Wednesday, 22 May 2013 10:28

World Bank Insider Blows Whistle on Corruption, Federal Reserve

Written by 

A former insider at the World Bank, ex-Senior Counsel Karen Hudes, says the global financial system is dominated by a small group of corrupt, power-hungry figures centered around the privately owned U.S. Federal Reserve. The network has seized control of the media to cover up its crimes, too, she explained. In an interview with The New American, Hudes said that when she tried to blow the whistle on multiple problems at the World Bank, she was fired for her efforts. Now, along with a network of fellow whistleblowers, Hudes is determined to expose and end the corruption. And she is confident of success.

Citing an explosive 2011 Swiss study published in the PLOS ONE journal on the “network of global corporate control,” Hudes pointed out that a small group of entities — mostly financial institutions and especially central banks — exert a massive amount of influence over the international economy from behind the scenes. “What is really going on is that the world’s resources are being dominated by this group,” she explained, adding that the “corrupt power grabbers” have managed to dominate the media as well. “They’re being allowed to do it.”

According to the peer-reviewed paper, which presented the first global investigation of ownership architecture in the international economy, transnational corporations form a “giant bow-tie structure.” A large portion of control, meanwhile, “flows to a small tightly-knit core of financial institutions.” The researchers described the core as an “economic ‘super-entity’” that raises important issues for policymakers and researchers. Of course, the implications are enormous for citizens as well.

Hudes, an attorney who spent some two decades working in the World Bank’s legal department, has observed the machinations of the network up close. “I realized we were now dealing with something known as state capture, which is where the institutions of government are co-opted by the group that’s corrupt,” she told The New American in a phone interview. “The pillars of the U.S. government — some of them — are dysfunctional because of state capture; this is a big story, this is a big cover up.”

At the heart of the network, Hudes said, are 147 financial institutions and central banks — especially the Federal Reserve, which was created by Congress but is owned by essentially a cartel of private banks. “This is a story about how the international financial system was secretly gamed, mostly by central banks — they’re the ones we are talking about,” she explained. “The central bankers have been gaming the system. I would say that this is a power grab.”

The Fed in particular is at the very center of the network and the coverup, Hudes continued, citing a policy and oversight body that includes top government and Fed officials. Central bankers have also been manipulating gold prices, she added, echoing widespread concerns that The New American has documented extensively. Indeed, even the inaccurate World Bank financial statements that Hudes has been trying to expose are linked to the U.S. central bank, she said.

“The group that we’re talking about from the Zurich study — that’s the Federal Reserve; it has some other pieces to it, but that’s the Federal Reserve,” Hudes explained. “So the Federal Reserve secretly dominated the world economy using secret, interlocking corporate directorates, and terrorizing anybody who managed to figure out that they were having any kind of role, and putting people in very important positions so that they could get a free pass.”

The shadowy but immensely powerful Bank for International Settlements serves as “the club of these private central bankers,” Hudes continued. “Now, are people going to want interest on their country’s debts to continue to be paid to that group when they find out the secret tricks that that group has been doing? Don’t forget how they’ve enriched themselves extraordinarily and how they’ve taken taxpayer money for the bailout.”

As far as intervening in the gold price, Hudes said it was an effort by the powerful network and its central banks to “hold onto its paper currency” — a suspicion shared by many analysts and even senior government officials. The World Bank whistleblower also said that contrary to official claims, she did not believe there was any gold being held in Fort Knox. Even congressmen and foreign governments have tried to find out if the precious metals were still there, but they met with little success. Hudes, however, believes the scam will eventually come undone.

“This is like crooks trying to figure out where they can go hide. It’s a mafia,” she said. “These culprits that have grabbed all this economic power have succeeded in infiltrating both sides of the issue, so you will find people who are supposedly trying to fight corruption who are just there to spread disinformation and as a placeholder to trip up anybody who manages to get their act together.… Those thugs think that if they can keep the world ignorant, they can bleed it longer.”

Of course, the major corruption at the highest levels of government and business is not a new phenomenon. Georgetown University historian and Professor Carroll Quigley, who served as President Bill Clinton’s mentor, for example, wrote about the scheme in his 1966 book Tragedy And Hope: A History Of The World In Our Time. The heavyweight academic, who was allowed to review documents belonging to the top echelons of the global establishment, even explained how the corrupt system would work — remarkably similar to what Hudes describes.

"The powers of financial capitalism had a far-reaching aim, nothing less than to create a world system of financial control in private hands able to dominate the political system of each country and the economy of the world as a whole,” wrote Prof. Quigley, who agreed with the goals but not the secrecy. “This system was to be controlled in a feudalist fashion by the central banks of the world acting in concert by secret agreements arrived at in frequent private meetings and conferences. The apex of the system was to be the Bank for International Settlements in Basel, Switzerland, a private bank owned and controlled by the world's central banks which were themselves private corporations."

