Propagana piece from an occult Christian organization. It is your regular, run-of-the-mill
Propagana piece from an occult Christian organization. It is your
regular, run-of-the-mill hate literature we're all familure with.
Have fun reading it!
The McAlvany Intelligence Advisor
In this issue:
I. To control the people
II. Toward a cashless society: the war on cash and privacy
III. Asset forfeiture: How the government plunders people via seizure
IV. Specific cases of government persecution of innocent American
V. Preview of coming attractions: the next five to seven years
VI. What you can do
THE FOURTH REICH: TOWARD AN AMERICAN POLICE STATE
[ED. NOTE: This writer apologizes for the length of this issue of
MIA--It is more like a book than a newsletter. It will consume more of
your time to read it, as it consumed more of MIA's funds to produce
it. You are encouraged to read it several times and think deeply about
its implications for all of us, our finances, our future, and our
"When plunder has become a way of life for a group of people living
together in society, they create for themselves in the course of time
a legal system that authorizes it, and a moral code that glorifies it."
"Socialism, once a reality, destroys the moral fiber which is the
creation of freedom. It breeds every device which produces
totalitarian rule." General Douglas MacArthur, who was wrong.
"The individual's freedom and choice will be controlled within very
narrow alternatives, by the fact that he will be numbered from
birth...and followed as a number, through his educational training,
his required military or other service, his tax contributions, his
health and medical requirements, and his final retirement and death
benefits." Carroll Quigley (Bill Clinton's mentor), Tragedy and Hope,
"America is great, because America is good. If America ever ceases to
be good, she will cease to be great." Alexis de Toqueville
America, in 1993 (and for the balance of the decade), is plunging
toward becoming a socialist police state, remarkably similar to Nazi
Germany in the 1930s or the Soviet Union from the '20s through the
'80s. America, over the past few decades, has seen its traditional
values turned upside down in almost every area, to the extent that the
killing of 28 million babies is simply "free choice"; homosexuality is
simply an "alternate lifestyle" (officially sanctioned and pushed by
the liberal establishment and its media); the family is now under
attack from the government, the media, the schools, the homosexuals,
and the environmentalists.
Pornography is now the norm on television, in movies, in books,
magazines, and more and more in the classroom as students down to
kindergarten level are taught how to have "safe sex" or enjoy
"alternate sexual lifestyles"; spiritual values, Christian leaders,
organizations, and individuals are denigrated and discriminated
against more and more by a government, media, and culture that rejects
our traditional Biblical foundations and (as in Nazi Germany and the
Soviet Union) will soon persecute the Christian church in America.
True criminals (murderers, rapists, burglars, robbers, etc.) are given
light (or negligible) jail sentences, while the government is now
reclassifying honest law abiding Americans as criminals, and giving
them severe jail sentences or confiscating their assets or property
via Draconian Nazi/Marxist-Leninist-style seizure laws.
The legal system and government now allow the "have nots" to plunder
the assets of the "haves"; and a gargantuan U.S. government passes
tens of thousands of new regulations each year (i.e., over 67,000
pages of fine print) to control every aspect of Americans' lives.
The Socialists (calling themselves liberals, secular humanists,
environmentalists, gay rights activists, women's rights activists,
civil rights activists, New Agers, etc.) now completely control the
U.S. Administrative branch of government, the media, and the
educational system; have effective control of the Legislative branch;
and partial (but growing) control of the U.S. Judiciary. The Socialist
agenda (now to be accelerated under Bill and Hillary Clinton and Al
Gore) calls for the nationalization of children, the abolition of the
family, the promotion of promiscuity, and Orwellian-type controls over
every aspect of our lives.
Has the incredible transformation of American traditions and values,
of our government, and our whole way of life over the past two decades
happened spontaneously, or by accident? No! There have been powerful
forces behind the scenes orchestrating and manipulating the
transformation of America according to a well laid out plan that has
been in operation for many decades, if not centuries.
As Igor Shafarevich wrote in his excellent essay "Socialism In Our
Past And Future" and Alexander Solzhenitsyn wrote in "From Under the
Rubble," the destruction of religion and the family are central to
The socialists, internationalists, and communists of the world (they
no longer call themselves communists) are now following the
revolutionary strategy of Antonio Gramsci, the late founder of the
Italian Communist Party and a Marxist theoretician who died in 1937.
(Franklin Sanders wrote in detail recently about Gramsci's strategy in
his "Moneychanger Newsletter" (P.O. Box 341753, Memphis, TN 38184.)
After spending time in the Soviet Union in the 1920s, Gramsci
concluded that the clenched fist revolutionary approach of the
Bolsheviks was not a winning strategy, but that socialism (i.e.,
communism) would triumph through the "reshaping of consciousness" in
Gramsci, concluding that "the cultural superstructure determines the
political and economic base, and not the other way around," wrote: "In
a developed society, the passage to socialism occurs neither by putsch
[ED. NOTE: A sudden revolt or uprising] nor by direct confrontation,
but by the transformation of ideas, which is to say, a slow reshaping
of consciousness. At stake in this war of positions is the culture
(i.e., the source of values and ideas). The seizure of political power
is not possible until after the seizure of cultural power. Culture is
transformed through government (and its agencies), schools,
universities, social sciences, trade unions, churches, and the print
and broadcast media."
In essence, Gramsci said the socialist revolution would be brought
about by the transformation of a society's culture and values, not
through political or military power. By changing the values and very
mode of thinking of the enemies of socialism without their conscious
knowledge, they would become socialism's allies. We are not talking
about a communist revolution or military takeover in the traditional
sense, but a wholly different danger: the establishment of radical
socialism by the undermining and transformation of traditional Western
[ED. NOTE: And that is precisely what the socialists in the American
government, universities (and lower schools), media, Hollywood,
churches, etc. have systematically done over the past two to three
decades. They have been preparing Americans for acceptance of a
socialist/Nazi/Marxist-Leninist-style police state and to willingly
become slaves by undermining our culture from top to bottom. And this
is the great danger of the Clinton Administration. It is likely to
continue the Bush/Wall Street economic policies, but is rapidly going
to culturally transform America and its values to conform to the
Gramsci strategy. The whole process took only about 14 years in South
Africa--which now stands on the brink of a socialist/communist
Gramsci articulated the importance of Lenin's "Long march through the
institutions" (i.e., the penetration of the media, the universities,
public interest groups, churches, and cultural
institutions)--stressing that by working through such institutions,
cultural values could be altered and morals softened "irreversibly,"
setting the stage for political and economic power to drop into the
hands of the Left (as it has done over the past decade or so, and will
do like an avalanche under Bill and Hillary Clinton and Al Gore).
According to Gramsci, once socialism dominates the cultural and
ideological scene, revolutionary power and control by the state will
quickly follow in one short easy step. The strategy of the socialists
then, is to change what the society thinks about problems--to gain
control over the minds of the population.
An essential element of Gramsci's strategy was to replace the
religious (or Christian) inclinations in a targeted society with a
social gospel (i.e., a Marxist-Christian dialogue, liberation
theology, etc.) which is totally devoid of all supernatural content.
Gramsci did not want to destroy religion, but rather to neutralize all
spiritual aspects and use what remains as a vehicle for the political
struggle and socialism. Worship, faith, prayer, the sacraments would
be replaced with what Gorbachev calls human values, human solidarity,
abolition of social injustice, and the end to oppression of women,
children, blacks, native peoples, homosexuals, the disabled, etc.
Gramsci therefore strategized a "convergence" of religion and
socialism and a takeover of the entire field where culture is
elaborated and diffused (i.e., schools, universities, the media,
Hollywood, etc.). Following Gramsci's strategy, the socialists of our
day (in America, Europe, South Africa, and throughout the West) have
developed a superstructure reflecting a socialist culture--replete
with socialist literature, films, plays, poetry, and various forms of
art and music. The stage is now set in America (and throughout much of
the West) where the closet communists are ready to build more openly
upon this well-established superstructure.
It is important to note that the "new thinking" in the "old Soviet
Union" (CIS); the "New South Africa" of F.W. de Klerk and Pik Botha;
the "New Covenant" of Bill and Hillary Clinton, Al Gore, and their
entourage of socialist advisors and staffers, is based either directly
or indirectly on the writings and strategies of Antonio Gramsci.
[ED. NOTE: It should be remembered that Bill Clinton has studied under
and highly praised Italian socialists and communists. (See the
November '92 MIA for details); and it should also be remembered that
many of Clinton's top advisors come from the Institute for Policy
Study, an influential socialist group which follows the agenda of the
Marxists and Gramscians.]
This writer is reminded of a quote by John Stratchey, the former head
of the British Labor Socialist Party and a communist, who said in the
1930s: "There cannot be a direct transition from capitalism to
communism. First we must move to socialism, as a necessary stepping
stone to communism."
Sun Tsu, the Chinese military strategist, wrote in 500 B.C. that "to
conquer your enemy, you must destroy their will to resist." Of course,
that will is destroyed if you can convert your enemy without him ever
knowing it. Eventually, it becomes impossible to oppose socialism. In
1984, Orwell said that the purpose of the new language, Newspeak, was
to make opposition to Big Brother impossible to even conceive. Anyone
who failed to embrace the "politically correct" socialist mentality
was, by definition, mentally ill. It was not enough to destroy Winston
Smith. It was necessary to turn him to the point where he would love
So, in the 1990s, America is plunging rapidly into Antonio Gramsci's
socialist quagmire--not by accident--but by clever,
well-orchestrated and well-financed design. Behind this socialist
transformation of America (culturally, socially, politically, and
economically) is the Liberal Eastern Establishment (epitomized by the
socialist/globalist Trilateral Commission, Council on Foreign
Relations, Club of Rome, Bilderbergers, Fabian Socialists, Socialist
International, etc. Behind these groups is probably the centuries old
Illuminati, with its occultic/Luciferian substructure.
The Clinton Administration, the Bush Administration, and the Carter
Administration are (or were) wholly owned by these socialist/globalist
groups, and the Nixon, Ford, and Reagan Administrations were partially
owned by same. Their goal: the emersion of America (and the West) into
a socialist world government called the New World Order, on or before
the year 2000. It will be replete with a "convergence" of the common
interests of America and Russia; three major regional governments: 1)
Europe (the U.S. of Europe--which came into being 12/31/92); 2)
NACOM, the North American Common Market (the U.S., Canada, and
Mexico)--which was launched by George Bush in 1992; and 3) a
Japanese/Pacific Rim regional government.
Elements of this socialist New World Order include a global financial
system (replete with a one world Central Bank and currency, global
currency controls, and eventually a cashless, computerized society);
one world environmental control (replete with a global Environmental
Protection Agency which can track down and punish corporate or
individual "environmental criminals"); a one world educational system
(to prepare the citizens of the world to think "politically
correct"--i.e., as socialists, slaves, and citizens of the New World
Order); a one world economic system; one world population control
(which will be anti-family, anti-reproduction, anti-children, and
pro-homosexual, and which will lead the charge globally for abortion,
euthanasia, and other population control measures). America is to be
divided into ten regions (see map) under the New World Order (as per
Richard Nixon's Government Reorganization Act (3/27/69) and Executive
Order 11649 (2/12/72).
Also included is a one world police force, now called the New World
Army (under the control of the United Nations), designed to keep the
peace globally, eliminate global dictators (or resisters to the New
World Order), and enforce global socialism and world government. The
U.N.'s New World Army (pushed so hard by George Bush over the past two
years) is establishing itself as the world police force, first in
Operation Desert Storm, next in Somalia, next back in Iraq, and next
in Serbia/Croatia/Bosnia and/or South Africa (where it is likely to be
sent to install the communist ANC in power). Eventually, it is
envisioned that New World Army (U.N.) troops will be sent anywhere in
the world (even into America) to stamp out resistance to the New World
There is a supernatural (occultic) dimension to the New World Order,
called by some the New Age Movement (and epitomized by Maurice Strong,
Shirley MacLaine, Jane Fonda, Ted Turner, John Denver, Zbigniew
Brezezinski, George "Thousand Points of Light" Bush, Al Gore, Hillary
Clinton, the Dahli Lama, and a cast of millions worldwide), which also
promises world government and sharp population reduction by the year
2000--the "Dawning of the Age of Aquarius."
Herein lies an interesting parallel to the supernatural, occultic
underpinnings of the Nazi Third Reich, which also aspired to global
government and had the same occultic/Eastern religious dynamic behind
it, as the New World Order/New Age axis. [--ED. NOTE: This writer has
long felt that the global convulsions of the '80s and '90s were not
just political or economic, but also spiritual (or supernatural). Some
Bible scholars even feel that the present rise of socialism on a
global scale and the rise of the New World Order/New Age axis could be
setting the stage for the rise of the Biblical anti-Christ. Indeed the
New Agers call their Christ, Lord Maitreya.]
