...... ...................Larouche Online Almanac

Published: Tuesday, July 12, 2005

Volume 4, Issue Number 28

This Week You Need to Know:


It Happened in Berlin Last Week
by Lyndon H. LaRouche, Jr.

July 4, 2005

As I said in Berlin last week: Suddenly, very soon, the entirety of the present world monetary-financial system will collapse. It will come like a Summer thunderstorm, far more devastating than anything we have experienced during the recent two centuries. If I told you all that I know about this onrushing collapse, it would stagger your imagination. So, rather than telling you how bad the situation actually is, I shall do as I did in the closed door seminar held in Berlin last week. I shall tell you just enough about the origins and outcome of this presently onrushing crisis, that you might understand the way in which the presently onrushing collapse of the world economy can be overcome, hopefully in the nick of time.

As this collapse of the present world monetary-financial system hits, soon, the continuation of a civilized existence of all the nations of this planet, for generations to come, will depend upon the courage and wisdom which must be shown now by the government of our United States, in providing the needed initiative for halting the presently onrushing collapse, and conducting a general economic recovery throughout the planet.

So, this Fourth of July has presented itself as the appropriate occasion on which I should now summarize that needed set of decisions. If we have the wisdom and will to make that timely decision, future generations of humanity, world-wide, will praise us for what we have done. Therefore, I, personally, can assure you now, as I respond to what President Franklin Roosevelt did on an appropriate occasion, that we must be at peace with ourselves as we face this oncoming storm, knowing that we have nothing to fear as much as that fear itself. The solution for this crisis is clear to me; for me, the principal questions which remain unanswered are: whether the U.S. government will adopt that solution, and whether the leading nations of Eurasia will accept that remedy, if or when we introduce it....
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Latest From LaRouche

Memo on London Scenario:

by Lyndon H. LaRouche, Jr.

July 9, 2005
Certain features of the context of the London terror incidents of this past week are now clear. The following preliminary characterization of the matter to be investigated, which I have slugged as "The Dirt Bike Terror Incident," is now clear. Beyond that characterization much remains muddy, pending further investigation. Despite the unsettled points to be clarified by pending, newly obtained evidence, the characterization of the circumstantial strategic evidence already on hand is clear enough to define the nature of the required investigation to the following effect. I name that investigative hypothesis "The 'Dirt-Bike' Terror Incident."

Memo on The 25th Amendment:

by Lyndon H. LaRouche, Jr.

July 9, 2005
Does the 25th Amendment provide anything more than a procedure for impeachment? Does it cover the case in which either the President is insane and the Vice President is playing the role of an accomplice? Does it cover the situation in which the President's disability is an immediate threat to the continued existence of our constitutional form of republic?

Recent LaRouche Webcast Presentations*

"A New Bretton Woods: Time To Reverse George Shultz's Destruction of Exchange Controls"
April 7, 2005
*Paid for by LaRouchePAC
New: Proposed Rail Development Corridors in the Indiana-Ohio-Pennsylvania Industrial Belt
The Economy

World and Nation-State

This Week in History

Victory at Stony Point Forces a Change in British Plans

July 12 - 18, 1779

The Battle of Stony Point, the last major battle of the Revolutionary War fought in the Northern states, was not only a military victory, but a moral one. It was planned and executed in response to a vicious policy by the British Crown which consciously targetted American civilians in order to terrorize them into submission. The American response was purely military, but its sheer audacity and brilliance of execution forced General Sir Henry Clinton to reevaluate his strategy.

This battle's story begins in 1778, when the signing of America's treaty of alliance with France caused Britain to shift the theater of the Revolutionary War to the Southern states. The move was made in order to facilitate a rapid deployment of troops to and from the British islands in the Caribbean, where the French fleet also had bases.

Sir Henry Clinton, commanding the British forces in New York City, was ordered to send 5,000 of his troops to the British island of St. Lucia, and to dispatch another mixed force of British, Hessian, and Tory soldiers to capture Savannah, Ga. Taking stock of what he had left, Clinton matured his plans. The ill-fated British attempt to split the colonies in two had been defeated at Saratoga, but Clinton still dreamed of capturing West Point, which George Washington regarded as the key to the continent.

