality we're dealing with.  And this is exactly
 what I laid out, not with the Angelides Report, but laid out as
 the facts, in the webcast.  Now, you now have the webcast before
 you, the full text, the discussion, there's no error in it!
 It's the most accurate portrayal, of the present situation  of
 the United States and beyond, which exists on the record to date!
 I read through it, there's no doubt of that.  And only that
 thing, and understanding and going at the facts, which Angelides
 Report contains, and all these things are facts!  This is states
 that existed!  It happened!  And it was this successful of steps,
 which mark the process by which the economy of the U.S. has been
 destroyed, and reflects the reasons for it being destroyed in
 Europe, as well.  {The whole world is about to go under!}

                          - How We Declined -
         We've been warning about this for a long time, in various
 phases.  I've been warning about this since the 1960s.  It was
 the warning, which was coupled with the 1971 treatment, of the
 collapse, the breakdown, of Summer 1971 -- it's what I forecast!
 It was a kind of disease in the economy, which I had forecast,
 back in 1956, when I forecast the February-March breakdown into
 the most serious recession of the postwar period, which happened
 exactly on time.  Because I didn't believe any so-called
 statistical nonsense, which people believed in.  I counted the
 number of cars, the number of jobs, and so forth -- the reality!
 -- and how this process was organized, what the changes were in
 policy, which made this result inevitable.  And it came on time!
         And I watched the way people reacted: They didn't react
 against it.  They continued with the same policy, and went into
 worse.
         We had an improvement under Kennedy.  But they killed him.
 And we have done nothing right, really, in launching programs, in
 policy programs, since that time, in the United States.  No net
 progress in the United States, since that time.  Except what
 Kennedy started, but was never carried through, because he was
 assassinated, because he didn't want us to destroy ourselves for
 the greater glory of the British Empire, by our refusing, as
 Kennedy had refused, and MacArthur had designated, {"No U.S. land
 war in Asia!"}  Hmm?  And how'd they get the land war in Asia,
 then?  {They killed Kennedy!}  They would not have had a land war
 in Asia, if they hadn't killed him!  It couldn't have happened!
 {That's why they killed him!}
         And those on the Warren Commission, which were responsible
 for the policy involved at that time, exemplify those who were
 complicit, in the operation {for which he was killed.}
         Then, when they were afraid his brother, Robert, was going
 to win the Democratic Presidential nomination, {they killed him,
 too!}  And that gave you, what?  That gave you the piece of
 bullshit, of the new Republican regime, that piece of crap, who
 was nominated and elected, as President.
         These are the realities.  The world has been going to Hell,
 generally, since those developments, in a process which started
 with the death of Franklin Roosevelt, were the first step back
 toward fascism, under a President who had been {pro-Fascist},
 going into the U.S. declaration of war:  Truman! Truman was a
 Wall Street fascist.  He came from that part of the world, where
 they grow pigs, and this one escaped and got into Wall Street,
 and into the Senate.  Truman!
         Truman was a complete slave of the British Empire.  And the
 cause of this crisis {is} the British Empire.  The British Empire
 was determined to destroy us!  They made no bones about it.
 Because, the British Empire, which controls Europe; the economic
 systems of Europe are controlled by the British Empire, and still
 are, today!  You had people who'd resist, like Charles de Gaulle,
 some of the Germans in the post-Hitler period, moved with the
 program or recovery which is called "the German miracle,"
 economic miracle, which worked, but they shut that down.  They
 shut that down, in the latter half of the 1960s.
         And the world has been going down, down, down, ever since
 that time in general.
         So, now the fact that the crisis is coming now, that the
 collapse is at the doorstep, and this is the last minute before
 doom, for us to do something about it, is not something that was
 really very sudden.  It's a pattern of decay, which has been
 going on, for decades.  And the reason people adapt to it,
 because they've learned to accept, {each step down, as being a
 normal state of affairs}, to which they have to adjust.  That's
 the rationale.  You accept each state of affairs -- in your
 experience in the past recent period.  And you count {only} as
 downslide, the downslide that you experience from that point of
 reference.
         You don't go back and realize, that from the time that
 Roosevelt {died}, and the end of the war, that we have been
 continuously on a downslide, motivated by the British influence
 on the United States, the Wall Street crowd, and so forth.
         So now, you've come to the point where the downsizing, the
 slide down, has come to a critical point, as it always must.
 There's a point where a leaky ship, gets more and more leaks, and
 it goes to the point, where the ship simply breaks up.  And we're
 at the point, where the ship is ready to break up.  And the only
 way you're going to prevent that breakup, is by what we're doing.
 And you have to stick to that understanding, of what the problem
 is, what the situation is, who the enemy is, and what the remedy
 is.
         Now, we're doing fairly well, in Purcellville on this.
 We're getting some production of material, but not enough!  And
 the reason we're not getting enough, is we don't have enough
 people being paid.  And we don't have enough people being paid,
 because we're not getting the income.  Admittedly, it's a
 desperate situation, which is not of our making.  But we are
 caught in it, and therefore, we have to do the things which are
 necessary to optimize our situation for this purpose.  But you
 can not, if we're trying to optimize, you can not {tolerate, for
 a moment}, the kind of crap that actually influenced some of our
 six, during that particular week, especially.
         And all it was, was a barrage of fake propaganda, {gossip}
 propaganda!  There is no other basis for the attack  on the
 Glass-Steagall, no other basis for the attack on this report, the
 Angelides Report:  No other basis, except lying propaganda!
         So the question is, how did people imbibe this propaganda,
 this false, lying propaganda?  And why did they believe it?  In
 warfare, that kind of mistake gets a lot of people killed!  You
 don't make that mistake.  And you don't allow that mistake to go,
 "Oh, well, that's nothing."  It {is} something!  The spread of
 that lie, {is} something!  Particularly when it's in our own
 organization.  And that lie can not be tolerated, {in} our
 organization!  It must be recognized as a lie!  It's an enemy
 lie, calculated as that!
         That's where we are.  That's the issue.  What it's going to
 hit, I don't know.  But it's going to hit soon.  How soon?  I
 don't know.  Because all it was going to take, is somebody
 setting off the trigger, that starts the final {doom} of
 civilization.
         All the preconditions for a general collapse of civilization
 now exist!  They're now pre-existing!  All you're waiting for is
 the trigger that sets the whole thing off.  And you're trying to
 find a way of {pulling away the hand that's on the trigger!}  The
 hand that's on the trigger, is essentially, the London-Wall
 Street connection, and this crazy, fascist bastard, we call a
 President.  That's the trigger!  So get the hands of these
 bastards off the trigger!  And we can do something, we can stop
 it.  But if we don't get their hands off the trigger, {we're
 doomed!}  When?  I can't tell you.  I can tell you that {it can
 happen any time!}  And it's not in our power, to prevent that
 from happening, as simply then that.  {Only} by our introducing a
 {counter-measure}, to prevent that from being done, is the only
 way you can prevent {the doom of civilizations, for generations
 yet to come.}
         That's the reality.  Anything else is bullshit.
         Now, we got, for example, a Jersey problem.  I've been
 talking about this, with Dennis; we've been talking again, with
 our dear friend in the corner, there, who is on the hot seat, in
 trying to find the solution for this thing.  But the Jersey
 income, is a completely fraudulent operation, run by hysteria!
 What should have been done in Jersey, was not done, because of
 someone's fit of hysteria.  And hysteria was used as a fit, to
 prevent the income, from Jersey, to be developed.
         And we don't consent to that.  This will not happen this
 week, or measures will be taken.  Because when somebody does
 something which amounts to a financial misrepresentation, their
 authority is {out}, it's over!  They are removed from a position
 of authority.  Because we are responsible to maintain our own
 organization.  If we find somebody trying to do something which
 is a violation of proper conduct, financial conduct, it's our
 responsibility, to be the first in the line of defense to take
 that out.
         The details, I'm not going to go through, because I've got
 some of the details, I've got the magnitude, the general nature
 of the problem, and how it works.  That's clear to me.  So I
 don't need to know more than that, to know that we must be
 alerted, to be prepared to take remedial action, to remove the
 problem.  And the problem has got to be told that the removal is
 being readied.  No more submission.  That's over.
         So these are the kinds of things we have to consider.  We're
 a serious organization.  We're not a chowder & marching society
 -- we may have a couple of chowder-heads among us, but that
 always goes with the territory.  But that's the situation.
         We have a situation in Europe, which is fragile.  They're
 doing a better job there, than we are here, relatively speaking.
 Because they're a little bit of solidity, because it's a leaner
 organization, therefore the solidity is a little stronger.  We
 have more slop  among us, we're carrying the freight.  But that's
 the situation.  And that's what we have to, today, get cleared
 away, from henceforth, so this factor in our existence is
 removed.  And the causes for this disorientation examined, as to
 what the actual mechanisms are by which this occurred, to make
 sure this is not repeated.  Nothing like it. That's reality.
         The world depends on us.  And what we've done recently, what
 I've done with this, the last webcast, and what we're going to do
 in the period ahead, should be done next week at a different
 event, and some other things, these are the things, the building
 operations,  on which the possibility of our saving humanity
 depends.
         But we know, out there, we know who, there, and
 internationally of prominence, is likely to do something good, on
 behalf of humanity.  We know them!  We're part of it!  And
 therefore, we have a responsibility, which is dictated
 accordingly.  And {we will not compromise, with any contrary
 dedication. We're here to defend humanity, and we will not
 compromise with the fate of humanity.  Anybody who tries to buck
 this and sabotage our effort, IS OUT!}  We won't tolerate it.

                          - DIALOGUE -

         Ah!  We have some additions to our repertoire, who have
 arrived.  We have some of the missing notes that are present, to
 our music.
         LEANDRA:  Hey, Lyn?
         LYN:  Ah!  Young lady!
         LEANDRA:  Just so that there's no mystery, about how things
 work.  The whisper campaign is not so mysterious, and it doesn't
 happen in a way, where somebody on the periphery is influencing.
 It's someone whose opinion has significant weight.  And that's
 the danger.  Because you have a situation, where in the back of
 your head, you're saying, "well, maybe this isn't the right thing
 to do, but, Such-and-such is telling me..."
         And there was just a little bit of work done in the office
 today, maybe Alicia wants to mention something about it, where we
 traced where some of the statements, the very confused
 statements, from part of the slate of six, made it up onto the
 website, which also affected other members of the slate, saying,
 "Well, this made it.  I don't see why what I'm saying is any
 different, than what already went up on the website."
         I don't know if you want to say anything.
         ALICIA:  Yeah.  The key thing about these statements, is,
 they're the first statements ever, in the history of the
 campaign, that actually bypassed Purcellville.  They went from
 whoever wrote them, exactly to the briefing, and that's never
 happened before.  Leandra, Matthew, and I never received the
 statements.  And the two that we did get, we nixed;  we sent them
 back.  So there was a bypassing of Purcellville, on this, in
 particular.
         And then, the other candidates referred to the statements
 that went up on the website, for a reference point, from which to
 cover the Angelides, and so, what happened, was the same cynical
 tone was passed through all of these statements, which is the
 fraud.
         LYN:  Yeah.  Fact is, everything was a fraud, in that.  And
 people bought into it.  The question is, why did they buy into
 it? Because some kind of an operation was done, which figured on
 the vulnerability of a number of them, and played upon a
 vulnerability.  That's the only way this is done.  I've seen it
 in the organization, done before, often.  But it was the enemy.
 The enemy's afraid of us, so therefore, they ran an operation to
 try to brainwash some of our key members.

         ALICIA:  Yeah, and it drove a pretty good-sized wedge
 between Purcellville, and the candidates.
         LYN:  Yeah, that was the in --
         ALICIA:  And that, in hindsight, it was an obvious tactic,
 to do that.
         LYN:  Yeah, yeah!  Because the complaints were fraudulent.
 They were completely fraudulent.  So it meant that somebody of
 some influence, or persons of some influence, had induced them to
 do that.  And the spread of this anti-  -- you know, policy, was
 an operation, based on corruption, and trying to force a factor
 of corruption into our organization.  It's obvious.  That's the
 only way it could happen, and that's the way it did happen.
         So, now, we're on the case, but this will not be tolerated.
 Absolutely not.  There's too much at stake.
         You've got the factor, of course, of the Molly-coddle
 factor, which is British intelligence.  And the Molly-coddle
 factor is totally British intelligence, not just Facebook.  This
 is organized by the British.  Molly is simply a tool of the
 British.  So, that's the problem there.  That's part of the
 factor.  Because they have a reserve factor of people they could
 deploy, for this kind of operation, trying to find susceptible
 chinks in our organization.
         But it won't be tolerated.  It's over!
         But there tends to be a certain softness among younger
 people, toward toleration, and that's the chink in the armor, in
 which things like this sneak through: It's toleration of other
 people's opinion.  And if somebody is close to you, and you say
 something to them, which is intended this way, they will tend,
 because they're close to you, to tolerate what you're saying.
 And then you're sucked into it.

