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One month after the inauguration of President Abraham Lincoln, the American Civil War is underway at Fort Sumter, South Carolina after South Carolina leaves the Union. Slavery has always been cited as the cause of the war but this was simply not the case, as President Lincoln himself states, "I have no purpose directly or indirectly to interfere with the institution of slavery in the state where it now exists. I believe I have no lawful right to do so, and I have no inclination to do so...My paramount objective is to save the Union and it is not either to save or destroy slavery. If I could save the Union without freeing any slave, I would do it."

The real reason for the war is the southern states are in an a dire economic situation due to the actions of the northern states. Northern industrialists had used trade tariffs to prevent the southern states from buying cheaper European goods. Europe subsequently retaliated by stopping cotton imports from the south; thus the south was being forced to pay more for goods whilst having their income slashed.

The money changers see the opportunity to divide and conquer America by plunging it into a Civil War. This is confirmed by Otto Von Bismark when he was Chancellor of Germany (1871 - 1890), who stated, "The division of the United States into federations of equal force was decided long before the Civil War by the high financial powers of Europe, these bankers were afraid that the United States if they remained as one block and as one nation, would attain economic and financial independence which would upset their financial domonation over the world."

Only months after the first shots are fired in South Carolina, the Central bankers loan Napoleon III of France (the Napoleon of the battle of Waterloo's nephew), 210 million francs to seize Mexico and then station troops along the Southern border of the United States, by taking advantage of the American Civil War to return Mexico to colonial rule. This is in violation of the Monroe Doctrine which was issued by President James Monroe during his 7th annual State of the Union address to Congress, in 1823. This doctrine proclaimed the United States' opinion that European powers should no longer colonize the Americas or interfere with the affairs of sovereign nations located in the Americas, such as the United States, Mexico, and others. In return, the US plans to stay neutral in wars between European powers and in wars between a European power and its colonies. However, if these latter type of wars were to occur in the Americas, the US would view such action as hostile toward itself.

While the French are breaching the Monroe Doctrine in Mexico, the British follow suit by moving 11,000 troops into Canada, positioning them along America's northern border. President Lincoln knows he is in trouble, so he and his Secretary to the Treasury, Salomon P. Chase go to New York to apply for the loans necessary to fund America's defense. As these large banks are heavily under the influence of the Rothschilds, they offer him a deal they know he cannot accept, 24% to 36% interest on all monies loaned. Lincoln returns to Washington very angry and sends for Colonel Dick Taylor of Chicago, who he puts in charge of the problem of how he should finance the war. During a meeting President Lincoln asks Colonel Taylor what proposals he had come up with, Colonel Taylor states, "Why Lincoln, that is easy, just get Congress to pass a bill authorizing the printing of full legal tender treasury notes...and pay your soldiers with them and go ahead and win your war with them also."

Lincoln asks Colonel Taylor if the people of the United States would accept the notes, Colonel Taylor replies, "The people or anyone else will not have any choice in the matter, if you make them full legal tender. They will have the full sanction of the government and be just as good as any money, as Congress is given that express right by the Constitution.

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The US recognizes independent Haiti for the first time and sends Frederick Douglass as its Consular Minister.

President Lincoln begins the printing of 450 million dollars worth of new currency, printed in green ink on the reverse side in order to distinguish them from other bills in circulation. These bills are called greenbacks, they are printed at no interest to the Federal Government and are used to pay the troops and purchase their supplies. President Lincoln would be the last President to issue debt free United States notes, and on this subject he states, "The Government should create, issue and circulate all the currency and credit needed to satisfy the spending power of the Government and the buying power of consumers. The privilege of creating and issuing money is not only the supreme prerogative of Government, but it is in the Government's greatest creative opportunity. By the adoption of these principles...the taxpayers will be saved immense sums of interest. Money will cease to be master and become the servant of humanity."

In response to this statement, The Times of London publishes a propaganda piece obviously put out by the bankers, containing the following statement, "If that mischievous financial policy, which had its origin in the North American Republic, should become indurated down to a fixture, then that government will furnish its own money without cost. It will pay off debts and be without a debt. It will have all the money necessary to carry on its commerce.

It will become prosperous beyond precedent in the history of civilized governments of the world. The brains and the wealth of all countries will go to North America. That government must be destroyed or it will destroy every monarchy on the globe."

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The bankers strike back at Lincoln with the National Banking Act. The most important part of this Act is that from now on, the entire US money supply would be created out of debt by the National Banks buying US Government Bonds and issuing them for reserves for banknotes. On top of this monopoly, the National Banks are allowed to operate under a virtual tax free status. This banking scam is best explained by historian, John Kenneth Galbraith, who states, "In numerous years following the war, the Federal Government ran a heavy surplus. It could not however pay off its debt, retire its securities, because to do so meant there would be no bonds to back the national bank notes. To pay off the debt was to destroy the money supply."

President Lincoln discovers Tsar Alexander II of Russia is having problems with the Rothschilds as well as he was refusing their continual attempts to set up a central bank in Russia. The Tsar then gives President Lincoln some unexpected help. The Tsar issues orders that if either England or France actively intervene in the American Civil War, and help the South, Russia would consider such action a declaration of war and take the side of President Lincoln. To show that he wasn't bluffing, he sent part of his Pacific Fleet to port in San Francisco and another part to New York.

This isn't because the Tsar is friendly with America, but instead he, like Otto Von Bismarck in Germany, can clearly see what the money changers are up to, indeed he had already refused to let them set up a Central Bank in Russia. He knows if America is to come under the control of Britain or France, then America would be under the control of the central bankers once again, and such an expansion of the bankers' empire, would mean they would eventually threaten Russia.