If Clinton could capture and hold West Point, a projected chain of British posts from there southward to New York City could effectively check the flow of men and supplies from New England to the Continental Army. New England was responsible for providing the core of the American army, as well as important food and materiel for the troops. At this point, an order arrived from King George III and his Minister, Lord George Germain, which ordered the British Army to plunder, burn buildings, and ill-treat civilians in order to awe them into submission.

Clinton saw in this order a way to lure George Washington out of the mountain fastnesses of the Hudson Highlands and engage the Continental Army in a head-on battle. First, he would put the British Army in a position to attack West Point. On May 30, 1779, Clinton personally led an expedition up the Hudson, capturing the two small American posts at Stony Point and Verplanck's Point, only a few miles below the entrance to the Hudson Highlands. Then, he set his men to work building heavy batteries to control both the river and the surrounding land. The British posts were backed up by ships of the British Navy which had sailed up the Hudson.

Now it was time for the second phase of Clinton's plan. Under his command was William Tryon, an experienced army officer who, when he had served as Royal Governor of North Carolina, had been dubbed "The Wolf" by his suffering subjects. Subsequently, Tryon had been appointed Royal Governor of New York, but he had sought safety on a British ship in New York Harbor when the Revolution began. Now he was itching for revenge, and had already vented his spleen against Greenwich, Conn. by leading a force of 1,500 British and Hessian soldiers which plundered the inhabitants of everything valuable.

Leading another such expedition out of New York on July 3, Tryon in the course of just over one week devastated the Connecticut coast. His attack force plundered New Haven on the 5th, burned East Haven on the 6th, destroyed Fairfield on the 8th, and plundered and burned Norwalk on the 12th. While Norwalk was in flames, Tryon consciously imitated the Roman Emperor Nero by sitting on a nearby hill in a rocking chair, rejoicing over the scene of devastation. He later boasted about his gracious clemency in allowing a few houses on the Connecticut coast to remain standing.

The Americans felt bound to answer such lawless behavior by the British Army, but General Washington did not react the way Clinton had hoped. Washington concentrated his forces at strategic positions in the Hudson Valley in case Clinton should try a direct attack on West Point, and moved his headquarters upriver to New Windsor. Then, he began to plan the recapture of Stony Point.


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LaRouche's Fourth of July Address
It Happened in Berlin Last Week
by Lyndon H. LaRouche, Jr.
July 4, 2005
As I said in Berlin last week: suddenly, very soon, the entirety of the present world monetary-financial system will collapse. It will come like a Summer thunderstorm, far more devastating than anything we have experienced during the recent two centuries. If I told you all that I know about this onrushing collapse, it would stagger your imagination. So, rather than telling you how bad the situation actually is, I shall do as I did in the closed door seminar held in Berlin last week. I shall tell you just enough about the origins and outcome of this presently onrushing crisis, that you might understand the way in which the presently onrushing collapse of the world economy can be overcome, hopefully in the nick of time.

Conyers Turns Up Heat In Ohio Funding Scandal
by Richard Freeman

In an escalation of the Ohio Bureau of Workers' Compensation funding scandal that could land at the doorstep of Karl Rove and Dick Cheney, U.S. Rep. John Conyers (D-Mich.) wrote a letter on July 5 to Gregory White, the U.S. Attorney of the Northern District of Ohio, asking for information about the timing and progress of the Federal government's handling of its case concerning rare coin dealer and top Republican Party fundraiser, TomNoe. Noe, who is viewed as Karl's man in Ohio, is the subject of multiple Federal-state probes.