         DIANA W:  Also, the attacks, at least the dissenters, of the
 report, the Commission, and just the public attacks -- well, I
 won't say, "public," but the attacks came before the report was
 even made public.  So the attacks, the lies came out, before the
 actual report was even made public, or published.
         LYN:  And our people who were sucked into, were sucked into
 it, before the report was actually published.  So, why would they
 believe that stuff, unless there were some influence inside the
 organization, which they thought was truthful?  Which was not!
         DIANA:  Yeah. Some popular opinion came out first, before
 the truth.
         LYN:  Yeah, yeah.
 opular opinion, which we knew it was orchestrated, by what crowd
 it was orchestrated by.  So we know what kind of a hand was
 intervening with our own people.
         JEFF:  Well, the dissenters who wrote the minority,
 dissenting opinions, knew what the report was, and there was a
 pre-operation, that was fully launched and was intended to bury
 the report before it ever came out.
         LYN:  Exactly.  Exactly.
         JEFF:  But the other thing I wanted to say, Lyn, in thinking
 back on some of this, from the discussion earlier today -- I
 forget exactly when it was, I think it was around March of 2008,
 you started out one of the webcasts by basically announcing that
 there had been a message conveyed that if Hillary won the
 nomination and was the candidate, and won the Presidency, that
 she'd not be allowed to live, in order to serve.  And I mean,
 you've had some very dramat -- we know that that message was
 delivered through the Bush crowd --
         LYN:  Yep.
         JEFF:  And it's the same phenomenon, as when the British
 message was delivered, that Glass-Steagall was an act of war!
 That's the reality of the situation.  And it's very obvious, why
 Hillary was considered to be a threat to the British, if she got
 the nomination, and why such an effort was made to make sure it
 didn't happen, and that they put this piece of shit Obama in.
         Well, the piece of shit, that was in the organization, was
 done after the webcast. It was in the days after the webcast,
 that this attack was made, on the members.  And it obviously was
 someone inside the organization who was, or credible to the
 inside the organization, who was used for this purpose.  It's the
 only way it could happen.  Because it happened in a certain
 timeframe: The timeframe is known.  The charges that were made,
 the allusions that were made, were based on known sources.  There
 {are} no other sources, except those categories of known sources.
         And obviously, an attempt was, to do it from inside the
 organization.  Because they know the way we fight this thing, and
 they know what our position is.  They were determined to try to
 stop it!  So they tried to sow dissension in the organization,
 among the six, in order to fight this thing.  And it was done
 within a specific timeframe, following the webcast, up until this
 weekend.  Hmm?  That's exactly what was done.
         And it was done without any public knowledge, in full, of
 what was contained in the report.  In other words, it was no
 honest, innocent bystander kind of reaction to the facts of the
 report, out there.  It was a completely synthetic fraud.  And it
 was a fraud, which was sufficiently crafted, to induce some of
 our own key members, into not resisting it.  And to resisting the
 report, huh?
         In other words, it's an obvious thing.  And, some of them
 who were affected, will probably think about this, and tell us
 what happened to them.
         See, the place you would look for the problem is in
 California.  Because that was the base of the counteroperations.
         You know, you always have a couple of malingerers, in our
 own organization, here and otherwise among the Boomers, who would
 go along with it.  But that's... that's a known factor, which we
 already prediscount.  That's why I call it Californication.
 Bottoms up.  [laughter]
         JEFF:  There's a lot of Boomer cynicism about the Clinton
 administration, and Clinton, and there was a propaganda campaign,
 at the height of our push on Glass-Steagall, to say that Clinton
 was responsible for the elimination of Glass-Steagall, as a way
 of creating a certain -- I mean, it almost struck me that this
 was directly targetted at our people.
         LYN:  Yeah, but everyone knew, I had a big fight with
 Clinton, on this issue.  On the launching of the bailout.  And
 you know, his attitude was, he had to go along with the Party.
 And I said, "No, you can't do that."  To which, his response was,
 he's been taken to the woodshed before, before I took him to the
 woodshed, on this question.
         JEFF:  Right.
         LYN:  But, the result was, when it came to the woodshed
 business, he came out of the woodshed, and said, "okay, you were
 right."
         JEFF:  Right.  But I'm saying, there's a preexisting
 platform of cynicism on that issue, among the Boomers in the
 organization, which lends itself then, when you want to get
 something targetted going, you have a predisposition to cynicism
 on something that's very essential, and gets to the question of
 saying, "Lyn doesn't have it right on Clinton."
         LYN:  Well, that's the Fernando & company, did similar kinds
 of things.

         MALE: I think the cynicism came from Angelides himself.  I
 mean, I remember being out in California during the 2006
 governor's campaign, and he ran the most pathetic campaign
 imaginable, against this fascist Schwarzenegger.  And this
 commission was then pushed as, the alternative to what we were
 calling for, which was a Pecora Commission...
         LYN:  It wasn't pushed as an alternative to what we were
 calling for!
         MALE: It wasn't?
         LYN:  By no means!  It never was!  That was never the case!
 He's a member of the Democratic Party  in California, who behaved
 like most members of the California Democratic Party leadership
 {did} behave!  But, in this case, from the inception of this
 report, {there was none of that!}  And that's irrelevant!
         The report is an absolutely clean and accurate report!  So,
 he can not be accused of having some kind of corruption or slop.
 It's irrelevant!  It's the people who {attack him}, who are the
 problem!  That's the what you got to keep in mind.  It's the
 people who {attack him}, who are now {proven} to be the problem!
 And there are plenty of sons of bitches in California, who will
 happily leap, including in the Democratic Party, who will very
 happily leap to that.
         This thing is a complete fraud!  There's no justification
 for it, the slanders against him, Angelides, are slanders!  You
 want to say he's a Democratic Party member, a Democratic Party
 official -- he's a Democratic Party official!  That's a
 definition of corruption!  [laughter] Because they go along to
 get along!  The idea is, you go along with your Party, against
 the opposition.  And there's an inherent degree of corruption.
         You know, it's like what we get from Ireland.  In Ireland,
 what we get?  He talks to us, and says, "Well, we're like you.
 We're the one percenters."  Only 1% of the population normally
 supports us.  "But when there's a real fight, we become the 30
 percenters or even the 50 percenters."  And he said, "We are that
 nature" -- Adams said that.  He said, "that's what our party,
 Sinn Fein, is.  And that's what you're like," speaking of us.
 And that's the truth of the matter.
         Most parties, which are successfully large, are large
 because they are corrupt.  And only under special conditions do
 they drop their corruption, or at least in part, and come over to
 the side of the cause.  Because the point is, the adaption of the
 popular opinion characters, is, they like to be popular!  And
 therefore, they want to be popular,  they want to take a popular
 position, they don't want to take an unpopular position!
         We who take unpopular positions on a matter of principle are
 the only ones who are fit to lead, in a crisis.  Those who
 normally are members of popular opinion, are {not} fit to lead!
 That's a law of history!  They're not qualified.  Why?  Because
 they corrupt themselves, by adapting to the shield of popular
 opinion.  They want their neighbors and contacts to say nice
 things about them.  They want their children to be accepted in
 the nice schools.  They want to be in the right university.  They
 want to be in the right fraternity, and so forth and so on.
         Being popular is the intrinsic form of corruption.  And you
 find out about this corruption, when people begin to look at
 their marriages, and they thought they'd made a popular choice.
 And then they left the relationship, popularly screaming.  Known,
 huh?  Commonplace.
         Human beings are not very honest.  Not so far.  Human
 beings, generally, are corrupt.
 opular parties are corrupt, precisely because they are popular:
 Their corruption lies in their popularity, or that which is
 attributed to their popularity.  And only in times of grave
 crisis, do people rise above popularity -- to {truth}.  It's the
 characteristic of society.
         People don't usually tell the truth!  They lie most of the
 time.  "Well, I have to believe that what they say is true!  I
 have to believe that!"
 opular!  "Everybody in my neighborhood thinks differently than
 you do. You must be wrong."
 opular! See, truth is not a characteristic of having the right
 party line.  Truth is a matter of knowing the truth.  Knowing the
 truth, by regard for what is the equivalent to universal physical
 principles.  And popularity is not worth anything.
 opularity is what a young whore has.
         JEFF:  For a while...
         LYN:  Yes.  Oh, I didn't want to bring up that painful
 subject!
         That's the nature of things!  That's what Gerry Adams said.
 And you look at this whole crowd, of all these European parties,
 and you see Gerry Adams' role, and his consciousness of his role,
 and his conscious comparison of his fate, and ours.  And he said,
 "You're like us.  We're down to 1%, then something comes along,
 and we suddenly go up to 30%."  And popularity is nothing more
 than a measure of the fashions among current professional
 prostitutes.  And they remain prostitutes!  Hey!  We got a better
 customer!  A better class of customer!  That sort of thing.

         JEFF:  You know, Lyn, it's interesting:  The one member of
 the Democratic Party in the House, who led the fight against the
 death panels, who actually sent the letter around, and got
 signatures from a whole bunch of members of Congress against the
 Obama insistence on the death panels, you want into his office,
 and he's got wall posters of himself, arm in arm with Gerry
 Adams.  Not surprisingly, from Boston.
         LYN:  Yeah, sure!  But that's the nature of things.  You
 know, look at university education: Most of it's lies.  Look at
 all the credentials of cretins, mostly lies.  You know, my life
 experience is this, from the time I was a child, and was able to
 understand what was going on around me.  I would hear, you know,
 my parents, for example, we have company.  And I would hear my
 parents, and the visitors, lying to each other.  And then, lying
 about each other, after the company had left! This is typical!
 We live in a corrupt society!
         And one of the purposes of living in this corrupt society,
 is to try to get it to abandon some of its corruption.  That's
 the nature of things.  And popular opinion is not worth much, and
 it's only in periods of crisis, that mankind either goes down
 into the ditch morally, or comes out, and for a short period of
 time, behaves like a hero.
         Look at every part of history, as I know, that's been the
 history of nations, exactly that. And so, if you're not corrupt,
 you're exceptional. And if you're not corrupt, most people don't
 want you around, most of the time. That's the way you have to
 look at it.  And you have to have the strength to be critical,
 not to try to say something which you think is going to get
 approbation from somebody else!  It has to be truth!  It has to
 be based on some standard of truth, and what is questioned then,
 is what is your standard of truth?  But the first, thing, you've
 to get to the desire to have a standard of truth.  Once you've
 got what you think is a standard of truth, now you have to be
 critical of your standard of truth.
         But the commitment is to the {idea} of truthfulness, as
 opposed to opportunism!  It's like what you expect of a judge in
 a case, right?  Whether the judge likes you or not, you want him
 to give an honest opinion.  Hmm?  You count on having an honest
 opinion.  And therefore, truth is the standard.  And most people
 lie like hell.  And you challenge them on lying like hell, they
 either deny it, or they'll give you 10,000 excuses why they had
 to do it.  "It's not practical!  You're going to bring shame on
 our family!  You're not going to be popular!  You're not going to
 get a good education, they'll throw you out of the university!
 You won't get this job."  And so forth and so on.  And that's the
 way lies are built into the culture.
         My experience in life, is nearly everybody lies most of the
 time.  And they do it, because they want the benefits of what
 they consider public opinion, or in some cases pubic opinion.
 And you know what pubic opinion leads to!