This issue of MIA (for which your editor has been gathering research
for about a year) will analyze within the context of the
above-described American plunge into socialism, the New World Order,
and New Age: 1) the accelerating thrust to control the American people
(via gun control, environmental and tens of thousands of other
government regulations, electronic surveillance and computerization of
all aspects of Americans' lives, a national police force, and various
Nazi/Fascist/Communist-style police state tactics); 2) The plunge
toward a cashless society and the government war against cash and
privacy (via money laundering and structuring laws, the new money, and
foreign exchange controls); 3) The government's campaign to seize
property and assets of U.S. citizens via unconstitutional forfeiture
laws and regulations; 4) Specific cases of government attacks against
innocent citizens; and 5) What to do financially and politically to
oppose America's plunge into a socialist police state.
If some of the examples of the U.S. government attacks against its
citizens seem shocking or unbelievable to you (as they were to this
writer), remember they are only a few examples of what has been
happening to tens of thousands of U.S. citizens across America. This
issue of MIA will not be funny or entertaining. It will be sobering
and frightening, but hopefully it will pull together a myriad of
seemingly unrelated incidents and give the reader a perspective on the
trends and threats to our families, our freedoms, our traditional way
of life, and our future as a free people, as we move toward an
American Socialist Police State.
I. TO CONTROL THE PEOPLE
"Either some Caesar or Napoleon will seize the reins of government
with a strong hand or your republic (America) will be as fearfully
plundered and laid waste by barbarians in the Twentieth Century as the
Roman Empire was in the Fifth; with the difference that the Huns and
Vandals who ravaged the Roman Empire came from without, and your Huns
and Vandals will have been engendered within your own country by your
own institutions." Thomas Macawley writing to H.S. Randall--1857.
People control is essential to any totalitarian state, whether in Nazi
Germany, the former Soviet Union, Cuba, or perhaps even in the
socialist America of the 1990s, or in the emerging New World Order.
A. THE EXPLOSION OF GOVERNMENT REGULATIONS
Congress passed almost 2,500 new laws in 1992. Most of these laws
carry both criminal and civil penalties for violations. These laws are
then turned over to any of several dozen applicable federal agencies
(i.e., FDA, EPA, BATF, SEC, IRS, OSHA, FCC, FAA, DEA, etc.) which
write tens of thousands of federal regulations each year to implement
and enforce these new laws. These agencies employ close to 121,000
faceless bureaucrats to write the new regulations and enforce these
laws and regulations.
There were 67,715 pages of new regulations written and published (in
fine print) in the Federal Register in 1992 and that suffices as legal
public notice of the new laws and regulations. You are responsible for
following every one of those. It would take a large battery of
Philadelphia lawyers to interpret and keep up with this avalanche of
new regulations; but each U.S. citizen is considered to be responsible
to know, understand, and abide by these new laws and regulations.
Ignorance of the law in America is no excuse.
Heavy fines and/or jail sentences are associated with violation of
many of these laws and regulations, and tens of thousands of Americans
are now sitting in jail, or have been heavily fined, or had their
businesses closed for violation of these new laws and regulations. In
many instances, agents from the various agencies run stings against
unsuspecting citizens or businesses, and entrap them into violating
the new law or regulation. A high profile example is then made of the
new criminal, or violation, along with fines, prison sentences, and
media publicity, to intimidate the public, or other related busi-
nesses into going along with the regulations.
[ED. NOTE: Incredibly, the government has created a situation in which
you are almost certain to be a "criminal." You are breaking one or
more of these regulations right now, and don't even know it--there is
no way to know and keep all of these rules and regulations. We have
more people in prison per capita today than South Africa, Albania (and
most of Eastern Europe), or even Red China. We jail 6 times as many
people per capita as Denmark, and almost 11 times as many per capita
These dictatorial new laws and regulations are costing Americans
literally hundreds of billions of dollars per year, and are
hamstringing tens of thousands of small businesses which literally
cannot afford the paperwork, red tape, and expenses of compliance, and
are therefore forced out of business. One small example: The
Agriculture Department has made it a crime to sell peaches or
nectarines which do not meet the minimum size of 2-7/16" and 2-3/8" in
diameter respectively. This new regulation (passed in 1992) will
condemn to rot over 500 million perfectly edible peaches and
nectarines per year (worth over $50 million at the grocery store).
The U.S. Attorney General has already filed for a federal injunction
and a $100 per box fine against California's largest nectarine and
peach farmer, who was selling the forbidden fruit at a bargain price
of under $10 per box to thankful inner-city residents. The farmer is
now a criminal who will be fined heavily for his crime. But meanwhile,
the Agriculture Department has asked the California Nectarine
Administrative Committee to undertake market research to determine the
effect of fruit size on consumer preferences.
B. ENVIRONMENTAL REGULATIONS
These may be the most dangerous of all, because the Clean Water Act,
Clean Air Act, and a host of other environmental laws and regulations
passed in recent years give the government Draconian, dictatorial
controls over virtually every business and person, over every piece of
private property, every car, and every action of every American in the
U.S. (The July and September '92 issues of MIA described this
socialist juggernaut in detail.) Environmental laws and regulations
(both domestic and international) will be the one vehicle for moving
us into socialism and the New World Order.
Seventy percent of private property in America is already considered
by the government as "wetlands" (whether there is surface water on it
or not) and under their control (i.e., half of Vermont, 40% of
Maryland's eastern shore, 40% of drought-stricken California, and much
of suburban Houston are classified as "wetlands"). Environmentalists
are pushing to make that 100%. (The Clinton Administration is likely
to comply.) Then are also pushing to have private land adjacent to
government land (i.e., national forest, BLM or wilderness areas) under
the same government controls as the government land.
Even as thousands of murderers and rapists are turned loose by our
justice system each year on technicalities, room is being made in our
jails for honest law abiding citizens who have run afoul of
environmental fanatics. A case in point is a Vietnam vet and
environmental consultant, Bill Ellen, who is now serving a six month
prison sentence for a "wetlands" violation. (The U.S. attorney had
pushed for a three year sentence but the judge was more lenient.)
What was Ellen's crime? In 1987, Ellen, who had a strong background as
a conservationist, agreed to do a project to construct 10 ponds for
migrating geese and wildlife on the Eastern shore of the Chesapeake
Bay in Maryland. Ellen was to build the $7 million, 103 acre wildlife
sanctuary on a 2,000 acre private estate. Ellen, who knew
environmental laws well, got all the proper permits, and complied with
all those laws and regulations as written in 1987. However, in 1988,
the definition of "wetland" was expanded to include potholes that
collect water during rains.
Ellen, who already had permits, was unconcerned with the new
regulations because the land was so dry that workers had to
wear dust masks. However, Ellen was indicted for "wetlands" violations
after one government agency told him he could continue landfill work
and another told him he could not. Acting on the former, he hauled in
two more loads of landfill (i.e., dirt).
Angry federal environmental bureaucrats toured the land after three
days of heavy rains and indicted Ellen for "desecration of wetlands."
He was sentenced to six months in jail where he now sits. The owner of
the estate escaped jail as an accomplice to an environmental
("wetlands") crime by paying a $1 million fine and making another $1
million donation to the National Fish and Wildlife Federation.
[ED. NOTE: This and hundreds of similar travesties of justice happened
under the Bush Administration. How much worse are things going to be
under Bill, Hillary, and Al and their entourage of environmental
radicals (called by Walter Williams "enviro-Nazis")? What has happened
to Americans' constitutional protections such as the Fifth Amendment,
and Article I, Section 9 which says: "No bill of attainer or expost
facto law shall be passed"?]
C. TOWARD A NATIONAL (AND INTERNATIONAL) POLICE FORCE
The socialists believe in crisis management to solve crises (real or
manufactured) in order to greatly expand their power, authority, and
control over the people. The war on drugs, the environmental crisis,
the war on crime, discrimination against minorities, "hate crimes,"
etc. are all "crises" which supposedly justify the passage of new laws
and regulations, expansion of bureaucratic agencies, and the
installation of police state powers over the people.
Bill Clinton and Al Gore have already called (in their new book) for
installation of a national police force in America, numbering 100,000
police (made up of former or retired local police, retired military
personnel, other government employees, etc.) to fight the crime war
and America's other crises. CIA director Robert Gates has called for
the CIA to be given the power to spy on American businesses and
individuals and to help support the Justice Department and other
federal agencies in enforcing the myriad of new governmental laws and
regulations. (This is supposed to keep tens of thousands of CIA
agents busy, since "communism is no longer considered to be an
If criminal enforcement agents of the DEA, FBI, CIA, BATF, EPA, FDA,
IRS, and various other government agencies and departments are
included, the U.S. could soon have a national police force of
200-300,000 people spying on the public and enforcing new laws and
regulations. Shades of the Gestapo in Nazi Germany or the KGB in
The New World Order crowd are also talking about an international
police force made up of U.N. troops from member countries to police
and control internal crises such as the present famine and civil
unrest in Somalia, the emerging civil wars in South Africa and the
former Yugoslavia, environmental abuses, and eventually, opponents of
the New World Order.
In May of '92, an extensive training course called Police 2000 was
taught at the First International Crime Conference in Fairbanks,
Alaska, and was attended by law enforcement officials and government
agents from America, Canada, and Russia. One of the Police 2000 goals
is for the creation of a "transnational police organization for the
coming 'global village.'" There is growing cooperation between
international police organizations such as the CIA, KGB, Interpol,
The New World Army police force will soon reach 100,000, and could
well grow to 250,000 or more over the next five years. An undisclosed
number of U.N. troops are now training on U.S. soil, and could be used
in America in some future State of National Emergency, civil unrest
such as the Los Angeles riots, or other upheaval.
D. POLICE STATE TACTICS
U.S. military and National Guard personnel have been undergoing
training and exercises for several years for house-to-house searches
(presumably for drugs or guns), for crowd control, and for domestic
"counter-terrorism measures." Roadblocks are being randomly set up on
highways around America by local, state, or federal officials to
conduct drivers license checks or warrantless spot checks of cars or
their occupants for drugs, liquor, or firearms; local or state police
or military helicopters are, with greatly increased frequency,
overflying cities, towns, neighborhoods, and individual houses at low
levels (looking for drugs, for surveillance, or for intimidation
In late '91, an "urban warfare training exercise" by the U.S. Marines
brought a dozen military helicopters swooping low over San Francisco
roof tops, prompting hundreds of frightened calls to radio stations
and the local police, who denied any knowledge of the exercise.
Hundreds of military vehicles (black and with no markings) are being
observed in various parts of the U.S., in many instances manned by
personnel in black uniforms (with no insignias). Denial of any
knowledge of these helicopters, vehicles or personnel from local,
state, and federal officials almost always follows frightened
inquiries from citizens.
Over the past two years, as training and enforcement exercises have
increased, SWAT teams in black Ninja suits and other government
marshals and enforcement teams have had an increasing number of
shoot-outs with innocent victims--who are characterized by the
government as "religious fundamentalists," "white supremacists," "left
or right wing extremists," "tax protestors," etc.
In August '92, a mob of Federal agents surrounded the remote Idaho
home of Randy Weaver (wanted on a misdemeanor warrant) and his family,
and in a ten-day siege shot and killed his wife and 14 year old son.
In October '92, a "drug raid" against a 61-year old wealthy, partially
blind Ventura County, California resident, Donald P. Scott, resulted
in Scott being shot dead by Los Angeles County Sheriffs deputies. No
drugs were found, nor did Scott resist arrest. [ED. NOTE: Details of
these two cases will be described in Section IV below.]
The general tactic (whether used by local or federal police officials,
or both) is to overwhelm (and intimidate) the "suspected" money
launderer, environmental or financial "criminal," gun law violator,
etc. by invading his home or business with a SWAT team and/or federal
marshals or agents numbering 10 to 20 to 30 people. Guns are often
drawn and if the "victim" of the attack makes any sudden move, he is
This writer personally knows of at least a dozen individuals (none
ever convicted of a traditional crime such as murder, rape, robbery,
etc.) that have had their homes or businesses invaded by local, state
or federal law enforcement SWAT teams in this manner. The experience
is terrifying for the individual, families, or employees involved.
Shades of Nazi Germany, Red China, or the old Soviet Union!
