Bank of Canada case ignored by media

A little off topic here. Yes we realize this is not connected to raw milk or food rights. Still we feel it’s important Canadians hear this news that’s not getting out there through the filters and the blinders of our mainstream media.

From Murray Dobbin, in CounterPunch:

You know the old aphorism – “If a tree falls in the forest….?” Well, how about this one:  if citizens win a significant victory in court against an autocratic government involving the fleecing of Canadians of billions of their hard-earned tax dollars and no one in the media actually covers it, did it really happen?

That might well be the question being asked over at the Committee for Monetary and Economic Reform (COMER) a very small and low-budget think tank. With their lawyer Rocco Galati (of Supreme Court fame in the Nadon case) they have been steadily winning court battles initiated in 2011 that would oblige the Bank of Canada to return to its pre-1974 practice of lending the government money virtually (.37%) interest free. But the mainstream media, with a single exception, has boycotted the story. Galati believes the Harper government has done some serious arm-twisting to keep the story buried.

The good folks at COMER have for years – decades, actually – been trying to get people to pay attention to what is far and away the biggest, most outrageous fraud ever perpetrated on the Canadian people. I am speaking here of the fact that instead of the Canadian government borrowing money from its own bank, our bank – the Bank of Canada (BoC) – it has, since 1974 chosen instead to borrow from private international and domestic financial institutions providing them with enormous, absolutely risk free profits for almost four decades.

The result, according to economist Ellen Brown: “By 2012, the government had paid C$1 trillion in interest—twice its national debt. Interest on the debt is now the government’s single largest budget expenditure—larger than health care, senior entitlements or national defense.” In the early 1990s, at the height of the media’s deficit hysteria and rhetorical nonsense about hitting a “debt wall,” 91% of the $423 billion debt was due to interest charges. Our real debt – revenue minus expenditures – was just $37 billion.

COMER has been trying to draw attention to this outrageous situation for so long, and have been ignored for so long, that their campaign is often portrayed as an eccentric sidebar, complete with conspiracy theories, to what is happening in the real world. But if you think having squandered a trillion dollars that could have been spent on the public good is a side issue, feel free. And if you think conspiracy theories are unappealing then you’ll have to come up a compelling argument for a coincidence theory that explains why a nation would deliberately impoverish itself in the interests of international finance capital.

The Bank of Canada was established as a private bank in 1935 under private ownership but in 1938, recognizing that money should be created in the public interest, the government amended the Bank Act and turned the Bank into a public institution. The Bank was almost immediately harnessed to finance not only Canada’s war effort (we ranked fourth in production of allied war materiel) but a long list of infrastructure projects including the Trans-Canada highway, the St Lawrence Seaway, and over the decades, hospitals and universities across the country. It was mandated to lend not only to the federal government but to provinces and municipalities as well with a limit of one-third of federal budget and one-quarter of a province’s….”

More on CounterPunch.org

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