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Tower of Basel: The Shadowy History of the Secret Bank that Runs the World Paperback – Illustrated, 3 Jun. 2014
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Tower of Basel is the first investigative history of the world's most secretive global financial institution. Based on extensive archival research in Switzerland, Britain, and the United States, and in-depth interviews with key decision-makers -- including Paul Volcker, the former chairman of the US Federal Reserve; Sir Mervyn King, governor of the Bank of England; and former senior Bank for International Settlements managers and officials -- Tower of Basel tells the inside story of the Bank for International Settlements (BIS): the central bankers' own bank.
Created by the governors of the Bank of England and the Reichsbank in 1930, and protected by an international treaty, the BIS and its assets are legally beyond the reach of any government or jurisdiction. The bank is untouchable. Swiss authorities have no jurisdiction over the bank or its premises. The BIS has just 140 customers but made tax-free profits of 1.17 billion in 2011-2012.
Since its creation, the bank has been at the heart of global events but has often gone unnoticed. Under Thomas McKittrick, the bank's American president from 1940-1946, the BIS was open for business throughout the Second World War. The BIS accepted looted Nazi gold, conducted foreign exchange deals for the Reichsbank, and was used by both the Allies and the Axis powers as a secret contact point to keep the channels of international finance open.
After 1945 the BIS -- still behind the scenes -- for decades provided the necessary technical and administrative support for the trans-European currency project, from the first attempts to harmonize exchange rates in the late 1940s to the launch of the Euro in 2002. It now stands at the center of efforts to build a new global financial and regulatory architecture, once again proving that it has the power to shape the financial rules of our world. Yet despite its pivotal role in the financial and political history of the last century and during the economic current crisis, the BIS has remained largely unknown -- until now.
- Print length360 pages
- LanguageEnglish
- PublisherPublicAffairs
- Publication date3 Jun. 2014
- Dimensions13.97 x 2.86 x 20.96 cm
- ISBN-101610393813
- ISBN-13978-1610393812
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Product description
Review
Liaquat Ahamed, author of Lords of Finance: The Bankers Who Broke the World"Adam LeBor has written an absolutely fascinating history of the BIS, perhaps the most enigmatic financial institution in the world. The story he unveils of the many skeletons in its closet and its astounding ability to remake itself periodically only add to its mystique."
Harold James, professor of history and international affairs, Princeton University, and author of Making the European Monetary Union
"Compelling reading--a masterly depiction of the role of the BIS in the Nazi period and Second World War."
Booklist
"It's a story of financial intrigue, secrets and lies, rumor and truth. LeBor, a business journalist (he's also the author of several thrillers), knows how to make a true story about finance as thrilling as any spy novel. A highly entertaining and informative book about the most powerful bank you've probably never heard of."
Reuters Breaking Views
"[Lebor] does a creditable job in this well-researched account." -- New York Times Book Review
"It's a story of financial intrigue, secrets and lies, rumor and truth. LeBor, a business journalist (he's also the author of several thrillers), knows how to make a true story about finance as thrilling as any spy novel. A highly entertaining and informative book about the most powerful bank you've probably never heard of." -- Booklist
"Lebor exposes the wheeling, dealing, and often nefarious activities of global investment bankers...Lively... The historical and contemporary power of the secretive BIS will surprise and alarm readers." -- Publishers Weekly
"An absorbing and thorough examination of one of the world's most important yet opaque institutions." -- Reuters
"Adam LeBor has written an absolutely fascinating history of the BIS, perhaps the most enigmatic financial institution in the world. The story he unveils of the many skeletons in its closet and its astounding ability to remake itself periodically only add to its mystique." -- Liaquat Ahamed, author of Lords of Finance: The Bankers Who Broke the World
Edward Lucas, author of Deception: The Untold Story of East-West Espionage Today
Book Description
About the Author
Product details
- Publisher : PublicAffairs; Illustrated edition (3 Jun. 2014)
- Language : English
- Paperback : 360 pages
- ISBN-10 : 1610393813
- ISBN-13 : 978-1610393812
- Dimensions : 13.97 x 2.86 x 20.96 cm
- Best Sellers Rank: 73,504 in Books (See Top 100 in Books)
- 87 in International Economics
- 100 in Professional Banking
- 164 in Company Histories
- Customer reviews:
About the author

I am a British author and journalist. I grew up in London in the 1970s and studied at Leeds University, where I also edited the student newspaper. I enjoyed a peripatetic career on a number of Fleet Street newspapers with assignments that ranged from seeking London's best dry Martini to investigating Nazi war criminals who found sanctuary in Britain.