         ED H:  Lyn, I just wanted to raise one thing, it was
 concerning me.  I had been sick for about a week, so I missed a
 lot of the drama -- but, when I came back, I got, over the past
 two weeks, some reports about some rumors on the dissent, of the
 move from L.A. to San Francisco.  I think -- the only reason I'm
 raising this, is because I think there's too much luxury given to
 people's opinions on policy issues.  The Angelides thing is a
 policy.  This move is a question of policy.  And the fact that
 there's a lot of rumors about it, and a lot of dissenting rumors,
 I think is very dangerous, for all the six candidates, and
 especially because we're getting -- these kinds of rumors on
 policy issues.  And I wanted to see if you could say, if we could
 squash it before it turns into a bigger problem?
         LYN:  It has to be dealt with, and the point is this:
 California, since a matter involving [name withheld] came up in
 California, that was not itself the problem.  But it set apart,
 it defined a mood of distrust in the California organization,
 which in itself was not the great problem.  But what happened is,
 you had a couple of people who were actually leaders in
 California, who became the targets of the attack on them, meant
 that the best leadership in the Los Angeles region, was
 essentially sort of incriminated.  Which meant that the entire
 Los Angeles region, which was already in deep trouble, as a
 result of the economic conditions which have been accelerated by
 the Governor Schwarzenegger, meant that the southern California
 organization was no longer capable of sustaining itself,
 politically.
         Because the factor of the leadership, which had been sort of
 driven out of California, by this scandal, was a factor.  And,
 the factor itself was not the cause of the problem.  But you had
 a degenerating economic situation, because Los Angeles had
 become, with the loss of industry, a degenerating region --
 southern California.  Think of all the poverty and all the other
 things that are spread there.  San Diego was the same kind of
 thing.
         So, an area which, going into World War II, under the
 Roosevelt administration and into World War II, you had southern
 California had suddenly came up in the world, and attracted a
 large population.  The Roosevelt thing; the Okie immigration, for
 example, into California which was part of the 1920s-1930s, the
 Roosevelt period.
         And so suddenly, now, southern California is worth shit.
 All it's got left is Hollywood degeneracy as an image.
         All right, so, our people, who were accustomed to living
 gregariously among one another, in Los Angeles, found themselves,
 through the aggravation of an already-existing, preexisting
 problem, found themselves without a really effective,
 hard-hitting leadership.
         So, thus, then the Schwarzenegger period, as a period, meant
 a general decline.  So that the organization, as previously
 constituted in the Los Angeles region, is no longer capable of
 sustaining itself.  We're spending most of our money trying to
 deal with evictions. Because the income generated in that region,
 will not sustain the number of people we have as active members
 in that region.
         Whereas, the area of the Bay Area, is an area which has more
 diversified, and more deep-rooted cultural features, apart from
 some of the things we also know are there!  -- But it's an area,
 where, we found out, in the election campaign of Summer, we found
 out, a more deep appreciation of what, potentially, the region
 was.  First of all, number one, the number of scientific and
 related institutions in the San Francisco Bay Area, which
 indicates something of more value.  And the campaign, Summer's
 campaign, showed that this was the potential.  Whereas we find
 that in southern California, the potential is not there. What we
 are, is the Department of Evictions -- not convictions.
         So therefore, I said, "Okay, lighten load.  If your
 potential for raising funds to sustain the organization is below
 your income requirements to sustain the people there, and you've
 got another place to move to, let's start edging in the direction
 of where we can do better for our people."
         But what the problem is, they get stuck with the "old home
 week" phenomenon, and Phil has some of the problem. Phil has a
 certain comfortable attitude about Los Angeles, nowadays, and
 it's convenient. A lot of old friends are there, a circle he
 likes to work with, and so forth, are there.  But just on the
 accounts, it ain't workin' out!  And we can not be the
 organization which is trying to fund the process of delayed
 evictions, in Los Angeles. So, as a practical measure, it's not
 possible.
         But then, you have a sentimental effect.  So Los Angeles is
 resentful, of the fact that somebody suggests that they're not
 perfect, not a perfect area for recruiting.  My concern is to
 have our people move where they can function, and not be worried
 about how many people are going to be thrown out of their housing
 this week.  Which is what the whole problem is.
         Los Angeles region is a loser for the organization. Hmm?
         And I say, there were all these factors you could pick up
 along the way.  But the turning point, was the loss of a
 leadership, which was an effective leadership, in terms of a
 political leadership in Los Angeles:  That opened the gate for
 showing how weak the region was.
         It's just one of those things, that you have to deal with.
 And it was getting silly.  We were getting not reports of income
 raised, in Los Angeles; we were getting reports of the evictions
 staved off, by acts of desperation that week!  Not a highly
 recommended habitation!
         We have enough contacts in the Los Angeles area, which makes
 a certain minimal amount of population of us, feasible.  If you
 try to carry more people on the fundraising capabilities of the
 region, you find you can't do it.  So you're at a breakeven
 point, below breakeven, as a result of this.
         And we're doing fine, as an organization, over all. Some of
 the Boomers are getting a little aged.  I try to take pity on
 them from time to time.  Old age has come upon them:  I don't
 know what a youthful guy like me can do for them.  John may have
 some ideas. [laughs]
         No, look what we're doing here!  Our science-driver program,
 which centers on the Basement, is really the driver.  That's
 really what makes this thing tick.  And you look how we do it.
 Well, some of you know how we do it.  You sit down there, you go
 through things, and then you babble at each other, reciting back
 and forth to each other; you provoke each other, you enrage each
 other, promote each other, do all these kinds of things, these
 good things, and out of this comes -- I'll take the way in which
 we got into the NAWAPA program:  I knew we had had to have a
 change in the Basement, a certain kind of change, that is, to
 undertake a very serious effort of creativity, scientific
 creativity.  And I knew what we had to do.
         But the problem there, was not just knowing what we had to
 do, but a concept of how this would work.  And that was lacking.
 So, I said, there's only one thing to do:  NAWAPA.  And we
 managed to keep people from running away, and trying to give
 NAWAPA propaganda right away.  We made the people in the Basement
 who were working on this, shut up, as far as the public was
 concerned, until they had done a certain amount of work which had
 laid the basis for this.  So we were not promoting somebody's
 idea from the past, we were actually {reliving} what they had
 done, at least in certain fundamentals, and then saying, "{This
 is what WE know, that you should consider!"}
         And we had enough base, on what we did, in just putting
 these maps together, the Google, the pre-Google and Google maps
 together, to actually have a competent understanding of what the
 NAWAPA project was. So that when we began to yap about this
 thing, more widely, we had already established a level of
 competence, where we could talk to people who {had been} expert
 in this area, of various specialties, and were able to present
 the thing, with competence.
         Now, what happened was, with the NAWAPA program, which we
 ran, you got a side effect, and the side effect was an increase,
 an elevation, a qualitative elevation, in the level of scientific
 competence, as expressed in terms of projects!  We took on
 things, we put things together, which were {known things}; most
 of what we've done in the Basement involves known things,
 pre-known things.  What did we do?  We put some things together
 that {belonged} together!  We correlate things that belong
 together! And we find that certain correlations give you unique
 things which are not in the tableau, but by putting some of these
 things together, you find out, you've run into a principle which
 you didn't notice, as long as you kept the components of the
 principle separate from one another.
         So we sat down there, as a result of this, one day, down in
 the Basement; I was looking at Sky, we were looking at what Oyang
 had been talking about, and so forth.  And I said, "Are we ready
 to go for it?" this idea of the cosmic radiation approach.  And
 Oyang had been pushing certain things on this, we had some other
 things on it, and we agreed.  I said, "Okay!  Do we agree, we're
 going to do it?"  And they said, "we're going to do it!"  And the
 result was, an upgrading of our scientific work in general, so,
 if you go back to last summer, the time when we started the
 NAWAPA project, and you take today, and you say, "how much have
 we advanced, in terms of scientific competence, since the
 beginning of last summer, or the middle of the summer to the
 present time?"
         Ben?  You were there!
         BEN D:  Yes.  [laughter]
         LYN:  Okay.  And everyone on the team knows this.  So, we're
 on an upward course, in terms of scientific development.  And
 we're touching things, which somebody knew about, but it wasn't
 really being comprehended efficiently, for project work.
         And by getting into NAWAPA, which is a general project,
 which is why I was attracted to this idea of doing it, this is
 the way to present the concept of science to society.  Take a
 concrete measure, which is a qualitative change in the character
 of man's behavior in society, and {run that through}, and then
 see what the side effects are.  Which is really what science is.
         And that's the way we've been working.  So, we now have
 developed, as the characteristic of this organization, we've
 developed improvements in this direction, which, if sustained,
 are going to make the difference for humanity!
         Look, we've got Siberia before us now! We've got into the
 Arctic area, which we didn't have before.  We've looked at things
 we didn't look at before.  And we find, that if you take the
 pieces, as we do -- they sit down there, they copy this thing,
 from here and here, elements, putting 'em together, day by day,
 the copying machines are working wildly in producing this stuff.
 They're reading things to each other, pieces that are all coming
 together.
         There's a process under way, where you have a special kind
 of university in progress:  It's a university in motion, in this
 form.  Taking pieces, from around things, and finding out  that
 they correlate or don't correlate.  And having some sense of what
 the method has to be: And we're now making breakthroughs.  And we
 have a method, which is the method of any decent university of
 the future.  And it works!  Hmm?
         And that's what our operation is.  And we can take that
 operation wherever we go, and {we can do it!}  We just have to be
 able to nest enough to be able to pull things together and do it.
 We need more computer capability!  We don't have enough money for
 that!  We need all kinds of things which will enhance our ability
 to do a better job.  We have sources, we're not able to tap,
 because it takes money to get those sources, things like that we
 don't have.
         But the {method} we're using, {is} the right method.  And
 I'm happy with it:  And that's very important! [laughter]
         But that's the character of our organization, hmm? This
 scientific view, combined with the question of the higher level
 of Classical artistic composition, which is the archetype of
 science.  It's the power of the imagination, is what was called
 the "vicarious hypothesis," which is the "higher hypothesis" of
 Plato.  Which is manifest, first of all, in art.  It's manifest
 in social culture, in the terms of artistic social culture,
 social process culture, when you're dealing with ideas,
 principles, not just gabble-gabble-gabble. And that's what we're
 doing.  And that's why we're successful, in the respect we are a
 success.
         And it was never done in our organization, {really}, except
 for what became the SDI operation, and that was the driver. It
 was the SDI that became the driver as far as the operation we had
 then.  Because you have to have a practical application of
 science, but it has to be Classically artistic, on the one side,
 it has to be that motivation; it has to be practical, in terms of
 scientific practice, improvement in humanity.  And what came out
 of the SDI work we did, was exactly that:  it was the
 science-driver.
         What's been done, especially in the Basement, especially
 since the summer of last year, has been a science-driver
 operation, and everything comes from it.  There's no limitation
 to it, in terms of compartmentalization.  To me it's fun, it's
 what I like!  It's what I live for, at my creaking old age.  It's
 what makes life beautiful, what will make the human race
 beautiful.
         [inaudible] turn out doing all kinds of things of this
 nature, and it's all good!  Not perfect, so what?  It's good!
 What more do you want, it's good:  It's like cheesecake, it's
 good!  (New Yorker hit!  New York cheesecake.) [laughs]
         JEFF: D'Aiuto's is still there. It's the bakery.  [laughter]

         MALE:  You know, this thing you said about the experiment,
 using NAWAPA as an experiment, and running the gauntlet with the
 thing?
         LYN:  Yeah.
         MALE: That's really what we've been trying to do as far as
 exhausting taking this thing, and then exhausting it as one
 single idea that we try to develop over a period of many months,
 and trying to get that idea to move as many layers as possible.
 One of those has been to try to get an actual economic program
 for the U.S., that we're not just pushing, but we're fully
 designing, and get  an army of engineers and scientists who are
 then, rallying and organizing for that thing.
         So, I just resonated between when you said -- 'cause in my
 mind, the whole thing has been, as an experiment:  I'm going to
 conduct an experiment, but do it with real living people.  How do
 they respond to an idea?  And so forth.  Well, I just wanted to
 -- I can now, finally, let the organization know, and sort of
 announce, that we have a couple written contributions from these
 engineers.  And we finally got enough material today to launch
 the experiment, which is also another experiment, both on trying
 to organize what is growing around the fringes of the field
 outreach and so on, of more and more of these types of people, if
 they can be folded in, we can get kind of an organized army.  And
 we can get more material that we can use with state legislators
 and so forth -- [interruption]...
         LYN:  Let me say something... We're in a planet which has to
 change its behavior, from what it has been.  And what we're doing
 in scientific work, what we're doing in NAWAPA, we're doing it
 with other things, are all of this nature, is defining a new
 package of programmatic outlook for humanity.  It's fun!  I love
 it!  I love it.
         And we're doing some things in Europe, which may work -- I
 don't know.  But we're making the effort, and the effort is
 plausible.  We're out to crush the British Empire!  Which is the
 obstacle that has to be removed.  Or, we call it the Brutish
 Empire.  More easily, it can recognize itself that way.  Oh!  You
 represent the Queen of the Brutish Empire!
         "How did you know?"  [laughs]

         JOHN H.:  There are lots of things we can call it.
         LYN:  Yes!  Yes, yes, and often!  Anyways, we're in a tough
 situation financially and so forth, and we can not afford the
 luxury of stupidity. We can't do anything that's not worthwhile
 doing.
         And don't kiss the ass of popular opinion.  It leaves a bad
 taste in the mouth.
         Sure and begorrah, that's it!

                       - NEWS SUMMARIES -

                          - LAROUCHE -

         RUSSIAN LANGUAGE WEBSITE PUSHING OUT LAROUCHE'S LATEST (see
 slug)

         EIR RELEASES 40-YEAR CHRONOLOGY showing how the Angelides
 Report parallels the 40-year record of Lyndon LaRouche's economic
 forecasts, and de facto supports LaRouche's call for
 Glass-Steagall. (See websites)

         REPEAL OF GLASS-STEAGALL IS CENTER-STAGE in Angelides
 Report; Wall Street Apologists go Berserk and Lie (see slug)

                          - ECONOMICS -

         CHINA WHEATBELT THREATENED BY DROUGHT, Raising International
 Food Alerts; Globalists Salivate (See slug)

         WILL EUROPEAN CENTRAL BANKS START COLLAPSING?  [see slug]

         TRICHET: IRELAND AND GREECE MUST NOT BE ALLOWED To
 Restructure Their Debt; Covers Up ECB Shaky Status.  [see slug]

         BUDGET CUTTING MANIA SWEEPS THE NATION'S CITIES AND STATES
 (see slug)

         USURY GONE WILD -- Credit card with 59.9% rate draws
 hundreds of thousands of victims (see slug)

         RICHMOND VA FED CHIEF JEFFREY LACKER WARNED OF A CRASH IF
 "QUANTITATIVE EASING" IS NOT STOPPED, and said he'd vote against
 continuing QEII at the next FMOC meeting (see slug)

         CHINA AND IRAN ANNOUNCE MAJOR RAIL DEALS (see slug)

         71.1% OF THE HOMES IN LAS VEGAS ARE UNDERWATER. Of the
 nation's 386 counties, 17 have more than half their homes
 underwater. [mob]

                        - UNITED STATES -

         ANGELIDES HITS WALL STREET AS "GAMBLING CASINO," hurting
 real economy, on conservative Michael Medved show,.  [see slug]

         NEOCONS HAMMER ANGELIDES, CUOMO, while protecting the
 bailout of Wall Street swindlers.  [see slug]

         NEW JERSEY LEGISLATURE HOLDS HEARINGS ON POLICE CRISIS (see
 slug)

         OBAMA AND HOUSE GOP LEADERSHIP REBUFFED ON PATRIOT ACT. (see
 slug)

         IT'S ABOUT TIME! THE "CENTRIST" DEMOCRATIC LEADERSHIP
 COMMITTEE announced today that it is declaring bankruptcy and
 closing its doors.

