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 LPAC-TV: Lyndon LaRouche Interviews Helga Zepp-LaRouche

 September 16, 2011

                      HELGA ZEPP-LAROUCHE:
                    AND THAT IS A GOOD THING"

 [unproofed transcript]

         LYNDON LAROUCHE:  I am, as many of you know, Lyndon
 LaRouche, and I have the pleasure, the unique experience, of
 playing television host to my wife, Helga.  This is a rather
 unusual experience for me, so if I stumble a bit here and there,
 don't be surprised.  I'm overwhelmed.
         Helga's in the United States now, and under circumstances of
 observing what's going on, in Europe and the United States
 simultaneously, and I think she can probably best tell you -- I
 can intervene here and there -- but she can best tell you what
 she thinks her role is, here, in this performance.

         HELGA ZEPP-LAROUCHE:  Well, I mean, the situation has
 erupted now, which I predicted would erupt, it had to erupt, and
 that is the end of the euro system is coming very near.  Today,
 there is an emergency finance ministers meeting of the EU, where
 Timothy Geithner has been attending, and he made a proposal to
 use the term asset-backed security, finance security model, the
 TALF, to leverage the European Financial Stability Facility
 (EFSF), to leverage that by a factor of 10.  Now, that would
 mean, basically, that the present EU400 billion, which are in
 this fund would basically became EU4 trillion, and that is the
 pressure to keep, somehow, the European banking system afloat.
         Now, this was, as far as I heard from initial reports,
 rejected by the European finance ministers.  Well, there are good
 reasons:  First of all, everybody knows this would be pure
 hyperinflation, this would mean for all of Europe, and the United
 States, what happened in Germany in 1923, hyperinflation in a
 very short period of time.
         And there are many, many obstacles, why this would not
 function.  First of all, there is the question of legality: A big
 question is, would the European Financial Stability Facility have
 the right to do that, because, after all, it's supposed to be an
 organization which is constituted by the different European
 member states of the EU, and naturally the European Central Bank
 would have to play a big role in this, and that would be a clear
 violation of their own statute; and after all, the bank has only
 one function, which is the stability of the currency.  Now, that
 has become a laughingstock, ever since the ECB has turned into
 the biggest "bad bank" in the world, by buying up toxic state
 bonds, from all kinds of bankrupt members of the European Union,
 and therefore it is not going to be easily swallowed.
         Because, especially, if you remember, just about a good week
 ago, the chief economist of the European Central Bank, Jürgen
 Stark, resigned out of protest against the ECB buying of toxic
 state bonds, and that has already caused a complete earthquake.
 Because, if you remember, the previous President of Germany,
 Horst Köhler, had resigned already in May last year, out of
 protest against the first bailout package for Greece.  Then, a
 couple of months ago, the head of the Bundesbank Axel Weber, who
 was supposed to be the designated successor of the present head
 of the ECB, Trichet, also resigned, out of protest against this
 hyperinflationary policy.  And there is a whole group of
 traditionalist bankers, like for example, the first [ECB] chief
 economist Otmar Issing, the present head of the Bundesbank Jens
 Weidmann, who all have come out against these policies.  And I
 think that this will not function.
         And there is right now a growing revolt in the [German
 government] coalition parties.  In the Free Democrats, one of the
 parliamentarians there, Frank Schäffler is organizing an internal
 vote, and there is a majority of the liberal [FDP] members
 against it; there is growing opposition in the CDU, in the CSU,
 and Mrs. Merkel could be out of office before the end of the
 month, if things continue this way.  And therefore I think this
 whole thing is a still-born baby, especially because now, the
 [Bundestag] rush vote which was supposed to occur on 29th
 September, to basically agree to a second bailout package for
 Greece, has now been postponed to October.  And generally, it is
 said that therefore, it will not come to a vote until 2012.
         Now, with the tempo with which things are going right now, I
 mean, this {is} the end of the euro system, and that is a good

         LAROUCHE:  Well, in this circumstance, what about the
 question of Russia and China?  We now have a situation, in which
 Russia is moving toward China, closely.  They tend to agree;
 there was a very honorific sort of acceptance of Putin's
 presidency.  He ostensibly {is} going to be the President-elect
 of Russia in the next term, now.  His policies are those I find
 extremely interesting, myself.  I think that the
 Russia-China-United States prospect,-- if this current President
 of the United States is removed, for good cause: there are two
 particularly good causes.  He's violated the Constitution in ways
 which could mean his ouster, properly; he also is a mental case,
 and therefore could be relieved under the 25th Amendment of that
         The question, I think, in my mind, when you're talking about
 this, from your position as a leader in German politics, is we
 now face a situation in which Western Europe and Central Europe
 have no sovereignty whatsoever, left in the mainland territory.
 And therefore, my view is that the United States without Obama,
 could very easily come to an agreement, under desperation,
 actually, with Russia and China, to start some kind of
 cooperation now, which would open the gates for a general
 reorganization, for the bankrupt international financial system

         ZEPP-LAROUCHE:  Well, you know, the whole euro was sold to
 the public in Europe, with the argument that it would lead to
 eternal peace, and prevent future wars from occurring.  But if
 you look at the tensions which have now erupted between the Greek
 population and how they look at the EU bureaucracy, or how they
 look at the German government, I mean, this euro has caused more
 disunity than anything else you can imagine.  And therefore, the
 return of Germany to its sovereign control over its own currency,
 meaning a new D-mark, is actually the only hope!
         Now, the argument that if Germany were to go back to its own
 sovereign currency, that this would hurt German exports, because
 the new currency would be immediate upvalued,-- this is a
 completely fraudulent argument, because the German exports are
 valued not because they're competitive in price, but because the
 German Mittelstand, middle-level industry, has a unique position
 in the world economy, because they have high-quality products
 which are wanted throughout the entire world.  So even if the
 prices went up, relatively, a little bit, it would not mean that
 the desire for these products would not be there.
         And therefore, if you look at the situation in respect to
 what are the prospects for Germany?  I mean, with a collapsing
 European Monetary Union, where the German taxpayer would be the
 milk cow for all of these failed programs, you know, this is no
 perspective!  On the other side, if Germany were to ally with
 Russia, with China, with the whole development perspective for
 the development of the Far East, which is now high on the agenda,
 then the German economy would fit perfectly with the specific
 product volume and quality of product,-- it would be perfect for
 being integrated with the development of Eurasia.
         As you know, we have been pushing for the building of the
 Eurasian Land-Bridge since the collapse of the Soviet Union in
 1991, and Germany would just totally profit from realigning, and
 being in an alliance of sovereign nations for the development of
 the world.

         LAROUCHE:  What we have here, you know, I think, Helga, in
 the United States, is the following prospect:  This President is
 going to go soon, I would say,-- I would hope within a week or
 two, something like that.  He has a mental problem which may
 require attention by proper officials.  He also is not liked any
 more in the United States.  As a matter of fact, most of the
 citizens who were formerly Democrats and Republicans, are
 shunning anything to do with the Democratic or Republican Party,
 generally today, because of the disgust for Obama.  His policies
 have made conditions impossible inside the United States.
         But the prospect is, we have coming out of the North Pole
 area, we get into three areas which are crucial for this planet
 as a whole.  You start out of the North Pole: And this includes
 Russia, Canada as well as the United States, and China.  These
 three countries represent the pillars of any general recovery of
 the world.  They would not be the exclusive partners, but the
 three coming together would create the circumstance in which
 India would come in, obviously, other nations would come in at
 their own choice.
         This, what I see now, is the immediate prospect even in this
 closing quarter of this year: there could be very soon, an
 agreement among China, Russia, and without Obama, the United
 States, which would take the lead in bringing other nations
 together around a common principle.  This is what I see as the
 only possible chance for the United States and for Europe, now.
 Germany fits in perfectly.  Germany fits with China perfectly.
 It's a real potential there.  But, I think is what the option is,
 right now.

         ZEPP-LAROUCHE:  Well, I look at it also in one other
 respect, and that is, that in 1989, when the Berlin Wall came
 down, I mean, that was what we called in Germany, "a historical
 chance," like what only happens maybe once in a century.
 Because, all of a sudden, there was no more enemy, the Warsaw
 Pact dissolved relatively peacefully, and at that time, you had
 the possibility of making a completely new world order for the
 21st century.  You stepped in with your proposals, and I
 collaborated with you on that:  First we called it the
 "Productive Triangle," which was the idea of taking the region of
 Paris-Berlin-Vienna, as one integrated economic region, upgrade
 it through high technology, maglev trains, high-temperature
 reactors, other vanguard technologies.
         And then, basically, when the Soviet Union dissolved in '91,
 we extended it immediately to become the Eurasian Land-Bridge,
 which was the idea of integrating the infrastructure of Europe,
 and integrating the population-dense and highly industrial areas
 of Europe, with those of Asia.
         And that was a vision that could have changed the whole face
 of the planet.  Because it would have meant that all the previous
 conflicts, and territorial claims, and proxy wars, and using
 Third World countries for proxy wars, would have ended.  And you
 could have used the science-driver effect of such a program to
 also end the underdevelopment of the developing countries, and if
 that had been done, Africa would today be a blooming garden with
 new cities!   Because you could have had a gigantic technology
 transfer to those undeveloped regions of the world.
         And that was a historic moment, which I think really only
 lasted, realistically, from November '89, to maybe March-May
 1990:  because then, the geostrategic decisions to prevent this
 from happening, on the initiative from Margaret Thatcher, who was
 an evil spinster, but she had a vicious campaign against Germany
 at that time; but also Mitterrand who demanded that the euro
 should be the price for German unification; and also Bush Sr.
 They prevented this from happening, and they answered, instead,
 with this idea of the new special relationship between Great
 Britain and the United States, based on the idea of running the
 world as an empire.
         And if you study this period, and see how a historical
 chance was missed:  I said in many, many speeches at that time,
 that if one would make the mistake of superimposing on the
 bankrupt communist economy, the equally bankrupt free-market
 system, then maybe you could extract profit for a couple of
 years, but eventually you would come to a collapse much worse
 than even that of the collapse of communism.  And that's exactly
 the point where we are at.
         And I can only say, politicians and other decisions-makers
 should really study this!  That, you know, you don't have such
 historical chances all the time, and I look at the present
 collapse of the euro system, as one of these other possibilities,
 where out of a collapse of a system which should end, because
 it's an immoral system, you have the chance to make something
 much better for the future.

