IS THE ISLAMIC GOLD DINAR A REAL THREAT?

July 1, 2004

By Craig R. Smith, CEO SATC

What's an Islamic gold dinar? ...
Is it a threat to the U.S. dollar? ...
Can radical Islamic convince Muslims to use the gold dinar instead of the dollar?
How will a falling dollar impact the priced-for-perfection U.S. stock market?


TERRORIST NEWS ALERT
Jun 7, 2004 - Western Airliners May Be al-Qaida Target -AP CAIRO, Egypt (AP) - A statement bearing Al-Qaida's name warned Monday that Western airliners will be the terror group's target. The statement appeared on an Islamist Web site known for posting messages from militants, including the video in which a terror group with al-Qaida links executed the American kidnapped in Iraq, Nick Berg. The statement's authenticity could not be immediately verified, but it was signed "Al-Qaida on the Arabian Peninsula." The statement referred "crusaders" and warned "all that is affiliated with these crusaders - from compounds, bases and means of transport - especially Western and American airliners, will be direct targets of our next operations, with God's help." The statement begins by warning all Muslims to avoid "contact with the American and Western crusaders and all non-believers in the Arabian peninsula." It urges Muslims to ignore Americans and Westerners "in their homes, compounds, movements and means of transport - in all shapes and forms." The statement says the purpose of this warning is to spare Muslim blood.
May 13, 2004 (TheJakartaPost.com) -- INDONESIAN MINISTER GRILLED OVER HAJ ACCOUNTS, Advises pilgrims to save gold dinars -- by Dewi Santoso -- A total of 205,000 pilgrims a year are officially allowed to visit Saudi Arabia for the "haj" (once in a lifetime Muslim pilgrimage to Makka) under a quota system. Indonesia Minister of Religious Affairs, Said Agiel Al Munawar; "suggested that the pilgrims be required to save gold dinars that could be changed into rupiah to finance their trip. One gold dinar has an international standard of 4.5 grams of 22 carat gold. And as far as I can recall, the price of gold has never decreased. This system will benefit Muslims," he said. Malaysia has had a similar program running since last year.
FULL STORY

Apr 18, 2004 (FOX News) -- "Some people think that the response to 9/11, to that act of war that was committed against us, to the people who tried to decapitate us on that day and shut down our financial system, that the response to that ought to be limited war."

-CONDALEZZA RICE, U.S. National Security Advisor (Full transcript)


Feb. 4, 2004 (IFN) -- ISLAMIC DEVELOPMENT BANK HOSTS MEETING OF EXPERTS ON GOLD DINAR. A meeting of experts from Central Banks, financial and academic institutions from Member Countries of the Islamic Development Bank (IDB) was held today at the IDB Headquarters to discuss a proposal from Malaysia on using Gold Dinar for international trade among OIC Member Countries.The Bank is expected to submit a report based on the outcome of the experts meeting at the forthcoming Islamic Summit to be held in Kula Lumpur, Malaysia, during next month. The present membership of the Bank consists of 55 countries. FULL STORY

LISTEN to Craig Smith Interview 2/3/04 with KFNN on Dollar risks and the new gold Dinar. LISTEN (3:12 trt)


INTRODUCTION:
WHAT IS THE ISLAMIC GOLD DINAR?

A.D.700 - A.D. 1924: From the very beginning, Muslims used a gold coin called a Gold Dinar as their form of money. The Gold Dinar remained the official Islamic currency until the collapse of the Ottoman Empire in 1924... when it disappeared for 77 years.

But on Nov. 7, 2001 -- less than two months after the terrorist attacks of Sept. 11 -- the Islamic Dinar was officially re-launched by the Islamic Mint in West Malaysia and is now available to the public.

Although a beautiful coin, the Gold Dinar could pose a serious threat to the U.S. economy! In fact, its supporters believe the Gold Dinar will become the official currency of more than 1.5 BILLION Muslims worldwide. Now radical Islam is urging Muslims worldwide to drop the U.S. Dollar and adopt the Gold Dinar as their primary currency!