         SHADOW CATFOOD COMMISSION MEETS. For two hours, the six
 self-anointed grandma-killers met in offices of Sen. Dick Durbin
 (D-IL). Out of the 20 or so presumed Senate "members," were
 frontmen Mark Warner (D-VA) and Saxby Chambliss (R-GA), along
 with Dems Kent Conrad and Repubs Tom Coburn (OK) and Mike Crapo
 (ID). Already back in June 2010, Warner and Chambliss had started
 the process of trying to put the murderous cuts into law. They
 hope to get a meeting with the White House.  [politico/national
 jrnl]

                        - IBERO AMERICA -

         TIM GEITHNER WAS IN BRAZIL ON FEB. 7, to prep for Obama's
 upcoming March visit and to line up the new Dilma Rousseff
 government behind escalating China-bashing. Brazil's problem with
 the rip-tide of speculative capital in the country, Geithner
 pronounced, is due, not to the Inter-Alpha group's bankrupt carry
 trade, but rather "the policies of other emerging economies that
 are trying to sustain undervalued currencies, with tightly
 controlled exchange-rate regimes"--i.e., China, of course.

         BARACK OSAMBA? One blogger is already asking a very
 pertinent question: "When President Obama visits Brazil in March,
 will he go to Carnaval, and can he samba?"

                       - WESTERN EUROPE -

         LES ECHOS: U.S. PRESS RIDICULED AND MINIMIZED ANGELIDES
 REPORT.  [see slug]

         FRENCH JUDICIARY JOIN POLICE IN REVOLT against Sarkozy Cuts.
 [see slug]

         WHY THE IRISH HELP SAVE CIVILIZATION.  [see slug]

                       - RUSSIA AND CIS -

         EASTERN EUROPE STAYS AWAY FROM EURO, and the Bailouts.  [see
 slug]

                           - AFRICA -

         REPORT ON ORGANIZING TRIP TO SUDAN.  [see slug]

                       - SOUTHWEST ASIA -

         ANOTHER DAY OF MASS DEMONSTRATIONS IN EGYPT (see slug)

                      - SOUTH & EAST ASIA -

         NORTH AND SOUTH KOREA HOLD FIRST TALKS SINCE SHELLING OF
 ISLAND. Preliminary, lower-level military talks between North and
 South Korea started Tuesday in the Panmunjom truce village, aimed
 at establishing an agenda for higher level talks. The session
 lasted over eight hours. There was no announced breakthrough, but
 talks are expected to continue Wednesday. [RON]

                             IN DEPTH

                       LEADING DEVELOPMENTS

 Angelides Report Brought to Harrisburg, PA

 Feb. 8 (LPAC)--LaRouche Democrat Diane Sare, three other
 organizers, and two activists visited the Pennsylvania State
 Legislature on Monday. The response was excellent. Thirty copies
 of the Angelides Conclusion were distributed to the offices
 visited. We had meetings with eight legislators, not their aides.
 All except one were extremely supportive. One of them referred to
 our organizer as a kindred spirit. Five of them committed to
 write letters to their Congressmen on the urgency of reinstating
 Glass-Steagall, and of those, at least three volunteered that the
 body as a whole should memorialize Glass-Steagall to add more
 weight. One legislator said she would be willing to introduce the
 measure.
         Probably the fact that 32 of the 52 sponsors of the 2007
 HBPA are still in the legislature, partly accounts for the quite
 unblocked response. Also, Harrisburg is much further from Wall
 Street than Albany -- politically, anyway -- and the people with
 whom we met were very down-to-earth. The rich productive history
 of the state, from the Constitutional Convention to the Baldwin
 Locomotive Works to the Battle of Gettysburg, seemed to be in the
 air, and the beautiful Capitol Building, with a lovely old annex
 which has a larger-than-life statue of Abraham Lincoln with the
 text of the Gettysburg Address underneath, demand a certain
 dignity (not to mention, there's a mural of a trombone choir of
 the Moravian Church tradition).
         One Republican Rep, a retired cop, said, I seem to recall
 Hamilton saying that debt is good. He couldn't remember WHY
 Hamilton had said such a thing, but it led to the best discussion
 so far on credit vs monetarism. One guy with stuffed prey hanging
 all over, advised Diane that she would not get elected by talking
 about NAWAPA, because he couldn't understand it, and therefore,
 surely no one else could, either! He nonetheless thought he
 agreed completely on Glass-Steagall and will talk to his
 Congressman about it.
         One of the activists from PA arranged an impromptu meeting
 with his rep, who was quite enthusiastic, and very excited that
 U.S. Rep. Fitzpatrick, who is his Congressman, had raised the
 idea of reviving Glass-Steagall. We set up four meetings for
 early March at offices which had requested lit, and will probably
 have many more meetings set up for that day. One of the reps met
 has agreed to be on the national call Monday night. [DWS]

 Repeal of Glass-Steagall is Center-Stage in Angelides Report;
 Wall Street Apologists go Berserk and Lie

         Feb. 8 (LPAC)--In assigning responsibility for the 2007-08
 financial collapse. the Final Report of the Financial Crisis
 Inquiry Commission (FCIC) places crucial emphasis on banking
 deregulation, and particularly the erosion and repeal of Franklin
 Roosevelt's Glass-Steagall Act.
         The Commission's mandate from Congress did not include
 making recommendations for resolving the current crisis and
 preventing a future one, but economist and statesman Lyndon
 LaRouche has identified the restoration of Glass-Steagall, which
 was repealed in 1999, as the critical and essential condition for
 halting the present collapse and beginning to rebuild our
 economy.
         Chapter 2 of Part II of the FCIC report entitled "Setting
 the Stage," chronicles the rise of what it calls the "shadow
 banking system" of investment banks, money-market funds and "hot
 money," parallel to the commercial banking system, and shows
 indisputably how deregulation allowed the shadow banking system
 to grow and outstrip the regulated banks, to the point of their
 collapse in 2007-08.
         The report cites as pivotal, the 1933 passage of the
 Glass-Steagall Act, with its establishment of the Federal Deposit
 Insurance Corporation, intended to protect depositors' monies,
 prevent bank panics and to discourage excessive risk-taking in
 the banking system. But as the shadow banking system grew in the
 1970s and 1980s, the commercial banks argued they they had been
 trapped in a straightjacket since the 1930s by Glass-Steagall,
 which strictly limited their participation in the speculative
 securities markets.
         The FCIC Report documents the step-by-step drive for
 deregulation in the 1980s and 1990s--justified by arguments for
 unlimited competition and "innovation," typified by the argument
 put forward by Fed chairman Alan Greenspan, that "unfettered
 markets create a degree of wealth that fosters a more civilized
 existence."
         "Beginning in 1987," the FCIC report states, "the Federal
 Reserve accommodated a series of requests from the banks to
 undertake activities forbidden by Glass-Steagall." The movement
 continued to dismantle the regulations that restricted depository
 institutions' activities in the capital markets. "In 1991, the
 Treasury Department issued an extensive study calling for the
 elimination of the old regulatory framework for banks, including
 removal of all geographic restrictions on banking and repeal of
 the Glass-Steagall Act."
         Chapter 4 recounts the events of the 1990s, when the
 parallel banking system was booming, commercial banks were acting
 more like investment banks, and the largest banks were pressing
 regulators, state legislators, and Congress to remove almost all
 remaining regulation, especially that which separated commercial
 banks from securities firms and insurance companies. In 1998,
 Citicorp forced the issue of Glass-Steagall repeal, with its
 merger with Travelers insurance company to form Citigroup; and
 the next year, Congress compliantly passed the Gramm-Leach-Bliley
 Act, lifting most of the remaining Glass-Steagall restrictions.
 The FCIC cites a New York Times report that Citigroup's Sandy
 Weill hung a plague in his office with his portrait and the
 caption, "Shatterer of Glass-Steagall."
         "The biggest bank holding companies became major players in
 investment banking," says the Angelides Report. "The strategies
 of the largest commercial banks and their holding companies came
 to more resemble the strategies of investment banks."
         And on it went--until it predictably blew up in 2007.

                    - They Protest Too Much -
         Both of the dissenting FCIC reports, coming from the four
 Republican members of the 10-person commission, singled out the
 mention of Glass-Steagall, explicitly denying that the repeal of
 Glass-Steagall was a cause of the crisis.
         Peter Wallison, who for years has been the leading Wall
 Street propagandist for deregulation, accuses the Commission's
 majority of only looking for facts to support their assumptions
 about deregulation, "greed and recklessness on Wall Street,"
 etc., and he then declares, astoundingly, that: "No significant
 deregulation of financial institutions occurred in the last 30
 years. The repeal of a portion of the Glass-Steagall Act,
 frequently cited as an example of deregulation, had no role in
 the financial crisis."
         Wallison's entire tedious, lying, almost 100-page argument,
 is that the sole cause of the crisis was the federal government's
 housing policy which encouraged poor people to buy houses they
 couldn't afford, exemplified by the role of Fannie Mae and
 Freddie Mac, and the Community Reinvestment Act.
         Wallison's argument was too much for even the other three
 Republicans on the Commission, who were not so sweeping in their
 dismissal of the majority's analysis, but who nonetheless assert
 that "Neither the Community Reinvestment Act nor removal of the
 Glass-Steagall firewall was a significant cause."
         These arguments, dismissing the crucial role of the repeal
 of Glass-Steagall and other financial deregulation, have been
 repeated incessantly, and lyingly, by Wall Street apologists
 since the release of the truthful and irrefutable Angelides
 Report.

 Russian Language Website Pushing Out LaRouche's Latest

 Feb. 7--The following items have been posted on the EIR
 Russian-lanugage website over recent days:
         - Excerpts from the diplo lunch remarks
         - The "Merkel's wrong speech" article, translated by
 contacts in Russia and Germany on their own initiative
         - My and Dennis's "Goldman Sachs cooked up the BRIC" article
 from last April
         - Our second Russian-language NAWAPA video: Continental
 Implications of the NAWAPA Project. This time, with subtitling
 instead of voice-over.
         - Short LPAC release on LaRouche blasting Obama, re: Egypt

         In process: 1,000-word consolidated release on the Angelides
 report, mainly consisting of quotations from Lyn from the Weekly
 Report. [RBD]

                       ECONOMICS AND FINANCE

 China Drought Threatens Wheatbelt, Raising International Food
 Alerts; Globalists Salivate