         LAROUCHE:  We've got an interesting situation.  Now, here
 you are today, we're sitting here, Friday, in anticipation of
 some elections and other developments in Europe, particularly the
 Berlin election, things like that, going on now.  And here, we're
 coming to a crucial point, where things are about ready to break
 apart; that so far, the Obama Administration has not succeeded in
 pulling together the kind of juggernaut that it intends to have
 for this weekend, to take over.   Obama is extremely unpopular in
 the United States now, and that's going to be more clearly
 perceived as the days go by -- and the hours go by, actually,  --
 in the United States.
         So we're in a point where the United States is on the verge
 of collapse.  Europe, from the Atlantic to the Urals practically,
 is in a terrible condition.  And what is required from the United
 States, now, is a new initiative, presuming that we throw this
 President, who is totally disqualified, out: it can be for
 violations of his Constitutional responsibilities or simply
 mental incompetence, but he's thrown out!  And under those
 conditions, I think the United States would make a different kind
 of turn, especially toward Europe and toward Asia.  We understand
 the importance of China, as a fulcrum for developing Asia.  We
 understand that the revival of Russia, from the circumstances
 it's been through, as a cooperating partner of China, and of, say
 Germany, the United States, and so forth,-- this is the way to
 go.  This is the way we have to go.
         So I think that maybe we've entered into a very interesting
 new period of humanity.

         ZEPP-LAROUCHE:  I would definitely think so, because the
 only way you can solve this totally bankrupt financial system, is
 through Glass-Steagall.  And the motion in the United States for
 Glass-Steagall is very strong:  I don't know if it's yet strong
 enough, but there is a lot of recognition that only a return to
 the policies of FDR, the Pecora Commission, the New Deal, large
 infrastructure projects like the TVA, but especially as a first
 step, Glass-Steagall must be done.
         Now, we have been campaigning in Europe, also, to have in
 every European country, in Italy, France, Germany, the
 Scandinavian countries, also people coming out to discuss the
 separation of the banks.  And there is good news, and that is
 that the new elected prime minister of Denmark, who's a Social
 Democrat, in a recent press conference, told our correspondent,
 Michelle Rasmussen, when she asked, "will you support the
 separation of the banks, and stronger re-regulation," she came
 out actually saying that she would introduce Glass-Steagall.  So,
 Denmark is just a small country, but it has the advantage of not
 being in the euro, they still have their Danish crown,  and under
 such a crisis conditions, I think even small countries can have a
 world-historical role by acting boldly on what they know has to
 be done.
         And I'm absolutely sure, that if United States would in the
 next period come out with Glass-Steagall, then, all the different
 people in Europe, who already think that they would like to have
 that, but as long as the dictatorship of the EU structures sits
 on top of them, they can not really do it,-- but in that case,
 you could have a dynamic to have a reorganization of the world
 financial system in a relatively short period of time.
         And to all the people who say this would be catastrophic,
 this would be terrible:  well, I can assure you, it would be the
 opposite:  It would be the sure way towards recovery.  And after
 all, there was a study made in the Bundeswehr, in the Army
 university in Hamburg more than a year ago, calculating, what
 would it take for Germany to go back to the D-mark?  And they
 came to the conclusion, it would be relatively easy; it would be
 much easier than the move from the D-mark to the euro; and it
 would be costly, but by far, not as costly as the continuation of
 the bailout policies, which would wipe out the life-savings of
 everybody, because hyperinflation is just the most costly thing
 you can have.
         So I'm moderately optimistic, that there is a chance that we
 may use this opportunity to go to a better world.

         LAROUCHE:  Maybe I should affirm my particular outlook on
 that, Helga.  First of all, that the whole system is coming down.
 We're already in a hyperinflationary takeoff process, around the
 trans-Atlantic region, and if it's not stopped, if this Geithner
 operation, similar kinds of operations are {not} stopped, if the
 British {are not stopped}, the whole world is going into a dark
         Now, on the British side, as you know, there's an intention
 to bring on a dark age.  The intention to reduce the world's
 population from the order of seven billion people to less than
 one: Now that's genocide.  And that's being broadcast by the
 British royal family itself, now; it's their policy.  That's the
 practice under this President, we have of the United States, or
 shall we say "an outgoing fellow," and we hope it's very soon.
         So, under these conditions, we are entering a completely new
 period of history.  We must restore the nation-state, otherwise
 you can not have an economic recovery.  We have a cooperation,
 coming together closely, with Russia and China.  My intention is
 that the United States shall be the third partner with these two,
 because of our relationship to the Arctic system, the Arctic
 economic system.  And that will bring other nations, like India
 and others, immediately into coming in together with the same
 thing, by going to a new system, {now}.  And we have to go to
 one, or Hell is going to break loose.
         We have the chance of bringing back Europe.  Because people
 fail to realize what you know: there is no sovereignty of any
 nation, in Western and Central Europe:  It's been taken away.
 These are being treated as colonies of the British empire, and
 they're being raped and looted on that basis.  So the only chance
 now, is to make a new turn, in this direction.  And that's my
 view of the thing.

         ZEPP-LAROUCHE: Well, I think that for Germany, it's a
 question of existence.  Because Germany, like Japan, is a country
 which has almost no raw materials, and nevertheless was able to
 develop a very high living standard, with an extremely good
 social system, entirely based on both the Bismarck reforms, which
 after all, turned Germany from a feudal country into an
 industrial country, basically based on the American System of
 economy.  You know, I worked on this a while ago, and it's quite
 fascinating that Bismarck was a true follower of the Henry Carey
 American System, by basically both  going for tariffs, for
 protectionism, for a high emphasis on science and technology, and
 therefore, Germany was able to compensate for the lack of raw
         But naturally, now, Germany is on the way to crash.  If
 Germany remains in the euro, {plus} you know, it has to face the
 effect of the absolutely criminal energy change, the sudden exit
 from nuclear energy which the Merkel government pushed through
 after the developments in Fukushima, there will be {serious}
 blackouts come this winter!  If the winter is going to be
 anywhere normally cold or colder, you will see days and days of
 blackouts, with unforeseeable social consequences, on top of the
 euro crisis!
         So, you know, Germany needs, in the same way as the United
 States, a complete science-driver lifting of the productivity of
 the economy upwards, and that can only be done through the kind
 of New Bretton Woods system you have been talking about for a
 long time.  And even if this means a complete change in thinking,
 you know, away from monetarist profits, from short-term
 calculations to a more fundamental idea, of what a credit-system
 would mean.  It is totally in the German interest to enter such
 long-term cooperation treaties with Russia, with China, with the
 other Asian countries, because the economic potential of the Far
 East is simply what the whole world needs, and Germany would be
 absolutely one of the prime countries to cooperate in this.

         LAROUCHE:  And then, in particular, we have the situation of
 the effect of economic policy on social policy:  Now, you have
 with Schellnhuber, and people like that, -- and the British royal
 family, which is explicit on that!  The British royal family is
 now committed, to reduce the world's population, {soon, and
 rapidly}, from about seven billion people, to less than one:
 That's their stated policy.  That is also the policy of President
 Obama in the United States, and similar kinds of situations
 around the world of this type.
         This would probably mean more than a dark age.  Because
 we're going into weather conditions in the galaxy now, which
 mankind as a species has never been exposed to, but it's
 inevitable that we're going to be exposed to them now, because
 we're on that galactic cycle, where this is going to occur.  Only
 with technological progress, very high technological progress,
 can we defend the human species in this planet, against the kind
 of weather conditions which are coming in our direction now. It's
 already becoming, this year, much more severe.  Harsh weather
 conditions, which are the result of actually galactically driven
         And so therefore, the human race's existence depends upon
 ending the Green policy entirely: Because any nation that's going
 for a Green policy is going to commit genocide against its own
 population.  And the fact that the British royal family came out
 publicly, to emphasize its support for a policy of {genocide}
 against their own people, and against the people of other
 nations, indicates that the policies which have been running
 Europe, and running a good deal of the United States in this
 recent period, must be extinguished {permanently} -- for the sake
 of the safety of the human species itself!

         ZEPP-LAROUCHE:  Well, I think this absolutely scandalous
 video report from a conference which took place in March in the
 Royal Society of Arts, I think in London, under the chairmanship
 of Prince Philip, where Sir David Attenborough made this
 absolutely unbelievable call for a reduction of population to
 save some supposedly nearly extinct species -- I mean, I have not
 seen such a brutal call for population reduction since 70 years,
 and you know what I'm referring to.

