Wednesday, October 15, 2008

The Abuse of Your Fictitious Wealth

There are peculiar goings on in the world of finance which are continuing to manifest themselves in painful ways directly for those who have stored much of their life-energy in paper investments. I have to ask whether the free reign given to investment banks to create the exotic Frankensteinian financial instruments which triggered the current cascade may have been intentional. Any idiot could have predicted that eventually this idea of highly leveraged derivatives would lead to a disastrous train wreck. This panic would not be the first orchestrated money panic in United States history. Something tells me that we are perhaps witnessing a harvest of sorts...a harvest of the working class' wealth. Most peculiar and less bizarre is how the UNITED STATES Inc., (see USC 28 § 3002 (15)(A)) , federal police agencies and Wall Street and their financial advisor foot soldiers are continuing to do their best to funnel your financial activity into asset classes which can be tapped by insiders when and if it is needed. This includes manipulating the stock market and supressing the gold price by way of the Exchange Stabilization Fund (USC 31) and other means, regulating and requiring sponsorship to operate as a financial advisor, as well as clamping down on certain money alternatives to paper, which might gain too much popularity (more on that below).

The paper representation of productivity used to stand for direct, unleveraged claims on assets in the tangible world. That all began to change beginning with the Federal Reserve Act of 1913 and the subsequent consolidation of financial power with the orchestration of the Great Depression in the 1930s. Used to be that paper notes or money of the day were actually warehouse receipts representing claims upon physical assets, usually gold and silver coin, kept in custodial form at your local bank. This idea was slowly done away on a gradual, inter-generational timeframe as a result of the Great Depression. A convenient fix. The result of this as well as the Nixon Shock of 1971, created lasting shockwave which is being felt right now in the markets. More recently, we are discovering a similar type of fraud perpetuated to the extent that we could call it the theatre of the absurd. How absurd? So absurd that now even the idea that a security, a derivative of wealth representing a claim or interest in a corporate entity, is being done away with through deliberately unenforced criminal activity on the US exchanges. (more on that too, below).

Have a look at these and compare them to the paper in your purse or wallet. Read the print below the dead white guy (click on the image for a slightly larger view):

Notwithstanding the public firestorm that surrounded the $700 billion bailout bill, we can elaborate further on how the Nanny State is not looking out for your best interest.

First we take a look at how physical violence (or threat thereof) by the state operates to contain a political paradigm. Below is a two minute news report video which summarizes what happend in the fall of 2007 to the offices of the LIBERTY DOLLAR. While the alternative currency supplied by the LIBERTY DOLLAR is backed by gold and silver if not actual gold and silver coin minted by this organization, a requirement per the alleged Constitution, keep in mind that the Federal Reserve Note is also a private currency backed by nothing but faith and the horsepower of the federal government corporation. Being that the power of Washington is funded by at-will issuance of paper money or the much more prevalent electronic equivalent, it is obvious that the idea of people storing their energy in something other than the official unbacked paper currency might be seen as a threat. The erroneously monikered US Dollar, is the stock of the USA, Inc., and the board members do not want to see their stock tank, for the moment. The current monetary system is the desired conduit used to tap precious human energy that people willingly provide the leviathan to make endless war (wars and gold backed money cannot co-exist but for very short periods), beat up on free enterprise and threaten violence under an intrusive and oppressive system of taxation. Therefore, it may come as no surprise that this organization was a direct threat to the largest Ponzi scheme ever devised in recorded history. It is also interesting to note that the founder of the LIBERTY DOLLAR and monetary expert Bernard von NotHaus, has not been arrested yet. Imagine this individual, an expert in monetary history, cross examining the government and asking them how the Federal Reserve Note is not a counterfeit piece of paper and how gold and silver as currency, is. Von NotHaus also has in his possession, from the beginning, written replies by law makers and government attorneys, informing him that indeed, the currency he was planning to provide was not in violation of any law. What has changed since then? His organization got way too popular.

Andrew Williams, a spokesman for the Federal Reserve in Washington, D.C.:
"There is no law that says goods and services must be paid for with Federal Reserve notes. Parties entering into a transaction can establish any medium of exchange that is agreed upon."

Now we turn to the real fraud, the stealing of your hard earned wealth on the public exchanges. As this illegal activity is going on out in the open (including the SEC grandfathering previously counterfeited securities circulating on the exchanges!!), where's the FBI and Secret Service when you need'em? Oh, I almost forgot, they're busy raiding issuers of honest money. Please read on.