E. TOWARD A STATE OF NATIONAL EMERGENCY
Over the past few years, a number of references to a State of National
Emergency (or martial law) have been hinted at or suggested by
government officials, congressmen, etc.--usually to fight the drug
war, crime, etc. Indeed martial law was imposed in Los Angeles (and
was begged for by the public) to quell the massive riots in the spring
of '92, and could have been declared nationally had the riots
continued to spread during the summer of '92. [ED. NOTE: They did
spread to 166 other cities--but not as severe as in Los Angeles.]
MARTIAL LAW, by definition, is: "A system of government under the
direction of military authority. It is an arbitrary kind of law,
preceding directly from military power and having no immediate
constitutional or legislative sanction. It is only justified by
necessity, and supersedes all civil government...Martial law is built
on no settled principle, but is arbitrary and in truth no law."
Suspension of the writ of habeas corpus (i.e., right to trial by judge
and jury and protection from illegal imprisonment) is a major element
of martial law. As Justice Blackstone wrote: "In this case, the nation
parts with a portion of its liberty and suspected persons may then be
arrested without cause assigned."
The potential for a State of National Emergency or martial law in
America over the next three to five to seven years (perhaps to deal
with riots, the war on crime or drugs, a financial/banking crisis or
some manufactured crisis is a very real possibility, as the
Establishment moves to install a socialist America and the New World
Order. Indeed aspects of a state of emergency (or martial law) and the
suspension of constitutional rights already exist in America today!
Over a dozen Executive Orders have been passed by Congress over the
past few decades (analyzed in prior issues of MIA) giving the
President total dictatorial control over every aspect of American life
if the president (or his Establishment bosses) decide to trigger and
implement same. FEMA would then go into action, firearms would be
confiscated, and many (if not all) constitutional rights and
guarantees would be suspended.
Under a full state of emergency, tens or hundreds of thousands of
Americans (guilty of hate, environmental, financial, or gun control
"crimes"; or "criminal" violation of any of tens of thousands of new
government regulations; or resistance to the New World Order or a
socialist America) are likely to be imprisoned. Perhaps this is why
George Bush moved in recent years to double U.S. prison capacity, and
why under a national security directive called "Rex 84," signed in
1984 by President Reagan, eleven huge federal detention centers were
activated in California, Arizona, Arkansas, Wisconsin, New York,
Pennsylvania, Virginia, Georgia, and Florida.
[ED. NOTE: As part of this whole trend, Draconian laws registering
firearms and outlawing many kinds of guns will begin to be passed in
1993 (and beyond), turning hundreds of thousands (or millions) of
honest freedom loving U.S. gun owners, who refuse to comply, into
F. ELECTRONIC SURVEILLANCE AND COMPUTERIZATION OF THE PUBLIC
Computers and other high tech breakthroughs over the past few years
have given the U.S. (and other governments) the ability to listen to,
monitor, track, and keep citizens under surveillance (from the cradle
to the grave) that were not available to Hitler in Nazi Germany or to
the communists in Russia, China, or the East bloc until very recently.
In 1974, the government had 3.9 billion records on individuals stored
in the personal data systems of 97 federal agencies. The Department of
Health, Education and Welfare had 693 separate data systems with 130
million personal records including marital, financial, health, etc.
data stored. The Treasury Department had 910 data systems with 853
million records; the Justice Department 175 data systems with 181
million records; the Defense Department 2,219 data systems with 312
million records stored, etc.
These numbers (from US. News and World Report) are 20 years old. The
computer files on Americans today are probably ten times larger and
are linked together between most government agencies. Like it or not,
your life is now an open book. Using your Social Security number, any
government agency, or agent (local, state, or federal) can now tap
into dozens (or hundreds) of computer data bases on every American. A
total and comprehensive computer profile exists on virtually every
Now the government has developed a DNA (genetic) data base on 1.5
million U.S. military servicemen and is experimenting with same on
federal prisoners. Eventually it is intended that the whole U.S.
population will be placed in such a data base. Most Americans are not
aware that their phone calls, telexes, faxes and certain U.S. mail are
regularly monitored by federal agencies. The federal government is now
purchasing hundreds of portable fax tapping machines at $30,000 per
copy. The U.S. Air Force alone recently purchased 40 of these devices.
Phones can now be made "hot on the hook" (i.e., turned into
microphones even when hung up and not in use). According to a 1992
report by the (general Accounting Office entitled "FBI Advanced
Communication Technologies Pose Wiretapping Challenges," it is the
intention of the FBI to tap all phones in America.
Every square inch of the earth's surface can now be monitored by
satellite so that all persons and activities can now be watched. The
government, in conjunction with AT&T, has developed computerized voice
recognition on phones and also picks up and records (through the
National Security Agency) key words from conversations, which trigger
the NSA tape recorders.
Several years ago, U.S. passports were made computer readable. Now,
U.S., Canadian, Australian, German and other European authorities are
installing computers in airports which will not only read passports,
but also hand prints via infrared security readers. This means data
banks of computerized hand prints will be developed over the next few
years and linked to other governmental data bases, so that an instant
computer record of an individual will be flashed on a screen simply by
waving a person's hand over a grocery store-type infrared scanner.
Does this sound farfetched? This system is being set up at the Kennedy
and Newark airports and airports in the aforementioned countries at
Biometric identification systems are now exploding onto the scene with
computerized fingerprint comparisons, identification cards, debit and
smart cards, drivers licenses, proposals for a biometric national ID
card, a biometric card to replace welfare checks and food stamps,
biometric passports, and biometric booking of prisoners by law
enforcement officers. Biometric technologies include fingerprint
comparison, retina scanning, DNA analysis, voice recognition, hand
geometry, body odor, body heat patterns and brain wave analysis. In
other words, 1001 ways of tracking the earth's inhabitants are
emerging via new high technology. [ED. NOTE: Does this sound like
George Orwell's 1984, or the Biblical "mark of the Beast"?]
As MIA has previously written, cars can be tracked via small implanted
computerized receiving devices linked with government satellites. (The
experiments on this technology were done in Singapore for several
years.) The U.S. government has actually spent $3 billion over the
past 15 years to develop this people/vehicle tracking system. Now the
exact location of trucks, police cars, and other vehicles is beginning
to be tracked in the U.S. via this method. The Detroit Police
Department is presently installing this system to track its squad
cars, and a number of trucking companies are doing the same to track
their fleets. Perhaps in the not too distant future, these
computerized tracking devices will be standard (or even mandatory)
equipment on new cars and trucks--like seat belts and air bags.
So, in an era where Big Brother (now represented by Bill, Hillary, and
Al and their legion of socialist bureaucrats) wants to track, monitor
and control every aspect of our lives, as he ushers in a socialist
America and the New World Order, the emerging high technology in the
hands of socialist bureaucrats will simply help to lock on the chains
that much more quickly and efficiently.
II. TOWARD A CASHLESS SOCIETY: THE WAR ON CASH AND PRIVACY
The socialist bureaucrats running America and most of the western
world today hate privacy and they hate cash. Anyone who is a staunch
advocate of privacy, or uses much cash, is considered by these
government bureaucrats and law enforcement officials to be a criminal.
If they are going to install a socialist America and New World Order
(ala George Orwell's 1984) they must be able to track, monitor, and
control every aspect of a person's life. Cash is trackless and
difficult to trace, so it must be eliminated. Hence, the goal is to
ultimately do away with currency and to force every American into the
computerized credit card and banking system.
Present U.S. government attitudes toward cash and people who use it
are reminiscent of Nazi Germany. Police agencies nationwide consider
anyone carrying a large quantity of cash to be involved in criminal
activity unless they can prove otherwise. For example, an Iowa man
stopped for a traffic ticket pulled his driver's license out of his
wallet, which also contained $7,000 in cash. He was on his way to a
sale that required cash--much like the government's own auctions of
seized property. The policeman confiscated the cash because he didn't
think that a man dressed in overalls should be carrying that much
An MIA subscriber from New Jersey recently described the following
incident in a letter to your editor. He was recently driving down the
New Jersey Turnpike in an 18 foot Hertz rental truck. He stopped at
the last toll booth at the end of the Turnpike near Wilmington,
Delaware, and paid the toll with a $50 bill--the only cash he had on
him. The attendant told him to wait a minute and then went to the
front of the truck and wrote down the license plate number, a
description of the subscriber (who was driving) and his son (a
passenger in the truck). While the driver asked about this, the
attendant stapled the $50 bill to the government form and told him
that this was the procedure for anyone paying with a $50 or $100 bill.
In Florida, the Orlando Sentinel recently carried a series entitled:
"Highway Robbery on I-95," which described how police seize your cash
for even minor traffic violations on the basis that the cash is
"probable proceeds of drug transactions." At airports, ticket agents
and security personnel are alert to anyone carrying large quantities
of cash. Why? Because if their tip-off leads to a seizure, they get a
finder's fee of 10-25%. In a seizure recently described on 60
Minutes, a DEA agent testified in court that the person he seized cash
from was carrying $100s, $50s, $20s, and $10s, "which were all widely
used in the drug trade." Of course, this only leaves $1s and $5s for
Drug residue on your cash provides "probable cause" for its seizure.
Tens of thousands of cash seizures are made each year because dogs
allegedly identified the cash as containing drug residue. And yet,
according to the DEA's own lab studies, it is the government itself
(i.e., the Federal Reserve) that contaminates most cash in its
currency sorting operations. Rollers on the Fed's cash sorting
machines are contaminated with cocaine residue (20 to 100 times
higher than those found on the average bill). Various
studies dating back to 1985 show that anywhere between 80% and 97% of
cash circulating has drug residue on it.
What happens to the seized cash? It's deposited into a government bank
account to be recirculated. No effort is made to take it out of
circulation, according to affidavits from 21 agencies that participate
in cash seizures. If you want your cash back, you must go to court to
prove that the funds were earned legitimately. If you win, the
government always appeals under the strategy that they will litigate
until you run out of money. So, does this make carrying cash illegal?
In effect it does!
Illustrative of the government attitude toward cash was the November
'92 article by David Warwick in The Futurist magazine, entitled "The
Cash Free Society." The article claims that "cash has been the root of
much of the social and economic evil...Ridding society of its cash
could make most criminal activity disappear, from purse snatching to
drug trafficking. Electronic money systems promise to lead the way to
a cash-free, crime free society."
The article admits that there are $300 billion in legitimate cash
transactions in America each year, but argues that the 40 million
Americans who primarily use cash must adjust. Warwick recommends the
instituting of a federal debit card system for all transactions,
down to buying gum or a newspaper, paying for a parking meter or toll
phone call, or even leaving a tip. Electronic transfers would
"constitute legal tender." There would be no such thing as a
"withdrawal"--only a "transfer." A recent trial run was the government
use of debit cards for food stamps and the paying of Marines at Paris
Island via debit cards.
[ED. NOTE: If one questions a government official or law enforcement
officer about their hatred of cash or their heavy-handed seizure
techniques, they will simply argue that cash is the "mother's milk" of
drug traffickers and money launderers and, therefore, "if we wish to
stop drugs, we must make a small sacrifice, and stop cash." But we're
not talking about a small sacrifice here. We are talking about the
Constitution and Bill of Rights being dismantled one piece at a time.
The incredible range of searches, seizures, and violations of due
process that happen daily in America at present would make our
founding fathers turn over in their graves.]
A. MONEY LAUNDERING LAWS
In the former Soviet Union, if the government wanted to apprehend and
imprison someone who had committed no crime, they charged him with the
catchall crime of "hooliganism." In America, the catchall crime used
against organized crime figures or other Americans has for years been
RICO statutes or simply "conspiracy." But in recent years the
government has created a new catchall crime, punishable by
imprisonment, confiscation of property, heavy fines, or all of them.
It is called "money laundering."
Most Americans suppose "money laundering" refers primarily to the
hidden, laundered, movement of cash profits from drug deals. Wrong! It
refers today to almost any "financial crime," broken financial
regulation, use of cash, avoidance of government cash reporting laws,
unreported foreign bank accounts, unreported transfer of funds, or
virtually anything the government bureaucrats want it to mean. The
definition is vague and ever-expanding.
IRS agents are greatly accelerating money laundering cases in
situations where there is obviously no criminal intent, and certainly
no involvement whatsoever with drugs or drug money. Remember, the IRS
considers money laundering to be any effort you make to disguise your
assets or avoid completing a federal currency transaction or border
If a tax case can be called "money laundering," it is no longer civil,
but criminal, with large potential criminal sentences and fines. The
government's growing and expanding money laundering laws are becoming
the basis for a total financial dictatorship in America--all under the
guise of fighting the drug war. The first thing the Nazis did in the
1930s to establish control over their population was to establish
"money crimes" that were punishable by forfeiture and imprisonment.
Half a century later, the same thing is happening here. The war on
drugs is a classic government power grab.