 Feb. 8 (LPAC)--The U.N. Food and Agriculture Organization (FAO)
 issued an alert on Tuesday that a severe drought threatens the
 wheat crop in China. The FAO said that 5.16 million hectares of
 China's 14 million hectares of wheat fields had been affected by
 the drought, and that 2.57 million people and 2.79 million head
 of livestock faced shortages of drinking water.
         The wheat crop threat itself is not "news;" Chinese farmers
 and officials have been closely watching the aridity,
 temperature, and conditions in the wheat provinces.  Last week
 President Hu Jintao and Prime Minister Wen Jiabao made separate
 visits to wheat provinces.  (Winter wheat--which is 95% of
 China's crop, is planted in the Fall and harvested in June). Once
 the plants come out of Winter dormancy, potential rains in the
 coming weeks could even mitigate crop damage in China. Otherwise,
 there will be huge losses.
         What the new FAO alert on China does--besides abetting those
 who are demonizing China for being a nation of "excessive demand"
 for food (Bernanke, Feb. 3)--is to spotlight how crazy it is to
 call it a food security policy, to expect good crop weather in
 all farmbelts all at the same time. Yet, on NPR radio in the U.S.
 today, FAO Senior Economist Abdolreza Abbasian referenced this
 fantasy of concurrence of good weather, in his explanation for
 record food-price inflation. "The most important factor was
 weather development in 2010." (NPR, Feb. 7 interview).
         If proper infrastructure had been built in recent decades,
 there would be no need to fear simultaneous harvest disasters for
 any crop, as occurred for wheat this year, with crop losses in
 Russia, Australia, Canada, Europe, Pakistan and elsewhere. The
 only sane agriculture policy is the LPAC drive to reinstate
 Glass-Steagall and all that goes with it--stopping speculation,
 and launching a credit system for NAWAPA-scale improvements.
         Without that, yesterday's FAO alert become the predictable
 occasion for yet another round of speculation. Today, wheat
 futures on the Chicago Board of Trade, the Kansas City Board of
 Trade, and the Minneapolis Grain Exchange shot up, to a 30 month
 high. (Soft red wheat, March delivery, touched $8.8075 a bushel.)
 Wheat prices have risen 76 percent over the last 13 months.
         China alone accounts for over 17 percent of annual world
 wheat production. In 2009/2010, China produced 115.12 million
 metric tons, out of the world total production of 682.6 mmt. But
 in the current crop year 2010/2011, world output is projected to
 be way down, at 646.51 mmt, with China's output doubtful to reach
 114 mmt. Committed to food self-sufficiency and a grain reserve,
 China grew and consumed its crops, with negligible wheat imports.
 Now, all that is in question.
         "China's grain situation is critical to the rest of the
 world --if they are forced to go out on the market to procure
 adequate supplies for their population, it could send huge shock
 waves through the world's grain markets," said Robert S. Zeigler,
 the director general of the International Rice Research Institute
 in Los Banos, the Philippines. Zeigler, an opponent of the
 Malthusian outlook, has repeatedly called for national
 infrastructure to reliably supply all nations with the grains
 they need--wheat, rice, and corn. He reminded people this week
 that China's grain self-sufficiency three years ago, helped
 dampen world food prices from spiking even higher. But today is a
 worse, extenuated situation. He said of China, "They can buy
 whatever they need to buy, and they can outbid anyone."
                        - Drought Dire -
     Chinese state media are describing the drought in
 increasingly dire terms. "Minimal rainfall or snow this winter
 has crippled China's major agricultural regions, leaving many of
 them parched," the official news agency Xinhua said Monday. "Crop
 production has fallen sharply, as the worst drought in six
 decades shows no sign of letting up." Data from the Shandong
 provincial meteorological bureau showed that the drought would be
 the worst in 200 years if there were no substantial precipitation
 by the end of this month.
         The Chinese government has been putting every possible
 measure into effect to help ensure the coming year's harvest. For
 example, directives have been issued to ensure that there is no
 disruption for any reason to the supply of fertilizer and
 agricultural chemicals to farmers. But, while there are long-term
 projects to bring additional water to the often-parched North
 China plains, they will not be completed soon enough to aid in
 this emergency, and the other emergency measures can not supply
 vital water. [RON/MGM]

 Will European Central Banks Start Collapsing

 Feb. 8 (EIRNS)--The European policy of continuing to bail out the
 Inter-Alpha Group system is leading to the bankruptcy of the
 region's central banks. The first could be the Irish Central
 Bank, followed by Portugal, Greece, and ending with the European
 Central Bank itself.
         The {Irish Independent} reports that the Irish Central Bank
 has extended a government guarantee to the EU51 billion euros it
 has lent to Irish banks as part of its emergency liquidity
 assistance (ELA), a fact that could "threaten the solvency of our
 Central Bank," the paper writes. As reported a few weeks ago,
 these loans had increased from EU14.4 billion on Aug. 27, 2010 to
 EU51 billion by year's end.
         The Irish Central Bank was forced to make these loans,
 because the ECB refused to, after it had lent as much as EU140
 billion to the banks under its own emergency liquidity program.
 The loans are for jus seven days and carry a penalty interest
 rate of 3%, well above the ECB rate of 1.75%. The loans can be
 rolled over, but are backed by collateral whose risk makes them
 ineligible for ECB loans. With the Central Bank offering a
 guarantee, that leaves Dublin an enormous increase in its already
 unsustainable guarantee for the Irish banks.
         A similar situation has developed in Portugal, although it
 is said not to be "as dramatic," and there is talk also of
 interventions by the Spanish Central Bank. These bailout tricks
 have been allowed by the ECB under the  ELA program, which
 authorizes national banks to issue loans for a limited time in
 precarious situations. However, the guidelines for that are
 vague, and there is no ceiling set for such emergency loans.
 [DEA/RAP]

 Trichet: Ireland and Greece Must Not Be Allowed To Restructure
 Their Debt

 Feb. 8 (EIRNS)--Because the "entire world" has allegedly approved
 the Irish and Greek bailout plans, they must be implemented to
 the letter, and therefore, there can be no restructuring of those
 nations' debt, according to Europen Central Bank President
 Jean-Claude Trichet.
         Speaking before a European Parliament committee in his
 capacity as head of the European Systemic Risk Board, Trichet
 raved, "We have plans. The plans have to be executed, have to be
 implemented -- as has been the case the world over, and it is
 very, very important, in my opinion, not to confuse things.... We
 have a program, approved  by the international community,
 approved by the IMF board, the entire world, approved the
 European [Union], approved and financed by the the IMF and the
 European Union."
         Trichet went on to say that under no circumstances should
 the debts be restructured, because it would reward those who have
 short positions on this debt and "punish those who have been
 investing in the bonds."
         Trichet has reason to worry about any restructuring of this
 debt, since his own ECB is holding the bag on EU76.5 billion
 worth of Greek, Portuguese, Irish, and other countries' bonds,
 which it has been secretly purchasing in what it claims is an
 attempt to "stabilize" the bond market. This on top of its
 "unlimited liquidity" offers to Euroland banks, which runs into
 the hundreds of billions. With a tiny EU10 billion in paid-up
 capital, Trichet's "own" ECB is a good as bankrupt.  [DEA]

 Iran and China Sign Agreement To Build 5,000 KM of New Rail Lines

 Feb. 8 (EIRNS)--Iran's state-run Construction and Development of
 Transportation Infrastructure Company today announced that it has
 signed a contract with China to build a railway network of 5,300
 km of new lines. The contract is worth about $13 billion. China
 is now Iran's largest trading partner, with  direct bilateral
 trade currently standing at $30 billion, up over 30% from $21.2
 billion in 2009.
         On Jan. 25, Iranian Roads and Transportation Minister Hamid
 Behbahani announced the rail expansion plan. With nearly 5,000 km
 of railway currently under construction, "All government efforts
 are aimed at the immediate completion of the country's highway
 and railway projects," he said. China will participate in
 building eight projects, including the 900-km Tehran-Mashhad
 line, the 410-km Tehran-Qom-Esfahan line, and the 370-km
 Qazvin-Rasht-Anzali-Astara line, all vital Eurasian Landbridge
 routes which will modernize Iran's links to Turkmenistan and
 Central Asia, Pakistan, and the Indian Subcontinent, and along
 the west coast of the Caspian Sea, eventually to Russia. [MMC]

 Another Fed Chairman Rejects QEII

 Feb. 8 (LPAC) -- Jeffrey Lacker, the Richmond, VA Fed President,
 and an alternate member of the Federal Open Market Committee
 (FOMC), said in a speech on Tuesday that the Fed should "quite
 seriously" re-evaluate the need for large-scale Fed purchases of
 Treasury bonds, or quantitative easing, round two (QEII).
 Although Lacker said the economic situation is improving, he also
 warned that "inflation is capable of accelerating, even if the
 level of economic activity has not yet returned to pre-recession
 trends," pointing to food and oil prices.
         Dallas Fed President Dick Fisher last week said he would
 oppose any extension of the quantitative easing at next month's
 FOMC meeting.
         Lacker has not called for Glass-Steagall (as Fisher and
 Kansas City Fed President Thomas Hoenig have), but he warned of a
 crash in the works if the money pumping continues without real
 economic growth: "Be clear: there is no uncertainty about whether
 the long-run federal budget imbalance will be corrected.
 Continual increases in debt relative to the size of our economy
 are simply not feasible and will not happen. The real question is
 how a sustainable path will be achieved. In advance, by
 deliberately adopting and following a credible strategy, or in
 extremis, forced by investor retreat and collapsing market
 confidence to adopt drastic emergency measures? We would be wise
 to heed the abundant empirical evidence of the superiority of
 taking action before a fiscal crisis is upon us."
         Lacker also explicitly rejected the insane argument put
 forth by Fed Chairman Ben Bernanke repeatedly, that there is no
 danger of inflation because there is unused industrial capacity,
 which forces manufacturers to swallow the commodity price
 increases. [MOB]

 More Budget-cutting Madness

 Feb. 8 (LPAC)--Yesterday, Florida Gov. Rick Scott announced his
 budget plans for the fiscal 2012 budget and, as you might expect,
 spending reductions are the order of the day. The $65.9 billion
 Fiscal Year 2012 budget is $4.6 billion less than the FY 2011
 budget. It includes transferring Medicaid recipients to HMOs to
 save $2 billion; renegotiating state contracts and leases, and
 eliminating whatever he deems wasteful spending, to save another
 $330 million; and requiring public sector workers to pay 5
 percent of their salaries into their pension plans and putting
 new hires into 401(k) plans, to save $1.4 billion. He also plans
 to cut property and corporate income tax rates by about $2
 billion. All of this is supposed to spur the creation of 700,000
 private sector jobs.
         While business groups love Scott's budget, police,
 firefighters and teachers are up in arms about his plan for
 pensions, seeing it as a 5-percent reduction in their wages. Some
 teachers in Florida are already at, or below, the poverty line,
 and a fire captain eight years from retirement told the Tampa Bay
 Times that he estimated the change would cost him $3,500. Even
 Pinellas County Sheriff Jim Coats, who was part of Scott's
 law-enforcement transition team was taken aback by the plan,
 calling it "harsh." He commented, "I think it will have
 potentially adverse impact on our recruiting activities and
 retention, and I think it will have an impact on morale."
         And the budget cutting goes on elsewhere was well:
         * Last week, the Indiana House passed a bill that will
 reduce unemployment benefits by an average of 25 percent.
 Republicans are selling it as a solution to paying back the $2
 billion that the state owes the Federal government in
 unemployment funds. It also increases employer premiums (though
 not as much as it would have without the benefit cut) and adds a
 13-percent surcharge on businesses. [Indianapolis Star, AFL-CIO
 release]
         * New Haven, Conn. - Mayor John Stefano warned, yesterday,
 that dealing with the city's $47 million deficit will require
 layoffs, and reduced health care and pension benefits for city
 workers. He also proposed privatizing city-owned parking garages,
 outsourcing the cleaning of city schools to cut costs and
 charging everyone, even non-profits, for storm water treatment.
 [NBC Connecticut]
     * New York City - Mayor Michael Bloomberg traipsed up to
 Albany, yesterday, not so much to warn of the impact on the city
 of state budget cuts, but to offer a deal: we'll live with the
 cuts if you relieve us of certain state mandates. Despite
 complaining that the city will lose three times the $659 million
 cited in Cuomo's budget, Bloomberg, whose own budget plan already
 calls for the laying-off of more than 6,000 teachers, was
 actually praising Cuomo for his effort to reduce state spending
 and improve the tax climate. "I'm 100 percent behind him," he
 said of Cuomo's overall plan, but he wants the governor and the
 state legislature to help reduce the city's expenses by repealing
 certain state mandates. [NY Times] [CJO]

 Police and Fire Layoffs Kill, NJ Senate Committee Told

 Feb. 8 (LPAC)--The Law and Public Safety Committee of the New
 Jersey State Senate got an earful, yesterday, when it held a
 hearing on the impact of police and fire department layoffs on
 public safety. The panel heard from police officers, fire
 fighters, and the fiancé of a Lakewood police officer killed in
 the line of duty on Jan. 14.
         Newark Detective Jim Stewart told the committee that while
 Mayor Cory Booker had said that the city "wouldn't miss a beat"
 despite laying off 167 police officers, the truth is otherwise.
 He said that department figures from Dec. 4 to Jan. 30 showed
 increases of 50 percent in murders, 38 percent in robberies, 66
 percent in shooting incidents, 118 percent in shooting victims
 and 400 percent in carjackings from the same period in the
 previous year. Chief Richard J. Buzby, Jr., the police chief of
 Little Egg Harbor Township, a suburb of Atlantic City, which laid
 off 11 police officers last October, said he was convinced that
 criminals have been taking advantage of the situation.
         "Absolutely there's people that take advantage. It's been
 publicized pretty widely that we and towns near us have undergone
 cuts," Buzby said. "We had 18 burglaries in January compared to
 five last January. We also had two strong-arm robberies this
 January, which is a type of crime we don't usually see and is
 very concerning."
         Gov. Chris Christie also came in for criticism. The deputy
 fire chief of Elizabeth, Lathey Wirkus, told the committee that
 Christie "continues to tell people that everything is fine and no
 one will perish," said Elizabeth Deputy Fire Chief Lathey Wirkus.
 "And I'm here to tell you ... that with the current reductions
 that we're seeing in both police and fire, there will be
 increased life-loss -- not only with civilians but with
 firefighters."
         The most dramatic moment in the hearing apparently came with
 the testimony of 24-year old Kelly Walsifer, the fiancé of
 Lakewood police officer Christopher Matlosz, who was killed by a
 gang member on Jan. 14; she reportedly shamed everyone in the
 room into silence. Legislators have been considering bills to
 increase penalties for gang-related crime, but, Walsifer said "if
 there are more anti-gang laws, how can we lay off more cops?" The
 senators were apparently too ashamed to reply. She spoke of
 police officers killed in 2010 and "already in 2011. Truly
 unacceptable. The thought of laying off more cops truly makes me
 sick to my stomach," she said.
         The budget cutting continues in New Jersey, however. Within
 hours of the Senate hearing, officials of Hamilton Township held
 a public meeting to discuss their plans to lay off 41 township
 employees, including 13 police officers. Last Friday, seven
 employees of Hillside Township, including 4 police officers
 received their layoff notices. As a result, Hillside will have a
 dozen fewer police officers than it did a year ago. [CJO]

