QUOTES OF THE DAY

U.S. Congressional Record, Thursday, June 15, 1933 (legislative day of Wednesday, June 14) Hon. Louis T. McFadden of Pennsylvania: “Financial Interests Should Not Dictate Foreign Policy of United States Government.”

Mr. McFadden. “Mr. Speaker, I doubt if the history of the relations between this country and Russia is known to every American citizen. It may not be considered amiss, therefore, if I dwell for a few moments on our past relations with that strange and interesting country. To do so it will be necessary for me to go back to the late eighties and the early nineties of the last century, when the United States was turning the corner and becoming rich and powerful. At that time a man named Jacob Schiff came to this country as the agent of certain foreign money lenders. His mission was to get control of American railroads. This man was a Jew. He was the son of a rabbi. He was born in one of the Rothschilds’ houses in Frankfort, Germany. He was a small fellow with a pleasant face and, if I remember correctly , his eyes were blue. At an early age he set out from Frankfort to seek his fortune and went to Hamburg, Germany. At Hamburg he entered the Warburg banking establishment. The Warburgs of Hamburg are bankers of long standing, with branches in Amsterdam and Sweden. After Schiff had served his time with them he went to London and worked with their London correspondents. He was also connected with the firm of Samuel Montagu & Co., the London gold merchants. When he came to this country he was well equipped to do business as an international money changer. He knew how to be polite, he could write a smooth letter, and he always pretended to be a man of holiness and a philanthropist.

Sometime before Schiff’s arrival there was a firm of Jewish peddlers or merchants in Lafayette, Ind., by the name of Kuhn & Loeb. I think they were there about 1850. Probably they made money out of the new settlers who passed through Indiana on their way to the Northwest. This firm of Jews had finally moved to New York and had set themselves up as private bankers and had grown rich. Jacob Schiff married Teresa Loeb and became the head of Kuhn, Loeb & Co. Schiff made a great deal of money here for himself and for the Jewish money lenders of London. He began to give orders to Presidents almost as a matter of course. He appears to have been a man who would stop at nothing to gain his own ends. I do not blame him for being a Jew. I blame him for being a trouble maker.

Russia had a powerful enemy in this man, Jacob Schiff. The people of the United States were taught to believe that this enmity of his was caused by wrongs done to Russian Jews. I look elsewhere for the motives which animated him.

In the 1890’s Schiff was the agent in this country of Ernest Cassell and other London money lenders. These money lenders were looking forward to a war between England and Russia and were making preparations for propaganda designed to support England in the United States. This country was then a debtor nation, paying a high yearly tribute to Schiff and his principals. Schiff accordingly took it upon himself to create a prejudice in the United States against Russia. He did this by presenting the supposed wrongs of the Russian Jews to the American public. Unpleasant tales began to appear in print. School children in this country were told that Jewish children were crippled for life by Russian soldiers wielding the knout. By unfair means a wedge was driven between Russia and the United States.

One of Schiff’s schemes was a sort of wholesale importation of Russian Jews into the United States. He drew up divers and sundry regulations for the temporary transplantation of these Jewish emigrants. He would not, he said, have them enter this country through the port of New York, because they might like New York too well to leave it for the outposts he had selected for them. He said it would be best to have them come in at New Orleans and to have them stay there 2 weeks, ‘so that they could pick up a few words of English and get a little money’ before setting off for what he called the ‘American hinterland.’ How they were to get the money he did not say.

Aided by Schiff and his associates, many Russian Jews came to this country about that time and were naturalized here. A number of these naturalized Jews then returned to Russia. Upon their return to that country, they immediately claimed exemption there from the regulations of domicile imposed on Jews; that is, they claimed the right to live on purely Russian soil because they were American citizens, or ‘Yankee’ Jews. Disorders occurred and were exploited in the American press.

Riots and bombings and assassinations, for which somebody furnished money, took place. The perpetrators of these outrages appear to have been shielded by powerful financial interests. While this was going on in Russia, a shameless campaign of lying was conducted here, and large sums of money were spent to make the general American public believe that the Jews in Russia were a simple and guileless folk ground down by the Russians and needing the protection of the great benefactor of all the world – Uncle Sam. In other words, we were deceived. We were so deceived that we allowed them to come in here and take the bread out of the mouths of our own American citizens.

I come now to the time when war was declared between Russia and Japan. This was brought about by a skillful use of Japan, so that England would not have to fight Russia in India. It was cheaper and more convenient for England to have Japan fight Russia than to do it herself. As was to be expected, Schiff and his London associates financed Japan. They drew immense quantities of money out of the United States for that purpose. The background for the loans they floated in this country had been skillfully prepared.