         LAROUCHE:  Yeah.

         ZEPP-LAROUCHE:  And you know, I think that the whole idea of
 the anthropogenic climate change is such a lie, and that is the
 whole basis for the Green policy!  I mean, if you look at the
 entire basis for the energy shift, in Germany, it is the idea
 that, you know, Schellnhuber made this really insane proposal to
 have the "de-carbonization" (quote) of the world economy.  Which
 means he doesn't want to only get rid of nuclear energy, but oil,
 gas, and coal!  And naturally, with the so-called
 "de-carbonization" of the world economy, the world population
 capacity would be not more than 1 or 2 billion, and that has been
 the basis for the German government decision to exit nuclear
         Now, I had some discussions here with politicians in the
 United States, who said, "That can not be true!  It can not be
 true, that the German government would actually do this!"  And I
 told them, "No, it's very serious!" and it does not make any
 sense, it's not reasonable, and the only people who profit from
 this, going to the entirely renewable energies, are the hedge
 funds!  And the hedge funds are sitting mostly in London, and if
 you look at the boards of the hedge funds, well, there are many
 Lords and other such creatures in the management, and it's a
 complete swindle.
         Now, I'm campaigning in Germany that this should be stopped.
 I think there is a counter-revolt, because people realize that
 they have been had, that the whole basis for the Green energy
 exit is basically a swindle, and it should end!  I have a total
 vision of what Germany should do:  For Europe to survive, it's a
 moral question to develop Africa.  I mean, you all have seen in
 the media, these horrendous pictures of 20 million people about
 to die in East Africa alone; and then you can count probably
 another several millions in Niger, in Mali and many other
 countries.  The whole continent is being torn apart by civil
 wars, tension, and ethnic problems, which are steered from the
 outside.  And I think what we have to do, instead of building
 this ridiculous DESERTEC, solar panels in the Sahara, what we
 have to do, we have to basically redirect the whole question of
 the Eurasian Land-Bridge, and the World Land-Bridge, and direct
 it into the development of Africa.
         I think if there were the political will, where a coalition
 of sovereign European nations would adopt as a mission to develop
 Africa, in terms of existing technologies!  This would not
 require any new breakthroughs or discoveries, just build in
 infrastructure: ports, roads, railways!  You end hunger in half a
 year; you could end this super-serious poverty as it is now, in
 maybe five years, and in one or two generations, you could have
 decent living conditions for every person in Africa.
         And I'm convinced that that is the test if Europe is going
 to survive as a moral test for its own existence.  And I'm
 committed that this becoming the reality, that out of this
 crisis, we are going to build a {completely new planet}.  I mean,
 in a certain sense, what we are looking at is the old question of
 the {Federalist Papers}, what Alexander Hamilton was discussing
 with others:  Is mankind able to govern itself?
         And I think this now is not a question only for America, as
 it was then discussed, but it's the question for the planet.  Can
 we give ourselves an order, in which the happiness and pursuit of
 happiness of all human beings on this planet can be guaranteed?
 And I think it's high time that we end the misery of wars, of
 solving political conflict through wars, but that we basically
 adjust the political and economic order with the laws of the
 universe, and then, if we do that, then we fulfill also the old
 vision of my friend and your friend Nikolaus of Cusa, who thought
 in any case that the only way that concordance in the Earth could
 be established, is if you go for the development of all people on
 this planet.

         LAROUCHE:  I think you've said it.  Well, Helga, it's good
 to have you on this media.  I hope our audience here will enjoy
 what you're doing for them, right now.

         ZEPP-LAROUCHE:  I'm happy to be here.

         LAROUCHE:  I know that!  I'm happy to have you here, too.

         ZEPP-LAROUCHE:  Of course.

                         NEWS SUMMARIES


         You think Obama's nuts now? Wait until he views Part II of
 LPAC-TV's interview with Sam Vaknin, author of {Malignant
 Self-Love,} which was posted on Sept. 16. The 46-minute interview
 elaborates on how Obama is disintegrating, and will disintegrate,
 in the face of losing his adulation. In Vaknin's view, the
 results will be horrifying, not only for the United States, but
 for the world as a whole. See it on

                      LEADING DEVELOPMENTS

         Harris County, Texas Democratic Executive Committee
 Unanimously Passes Resolution in Support of H.R. 1489 and
 Glass-Steagall. (See slug)

         Bob Graham calls on Obama To Investigate New Information
 Linking Saudis to 9/11 Hijackers. (See slug)

         With the Collapse of the Second Finance Summit in  Two
 Weeks, the End of the Euro Is Here! (See slug)

         After BüSo call, Germany Has Definitely Entered a Referendum
 Dynamic. (See slug)

         A Greek Default Seen as Certain, Only Questions Are When and
 How? (See slug)

 Putin: Traditional Approaches Don't Work; Russia Needs New
 Leadership for the Real Economy. (See slug)
                      SCIENCE & TECHNOLOGY

         Russia Set the Date for the Crew Launch to the Space
 Station, While Congress Cuts NASA's budget. (See slug)

 change its official statement that "the evidence is
 incontrovertible" that "global warming is occurring," reported.

                          UNITED STATES

         Buddy Roemer Wants Glass Steagall Reinstated; Attacks
 Obama's Wall Street Ties. (See slug)

         "'Rogue Trader,' My Ass": Surge in Articles on
 Glass-Steagall after UBS Debacle. (See slug)

         Democrats Sick of Obama--But Obama Is the One Who Should Go!
 (See slug)

         Solyndra Faces Multiple Investigations, As Suspicious
 Financial Transactions Are Disclosed. (See slug)

         CBO Director Douglas Elmendorf Targets Older Population in
 Testimony to SuperCommittee. (See slug)

 U.S. SENATE THURSDAY, to try to win over Democratic Senators
 opposed to his "jobs bill." Politico's 9/15 report gives no
 indication that they succeeded.

                         WESTERN EUROPE

         Danish Election Means Regime Change In Denmark, But There Is
 Only Conditional Support for the New Prime Minister. (See slug)

         Sinn Féin Fights Euro-Dictatorship. (See slug)

         BIS Chairman, Banque de France Chief Christian Noyer
 Denounces Glass-Steagall. (See slug)


         China's Wu Bangguo Details Russia China Cooperation. (See

         Russia And North Korea Sign Memo of Understanding for Korean
 Gas Pipeline. (See slug)

                       LEADING DEVELOPMENTS

 Harris County, Texas Democratic Executive Committee Unanimously
 Passes Resolution in Support of H.R. 1489/Glass-Steagall

 Sept. 16 (LPAC)--At a meeting Thursday night of some 200
 Democratic precinct chairs from Greater Houston (as well as
 candidates, etc.), the Executive Committee of the Harris County
 Democratic Party voted unanimous support for a resolution
 (appended below) endorsing "the speedy passage of H.R. 1489."
         LaRouche PAC had emailed the resolution to the roster of
 precinct chairs in advance of the event, and then followed up
 with targeted calls. Thus, when LPAC activists approached people
 personally in the social hour before the event convened, many
 folks were already on board. "I don't agree with you guys on
 impeaching Obama, but I'm with you on this!" was a typical
         When briefed on how Treasury Secretary Timothy Geithner (in
 effect, Obama) had killed Glass-Steagall in the Congress, and
 that he was now undertaking a whole new binge of hyperinflation,
 there were some wide eyes, but no objections.  Some asked, "Why
 is Al Green the only rep that has signed on?" (One reason may be
 that Goldman-Sachs recently showed up in town with $25 million,
 which it scattered around to various community and minority
 organizations, to give young people classes on "prudent financial
         In his brief motivating remarks, a LaRouche PAC
 representative stressed that Glass-Steagall had been the
 cornerstone of FDR's anti-Depression agenda. "And it worked very
 well for 66 years, until it was repealed on the initiative of
 Senator Phil Gramm,... and that fungus is still among
 us--advising Rick Perry!"  He brought up the support by the NFU,
 LULAC, and the AFL-CIO, but that there was much greater pressure
 being exerted against the measure by Wall Street. "The financial
 institutions expect the government to guarantee all their
 worthless gambling bets, and then cut the budgets to pay for it
 all. This bill says 'no!'"
         Then County Chairman Gerry Birnberg took the mic: "C'mon,
 you guys! Y'all want to stomp on Wall Street and the corporate
 elites, don't you? Let's vote this one up!"  And they did, with
 no dissenting votes.
         Afterwards, a few people came up to congratulate LPAC.  One
 lady from LULAC wanted more information for her local chapter.


 WHEREAS the 1933 Glass-Steagall law, passed as part of President
 Roosevelt's anti-Depression bank reforms, separated the
 legitimate activities of commercial banking from the speculative
 financial activities of private investors; and

 WHEREAS the 1999 repeal of Glass-Steagall, initiated by Texas
 Republican Senator Phil Gramm, brought into the savings banks the
 abusive speculative activities of Wall Street and foreign
 interests; and

 WHEREAS the ongoing collapse of speculative finance has resulted
 with the diminishment or loss of trillions of assets, both public
 and private, which losses have been "bailed out" at the ultimate
 expense of the taxpayers; and

 WHEREAS U.S. Representative Marcy Kaptur has proposed restoring
 Glass-Steagall standards with HR 1489, 'The Return to Prudent
 Banking Act',

 THEREFORE, BE IT RESOLVED that the Executive Committee of the
 Harris County, Texas Democratic Party endorses the speedy passage
 of HR 1489; and also

 BE IT FURTHER RESOLVED that the Harris County delegation to the
 U.S. House of Representatives should co-sponsor this vital piece
 of legislation.