 Usury Gone Wild: 59.9% Interest Rate Credit Card Draws 700,000
 Victims

 Feb. 8 (LPAC) -- First Premier Bank in South Dakota has issued a
 credit card targetting people with poor credit ratings, with a
 59.9% interest rate -- to start! Nearly 700,000 people have
 signed up for the card, with more than half of them carrying a
 monthly balance. This is completely "legal" under Obama's "Card
 Act," which supposedly protects consumers from predatory lenders.
 The Act has no restrictions on usury, but only prevents issuers
 from raising rates retroactively. It's like a rapist warning you
 beforehand.
         In addition to the interest gouging, First Premier charges a
 $45 processing fee to open the account, an annual fee of $30 for
 the first year -- $45 for every subsequent year, and a MONTHLY
 servicing fee of $6.25 (or $75 a year) -- plus, naturally, late
 fees. The bank reports that they open 50,000 accounts a month.
 First Premier's website say it is "one of the strongest
 capitalized banks in the country, and operates with no debt. Our
 asset growth is funded through time-tested, traditional sources."
 [MOB]

                           UNITED STATES

 Angelides, on Radio, Hits Wall Street as "Gambling Casino"
 Hurting Real Economy

 Feb. 8 (LPAC)--"I was just taken aback at the extent to which
 Wall Street has become a gambling casino, rather than a place
 that provides capital to build the American economy," the head of
 the Financial Crisis Inquiry Commission, Phil Angelides, told
 conservative radio host Michael Medved. As in other interviews,
 Angelides again emphasized Wall Street's destructive role with
 respect to the real economy, noting that Wall Street is no longer
 providing capital for our economy, or for companies that "make
 things."
         Angelides pointed out that many of the flaws in our
 financial system that emerged before the 2008 crisis, still exist
 today, such as the shadow banking system, overnight lending
 markets which are very fragile and subject to runs, the
 concentration of power in a few large banks, and risky trading
 activities. "Wall Street really became a place where they were
 trading, trading, trading, rather than investing in America,"
 Angelides said, adding, "I don't think much has changed; we've
 still in a very fragile situation."
         Medved, a West Coast movie reviewer and commentator who has
 been closely associated with Rush Limbaugh, was surprisingly
 positive toward the FCIC Commission and toward Angelides
 personally, whom he described as "my friend," while at the same
 time asking a number of pointed questions about the partisan
 divide within the Commission.
         Responding to these questions, Angelides singled out Peter
 Wallison for criticism, noting that the other three Republicans
 on the Commission agreed with much of what the majority said.
 "Our conclusions were nonpartisan," Angelides stressed. He
 attacked Wallison's dissent, which put all the blame for the
 crisis on Fannie Mae and Freddie Mac, and Angelides took note of
 the fact that Wallison's three GOP colleagues didn't even agree
 with him. (Wallison headed the American Enterprise Institute's
 project on financial deregulation for many years; Prof. William
 K. Black calls him "the leading apologist for financial
 deregulation in the world.")
         On the Community Reinvestment Act (CRA, which many
 Republicans blame for the crisis), Angelides pointed out that
 nine of the ten commissioners found that the CRA did not cause
 the crisis, and the Commission found that the most aggressive,
 out-of-control subprime lenders -- Ameriquest, New Century, etc.
 -- weren't even covered by the CRA.
         Medved reported (which EIR has confirmed), that the FCIC
 report is No. 5 on the Washington Post non-fiction bestseller
 list. Angelides said that the Commission wanted to make the
 report broadly available to the American people, so they can see
 what happened to our financial system. He also announced that
 there are also thousands of documents on the FCIC website, and
 that by end of week there will be hundreds of audio recordings of
 interviews; he urged people to read and listen for themselves,
 and to come to an informed conclusion. [EWS]

 Neocons Hammer Angelides, Cuomo, While Protecting the Bailout of
 Wall Street Swindlers

 Feb. 8 (LPAC)--Paul Sperry, the Hoover Institute "media fellow"
 who was identified as a central figure in trashing the Angelides
 Report, had an article on FoxNews.com website attacking the
 report, for failing to go after Andrew Cuomo. Titled "Why Did the
 Financial Crisis Inquiry Commission Let Andrew Cuomo Off the
 Hook?", he calls the "expedient acquittal of former Housing
 Secretary Cuomo" proof that the FCIC report was "cooked in favor
 of the Democrats." Sperry described Cuomo as one who "deserved
 top billing on the list of suspects responsible for the subprime
 crime," which he blames for the post-2007 meltdown.
         This article has two features to it. One, is his sophistical
 attacks on Cuomo,in which Sperry argues that, despite Cuomo's
 claim that HUD pushed for Fannie Mae and Freddie Mac to be
 involved in subprime lending, to help people afford housing, he
 was really pushing sub-prime loans for "low-income minorities
 with weak credit", and that this caused the "subprime crisis,"
 which was responsible for the 2008 crash. This absurd line of
 argument flies in the face of reality -- after all, Fannie and
 Freddie were set up to provide City of London and Wall Street
 swindlers with a relatively small income stream from mortgages,
 which they then leveraged, through derivatives and similar scams,
 into hundreds of trillions of dollars of worthless financial
 obligations, which have been bailed out, beginning with TARP, and
 continuing with Bernanke's latest hyperinflationary measure,
 Quantitative Easing II. However, Sperry, who made his name as a
 small-time harasser of President Clinton, when he served as
 Washington Bureau Chief of Investor's Business Daily, is offering
 this kind of specious argument to attack Angelides, and direct
 citizens away from legitimate anger against the swindlers who
 were bailed out, by Bernanke, Paulson, Geithener, et.al., while,
 as the Angelides FCIC report details, millions of Americans lost
 their homes, jobs and futures.
         The second feature is to promote Sperry's book, "The Great
 American Bank Robbery," which was just released, in time to
 provide cover for the swindlers and crooks on London and Wall
 Street, as the FCIC report was released.
         Another example of a more blatant defense of the bailouts
 comes from the City of London mouthpiece, "The Economist," which
 attacks the Angelides report in a February 3 editorial. "It is
 hard to be authoritative when the authors cannot agree.... Ask
 people in {property} what caused the crisis and the answer will
 invariably be the amount of liquidity in the system." (Italics
 added -- HS) In other words, forget the report, the bailout is
 the solution. [HCS]

 Obama and House GOP Leadership Rebuffed an Patriot Act

 Feb. 8 (LPAC)--In what some are calling the action of a
 "political odd couple," twenty-six Republican House members,
 including eight freshmen, joined 122 Democrats in blocking a
 fast-track procedure to reauthorize the Bush-Cheney Patriot Act.
 The House rejected legislation to extend for nine months, three
 key elements of the Patriot Act: roving wiretaps, FBI access to
 business records (including medical and personal information),
 and surveillance of non-U.S. "lone wolf" terrorist suspects. The
 provisions will expire on Feb. 28 without House and Senate
 actions.
         The fast-track procedure requires a two-thirds vote, and it
 failed on a 277-148 vote -- even though the leadership violated
 their own rules by keeping the vote open longer than the
 15-minute limit.
         A spokesman for House GOP Whip Kevin McCarthy (R-Calif)
 noted that "Democrats in Congress voted to deny their own
 Administration's request" for the Patriot Act extension. [EWS]

                          WESTERN EUROPE

 Eastern Europe Stays Away From Euro, and the Bailouts

 Feb. 7--Being eyewitnesses to the ongoing collapse of the
 non-functioning eurozone bailout system, the Eastern Europeans
 become more and more encouraged to stay away from the euro. The
 leaders of France and Germany, who were in Warsaw yesterday for
 another session of the "Weimar Triangle," an annual meeting of
 the leaders of France, Germany, and Poland, got a fresh dose of
 this opposition from the Prime Minister of Poland, Donald Tusk.
         The meeting was meant to paper over discords following the
 heavy clash Feb. 4 at the EU Summit between German Chancellor
 Angela Merkel and Tusk. Merkel's plan to pull the Eastern
 European countries into a scheme for strict budgetary controls,
 as if they were serfs of the eurozone already, met the instant
 and loud rejection by Tusk, who also had the full backing of five
 other Eastern states, including Slovakia and Hungary.
         That should have warned Merkel, but, backed by Sarkozy, she
 reiterated her plan yesterday, this time trying to propitiate
 Poland for its "budgetary discipline" as already today qualifying
 the Poles for a eurozone membership. Tusk remained very reserved,
 however, and would neither commit himself to regular, binding
 consultations with Germany and other members of the eurozone
 group, nor give a date for when Poland would join the euro. The
 Poles dislike the Franco-German bulldozer approach with which
 supranational controls of fiscal, labor market, and other
 policies are to be boxed through, which Poland simply does not
 want to transfer to the Eurocrats in Brussels.
         Yesterday, Czech President Vaclav Klaus denounced the
 notorious EU arrogance toward the Eastern European nations, and
 said the euro and the supranational Lisbon Treaty were a grave
 mistake from the start. [RAP]

 Les Echos: U.S. Press Ridiculed and Minimized Angelides Report

 PARIS, Feb. 8, 2011 (Nouvelle Solidarité)--After {Le Figaro} ran
 a superficial article on the Angelides Report, yesterday's
 coverage offered by an analysis in {Les Echos} brought up some of
 the essential points.  Written by New York correspondent Pierre
 de Gasquet, the editorial analysis "Wall Street Bonuses and the
 Icarus Syndrome," starts from Reuters' analysis of the impressive
 salaries plus bonuses paid out by the five top American banks,
 growing 4% last year, reaching $119 billion. "Nothing, or nearly
 nothing, has changed" says Gasquet, while this "return of
 bonuses" is taking place right after "the publication of a major
 report of a Congressional inquest into the causes of the
 financial crisis, which largely made a 'flop' across the
 Atlantic."
         "Paradoxically, the FCIC report, brimming with revelations
 on the perverse mechanisms of the crisis and the detours by Wall
 Street, has been largely ridiculed and minimized by the American
 press. Too exhaustive, too detailed, in these times of condensed,
 real-time information. Or, then, too damning for an economic
 sector whose profits comprised 27% of the performance of all U.S.
 companies in 2006, on the eve of the crisis, as against 15% in
 1980?...
         "The financial crisis was completely 'avoidable' concluded
 the FCIC. It was neither fate, nor the product of 'computer
 models that derailed.' Undoubtedly imperfect, often too wordy or
 detailed, the inquest's report nonetheless will remain a trove
 for historians of the crisis." [KAV]

 French Judiciary Join Police in Revolt Against Sarkozy Cuts

 PARIS, Feb. 8, 2011 (Nouvelle Solidarité)--Having locked horns
 last week with furious police officials unwilling to accept the
 brutal austerity required to keep France's AAA credit rating for
 the sake of the "euro,"  over the Feb. 5-6 weekend, President
 Nicolas Sarkozy took aim at another segment of law enforcement,
 this time the judiciary.  When police in Brittany found the body
 of a murdered woman, Sarkozy blasted the judiciary for having
 released the chief suspect from prison without close monitoring,
 saying that "those who covered up or allowed this error to happen
 will be punished, that's the rule."
         Furious, the court in Nantes, joined by others throughout
 the country, and the judiciary unions, called for postponement of
 all non-emergency court hearings until at least Feb. 17, when
 they plan a protest in Nantes, where the victim lived. The
 threatened action prompted Prime Minister François Fillon to call
 news conference, where he denounced as "excessive" the response
 by hundreds of court officers, who, in fact, keep the justice
 system running. The suspect, said Fillon, "was supposed to be
 being followed by the probation services. ... The consequences
 are serious enough for the government not to leave the matter
 there."
         Representatives of the judiciary retorted that the Sarkozy
 cuts deprive them of the resources they need to maintain
 standards. Magistrates union vice president Virginie Valton said,
 "It's a tidal wave; the entire profession of magistrates is fed
 up." Over the last 18 months, the number of judges has fallen
 from 630 to 564, and France ranks among the lowest European
 countries in resources allocated to the court system.
         Counter-terror Judge Marc Trevidic, in charge of the Karachi
 affair, one of whose principals is Sarkozy, remarked, "I think
 the time has come to apply the minimal penalty to Nicolas
 Sarkozy, since we have to be tough with recidivists. ... For
 years we have been saying we don't have the resources to function
 decently. It started before Sarkozy, but now it is considered our
 fault." [KAV]