The ‘sob stuff,’ of which Schiff was a master, had sunk into the hearts of sympathetic Americans. The loans were a great success. Millions of American dollars were sent to Japan by Schiff and his London associates. England’s stranglehold on India was made secure. Russia was prevented from entering the Khyber Pass and falling on India from the northwest. Japan at the same time was built up and became a great world power, and as such is now facing us in the Pacific. All this was accomplished by control of the organs of American publicity, releases to the effect that Russian Jews and ‘Yankee’ Jews were being persecuted in Russia, and by the selling of Japanese war bonds to American citizens.

While the Russian-Japanese War was in progress President Theodore Roosevelt offered to act as peacemaker, and a conference between representatives of the belligerents was arranged to take place at Portsmouth, N.H.

While the Portsmouth Conference took place, Jacob Schiff attended it and used such influence as he had with Theodore Roosevelt to win favors for Japan at the expense of Russia. His main object, then as always, was humiliation of Russians, whose only crime was that they were Russians and not Jews. He endeavored to humiliate the Russians, but Count Witte, the Russian plenipotentiary, did not allow him to succeed in this attempt. Schiff’s power and the power of his organized propaganda were well understood by Count Witte, however. Consequently he was not surprised when President Roosevelt, who was often deceived, twice asked him to have Russia treat Russian Jews who had become naturalized in the United States and who had thereafter returned to live in Russia with special consideration; that is, not as Jews but as Americans. Witte carried home a letter from Roosevelt embodying this plea.

Mr. Speaker, the restrictions upon Jews in Russia at that time may or may not have been onerous. But onerous or not, before the Russians had time to change them, Schiff had the 80-year-old treaty of friendship and good will between Russia and the United States denounced. Speaking of this matter County Witte says in his autobiography: ‘The Russians lost the friendship of the American people.’

Mr. Speaker, I cannot believe that those people; the real Russians, ever lost the true friendship of the American people. They were done away with to suit the ambitions of those who intend to be the financial masters of the world, and some of us were deceived into thinking that in some mysterious way they themselves were to blame. The chasm that suddenly opened between ourselves and our old friends and well-wishers in Russia was a chasm created by Schiff the vindictive in his inhuman greed, and he created it in the name of the Jewish religion.

Mr. Speaker, it was a mistake for the United States to permit the integrity of its foreign policy to be jeopardized or affected adversely by such religious, racial, and financial meddling as that practiced upon us by Schiff and his London associates. The United States should manage its foreign affairs with more distinction than that which is implied in the picture of Jacob Schiff shaking his fist at the White House and muttering threats against William Howard Taft, then President of the United States, a man who was excessively distinguished in his chosen field and who represented the integrity and the patriotic Americanism of every generation of New Englanders from the first of Massachusetts Bay Colony to his own, and represented them well.

Mr. Speaker, the people of the United States should not permit financial interests or any other special interests to dictate the foreign policy of the United States Government. But in this connection history is now repeating itself. You have heard, no doubt, of the so-called persecution of Jews in Germany.

Mr. Speaker, there is no real persecution of Jews in Germany. Hitler and the Warburgs, the Mendelsohns and the Rothschilds, appear to be on the best of terms. There is no real persecution of the Jews in Germany, but there has been a pretended persecution of them because there are 200,000 unwanted Communistic Jews in Germany, largely Galician Jews who entered Germany after the World War, and Germany is very anxious to get rid of those particular Communistic Jews. The Germans wish to preserve the purity of their own blond racial stock. They are willing to keep rich Jews like Max Warburg and Franz Mendelsohn whose families have lived in Germany so long that they have acquired some German national characteristics. But the Germans are not willing to keep the Galician Jews, the upstarts. So a great show is put on, largely by German Jews themselves, in the hope that Uncle Sam will prove himself to be as foolish as he was before and that we will allow those Galician and Communistic Jews to come in here. That is why Miss Perkins has been placed in charge of the Department of Labor. She is there to lower the immigration bars. It is thought that, being a woman, she may disarm criticism. She is an old hand with the international Jewish bankers. If she were not, she would not be here in a Jewish-controlled administration.

When the so-called ‘anti-Semitic campaign’ designed for American consumption was launched in Germany, France was alarmed because she feared the Galician Jews might be dumped on French soil. French newspapers published articles concerning the menace, but now that France has been shown that the purpose of the anti-Semitic campaign is to dump the 200,000 communistic Jews on the United States she is worried no longer. ‘Ah,’ she says, ‘I’Oncle Sam, he is to be the goat. Very good.’