The Treasury Department has published a booklet entitled: "Money
Laundering: A Banker's Guide To Avoiding Problems," which contains a
list of suspicious activities that the Treasury Department says fit
the profile of a "money launderer." These activities include: 1)
Paying off a delinquent loan all at once; 2) Changing currency from
small to large denominations; 3) Buying cashiers checks, money orders,
or travelers checks for less than the reporting limit (i.e., under
$10,000); 4) Acting nervous while making large transactions with cash
or monetary instruments; 5) opening an account and using it as
collateral for a loan; 6) Presenting a transaction that involves a
large number of $50s and $100 bills; and 7) Presenting a transaction
without counting the cash first.
Any non-reporting of cash transactions over $10,000 on a form 8300
(THAT NOW INCLUDES CASHIERS CHECKS, MONEY ORDERS OF ANY KIND AND
TRAVELERS CHECKS) by a banker, stock broker, car dealer, jeweler, coin
dealer, or any business accepting cash (or the above listed cash
equivalents) is considered a money laundering violation and can result
in heavy fines, and even imprisonment. Personal checks, money market
fund checks and bank wires are not presently reportable on form 8300s.
[ED. NOTE: Murder, rape, and armed robbery now result in smaller and
less frequent jail terms or fines than the new federal crime of money
laundering. In fact, the penalties for money laundering are 10 times
more severe than the same crime prosecuted as tax evasion.]
BUSH'S INTERNATIONAL STRUCTURING AND EXPANDED FORFEITURE LAW--The
November '92 issue of 'Low Profile' written by Mark Nestmann (P.O. Box
84910, Phoenix, AZ 85071) carried an ominous article on America's
latest money laundering legislation. On 10/29/92, George Bush, who
pushed through more money laundering anti-currency, and anti-privacy
legislation in his single term than any other U.S. president, signed
the "Annunzio-Wylie Anti-Money Laundering Act" which: 1) Prohibits a
bank or financial institution from disclosing to a depositor the fact
that their account is the subject of a money laundering operation; 2)
Requires all financial institutions or others who sell or redeem
monetary instruments (cash, cashiers checks, money orders, or
travelers checks) or transmit funds by wire, to maintain records of
any international transactions, and make them available for
warrantless inspection; 3) Permits the Treasury to require financial
institutions to report "suspicious transactions" that could involve a
violation of any law or regulation. The institution is not allowed to
notify the "suspect" of the report; 4) Permits the government to seize
monetary instruments or financial accounts even if it cannot
specifically identify the property allegedly subject to forfeiture (in
other words, any other property of the "accused" can be seized); 5)
Prohibits any action to structure or assist in structuring the
transfer of monetary assets across U.S. borders in any effort to avoid
reporting the transfer. Any property involved in any structured
transaction is subject to forfeiture; 6) Applies the weight of the
anti-money laundering laws to those who conspire to violate them, even
if no violation takes place; 7) Permits any federal agency to share
any data it holds with any other federal agency; 8) Permits the
government to confiscate the assets of people even if they are held in
foreign countries (this is the culmination of years of negotiations
with other countries); 9) It allows the U.S. government to prosecute
foreign banks who use U.S. banks to launder money; and 10) It empowers
banking regulators to revoke the charter of institutions convicted of
money laundering. [ED. NOTE: These provisions are designed to
terrorize bankers and force them to become the money police for the
As Mark Nestmann wrote in his 10/92 Low Profile newsletter: "This bill
greatly strengthens the government's hand in money laundering and
forfeiture cases. The 'vague' international structuring ban is
particularly frightening. In theory, anyone transferring more than
$10,000 in monetary instruments in installments below that amount
across a U.S. border without notifying the Customs Service could be
illegally structuring their transactions. They would then be subject
to criminal penalties and forfeiture."
WHEN MONEY LAUNDERING MEETS THE ENVIRONMENTAL POLICE--Mark Nestmann
wrote in a recent Low Profile newsletter: "The July 1992 ABA Banking
Journal describes how the Environmental Protection Agency (EPA) can
use money laundering laws against lenders that provide money to
"The Crime Control Act of 1990 permits the EPA to apply money
laundering laws in criminal violations of most federal air and water
pollution legislation. A lender may be convicted of money laundering
if it advances more than $10,000 to a company that it knows or has
reason to believe has violated environmental laws. Violators may be
fined $500,000 or twice the value of the property involved, whichever
is greater. A maximum 20-year prison sentence also may apply to the
individual(s) approving the loan.
"The courts have defined 'proceeds' as moneys that may have been
co-mingled with other, legitimate funds. As a result, all receipts
coming from a facility violating environmental laws, property,
acquired from such receipts and perhaps even the company controlling
the facility, may be 'proceeds.' All are subject to forfeiture under
"The article suggests that lenders should adopt 'due diligence'
measures to avoid lending to companies in violation of environmental
laws; make personnel aware of environmental and money laundering
B. STRUCTURING LAWS
"Structuring" is defined by the IRS as any effort to avoid reporting
cash or other monetary transactions over $10,000 by breaking them down
into smaller "related" transactions over any 12 month period (defined
by USC 31, Sec. 5322-5324--Money Laundering Control Act of 1986, as
amended). A structuring violation carries with it a criminal penalty
with a mandatory prison term, heavy fines, and confiscation of
structured funds and money "connected" to them. (A civil penalty of a
$25,000 fine with confiscation of structured funds also exists.)
Monetary instruments included in structuring are cash, cashiers
checks, money orders, and travelers checks.
"Structuring" is now defined as money laundering, and is a criminal
offense. You can now go to jail for dealing in cash to protect your
financial privacy, if the IRS thinks you're trying to hide or structure
your transactions or monetary instruments. Furthermore, it's against
the law for a bank or merchant to tell you that you might be violating
the law. This can get him prosecuted as part of your structuring
"conspiracy." If they think your behavior is suspicious, they may fill
out a form on you without telling you and file it with the IRS who
will promptly audit you, or begin a criminal investigation.
A few examples of structuring violations include a series of "related"
withdrawals or deposits over $10,000 (i.e., several in any 12 month
period) in monetary instruments without filing a cash reporting report
(CTR) to the government, or making payments of $10,000 or more in
monetary instruments on an installment loan without filing a CTR. One
illustration this writer is familiar with is a high school principal
who lived in the South, with no criminal record, no history of drug
usage or dealing, or even a speeding record--he simply believed in
privacy. About two years ago, he purchased $62,000 worth of
Krugerrands from a coin dealer and several days later mailed nine
separate cashiers checks to the dealer, of sizes varying between
$6,000 and $9,000.
He had accumulated $62,000 in cash (after taxes) over a 15 or 20 year
period, believing that privacy and Amendment IV of the U.S.
Constitution were still in effect. He was wrong--they are not! The man
went to nine separate banks to buy cashiers checks--three of them (33%)
turned him in to the IRS, the man was indicted on 16 counts of
criminal violation of Title 31 of the Bank Secrecy Act of 1986; was
found guilty; fined $200,000; had his $62,000 forfeited to the IRS:
and was sentenced to five years in the federal penitentiary--all for
the new federal money laundering crime of buying nine cashiers checks
with his own cash. That is structuring laws in action and that sounds
more like Nazi Germany than the America most of us grew up in.
If the government's case is shakier (or less clear cut) than the
principal's case (which, unfortunately, was a classic textbook Title 31
violation), their ploy will be to drop the criminal charges if you
allow your assets to be seized without going to trial, and/or pay a
stiff fine. This is now very common in drug kingpin cases. The drug
dealer goes free--the police keep his assets. "Structuring" is a
strict liability statute. That means that even if there's no
criminal intent, even if you earned the money
legitimately, unless you can prove that the transactions were
unrelated, the government keeps your assets.
If the government decides to prosecute you criminally, in addition to
the mandatory prison sentence and fine, they can legally confiscate
not just the money involved in the transaction, but any assets
associated with the "structured" funds. For example, if you
"structure" a withdrawal of $10,000 in cash (over any 12 month period)
from a $1 million bank account, the government can seize the entire $1
million. The seizure can proceed even without a criminal conviction or
indictment--just like the forfeiture laws. (Reread this paragraph!)
The average person might say, "well, the government would never come
after anyone who was totally innocent." But that's not true--he misses
the point! The IRS admits that 85% of the people accused of
"structuring" committed no other crime than seeking to protect their
privacy. The courts have upheld numerous criminal structuring
convictions for violations that concealed no criminal activity. If the
government wins the conviction, the judge must sentence the criminal
"to a mandatory prison sentence."
This gives the lie to the argument that money laundering/structuring
laws are enforced to get drug dealers and fight the war on drugs. The
fact is that it is far easier to convict an honest law abiding citizen
and confiscate his property than to go after a real drug dealer who
has a battery of high priced lawyers and accountants, and who might
even shoot back.
In U.S. vs. Aversa, a federal judge delivered a scathing critique of
the government's use of the "structuring" statutes. Aversa's "crime"
was initiating a secret loan to help keep information about his wife's
infertility private. The loan triggered reports of "suspicious
transactions" in his bank account.
Aversa Judge Loughlin wrote that: "Defendants should never have been
prosecuted for 'structuring' currency transactions...where evidence
showed that defendants were not attempting to avoid paying tax on
money or disguise where it came from...The evidence shows that [Aversa]
did not believe that [he] was breaking any law...This is a case that
was never contemplated by the drafters of the statute and that never
should have been brought the U.S. Attorney. There is only one
explanation for the bringing of these charges--it was easy.
IN CONCLUSION, money laundering and "structuring" laws have little, if
anything to do with the war on drugs. That is simply the excuse. They
are a legal way for the socialist government bureaucrats to plunder
and confiscate the peoples' assets (as in Nazi Germany or Russia),
they are a way to enrich the government's debt ridden coffers, they
are a way to drive us toward the cashless society, and they are a way
to place Orwellian-type controls on the American people.
This trend is likely to get worse under Bill Clinton, judging by a
recent speech he gave in Michigan to a group of prosecutors (as
reported by "Money Laundering Alert": "If we really want to get the
big criminals, we can focus more on the money laundering aspects of
their operations, and use the federal authorities to deal with
financial transactions that cross state lines, that deal with
federally insured institutions, that deal with those things that the
states will never be competent to deal with. That is what the federal
government ought to focus on--go after the money!"
III. ASSET FORFEITURES: HOW THE GOVERNMENT
PLUNDERS THE PEOPLE VIA SEIZURE LAWS
George Orwell's 1984 has arrived in the U.S.S.A. Just as in Nazi
Germany in the 1930s and in Russia from 1917 to 1990, any government
agent or agency in America today can confiscate or seize almost any
property from ANY American and there is very little the citizen can do
to protect himself. We are witnessing the death of property rights in
America--human rights and all other freedoms will follow.
In 1984, government seizures of so-called "illegal assets" totaled $30
million. In 1991, these seizures totaled $644 million (not including
lRS levies) for a net increase of 2047%. (Seizures in 1992 probably
exceeded $750 million.) A total of $2.6 billion in U.S citizens'
assets have been seized since 1985, the Government Asset Forfeiture
Office proudly boasts. Eighty percent of these seizures never resulted
in an arrest or conviction--indicating that most are being taken from
According to USA Today, there are now 1,000 forfeitures per week in
the U.S., or 52,000 per year. Assets seized in order of frequency are:
1) cash or other monetary instruments; 2) vehicles, boats, planes; 3)
bank and brokerage accounts; 4) real estate (including your home); and
5) pension and profit sharing plans.
Police or government seizures now pose a seemingly random--but still,
very real and terrifying--threat to everything we have worked so hard
to earn and save over the years. It is frightening to realize that if
your teenage son or daughter hosts a party at your house, and one of
the guests brings a few joints of marijuana, that you can lose your
entire house and everything in it under many local or state forfeiture
laws. (Federal forfeiture laws will apply only if the substance is
present in saleable quantities).
Asset forfeiture is an unconstitutional process (though considered
legal according to new socialist laws and regulations) which allows
the government or any police agency to simply "accuse" or "suspect"
you of a crime (but not formally charge you)--and then seize your
property. In most instances there is no arrest, no trial and no
conviction. You are presumed guilty until you can prove yourself
innocent. The plain fact is that the great majority of people who have
property seized from them by the police are innocent and law abiding.
One study showed that in 80% of the seizures, the police never even
filed charges against the victims of the seizures, or, in some cases,
filed charges and then dropped them.
The police need no warrant to seize your car, your cash, your
business, your house, your bank account, your investments, your
retirement plan, or your personal property--with no due process. They
don't even have to formally charge you with a crime. There are
hundreds of local, state and federal laws and thousands of regulations
on the books under which the government can seize your property.