The Plame Affair: Rove and Cheney Are Guilty As Charged
by Jeffrey Steinberg

Within the next days or weeks, it is anticipated that Independent Counsel Patrick Fitzgerald will ask a Federal grand jury to hand down indictments against one or more senior White House officials, for obstruction of justice, perjury, and, perhaps, violation of national security laws banning the public disclosure of the identities of American undercover agents. The two names that have surfaced most prominently in the two-year old probe are White House Deputy Chief of Staff Karl Rove and Vice Presidential Chief of Staff I. Lewis 'Scooter' Libby. The scandal unavoidably tars Vice President Dick Cheney and President George W. Bush.

Will Stolen Iraq Oil Funds and Deals For Cronies Force Cheney Impeachment?
by Michele Steinberg

OnJune 27, a scandal large enough to lead to the impeachment of Vice President Richard Cheney, emerged when it was revealed at a hearing called by the Senate Democratic Policy Committee, that the latest figures in questionable and unsupported charges to the Department of Defense by the Halliburton Corporation, had reached over $1.4 billion. There are already two criminal investigations by the Justice Department into Halliburton for fraudulent billings related to Iraq war contracts—each of them potentially as explosive as the case of the Valerie Plame CIA leak.

  • Documentation
    House Committee Reports Mismangement of Iraq Funds
    On June 21, 2005, the first official investigation of massive fraud, waste, and abuse in the U.S. handling of the 'Development Fund for Iraq,' took place in the House of Representatives under the auspices of the Government Reform Committee's Subcommittee on National Security. The report excerpted here, prepared by the Committee's Special Investigations Division Minority Staff, was released that day. It was requested by Rep. Henry A. Waxman (D-Calif.), who is the ranking member of the Committee. The report is titled 'Rebuilding Iraq: U.S. Mismanagement of Iraqi Funds.' Footnotes are not included. The full report can be found at www.democrats.reform.house.gov.

Berlin Seminar:

Germany Needs a Vision For Eurasian Development
by Helga Zepp-LaRouche

Here is the presentation of Mrs. Zepp-LaRouche to EIR's Berlin seminar, on June 28. Her speech followed an hour of discussion, sparked by the keynote speech Lyndon LaRouche gave in the morning (see last week's EIR). Mrs. ZeppLaRouche had recently announced her candidacy for Chancellor of Germany, as head of her party's slate, the Civil Rights Movement Solidarity, or Bu¨So.

Mario Lettieri
Parliaments Should Act on These Issues
Hon. Mario Lettieri is a member of the Italian Chamber of Deputies. He delivered these remarks to the Berlin seminar on the morning of June 28, after Lyndon LaRouche's keynote (published in last week's EIR), and the questions and discussion that followed it. Lettieri spoke in Italian, with consecutive translation. The moderator was Michael Liebig.

We Need a New World Financial Architecture
Dr. Sergei Glazyev, an economist and a member of Russia's State Duma (parliament), addressed the second panel of the Berlin seminar on June 28. Glazyev has authored many books on economics, including Genocide: Russia and the New World Order, which was published by EIR in 2000.

Money Is a Question Of Physical Economy
Here are Lyndon LaRouche's closing remarks to the seminar.

The most important thing is, that we're dealing with a world in which there's a conception of money, which is the popular conception of money by governments, and by leading institutions, which, from my knowledge, is insane, by the standard of the effect of the concept, the way it's applied. That the value of money should not be determined based on some current accounting value. That accounting should be banned as a method for determining the value of money....


Armed Services Chairman Warner Blasts Rumsfeld's BRAC Folly
by Carl Osgood
The growing weight of evidence after 13 public regional hearings conducted by the Defense Base Closure and Realignment Commission (BRAC), suggests that in its plan to close 33 major bases, Donald Rumsfeld's Pentagon willfully—or incompetently—ignored the BRAC law in favor of its own agenda. This should not surprise qualified, honest observers of the George W. Bush Administration and its Secretary of Defense. This is the same gang that brought us the disastrous war in Iraq in March of 2003, claiming that it would be a 'cakewalk,' and that Saddam Hussein's weapons of mass destruction had to be eliminated immediately. To this day, Rumsfeld angrily denounces anyone who characterizes the war as a 'quagmire,' despite the fact that the Administration appears to have no plan for solving the problem that it has created in Iraq.