Mr. Speaker, I regard it as a pity that there are Americans who love to fawn upon the money Jews and to flatter them. Some of these unfortunates are under obligations to Jewish money changers and dare not cross them. On June 6, 1933, there was a meeting in the city of Washington at which the following resolution was adopted: ‘America has been greatly enriched through generations past by men and women of high quality who have come to our shores as a result of persecution in their own lands. Our country is known throughout the world as the haven of those who suffer from wrong and injustices, and who seek an opportunity for freedom not afforded in their own land. The present is another critical time, and there are many victims of religious and racial persecution in Germany who, because of superior attainments and qualities of fine citizenship, would make valuable additions to our Commonwealth. We, therefore, ask the Government temporarily to relax the immigration barriers in favor of such persons and urge the passage of such measures as will effect this result.’

Mr. Speaker, the time for such tactics has gone by. We would be very foolish to allow Germany to dump her unwanted Jewish population on the United States. If the money Jews are as noble as they advertise themselves to be, let them advocate the payment of the veterans’ adjusted-compensation certificates. Let them ease the burdens of the consumptive Jewish boys who are hauling heavy carts of fur and other material around the garment center of New York. Let them see that the long-suffering Jewish school teachers receive the salaries which are due to them but which are now in arrears. That would be better than to bring 200,000 Jewish Communists in here for political purposes.

Mr. Speaker, Jacob Schiff flourished like the green bay tree during the World War, but there are passages in his life which show his hysterical despair when the Allies sent their representatives here to obtain a loan. He endeavored to have Lord Reading, formerly Rufus Isaacs, prevent any part of it from going to Russia, although at the time Russia had a very large army of soldiers in the marshes, including thousands of Jewish soldiers, fighting the battle of the Allies on short rations and with insufficient supplies. He was willing to join in the loan, but he wished to have Russia and Russian Jews excluded from the benefits of it. Upon that occasion he was torn between a desire for profit and his professional hatred of Russia, and he cried out to his fellow directors in Kuhn, Loeb & Co. that he ought not to be placed in such a position. And then I believe he said they could do as they liked about it.

In the end it was one of the European Warburgs, a relative of Schiff’s, who went to Brest-Litovsk to negotiate the separate peace – a peace which was deeply resented by a large number of loyal Russian Jews – a peace which was followed shortly afterward by the Third Internationale, one of the purposes of which is the destruction of constitutional government in the United States and the establishment here of the same form of government as that which now prevails in Russia. The rights of the sovereign States in the United States are being steadily undermined for that sinister purpose.

How far down into the bottomless pit of communism the United States has been dragged by the Roosevelt administration under the smoke screen of an emergency is shown by a comparison of the program of the Third Internationale and the Roosevelt communistic measures forced into law here during this special session of Congress under threats to deprive Democratic Congressmen of patronage and influence, or, as the President is said to have expressed it to a London correspondent, a determination on his part to keep every Republican officeholder in office until he got what he wanted from the Democratic Congress. Among the tasks set before the communistic party in the United States, as shown in Russia/U.S.S.R.; A Complete Handbook, edited by the scholar, P. Malevsky-Malevitch, and published by Payson in New York this year, I find the following: ‘Transfer to the State of all gold reserves, valuables securities, deposits, etc., the centralization of all banking operations and the subordination of all the nationalized banks to a central State bank, etc.’

You have witnessed the unlawful seizure by Franklin D. Roosevelt of gold reserves and other values belonging to the people of the United States, the destruction of banks, the attempted whitewashing of the Federal Reserve Board and Federal Reserve banks, the corruption of which he admitted in his campaign harangues; and you may have noticed that what was confiscated is not in the hands of the present constitutional Government but in the hands of the international bankers who are the nucleus of the new government Roosevelt is seeking to establish here. Roosevelt’s actions are not in accordance with the Constitution of the United States. They are in accordance with the plans of the Third Internationale.

At one time Trotzky was a favorite with Jacob Schiff. During the war Trotzky edited NOVY MIR and conducted mass meetings in New York. When he left the United States to return to Russia he is said upon good authority to have traveled on Schiff’s money and under Schiff’s protection. He was captured by the British at Halifax and immediately, on advice from a highly placed personage, set free. Shortly after his arrival in Russia he was informed that he had a credit in Sweden at the Swedish branch of the bank owned by Max Warburg, of Hamburg. This credit helped to finance the seizure of the Russian revolution by the international Jewish bankers. It assisted them in subverting it to their own ends. At the present time the Soviet Union is in debt.