Furthermore, as Financial Privacy Report, (P.O. Box 1277, Barnesville,
MN 55337) says, there's no cap on the value of the seized assets. They
can take expensive cars and homes for even the most minor "suspected"
violation. You might be under suspicion of violating some statute for
which the maximum penalty--if convicted criminally in a court of law
might be a $500 or $1,000 fine. But under these laws, the police or
government can seize your property worth 100 or even 1,000 times as
much as the maximum fine--and they don't need to convict you to do it.
Three fraternities on the University of Virginia campus found out the
hard way when federal agents raided them and confiscated a small
amount of marijuana worth, at most, a few hundred dollars. Criminally,
this would have been treated as a youthful first transgression of a
few teenagers. But under the seizure laws, the police took the
fraternity houses themselves, which were worth about one million
In Iowa, a woman accused (not convicted) of shoplifting a $25 sweater
saw her $18,000 car (which had been specially equipped for her
handicapped daughter) seized as the potential "getaway vehicle." In
Portland, Oregon, the police raided a bar and arrested a bartender
(not the owner) on suspicion of bookmaking. There was zero evidence
pointing to the bar owner's involvement--the police documents didn't
even mention him. But the police seized his business anyway. The
deputy district attorney in charge said she didn't have evidence to
press criminal charges against the owner "so we seized the business."
[ED. NOTE: These seizures are legalized theft by those who are
supposed to be upholding the law, and give you a hint at the mindset
of government agents, bureaucrats, and the police today. Justice is
out--plunder is in!]
A. PROBABLE CAUSE
The government or police do not have to show any more than "probable
cause" that a crime has been committed--the same standard which for
centuries has been applied to search warrants. So the police can now
seize your home with no more evidence than it once took to search it.
"Probable cause" can be when the police or government agency
"suspects" racketeering (which is broadly defined--it can mean almost
anything), drug possession, drug trafficking, money laundering (See
Section IIA above), robbery, murder, tax evasion, extortion,
environmental crimes, violation of the Trading with the Enemy Act,
violation of the Emergency Economic Powers Act, gun control
violations, and more than 100 suspected unlawful activities named in
Some specific examples of "probable cause" in the current avalanche of
government seizures: 1) a tip from a paid informant (with a finders
fee of 10-25% of the value of the seized property paid); 2) a tip from
an airline ticket sales person or airport security guard (with a
finders fee paid of 10-25% of the value of the seized property); 3)
any trace of any controlled substance (i.e., drugs) on any person or
property (zero tolerance is allowed); 4) any trace of any controlled
substance (i.e., drugs) on cash or other monetary instruments; ED: But
most U.S. cash has traces of some drug residue on it). 5) any
specified unlawful activity in which probable cause indicates you are
guilty (i.e., firearms violations, unpaid speeding tickets, etc.); 6)
making an effort to avoid filling out a cash reporting form at the
bank; 7) innocently doing business with a person that the government
believes you should have suspected of committing a crime.
Bill and Karen Munnerlyn, recently profiled on 60 Minutes, are classic
examples of (7) above. Bill Munnerlyn used to own a Las Vegas air
freight service. But on 10/3/89, Bill flew an old man and four
padlocked blue plastic boxes to a California airport. Unknown to Bill,
his passenger was a convicted cocaine trafficker, and the boxes
contained nearly $3 million in cash from a drug deal. An informant
tipped off the DEA as to the nature of the cargo and passenger, and
both the passenger and Bill were arrested upon arrival. The jet, the
blue boxes, and even $8,500 in cash Bill's passenger had paid for the
flight were seized.
Bill was released three days later with no charges, but the DEA kept
the plane, and the U.S. Attorney prosecuting the seizure said it was
justifiable because the plane flew into the Los Angeles area, which is
"known as a center of illegal drug activity" and that was sufficient
"probable cause" to seize the plane. [ED. NOTE: Incredible! Several
thousand planes a day fly into the Los Angeles area. Should they all
be seized because L.A. is a drug zone?] In October, '90, Bill took the
government to court and won a jury trial. But the judge overturned the
The DEA then demanded that Bill pay a $66,000 fine (which he did not
have) to get the plane back. Meanwhile, the plane had incurred $50,000
in damage while in government custody. In the meantime, under DEA
pressure, the FDA revoked Bill's flight certificate. Bill never got the
plane back. His business is gone, and he now drives a truck to support
his family. But, the informant who's tip led to Bill's jet being
seized is eligible for a reward up to 25% of the value of the plane.
[ED. NOTE: This sort of thing is an example of the "new American
justice, and is now happening to thousands of Americans every
According to a recent article in USA Today, in 1992, 65 informants
made over $100,000 each by simply alleging to police agencies that
their friends, neighbors, and/or business associates had committed
crimes. And no, when you go to trial, you don't have the right to
confront the informant in court. The reason: it's a civil, not a
To seize your property, the government need not accuse you of a crime.
All that is necessary is that the judge agree with a prosecutor that
"probable cause" indicates that a crime was committed in or on your
property. Or a policeman, or sheriff, or federal drug agent can make
that determination on the spot and seize your car, your boat, your
home, your bank accounts, etc. According to the Pittsburgh Press, over
80% of the victims of 25,000 such seizures they analyzed were never
accused of any crime. [ED. NOTE: This is simply legalized theft or
plunder. How is this different from Nazi Germany?]
B. LOOKING SUSPICIOUS CAN GET YOUR ASSETS SEIZED
A "suspicious" customer or transaction at a bank or financial
institution goes to the top of the seizure list. There is a box on the
top of the CTR (cash reporting form) and if a person looks nervous, or
protests having the form filled out, or is too inquisitive about the
form, that box may be checked. The bank is supposed to notify the
Treasury Department but cannot tell you--they're just supposed to spy.
Should the Treasury Department find your actions suspicious, it can
freeze your account and it's up to you to prove the seizure is
In the largest effort of this type, Operation Polar Cap, the Treasury
froze more than 700 "suspicious" accounts. Ultimately only about 10%
of these were shown to be possibly tied to illegal activity. The other
90% were erroneously (but "legally") confiscated. Yet each depositor
whose account was wrongfully seized had to prove, at their own
expense, that their assets had been earned by legitimate means.
C. THE SEIZURE LAWS ARE STACKED TO MAKE IT ALMOST IMPOSSIBLE TO
RECOVER YOUR PROPERTY
As the Financial Privacy Report (P O Box 1277, Barnesville, MN 55337)
writes: "Forfeiture laws were expanded in 1984 to allow the government
to take possession without first charging the owner. The proceeds
finance more investigations and are helping to finance the financial
shortfall of local, state and federal governments. Eliminating the
need to prove a crime has moved most action to civil court, when the
government accuses the item, not the owner, of being tainted by crime.
As a result, jury trials can be refused; illegal searches condoned;
and rules of evidence ignored.
"In up to 80% of the cases, no charges are ever filed. If they are
filed, you have plenty of time to fight them. But you only have a very
limited time to fight a seizure. In California, for example, you only
have 10 days to file your challenge to seizure. There you are: you
have been thrown out on the street, your home and bank accounts
seized, no money to pay a lawyer, and you have to prepare your case.
"You also usually have to file a bond with the court. That bond is
about 10% of the value of the property seized. Where do you get the
money for the bond, if they have seized all of your financial assets
(as they did to a friend of this writer)? But if you don't come up
with the money for the bond, your property is gone. And what is the
bond for? It's hard to believe, but it's to cover THEIR cost of
fighting YOU in court. They seize your property without a trial, and
then force you to finance their case against you. It's like being
sentenced to the firing squad, but your executioners make you pay for
the bullets and the burial, and dig your own grave."
YOUR RIGHTS IN A HEARING ABOUT A POLICE SEIZURE ARE VERY LIMITED
As the Financial Privacy Report points out, "in some states, you have
no right to trial by jury. Your case is heard by a judge who often has
a direct financial stake in the seizure. If they take your assets,
and you can't afford a lawyer, that's your tough luck. You don't have
a right to a court-appointed attorney. In some cases you do not get to
testify on your own behalf. Hearsay evidence, not admissible for
criminal cases, can be used against you. You do not have the right to
confront your accusers."
"And worst of all, there is no presumption of innocence. These
'forfeiture' hearings, which harken back to the days of the Spanish
Inquisition, work the other way--you are presumed guilty until you
prove your innocence. There may have never been charges filed against
you or they may have been filed and dropped for 'lack of evidence.' In
a criminal trial, you simply have to raise 'reasonable doubt' as to
your guilt. But in a police forfeiture hearing, you have a positive
burden to prove your innocence.
D. WHO PROFITS FROM THE PRESENT SEIZURE LAWS
Certainly local, city and federal government(s) are helping to cover
some of their financial shortfall from the loot they steal from their
victims. Informers and spies are profiting handsomely from seizures
with some airline ticket clerks, security guards, bank clerks, etc.
comfortably supplementing their income with finders fees for tips
leading to seizures. Typically, informants (snitches) get 10 to 25%
off the top. There are some snitches with horrible criminal records
who are now millionaires from these seizures and "snitch fees". You
will be happy to know that no Form 1099's are issued on these fees, so
the "snitches" are apparently enjoying tax-free income. Incredible!
It is incredible that your government and police are encouraging the
American people to spy on one another (just as in Nazi Germany and
most communist countries) and to turn in our friends, neighbors, and
families--for hefty commissions. (With Judas, it was 30 pieces of
silver--today the finders fees are larger.) More than 90% of the
search warrants granted to law enforcement agencies are based on
information supplied by informants. The government pays out more than
$60 million per year in finders fees to informants. One wonders who is
more corrupt, the informant or the bribing officials?
In 1984, "bounty hunter" provisions were added to the federal
forfeiture laws that permit local police to keep most of the proceeds
of the property they seize under federal authority. Since then,
government seizures have soared 2047%, a Congressional report has
The laws governing how the seizure booty is split up vary from state
to state. A typical state split for the balance (after paying the
informant's finders fee) might run 70% to the local police, with the
district attorney's office, judges' chambers and the feds splitting
the balance. In Louisiana, for example, every official involved in
"justice" is given a direct financial stake in upholding the seizure.
The police bringing the case get 60%; the prosecuting DA's office gets
another 20%; and the judge signing the forfeiture order gets the
remaining 20% for his or her court fund.
The traditional American concept of the police and the courts is that
justice is meant to be impartial. We all recoil at the thought of the
police, prosecuting district attorneys, or judges having a direct
financial stake in the outcome of a case. Yet under these
police/government seizure laws, that is exactly what is beginning to
happen. This is how Mexican and other Third World officials have been
corrupted over the years, and how they have stolen from the people to
enrich themselves. We are witnessing the Mexicanization of American
E. THE INNOCENT OWNER DEFENSE
In a case now before the Supreme Court, the Justice Department is
seeking to virtually eliminate what is called the "innocent owner
defense" in federal forfeiture cases regarding seizures of real
estate, cash, vehicles, bank accounts, etc.--allegedly tainted through
drug activity or any of more than 100 other "crimes."
A 1984 law states that federal ownership of property begins the
instant an activity punishable by forfeiture takes place on it. Now,
the Department of Justice interprets that wording as allowing it to
deny the claim of any innocent owner to whom the property is later
transferred. In other words, the alleged illegal act eliminates any
subsequent rights to the property by any party other than the U.S.
The Justice Department holds that once property is tainted by a crime,
it is tainted forever. The implications of the elimination of the
"innocent owner defense" are staggering. Example: A series of say 3,
4, or 5 owners of real estate, property, a vehicle, a plane, a boat,
etc. have bought and paid for the property or item in good faith, and
are unaware of any prior criminal activity related to that property.
But if owner 1 or 2 dealt or kept drugs on that property (or did any
other illegal activity) or even transported them in the car, boat,
plane, etc., the Justice Department claims that it owns the property
(via forfeiture/seizure laws) from the point in time it "became
tainted with the crime" and that all subsequent owners have no rights.
It also claims that it is entitled to all income from that property
from the time it was "tainted with the crime" until the seizure and
forfeiture--whether the lapse was a year, or ten years. The Department
of Justice holds that buyers 3, 4, or 5, who legally paid for the
property and hold title to it, can have it seized from them at any
point in the future.
Imagine how many of us own a home or vehicle which may have had a
former owner who was a drug dealer (or who violated any one of the
more than 100 laws for which forfeiture is permitted). The Department
of Justice says that we do not have good title to that home or
vehicle--that the government can seize it at any time. Mortgage
lenders, real estate brokers (or investors), title companies,
landlords, are going to freeze in their tracks when they begin to
understand the implications of this. There may be no such thing as
clear title in the U.S. as the Department of Justice declares
literally millions of properties vulnerable to potential forfeiture.
