I just read the last part of the article the OP is based on. (I skimmed the first part, its mostly a rehash of the three economic theories of banking). Put simply, the "experiment" they say they conducted proves nothing.
I'm a semi-retired accountant. They said they were going to make a credit transaction, then look to see what effect it had on the balance sheet. They couldn't find such an effect and concluded that the bank "manufactured" the money. From an accounting viewpoint it is impossible to look at one transaction and see the effect on a balance sheet without seeing what it would look like without that transaction, which they did not do.
What they did is like trying to isolate one voice in a football stadium, and when you can't hear it, claiming the person you're looking for doesn't exist.
The anwer to the question is: no banks cannot manufacture money out of thin air.