 Why the Irish Help Save Civilization

 FEb. 8 (LPAC)--The brother of this writer's great-grandmother,
 Patrick John Ryan, was the Irish-born Archbishop of Philadelphia
 from 1884 until his death in 1911, a great patriot of both
 Ireland and of his adopted country, who, on behalf of President
 Grover Cleveland, had presented Pope Leo XIII with a copy of the
 Constitution of the American Republic, a system of government for
 which the Pope expressed the highest appreciation. Like any good
 Irishman, Ryan  was a great storyteller. Statistics had come out
 comparing the very high suicide-rate in Britain with the very low
 rate of suicide in Ireland.
         The Archbishop was asked about the remarkable discrepancy
 between the two figures.  He then related a  discussion he had
 once had with one of his parishioners, an elderly gentleman from
 the old country, who had related "a tale of woe, the likes of
 which I had never heard." The man had been evicted from his land
 by his landlord, had been fired from his only outside means of
 livelihood by his employer, and his wife had taken his children
 and gone to live with another man.
         Curious to know the man's response to his numerous
 misfortunes, the Archbishop inquired, "Paddy," he said, "did ya
 ever, in yer entire life, ever once think of committin' suicide?"
 Paddy pondered the question a moment, and then looking at the
 Archbishop with a bit of a twinkle in his eye, replied, "Not on
 me-self, your Grace!" [WCJ]

                              AFRICA

 Report on Organizing Trip to Sudan

 Feb. 7--EIR representatives Donielle and Larry Freeman conducted
 a ten-day trip to Sudan from January 23-February 2, which was
 extended to accommodate all the requests for meetings.  Lyndon
 LaRouche is well known and held in high regard by many in the
 leadership of the country. Due to almost 20 years of involvement
 by the LaRouche movement in Sudan, and numerous conferences and
 meetings in Europe and the US, EIR and LaRouche are recognized by
 many in the various branches of the government. We had five
 interviews with government officials, numerous private meetings,
 and three different meetings with the Sudanese student union, the
 GUSS, who sponsored the EIR/LaRouche delegation's participation
 in a conference on the ICC in April 2009. One of the GUSS
 meetings was a two-hour session with 80 students.
         We spent two days in El Fasher, the capital of North Darfur,
 where we met with people at UNAMID headquarters, and toured Abu
 Shouk, El Salam, and Zamzam IDP camps, interviewed the governor
 of North Darfur, and the humanitarian coordinator, and stayed
 overnight in "less than ideal" accommodations. We have a good
 overview of the country as the North and the South proceed
 towards separation. We also have inside intelligence on the role
 of Susan Rice -- who is disliked by everybody -- in Darfur, and
 can report authoritatively that there is no ``slow genocide''
 taking place in Darfur.
         We were able to distributed approximately 50 copies of
 LaRouche's State of the Union address, two dozens copies of
 LaRouche's remarks to a private luncheon in Washington, D.C.,
 numerous other EIR articles, including many on Susan Rice, and 25
 copies of the EIR dated January 21, with LaRouche's ``Death of
 London's Roman Empire'' and Hussein Askary's interview on Sudan.
 Also, we distributed 100 DVDs, including 25 on NAWAPA and
 extended NAWAPA projects. We returned with several hundred photos
 of the IDP camps, and hours of film. [LKF]

                          SOUTHWEST ASIA

 Another Day of Mass Demonstrations in Egypt

 Feb. 8 (LPAC)--According to sources on the ground in Egypt,
 Tuesday's rallies in Cairo, Alexandria, and other cities were
 massive, establishing renewed momentum behind the protests.  Even
 more important, several unions, including the union representing
 government tax office workers and textile workers in the Nile
 Delta, have joined the opposition.  This kind of institutional
 support will be crucial, as negotiations enter a protracted phase
 and will be in part determined by the sustained street presence
 of the demonstrators.
         Among a group of ``wise men'' who have taken a role in the
 opposition, there is a push for President Mubarak to dismiss the
 parliament, create a commission to revise the constitution, and
 then turn over temporary powers to Vice President Omar Suleiman,
 while he, himself, goes to Germany to continue medical
 treatments.  This group is mindful of the constitution, and of
 the fact that some more radical elements, including some law
 professors, are pressing for Mubarak to leave immediately,
 without any regard for a continuity of constitutional order.
         The leaders of the youth revolt in Tahrir Square are now
 also demanding a full investigation into the corruption that was
 rampant under the privatization program, and the repatriation of
 money that was stolen by some of the oligarchs grouped around
 Gamal Mubarak. This demand is getting support from some circles
 in the United States, who see this as key to the continuing
 momentum for the middle class and largely secular protesters.
 They are mindful that the Muslim Brotherhood, which is not now
 leading the protests, is well-organized and well-funded (from
 Saudi Arabia and other conservative Persian Gulf states), and
 would be the biggest beneficiary of either a break in momentum,
 or a collapse into mayhem.
         In another new development on the ground in Cairo,
 demonstrators left Tahrir Square and surrounded the parliament
 building, blocking the Prime Minister and other cabinet ministers
 from getting to work in the morning.  This, too, fueled the
 revived momentum.  The next big scheduled demonstrations are now
 set for Friday, and they are expected to be bigger than those on
 Feb. 4, when 1.5-2 million demonstrators turned out in Cairo and
 1 million in Alexandria.   [MJS/JS_]

 +---------------------------------------------------------------+
 |                                                               |
 |               NORTH AMERICAN OPERATIONS BULLETIN              |
 |                                                               |
 |                    Wednesday, Feb. 9, 2011                    |
 |                                                               |
 +---------------------------------------------------------------+

                    - NCR Organizing Report -

 A number of tough supporters, who go into the category of people
 who despise popular opinion, are spontaneously unleashing
 themselves to organize in ways they have not done before, because
 of the Angelides Report, and its emergence after Lyn's powerful
 State of the Union Address. A Kansas farmer who distinguishes
 himself by the fact that he hates TV sports events, contacted his
 State Legislature and sat him down last night to walk him through
 Glass-Steagall and the Angelides report. In all the years he's
 known us, he has never done that.

 A long-term activist in Montana, who barely survives on
 disability, contacted the Local Kiwanis club, and has been
 invited to be guest speaker. He is expected to brief not only
 local business people, but bankers as well. A "former" LC member
 volunteered to write to every legislator in her state. Active
 people in the Boston area are madly writing letters and emails. A
 recently reactivated supporter in NE, who has a long-term
 commitment to military affairs, called his Republican
 Congressman, and briefed him on Angelides and NAWAPA, reporting
 he got a good response.

 Otherwise, there is a pattern reported by different team members
 of people who have not contributed in a long time -- from 6
 months to 6 years -- suddenly renewing their LPAC memberships,
 and making contributions in the range of $200. In many of these
 cases, the contributors cited specifically the demonstration that
 Lyn has now gotten institutional support -- a group within the
 government has gone public with their agreement with LaRouche
 --as the reason for getting back on board. This includes an
 elderly farmer in Kansas, who used to be a Democratic state
 legislator; an engineer in Colorado; and 6 or so signups from
 various "old-friend" lists who had never contributed before.

 This is a critical response to proof of support for Lyn's
 forecasts from an institutional body; it also shows how much
 people hold back from working with us and supporting us, because
 of their propitiation and fear of popular opinion. We decided we
 had to take this on more consciously, and the potential to do so
 really exists. One organizer noted that several people whom she
 would not have expected, responded to the FCIC report by asking
 for a print copy of Lyn's State of the Union.

 Demonstrations of the tyranny of popular opinion showed up in two
 amusing incidients: Twice this week, retired women who are
 "intelligent" but unwilling to challenge their "popular"
 assumptions, slammed down the phone, -- and then contributed five
 minutes later after a showdown. One, an avid Clinton Democrat,
 was happy about Angelides, -- but pissed that when she was in
 Boston, she heard beautiful singing on the street, only to
 discover it was coming from a group of youth displaying the hated
 "Mustache." Despite her agreements, she slammed down the phone.
 John A called her back, and demanded she face the reality that
 the United States is going fascist right in front of her face,
 and that she had better listen to LaRouche and himself,
 considering his family's two-generation battle against this
 scourge. Thoughtfully, she contributed. In the other case, a
 lifelong Libertarian was howling about the perils of regulation,
 and the joys of Ayn Rand; when told she was as stuck in delusion
 as someone who loved Karl Marx, she completely flipped and
 slammed down the phone. Five minutes later, she called back, and
 contributed.

 As humorous as these stories are, they reflect on a broader
 phenomenon: the powerful effect of the bitch-goddess of popular
 opinion, which causes people to desert the fight. This also comes
 up in the form of "all the other issues" peope toss into the
 discussion when mobilized around Glass-Steagall. This is really
 the time to get people to think on a deeper level.

             - NCR phone team debriefing - IB team -

         Drawing out the significance of the Angelide's Report has
 made the issue of Glass-Steagall more sensuous for some of the
 long-time supporters, and provoked deeper questions of principle.
 Two organizers are directing contacts' attention to Cody's "The
 Science of Glass Steagall" video with good results. As initiated
 with Lyn's State of the Union webcast, the Angelide's Report
 becomes a "one-two" punch that forces contacts to conceive of the
 "unseen" rather than just react to media-cued "issues". The
 existence of patriotic strata capable of commandeering the
 Angelides Commission process and turning it in LaRouche's
 direction, is a healthy challenge to contacts who want to rail
 but do nothing. Obviously the explosion of activity of our Six
 Candidates and activists at the state legislators also confronts
 any "you can't beat 'em" impotence. One organizer reports that
 the Angelides Report focus has been efficient in cutting though
 both left and right-wing diversions.
         Many contacts clamor for "what's going on in Egypt"; it's
 been important to deal with this only AFTER establishing the
 LaRouche-Angelides-Glass Steagall focus as the antidote to the
 Bernanke/Brit hyperinflation firestorm. Then the factor of global
 economic collapse and chaos is clear, along with the LaRouche
 role in Egypt around broader NAWAPA-style programmatic
 principles.
         Some individual responses:
         A long-time rancher contact in SD, at first wanted to pivot
 the discussion on the issue of "raising the debt ceiling or not."
 He quickly re-oriented, however, and particularly responded (as
 did several others) to how the principle of credit in Glass-
 Steagall is indispensible to deal with the jobs breakdown at both
 ends of the spectrum: older skilled workers whose life spans are
 drawing to a close and have no avenue to impart these skills to
 the next generations, and entry-level youth with no sense of
 future and no jobs at all.
         A power station equipment distributor in western
 Pennsylvania, who had not picked up his phone in 10 months as his
 business evaporated, is now reactivated. He got friends to watch
 the webcast, including one with a 1,000-person email network.
 Yesterday he wanted specific items from the LPAC website on
 Angelides and Glass-Steagall, to get to his local state reps. He
 was happy to hear about the Pittsburgh Tribune-Review edit from
 November endorsing Glass-Steagall, and plans in include that in
 his email packets.

 S.D. Emergency Meetings on Saturday--Citizens for Glass-Steagall

         Thirty four activists from South Dakota, Minnesota and North
 Dakota were on a conference call Friday night to work out
 escalating the  Glass-Steagall campaign in the region. The
 organizers in South Dakota  continue to be a shot in the arm to
 those in other states. The call started right before the LPAC TV
 On the Ground report with Tim Luke was posted. Organizers from
 Minnesota called Ron the next day to tell him how inspired they
 were by what an ordinary citizen can do. One told him that he
 couldn't sleep all night thinking about the organizing he hadn't
 done.
         One of the legislators called Tim  today to let him know
 that ten of his fellow legislators had written letters to the
 Congressional delegation, and are planning to call for follow up.
 Two more Legislators called and he told them that they were
 sitting on a bomb whose fuse has been lit and they are just
 chiseling away at the edges while the bomb is getting ready to
 explode. They got the point and told him they'll meet with him
 tomorrow to tighten up the timetable
         We have now told them that we found out that Sen. Tim
 Johnson will chair the Senate Banking Committee meeting that
 Angelides will testify to, and that Johnson has to understand
 that a significant number of legislators are studying the
 Angelides report and have concluded that the Congress must pass
 Glass- Steagall. To escalate that we are having several
 Emergency Citizens Meetings To Pass Glass-Steagall across the
 state on Saturday, to feed into the motion before Angelides'
 testimony. We have invited several legislators to speak at them
 and they've been open to doing that.

 There's a lot more to do in the next few days (nco)

 Report from a meeting of a TEA PARTY-linked group in Houston

 Mon., Feb. 7 -- There were about 150 folks at the King Street
 Patriots event in Houston, mostly senior citizens.  Speaker was
 Tom Scoberg (sp), who speaks for Governor Perry on budget issues.

 Scoberg's presentation was pretty dry, consisting of a series of
 pie chart graphics--"Where the revenue comes from", "Where it
 goes", etc. One salient point was that, since the biggest pie
 slices for expenditures were in health and education, there could
 be no deficit reduction without reducing that.  "Everyone says we
 should cut the budget--just not THEIR budget!"  Most of the
 seniors there were stone-faced during all this.  Scofeld
 considered it a matter of positive pride that, of the 20 most
 populous states in the Union, Texas spends LEAST per capita on
 services.  "The liberals say that puts us last--I say that puts
 us first!"  He punctuated his remarks with several jabs at
 Washington, saying that it's time "to limit the scope of the
 government". The last subject he broached was "eminent domain".