 We also strongly urge that the Senators from Texas, Kay Bailey
 Hutchison and John Cornyn, initiate and support a parallel piece
 of legislation in the US Senate.

 Copies of this resolution will be sent to members of the Harris
 County Congressional delegation, and other legislators in the
 state to encourage broader support.  (jcj)

 Bob Graham Calls on Obama To Investigate New Information Linking
 Saudis to 9/11 Hijackers

 Sept. 16 (LPAC)--Former U.S. Senator Bob Graham of Florida, who
 chaired the Congressional Joint Inquiry into 9/11, is calling on
 President Obama to investigate the new disclosures linking Saudi
 nationals living in Sarasota, Florida, to the 9/11 hijackers.
         "This is the most important thing about 9/11 to surface in
 the last seven or eight years," Graham told the {St. Petersburg
 Times}. "It's very important for the White House to take control
 of this situation. The key umbrella question is: What was the
 full extent of Saudi involvement prior to 9/11, and why did the
 U.S. Administration cover this up?"
         In a Sept. 15 interview on "Democracy Now," Graham described
 the Saudi "support network" for the 9/11 terrorists that the
 Congressional Inquiry uncovered in San Diego, and said "we've
 just learned about another pod of this network in Sarasota."
         "What we know to date," Graham said, "is that there was a
 wealthy Saudi family living in a gated community near Sarasota,
 which had numerous contacts with Atta, the leader of the
 hijackers, and two others who were doing their pilot training
 near Sarasota. We also know that this family left the United
 States under what appear to be very urgent circumstances on
 August 30, 2001, just before 9/11." Graham stressed that the FBI
 did not tell the Congressional Inquiry about the Saudi contacts
 in either San Diego or Sarasota.
         Beyond San Diego and Sarasota, Graham asked, what was going
 on in other communities where the hijackers lived, such as
 Arlington, Virgina; Phoenix, Arizona; Paterson, New Jersey; and
 Delray Beach, Florida? "Were there similar facilitators in those
         The {Miami Herald}, which published the Sarasota revelations
 last week, also called for a full investigation yesterday, saying
 in an editorial that "There are simply too many unanswered
 qustions ... to sweep this matter under the rug." The {Herald}
 notes that the FBI has issued a statement saying that followed up
 the information and found "no connection" to the 9/11 plot. "That
 should not be the end of it," says the {Herald}, insisting that
 the public deserves answers to questions about the connections
 between the hijackers and the Saudis who lived in the Sarasota
 house, including an explanation for the many phone calls and
 visits. The {Herald} reports that Rep. Kathy Castor (D-Fla.) has
 called on the House Intelligence Committee to investigate, in
 addition to Bob Graham's asking the White House to investigate.

 With the Collapse of the Second Finance Summit in  Two Weeks, the
 End of the Euro Is Here!

 Sept. 16 (EIRNS)--Expectations for a Greek default and
 unravelling of the euro system are nearly universal, after the
 acrimonious breakdown of the second finance ministers' summit in
 as many weeks, this one in Poland.  According to preliminary
 reports, there was no agreement on expansion of the European
 bailout fund, no agreement on the Finnish demand for collateral
 for the second Greek bailout, and no agreement to release the
 next tranche of the first Greek bailout, which will be taken up
 again in October.
         The same reports indicate that U.S. Treasury Secretary
 Timothy Geithner's proposal to "leverage" the European bailout
 fund like the "TALF" of the U.S. bailout, was rejected.
 Geithner's thuggish attacks on Germany were so outrageous, that
 no European leader would endorse them. Austria's Finance Minister
 Maria Fekter dripped sarcasm against Geithner in comments to
 press afterwards, as did Luxembourg's Jean-Claude Juncker, the
 President of the Eurogroup.
         Behind closed doors, there was an bitter fight between
 Geithner and German Finance Minister Schaeuble, because Mrs.
 Merkel's German government would not last a minute if it accepted
 Geithner's ultimata.  Apparently neither Geithner nor Schaeuble
 would speak to press afterwards.
         The "doomsday machine" of the U.S. Federal Reserve flooding
 the world with "unlimited" dollars through its "swap lines," is
 still scheduled to be unleashed on Oct. 14, unless it is stopped
 by the U.S. Congress, even through Obama's impeachment if
 necessary,-- as Lyndon LaRouche insisted in his statement of
 Sept. 15.  But will the euro still be there?

 Germany Has Definitely Entered a Referendum Dynamic

 Sept. 16 (EIRNS)--Kicked off by the Helga Zepp-LaRouche/BüSo
 party call for a referendum on the euro and European Union
 issues, the idea of a referendum is now making its way into the
 other political parties. This became visible two days ago, when
 Christoph Meyer, the top candidate of the Free Democrats for the
 Sept. 18, Berlin city-state parliament election, said that the
 Greek and other bailouts are a pressing issue for the electorate,
 and that therefore the election there is a "also a
 euro-referendum." It becomes very visible in the campaign by Free
 Democrat dissident Frank Schaeffler, who has meanwhile gathered
 1,800 signatures for his call to have an inner-party referendum
 of the entire FDP membership on the bailout issue, for which he
 needs 3,300 signatures. Well, the past two days alone brought him
 600 signatures. Therefore he is optimistic to have the 3,300
 together by coming Monday, so that the FDP party top, which will
 have its usual session at the start of the week then, can be
 forced to have that referendum.
         Also, Klaus-Peter Willsch, one of the leading anti-bailout
 dissidents among the Christian Democrats (Chancellor Angela
 Merkel's own party), has now called for an inner-party referendum
 on the issue, saying that he is not that optimistic as far as the
 CDU party top's positions are concerned, but that he believes a
 majority of CDU party members may vote against the bailout. And
 as for the Christian Social Union (CSU), the autonomous
 Bavararian state section of the Christian Democrats, Stefan
 Müller, a leading member of the CSU group in the national
 parliament, said as well that an inner-party referendum would be
 appropriate, but not right now.
         As for the result of a real national referendum, an opinion
 poll which the German press agency dpa commissioned the YouGov
 Institute to carry out, just showed 82% of those polled as
 opposed to Merkel's policies, and 66% opposed to any more
 bailouts for banks in Greece or other countries. This corresponds
 to the 51.8% in a {Der Spiegel} online poll, which showed people
 in favor of a return to the d-mark, against only 42.6% who want
 to stay with the euro, and another 5.6% undecided. (rap)

 A Greek Default Is Certain; the Question Is: Just When, and How?

 Sept. 16 (EIRNS)--Whereas leading politicians and European Union
 and European Central Bank officials still pretend that Greece
 could be saved from default, the media generally already report
 that the "markets" have begun to price that default in, because
 they think the default is certain to come.  There are all kinds
 of scenarios of how Greece would have a bigger or smaller
 insolvency, how big the banks' haircut would be, if there were a
 haircut at all, and the like.
         Most interesting, however, are scenarios like the one
 presented in Germany's leading mass-tabloid {Bildzeitung} today,
 which says that late on some Friday, the Greek Prime Minister
 could announce his country's exit from the euro, that debt titles
 would be cut by 50%, and, because there would be no trading
 before the Asian markets reopened (at midnight, European time),
 there would be time to sort things out.  Greek banks would be
 kept closed for several days, so that depositors could be
 prevented from emptying their bank accounts, and since Greece
 would not have enough drachmas at the beginning, it would use old
 euro bank notes with a drachma stamp on them. And the same would
 be done with Greek euro bank notes circulating elsewhere in the
 Eurozone.  The new drachma might have an exchange rate of 10:1 to
 the euro, and so on.
         The central message of this and similar scenarios that are
 running in the press: It would be ugly, but it could be
 manageable.  (rap)

 Putin: Traditional Approaches Don't Work; Russia Needs New
 Leadership for the Real Ecohnomy