WHY IS THE DINAR A THREAT TO THE U.S. DOLLAR?

Since the reissue of the Gold Dinar in November 2001, the U.S. Dollar has dropped to a RECORD LOW against the euro... while the price of gold has SOARED from about $260 per ounce to an 8-year RECORD HIGH of over $410 per ounce. And this is just the beginning!

As the dollar continues to drop, the priced-for-perfection stock market could be impacted dramatically. Unprepared investors could lose BILLIONS! It's no coincidence that Osama bin Laden chose to strike the World Trade Center on Sept. 11... Why?

Because, the World Trade Center represented the heart and soul of the U.S. economy. And destroying the U.S. economy is the main pillar of bin Laden's strategy to bring down the United States.

Back in 1997, there was a huge and devastating currency raid by the famous trader, George Soros, who leveled Asian monetary units and caused the major Asian economies to falter. It is true that some of those economies have not fully recovered. However, it is also true that history may point to this currency raid and raider as the germination of the seed for the uniting factor of Islamic economic power that changed the economic and monetary world.

FROM OIL FOR DOLLARS ... TO ... OIL FOR GOLD!

On Jan 18 Forbes reported that Sell oil for gold, Mahathir tells Saudi Arabia ... "Former Malaysian Prime Minister Mahathir Mohamad said on Sunday that Saudi Arabia should sell oil for gold, not dollars, to avoid being "short-changed" by a decline in the U.S. currency ... He suggested countries tally their total annual imports and exports and settle the difference at the end of the year in "gold dinars."

Recent news supports the idea that the Gold Dinar, with support from 53 other Islamic nations, is a planned offensive against the use of the dollar as a settlement currency for oil. It is perceived, and correctly so, that the Islamic world is controlled via the use of the US dollar as the main settlement currency.

When I say "controlled" I mean whatever happens economically in the USA is exported there via the dollar. Dollars exchanged for the Gold Dinar currency as a measure for gold settlements quarterly or gold convertible to pay for certain oil imports would end all the debate of whether or not gold has a place in the monetary system.

CAN RADICAL ISLAM CONVINCE MUSLIMS TO USE THE GOLD DINAR INSTEAD OF THE DOLLAR?

IF it was just the radical fundamentalists that were pushing the gold Dinar, you could presume that this movement would never get off the ground, BUT it is not.

On Jan. 8, 2004 the Malaysian Star reports, "Malaysian gold mine bought to promote gold dinar -- MALAYSIA-BASED IGD Practice (Labuan) Ltd is buying into a gold mine in Kazakhstan in a bid to promote the use of gold dinar globally."

According to John Myers, Outstanding Investments A 1,300-year-old gold dagger;

"Many Muslims believe that the United States is responsible for the enormous devastation suffered by hundreds of millions of Muslims during the Asian Currency Crisis of 1997. This ANGER will provide a powerful incentive for Muslims to get even with the United States by selling dollars and buying Islamic Gold Dinars.

Just take a look at this quote from the Islamic Mint Web site:

"... he heard the Messenger of Allah say: "'A time is certainly coming over mankind in which there will be nothing [left] which will be of use save a dinar...'"
-- Imam Ahmad ibn Hanbal

I think it's obvious. These folks don't just want the dollar to drop, they want the U.S. dollar to disappear. Permanently!

Last year SwissAmerica.com posted a ground-breaking story by Jim Sinclair, "The Gold Dinar: A Nuclear Wild Card," which quoted the Islamic "AL-FATH AL-'ALI AL-MALIKI" (PP. 164-165)

"This Fatwa considers paper-money to be fulus, because it only represents money and does not have value as merchandise. It follows that since Zakat cannot be paid in fulus, which has no value as merchandise, it cannot be paid in paper-money, which value as weight of paper is null. On this basis, it becomes clear the urgent need to restore the use of the Dinar and the Dirham as payment of Zakat. If the millions of Muslims who now make their payment of Zakat in paper money would do it in newly minted Dinars and Dirham's, they will put in circulation millions of gold and silver coins into the mainstream of daily commercial activities of our communities. That single act will became the most important political act of the century, opening the path towards the establishment our own halal free currency breaking away from the usurious financial system. The return to the payment of zakat in gold and silver is an essential part of the reestablishment of Islam."