There is a five year statute of limitations in federal civil
forfeitures (although the government is now arguing in a case before
the Supreme Court that there is no statute of limitations,
whatsoever). So, if the government gets the "innocent owner defense"
thrown out, it has five years after the first alleged illegal use to
make a claim against the property--no matter how many times the
property has changed hands in the interim. The last owner gets burned,
but he will sue all prior owners for not having gotten the good title
he thought he got.
Let's look at a large example. Let's say that in 1989, XYZ Company
dealt drugs out of its offices on the 32nd floor of the Empire State
Building, which is owned by R-Corporation. The Empire State Building
is later sold in 1991 to Japanese interests (J-Corporation). XYZ
company officials are arrested and indicted on drug charges in 1992.
At that point who legally has title to the Empire State Building?
According to the Justice Department, not R-Corporation and not
J-Corporation. The government owns it from the time the crime occurred
in 1989 and can seize it in forfeiture when it wishes. In short, the
alleged illegal act eliminates any subsequent right to the property by
any party or owner (present or future) other than the U.S. government.
CONCLUSION: Reread this Section several times and let the implications
sink in. We are entering an unconstitutional socialist quagmire of
seizures, forfeitures, and lawsuits of incredible dimensions. It is
almost beyond belief to this writer to see what is happening in
America today. The government encourages Americans to spy on one
another--for pay; the government and police unconstitutionally seize
and confiscate private property of innocent American citizens as if we
had no more property rights than the captive peoples in Russia, Red
China, or Nazi Germany (of the '30s); Americans who believe in the
Constitutional guarantees to privacy, or simply the use of cash, are
impoverished, jailed, or both.
A growing number of our police and government officials no longer
necessarily represent justice and protection, but are being corrupted
with their new found power and ability to share in the loot; and
everyone is beginning to be suspicious of everyone else, and
especially of the police and government officials--a growing number of
whom are beginning to look and act more like their Gestapo and KGB
counterparts every day. This is not the America this writer grew up
in! Welcome to the U.S.S.A.--a branch of the New World Order!
IV. SPECIFIC CASES OF GOVERNMENT PERSECUTION
OF INNOCENT AMERICAN CITIZENS
Paul Craig Roberts recently wrote the following in his nationally
syndicated column: "The United States was once a proud country that
protected its citizens from unjust prosecutions by maintaining an
unbreachable barrier between politics and justice. But no more.
"In recent cases, the Justice Department has withheld evidence or
shaped it maliciously in order to falsely prosecute innocents. With
their careers dependent on the number of convictions--and not
dispensation of justice--U.S. Attorneys seek more notches on their
"Once government prosecutors were guided by a code of ethics and a
sense of honor. However, today's prosecutors can find honesty to be
disabling. Those who are encumbered by a sense of fair play, or are
repelled by the tactics employed against U.S. citizens, end up
resigning their positions. "
The average American may see only a few isolated cases of government
persecution of its citizens from time to time in the press, on 60
Minutes, etc. He is vaguely aware that seizures and forfeitures are
going on, but he has no idea of the extent to which citizens are being
fined, jailed, having their homes, businesses, bank accounts, and
property seized for violations of unconstitutional rules and
regulations related to drugs, money laundering, structuring, gun
control and environment--none of which were even on the books or were
ever conceived of by our founding fathers.
Fifty-two thousand Americans, mostly honest law abiding citizens, have
experienced seizures and forfeitures in the past year alone; thousands
more have been jailed. Never say never--in 1993 (or beyond) it could
be you or your family. Just a few of those cases are discussed below:
A. A SMALL SAMPLING OF SEIZURE AND FORFEITURE ABUSES
IN MARYLAND, a member of the Carroll County Narcotics Task Force
disguised as a UPS driver delivered a parcel containing a small
quantity of marijuana to the owner of a 54-acre estate. The county is
now seeking to seize the entire estate. One task force member
commented during the bust, that the property "would make a great
IN NEW JERSEY, forfeiture is permitted for property connected with any
indictable offense. A New Jersey graduate medical student set up a
counselling office in his parent's home in Monmouth County. He got
prior approval from the local Mental Health Director that this was
legal. But a few weeks later, police arrested him for "practicing
psychiatry without a license," and seized the contents of the home.
Under New Jersey law, his challenge of the seizure will be heard by a
single judge. No jury trial is permitted. (In another New Jersey case,
authorities seized a business because it submitted a defective bid for
a state purchasing contract.)
IN TENNESSEE, Willie Jones, a black gardening contractor from
Nashville, who had bundled up $9,600 in cash from his prior year's
profits and headed for Houston for his semi-annual trip to buy flowers
and shrubs, was stopped by police on suspicion of money laundering. He
had bought the round trip ticket to Houston (about $400) with cash and
was turned in by the ticket agent. It was said that he fit the drug
dealer profile--he was black and had cash. The police searched him,
seized the $9,600, gave him a receipt and let him go. No evidence of
wrongdoing was produced, and no charges were filed. The money was
IN JEFFERSON DAVIS PARISH, LOUISIANA, in April 1989, deputies seized
$23,000 in cash and a truck belonging to Johnny Sotello, saying a
space in the truck could have been used to hide drugs. Sotello said he
was carrying the cash because he was on his way to an auction. He was
never charged. In a deal cut a year later, he got his truck and only
half of the cash back.
IN NEW YORK CITY, in March, 1991, some 20 armed sheriffs deputies
entered Dan's Supreme Supermarket. Carrying guns and radios, they
blocked all store exits and stationed themselves at the cash
registers. Wearing bright bulletproof vests with "SHERIFF" written on
their backs, they demanded $16,900 immediately in cash. They
threatened to empty the cash registers and bust open the store safe if
they were not given the money. What could the store manager do? He
gave them the money. The reason for the seizure: Litter violations!
IN SAN FRANCISCO, K.M. was on his way to run an errand, when a
policeman stopped him and said: "Give me your keys. This is my car
now." Accusing K.M. of money laundering, the police went on to seize his
bank accounts, family heirlooms, and art collection. K.M. protested
that he did not launder money and the police soon dropped the charges
for "lack of evidence." But the police kept the property. K.M. never
got it back.
NEAR PHILADELPHIA, on Memorial Day, 1990, Mr. Tracy Thomas was
visiting his godson, when local police entered without a search
warrant. The police found nothing illegal, and filed no criminal
charges, but they seized $13,000 of Thomas' cash. Thomas sued for a
return of the money and showed a state judge a withdrawal slip proving
he had removed cash from his account, and receipts from purchases he'd
made prior to the seizure. The balance was $13,000. [ED. NOTE: Thomas'
bank had probably reported him for the large cash withdrawal.]
Outraged at this appalling abuse of power, the judge ordered the
police to return Thomas' cash. They didn't. Instead, the police turned
the cash over to the federal government, (who will give the police
back a large chunk of the proceeds). Now Thomas must sue in federal
court to recover his lawfully earned money.
IN DENVER, at Stapleton International Airport, in 1989, a restaurateur
who had about $10,000 in cash on him was stopped and searched by
police, using a sniffer dog. The dog barked and wagged its tail when
it sniffed the cash, and the police kept the cash. No arrest was made,
no charges filed. A year and a half later, after the man had expended
$5,000 in legal fees, he got $5,000 back. His net loss, including
legal expenses: $10,000.
IN THE DENVER AREA, in May, 1990, a small securities firm with 40
employees, which specialized in real estate limited partnerships, was
raided by 28 armed sheriffs deputies and police. A former employee who
had been fired for mishandling funds complained to police about
"alleged" fraudulent activity. Seven or eight police cars pulled up in
front of the security firm's office, but first they tipped off the
local T.V. stations so they would have their camera crews on hand for
footage for the 6:00 pm news. The sheriffs deputies then hauled out
110 boxes of records and computer tapes (all of the firm's records),
immediately froze all of the firm's assets, and announced to the press
that a massive securities fraud investigation was underway.
This publicity caused cancellation of all the firm's credit lines.
With no records to prove their innocence, and no funds for operations
or attorneys, the firm had to terminate all 40 employees and shut its
doors in less than one week. Over $15 million in real estate
partnerships (which had not been in trouble prior to the raid)
subsequently collapsed due to lack of debt servicing, management, etc.
and the sheriffs department said that this "proved that the
partnerships were fraudulent." The security firm's partners had all of
their personal assets seized and had no money left to defend
themselves. The county kept $350,000 in seized funds, over $15 million
in partnership assets went up in smoke, and the firm and its partners
were destroyed without ever having their day in court.
A LETTER TO LOW PROFILE NEWSLETTER:
"In 1991, I refinanced my home in New Jersey to raise money to help
provide for a son's education and to pay some overdue bills. I
received a $38,000 cashier's check which I deposited into my checking
"I withdrew $15,000 cash from this account and purchased with these
funds several money orders from post offices in my area. I deposited
the funds in a custodial account set up in Maryland to pay for my
son's education. Three weeks later, the Postal Inspection Service
(PIS) seized this account on probable cause that a violation of USC 31
Secs. 5313(a) and 5324 had occurred. These regulations require
customers to report same day money order transactions between $3,000
and $10,000, and prohibit structuring transactions to avoid any
reporting requirements, respectively.
"I was unaware of such requirements, nor did any of the post offices
where I purchased the money orders have signs advising customers of
them. No Postal Service employee notified me of the regulations.
"in February 1992, my attorney filed a Petition for Remission or
Mitigation of Forfeiture with the Postal Service. To receive
remission, the petitioner must establish that he: 1) Has valid
interest in the property; (2) Had no knowledge that the property was
or would be involved in any violation of law; and (3) Had no knowledge
of the violation which subjected the property to forfeiture. I
established all three elements for remission of forfeiture. However,
in April 1992, the PIS denied the petition, stating that I failed to
provide sufficient evidence to support my claim.
"Under this law, you are guilty until proven innocent. The appeal is
decided by the same agency that seized your money. This is unjust,
unfair and unreasonable--they still have my son's money."--Name
withheld by request
B. THE CASE OF DONALD P. SCOTT
On October 2,1992, a task force consisting of more than two dozen
officers and agents from the Los Angeles County Sheriff's Department,
DEA, National Park Service, California Bureau of Narcotics, and
California National Guard conducted a drug raid against the home of
wealthy millionaire, 61 year old Donald P. Scott, who lived on his
Malibu ranch in Ventura County.
The police broke into Scott's house at night, and Scott, who was half
blind, grabbed a pistol in self defense. As Scott put his hands above
his head with the pistol in his hand, he was ordered to drop the gun.
Since guns dropped six feet or more can go off, he lowered his hands
to drop the gun, and the sheriff's deputies shot and killed him in
The purpose of the drug bust was ostensibly to find marijuana which
had reportedly been seen, in an aerial survey, growing on the ranch.
Drug agents also said that they had received an informant's tip that
Scott's wife of three months, Frances Plante, was seen in Malibu
"flashing $100 bills." [ED. NOTE: That was justified as "probable
cause" for the raid.] After the killing, the police officers were
dumbfounded when they did not find a speck of marijuana, or any other
drugs on Scott's ranch. Had any drugs (even a few ounces) been found,
the entire ranch would have been seized and forfeited.
There were some strange aspects to the raid and "murder" of Scott
(which was the second shooting involving Southern California
forfeiture squads within a month). First, Scott's 200-acre estate is
located entirely in Ventura County, yet the Ventura Sheriff's
Department was not notified of the raid.
Second, Attorney Nick Gutsue, a long-time friend and executor of
Scott's estate, contends that the lawmen were looking for a reason to
seize the 200-acre ranch. Scott had refused on numerous occasions to
sell his property to the federal government as part of the expansion
of the adjacent Santa Monica Mountains National Recreation Area. As
Gutsue told the Santa Rosa Press Democrat (11/1/92): "This was not
about drug seizure. This was about asset seizure. They went up there
to seize property."
Los Angeles County Deputy District Attorney Larry Longo, a long-time
friend of Scott's, has demanded an investigation, claiming that the
multi-agency drug operation was not only overkill, but it was designed
to obtain Scott's multimillion dollar ranch through unconstitutional
federal forfeiture laws. Longo claims that the raid was not a typical
drug raid and that it was clearly designed to seize and keep the land
through forfeiture. He argues that you don't need an army of police
(i.e., 25-30 armed men in combat gear) to serve a search warrant on
one half blind old man.
[ED. NOTE: The local and federal police do believe in winning through
intimidation (i.e., large numbers) and apparently in the Russian
doctrine of preponderance (i.e., large numbers). This writer knows of
at least a dozen government or police raids where 10-30 police or
government agents were used, when one or two police officials with a
search warrant would have easily sufficed.]