A Whistle Without an Engine
St. Petersburg correspondent Roman Bessonov looks at the June 16-17 summit of the European Union, froma Russian viewpoint. There was a sad story, told in the Soviet Union in the time of Mikhail Gorbachov in the 1980s. Asked why the train of Communism had come to a halt, the engineer replied, 'Because all of the engine's steam was spent on the whistle.'


Iran's Policy Open-Ended In Wake of Election Surprise
by Muriel Mirak-Weissbach
No sooner had the final results of the June 24 Presidential runoff elections been announced, giving Tehran mayor Mahmood Ahmadinejad a 61.6% landslide victory over former President Akhbar Hashemi Rafsanjani, than the word was out: The new self-styled fundamentalist President would seek a confrontationist course with the West, and especially the U.S. government. He was characterized as a die-hard conservative, committed to building the bomb, and much else (all unconfirmed, or later denied by those making the charge). It seemed as if those Anglo-American circles looking for their war, would have their excuse.

'Democracy' NGO Targets China Through Nepal
by Ramtanu Maitra
Fresh from orchestrating the anti-Chinese riots in the Kyrgyz capital, Bishkek, the American non-governmental organization National Endowment for Democracy (NED) is now planning to take up the cudgels against the autocratic Nepalese King Gyanendra. This was reportedly disclosed to Nepalese politicians by U.S. Assistant Secretary of State for South Asia Christina Rocca, during her recent visit to Nepal.

A Crucial Candidacy At a Crucial Moment
by Rainer Apel
The German social-market economy model and its civil rights are threatened by the fifth column inGermany of global monetarism, a fifth column that plans to take over the government after early elections in September. It is the firm commitment of this cabal to dismantle all the achievements of social security which the postwar German republic has made, and to replace all of that by budget-cutting free-market fundamentalism. The fundamentalists have gained control over the three opposition parties, the Christian Democratic Union (CDU), Christian Social Union (CSU), and Free Democratic Party (FDP), as well as most of the media.

Shanghai Cooperation Organization SCO Summit Takes Up Security Challenge, But Needs Economic Vision
by Mary Burdman
The July 4-5 summit of the Shanghai Cooperation Organization (SCO) nations—Russia, China, Kyrgyzstan, Kazakstan, and Uzbekistan—took place in the Kazakstan capital of Astana, amid a highly charged situation in Eurasia. Although the world financial meltdown crisis was not publicly addressed at the summit, the big security strains in Eurasia were.

Interview: Gian Guido Folloni
Italy Can Contribute to a New, More Just World Economic System

Sen. Gian Guido Folloni was Italy's Minister for Relations with the Parliament in the first government of Massimo D'Alema (1998-99). From 1994 to 2000 he served several legislative terms as a Senator. From 1982 to 1990 he was the editor of the Catholic daily Avvenire. His background is rooted in the Christian Democracy party of Aldo Moro and Giulio Andreotti.

The Immortal Contribution of Jewish Culture
Heine, Schiller, and Shakespeare
by Mark Joseph Burdman

My husband, Mark Burdman, for many years the Special Projects editor of EIR, died one year ago, on July 8, 2004. In his memory, EIR is publishing, for the first time, the speech he gave at a conference titled, 'Heinrich Heine,A Birthday Tribute,' held in New York City, on Dec. 11-12, 1982, in honor of the 185th birthday of the poet. Mark was a native of Brooklyn, N.Y., who embodied all that is best about American Jewish culture. In 1980, he moved to Germany, where he lived for the rest of his life.
—Mary Burdman


LaRouche: `The Immortality of Martin Luther King'

Lyndon H. LaRouche, Jr.

speaks to the Martin Luther King Day Prayer Breakfast in Talladega County, Alabama on Jan. 19, 2004


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Coverup Exposed!

The Israeli Attack On the USS Liberty

``The Loss of Liberty,"
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