In 1991 I decided to become a foreign correspondent and moved to Budapest to cover the aftermath of the collapse of Communism. I also spent much time in the former Yugoslavia, covering the wars in Croatia and Bosnia. I moved to Paris for a year in 1997 to write a thriller, which eventually became The Budapest Protocol, then returned to Budapest. Over the years I have worked in more than 30 countries and enjoyed some hair raising adventures along the way. I returned to London in 2019. I still write books, I review thrillers for the Financial Times and I also work as an editorial trainer and writing coach.
I've written eight non-fiction books and seven novels, which have been published in twelve languages including Chinese, Japanese, Hebrew and Hungarian. These include the ground-breaking Hitler's Secret Bankers, which exposed Swiss economic complicity with Nazi Germany and which was shortlisted for the Orwell Prize; a biography of Slobodan Milosevic, now regarded as the standard work on his life and City of Oranges, which recounts the lives of Arab and Jewish families in Jaffa, and which was shortlisted for the Jewish Quarterly Prize. Hitler's Secret Bankers and City of Oranges have both been republished recently in new updated editions by Head of Zeus.
Tower of Basel, my investigative history of the Bank for International Settlements, the world's most secretive and influential financial institution, is published in the US and Britain by PublicAffairs. It's quite a story.
I am especially interested in the interface between fact and fiction. Complicity with Evil, my investigation into the United Nation's failure to stop genocide, helped inspire my new thriller series, featuring a smart, feisty but haunted heroine. The Geneva Option, the first in a series of books featuring Yael Azoulay, is published by Telegram in Britain and HarperCollins in the US. You can read one of Yael's adventures for free by downloading The Istanbul Exchange, available here for Kindle and from the publisher, HarperCollins US, in all formats. The Washington Stratagem and the Reykjavik Assignment are the second and third books in the trilogy.
I recently completed a trio of critically acclaimed noir detective thrillers set in Budapest, featuring Balthazar Kovacs, a Gypsy detective in the Budapest murder squad. District VIII, Kossuth Square and Dohany Street are published by Head of Zeus.
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As thoroughly researched that the book so well demonstrates with the detailed history of BIS, no real clue is given as to the reason why the then Governor of the Bank of England, Montagu Norman should form such a dubious alliance and deep friendship with Hjalmar Schacht, a fanatical supporter of Hitler and the Nazi Party who served Hitler as President of the central state bank Reichsbank, and as Minister of Economics. It was this 'alliance' that was instrumental in BIS's formation and because of the unaccountable way it had been set up, it allowed the BIS to plunge into the murky world of giving assistance to a state that carried out such illegal, and barbarous acts against great swathes of humanity. It was unforgivable.
After the war, and with widespread alarm at the role played by BIS as an adjunct to the Nazi Party, the Breton Woods Conference in 1944 decided that the BIS should be done away with, and yet somehow with much behind the scenes manoeuvring surprisingly involving John Maynard Keynes, the BIS was allowed to carry on.
Since when, in order to obfuscate the past and to buff up it's image, BIS has 'morphed' into a hybrid mutation as the banker to Central Banks around the world, a self-acclaimed expert in the capital and liquidity ratios held by the commercial banking industry, and some fee earning financial regulatory and monitoring services. However, despite representing and deriving it's not inconsiderable income from Central Banks which are owned indirectly by billions of taxpayers worldwide, it hangs on to the veil of secrecy and almost total unaccountability that was adroitly inveigled by the founding fathers Messrs Montagu and Schacht. On the plus side BIS has an enviable reputation for lavishly entertaining the relative handful of the elite financiers and politicians given admittance to it's architecturally gauche offices in Basel.
A very interesting and yet startling book, particularly the early years of BIS. Whether the BIS will ever be able to shake off it's image as 'Banker to The Gestapo' is doubtful other than through the passing of many more years and authors like Adam Lebor not publishing more books on the subject.
It started getting a bit anti Nazi in parts but that is its historical setting, it's a bit lacking in recent events but then it is subject to a 30 year secrecy rule. A good read worth buying.
Historically, the BIS had strong links with both the US and National Socialist Germany and the latter's ideological and financial heirs in post-war Europe.
One critique that could be made is that the author could have cited more sources in languages other than English.
Early BIS documents reflect the longstanding paternalistic attitude of the banking elite, its dislike of disclosure and transparency, and its unwillingness to admit making mistakes even when these become self-evident.
Anyone who considers these conclusions to be somehow exaggerated should read the book for themselves.