C. THE PERSECUTION OF LEONA HELMSLEY
Conservative columnist Paul Craig Roberts wrote recently: "Hotel queen
Leona Helmsley is another victim. She was convicted on the basis of
what court papers now show to be false testimony. She was the victim
of the government's need for a high profile 'tax cheat' to lock up on
April 15 in order to send the rest of us a message."
As The New American wrote recently regarding Helmsley: "As the 'Queen
of Mean,' hotel mogul Leona Helmsley is not the most sympathetic
victim. The 'revenoors' know that. Nonetheless, as former Reagan
official and syndicated columnist Paul Craig Roberts wrote in his
column on April 3rd: 'It is difficult to understand the government's
charge of tax evasion: the Helmsleys are a cash cow for the Internal
Revenue Service. During the three years at issue (1983-85), the
Helmsleys paid $53.7 million in federal income taxes on adjusted gross
income of $103.6 million. That comes to 52 percent of their income--
hardly the profile of a tax evader.'
"Roberts added: 'It is obvious that the 'greedy' Helmsleys had taken
no steps at all to shelter their huge income from taxation. Indeed,
unlike other hotel and real estate magnates, the Helmsleys' properties
are not sheltered with depreciation and interest deductions.
Asset-rich with no shelters, they pay high taxes. The government,
which disallowed some business expense deductions, claims that the
Helmsleys underreported their large income by $2.6 million in order to
evade $1.7 million in taxes. However large this sum might seem to the
average person, it is not even pocket change to billionaires. It is
safe to say that the Helmsleys would not have noticed the difference
between the $53.7 million they paid and the $55.4 million that the
government claims they owed.'
"Most importantly, the example of a jailed billionaire is handy for
the Feds to intimidate the rest of us."
Roberts added: "What is it to us, the envious might ask, if
billionaires (like Helmsley and Michael Milken) are yanked from their
limos and thrown into a dungeon? The answer is, that if the rich and
powerful-- however unpopular--cannot protect themselves from malicious
prosecutions, the rest of us cannot either."
D. HOMESCHOOL FAMILY TERRORIZED BY FEDERAL AGENTS
AFTER MALICIOUS GUN COMPLAINT
This writer recently met a homeschool couple at a conference in the
Pacific Northwest who told him a horror story which is becoming all
too common across the United States in recent years. (The story was
reprinted in the Midnight Messenger, 9205 S.E. Clackamas Road,
Clackamas, Oregon, 97015, and in the American Information Newsletter,
2408 Main Street, Boise, Idaho 83702.
"On April 1, a homeschool family in rural Washington state was
terrorized for three hours on the basis of a spurious allegation that
they possessed illegal weapons. The raid occurred after the Bureau of
Alcohol, Tobacco and Firearms received an unsubstantiated
report--issued by a former mental patient--of illegal firearms
allegedly possessed by a family which sought isolation in the
mountains near Coleville for religious and moral reasons. Thirty
agents descended upon the home in combat gear and handcuffed Mrs.
MaLisa Knudson to a couch as she pleaded with agents to allow her to
attend to her 21 month old baby she had left in the bath. Ultimately
the child was brought to her. For three hours the home was ransacked
by the agents but nothing was found.
Significantly, the agents' interests extended beyond firearms. For the
three hours, Mrs. Knudson was grilled about the Knudson's religion,
homeschool and attitudes about home births. Every private paper was
examined. The agents took a special interest in the Knudson attitude
toward the Aryan Nation, a political/religious group often alleged to
have a Neo-Nazi connection. The Knudsons were not members of the Aryan
Nation and knew nothing about the group. The agents apparently
believed the Knudson interest in homeschool, home birth and social
isolation was sufficient to link them with the Aryans. Even though no
illegal firearms were found, various personal items were confiscated.
The items were later returned after BATF admitted they had no
complaint against Knudsons. Mrs. Knudson said, "We believe that their
motives were to uncover information about us since we are (well, were
until all this happened) very private, Christian people."
E. THE BIZARRE TRAGIC CASE OF RANDY WEAVER: MASSACRE AT RUBY CREEK
One of the most frightening and tragic stories of government abuse of
power in decades emerged in Idaho in August of '92. This writer
prayerfully hopes that this does not become the wave of the future in
the socialist America which is emerging in the 1990s. The following is
a description of the siege by a man who was there:
"A Christian family in North Idaho was terrorized in August, 1992 by
over 400 Federal troops. Why? Because of a shotgun barrel that was
allegedly 1/4" too short. Three American citizens were killed
needlessly, including a 14 year old boy, a mother of 4, and a Marshal.
"About two years ago, Federal government agents approached Randy
Weaver (a former Green Beret, Vietnam vet, and candidate for county
sheriff) with 'an offer he couldn't refuse': find Christian families
who have guns and give us their names. Their exact words were, "Join
our team." Mr. Weaver said, "No way." He felt it was dishonorable and
unethical to spy on fellow citizens for the Federal authorities. The
FBI told him if he didn't cooperate they would "set him up real good,"
put him in jail, and take his home.
"Randy Weaver was guilty of no crime and hadn't hurt anyone. His was a
wholesome family that tried to separate themselves from a world system
they believed had abandoned true Christian values. They lived in the
mountains of Idaho, grew their own food, homeschooled their children,
and taught them the importance of keeping God's laws. They lived in
peace and had many friends in the area.
"But the government followed through with their threat. They hired
informants to ask Randy to buy them shotguns. As a friend (he
thought), Randy bought two shotguns for them, one at a gun shop and
the other at a pawn shop. He handed over the guns to the 'friends,'
thinking he had done nothing illegal. The shotguns in turn were handed
over to the Feds, who Weaver claims shortened them 1/4" below the
legal barrel length.
"Randy was then arrested for this 'crime' and ordered to stand trial.
But the Weaver family was convinced that Randy would not get a fair
trial by a Federally-controlled court system, the same system that
blackmailed him in the first place. They sent a letter to this effect
to the courthouse, informing them that Randy would not go to the
trial, but would stay in his home on the mountain.
"An interview with Randy and Vicki Weaver revealed why they wouldn't
come down from the mountain. 'All they have against us is government
paid informants who can get on the stand and say anything they want, '
said Randy. 'I feel I have no choice but to stay here if I want to
keep my family together.' Vicki revealingly said, 'We wouldn't let him
play their game. He would have been railroaded through court, and once
he was gone they would have come in, kicked us off the property and
torn this place apart. We wouldn't let him go down. '
"Over a year and a half went by while the family remained, in effect,
self-imprisoned in their mountain home. Needs which could not be met
by their garden were supplied by friends. And then, on August 21,1992,
an eight-man team of U.S. Marshals in black combat gear converged on
the Weaver home for what they called 'surveillance.' The family dog
got wind of something on their property and ran towards it. Randy, his
son Samuel, 14, and friend Kevin Harris, 24, left the house with
rifles hoping to shoot a deer to supply food for the family. But to
their complete surprise, agents were in the woods with M-16's and
other fully automatic weapons.
"The agents shot the family dog while Samuel was watching. He yelled
out to stop the shooting and was shot in the arm. He turned to run,
and was shot four times in the back, killing him. Kevin returned fire
in the general direction of the agents and ran for the house. Randy,
having taken a different path, was not in the same area. Upon hearing
the gunfire, he fired his own weapon into the air as a signal for all
of them to return to the house. He did not fire at any agents. During
the attack, a Marshal was killed by a single armor-piercing bullet
through his bullet proof vest. (Kevin Harris has since been charged
with the 'murder' of the Marshal, but many people believe the Marshal
was most likely hit by one of the barrage of bullets fired by his own
team during the attack.)
"Thus began the siege of the Weaver home in North Idaho. Martial law
was put into effect in two counties. Well over 400 Federal troops were
sent to the mountain and over 100 State Police were called into the
area. Here is a partial list of the military equipment brought in to
surround the Weaver home: 2 military Apache helicopters, 1 HUEY troop
transport helicopter, 1 LOH observation helicopter, tanks, armored
personnel carriers, Heckler and Koch-94 fully automatic 9mm's, fully
automatic M-16's, 12-gauge shotguns, mini-14's and a large assortment
"Families living on the road to the Weaver home and surrounding areas
were forced to evacuate by the FBI. The road was barricaded at the
Ruby Creek bridge and guarded by BATF, FBI, various Federal troops and
State Police. Friends and concerned citizens began protesting at the
bridge in view of the invading Federal troops. Friends, relatives, and
ministers pleaded with the FBI and police to let them go up and
negotiate with the family to avoid any further bloodshed. All requests
were flatly refused.
"On Saturday morning, Randy, his 16 year old daughter, Sara, and Kevin
went to an outbuilding where they had placed Samuel's body the night
before, to say good-bye one last time to Randy's only son. Randy, who
was unarmed, was shot in the back, below his right shoulder, the
bullet exiting out his armpit. Vicki Weaver holding 10 month old baby
Elisheba in her arm, held the door open for the three as they ran back
to the safety of the house. Vicki was struck in the head with a .308
caliber sniper's bullet. The bullet entered her right temple and
exited on the left, literally blowing half her head off. Miraculously,
the baby survived unharmed as Vicki dropped to the floor. But
fragments from that bullet and Vicki's skull hit Kevin in the arm and
chest, puncturing his lung and breaking a rib. Randy slammed the door
and refused to open it again.
"The public was not to learn of Samuel's death for three days, and
nothing was said of Vicki's death for seven days.
"The FBI placed explosives around the house. A helicopter loaded with
diesel was seen flying towards the house. It was apparent to witnesses
that the intent was to drop the diesel on the roof, set off the
explosives and burn the house to the ground, leaving no survivors.
Realizing this, a cameraman from a local newspaper jumped out from
under cover and began waving his camera in the air until the pilot
spotted him. The helicopter returned immediately to the Army staging
area and landed. The diesel was not dumped, but the cameraman was
arrested by the Feds for 'obstruction.'
"The standoff continued another week with more protestors arriving
from all over the nation. By Friday 250 people, men, women and
children, were camped at the Ruby Creek bridge as a vigil for justice.
Friday, August 28, 1992, Third Party Presidential Candidate Colonel
'Bo' Gritz was allowed up the mountain to negotiate with the Weavers.
He returned to the protest line that night with the tragic news of
Vicki's death. The crowd was in mortal shock. Prayers were made as
they held hands in a circle in front of the barricade.
"After several days, a dialogue of trust was established between Randy
and Colonel 'Bo' Gritz. Randy was finally convinced by supporters and
'Bo' that the battle should be fought in the courts. As it stands now,
Randy Weaver and Kevin Harris are in jail, charged with everything
imaginable, from the ridiculous to the serious, including murder, and
'plotting to overthrow the government.'
"This siege on a simple Christian family is such a travesty of justice
that many people cannot imagine how it could happen in America. The
main question they have is how could a small misdemeanor charge of
1/4" on a shotgun barrel cause the deaths of three people and the
invasion of more than 400 soldiers plus the cost to taxpayers of $1
million a day for 11 days?"
As a post script, Randy Weaver and Kevin Harris as well as Weaver's
three daughters have been indicted. Sara (16), Rachel (11), and
Elisheba (10 months) have been indicted on charges of murder or
accomplices to murder.
Could this, or any of the travesties described above in this issue of
MIA happen to you or your family? In this writer's opinion, it could!
V. PREVIEW OF COMING ATTRACTIONS: THE NEXT FIVE TO SEVEN YEARS
America is about to undergo convulsive changes over the next five to
seven years as we plunge into socialism and toward the New World Order
and New Age, and as the power of the political left, the secular
humanists, the New World Order/New Age crowd, the feminists, the
environmentalists, and the homosexuals grows almost geometrically.
Challenging days lie ahead for Constitutionalists, lovers of
traditional American values, and Biblical Christians. From January 20
forward these trends will accelerate dramatically. A few developments
to watch, as postulated by this writer's friend, writer/patriot
1. THE LINE BETWEEN GOVERNMENT PRIVILEGES AND PRIVATE RIGHTS WILL BE
FURTHER BLURRED--Administrators and courts will unlawfully extend
jurisdiction from government to private lands. Expect, for example,
administrative extension of forestry control from public lands to
private lands. By this same strategy, governmental agencies and
homosexual groups will force homosexual "rights" on "politically
incorrect" holdouts such as churches and para-church groups, private
businesses, and individuals.
2. THE LIGHTNING-BOLT THEORY OF LAW WILL STRIKE--New forfeiture laws
are extending liability to anyone connected to the actual accused.
