	id AA16503; Thu, 5 Jan 95 14:48:35 CST
Subject: Conspiracy Nation -- Vol. 3 Num. 39


              Conspiracy Nation -- Vol. 3  Num. 39
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                    ("Quid coniuratio est?")
 
 
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Mexican Peso Fall Hurts You
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By Martin Mann
[From *The Spotlight*, January 9, 1995]
 
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  Before beginning, here is an excerpt from a previously posted 
  "Conspiracy for the Day -- Special Edition" which went out on 
  or about November 4, 1993.
 
  Lisa Fuentes, *American University* professor
  C-Span II, Broadcast 10/30/93  (Taped 10/26/93)
 
  [...]
 
  And most troublesome is the fact that, most likely, with most 
  certainty, after the NAFTA treaty is passed -- if it passes, 
  and I'm crossing my fingers that it doesn't -- Mexico is 
  probably going to implement a *peso* devaluation. The *peso* 
  is, you know, seriously overvalued. This is, you know, one of 
  the issues that most people want to brush under the table and 
  not discuss at public hearings. But you know, the *peso* has 
  been overvalued for a number of years and now it's getting to 
  the point where there is not much flexibility about the 
  issue. A devaluation is imminent. And what happens in 
  connection to that? Well, the United States is not going to 
  be able to sell exports to Mexico.
 
  [...]
 
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[And now, from *The Spotlight*, January 9, 1995:]  
 
 
A shadowy consortium of Wall Street insiders and foreign 
speculators, with private links to the highest levels of the 
White House and Federal Reserve System, is skimming "billions, 
most probably tens of billions of dollars" in windfall profits 
from the collapse of the Mexican peso and other recent 
convulsions of the financial markets, economic analysts say.
 
American taxpayers, still unaware that a stunning $9 billion of 
their money went down the drain during Christmas week as the 
Clinton administration tried (and failed) to bail out the sinking 
Mexican peso, now face losses "worse than the bloodletting of the 
savings and loan scandals," warned Dr. Aldo Milinkovich, a former 
U.S. Treasury economist who is now a corporate strategist in New 
York.
 
Some $6 billion of the hurried handout was disguised as a so- 
called "currency swap" between the Federal Reserve and the 
Mexican central bank. In addition, Fed Chairman Alan Greenspan 
quietly ordered an additional $3 billion made available as an 
"emergency stabilization fund" in order to save, not just the 
Mexican payments system, but the controversial North American 
Free Trade Agreement (NAFTA), adopted barely a year ago, and now 
in dire peril.
 
The expensive effort to halt the Mexican economy's nose-dive 
didn't work. "The opponents and critics of NAFTA [among whom this 
paper played a leading role] are now vindicated," admitted Dr. 
Emiliano Manelli, a UN economist specializing in Latin American 
studies.
 
With the peso having lost almost half its value during the last 
nine days of December, and still falling, "dirt cheap" Mexican 
goods will soon begin to flood the wide-open U.S. market -- 
precisely the sort of calamity the promoters of NAFTA, led by 
Bill Clinton, swore would never happen, these sources warned.
 
But for an inner circle of well-connected financiers and currency 
manipulators with behind-the-scenes access to confidential 
economic information, the money market upheavals of recent months 
represent "the biggest get-rich-quick bonanza anyone can 
remember," says another respected financial analyst who, having 
left Wall Street's leading statistical service this year to join 
a major investment bank, asked not to be quoted by name.
 
"Just as predicted, this fraudulent free trade pact will end up 
hurting the workers, taxpayers and savings depositors of both the 
U.S. and Mexico," concluded Dr. Manelli.
 
The ancient Romans asked: *Cui bono*? That is, who profits? Who 
gets the tax dollars? Not the peasants on either side of the 
border. Your tax dollars went to bail out the major investors; 
those with the greatest "exposure" when the peso tumbled, to 
wit: Citicorp, BankAmerica, Chase Manhattan Corp., Chemical 
Banking Corp., NationsBank Corp. and Bank of Boston Corp.
 
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Aperi os tuum muto, et causis omnium filiorum qui pertranseunt.
Aperi os tuum, decerne quod justum est, et judica inopem et 
  pauperem.                    -- Liber Proverbiorum  XXXI: 8-9 

 Brian Francis Redman    bigxc@prairienet.org    "The Big C"
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    Coming to you from Illinois -- "The Land of Skolnick"        
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