On Sept 15, 2008 the world economy came close to total collapse as $550 Billion was withdrawn within

two hours

Rep. Paul Kanjorski of Pennsylvania explains how the Federal Reserve told Congress members about a "tremendous draw-down of money market accounts in the United States, to the tune of $550 billion dollars." According to Kanjorski, this electronic transfer occured over the period of an hour or two.

Starts at around 2:10 mark



Quote from video:

On Thursday Sept 15, 2008 at roughly 11 AM The Federal Reserve noticed a tremendous draw down of money market accounts in the USA to the tune of $550 Billion dollars in a matter of an hour or two. Money was being removed electronically. The treasury tried to help with $105 Billion. But could not stem the tide. It was an electronic run on the banks. The treasury intervened but had they not closed down the accounts they estimated that by 2 PM that afternoon (Within 3 hours) $5.5 Trillion would have been withdrawn from the US money market and would have collapsed the U.S. economy and within 24 hours the world economy. It would have been the end of our political and economic system as we know it.

This truly was a run on the bank by the money makers and a very close call.

Was this done deliberately by the money makers or simply a panic reaction?

Who or what is to prevent this happening again?

MoonMine

[edit on 9-2-2009 by MoonMine]

I'm just gonna go ahead and say that I don't believe what he just said.

And I'll pretend that he is right... 5.5 trillion dollars?

If that's the collapse we were faced with, then it will much smaller than the collapse we are creating for the future.

we could of recovered from that kind of loss... It would of been painful, but we've decided to postpone that pain with more spending... and eventually the collapse will make 5.5 trillion dollars look small in comparison.

There are some interesting questions about this story

1) The fuses worked, the run was stopped. It took more than just effectively closing the "bank" for a period.
Apparently the run took place, there was a flight to Treasuries.
How close did we really come to collapse at this point?

2) Why did it take this long for the story to come out? Of all the discussion during the crisis, I don't remember it being mentioned at all.
What else are they not telling us about this?

3) The crisis was averted comparatively easily that time.
Confidence in the US Treasury and the Fed stopped the run on
the bank. What's to stop a run on the Treasury?

This reminds me of the "money trail" of 9/11 that just kind of "dissapeared" when inspected by financial "experts".

Something is suspect here - this is a clue - certainly part of the conspiracy.

Reminds me of the whole BCCI Bank criminality...

Makes me wonder - was this "run" natural or engineered to create a crisis?

Good find - let's add this testimony to the preponderance of evidence.

There are several things that scary me about this:

One is the suspicion that the Sept 15 crash could have been engineered, and that the electronic run on the bank was part of the engineering effort.

Second is the fact that I never saw anything about this on any of the financial channels and forums I most frequently watch.

For both points I smell a rat.

The J.P. Morgan manipulation of the 20s comes to mind, where he floated a rumour around about certain banks "not being solvent enough to cover their accounts" which in turn caused a massve run on the bank with the depression as a result.

This same ploy is so much easier to accomplish now a days with use of the MSM and because large brokers have instant access to their accounts.

Rep. Kanjorski is a slime ball, this guy has been leading my district for along time and this is honestly the first time I ever heard anything from him, let a lone a few ads and maybe a statement. This guy is a horrible Rep of PA and he should of been voted out of office 2 terms ago. Hazelton Mayor Lou Barletta should of took his place and there we would of had a true leader in Congress

Dont listen to his man, hes a lier!

Originally posted by KonigKaos
Rep. Kanjorski is a slime ball, this guy has been leading my district for along time and this is honestly the first time I ever heard anything from him, let a lone a few ads and maybe a statement. This guy is a horrible Rep of PA and he should of been voted out of office 2 terms ago. Hazelton Mayor Lou Barletta should of took his place and there we would of had a true leader in Congress

Dont listen to his man, hes a lier!

Are you saying the Fed did not speak to Congress about this incident?

Probably easy enough to prove by lifting the congressional records...

FYI...there is at least one other Thread covering this with a little more Info if anyones interested...

www.abovetopsecret.com...

Not trying to start any "Thread War" just a FYI...

Have a Great Day...might not be many more left...

[edit on 2/10/2009 by Hx3_1963]

Originally posted by Hx3_1963
Not trying to start any "Thread War" just a FYI...

No worries. The information is what counts.

Post it anywhere you like... I certainly do not mind.

MoonMine

BEN BERNANKE Tuesday, February 10 WASHINGTON - Federal Reserve Chairman Ben Bernanke testifies before the House Financial Services Committee hearing, "An Examination of the Extraordinary Efforts by the Federal Reserve Bank to Provide Liquidity in the Current Financial Crisis," 1300 EST/1800 GMT.

www.cnbc.com...

Related, this could be a bomb-shell...

Tracking this as a separate event here:

www.abovetopsecret.com...



[edit on 10-2-2009 by MoonMine]

A withdrawal of $550 billion screams that there is a major player or players behind the economic crisis.

$550 billion doesn't just disappear. If that much is withdrawn in such a short time, it indicates that this has been done by a small amount of people with access to massive amounts of money.

The fact that no audit has been made as to WHO has withdrawn the money means that these players are protected.

Why would anyone want to withdraw that much anyways, its not like they can go around with $550 billion in cash and buy stuff? They withdrew jus to screw everyone.

The withdrawal of that much money might be within the law but it is still an obvious and deliberate attack on the economy.

Well, the reason that happened wasn't one person people. That day money market funds 'broke the buck'. Basically what that means is that for every dollar put in, many money market funds were worth less. This happened because money market funds are made up of short term debt, mostly corporate for most money market funds, and this is when Lehman's debt became worthless. Money managers and investors then became worried that more debt could go the way of Lehman's, so this caused the run on money markets.

This run on money markets was wide spread, to move cash assets to the safest haven possible. This is also what caused the FDIC to start offering FDIC insured money markets, and raise the insured level to $250,000.

No conspiracy here people. Simply money management. You would have removed you money market funds if you were a money manager that day as well.

[edit on 10-2-2009 by johnny2127]