 Sept. 16 (EIRNS)--Russian Prime Minister Vladimir Putin today
 delivered a major speech on the global economic crisis and his
 perspective for transforming the Russian economy, during the
 opening of the 10th International Investment Forum - Sochi-2011,
 held on the Russian Black Sea coast.  He emphasized that
 "traditional approaches" are not working, either internationally
 or within Russia, and insisted on Russia's commitment--no matter
 what happens internationally--to creating a new generation of
 leaders, committed to growth of the real economy. He called on
 Russians who share this view to run for the State Duma in
 December's elections, on the United Russia party slate.
         Citing the U.S. credit downgrade, the 10% drop of European
 stock indexes in two weeks of August, and the ongoing sovereign
 debt crisis, Putin said that "the global economy is still feeling
 the shock waves of the economic crisis that hit in 2008." Putin,
 who during the summer referred to the U.S. Federal Reserve's
 "quantitative easing" money-production as a form of
 "hooliganism," emphasized that what people thought worked,
 doesn't work: "The sovereign debt crisis in developed countries
 is requiring politicians, economists and investors to rethink
 their traditional approaches.  Last Summer's global economic
 shocks were yet further proof that development models relying on
 growing debt are no longer working.  It's clear that those who
 were leaders not long ago, are now yielding their positions and
 cannot serve as an example of the carefully worked-out
 macroeconomic policies, in which they were instructing us so
         As for a recovery, Putin warned that there simply might not
 be one, under current policy: "The debt crisis in Europe and the
 United States is compounded by the fact that their economies are
 teetering on the brink of recession.  Unfortunately, it is still
 unclear when they will recover, if at all, and this goes for
 Russia as well."
         The Russian Prime Minister said that the centers of global
 growth have shifted to "emerging economies."
         While ticking off a number of conventional monetary
 maneuvers that Russia itself employs, praising the Russian
 Finance Ministry's interventions this Summer to support banking
 system liquidity, rebuild the country's gold and foreign currency
 reserves, curb the federal deficit, and prevent another state or
 corporate foreign debt build-up, the main emphasis in Putin's
 speech was on discovering how to go forward in a more substantial
 way.  He said that the national objective must be not only
 "growth" in conventional terms, but "improving the efficiency of
 our economy through developing real output and promoting
         Addressing an audience that included representatives of
 major London-based investment funds, Putin said bluntly: "I would
 like to state that our overall objective is not to become a safe
 haven for speculative capital, where it can wait out crises in
 comfort.  Russia needs to create conditions for smart investment,
 both in production, and in high-tech development, so we have to
 expand the range of freedom for honest businesses, and help
 people who propose sensible, useful initiatives, aimed not at
 immediate profit-taking, but at changing the quality of life of
 whole cities and other settled areas, and entire regions, while,
 of course, profiting from their economic engagement."
         Putin reported that it was for this purpose that he
 personally initiated the new Agency for Strategic Initiatives
 (ASI), whose head, A.S. Nikitin, was another keynote speaker in
 Sochi.  Commissioned just last month, the ASI is separate from
 the much ballyhooed Skolkovo project, launched by President
 Dmitri Medvedev's Kremlin staff to emulate Silicon Valley.  Putin
 listed Skolkovo as merely one of a larger network of economic
 development centers and zones.  For the ASI, Putin said, "We had
 a national competition to select talented young people who have
 started their own businesses from scratch; and those who have
 done significant social projects and are willing to continue in
 that area.  Now they are assigned to propose solutions for our
 systemic problems, and the administrative and other barriers that
 fuel corruption and impede business."
         Continuing this theme, and sounding distinctly like someone
 who intends to be involved in national policy-making beyond the
 Duma elections and next year's Presidential election--in which he
 himself may return as a candidate, though he has not
 announced--Putin stated: "Today one of our key objectives is to
 bring new personnel into Russian officialdom and change the
 philosophy of state service.  We intend to bring new people into
 government, the economy, politics, and the social sector, people
 who have already demonstrated that they can pursue constructive
 transformations and are willing to work for the welfare of the
 citizens and the entire country." He said that the recently
 instituted process of party primaries, currently being held to
 form electoral slates for the Duma, was designed to find such
 people and get them to run for the State Duma.
         He touched on many other economic policy areas, from
 utilities rates to the need for government involvement in
 projects or industries which are too large for private
 entrepreneurs to handle.
         Following his speech, Putin had an extended discussion with
 participants, highlighted by his politely rejecting a British
 investment fund manager's recommendation that Russian should snap
 up toxic assets which the European banks try to unload. [RBD]

                       SCIENCE & TECHNOLOGY

 Russia Sets Plan to Resume Launches to the Space Station, While
 Congress Cuts the NASA Budget

 Sept. 16 (LPAC)--The international partners of the International
 Space Station program (United States, Europe, Japan, and Canada)
 agreed yesterday to the Russian plan to tentatively schedule the
 next launch of a three-man crew to the station on Nov. 14. The
 three crew members who are now on board would return on Nov. 22,
 assuring the station would remain manned, without interruption.
 The willingness of the Russian space agency to set a date, before
 all inspections of the hardware being readied for launch are
 completed, demonstrates its confidence in the robustness of their
 program, ability to fix the problem, and then to move on. Were
 this happening in the United States, there would be a parade of
 Congressional hearings, independent analyses, and a media circus,
 all to second-guess NASA.
         While things are expected to improve on the space station,
 the deliberations on the NASA budget for Fiscal Year 2012 remain
 in political hyper-drive, with no serious thought to the damage
 this is doing to the nation.
         Today, the Senate Appropriations Committee passed its
 proposed NASA FY12 budget. Funding for NASA was reduced by 2.8%
 from current levels, back to where it was in 2009, at $17.9
 billion. This is $509 million less than its current spending
 level, and $785 million less than the Administration's request.
 Funding for the Webb Space Telescope, which last month had been
 entirely eliminated by the House Appropriations Committee, was
 increased in the Senate bill to $530 million, which is 40% more
 than the Administration's request. This is no surprise, since
 subcommittee chair, Sen. Barbara Mukulski's State of Maryland, is
 where the Webb telescope is managed.
         Apparently most of the extra funding for Webb was taken from
 the Administration's directionless "space technology" program.
 But the Committee has not revealed where other cuts will be made.
 The space science community has already been in a self-destruct
 mode, with each field of science trying to save its missions, in
 jeopardy due to the Webb cost overruns, even at the expense of
         It is expected that Congress will not be able to come up
 with a Federal budget by the Oct. 1 deadline. NASA, along with
 other critical government agencies, has been caught in the
 crosshairs of a treasonous White House, and an either insane, or
 cowardly Congress. [mgf]

                           UNITED STATES

 Roemer Wants Glass-Steagall Reinstated, Attacks Obama's Wall
 Street Ties

 Sept. 16 (LPAC)--GOP Presidential candidate, former Louisiana
 Gov. Buddy Roemer, fully backs Glass-Steagall, and will reinstate
 that law if he is elected, reported the {Conway Daily Sun} (New
 Hampshire) today. Roemer told the paper's editorial board,
 "Barack Obama signs bank reform, and the next week he goes to
 Wall Street sponsored by Goldman Sachs and has a fundraiser at
 $35,000 per ticket.... Obama didn't change a thing.  Too big to
 fail is still the law, and Glass-Steagall is still dead.  I worry
 about this country, guys. [Some banks] broke every banking law in
 America, and not one person has gone to jail, but hundreds of
 their underwater mortgage holders have.  The rich get rich, and
 the poor get sent to jail."
         Roemer said he is running because the United States has
 become "an elite-ocracy," with "institutional corruption" worse
 than anything he has ever seen in his lifetime.  Obama is part of
 that corruption, says Roemer; Obama raises $35,000 per plate at a
 "fund-raiser put up by the same SOBs he's supposed to be
         The {Daily Sun} reported that Roemer told them that the
 repeal of Glass-Steagall in the late 1990s was "an important
 turning point for the health of the nation," and that "the repeal
 set the stage for the dotcom bubble in 2001-2002 and the housing
 bubble of 2007 and 2008" the article says.  "Banks grew and grew
 and took on huge risks."
         From 1982 to 1988, Roemer was in Congress, where he served
 on the Banking Committee, and was Governor from 1988 to 1992. In
 1991, he switched to the Republican Party, away from being a
 lifelong Democrat whose family had been attacked by the Ku Klux
 Klan for being in favor of civil rights. He said he is determined
 to make Louisiana a "two-party state."
         In addition to Glass-Steagall, Roemer would also impose
 "fair trade" tariffs on imports from countries that do not pay
 adequate wages. Tariffs worked to protect U.S. industry from the
 time of George Washington to World War II, he said. Roemer says
 he is ignored by the national media, because of low campaign
 funds, but that that is deliberate, since he won't accept
 corporate or PAC money, and limits the contributions to $100.
 Both Obama and the GOP are corrupted in their campaign
 fundraising, he says. Obama takes megabucks from Wall Street, and
 Rick Perry's and Mitt Romney's cronies created short term
 corporations for the sole purpose of giving their campaigns
 millions of dollars. (mjs)

