Letter of the month Re: Executive Order 11110
Could JFK's decision to curtail the power of the fed have anything to
do with his assassination.
$6 trillion seems a good enough reason. The following article may be
of interest to you. The original EO was no.10289.
The following article appeared in "The Final Call", Vol15, No.6, on January 17, 1996 (USA)
President Kennedy, the Federal Reserve and Executive Order 11110
by Cedric X
On June 4, 1963, a little known attempt was made to strip the Federal
Reserve Bank of its power to loan money to the government at
interest. On that day President John F. Kennedy signed Executive
Order No. 11110 that returned to the U.S. government the power to
issue currency, without going through the Federal Reserve.
Mr. Kennedy's order gave the Treasury the power "to issue silver
certificates against any silver bullion, silver, or standard silver
dollars in the Treasury." This meant that for every ounce of silver
in the U.S. Treasury's vault, the government could introduce new
money into circulation. In all, Kennedy brought nearly $4.3 billion
in U.S. notes into circulation. The ramifications of this bill are
With the stroke of a pen, Mr. Kennedy was on his way to putting the
Federal Reserve Bank of New York out of business. If enough of these
silver certificats were to come into circulation they would have
eliminated the demand for Federal Reserve notes. This is because the
silver certificates are backed by silver and the Federal Reserve
notes are not backed by anything.
Executive Order 11110 could have prevented the national debt from
reaching its current level, because it would have given the
gevernment the ability to repay its debt without going to the Federal
Reserve and being charged interest in order to create the new money.
Executive Order 11110 gave the U.S. the ability to create its own
money backed by silver.
After Mr. Kennedy was assassinated just five months later, no more
silver certificates were issued. has learned that
the Executive Order was never repealed by any U.S. President through
an Executive Order and is still valid. Why then has no president
Virtually all of the nearly $6 trillion in debt has been created
since 1963, and if a U.S. president had utilized Executive Order
11110 the debt would be nowhere near the current level. Perhaps the
assassination of JFK was a warning to future presidents who would
think to eliminate the U.S. debt by eliminating the Federal Reserve's
control over the creation of money.
Mr. Kennedy challenged the government of money by challenging the two
most successful vehicles that have ever been used to drive up debt -
war and the creation of money by a privately-owned central bank. His
efforts to have all troops out of Vietnam by 1965 and Executive Order
11110 would have severely cut into the profits and control of the New
York banking establishment.
As America's debt reaches unbearable levels and a conflict emerges in
Bosnia that will further increase America's debt, one is force to
ask, will President Clinton have the courage to consider utilizing
Executive Order 11110 and, if so, is he willing to pay the ultimate
price for doing so?
(All Readers are urged to obtain a copy of Executive
Order 11110 by contacting their Congressional representative, it is
dated June 4, 1963.)
Reply From Col. Prouty to Neil Turner
Thanks for your good question Neil,
Your comment about "The power of the Fed" as a factor in the over-all decision to assassinate JFK is correct. Do you recall the line at the beginning of the conversation of Garrison and Man X in Washington in Stone's movie "JFK"?
Jim Garrison asks, "How do you think it all started?"
Man X (Prouty) responds, " I think it startedi n the wind. Money -- arms, big oil, Pentagon people, contractors, bankers, politicians like L.B.J. were committed to a war in Southeast Asia. As early as '61 they knew Kennedy was going to change things... He was not going to war in Southeast Asia. Who knows? Probably some boardroom or luncheon somewhere - Houston, New York -- hell, maybe Bonn, Germany... who knows, it's international now."
You're correct, and the above is what I wrote for Oliver Stone. It is what I believe from my experience. And, you are correct to go back to Exec. Order no. 11110. That money JFK putinto circulation was an enormous challenge to the business world.
I am a graduate of the American Bankers Assn "Graduate School of Banking" at the University of Wisconsin and I have heard some of the top bankers, such as Arthur Burns lecture. That was in the late Sixties; but you could still feel the stress of those JFK years in what they had to say.
JFK was serious about getting "all Americans" out of Vietnam by the end of 1965. That was NSAM 263 and my boss General Victor Krulak, with the JCS, had worked on that document. Even the Pentagon Papers made an attempt to conceal NSAM #263.
In addition to the references you have cited, may I suggest that you get the "Foreign Relations of the united States. 1961-1963, Volume IV, VIETNAM, August-December 1963" from the US Gov't Printing Office and see what it was all about in those days.
2) Len: You have made a good comment about the use of the "$220 to $570 billion: potential of the war in Vietnam. It's a good point that requires an understanding of the inside talk in a place like the Pentagon.
For example: No less than "4,865 U.S. helicopters were lost in the war." Source: "The World Almanac of the VIETNAM WAR" 1985. At a cost of "250,000 each" that is some $1,316,250,000. In addition 3720 conventional aircraft were lost at much greater cost. That's basic usually sucjh losses are replaced more than doubling the cost.
In the military we always figure that in the "life of type" of military equipment about ten times as much money is spent to keep it in operation and to support it as it cost initially. Use that kind of perfectly valid thinking and the numbers grow fast.
I recall at the end of 1963 we had a few more than 16,000 military personnel in Vietnam. Of that number no more than 1,500 were actually combat tuype men. The others were just expensive support such as maintenance men, supply depot men, hospitals, etc. Recalll that later that number grew to 550,000 in Vietnam. More than 10,000,000 military personnel were flown to Saigon by commercial aircraft during the thirty years of our involvement.
I have a Report that was made to Congress that reveals that no less than $51 billion were stolen one way or another during the Vietnam war.
So when some budget worker gives a figure he cites what he has on the books as the "initial spending" for the cost of the war. Meanwhile the over-all books easily multiply that. So in some testimony before the Congress the figure might be $220 billion, while in another context an over-all figure of $550 billion will be used. Both are correct for different reasons.
How much did your car cost you? How much have you spent on it, or will you have spent on it during its life cycle?
L. Fletcher Prouty
Back to Main Page