This is the Panacea-BOCAF division for education and reform of the Australian reserve banking system. For those outside of Australia who wish to learn how they can reform their system please visit our banking reform start page.


The "Reserve" Bank of Australia


“The issue that has swept down the centuries and must be fought sooner or later is, The People versus The Banks”-- Lord Acton John Emerich Edward Dalberg Acton (1834-1902) First Baron Acton of Aldenham.


"The modern banking system manufactures money out of nothing. The process is perhaps the most astounding piece of sleight of hand that was ever invented. Banking was conceived in inequity and born in sin . Bankers own the earth. Take it away from them but leave them the power to create money, and with a flick of a pen, they will create enough money to buy it back again. Take this great power away from them and all great fortunes like mine will disappear, and they should, for then this would be a better and happier world to live in. But if you want to continue to be the slaves of bankers and pay the cost of your own slavery, then let bankers continue to create money and control credit. --Sir Josiah Stamp, president of the Bank of England and the second richest man in Britain in the 1920's, speaking at the University of Texas in 1927.


The Panacea faculty of economics deals with educational material for banking reform. Panacea provides educational mediums, conducts educational workshops and provides a secure legal way for the public to ensure progress. This specific sector relates to the Australian banking system and to the Australian public. The Panacea Faculty of economics provides the only way for the Australian pubic to obtain interest-free and fee-free loans.


We are the only educational facility publicly reporting these facts in as much capacity specifically regarding how interest-free and fee-free loans are possible. Also educating how all money is borrowed from private banks in order to get it into circulation, all money is a debt and cannot be used to pay another debt.



The Australian government has the full power and capability to issue its own interest free and fee free currency with out the need for the intervention and system of the private banks. Banks merely serve a book keeping role and are needed for nothing else.


The Panacea Faculty of economics is run by our very own a veteran researcher of over 35 years, Leonard Clampett:


Aircraft Maintenance Engineer
Airline Transport Pilot (Ret.)
Constitution law researcher & analyst
Engineer RAE (Ret.)
PNG, Borneo & Vietnam Veteran


Len has written 3 books detailing how the money system is run, how specifically it can be revived and how the Australian public can do it.


Len conducting the first faculty of

economics workshop in Brisbane


All that is needed is for the people to know and understand that we can all have interest-free, fee-free loans for housing, business and personal use, right now, and the banks can make the same profits they make now, and still lend in a prudential manner. This new system is laid out in Leonard Clampett’s new book “Out of the Red and Into the Black”.


The author made the decision to devise a new economic system back in 1989. The reason was because the banks use a system, that is completely without mercy, to place all of us into immediate, ever expanding exponential debt by way of the system in use. There is no need whatsoever for a bank to charge either interest or fees on any money they lend, no economic or lawful reason, and they can still make the same profits they make today. It is an imperative that all gen X and gen Y learn this and learn how to change the system because they will bear the full brunt of the exponential rising debt and will suffer until such time as they decide to fix it.



Out of the Red & Into the Black by Len Clampett is a very readable investigation of the money issues of which every taxpayer should have an understanding but in all too many cases does not. Reading this publication gives people a realization of why the change from today's catastrophic and fundamentally illegal, immoral system involving the private banks cannot come too soon.Highly recommended.


The power to “create credit” or "create money” is unnecessarily in private hands when constitutionally it can be restored into the hands of government for the people, where money manipulation, usury and the burden of interest and fees are not possible. Interest-free and fee-free loans are possible and a safe pecuniary management can only result through the following system, facts prove it clearly and unequivocally.


The unique advantage of the Panacea Faculty of Economics is not only in the caliber of our educational material, but in providing the medium for the public to MANDATE (ensure) the system changes over - This cannot come at a more critically important time.


Deep concerns- Reserve Bank of Australia (RBA) Governor Glenn Stevens

warns that interest rates are likely to rise again. Picture: Ray Strange


The problems that Australian's face with our system of allowing private banks to issue credit created "out of thin air” and providing debt based financial instability is currently being addressed. This is a progressive process.


The Australian Panacea Faculty of Economics provides a SECURE legal way with legal MANDATES that is intended to motivate signatures from this education. Education that frees you from the current "fraud" that is the Australian system operated free of cost by the private banks. Education beats legislation hands down every time.


How would you like interest-free and fee-free loans?



Most will not know that:


1) The only service banks perform is bookkeeping.

2) The private banks only exist to make profit.

3) Banks never loan money, they advance credit, credit which they create in their computers.

4) Banks buy real estate by “honouring” their own cheques.

5) Banks create credit out of thin air, just the way the government could do it, but has allowed the banks to do it in a exponential profit at our expense.


The Panaea faculty of economics has sent letter's to the CEO's of 13 major banks in Australia along with the Creation of money quotes. There is no excuse for therm to not knowing how a better system can serve the public. These records can be provided upon request. contact us


Leonard Clampett runs the fair go mate web-site which is an additional mirror to the themes and content presented on this site.


Click for Website


By purchasing this book through the stop the pain now web-site you will get a Mandate form included with which we can all implement this new economic system that will free us from horrendous debt. We consider te purchase a donation to help spread the education - Can you help?