 "'Rogue Trader,' My Ass": Surge in Articles on Glass-Steagall
 after UBS Debacle

 Sept. 16 (LPAC)--The Swiss UBS bank's $2 billion in losses has
 triggered dozens of blog entries and articles about
 Glass-Steagall, and about breaking up investment/commercial
 banks, and about ending self-regulation. One of the strongest is
 Matt Taibbi's piece in {Rolling Stone}, titled "The $2 Billion
 UBS Incident: 'Rogue Trader' My Ass," where Taibbi strongly
 supports Glass-Steagall.
         "The news that a 'rogue trader' (I hate that term--more on
 that in a moment) has soaked the Swiss banking giant UBS for $2
 billion has rocked the international financial community," Taibbi
 says. And after blasting the 2008 lies by Goldman Sachs and the
 other Wall Street criminals that they will now follow the rules,
 he writes: "The brains of investment banks by nature are not
 wired for 'client based thinking.' This is the reason why the
 Glass-Steagall Act, that kept investment banks and commercial
 banks separate, was originally passed back in 1933: it just
 defied common sense to have {professional gamblers} in charge of
 stewarding {commercial bank accounts}" (emphasis in original).
         At the same time, Bloomberg News and several international
 financial blogs are reporting that the UBS incident could trigger
 parliamentarians in Switzerland to pass laws to break up banks
 and separate speculative investment banks from commercial banks.
 UBS announced that "it may be unprofitable in the third quarter
 after the loss from unauthorized trading at its investment bank,"
 and this may push Swiss authorities to break up UBS and Crédit
 Suisse, says Bloomberg.
         Caspar Baader of the Swiss People's Party is quoted saying
 that the UBS incident "shows that investment banking is a
 high-risk field, and it's important that we clearly separate
 systemically important functions from the rest of the banking
 business."  Another party official, Fulvio Pelli, party president
 of the Liberals, was irate, saying "It's absolutely
 unacceptable.... I'm absolutely astonished that internal controls
 didn't work at UBS." Bloomberg also reports that Pelli added that
 "Switzerland's too-big-to-fail bill and tougher capital
 requirements were the way forward."
         Bloomberg News's comment is that Switzerland may be the
 first to break up the banks.  "Swiss rule-makers are running
 ahead of counterparts in the U.S. and Europe to make sure UBS and
 rival Crédit Suisse Group AG cut risks and hoard capital to avert
 the type of banking collapse that hobbled Icelands economy,"
 Bloomberg says. "The Swiss Parliament is expected to vote on
 proposals to limit risk-taking by the two banks and impose higher
 capital surcharge requirements at the end of this month,
 according to spokesman Mark Stucki."
         Dana Blankenhorn, a blogger on financial matters, highlights
 the Swiss moves on the blog  Under the title
 "Could Glass-Steagall Make a Comeback in Europe?" Blankenhorn
 writes, "The Glass-Steagall Act, separating investment from
 commercial banking, was repealed here in 1999 but may now be
 making a comeback in Europe, specifically Switzerland." He
 highlights moves by the Swiss People's Party in the parliament in
 this direction.
         There are dozens of other blog stories that mention
 Glass-Steagall after UBS.  In today's {Huffington Post},
 financial writer John Tepper Marlin has an article called "UBS
 Hit Shows Risk of Casino Investment Banks," where he slams
 Martin Jacomb, a British opponent of banking regulations, who
 wrote a recent {Financial Times} piece against Glass-Steagall
 that was full of lies. Marlin goes after the lies, piece by
 piece, especially the lie that "customers" wanted Glass-Steagall
 repealed.  (mjs)

 Democrats Sick of Obama--But Obama Is the One Who Should Go!

 Sept. 16 (LPAC)--James Carville is continuing to blast the
 message that Obama should "Panic!" and "Fire [his advisers and
 cabinet members]. Indict [Wall Street executives]. Fight [for
 economic recovery]." If not, Carville warned in interviews on CNN
 yesterday, Obama will not be reelected, and neither will the
 Democrats. After writing a fierce article about how Obama is the
 disaster behind the Democrats losing the Congressional elections
 in Nevada and New York on Sept. 13, Carville was interviewed
 twice on CNN to repeat that Obama has to clean house, clean out
 his Administration, indict Wall Street banksters, and even fire
 his "friend," Attorney General Eric Holder.
         "How many generals did Lincoln fire?... Reagan fired people
 .... even Rumsfeld got fired," Carville told CNN's Wolf Blitzer.
 Carville said that even he and others in the Clinton
 Administration were "fired" after the 1994 election when the
 Democrats lost the House.  In his usual fiery style, Carville
 said, Democrats "lost two seats on Tuesday ... lost 65 seats" in
 November, and blamed it on Obama.
         Another major attack on Obama came from black TV/radio host
 Tavis Smiley, who has been on tour with Prof. Cornel West
 exposing how Obama abandoned the black community.  In a
 prime-time interview on Sept. 15 with NBC TV's Lester Holt,
 Smiley said, "It's just not that black folks are hurting the most
 now. It's that there's no sign that it's going to get any better.
 There really are two questions in black America.... Number one:
 what is the pain threshold in black America? What is our pain
 threshold?--number one. And number two, what is the Presidency
 really worth? Is it worth not saying anything? Is it worth being
 silent when you're catching the most hell, when you're suffering
 the most pain? Especially, when you're the most loyal part of the
 President's base."
         When Holt said that Obama may be criticized for catering to
 his black community, Smiley fired back that when "Wall Street was
 hurting," and when the "auto industry was hurting," Obama
 immediately came to rescue.  But now, he's doing nothing when
 black people are "suffering in such huge waves."  A leader has to
 take risks, Smiley said, citing Lyndon Johnson, FDR, and Abraham
 Lincoln, who were all "transformational leaders."  But Obama
 won't fight, when "things have not been as bad for black folks
 since World War II ... since the Great Depression.  We are now at
 Depression-era levels," in the black community."
         One day earlier, leading Democrats in the Senate and House
 attacked Obama's no-job program. (mjs)

 Solyndra Faces Multiple Investigations, As Suspicious Financial
 Transactions Are Disclosed

 Sept. 16 (LPAC)--At least four investigations of Obama's crony
 Solyndra are now under way, some of which are likely criminal in
 nature. These probes are by the FBI, the Department of Energy's
 Inspector General, the Treasury Department's Inspector General,
 and Congress. While the House Energy and Commerce Committee has
 held one hearing and has another scheduled for Sept. 23, other
 committees are known to be looking into the Solyndra deal as
 well., citing Congressional sources, says that
 Congress is likely to try to scuttle the February restructuring
 agreement which subordinated the government's loans to $75
 million in new investment from Obama crony George Kaiser. The
 agreement stated that in a bankruptcy, the first $150 million
 would go to the government, the next $75 million to Kaiser,
 leaving the United States stuck with $377 million, unless a
 liquidation would fetch more than $225 million. And the balance
 could be controlled by Kaiser under bankruptcy procedures.
 Republicans argued in Wednesday's hearing, that to give Kaiser
 priority over the government was a violation of Federal law, but
 the DOE and OMB officials who were witnesses, claimed that their
 lawyers had approved the deal.
         Some highly-suspicious Solyndra pre-bankruptcy transactions
 are reported in In late July, five weeks
 before filing bankruptcy, Solyndra sold its Accounts Receivable
 and its inventory (solar panels which the company was hoarding,
 not shipping) to a newly-created shell company called Solar II
 LLC. This included an Accounts Receivable Trust Fund containing
 almost $4 million in cash. Listed as "agent" for the transaction
 was something called "Argonaut Solar LLC," which appears to be
 associated with Obama crony and fundraiser George Kaiser; Kaiser
 investments were funnelled into Solyndra through a vehicle called
 "Argonaut Ventures."
         In the Solyndra bankrupty filing, Argonaut Ventures offered
 to provide a post-bankrupty loan to Solyndra (as "debtor in
 possession") of $4 million, under specified conditions which
 include the almost $4 million in A/R trust funds being released
 to Argonaut Solar LLC!
         Looks like Obama's buddy Kaiser intends to control the
 bankruptcy and come out ahead, while the U.S. government takes a
 bath. Congressional investigators should have fun with this.

 CBO Director Douglas Elmendorf Targets Older Population in
 Testimony to SuperCommittee

 Sept. 16 (LPAC)--Social Security and health care were the biggest
 targets for genocidal budget cuts set out by Congressional Budget
 Office Director Douglas Elmendorf in his testimony to the
 Congressional SuperCommittee on Sept. 13. Based on spurious
 projections of what will happen to the U.S. economy, GDP, debt,
 etc. over the next ten years, Elmendorf stresses that spending
 for Social Security and major health programs--which, he
 acknowledges, goes mostly to people over age 65--will be the
 fastest-rising component of Federal spending under current law;
 spending for everything else (except interest payments) will
 decline as a percentage of Federal spending. Elmendorf said that,
 even with the SuperCommittee's mandated $1.2 trillion deficit
 reduction, the debt-to-GDP ration would only fall to 61% by 2021;
 but to get it to 50%, would require $3.8 trillion deficit
         Elmendorf never explained his fraudulent inclusion of Social
 Security as a factor in the deficit, even though Social Security
 is a self-financing insurance program (or at least it was, until
 Obama's scheme to cut payroll taxes and replace them with
 appropriations from the general fund). [ews]


 Danish Election Means Regime Change In Denmark, But There Is Only
 Conditional Support for the New Prime Minister

