Welcome to the debate,
Paladin. First, let me say that it's a little difficult to comment without knowing which book you've read - and which you're currently reading. Many books on Freemasonry are quite outlandish and discredit the authors as much as they illuminate various conspiracy theories. While
The Illuminatus Trilogy, for example, is a fairly good read, suggesting it as a source for information about the Illuminati (which
Izdaari wasn't exactly doing) is like suggesting
Dune as a source for information about worms. I know Robert Anton Wilson and mean him no disrespect, but his work is entirely fanciful. For another an even better fictionalized account of conspiracies (which manages to describe, integrate, and partially debunk just about all of them), I'd recommend Umberto Eco's
Foucault's Pendulum.
To return to fact, though, and to answer your question, yes, such a theory is absolutely legitimate.
Of course there are conspiracies - some more successful and more widespread than others. To take the example about which you've apparently been reading, we need to look at the historical perspective a bit. The Illuminati grew out of the European Freemasonry tradition. The Freemasons of the Eighteenth Century were essentially gentlemen's clubs where nobles could discuss religion and politics away from the eyes and ears of cardinal and king. The Bavarian Lodge, founded by Adam Weishaupt in 1776, was one of the more successful and gave rise to the Illuminati themselves. It was from this group that the French Revolution (and, some would argue, the American Revolution) arose. At the time it was one of the few places where the more liberal ideals of the Enlightenment could be discussed and, to an extent, was responsible for promulgating such radical notions as the universal rights of man.
Whether the Illuminati are still all that powerful is more debatable. Robert Welch, founder of the John Birch Society, was obsessed by the Illuminati and felt that it was, in the twentieth century, a widespread global conspiracy bent on eliminating organized religion. I doubt that the group is quite as globally organized as Mr. Welch suspected, but Freemasons are still a ubiquitous organization (all but two of our presidents have been Freemasons, for example), though how widespread their influence as conspirators is remains a matter of guesswork.
We all know that, on the local level, Masonic lodges indulge in the exploitation of their affiliation to advance careers and promote the interests of their members, whether it's receiving a lucrative building contract or a partnership in a law firm. Why should we disbelieve that when the members of such a society are multinational CEOs, senators, judges, generals, admirals, international bankers, prime ministers, and presidents that such patronage would suddenly evaporate?
There are many, many secret societies in the world, several with an agenda of global management, and most with overlapping membership - the Trilateral Commission, the Council on Foreign Relations, the Bilderberg Society, the Club of Rome, Skull and Bones, the Bohemian Grove, the Cambridge Apostles - and many would argue that, to at least some extent, they are successfully engaging in global management. Whether any of these organizations trace their roots (or their agendas) to older societies - the Knights Templar, the Rosicrucians, the Illuminati - is difficult to prove and largely irrelevant. What matters is their current membership and
their agenda. I do not personally believe that there is one grand overriding conspiracy as some theorists would have us believe, but there are certainly a lot of conspirators looking for one.
The most compelling argument for a successful organization engaged in world management is probably the Trilateralists - though this determination is largely due to the fact that, unlike most such organizations, the Commission actually publishes reports and does not make a great secret of its membership. It's arguable that the Bilderberg Society (through which, for example, Ronald Reagan and Margaret Thatcher first met) is even more successful, but as their activities are cloaked in secret, it's a bit more difficult to prove.
Skull and Bones is possibly the most interesting to investigate at the moment, though, as that is the secret society to which George W Bush, like his father before him (and, interestingly, the leading "opposition" contender, John Kerry), belongs. As this group was founded with money from the international drug trade (during the Opium Wars), some interesting light is shed on things like George "New World Order" Bush's interesting relationship with Manuel Noriega, the interesting governorships of the two states, Texas and Florida, through which most illegal drugs enter the US, and the resurgence of opium production in post-war Afghanistan. These are the sort of speculations which can keep conspiracy theorists busy for years.
Keep reading, but keep an open mind. Way too many conspiracy theorists get a bit too hysterical and end up undermining their own arguments. For a start, I'd recommend
Who's Who of the Elite: Members of the Bilderbergs, Council on Foreign Relations, & Trilateral Commission by Robert Gaylon Ross Sr.,
Trilateralism: the Trilateral Commission and Elite Planning for World Management edited by Holly Sklar,
The Shadows of Power: The Council on Foreign Relations and the American Decline by James Perloff,
Proof of the Illuminati by Seth Payson and Benedict J. Williamson, and, possibly,
America's Secret Establishment by Antony C. Sutton (a history of Skull and Bones).
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One note on
The Protocols of the Elders of Zion,
Victoria: this started out as a tract disseminated in Czarist Russia attempting to demonstrate that the Russian aristocracy had been infiltrated by members of the Illuminati. It was only later, in the Weimar Republic, that it was construed as an anti-semitic conspiracy - and some suggest that it was the Illuminati themselves, advocates of a chaos theory of history, who added this construction at a time when it could do most damage.