The Real Game of Missing Money C h a p t e r V . The Mi s s i n g Mo n e y C h r o n o l o g y “ T e m p u s F u g i t ( T i m e fl i e s ) ” ~ V i r g i l DATE EVENT CATEGORY 19340131 Gold Reserve Act creates the Exchange Stabilization Fund (ESF). “The fund began operations as of April 27, 1934, financed by $2 billion of the $2.8 billion paper profit that the government realized from devaluation, that is, from raising the price of gold to $35 an ounce from $20.67. This sum was deposited to its account with the Treasurer of the United States (Treasury AR 1935, Exhibit 40, p. 265). The fund was authorized to deal in gold and foreign exchange in order to stabilize the exchange value of the dollar, to invest any portion of the fund not currently required for stabilization purposes in direct obligations of the United States." [Source: Anna J. Schwartz, “From Obscurity to Notoriety: A Biography of the Exchange Stabilization Fund.”] The ESF is excluded from the Congressional appropriations process and Treasury is not required to justify its expenditures or investments to Congress. law 19410000 The War Powers Act authorizes the U.S. Treasury’s Exchange Stabilization Fund to serve as a holding pool for captured Nazi valuables—currency, gold, precious metals, and even stocks and bonds—seized as the Germans or other Axis governments attempt to smuggle them out of Europe. law 19470000 The U.S. National Security Act of 1947 approves the "black budget." This legislation also creates the Central Intelligence Agency and the National Security Council. law 19490527 CIA Act passes into law. permitting the Central Intelligence Agency to use confidential fiscal and administrative procedures and exempting it from many of the usual limitations on the use of federal funds. The Act (Section 6) also exempts the CIA from having to disclose its “organization, functions, officials, titles, salaries or numbers of personnel employed.” It also creates a program called PL-110 to handle defectors and other “essential aliens” outside normal immigration procedures, as well as give those persons cover stories and economic support. law 19620213 The Federal Open Market Committee (FOMC) authorizes open market transactions in foreign Event law 1 7 5