 COPENHAGEN, Sept. 16 (EIRNS)--The Danish election yesterday
 produced a defeat for the sitting liberal/conservative government
 under Lars Loekke Rasmussen, but a very weak mandate for the new
 Social Democratic Prime Minister Helle Thorning-Schmidt. Her
 party ended with 44 mandates, after the worst result in over 100
 years. The Socialist People's Party, which will also be in the
 coming government, lost 7 mandates, and only ended up with 16.
 The Social Liberal Party, which has been supporting a change in
 Prime Minister, but which might not be part of the new
 government, doubled its mandates from 9 to 17. The left-wing
 Red-Green party tripled its mandates from 4 to 12, based on its
 profile of a green utopia and being a defender of the socially
         On the other side, the Prime Minister Lars Loekke
 Rasmussen's Liberal Party became the biggest party, with 47
 mandates, after gaining 1 mandate; the Conservative Party was
 brutally reduced from 18 mandates to only 8; the xenophobic
 Danish People's Party lost 3, and now has 22 mandates; and the
 new populist liberal Liberal Alliance grew from 5 to 9 seats.
         With the 4 mandates from Greenland and the Faroe Islands
 counted in, the new Social Democratic/Socialist People's Party
 government has the support of 92 mandates, and the new opposition
         The new Prime Minister Helle Thorning-Schmidt will be under
 great pressure to show leadership and to quickly produce a change
 in the economic policy, so as to demonstrate that her slogan of
 investments instead of cutbacks, is real. She is now known as
 "Gucci-Helle" for her love of fancy clothes, and has swapped her
 working-class background for a high-society lifestyle. She is
 married to British intelligence operative Stephen Kinnock, son of
 former British Labour Party leader Neil Kinnock, who has been
 working for the British Foreign office in such places as St.
 Petersburg, and who is now a director for the World Economic
 Forum in Switzerland. She is also a protégé of European Social
 Democrats head Poul Nyrup Rasmussen, who has been outspoken for
 increased control over, and regulation directed against hedge
 funds and capital funds.
         Thorning-Schmidt will also have to face a breakdown of the
 global financial system and the coming crises in the Danish bank
 system, while her new government, for the most part, has no
 experience of having been in government before.
         In this light, it is even more important that the three
 candidates from the Friends of the Schiller Institute managed to
 put Glass-Steagall onto the agenda over the course of the
 election campaign, and that several more TV appearances are in
 the works. Despite getting a total of only 350 votes (0.03%), the
 three candidates have become the talk of the town. The Schiller
 Institute is also planning to publish a new campaign newspaper
 before the new Parliament comes into session on Oct. 4, to make
 sure that we continue to keep for Glass-Steagall in the
 limelight, and also put the great projects on the table, which
 would give the new government a fighting chance when it faces
 this huge challenge. [tg]

 Sinn Féin Fights Euro-Dictatorship

 Sept. 16 (EIRNS)--A public meeting last night on the subject of
 understanding the euro crisis was addressed by Sinn Féin finance
 spokesman TD (member of parliament) Pearse Doherty, who said that
 Sinn Féin will fight tooth and nail against any further erosion
 of Irish fiscal sovereignty.
         The conference was also addressed by Greek economist Yanis
 Varoufakis and journalist Fintan O'Toole.
         Doherty said "The Euro crisis is deepening by the day. There
 is widespread speculation that officials in Brussels and Greece
 are preparing for a default on Greece's debts.  The knock-on
 effect that this would have on France's economy would be great.
         "There are those who argue that the only solution to these
 very serious issues is to take fiscal and economic power away
 from member states and centralize it in unelected EU institutions
 such as the Commission and the European Central Bank.
         "Such a move would not only be undemocratic, but also [would
 be] bad for the economy of Europe and peripheral member states
 such as Ireland.
         "We in Sinn Féin say that there is a better way.
         "Sinn Féin has long argued that in order for debt levels to
 be sustainable in Greece, Portugal, and Ireland, banks must
 shoulder their share of the burden.  This will require an orderly
 default on portions of toxic banking debt.
         "The 30 billion Anglo Irish promissory note should be waived
 by the ECB [European Central Bank].  This would reduce Ireland's
 debt to GDP ratio by 20%.
         "Following that, the Government must start to insist on
 burden sharing with senior bondholders across the banks.
         "Citizens should not be forced to pay for the debt of
 private banks.  Public money should be used for social and
 economic recovery.  To achieve this the government must secure
 significant burden sharing if a disorderly default is to be
         "The answer to our fiscal problems does not lie with further
 erosion of our economic sovereignty.  Nor, for that matter does
 it lie with further austerity measures and cuts.
         "Sinn Féin will fight tooth and nail against any further
 ceding of our fiscal powers to unelected, unaccountable figures
 in Europe." [nco]

 BIS Chairman, Banque de France Chief Christian Noyer Denounces

 PARIS, Sept. 16 (Nouvelle Solidarité)--In an interview in
 yesterday's issue of the French economic weekly {Challenges},
 Banque de France Governor Christian Noyer, formerly the Executive
 Board of the European Central Bank vice-president, and since
 March 2010 chairman of the Bank for International Settlements,
 the "central bank of central banks," says that a return to
 Glass-Steagall Banking methods is "a wrong good idea."
         {Challenges}: "What do you think about the British thoughts,
 which go in the direction of a Glass-Steagall Act, separating
 deposit from market activities?
         Noyer: "I don't believe for an instant that the
 Glass-Steagall Act is a remedy to the crisis. On the contrary!
 And Lehman Brother is the perfect example: It was an investment
 bank whose bankruptcy had global repercussions; as for Northern
 Rock, it was a purely retail bank! The Glass-Steagall Act is a
 wrong good idea."
         As a reminder, Christian Noyer psychotically hammers day and
 night that the French banks are perfectly solid and adequately
 capitalized. Yesterday, he even went as far as to state that
 Moody's downgrading of Société Générale and Crédit Agricole was
 close to good news, since BNP Paribas escaped Moody's judgment
 altogether, and the other two banks were only downgraded by
 merely one single notch at a moment the markets expected them to
 lose two notches. (kav)


 China's Wu Bangguo Details Russia China Cooperation

 Sept. 16 (EIRNS)--The Chairman of the Chinese National Peoples'
 Congress Standing Committee, Wu Bangguo, detailed plans of
 cooperation between Russia and China during his meetings with
 Russian Prime Minister Vladimir Putin in Moscow yesterday. The
 Chinese Ministry of Foreign Affairs' press release on Wu
 Bangguo's visit described Wu's proposals for expanding relations.
         Given the complex and volatile international situation,
 Russia's development strategy through to 2020, and China's "12th
 Five Year Plan," have provided a broader stage for further
 deepening bilateral pragmatic cooperation. Wu proposed promoting
 cooperation in major projects and industrial cooperation,
 expanding trade, and expanding trade on mechanical/electrical and
 high-tech products in particular, to reach $100 billion by 2015,
 and $200 billion by 2020. China and Russia should establish
 energy cooperation partnership by speeding up construction of
 national gas pipelines, securing stable operation of crude oil
 pipelines, and facilitating cooperation on nuclear power, coal,
 electricity and new energy, and on high-tech cooperation. Wu also
 urged both sides to accelerate the application of scientific and
 technological achievements.
         As reported yesterday, Wu Bangguo also told Putin that Putin
 will chair the upcoming 16th meeting between the heads of
 government of Russia and China. "Russia has progressed
 considerably in its development over the past ten years when you
 were Russia's President and Prime Minister, which has won you the
 love of the Russian people and respect among the Chinese people,"
 Wu Bangguo told Putin. (mmc)

 Russia and North Korea Sign Memo of Understanding for Korean Gas

 Sept. 16 (LPAC)--The Russian energy company Gazprom announced
 that it has signed a Memorandum of Understanding with North Korea
 to build a natural gas transmission system to the Korean
         Gazprom chief Alexei Miller met with North Korean Oil
 Minister Kim Hui Yong in his Moscow office. Afterwards the
 Russian company stated that, "Based on the meeting results, a
 Memorandum of Understanding was signed between Gazprom and North
 Korea's Ministry of Oil Industry."
         On the same day, Miller met with Choo Kang-soo, head of the
 South Korea's state-run Korea Gas Corporation. They also signed a
 schedule to build the pipeline. Gas could start flowing to Seoul
 by 2017, Gazprom said.


        ***  ORGANIZING OPPORTUNITIES (updated 9/16)  ***


         House and Senate returned to session in Washington on Sept.



 Sept. 27, 4-5:30
 every Congressional district office in the nation, in support of
 H.R. 1351, which would allow the USPS to access funds now
 committed to overpayment to the pension fund, and stay afloat.


 17-Sep-11 9:00 AM
 American Eagle Distributing Company
 Veterans' Resources Forum 800 Clydesdale Parkway Loveland
         With officials from the Department of Veterans' Affairs and
 Larimer & Wade County Workforce Regions.


 Saturday, September 24, 2011  12:00 p.m. CDT (1:00 p.m. Eastern)
         University of Illinois Springfield Public Affairs Center
 Conference Room C-D One University Plaza Springfield, IL 62703
 Subcommittee on Rural Development Research, Biotechnology, and
 Foreign AgriculturePublic Field Hearing Re: To Review the Role of
 Broadband Access in Rural Economic Development


 Sept 29-Oct 2
         Second annual AFL-CIO Young Workers Summit in Minneapolis.

 Oct 11-12
         NFU Sponsors Water Management Summit, Bloomington, MN Log on
 to for more details.


 Nov 29 - Dec 2
 2011 Ground Water Expo, Las Vegas Convention Center
 3150 Paradise Road, Las Vegas

 Dec 5-7
 First International Conference on Water & Society
 University of Nevada, Las Vegas


         Sept. 17--"OCCUPY WALL STREET" PROTEST, billed as starting a
 tent-city occupation for "months." Forerunners of this include an
 Aug. 2 "Occupy Wall Street" action, which joined a protest called
 by the NYABC--New Yorkers Against Budget Cuts, which earlier had
 a 3-week Bloombergville. Diane Sare and LPAC attended the Aug. 2
 action. (Check websites for details and mutations).


 Sept 12-14
 NFU Fall 2011 National Fly-In:
         This will be the last major fly-in before the 2012 Farm Bill
 begins to be written; will focus on NFU priorities for the
 omnibus agricultural legislation.

 **Sept 21-24 Congressional Black Caucus Conference. DC.

 OCT 3-5
         Take Back America's Future Conference.