 I got about the 4th question:  "Are you familiar with the
 Financial Crisis Inquiry Committee report that was just released
 in Washington by Phil Angelides?"  (He shrugged)  "Well, this is
 interesting," I said.  "You were saying that we have to limit the
 scope of government, but this report shows that, in the 70s and
 80s, when the government limited its responsibilities for
 regulating the banks, this paved the way for the bubble of
 speculation, which grew, while states were letting their
 manufacturing industries shut down or move overseas.  Last week,
 Ben Bernanke bragged that the 12,000 Dow Jones proved that the
 bailouts are working--he's nuts. In Texas, this wiped out  our
 state banks, and now Chase and Wells Fargo are sucking money out
 of the state, and putting nothing our local industries.  Don't
 you think the loss of industry has as much to do with the deficit
 as anything else?"  (He shrugged again.)

         "Well, I think everyone should look at this report, which
 can be found on FCIC.gov.  Do you remember Henry Gonzalez from
 San Antonio?  He ran the House Banking Committee for 20 years.
 Every time a deregulation scheme would come before his committee,
 he'd call on Lyndon LaRouche or his group to refute it.  Now, the
 FCIC report proves that LaRouche was right, and all the experts
 were wrong.  Don't you think we should get the legislators in
 Austin to push Congress to act on this report and cancel all
 these Wall Street bailouts?" Before I could mention
 Glass-Steagall, Scofeld jumped in, "We can't tell Washington what
 to do!  They're always telling US what to do!"  I said, "Well,
 aren't most of the Congressmen formerly State legislators?"  He
 said, "No, they're not.--Next question?"

         John was not called on, but he got out about 30 leaflets and
 made one contact.  A libertarian guy named Charlie, who had
 railed against "Fannie and Freddie" during the Q & A came up to
 me and asked "Is LaRouche out of jail yet?"  I said, "Yeah--he
 just spoke in Washington, DC.  There were about a dozen embassies
 represented and it was simulcast around the world.  The first
 question came from Sinn Fein in Ireland."  I briefed him a bit.
 He said, "How can you believe a report by a LIBERAL like
 Angelides?"  Later, he said, "I agree with you on Glass-Steagall.
 I used to work for Chase, and repealing Glass-Steagall was a
 disaster!"  We were tussling on the superiority of Lyn's physical
 economy versus the Baby Boomer money cult.  Charlie's friend was
 trying to puzzle through all this, "What's the difference between
 Liberal free market economics and Conservative free market?'  I
 went though Alexander Hamilton.  And so forth.  Neither would
 become a contact, so I sent them to our website.

         We are finding overall among Tea Party types some agitation,
 with many falling into simplistic budget cutting mentalities,
 while others are open to talk, including about the Angelides
 report. One point of agitation is when we point out that those
 leading the fight against Angelides are de facto supporters of
 the bailout of the swindlers on Wall Street, since the FCIC
 report points out that the bailout hasn't worked.  One leading
 Tea Party member said that he feels betrayed by the successful
 efforts of Republicans, such as Dick Armey, to make headway among
 some, on a rabid anti-government line, adding that he and others
 recognize that Armey is trying to fool people to accept his
 agenda.  (JCJ, HCS)

                    LAROUCHE SHOW, FEBRUARY 12

         Topic and Guests: TBA
         3-4 pm ET www.larouchepub.com/radio, Jan. 29
         Post-Show Message Line: 916 233 0630, Box 595
         Intro: While You Were Sleeping & The World In Review
         Message #1: Webcast or The Weekly Report
         Message #2: Webcast or The LaRouche Show


 INFORMATION ON SCIENTISTS, ENGINEERS SKILLED LABOR CONTACTS To be
 called from the Basement go to: michaelanthonykirsch@gmail.com

 SIGNATURES, RESOLUTIONS AND OTHER OPERATIONS DEVELOPMENTS on
 GLASS-STEAGALL RESOLUTION GO TO:  glass.steagall.lpac@gmail.com

                            CALENDAR

 Feb 8-10
         USW Rapid Response and Legislative Conference, Washington

 Feb 10-11
         Maryland Mayors' Association. Winter Conference, Annapolis.

 Feb 11-13
         Texas Municipal League and the Association of Mayors,
 Councilmembers and Commissioners, Elected Officals Conference,
 Austin Renaissance Hotel.

 Feb 14
         Texas Municipal League, Legislative Briefing, Austin
 Renaissance Hotel

 Feb 16
         New Jersey League of Municipalities, The 19th Annual Mayors'
 Legislative Day, The State House Annex in Committee Room 4.
 8:30am-noon, Trenton.

 Feb 16-18
         Virginia Local Government Management Association. Winter
 Meeting, Staunton, Stonewall Jackson Hotel.

 Feb 26
          Michigan Three Candidates Meeting. From Rust Belt to
 Productive Triangle: Glass-Steagall and NAWAPA
         Hyatt Regency, Fairlane Town Center,  600 Town Center Dr.,
 Dearborn, Mich.; noon-4:00pm (313) 387-6089

 Feb 26-28
         National Governors Association Winter Meeting, Washington

 Feb. 27-28
         New York Conference of Mayors and Municipal Officals,
         Crowne Plaza, Albany.

 March 5
         Houston NAWAPA Conference. Saturday,  12:30pm -4:30pm,
 Freeman Branch Library 16616 Diana Lane Houston, TX 77062

 March 12-16
         NLC Congressional City Conference, Marriott Wardman Park
 Hotel, Washington, DC

 April 5-6
         Michigan Municipal League Capital Conference 2011 Lansing
 Center, Lansing, Details coming soon!

 April 14-16
         NCSL Spring Forum, Washington DC

 STATE LEGISATURE SCHEDULES JAN-MARCH, 2011

 Source: ballotopedia.org  (confirm information before planning
 deployment)

 February
     1    Session begins for Oregon State Legislature.
          Special election: Pennsylvania House of Representatives
 (District 185).
     7    Session begins for Nevada State Legislature.
          Session begins for Oklahoma State Legislature.
     8    Special election: Oklahoma State Senate (District 47).
     15    Special election: Georgia House of Representatives
 (District 136).
     15    Special election: Georgia House of Representatives
 (District 178).
     19    Special election: Louisiana State Senate (District 22).
           Special election: Louisiana House of Representatives
 (District 101).
     26    Session ends for Virginia State Legislature.

 March
     1    Session begins for Alabama State Legislature.
     1    Bill deadline: Missouri Senate bill filing deadline.
     1    Bill deadline: New Mexico House and Senate bill filing
 deadline.
     1    Bill deadline: New York Senate bill filing deadline.
     2    Bill deadline: Idaho House and Senate committee bill
 filing deadline.
     2    Bill deadline: Kentucky House and Senate bill filing
 deadline.
     7    Bill deadline: Maryland House and Senate bill filing
 deadline.
     8    Session begins for Florida State Legislature.
     8    Special election: Tennessee State Senate (District 18).
     8    Special election: Tennessee House of Representatives
 (District 98).
     3    Bill deadline: Florida House and Senate 12:00 p.m. bill
 filing deadline.
     10    Session ends for Arkansas State Legislature.
     10    Session ends for Utah State Legislature.
     11    Bill deadline: Texas House and Senate bill filing
 deadline.
     19    Session ends for New Mexico State Legislature.
     22    Session ends for Kentucky State Legislature.
     22    Bill deadline: Arkansas House and Senate appropriations
 bills filing deadline.
     22    Bill deadline: Oregon House and Senate bill filing
 deadline.
     early March    Session ends for Wyoming State Legislature.
     mid March    Session ends for South Dakota State Legislature.
     mid March    Session ends for West Virginia State
 Legislature.
     late March    Session ends for Idaho State Legislature.
     29    Bill deadline: Arkansas House and Senate bill filing
 deadline.
     31    Bill deadline: Missouri House bill filing deadline.
     14    Bill deadline: Montana House and Senate committee
 revenue bills filing deadline.

                        * CALENDAR NOTE *

 In addition to Congressional Town Hall Meetings and Campaign
 Events, please see individual calendar listings for groups
 including Tea Party, Manufacturing, and Farmers.
    ________________________________________________________

 National Farmers Union. List is alpha by state for Nov.-Jan.
 Check website for additional info. (Dates and locations are
 subject to change. Please contact the individual Farmers Union
 offices for further details)


      *****************************************************
          - EUROPEAN OPERATIONS FOR FEBRUARY 8, 2011 -
      *****************************************************

 OPS NRW February 7th and 8th

         After a very lively and inspiring German-wide field meeting
 on Skype with Helga on Sunday, Feb. 6, we went out in full force
 Monday and Tuesday to inform the people in NRW about the
 Angelides Report. We decided to gather support for our upcoming
 mass deployment to Duesseldorf, where the NRW state parliament is
 located. The institutions need to know as much as the population
 about the Angelides findings to either go along with the global
 implications or to set up their own investigations into the
 financial crisis. Since this is the only sane, honest, und
 truthful institutional reaction since the outbreak of the crisis
 years ago, and since this report confirms what we have been
 saying for 30-odd years on the highest institutional level in the
 U.S., it's our time to escalate on the Glass-Steagall front. We
 have until Angelides' testimony on Feb. 16th to get the public
 behind the separated banking policy. Now is the time where more
 and more people realize that everything is collapsing and they
 desperately look for real concepts, not some small fixes. We also
 can forget about sense perception; even people who say the crisis
 is over, when challenged a bit, quickly change their mind. Also
 it's good to show people that the youth don't have a future and
 take to the streets all over the world. To change this, we have
 to separate the banks and rebuild the world with big projects as
 we have been saying all the time.
         With this approach in mind, we deployed to some smaller
 cities and prepared the ground in Duesseldorf. We got some
 interesting reactions from bankers. Some really wanted to know
 about the Angelides Report and even contributed to get a copy of
 the Conclusions. The head of a savings bank said he agreed on
 Glass-Steagall, gave a contribution, and left his contact
 information. Another guy, CEO of a huge German bank also
 contributed. A person from the American Chamber of Commerce knew
 Lyn, said he agrees with Lyn...but, he had been in prison; when
 thoroughly briefed, he contributed anyway. One guy from WestLB
 freaked out about speculation but calmed down when briefed on
 Glass-Steagall and Angelides.
         We had an early morning distribution at the state parliament
 and the Bundesbank in Duesseldorf. At the state parliament we got
 the impression that most people had heard about the Angelides
 Report and eagerly took the leaflet (by Matt Ogden) when told
 that we need the same investigation here, too. We got two
 contacts from African embassies. At Bundesbank 80-90% took the
 leaflet, when told that there was a Congressional investigation
 into the financial crisis. They were allowed to put leaflets into
 the main entrance. 150 people took the leaflet.
         On the phones, we contacted people from WestLB, the Chamber
 of Commerce and a journalist. The journalist didn't know about
 Angelides, went on Google and found only WaPo or NY Times, when
 told that this is media attacks against Angelides, he agreed to
 send out the real report to his network. He also asked for
 Helga's assessment on Egypt. When briefed on hyperinflation in
 food, he said that's what his network is discussing.
         There are a lot more things that happened and will happen,
 leading to our mass deployment to Duesseldorf. But it's good to
 keep in mind that this is the time for victory, and everybody has
 to rise to the occasion and has to stop being a German
 Gartenzwerg [garden gnome].
         Last note: We'll produce a batch with the huge Sun logo of
 the anti-nuclear people, saying BüSo in the middle and then,
 "Pessimism, no thanks." That has so far been the motto of this
 week. Have fun.  (Madeleine)

 Berlin Ops Feb. 8

 Today We Had One Booktable and One Intersection Team.

         Because of the stormy weather and, last but not least, a lot
 of crazy solar investment freaks, plus funny tourists in the
 area, the booktable decided to move somewhere else. There they
 had much better reactions on Angelides Report and Helga's
 leaflet. ("Europe Is Dissolving Itself"). We got out a few new
 books "Secrets of Economy." A Spanish TV and Radio channel ran
 into our booktable, who seemed to be against the euro, but wanted
 to have our explanation why and how. 'It is because of the
 bankrupt Inter-Alpha banking system, that's why we see a lot of
 unrest in North Africa. To stop it, we have to introduce
 Glass-Steagall. This is what Helga Zepp-LaRouche and BüSo were
 fighting for. Now it is time to listen to us." They made short
 interviews in German and in Spanish.
         The intersection team got 35 contacts by having signs
 "Forward with the D-Mark," Helga's leaflet and the last newspaper
 with Lyn's webcast calling for Obama's ouster and for
 Glass-Steagall. In 3-4 sentences you simply draw the picture: an
 emerging crisis with a hyperinflationary euro. "The Angelides
 Report vindicates LaRouche and the BüSo. This is what we have to
 do: Stop the crazy euro-printing, implement Glass-Steagall and
 build up the society with a sovereign economic system. - Can I
 give you a call?"  [KUD]
                     *** END OF BRIEFING ***
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