Those are serious words and should not be taken lightly. You see, the establishment of a gold-based currency is rebellion against the IMF as it is distinctly forbidden under IMF rules.

RESTORING THE FOURTH PILLAR OF ISLAM: ZAKAT IN GOLD & SILVER

Here is where the Gold Dinar story gets interesting -- and even somewhat ironic to those who understand the Judeo-Christian principle of both tithing and the biblical requirement of just weights and measures in an honest money system. [More on these topics at our Christian Worldview of Economic website (www.true-wealth.com) SEE ... INFLATION: THE PRICE OF UNHOLY MONEY ... TITHING: THE PATHWAY TO BLESSING].

According to Islam, Muhammad was reported to have said, “Islam is based upon five pillars:
· to make Shahadataan (declaration of faith)
· to establish Salaah (formal prayer)
· to make Sawm (fasting in the month of Ramadaan)
· to give Zakat (or Zakaah) (charity)
· to perform Hajj (pilgrimage to the Ka'bah)."

It is this fourth “pillar” that I want to focus on for a moment. The fundamentalist branch of Islam (about 10% of 1.3 billion followers – that’s 130 million! – about 1/3 of U.S. population) holds to the belief system stated above … “The return to the payment of Zakat in gold and silver is an essential part of the reestablishment of Islam."

The literal meaning of the word Zakat is: grow (in goodness) or 'increase', 'purifying' or 'making pure'. The vital importance of Zakat is reflected in Islamic law: "My mercy encompasses all things, but I will specify it for the righteous who give Zakat" (7:156). “Zakat must be given away "on the day of harvest" (6:141). Whenever we receive "net income," the "known amount" of Zakat should be paid or set aside. This known amount is 2.5%.” SOURCE: Submission.org

According to Viewislam.com…”Zakat (or Zakaah) is an obligatory form of charity on savings. It is not an income tax, but a savings tax. Its major recipients are the working poor, who cannot meet all of their needs without some additional help, and the destitute, who cannot even meet their basic needs. It is also used to pay off the debts of those who are unable to pay off their own debts, to free slaves and ransom prisoners of war and to reconcile the hearts of new Muslims who may not yet have a firm foundation of faith. Other lawful recipients are stranded travelers, those engaged in jihad and employees of the state working to collect and distribute zakaah. Their wages come from it.

"Zakaah is due on the following forms of wealth: Gold and silver, Business inventory, Livestock, Agricultural produce and even buried treasure. The amount due is 2.5% of savings when it reaches the equivalent value of 85 grams (approximately three ounces) of gold. This minimum amount on which zakaah is due is called the nisaab. Although some scholars say that money should be pegged to the nisaab of silver, i.e., 595 grams, the majority considers gold to be a more reasonable peg for developed economies." [The Practice of Zakat by country]

So, under Islamic law Zakat is a form of Muslin tithing to God for the support of the less fortunate or jihad -- and it is to be paid in gold or silver, not paper currencies without any intrinsic value.

It is clear that the restoration of a gold and silver dinar is part of the mission of Islamic fundamentalist and, if successful, it could send the value of the U.S dollar spiraling downward if the Arab world decides to start valuing the price of oil in gold dinars instead of U.S. dollars.

CONCLUSION: BE PREPARED FOR THE THIRD GREAT JIHAD!

The U.S. dollar has never had as many enemies as it has today. Does it make sense to have all of your assets linked to the U.S. dollar right now -- OR -- to have a portion of your assets directly linked to gold?

According to author and geopolitical expert, Larry Abrahams ...

This war [on Terror] is what the Jihadists themselves are calling the "Third Great Jihad." They are operating within the framework of a time line which reaches back to the very creation of Islam in the seventh century and are presently attempting to recreate the dynamics which gave rise to the religion in the first two hundred years of its existence.