But it is not going to happen, Hudes said — at least not if she has something do to with it. While the media are dominated by the “power grabber” network, Hudes has been working with foreign governments, reporters, U.S. officials, state governments, and a broad coalition of fellow whistleblowers to blow the entire scam wide open. There has been quite a bit of interest, too, particularly among foreign governments and state officials in the United States.

Citing the wisdom of America’s Founding Fathers in creating a federal system of government with multiple layers of checks and balances, Hudes said she was confident that the network would eventually be exposed and subjected to the rule of law, stopping the secret corruption. If and when that happens — even if it may be disorderly — Hudes says precious metals will once again play a role in imposing discipline on the monetary system. The rule of law would also be restored, she said, and the public will demand a proper press to stay informed.

“We’re going to have a cleaned-up financial system, that’s where it is going, but in the meantime, people who didn’t know how the system was gamed are going to find out,” she said. “We’re going to have a different kind of international financial system.... It’ll be a new kind of world where people know what’s going on — no more backroom deals; that’s not going to keep happening. We’re going to have a different kind of media if people don’t want to be dominated and controlled, which I don’t think they do.”

While Hudes sounded upbeat, she recognizes that the world is facing serious danger right now — there are even plans in place to impose martial law in the United States, she said. The next steps will be critical for humanity. As such, Hudes argues, it is crucial that the people of the world find out about the lawlessness, corruption, and thievery that are going on at the highest levels — and put a stop to it once and for all. The consequences of inaction would be disastrous.

Photo of World Bank headquarters in Washington, D.C.

Alex Newman, a foreign correspondent for The New American, is currently based in Europe. He can be reached at This email address is being protected from spambots. You need JavaScript enabled to view it. .

Related articles:

Fed Manipulations in the Crosshairs

After Gold Crash, Experts Point to Central Bank Manipulation

Media Gatekeepers Limit Debate

Bretton Woods

Funding of Bretton Woods II by George Soros Exposed

BRICS Regimes Forge New World Bank, Call for Global Currency

The Emerging Global Fed


  • Comment Link John Doran Tuesday, 31 December 2013 06:07 posted by John Doran

    Google: bill still money masters

  • Comment Link John Doran Tuesday, 31 December 2013 06:05 posted by John Doran

    A most important article. Here's hoping Karen Hudes is the real deal.
    She sure convinced me.

    I've posted this to facebook, my first ever post.
    Wonder how long it'll stay there?

    Happy New Year.

    Here's to sanity in 2014.

  • Comment Link Mr Cohen Saturday, 22 June 2013 14:29 posted by Mr Cohen

    "The Rothschild Mafia who own nearly every central bank on earth are the true terrorists of the world!

    They were behind the JFK murder which after 50 years, 50,000 pages remain classified for "national security?" They also staged Oklahoma City, 9/11, USS Liberty, 7/7 Bombings, Lavon Affair and many more.

    Rothschild created-own-control Israel, AIPAC, SPLC, CFR, Bilderberg Group, all major media and other criminal organizations who hijack governments using bribery, extortion, frameups, election fraud and murder."
    I believe you forgot something!
    RC (rothschild cartel) plays the "race card" like a dog needs a bone!
    Anyone who dares utter two words of criticism is marginalized and vilified as "Anti-Semitic". This has been a very successful component of their power grabbing from the beginning.
    Gives new meaning to: The White Elephant AND 800 pound gorilla in the room!

  • Comment Link fetalsonosafety Thursday, 30 May 2013 19:54 posted by fetalsonosafety

    It is incredible what is going on what with Monsanto. I am from another part of science that is facing a similar problem. Pardon me for going on a tangential rant, but this whole mess with Monsanto has really inflamed me about my own research topic because of its similarities.

    Prenatal sonography was pushed out into the public and has proliferated due to business success.. despite consumers worldwide oblivious to potential safety hazards, there are scientific studies that clearly paint ultrasound as a teratogen.

    While the link between autism and GMOs remains tenuous at best, there is direct evidence that ultrasound can be linked to autism through mechanisms. For example, in autistic individuals there is often an increase in prefrontal cortex size. More neurons grow.

    One of the side effects of ultrasound is increased cell growth. So, when your practitioner keeps that transducer hovering over the head with that flush 3D image, that ultrasound passing through the prefrontal cortex is causing it to grow. Could this be linked to autism? Why isn't more research being performed on this?

    It's really hard to stir the public up with evidence like that. Of course the naysayers say that there's no proof that ultrasound can harm humans, but it is a fallacious argument that hedges on an absence of epidemiological evidence.

    All epidemiological studies involving ultrasound are fallacious because practitioners do not record dose. The number of scans is recorded for money purposes. However, the number of scans is not dose... 5 scans for 5 minutes vs 1 scan for 60 minutes -- do the math, see what I mean.

    Anyway, end rant...

    What this whole Monsanto thing has reaffirmed in me is to not hold onto my words. I hope that people are open minded and listen, because us scientists who are out there are not necessarily journalists. We don't all have loud voices. We just have logic.

    Good luck everybody.. If you're interested in the ultrasound topic, I have a blog at collecting more information on the issue.