For those who are unable to purchase the book and get a mandate form to sign and send in, and "just want to get it done", you can download the mandate form at the link provided.


EASY - Mandate form instrucitons


1)Down load and print the form

2) Sign it

3) Send it to the Panacea faculty of economics

Address- Care of Leonard Clampett
50 Harding Street
Enoggera Qld 4051


Download - Australian Mandate form


If you do not live in Australia you can still help, here is an international mandate form which still counts and supports this goal.


Download - International Mandate Form


This information needs your help to spread effectively through blogs, friends, community groups and the media. Please help forward this to your government members and to as many as possible. We are all needed to work together, that is the very essence of the Panacea spirit.


Panacea continues to do educational workshops and can make available Len's educational workshop DVD covering this subject matter FREE to any educational institute or member of any government - contact us. If your a member of the public and would like to get a hold of this DVD, please note any donation helps us continue to spread this education.


Contact the faculty of Economic's (Click Image For Email)



Some relative FACTS.


-Under the Panacea faculty of economics "fair go mate" Mandate for interest-free and fee-free loans - It will prevent politicians from ignoring the welfare of The People. Currently the politicians are not ensuring that the government creates all money required for all purposes of government. The parliament allows private bankers to do what the government should do, and the private bankers make enormous profits from that and even charge the government interest on the money the government borrows from those same private banksters.


-All “money”/credit comes into common circulation as a result of private bank lending and has done so in Australia since 1924.

-All “money” begins life as credit created by private banks.

-All “money” begins as a bank deposit created at the time a loan is advanced.

-Banks never loan money, they advance credit.

-No bank does, has ever, or could ever, make a profit by accepting deposits and on-lending them.

-Banks are manufacturers of credit bookkeepers and nothing more.

-Any money loaned through accepting it by way of “investment” and on-lending it, is the province of financial intermediaries.

-Banks are not, and have never been, financial intermediaries.


-The RBA does not create any money, it mints coins under contract and prints notes


-Money creation is in private hands in Oz. The government DOES not create any money.

-94% of all money in circulation in Australia is in the form of credit created by the private banks.

-The other 6% is coins and notes and the only way you can get coins and notes is if you give the bank back some of the credit you borrowed from the banks.

-The banks get the notes and coins as COST from the Reserve bank by issuing credit to the Reserve Bank.

-If a bank requires a $100 note from the RBA it will issue the RBA credit for the amount, which is about 6 cents and in return get the polymer note, which the bank will the trade to you for $100 worth of credit from you. Neat con, isn’t it?

- The RBA is broke because each month its assets exactly equal its liabilities, whereas the private banks B.A.G (Bank Asset Growth) increases with every passing moment.


Noteable related quotes


“Men stumble over the truth from time to time but most pick themselves up and hurry off as if nothing happened.”
-- Winston Leonard Spenser Churchill


"Capital must protect itself in every way," through combination and through legislation. Debts must be collected and loans and mortgages foreclosed as soon as possible. When through a process of LAW the common people have lost their homes, they will be more tractable and more easily governed by the strong arm of the law, applied by the central power of wealth, under control of leading financiers. People without homes will not quarrel with their leaders." -- "Banker's Manifest", for private circulation among leading bankers only, taken from the Civil Servants' Year Book, "The Organizer" of January, 1934



It is well that the people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning.
-- Henry Ford


“The government should create, issue, and circulate all the currency and credits needed to satisfy the spending power of the government and the buying power of consumers. By the adoption of these principles, the taxpayers will be saved immense sums of interest. Money will cease to be master and become the servant of humanity.”
-- Abraham Lincoln, 16th US President


“Banking was conceived in iniquity and born in sin. The Bankers own the earth. Take it away from them, but leave them the power to create deposits, and with the flick of the pen they create enough deposits to buy it back again. However, take it away from them, and all the great fortunes like mine will disappear, and they ought to disappear, for this would be a happier and better world to live in. But, if you wish to remain the slaves of the Bankers and pay the cost of your own slavery, let them continue to create deposits.”-- Sir Josiah Stamp (Chairman of the Bank of England in the 1920’s, and then the second richest man in Britain)


“The central bank is an institution of the most deadly hostility existing against the Principles and form of our Constitution. I am an Enemy to all banks discounting bills or notes for anything but Coin. If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs.”-- Thomas Jefferson, 3rd US President.



“When a bank lends it creates money out of nothing.”-- Mr. R. G. Hawtrey, previously Assistant Under Secretary to the British Treasury, in his “Trade Depression and the Way Out.”


When a bank lends, it creates credit. Against the advance, which it enters amongst its assets, there is a deposit entered in its liabilities. (This is ‘double-entry’ book-keeping.) But other lenders have not this mystical power of creating the means of payment out of nothing. What they lend must be money that they have acquired through their economic activities.”-- From his book, “The Art of Central Banking”, by Mr. R. G. Hawtrey.


“Banking is little more than book-keeping. It is a transfer of credit from one person to another. The transfer is by cheque. Cheques are currency (not legal tender). Currency is money.”-- The late Sir Edward Holden, an eminent British banker.


