This week's Solari Story from Catherine Austin Fitts is titled "The Black Budget." Here's a bit of the transcript:

"If you want to understand how things got as sort of wacky as they've gotten, you really want to dip into and try and understand what the black budget is. And one of the first things I encourage people to do if they want to explore the black budget and what it means to our lives and the challenges if you're engineering the federal financing is to look at three things: One is the National Security Act of 1947, the second is the act that created the CIA in 1949 and then an executive order that was promulgated in 1980 when George Bush became vice president and through the vice presidency assumed responsibility for the National Security Council, the intelligence agencies and enforcement agencies.

What the '47 and '49 Act did in combination was allowed appropriations to be – congress would appropriate to an agency like HUD and then they could call money out of other agency budgets for the intelligence agencies on a non-transparent basis. And presumably, some of that money is overseen. It's not disclosed to citizenry so it's not in the budgets, it's not in the financial statements. It supposedly is disclosed to committees overseeing intelligence agencies in Congress. I'm skeptical as to what they see, how much they really see but supposedly they see some.

So what you did with the '47 and '49 Act was created an infrastructure that allowed money to be secretly channeled to secret and very, from a technology standpoint, unbelievably important, powerful projects on a non-transparent basis so there's no accountability. And one of the things I'll tell you as a former government regulator is without transparency, the shenanigans that go on – it is very hard to manage big pots of money without some kind of feedback and redundant transparency to kind of keep everybody in check. ..."

Please click on the image to view the Solari video:

Catherine Austin Fitts is the president of Solari, Inc., publisher of The Solari Report and managing member of Solari Investment Advisory Services, LLC and Sea Lane Advisory, LLC.

Following graduation from Wharton Catherine served as managing director and member of the board of directors of the Wall Street investment bank Dillon, Read & Co. Inc., a small Wall Street investment bank now part of UBS.

Fitts served as Assistant Secretary of Housing and Federal Housing Commissioner at the United States Department of Housing and Urban Development in the first Bush Administration for 18 months and became deeply disturbed by the mortgage fraud.

Upon leaving the George H.W. Bush administration, Fitts created the Hamilton Securities Group Inc. in an apartment in Washington, DC. Hamilton eventually expanded its operations to San Francisco and New York and Fitts served as president of the company until 1998 when she left to establish Solari, Inc. Hamilton Securities had secured a government financial advisory contract during the Clinton Administration and stabilized the HUD loan program through information to the buyers made available on the Internet, allowing for qualified buyers to make better mortgage purchase decisions.

The problem encountered by Hamilton Securities Group was that the instability of the housing market was creating profits for a much larger financial entity which was able to enlist the US Department of Justice to intervene in Hamilton's operations. The company was investigated thoroughly for fraud with no evidence of wrongdoing ever found. However, the litigation connected to the government's action left them broke, not to mention the physical intimidation from the DOJ protecting the NHP and Harvard Endowment who requested the investigation.

Fitts is currently a regular guest on several internet broadcasts that address political issues avoided by mainstream media. The Solari Report is broadcast live three times per month in addition to the blog report discussing what Fitts calls "the deeper news" that helps families protect their personal wealth during times of economic instability.

Fitts states that the current economic climate is the dollar being generally debased and the process is not as much conspiracy as it is huge numbers of financial entities acting to protect their assets. What is occurring is more of an economic re-engineering than a financial collapse. Since the establishment of the WTO, the investment money that was primarily invested in American labor was shifted to more depressed regions of the world for labor exploitation with few or no barriers.

The power of the governments has been undermined by the power of corporations who dictate the terms of economic structure to the international community wishing to do business as a nation. Industrial zones and agrarian zones are being identified economically with international oversight through the banking industry, claiming that the United States used to be the beneficiary of the central banking warfare model and now they are becoming the victim with little change in sight. The underlying and possibly intended results are a process of systematic depopulation and undefended disease by virtue of what Fitts terms the War on Some Drugs.

Background: Catherine Austin Fitts is a graduate of the University of Pennsylvania and earned an MBA at Wharton School. In addition, she has done post-graduate work at MIT. She traveled the world during college and studied Mandarin Chinese at the Chinese University of Hong Kong. Catherine's father was a surgeon and trauma expert. Her mother was an economist who retired from the Philadelphia Federal Reserve to have children.

Fitts's political ascension began at Dillon Read & Company, where she served as Vice President before becoming Managing Director from 1986-89. She began as an associate in 1978 and moved to her assignment in the Bush administration in 1989. She stayed only a short while in the administration, leaving after declining an appointment to the Federal Reserve Board.

Fitts has been an outspoken critic of the George W. Bush administration policies on terrorism and the existence of prior knowledge of the World Trade Tower attacks. In 2004, Fitts published an open letter to then Secretary of State Condoleezza Rice, who had been National Security Adviser at the time of the attack, claiming that the Bush administration was complicit in a governmental stand-down and that Rice should have issued the same warning to the nation that she did for U.S. Attorney John Ashcroft. Ashcroft had been advised by Rice to cancel a flight plan on September 11, 2001.