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Courses→The Forbidden Library
LESSON 12 OF 1280 min
Ford's Chapters 13–14 — The Rothschilds, Kuhn Loeb, and the Federal Reserve

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The Rothschild System: What Ford Described

Ford's thirteenth and fourteenth chapters are his longest look at Jewish financial power. He started with the Rothschild family, which he called the founders and prime example of the 'Jewish money power' idea. Mayer Amschel Rothschild had set up his banking house in Frankfurt in the late 18th century and placed his five sons — Amschel Mayer, Salomon Mayer, Nathan Mayer, Carl Mayer, and James (Jakob) Mayer — in Frankfurt, Vienna, London, Naples, and Paris. That built an international banking network of unmatched reach, able to communicate fast and act together across borders.

Ford used Nathan Mayer Rothschild's role in the Napoleonic Wars as the model example of the Rothschild method. In the story Ford told, Nathan had set couriers along the route from Waterloo to London and got news of Napoleon's defeat hours before official channels did. He used that head start to trade British government bonds: first selling to make it look like Napoleon had won (so other investors sold too), then buying at the low price, and making a fortune when the official word of Wellington's victory arrived. Ford admitted the story was disputed and that some historians thought it a myth. But he argued that, true or not, it captured the real Rothschild edge: better information networks and a willingness to use that edge for profit.

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“The Rothschilds did not invent banking. They invented international banking — banking that operates across national boundaries, that is loyal to no single government, that profits from the conflicts between governments, and that is powerful enough to determine which governments survive and which fall. That is a different thing from what the Quakers and Presbyterians built in American finance.”

Henry Ford / William Cameron— The International Jew, Volume IV, Chapter 13, 1922
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Jacob Schiff, Kuhn Loeb, and the WWI Financial Record

Ford spent a lot of space on Jacob Schiff, whom he called the American heir to the Rothschild tradition — a Jewish financier who used his place at the top of American investment banking to push Jewish interests through money. Ford's evidence was Schiff's funding of Japanese war bonds during the Russo-Japanese War (1904–1905): Schiff personally arranged $200 million in bond financing for Japan through a group of banks, and said openly that his goal was to weaken Tsarist Russia in payback for Russian pogroms against Jews. He said in public that he hoped Japan would 'defeat the enemy of his people.' Ford argued Schiff had used his standing as a top American financier to steer American money toward foreign-policy goals driven by Jewish rather than American interests.

Ford also cited Bernard Baruch's testimony before the Senate Munitions Investigating Committee (the 'Nye Committee'), which looked at the role of Wall Street bankers in America's entry into World War I. Baruch had chaired the War Industries Board during the war, with near-total power over American industrial production. Ford presented Baruch's central wartime role as another case of his pattern: a Jewish financier at the top of American finance who at the same time held decisive power in American government, able to direct the nation's economic resources in ways that served both American and Jewish interests.

Ford's take on the Federal Reserve focused on the claim that the Federal Reserve Act of 1913 was shaped in large part by Paul Warburg, a partner at Kuhn, Loeb & Company who came from Germany in 1902. Warburg had pushed publicly and steadily for American banking reform along the lines of the German central bank, and his detailed proposals were widely credited with shaping the Federal Reserve. Ford argued that Warburg's role meant America's central banking system was designed by a man whose main professional ties and financial interests were international, not specifically American, and whose firm was part of the same Jewish financial network — linked to Rothschild banking through various ties — that Ford described throughout the series.

Ford closed these chapters with what he called the 'power follows the Jew' idea: that wherever financial and commercial power gathered in the world, Jewish people and institutions would be found at the center of it. Ford argued this was not a plot in the usual sense — no single order, no secret meeting, no written plan — but the result of community solidarity, centuries of business experience, networks of mutual support, and what Ford called the 'racial genius' of the Jewish people for finance and trade. Ford said he did not mean this as a criticism of Jews as individuals but as an observation about what one kind of community organizing produced inside modern capitalism.

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“Wherever money is made in the modern world, the Jew is there — not always, but often enough that the pattern cannot be dismissed as coincidence. Wherever governments are financed, wherever wars are funded, wherever central banks are designed, wherever international trade is organized — there is the Jewish name, the Jewish firm, the Jewish network. This is not a secret. It is written in the financial history of every major nation. The question is not whether it is true. The question is what it means.”

Henry Ford / William Cameron— The International Jew, Volume IV, Chapter 14, 1922
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