The strategy for this "holy war" did not begin with the planning of the destruction of the World Trade Center. It began with the toppling of the Shah of Iran back in the late 1970ąs. With his plans and programs to "westernize" his country, along with his close ties to the U.S. and subdued acceptance of the State of Israel, the Shah was the soft target.

The Third Jihad now had a base of operations and the oil wealth to support its grand design or what they call the "Great Caliphate". What this design calls for is the replacement of all secular leadership in any country with Muslim majorities. This would include, Egypt, Turkey, Pakistan, Indonesia, all the Emirates, Sudan, Tunisia, Libya, Algeria, Morocco, Yemen, Syria, Lebanon, Jordan, Malaysia, Indonesia and finally Israel.

As a part of this strategy, forces of the jihad will infiltrate governments and the military as a prelude to taking control, once the secular leadership is ousted or assassinated. Such was the case in Lebanon leading to the Syrian occupation and in Egypt with the murder of Anwar Sadat, along with the multiple attempts on the lives of Hussein in Jordan, Mubarak of Egypt and Musharraf in Pakistan. Pakistan is a particular prize because of its nuclear weapons.

The long-range strategy of the Third Jihad counts on three strategic goals. First, the U.S. withdrawing from the region just as it did in Southeast Asia, following Vietnam. Second, taking control of the oil wealth in the Muslim countries, which would be upwards to 75% of known reserves; third, using nuclear weapons or other WMDs to annihilate Israel. A further outcome of successfully achieving these objectives would be to place the United Nations as the sole arbiter in East/West negotiations and paralyze western resistance, leading to total withdrawal from all Islamic dominated countries.

We are in the battle of our lives, a battle which will go on for many years possibly even generations. If we fail to understand what we are facing or falter in the challenge of "knowing our enemy" the results will be catastrophic. Imagine a world where al Qaeda regimes control 75% of the world's oil, have at their disposal nuclear weapons, legions of willing suicide soldiers, and our national survival is dependent on the good graces of Kofi Annan and the United Nations.

SOURCE: THE CLASH OF CIVILIZATIONS: The Third Great Jihad My recommendation is to understand that terrorism can take many forms, including currencies. The rapid decline of the U.S. dollar in the last two years should be telling us something which historians have long warned ... "the destiny of a currency determines the destiny of a nation."

Every paper currency without a gold/silver backing in history has ultimately fallen to it's true value ... ZERO!! Could it happen to the precious U.S. dollar? YES!

The U.S. Constitution demands a gold and silver-backed money system. Recently New Hampshire proposed moving to a gold/silver state currency (HB-1342) for that very reason. Other states are now considering the same.

My advice is to get ahead of the currency curve by converting a reasonable portion of your assets into gold, thereby putting yourself on a "Personal Gold Standard." Your alternative is to wait for next attack upon the U.S. dollar either from within ... under the crushing weight of our national debt and deficits ... or from without ... under the weight of international competition from a gold-backed currency like the Gold Dinar.


REQUEST YOUR FREE 2004 GOLD RUSH KIT to understand why gold ownership is your best protection against financial terrorism in 2004. (a $25 Value!)
Read more about the Gold Dinar at SwissAmerica.com.

RELATED STORIES:
3/11/04-- Lions Of Al-Mufridoon Claim Madrid Bombing - Jihadunspun.com
DISCLAIMER: All of the information in this story is believed to be true, however errors are possible. Past performance is no guarantee of future performance. All investments have risk. -SATC

Follow Us

Share Page

Login

Get access to the latest trading information, tools to help your investing, and much more!

Login   Sign Up

Search

Weekly Charts

Current Spot Prices

Gold$1172.95
Silver$16.16
Platinum$1236.50

Special Offers

 
  • About Swiss America
  • The moment you contact Swiss America, our team of trained professionals stand ready to serve you…
 
© 2012 Swiss America Trading Corp. All Rights Reserved.   |   Privacy Policy   |   Site Map   |   Contact Us   |   Mobile Version
SWISS AMERICA and Logo are trademarks of Swiss America Trading Corp.