  • Comment Link Peter Sunday, 26 May 2013 05:00 posted by Peter

    This is a beautiful message from Karen giving hope to many. Hope this message is the real thing and not what Michael Hoffman calls the revelation of the method, which is another thing the criminals are doing to us.

  • Comment Link Richard Kopel Saturday, 25 May 2013 11:29 posted by Richard Kopel

    The Rothschild Mafia who own nearly every central bank on earth are the true terrorists of the world!

    They were behind the JFK murder which after 50 years, 50,000 pages remain classified for "national security?" They also staged Oklahoma City, 9/11, USS Liberty, 7/7 Bombings, Lavon Affair and many more.

    Rothschild created-own-control Israel, AIPAC, SPLC, CFR, Bilderberg Group, all major media and other criminal organizations who hijack governments using bribery, extortion, frameups, election fraud and murder.

  • Comment Link John M. McConeghey Saturday, 25 May 2013 09:49 posted by John M. McConeghey

    if only we could divorce our government from any ties to these unbelievably psychotic narcissistic criminals

    Godspeed to us in that. It is the battle that has been going on from the beginning. Satan is real and his influence over the governments and secular world grows daily. He will not win the war, but he battles for power, and succeeds where people fail to keep God's commandments. He has limits. ( We did not succumb to nuclear war.)
    The Book of Mormon is a warning from a fallen people to us that there will be wickedness in high places, as also noted in Ephesians 6:12, " For we wrestle not against flesh and blood, but against principalities, against powers, against the rulers of the darkness of this world, against spiritual wickedness in high places.
    However, in Ephesians 1:19 - 21 et al we have hope:
    ...19 And what is the exceeding greatness of his power to us-ward who believe, according to the working of his mighty power,
    20 Which he wrought in Christ, when he raised him from the dead, and set him at his own right hand in the heavenly places,
    21 Far above all principality, and power, and might, and dominion, and every name that is named, not only in this world, but also in that which is to come: ...

  • Comment Link Chris Thursday, 23 May 2013 14:52 posted by Chris

    This has got to be the biggest racket in U.S. history. America is not going to hear about this criminal conspiracy from the mainstream media. It's up to you and I to alert the public and demand accountability.

    Thank you for your courage Alex Newman and Karen Hudes!

  • Comment Link DONALD W Thursday, 23 May 2013 06:53 posted by DONALD W

    Funny how this article keep impressing the term rules of law when it is the law makers who is the the problem. Anytime corporations are force to do business with a communist regime by our congress(General Motors--Senator Dodd..for example)., then it is the rules of law which is the Problem.

  • Comment Link Patty Reynolds Thursday, 23 May 2013 02:15 posted by Patty Reynolds

    Between me and my Dad who was a "runner" on Wall Street in December 24/24,1913, we cover the time since 1896 through today May 22, 2013, which is valuable as it does away with the Generation gap that is used by those who rewrite history, and keeps it honest for some things. My Dad despised the FED, more so after being witness to the Crime of the Century", especially since later he was a small business man. I inherited an understanding of the FED's maneuvers (and crimes) when, with my husband, I was partner in our construction company, and had to be aware of the FED's shenanigans for self protection. (There was no internet then) I cannot express my disgust with these "RUN-ITS" sufficiently to be able to do so without some unladylike words.


    if only we could divorce our government from any ties to these unbelievably psychotic narcissistic criminals that took over our government as well as most of the world's finances with their monopoly money Ponzi Scheme meant to rob us blind ! The world could have peace if we get ourselves out of this deadly plan, including the UN and its tentacles, the World Bank and IMF WTO, etc., which are the power elite vehicles for the criminals behind the scenes. They really are the Mafia world wide, and the Mafia is much more honorable ! It's all about world government and control of the people and the planet, by any means; the sky is the limit for them literally.

  • Comment Link Arnonerik Wednesday, 22 May 2013 20:31 posted by Arnonerik

    I believe the corruption is already very wide and extremely deep. I believe the U.S. Senate is already theirs and Valerie Jarrett is President Barack Obama handler for them in the White House. But then, I am just guessing because of the various clues I think I see.

  • Comment Link Frank M. Pelteson Wednesday, 22 May 2013 19:14 posted by Frank M. Pelteson

    If people were to read Perloff's "Shadows of Power," see , they would see the whole history of of how this came about. Another very informative book is "The Creature of Jekyll Island," by Griffin, see .

  • Comment Link Tom Wednesday, 22 May 2013 18:36 posted by Tom

    And this is a surprise to whom? It smells of George Soros, hey George, why don't you go visit France, ooooops, still have a warrant for your arrest, don't they for doing the same thing.

  • Comment Link REMant Wednesday, 22 May 2013 17:37 posted by REMant

    This may all be true, but I don't think it's a big secret either, and she hasn't reckoned with the charitable instincts and general imbecility of the public. It's largely because these folks make money while appearing to be philanthropic, as Mandeville pointed out long ago, that the system is allowed to continue.

Please Log In To Comment
Log in