Tower of Basel: The Secret Power Behind the World's Money by Adam LeBor Summary

1. Tower of Basel exposes the secretive Bank for International Settlements' global influence.
2. The BIS operates beyond any government's jurisdiction under international treaty protection.
3. Adam LeBor documents how the BIS accepted looted Nazi gold during WWII.
4. The central bankers' bank generates tax-free profits exceeding one billion annually.
5. Tower of Basel reveals how 140 customers control four-fifths of global GDP.
6. The book exposes BIS's critical role in creating the European Euro currency.
7. LeBor argues the Bank for International Settlements lacks democratic accountability and transparency.
8. Swiss legal immunity shields the BIS from all banking laws and regulations.
9. Tower of Basel is investigative journalism based on extensive archival research worldwide.
10. The bimonthly governors' meetings shape global financial regulations affecting billions of people.
11. Adam LeBor calls for major reforms or dismantling the unaccountable BIS.
12. The book reveals how central bankers' secrecy threatens modern financial system stability.

About the Author

Adam LeBor is the acclaimed author of Tower of Basel: The Shadowy History of the Secret Bank that Runs the World and an investigative journalist specializing in international finance, European history, and covert institutions. This groundbreaking work of investigative non-fiction exposes the secretive Bank for International Settlements—a complex financial enterprise founded in 1930 that serves as the central bank for central banks—drawing on LeBor's decades of experience as a foreign correspondent covering central and eastern Europe for The Times, The Independent, and The Economist.

LeBor has authored nine non-fiction books, including the Orwell Prize-shortlisted Hitler's Secret Bankers, which exposed Swiss complicity with the Nazis, and City of Oranges, a New York Times Editor's Choice. He also writes thriller novels and currently contributes to the Financial Times, where he reviews financial and political books. LeBor works as an editorial trainer for Economist Education and the Financial Times, and serves as a journalism tutor at Budapest's Mathias Corvinus Collegium.

His books have been published in fourteen languages, including Chinese, Hebrew, and Japanese, establishing him as a leading voice on financial secrecy and institutional accountability.

FAQs About This Book

What is Tower of Basel by Adam LeBor about?

Tower of Basel by Adam LeBor is an investigative history of the Bank for International Settlements (BIS), the world's most secretive global financial institution. The book exposes the BIS's controversial role during World War II, when it accepted looted Nazi gold and facilitated transactions for the Reichsbank, while examining its continued influence over global monetary policy through closed-door meetings of central bank governors.

Who is Adam LeBor?

Adam LeBor is a British investigative journalist and author who worked as a foreign correspondent covering Hungary, central Europe, and the Balkans for The Times, The Independent, and The Economist. He has written nine non-fiction books, including Hitler's Secret Bankers, which was shortlisted for the Orwell Prize. LeBor specializes in exposing financial secrecy and European political affairs, with his work published in fourteen languages.

Who should read Tower of Basel?

Tower of Basel is ideal for readers interested in global finance, central banking, economic history, and institutional power. Bankers, policymakers, economists, and investigative journalism enthusiasts will find value in LeBor's examination of financial secrecy. It's particularly relevant for those seeking to understand the hidden mechanisms behind international monetary policy and the accountability gaps in global financial institutions that shape economic outcomes.

Is Tower of Basel by Adam LeBor worth reading?

Tower of Basel is worth reading for its groundbreaking research into an opaque institution, featuring exclusive interviews with Paul Volcker and Sir Mervyn King. However, critics note the book leans toward exposé rather than balanced history, with an emotional tone that some find borders on conspiratorial. It offers valuable insights into central banking secrecy but should be read alongside more neutral sources for complete perspective.

What is the Bank for International Settlements that Tower of Basel examines?

The Bank for International Settlements (BIS) is the central bankers' own bank, created in 1930 by the governors of the Bank of England and Reichsbank. Protected by international treaty, the BIS operates beyond any government's legal reach, with Swiss authorities having no jurisdiction over its premises or assets. With just 140 customers, it generated tax-free profits of $1.17 billion in 2011-2012 while coordinating global monetary policy.

What are the main criticisms of the BIS in Tower of Basel?

Adam LeBor argues in Tower of Basel that the BIS is an opaque, elitist, and anti-democratic institution inappropriate for the 21st century. He criticizes its exemption from Swiss banking laws, lack of media access to confidential discussions, excessive profitability for a tax-exempt entity, and historical complicity with Nazi Germany. LeBor calls for reforms to increase transparency and accountability, though some reviewers find his conclusions harsh and unjustified.

What role did the BIS play during World War II according to Tower of Basel?

Tower of Basel reveals that under American president Thomas McKittrick (1940-1946), the BIS remained open throughout World War II, accepting looted Nazi gold and conducting foreign exchange deals for the Reichsbank. LeBor argues the institution became a de facto German-controlled bank despite having non-German leadership, serving as a secret contact point between Allied and Axis powers to keep international finance channels open during wartime.

How does Tower of Basel compare to other books on financial history?

Tower of Basel differs significantly from Liaquat Ahamed's Lords of Finance, which offers a balanced history of modern central banking. While Ahamed provides scholarly analysis, LeBor writes from a more skeptical, investigative journalism perspective similar to his earlier work Hitler's Secret Bankers. Critics describe Tower of Basel as more exposé than historical review, with emotional undertones and focus on victimization that sets it apart from academic financial histories.

What key figures does Adam LeBor examine in Tower of Basel?

Tower of Basel profiles Thomas McKittrick (BIS president during WWII), Hjalmar Schacht (Reichsbank president), Montagu Norman (Bank of England governor), Allen Dulles (OSS director), Henry Morgenthau (Treasury Secretary), and Harry Dexter White. LeBor accuses McKittrick and Norman of actions bordering on treason for maintaining BIS operations that benefited Nazi Germany. The book uses these biographical narratives to illustrate broader institutional controversies.

What does Tower of Basel reveal about modern central banking?

Tower of Basel exposes how the BIS functions as a meeting ground where Federal Reserve, European Central Bank, and Bank of England officials coordinate policies largely shielded from public oversight. LeBor argues this arrangement reflects dominance by a transnational financial elite whose decisions profoundly affect global economies without democratic scrutiny. The book highlights the institution's role in developing Basel Committee banking standards and facilitating central bank cooperation.

What are the weaknesses of Tower of Basel according to critics?

Critics note Tower of Basel offers little new information about BIS wartime activities, as an independent academic review was published in 2005 by Cambridge University Press. The book's sensationalist title and emotional tone risk undermining scholarly credibility, with reviewers describing it as having "obvious bias." Some argue LeBor doesn't adequately explain the BIS's successful post-war evolution and valuable contributions to modern financial stability through data collection and research.

How does Tower of Basel address the Euro crisis?

Tower of Basel identifies the Euro as a significant global contradiction—a transnational currency lacking transnational fiscal policy. Adam LeBor explains this represented a political compromise that overruled concerns from the Committee of Central Bankers at the BIS. His interviews with key bankers and use of primary sources provide insightful perspectives on European Community integration, though critics note there's limited new analysis compared to existing scholarship.