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The Demise of Railtrack

Letter to the editor
City Editor, Daily Telegraph

2 May 2005

Dear Mr Collins,

The post-mortem being carried out on Railtrack, should act as a wake up call to the British voter, that new Labour has worn a dirtier and uglier face of Capitalism then any previous Government. Labour has been buying votes with excessive spending and trying to save money, by borrowing money which does not exist.

Selling off a national asset, such as British Rail, when the money does not exist for a purchase to be made, gives the financiers, who are our moneymen, the opportunity to get the requisite new money borrowed into existence.

This is a fabulously incompetent method of trying to keep the Railways running. The Railways are burdened with debts, that make it impossible for the Railways to be financially viable. Enormous losses are made, which can be met by the Government, because the Railways are an essential national asset, required by the Nation to create the wealth needed to pay the costs of Government.

Economists love to talk about the need for efficient financial management and then advise their Government into crass stupidity and financial incompetence. It is a prime responsibility of Government to ensure that new money is available to create and maintain any national resource, required by the Nation for the creation of wealth, which should be represented by the addition of new money needed to service economic progress.

The Government must retain the sole right to create and issue new money and not allow new money to be borrowed into existence by permitting banks and other private financial institutions to issue new money as credit.

That iniquitous practice is well seen in its ugliest and dirtiest form, when aid is given to poor countries as credit. The IMF and the World Bank are guilty of this crime against humanity. Seducing poor people into debt, on the pretext of giving them aid, is a far worse crime than anyone imagines. The so-called aid, which is credit, is manufactured out of thin air and costs the bankers nothing. But the interest the bankers receive for perpetrating this fraud, is only half of the crime. The bankers expect the fraudulent loan, to be redeemed with real money.

Unless of course, they are shamed into wiping out the debts, which does not prevent them from replacing one debt with another. This skulduggery is plain to see, when looked upon and when clearly seen, the plain truth concerning the demise of Railtrack comes into view.