Beware, your sins will find you out.
So said my mother as I was growing up. Right now I’m wondering if they have a saying like that in Arabic. There might be a few nervous men in Saudi Arabia right now.
On Tuesday, the United States Senate passed a bill that will allow family members of 9/11 victims to sue the Saudi Arabian government for any role in the terrorist attack.
The legislation is called Justice Against Sponsors of Terrorism (JASTA). If it became law, it would remove sovereign immunity from any government found to be involved in terror attacks on US soil.
This story has been brewing for some time before reaching the headlines. What’s even more interesting is that White House under President Obama is apparently doing everything it can to kill this bill.
So is Saudi Arabia. It’s even threatened to sell off US$750 billion in US assets that it owns.
The bill isn’t a done deal yet. It has to get through the House of Representatives, and be signed into law by the President. Obama has suggested he will veto the bill if it comes to his desk.
Why are they so spooked?
Here’s the most likely reason why. This is from 9/11 widow Kirsten Breitweiser:
‘Clearly, the Saudis are deeply concerned about JASTA since it would mean all the incriminating evidence gathered against them and their alleged role in the 9/11 attacks would finally be revealed and presented in an open court of law — nearly 15 years after the crime was committed.
‘Indeed, many who have seen this evidence have commented that Americans will find the information “shocking” and that the “revelations will require a complete re-appraisal of the U.S./Saudi relationship.”’
15 years. 180 months. One emotional point to another, in key time frames. And the Saudi Kingdom is almost 90 years of age.
Sam told you yesterday on how the history and politics of oil in the Middle East has always been dirty and corrupt, since 1900. It’s not any cleaner now, I’m sure.
Governments don’t like their dirty deeds being made public…
Do the US and Saudi Arabian governments have something to hide?
You may not remember that 15 of the 19 men who hijacked the planes as part of 9/11 were Saudi citizens.
There’s never been official confirmation of Saudi government links to the terrorists. However, there happens to be 28 pages from the official 9/11 enquiry that have stayed classified on grounds of national security.
It’s rumoured to detail the network that financed and trained the hijackers on the West Coast of America before the attack. There’s now pressure coming onto the US government to declassify this information.
My co-editor Phil Anderson has been around markets a fair while. He was trading during the 9/11 events.
He showed his early subscribers how enough people knew those events were coming to influence the price of a number of involved stocks (notably airlines). The Dow had already broken key support levels just prior to the event. Jim Rickards confirmed this insider trading in his book The Death of Money.
If you’d like to know more about charts and how they forecast future events, go here.
60 Minutes in the US recently did a story on this, saying Saudi involvement has always been soft pedalled.
Author and investigative journalist Paul Sperry says that’s an understatement. He wrote recently:
‘Actually, the kingdom’s involvement was deliberately covered up at the highest levels of our government. And the coverup goes beyond locking up 28 pages of the Saudi report in a vault in the US Capitol basement. Investigations were throttled. Co-conspirators were let off the hook.
‘Case agents I’ve interviewed at the Joint Terrorism Task Forces in Washington and San Diego, the forward operating base for some of the Saudi hijackers, as well as detectives at the Fairfax County (Va.) Police Department who also investigated several 9/11 leads, say virtually every road led back to the Saudi Embassy in Washington, as well as the Saudi Consulate in Los Angeles.
‘Yet time and time again, they were called off from pursuing leads. A common excuse was “diplomatic immunity.”’
And of course there’s one figure that looms over this debate right now…
The man who might break open the truth around 9/11
Yep, you guessed it: Donald Trump.
Here is a man who is positioning his campaign as anti-Wall Street and anti-Washington. There is every possibility that he will come out and say that he will support the passage of JASTA.
The US has the upper hand here, and Trump must know it. The US no longer needs Saudi oil as it once did. And the Saudis are already selling off assets to fund their government deficits. That’s not to mention that the House of Saud is not quite as secure as it has been in the past with a resurgent Iran, a war in Yemen to the south and Syria to the north.
Can you imagine it? A Republican Presidential candidate not towing the line on the US/Saud relationship that goes back at least 50 years?
It could throw the cosy, fascist nexus between Wall Street, Washington and the military-industrial complex into a frenzy.
Trump may indeed be the catalyst for the US market to take a highly emotional drop 180 months on from 9/11. After all, what goes around, comes around.
For The Daily Reckoning
Ed Note: This article was originally published in Money Morning.