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September 11 Commission Report - Gnostic Liberation Front

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that 2.2 trillion dollars was missing from the DOD accounts – but the world was too preoccupied<br />

the next day to worry about the world’s largest heist.<br />

“the Department of Housing and Urban Development (HUD) and Department of Defense (DOD) and<br />

some of the other federal agencies for which … DynCorp manages highly sensitive information<br />

systems are reported to be missing…over $3 trillion since fall of 1997….” [ The Hijackers of Harvard,<br />

Catherine Austin Fitts (Former Assistant Secretary of Housing, First Bush Administration), On-Line<br />

Journal.com, 2/21/2002]<br />

The interesting point made by Catherine Fitts (Former Assistant Secretary of Housing,<br />

First Bush Administration) is that the “same people” involved in the BCCI fraud, (hence<br />

the theft of the Russian and Philippine treasuries) are now associated with what some call<br />

the world’s largest money-laundering scheme – Enron – about the same time as 3.3<br />

trillion dollars goes missing from the US Treasury.<br />

“Catherine: I was hired by the first Bush administration to help clean up $100 billion sized financial<br />

frauds. These had to do with Iran Contra, the S&L crisis, BCCI and the HUD scandal. I was there for<br />

18 months…we've seen the government readily permit the transfer of Enron Online -- which I believe<br />

was a money-laundering and slush fund operation -- to the Swiss bank, UBS, one of their largest<br />

creditors. So now it's very possible that a great deal of information that would be needed for a proper<br />

investigation is under the protection of the privacy laws of a Swiss bank. And by the way, it's very<br />

interesting, and perhaps quite significant, to note that the newest Board member of UBS, the bank that<br />

purchased the Enron Online operation, is the former chairman of Arthur Anderson. Enron was also<br />

permitted to have the gold bullion and gold derivatives trading operation transferred. Understand that<br />

to be able make these two transfers, as quickly and quietly as they were, in the middle of an initial<br />

bankruptcy filing, was nothing short of miraculous based on what I'm told by bankruptcy attorneys. In<br />

combination with the shredding, it permitted the coordination of cover-up of two things: money<br />

laundering and a lot of financial fraud between the banks and the entity itself.” [Enron: An Anatomy<br />

of a Cover-Up. Dennis Bernstein's interview with Catherine Austin Fitts, 3/12/2002]<br />

“We had a huge amount of money disappear from the accounts of all these federal agencies: General<br />

Accounting Office (GAO) (and Inspector General) reports and testimony document that $59 billion<br />

was missing from HUD in fiscal 1999, and $17 billion was missing in fiscal 1998, and they refused to<br />

say how much was missing in fiscal 2000. So I was trying to figure out how you could launder<br />

hundreds of billions of dollars (stolen from the federal government) starting in the fall of 1997,<br />

because that is so much money that you can't just run it (launder it) through a pizza restaurant. You are<br />

talking about a huge amount of money and you are talking about something that JP Morgan, Lockheed,<br />

DynCorp and Arthur Anderson would have to be part of.” [Enron: An Anatomy of a Cover-Up.<br />

Dennis Bernstein's interview with Catherine Austin Fitts, 3/12/2002]<br />

“So, in the fall of 1997 there was an explosion of revenues (at Enron Online), with nobody being able<br />

to explain where the revenues came from. They just say it's very complicated, it's "derivatives," you<br />

know. Well that's ridiculous. In my experience, if you can't explain something, then something is<br />

wrong. So I'm looking for the missing money: there is over $3.3 trillion missing from federal<br />

government agencies over a 3-year period, and my big question is, “Is Enron the laundromat," and is<br />

that why Congress is covering this up?”<br />

“Fitts: As far as I'm concerned, Ken Lay was just the lead patsy. We're talking about a top ten Fortune<br />

500 company with annual revenues exceeding $100 billion---which suddenly fell off the map. What<br />

the Enron CEO's made was nothing compared to what the inside-trading investors made---both with<br />

corporate assets liquidated out before the implosion or in the pump and dump of stocks. And many of<br />

these investors look to be from the same syndicate that I saw playing the Iran-Contra/S&L game in the<br />

eighties…. in testimony already, former Chief Accountant of the SEC, Lynn Turner, offered that these<br />

banks and investment banks "shopped their structured finance vehicles'' around to other corporations.<br />

THE SEPTEMBER <strong>11</strong> COMMISSION REPORT Page 63

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