 Oct 6
         Veterans for Peace, along with a slew of other
 "progressive"/CP/left/greenie organizations are calling for an
 occupation of Freedom Plaza in DC to begin on October 6th, 2011,
 ten years after the United States invaded Afghanistan and the day
 the 2012 federal budget goes into effect with its brutal
 austerity measures. They write of "a deliberate, prolonged,
 nonviolent protest" like Tahir Square, etc. Info at


 World Dairy Expo Oct 4-Oct 8th, Madison, WI

 |                                                               |
 |               NORTH AMERICAN OPERATIONS BULLETIN              |
 |                                                               |
 |                    Saturday,  September 17, 2011              |
 |                                                               |

                   SEPTEMBER 17 LAROUCHE SHOW

                     9/11 -- 10 YEARS LATER

 Guests: Leandra Bernstein (LPACTV); Jeffrey Steinberg (EIR,
 Host: Marcia Merry Baker

         3-4 pm ET
         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

 Washington State Organizing Report: Tacoma School District
 Teachers on Strike.

         After the beginning of the school year last week, and some
 preliminary debates on budgets, wages, and positions, the Tacoma
 School Districts teachers all went on strike Tuesday morning this
 week.  All the schools in the whole district were shut down on
 Thursday when we discovered it, and there were supposedly
 hundreds of teachers striking in front of schools around the
 whole city.
          We went down to the stadium where the whole union
 was to be meeting to decide where to go from there where we
 distributed around 400 leaflets on Glass-Steagall as the teachers
 were going in, with an enormous response on "We need the union to
 endorse this; the cuts won't stop until we destroy Wall St."
 Stewart spoke to a couple of the directors of the union, and is
 now in discussion with some of them on Glass-Steagall and
 potentially speaking with the President soon.
         The political director of the union, when told that both
 political parties are avoiding this issue, and that the current
 Obama administration leaving people to die, heaved a large sigh
 of relief, and agreed.  The same was true of another director of
 the union, to which he said "We don't do any political things
 like this on a national level" to which Stewart responded,
 "That's a problem!"  He replied, "I know."

 LOS ANGELES PHONE TEAM OPS REPORT, for Friday, Sept. 16, 2011

 This report treats organizing on stopping Geithner's attempted
 bail-out, Helga Zepp-LaRouche's ongoing trip to the US, our 9-11
 video, Lyn's new Russia/China initiative, and the fight for
 NAWAPA and nuclear energy.


 One organizer has been routinely citing portions of Lyn's 9/15
 release on the Geithner bail-out operation, and asking the
 contact, Are you willing to sacrifice YOUR family for the
 bail-out? The universal answer was, No! (or, perhaps more
 accurately, Hell, no!). One lady volunteered (in reference to
 Geithner's op), That's treason, that's insane!. There were
 several such responses.

 And a long-term close political supporter in the San Jose (CA)
 area, who is also a veterans activist, intervened (in league with
 one of our San Francisco field squads) into a ceremony to mark
 the opening of a new wing of the local VA hospital. The
 phone-team organizer had telephoned our supporter to get him to
 tomorrow's LPAC town meeting in San Jose, and was told by the
 supporter about the coming VA event this morning. The organizer
 brought the contact up-to-date on the Stop the bailout
 mobilization, and the contact printed out multiple copies of
 Lyn's statement from yesterday (No More Bailouts!), and headed
 out to the event. Our Bay Area organizers were also able to send
 several organizers. Our contact was able to get Lyn's new flyer
 personally into the hands of US Rep. Mike Honda, who was seen
 reading the flyer after a brief discussion with the contact. He
 also was able to give a substantial briefing to the chief aide to
 US Rep. Anna Eshoo, and got her the literature, too. Our field
 squad was able to get out literature to the crowd at the event.


 One contact, informed of Helga's trip to the US and that she was
 conducting various meetings, volunteered that he thought her trip
 would have a big impact. She is, after all, a formidable (moral)
 figure..., he said. He also said, Meeting with her is just what
 these people need.


 In response to viewing our 10 Years Later '9-11' video:

 One Washington state contact said, I actually had no idea that
 LaRouche had forecasted the terrorism months beforehand....

 Another close contact, who attends meetings at the LA office and
 is quite active, said, This [the video] is what everybody
 needs.... This is the shit everyone suspected.

 Another supporter volunteered that, This video makes clearThe
 British and Saudi role is incontrovertible....

 And another long-term close ally, a WWII-generation lady,
 volunteered (in reference to our putting out the video), Mr.
 LaRouche is one very brave man!


 A Washington state contact in his 70's, an airplane mechanic, is
 very excited about our approach to Russia and China. There are
 plenty other such responses.

 Another Pacific Northwest LaRouche supporter, who runs a company
 which produces equipment for construction operations, is on our
 website a lot, and likes Sky S very much (Weekly Report, etc.).
 This contact also organizes his brother in Colorado, who is
 involved with an energy park there of some type (which includes
 nuclear). This brother, in turn, has a friend in the nuclear
 industry (for 40 years), who has done work in China, desalination
 plants in the Mid-East, etc. These fellows are discussing our
 material among themselves, including, e.g., debating what kind of
 nuclear power stations should be used for the Sawtooth Lifts.
 This crew is being followed up by our Basement Science/NAWAPA
 team. But it turns out that the third contact of the above (the
 nuclear engineer) had not been reached for the past year or so by
 the Basement, until now. Now we've reached him in a different

 Another Pacific Northwest LaRouche supporter, a former industrial
 engineer, said that he got out of engineering because of the
 insanity of environmentalist regulations in the field; he now
 designs equipment for dairy barns. He is very pro-nuclear,
 especially the thorium reactor. He just gave his second
 contribution ($250 after a one-minute briefing), but said he has
 been following Lyn for years.


 Here is a report on an older LaRouche couple, long-term allies
 from the Central Valley area of California. This couple has been
 organizing up a storm in their networks since they first met us.
 One day this past week, they received a phone call from a
 physician of their acquaintance, who has been receiving our
 material (especially on Glass-Steagall) for a long time. He
 insisted that this couple had to come to a local Tea Party
 meeting, with their organizing materials. So, they went, and
 began organizing around LaRouche and Glass-Steagall. One fellow
 at the meeting, a self-described Constitutionalist, said that he
 had sent his materials to LaRouche in the past, but had gotten no
 response; our couple told him that, the LaRouche people are very
 busy..., and offered to get his stuff to us later. Our couple
 was received with much interest at the meeting. And the doctor
 who invited them to the meeting said, You know, this stuff on
 Glass-Steagall is very interesting! The husband replied, We've
 been sending it to you for months!

 A new supporter, a lady from San Diego County, had been
 out-of-touch for days due to the power outage in the San Diego
 area. When finally reached by telephone, she said, OK, I'm ready
 to talk. What's happening now? The organizer gave her a political
 briefing, and told the contact she should pack her bags, and join
 up for the duration. The contact said, That's pretty much what
 I've been thinking, too. . She gave $250 LPAC, and will be
 linking up with one of our field squads in her area soon.


 French-Belgian-Netherlands Ops, Sept. 15, 2011


         Karel Vereycken and Guillaume Dubost of Agora Erasmus spent
 some days in the Netherlands to expand LaRouche operations there.
 Of the five Dutch contacts who attended the Schiller Institute
 Rüsselsheim conference, three now want to become more active.
         Initially, Agora Erasmus, which now has obtained legal
 status in Belgium, and will open its new website in the coming
 weeks, proposed to the Dutch supporters to collaborate for the
 Dutch language webpages on the new Agora Erasmus website. The
 Dutch, however, want to do much more.
         After a working supper on Sept. 13, Karel took them the next
 day through some of the most fascinating moments in the history
 of European humanism: the creation by Geert Groote and Johan Cele
 of the teaching order of the Sisters and Brothers of the Common
 Life, which trained many humanists, including Nicolas of Cusa and
 Erasmus of Rotterdam.
         The group then went to visit some of the remnants of the
 houses of the Common Life, the Gregoriushuis and the house of
 Johan Cele in Zwolle, and also to Windesheim where one building,
 formerly the brewery, is still standing. We also went to the
 cemetery where Thomas a Kempis, one of the key figures of the
 Devotio Moderna, is buried.
         In the afternoon, Guillaume Dubost took the audience through
 the history of the galaxy, clearly demonstrating its creative
 nature. This anti-entropic character of the universe is reflected
 in the U.S. Constitution, which in turn defines the Glass-
 Steagall principles. We urgently have to go back to
 Glass-Steagall to finally defeat the Second Law of Thermodynamics
 and its agents such as Obama, Merkel, and Sarkozy. Two of the
 contacts gave presentations, one on the evil of monetarism and
 the other on why we have to fight Darwin.
         The next day, the group continued brainstorming by visiting
 the Comenius house in Naarden. The Czech humanist Comenius, whose
 best contribution was the creation of a polytechnical schooling
 method, ended his life as a friend and neighbor of Rembrandt in
 Amsterdam. Earlier, he had been asked by John Winthrop, Jr. to
 head Harvard University at its founding, an offer Comenius
 declined in order to lead his people.
         The vast discussions on politics, organizing, history, and
 science, gave birth to a promising collaboration between the
 Dutch study group and Agora Erasmus. In the short order, a Dutch
 language Glass-Steagall leaflet will be produced, put on our
 website, and distributed in the Netherlands. [kav]

                     *** END OF BRIEFING ***
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