Deep State Tactics 101 Part I with Catherine Austin Fitts

May 18, 2019

Deep State Tactics 101 series:

For Part II.
For Part III.
For Part IV.
For Part V.

There was a king reigned in the East:
There, when kings will sit to feast,
They get their fill before they think
With poisoned meat and poisoned drink.
He gathered all that springs to birth
From the many-venomed earth;
First a little, thence to more,
He sampled all her killing store;
And easy, smiling, seasoned sound,
Sate the king when healths went round.
They put arsenic in his meat
And stared aghast to watch him eat;
They poured strychnine in his cup
And shook to see him drink it up:
They shook, they stared as white’s their shirt:
Them it was their poison hurt.
–I tell the tale that I heard told.
Mithridates, he died old.
~ A.E. Housman, A Shropshire Lad

By Catherine Austin Fitts

The U.S. government’s response to Dr. Skidmore’s report on $21 trillion of undocumentable adjustments at DOD and HUD was significant. FASAB 56 was designed and implemented in October 2018 to ensure that the federal government is now free to use secret books and fund secret armies. As described in Caveat Emptor: Why Investors Need to Do Due Diligence on U.S. Treasury and Related Securities, a major portion of the U.S. securities market has now gone dark.

In the meantime, monies missing to date have been protected by a major media effort designed to persuade citizens and global investors that DOD’s inability to produce audited financial statements or to comply with financial management laws and regulations are mere accounting snafus. Based on the personal assurances of insiders, there being no need for facts or evidence, we have been assured that these accounting glitches are non-cash items—that is, there are no missing monies to be looked for as government liabilities become due and payable.

Equity investors can rest assured that the source of infinite amounts of corporate subsidy and gifts financed by the U.S. Treasury and mortgage fixed-income markets is protected so long as the central banks can print money.

In 1989, as Assistant Secretary at HUD, I assumed responsibility for the primary mortgage insurance funds of the U.S. government. I heard a series of reasons why we could not produce reliable financial statements. They sounded logical to me. Consequently, I instituted a significant package of legislative, regulatory, and administrative reforms to address all of them. In 1990, I was fired to stop their implementation. My company, Hamilton Securities, was hired in 1993 by a new administration to help clean up the resulting mess. We were quite good at our job. Consequently, Hamilton was fired and targeted by the HUD Inspector General and DOJ, once again to prevent successful implementation of the reforms.

Every year since then, I have heard the same explanations for the financial failures at HUD. I recently picked up a HUD financial statement and laughed so hard I started to cry. Sure enough, it presented the same excuses and used the same playbook. Thirty years of the same story, again and again and again. Every year, a new reporter asks me to refute the same phony cover stories—the process depending on high turnover of reporters. It’s a constant media memory wipe. As official reality moves ever further from reality, protected by a wall of secrecy and propaganda, I find myself living in the financial and accounting fraud version of Groundhog Day.

I decided to publish all of the material on the “missing money” story in a hard copy form in the 2018 Annual Wrap Up. Given the speed at which essential information is disappearing from the Internet, I want to make sure this information is alive and well—particularly as we enter a period in which pension fund and other obligations to the general public are likely to be renegotiated or abrogated. (For essential background on pension funds, see our 2017 Annual Wrap Up, “The State of Our Pension Funds.”)

FASAB 56 and the modified limited hangouts being promoted are designed to protect the trillions in monies and assets that disappeared through the government accounts and the bailouts from the legal rights of the remaining liabilities of the U.S. government.

To help our subscribers understand why I am so confident that the excuses used to justify and cover up the missing money are bogus, I included a personal history of dealing with missing money and financial fraud in the U.S. federal government:


C. Austin Fitts, Assistant Housing Secretary, conferring with assistants during a break in her testimony before a Senate subcommittee, 1989. (The New York Times/Andrea Mohin)

Missing Money: A Personal History: 1989-2019

In my outline, the last section was going to be a description of the tactics used to slow me down or kill me—both literally and figuratively—in the process. As I finished the 2018 Annual Wrap Up, I concluded that it would be much better to record and publish this material as a separate audio.

This series is my download about the tactics I have encountered personally or have observed at close hand. I have experienced a wide spectrum of covert operations, information and economic warfare, and dirty tricks with and from both governmental and private parties. Telling stories is a great way to communicate this experience; however, because stories expand the time necessary to convey the information, I will publish this material in several parts.

Here is my outline for the full series:

I. Introduction
II. Solari Report Resources
III. Control System Goals
IV. Tactics by Areas

    A. Faith, Hope, & Love
    B. Health
    C. Communication/Surveillance
    D. Mind Control
    E. Brand/Prestige
    F. Media (including Disinformation)
    G. Control Files
    H. Personnel Benefits
    I. Financial
    J. Legal
    K. Politics
    L. Culture & Consumerism
    M. Cybersecurity
    N. Covert Operations & Crime
    O. Targeting of Children
    P. The Beatdowns: Company, Neighborhood, Cohort

V. Hard Times
– My list of the personal worst
VI. Helpful Strategies
VII. Closing Thoughts

Movies are helpful in teaching control and covert tactics. This week on Let’s Go to the Movies, I revisit one of my favorites reviewed several times before on The Solari Report, Ridley Scott’s Gladiator.

Sir Ridley Scott and his brother Tony are two of the finest movie directors of their generation. Their movies often do a masterful job of teaching us how the deep state works and demonstrating an endless series of deep state tactics. Tony Scott was the director of Enemy of the State—one of the greats in this genre.

Subscribers can e-mail or post questions and story suggestions for Money & Markets for this week here.

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