“There is no more unprofitable subject under the sun than to argue any banking or credit points, since there are enough substantial quotations in existence to prove to the initiated that banks do create credit without restraint.”-- The July, 1938, issue of ‘Branch Banking’, an English Bankers’ Journal.



“Whoever controls the volume of money in any country is absolute master of all industry and commerce.”
-- James A. Garfield, 20th US President.


“In 1911 the Commonwealth Bank was established, not as a central bank to manage credit for the benefit of the community, but to compete with the private profit-making banks “whose gradual extinction, would follow as a matter of course.”-- A.G.L. Shaw, senior lecturer in History, University of Sydney. The Economic Development of Australia (Longmans 1944).


“History records that the money changers have used every form of abuse, intrigue, deceit, and violent means possible to maintain their control over governments by controlling money and its issuance.”
-- James Madison, 4th US President

“Banking establishments are more dangerous than standing armies.”-- Thomas Jefferson, (Letter to Elbridge Gerry, Jan. 26, 1779).


Despite warnings, U.S. President Woodrow Wilson signed the 1913 U.S. Federal Reserve Act. A few years later he wrote: “I am a most unhappy man. I have unwittingly ruined my country. A great industrial nation is controlled by its system of credit. Our system of credit is concentrated. The growth of the nation, therefore, and all our activities are in the hands of a few men. We have come to be one of the worst ruled, one of the most completely controlled and dominated governments in the civilized world, no longer a government by free opinion, no longer a government by conviction and the vote of the majority, but a government by the opinion and duress of a small group of dominant men.”-- Woodrow Wilson, 28th US President.


“Today in Australia, as in most other modem economics, all money is a debt of the banking system. When a banker grants a customer credit by overdraft, the bank ‘opens an account’ in its books and gives the client the right to draw funds without first having to put money into the account. But bank deposits only increase when the customer actually draws on the account to pay his creditors. In the case of loans, funds are deposited directly to the customer’s credit and results in an immediate increase n the volume of money. In either case the money supply increases as a result of the bank’s lending activities. As long as the debt remains outstanding the community’s quantity of money is increased.”-- An extract from the article, ‘Sources of Money,’ in the Bank of New South Wales Review, October 1978.


Whatever the Australian people can intelligently conceive in their minds and will loyally support, that can be done.” -- Sir Denison Miller, First Governor of the Commonwealth Bank, on the 7th July 1921, in response to a question at a press conference asking if he could issue credit free of usury in peace time, (as he had during the First World War) for construction of public projects.


“Any given piece of expenditure can be financed from one of four sources (or a combination of these sources)


(a) new savings;

(b) accumulated reserves;

(c) money borrowed, other than a bank;

(d) money borrowed from a bank.


“The last source differs from the first three because when money is lent by a bank it passes into the hands of the person who borrows it without anybody having less. Whenever a bank lends money there is, therefore, an increase in the total amount of money available.”
-- The former Governor of the Reserve Bank of Australia, and economic adviser to every Australian Prime Minister from the 1940’s until his death in the mid 90’s, Dr. H. C. Coombs, in the “E. S. & A. Research Address” at Queensland University on September 15, 1954.


“The process of creation of money by banks is still commonly described as involving ‘the deposit of money by customers with banks,’ which can then ‘lend out more money than they have,’ because some of the money they have lent out ‘comes back to them as deposits,’ Nowadays, it is a mischievous and very misleading description. It is misleading because it wrongly suggests;.


.(a) that notes and coin are, but deposits are not, money;

(b) that banks merely borrow and lend money created by someone else; and (c) that deposits come into existence primarily through bank customers paying in notes and coin, and only secondarily through bank lending.”
-- H. W. Arndt and C. P. Harris, in their textbook “The Australian Trading Banks”, clarify this further in a special appendix, “The Creation of Money”:


“This is a staggering thought. We are completely dependent on the commercial Banks. Someone has to borrow every dollar we have in circulation, cash or credit. If the Banks create ample synthetic money, we are prosperous; if not, we starve. We are absolutely without a permanent money system. When one gets a complete grasp of the picture, the tragic absurdity of our hopeless position is almost incredible, but there it is. It is the most important subject intelligent persons can investigate and reflect upon. It is so important that our present civilization may collapse unless it becomes widely understood and the defects remedied very soon.”-- Robert H. Hemphill, (Credit Manager of Federal Reserve Bank, Atlanta, Ga., USA):


“I am afraid the ordinary citizen will not like to be told that the banks can, and do, create and destroy money. The amount of money in existence varies only with the action of the banks in increasing or decreasing deposits and bank purchases.”-- The Rt. Hon. Reginald McKenna, one time Chancellor of the Exchequer, and Chairman of the Midland Bank, (recorded in his book ‘Post War Banking’).


“The other important function which is exclusive to the banking system, is to create the community’s money supply, and to administer the monetary system. The two functions are intimately connected since modern money is created by banks in the process of granting credit.” (Note: To create means to produce out of nothing.)-- Professor Heinz Wolfgang Arndt, Professor of Economics at the National University, Canberra, writing on Banking in The New International Illustrated Encyclopaedia,’ (Vol. 1, page 321).


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