From the date of Trotzky’s return to Russia the course of Russian history has, indeed, been greatly affected by the operations of international bankers. They have acted through German and English institutions and have kept Russia in bondage to Germany and both Germany and Russia in bondage to themselves. Their relatives in Germany have drawn immense sums of money from the United States and have in turn financed their agents in Russia at a handsome profit.

The Soviet Government has been given United States Treasury funds by the Federal Reserve Board and the Federal Reserve banks acting through the Chase Bank and the Guaranty Trust Co. and other banks in New York City. England, no less than Germany, has drawn money from us through the Federal Reserve banks and has re-lent it at high rates of interest to the Soviet Government or has used it to finance her sales to Soviet Russia and her engineering works within the Russian boundaries. The Dnieperstroy Dam was built with funds unlawfully taken from the United States Treasury by the corrupt and dishonest Federal Reserve Board and the Federal Reserve banks.

Mr. Speaker, our workingmen have been told that Russia is the best country in the world to-day for a workingman to live in. They have been made to regret that they cannot go to Russia to work on one of the great enterprises being carried on by the Soviet Government from which American workingmen are excluded.

Mr. Speaker, in my opinion the Russians have a right to set up any form of government that pleases them and suits their needs. But for some reason, whether due to some defect in the Soviet form of government or to some other cause, Russia has not been able to maintain its present form of government otherwise than at the expense of countries in which there is greater freedom from individuals and in which the property rights of citizens have been respected and preserved.

Open up the books of Amtorg, the trading organization of the Soviet Government in New York, and of Gostorg, the general office of the Soviet trade organization, and of the State Bank of the Union of Socialistic Soviet Republics, and you will be staggered to see how much American money has been taken from the United States Treasury for the benefit of Russia.

Find out what business has been transacted for the State bank of Soviet Russia by its correspondent, the Chase Bank of New York; by Lloyd’s Bank of London; by Kleinwort Sons & Co. of London, whose correspondents are the principal New York banks; by Glyn Mills & Co. of London and their American agents – that is, the International Acceptance Banks of New York, the Guaranty Trust of New York, the Central Hanover Bank of New York, the Chemical Bank & Trust Co., H. Clews & Co., Kidder Peabody & Co., Winslow Lanier & Co., and Lee, Higginson & Co., the promoters of Swedish Match. Find out how much United States money has passed through the Bank for Russian Trade of London and through the Midland Bank, Ltd.

If the extent of these transactions were known to the American workingman and if he could see that the raw material, the United States dollars, in those transactions came out of his own pocket and the pockets of his fellow citizens, he would understand that Russia is not a good place for a workingman unless other workingmen in other countries are forced to pay tribute to its needs. Russia owes the United States a large sum of money.

If we had what Russia owes us today, the veterans of the United States would not need to fear the first of July 1933 when they are to be despoiled of their pension rights and privileges. Mr. Speaker, I am unalterably opposed to a reduction in the pensions that were lawfully conferred upon the United States veterans of all wars, their widows and dependents.

I am in favor of the immediate payment of the veterans’ adjusted-compensation certificates. If the United States can carry Germany and Soviet Russia and John Bull on its back, it can pay its veterans. If it can lend $50,000,000 to sovietized China and furnish material for the manufacture of high explosives, it can pay its veterans.

Mr. Speaker, an immense amount of United States money has been used abroad in preparations for war and in the acquisition and the manufacture of war supplies. Germany is said to be part owner of a large poison gas factory at Trotsk on Russian soil.

China is almost completely sovietized and in the Asiatic interior huge stocks of munitions are said to be stored awaiting the day when the war lords of the United States will ship United States troops to Asia. Mr. Speaker, the United States should look before it leaps into another war, especially a war in Asia. It should decide whether it is worth while to join hands with Russia and China in a war against Japan.

For myself, I say and I have said it often that the United States should remember George Washington’s advice. It should mind its own business and stay at home. It should not permit the Jewish international bankers to drive it into another war so that they and their Gentile fronts and sycophants by way of Louis McHenry Howe, the graft master, may reap rich profits on everything an army needs from toilet kits to airplanes, submarines, tanks, gas masks, poison gas, ammunition, bayonets, guns, and other paraphernalia and instruments of destruction.”(1)

“Ill fares the land, to hastening ills a prey,

Where wealth accumulates, and men decay.” – Oliver Goldsmith