Is there any wonder how a provider of a stable alternative currency is raided by federal law enforcement and their assets seized when trillions are being illegally pilfered on Wall Street while enforcers of the Department of Justice and the more pathetic Securities and Exchange Commission look the other way? Besides the vaporization of assets with the collapse of exotic financial instruments and detonation of powerhouse banks, some of which had been in existence for over one hundred years, there is the very problematic issue of "naked short selling." This is larger than most people think. This is huge and it also extends to the commodities exchanges (one being the US based COMEX). Basically, investment banking houses and brokerage firms have been creating electronic shares and selling them on the exchanges. They have been selling assets with no title to them as they dilute existing share values. Stories of more shareholder votes cast than issued shares at annual shareholder meetings can only mean that many of the securities on your financial statement might very well be other than issued by the corporation in which you think you own. These perps have taken it upon themselves to act like mini-Federal Reserve Banks by creating assets without regard to the prohibition of this activity by Regulation SHO and other statutes. This regulation requires short sellers to locate the stock that they sold by a certain deadline, which must be accounted for to prevent this very activity. Legitimate short selling, per se, has never been the problem. For those unfamiliar with market trading, forget the term "short selling" and note that what is being addressed here is the counterfeiting of securities, selling them, and taking in a free lunch, courtesy of shareholders.

Regarding the COMEX, some experts estimate that today, 90% of all gold and silver contracts outstanding at anyone time, have no gold and silver backing them should investors demand physical delivery. Recently during the volatile movement of gold and silver prices, it is estimated that one or two of the US mega-investment banks sold enough non-existent paper silver and gold out to an equivalent of one year's future production. So contrived are the current spot prices of the white and yellow metals, that physical bullion has been getting very difficult to come by with physical silver deliveries estimated at six to eight weeks for delivery and gold premiums for bullion coins $80 or so above the 'official' spot price of gold. Even with the higher premiums, inventory has still been depleted almost down to nothing. I know of no bullion dealers from about a dozen, who have any supply on hand as of the day of this writing.

Below is a very impacting interview which explains in good detail the overt criminal activity on Wall Street and the COMEX and how regulators are non-responsive to complaints. The loss of confidence could have an impact lasting decades. Most people alive today don't realize that it took until the mid-1950s until the DOW achieved break even from the market top in 1929 and that's excluding the factor of survivorship bias. If you wish to listen to the unbelievable descriptions of the rampant fraud, play the interview below, or download and save the file (link provided) to listen later on:

File version of the interview. Bud Burrell of is interviewed by Jim Puplava of .

Right click the link/save: Burell interview

So there you have it. Not only is the Federal Reserve and its largest and complicit debtor the United States Treasury throwing money around and diluting the value of the dollar, we now have registered firms diluting another form of holding wealth, equities for a double screw-job.

From a news report on the LIBERTY DOLLAR raid:
"We have no money. We have no products. We have no records to even know what was ordered or what you are owed," von NotHaus wrote in the e-mail, which was sent to Liberty Dollar customers. "We have nothing but the will to push forward and overcome this massive assault on our liberty and our right to have real money as defined by the US Constitution. We should not to be defrauded by the fake government money." Source: LIBERTY DOLLAR Offices Raided

Now, do you suppose that the federal agents who participated in the LIBERTY DOLLAR raid are seeing their retirement account values diminish during this current market chaos? Will their pensions still be available if the government is hit with insolvency? Maybe they should ask pre-USSR collapse KGB officers how it went? If so, they can pat themselves on the back for participating in taking down an organization which offered the American people the opportunity to engage in private agreements using gold and silver money per Article I Section X of the US Constitution. A take down of an organization by order of a government which, by its actions, would regard its subjects as batteries to be tapped or cows to be milked. Now, to which constitution did those participating federal law enforcement agents swear an oath to protect?? Good job guys! Great work in aiding and abetting the financial take down of yourselves, your friends and family, the entire country! Some day and not soon enough when their usefulness has run its course, the help's going to find out that the dude's at the top don't give a shit about them either.

Big changes are on the horizon. Are you ready for the shift?

For what its worth...if just to let them know that we know: SEC Center for Complaints

SEC Complaint Center 100 F Street NE, Washington, D.C. 20549-0213. You can also send a fax to 202-772-9295.