The Rothschild banking house in Naples, Italy, C. M. de Rothschild e figli, closes following the unification of Italy

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August Belmont, a Rothschild, who by now is the Democratic Party's National Chairman, supports General George McClellan as the Democratic nominee to run against President Abraham Lincoln in this year's election. Much to the anger of Belmont, President Lincoln wins the election.

President Lincoln writes a friend the following, "The money power preys upon the nations in times of peace and conspires against it in times of adversity. It is more despotic than monarchy, more insolent than autocracy, more selfish than bureaucracy."

Salmon P. Chase, now President Lincoln's Former Secretary To The Treasury, states, "My agency in promoting the passage of the National Banking Act was the greatest financial mistake in my life. It has built up a monopoly which affects every interest in the country."

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The young Duke of Brabant is crowned King Leopold II of Belgium.

In a statement to Congress, President Abraham Lincoln states, "I have two great enemies, the Southern Army in front of me, and the financial institutions in the rear. Of the two, the one in my rear is my greatest foe."

He writes in a letter, "The Protestants of both the North and South would surely unite to exterminate the priests and the Jesuits, if they could learn how the priests, the nuns, and the monks, which daily land on our shores, under the pretext of preaching their religion...are nothing else but the emissaries of the Pope, of Napoleon III and other despots of Europe, to undermine our institutions, alienate the hearts of our people from our constitution, and our laws, destroy our schools, and prepare a reign of anarchy here as they have done in Ireland, in Mexico, in Spain and wherever there are people who want to be free....

...This war would never have been possible without the sinister influence of the Jesuits. We owe it to Popery that we now see our land reddened with the blood of her noblest sons."

On April 14th, 41 days after his second inauguration, and just 5 days after General Lee surrenders to General Grant at Appomattox, President Lincoln is assassinated. Subsequent allegations that international bankers were responsible for President Lincoln's assassination would be made in the Canadian House of Commons nearly 70 years later in 1934.

The person who revealed this was a Canadian Attorney, Gerald G. McGeer. He had obtained evidence deleted from the public record provided to him by Secret Service Agents at the trial of John Wilkes Booth, after Booth's death. McGeer stated that it showed that John Wilkes Booth was a mercenary working for the international bankers. His speech would be reported in an article in the Vancouver Sun dated May 2nd 1934, which states, "Abraham Lincoln, the murdered emancipator of the slaves, was assassinated through the machinations of a group representative of the International Bankers, who feared the United States President's National Credit ambitions. There was only one group in the world at that time who had any reason to desire the death of Lincoln."

They were the men opposed to his national currency program and who had fought him throughout the whole Civil War on his policy of Greenback currency."

Gerald G. McGeer also stated that Lincoln's assassination was not purely because the international bankers wanted to re-establish a central bank in America, but also because they wanted to base America's currency on gold, which they of course controlled. They wanted to put America on a gold standard. This was in direct opposition to President Lincoln's policy of issuing Greenbacks, based solely on the good faith and credit of the United States.

The Vancouver Sun article also quoted Gerald G. McGeer with the following statement, "They were the men interested in the establishment of the gold standard and the right of the bankers to manage the currency and credit of every nation in the world. With Lincoln out of the way they were able to proceed with that plan and did proceed with it in the United States. Within 8 years after Lincoln's assassination, silver was de-monetized and the Gold Standard system set up in the United States."

Nathaniel de Rothschild becomes Member of Parliament for Aylesbury in Buckinghamshire.

Following a brief training period in the Rothschilds London Bank, Jacob Schiff, a Rothschild, born in their house in Frankfurt, arrives in America at the age of 18, with instructions and the finance necessary to buy into a banking house there. The purpose of this was to carry out the following tasks:

• Gain control of America's money system through the establishment of a central bank.
• Find desirable men, who for a price, would be willing to serve as stooges for the Illuminati and promote them into high places in the federal government, the Congress, Supreme Court, and all the federal agencies.
• Create minority group strife throughout the nations, particularly targeting the whites and blacks.
• Create a movement to destroy religion in the United States, with Christianity as the main target.

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The European central bankers want the re-institution of a central bank under their control and an American currency backed by gold. They choose gold as gold has always been relatively scarce and therefore a lot easier to monopolize than, for example silver, which is plentiful in the US, and had been found in huge quantities with the opening of the American West. So on April 12th, Congress goes back to work at the bidding of the European central bankers, passing the Contraction Act, which authorizes the Secretary of the Treasury to contract the money supply by retiring some of the Greenbacks in circulation.

This money contraction and it's disastrous results is explained by Theodore R. Thoren and Richard F. Walker, in their book, "The Truth In Money Book," in which they state, "The hard times which occurred after the Civil War could have been avoided if the Greenback legislation had continued as President Lincoln had intended. Instead there were a series of money panics, what we call recessions, which put pressure on Congress to enact legislation to place the banking system under centralized control. Eventually the Federal Resrve Act was passed on December 23rd 1913."

This is how the Contraction Act affects America (the money supply goes down purely because currency in circulation is being withdrawn):

1866 - $1,800,000,000 in circulation - approximately $50.46 per capita

1867 - $1,300,000,000 in circulation - approximately $44.00 per capita

1876 - $600,000,000 in circulation - approximately $14.60 per capita

1886 - $400,000,000 in circulation - approximately $6.67 per capita

In the 20 years since 1866, two thirds of the American money supply had been called in by the bankers, representing a 760% loss in buying power over this 20 years. The money became scarce simply because bank loans were called in and no new ones were given.

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	Paul Warburg is born in Hamburg, Germany
	James Mayer Rothschild dies, shortly after purchasing Château Lafite, one of the four great premier grand cru estates of France. He is the last of Mayer Amschel Rothschild’s sons to die.

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Pope Pius IX summons the first Vatican Council in Rome.

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