Greedy for the loot, police and prosecutors at all levels have
extended forfeiture to the property of associates and relatives of
the defendant. They will next stretch forfeitures from drug-related
crimes to all crimes (i.e., white collar, environmental, gun control,
"child abuse," "hate crimes," etc.) and to the property of the
children and families of the accused.
3. RIGHTS OF DUE PROCESS, PRIVACY, AND FREEDOM FROM UNREASONABLE
SEARCHES AND SEIZURES WILL BE FURTHER WEAKENED--Expect police to
increase warrantless searches with the approval of the courts. Just to
"check their papers." [ED. NOTE: Sound like what happens in communist
countries?] Police will stop cars without probable cause, set up road
blocks, check every person in public places, or even detain selected
persons which match government "profiles" of likely offenders.
The U.S. Justice Department now has national jurisdiction over
forfeitures, from Maine to Hawaii. Prosecutors don't have to prove the
property is the fruit of any illegal activity. They merely need to
allege illegality to the court to invoke forfeiture.
4. SPECTACULAR MAXIMUM RESPONSE, MILITARY-STYLE POLICE ACTIONS WILL
INCREASE--As training exercises for law enforcement personnel and
object lessons to the public, SWAT team shoot-outs will multiply. The
media will routinely characterize the victims as "religious
fundamentalists" or "left/right wing extremists." (And even if they
are, is that any reason to shoot them??)
5. LOCAL POLICE FORCES WILL BE MILITARIZED AND NATIONALIZED--Control
will become centralized and organization more military. The "us
against them/police versus the public" mentality will be more sharply
cultivated in law enforcement personnel. Clinton would further
militarize this group by offering veterans and active military
personnel a chance to become law enforcement officers.
6. PRIVATE OWNERSHIP OF FIREARMS WILL SUFFER WIDER ATTACK--The
final stumbling block to totalitarianism in the U.S.A. is 200 million
firearms in private hands. Frontal assaults on this right will not be
easy to accomplish. Piecemeal attacks, however, (bans on assault
rifles and cheap pistols, etc.) will be continuous, shrill, and
well-supported by the media. Camouflaged by the war on drugs, these
attacks may succeed.
There's more than one way to skin a gun owner, by the way. In Chicago,
clever gun-haters apply the new craze for forfeiture. If police stop
your car in Chicago and find a gun in your trunk, your automobile is
liable to seizure and forfeiture.
7. FEDERAL JURISDICTION WILL FURTHER USURP STATE AND LOCAL
JURISDICTIONS--By complicity and ignorance, state and local
authorities will hand over powers to federal agencies. States which
refuse to grant federal jurisdiction in certain areas will be
threatened with loss of federal funds.
8. FORMERLY LAWFUL ACTIVITIES WILL BE CRIMINALIZED--Activities
formerly legal, lawful, and legitimate will become federal crimes.
This especially applies to financial dealings designed to protect your
privacy. Statutory crimes where no specific criminal intent need be
proven will be multiplied. "Structuring" (arranging withdrawals or
deposits of money in amounts too low to trigger the federal reporting
requirement) is one such example. The element of "intent" and even
"knowledge" will become less significant in all criminal prosecutions.
These new crimes are exclusively "crimes against the state." They are
not Biblical or common law offenses against any person, but
infractions of statutes or regulations. We should not understand them
solely as a convenient means to suppress those unruly souls not yet
ready to march lockstep into the new order. They also punish blasphemy
against the state-god.
Government prosecutors are applying many of these new crimes ex post
facto. Money laundering and S&L fraud, for example, are being charged
for actions completed before these crimes were codified into laws and
regulations. This illustrates the modern penchant for scapegoating by
government bureaucracies and politicians. They must offer a blood
sacrifice to the mob to satisfy its wrath.
9. ENFORCEMENT AND SENTENCING TOWARD DISSIDENTS ESPOUSING POLITICALLY
INCORRECT VIEWS WILL BECOME MORE SEVERE--Enforcement and penalties
for common law crimes will grow even more lax. On the other hand, the
"politically incorrect" are in deep and boiling water. Do you oppose
abortion, homosexual "rights," feminism, environmentalism, reverse
racism, and other items on the humanist agenda? You may find yourself
the object of vicious legal attacks employing maximum brutality and
severity. If convicted, you will experience maximum sentencing. Home
schoolers are at special risk because they are both "politically
incorrect" and "religious fundamentalists." The threat of criminal
prosecution will be more openly used to control political opponents
and ruin political enemies. Overcrowded jails may lead to
Recent examples of government savagery against dissidents abound. They
include the convictions of Pastor Everett Sileven (who fought for the
independence of the church and the rights of parents in Nebraska),
Pastor Dan Gibson (who taught Rescuers how to defend themselves in
court), and Pastor Hernman Fountain (who fought for the independence of
church charitable ministries in Mississippi).
10. TO STRIP INDIVIDUALS OF THEIR RIGHTS, GOVERNMENT CREATES CLASSES
OF LEGAL UNPERSONS--Statutes, regulations, administrative decisions,
and judicial fiats create classes of unpersons stripped of all rights.
Abortion created a class of human beings in America almost wholly
without rights (although the unborn have no inalienable right to life,
they may still inherit property). Statute law denies those accused of
child abuse many rights crucial to criminal defense. RICO legislation
creates another class of unpersons. Administrative classification
("tax protester," "environmental offender," "potentially violent")
create others. Judicial fiat stripped Operation Rescue protesters of
their rights in Wichita and elsewhere. The multiplication of spurious
"rights" annihilates the genuine.
There will be more celebrity prosecutions (remember Leona Helmsley and
Willie Nelson) wherein the prosecution could not prevail unless the
victim were a celebrity. The government didn't try Helmsley in the
courtroom but in the newspapers. Envy is a powerful tool in the hands
11. THE NUMBER AND RANGE OF VICTIMS OF GOVERNMENT OPPRESSION WILL GROW
--The government will bring it down to the man in the street.
Bureaucrats will vigorously enforce the Clean Air Act and the
Americans with Disabilities Act (among others) on smaller and smaller
businesses. These laws alone will bankrupt many small businesses, from
bakeries to garages to dry cleaners. Owners who stand on their former
constitutional rights may be singled out as examples and prosecuted
criminally. Ridiculous as it sounds, EPA is now talking about banning
gas-powered lawn mowers.
12. THE CORPORATE VEIL WILL BE FURTHER SHREDDED--Decisions in
environmental and tax cases have already damaged the screen of
corporate limited liability. Increasingly, prosecutors will apply
civil liabilities and criminal prosecutions to the owners and managers
13. GOVERNMENT AGENTS WILL ENJOY MORE IMMUNITY FOR TORTS, WRONGFUL
ACTS UNDER COLOR OF LAW, AND OFFICIAL OPPRESSION--Courts will continue
to widen immunity from prosecution or civil suit for judges,
investigators, prosecutors, and government agents of every stripe.
This will embolden them in oppression, malicious prosecution, abuse of
court and grand jury process, perjury, and all other means of legal
14. INFORMED JURIES WILL OFFER THE ONLY HOPE OF DELIVERANCE FOR
VICTIMS OF GOVERNMENT OPPRESSION--Countering the trends to increasing
oppression is the growing awareness of the jury's power. When their
consciences so require, jurymen have the right to acquit even in the
teeth of the law. More jurymen will learn they can judge both the law
and the facts and refuse to enforce unjust laws.
15. LOOK FOR END RUNS AROUND CONSTITUTIONAL PROTECTION BY CIVIL AND
CRIMINAL ENFORCEMENT OF TREATIES--Like their Bushite predecessors,
Clintonites will use treaties on environmentalism, political
terrorism, the "war on drugs," and financial surveillance to
circumvent domestic constitutional protection. Louder and louder, the
media will beat the drums for an international criminal court with
powers of enforcement ("real teeth," the One-Worldies would say).
16. SPURIOUS CHILDREN'S RIGHTS WILL BE USED TO DESTROY THE FAMILY--
The definitions of child abuse and children's rights will undergo a
rapid, plastic, and vague expansion by the courts. Under these
pretenses government will increasingly intervene administratively and
judicially to destroy parental authority. The Biblically ordained
concept of spanking (or corporal punishment) will increasingly be
defined and prosecuted as "criminal child abuse". Homeschoolers and
Christian parents, look out.
17. CHRISTIANS AND THE CHRISTIAN CHURCH IN AMERICA WILL COME UNDER
FURTHER ATTACK, RIDICULE, DISCRIMINATION, AND FINALLY UNDER OUTRIGHT
PERSECUTION--Christian pro-lifers will be more frequently jailed and
for longer terms; Christians will be accused of "hate crimes"
(especially against homosexuals) and may be fined or jailed for same;
Christian churches, outreach groups and other para-church
organizations and Christian schools will come under government
pressure; many will lose their tax exempt status, and many will be
shut down. Churches in America will begin to go underground, will meet
more frequently in homes, and will look much more like the underground
church in Romania over the past 30 years.
VI. WHAT TO DO
Unusual times call for unusual measures and preparations. In the
periods of 1910-17 (as the Bolsheviks were coming to power in Russia)
and in the 1930s (as the Nazis were coming to power in Germany), the
great majority of people in Russia, Germany, and Europe treated the
times as if they were normal and made no preparations.
But a few (the remnant in every declining civilization) did see the
handwriting on the wall, they did see the upheaval and tyranny which
were coming, they did make adjustments in their own personal
situations, and preparations, and many of those survived the carnage
which followed when the spark was lit in Russia, and 20 years later in
Germany. Some did not survive, no matter what they did, which is to
say, the event (and our individual lives) is still in the hand of God.
As a socialist America and the New World Order approach like a freight
train out of control, replete with many of the things discussed in
Sections I-V above, "how then should one live" (as Francis Schaeffer
asked), "when the foundations are crumbling" (as King David also asked
in Psalm 11 in a similar day)? A number of suggestions as to things to
do will be made below. They will certainly not all fit for everyone,
but at least a few will fit for most people.
One caveat! Never break
any laws, whether related to taxes (pay them!), privacy, money
laundering, structuring, etc. This is becoming very difficult because
of the explosion of new laws and regulations (many of which we have
never heard of), but don't give the government any excuse to seize
your property or lock you up. Do not take the government's money
laundering/structuring laws lightly. They will jail you or take
everything you have for violations. They are serious about their
A. DEVELOP A MINDSET OF SURVIVAL
The November '91 issue of MIA gave a short list of mental attitude
principles (reproduced below) which are worth pondering (or
repondering) in light of recent past, present, and future developments
discussed in this (and other) issues of MIA. You will survive, or
perish, in difficult times based on how you think. The scriptures
say: "As a man thinketh, so is he. " If you already think like a
slave, and many Americans do, then you are already a slave. In North
Korea, some U.S. POWs in the 1950s simply rolled over on their cots
and gave up--they were dead (of natural causes) within 24 hours. In
Vietnam, many of our POWs endured excruciating torture and
deprivation--but survived. In their minds and spirits, they were
MENTAL ATTITUDE, PRINCIPLES, AND DISCIPLINES OF PREPAREDNESS
1. CHANGE YOUR MINDSET--Begin to look at everything differently.
2. BEGIN TO DEVELOP DISCERNMENT ABOUT PEOPLE--Train yourself to watch
what people do, not what they say. We live in a day of great deception
and we need to become sensitive about what is true or false in people.
3. WHEN YOU INVEST, INVEST FIRST IN THE RIGHT PEOPLE--An investment
can be (or appeared to be) great, and the people untrustworthy, or
incompetent, and it will fail. Find like-minded, trustworthy people to
invest in, or with. Invest with or in people who share your world
4. HONESTLY LOOK AT YOURSELF YOUR STRENGTHS AND WEAKNESSES--The Bible
says to know yourself. Discover what in your life is not working.
Work on, or moderate the weaknesses.
5. SEEK THE COUNSEL OF OTHERS YOU TRUST--Seek wise and Godly counsel
of persons whose life is working well.
6. FIND LIKE-MINDED PEOPLE who understand where this country is going,
who have the instincts for survival, and who are taking steps to get
prepared for the difficult times which lie ahead.
7. FIND ALTERNATE METHODS OF DOING EVERYTHING--Develop other methods
outside the system (i.e., bartering, growing your own food, swapping a
product or service you have with a farmer for food he grows, etc.).
8. DEVELOP AN INSTINCT FOR WHAT DOESN'T FEEL RIGHT--Become sensitive
to what you have a hesitation to doing.
9. BEGIN TO ELIMINATE NON-ESSENTIALS FROM YOUR LIFE--Eliminate time or
money wasters. Buy only what you really need, not what you want. Live
below your means. Develop habits of life to eliminate waste.
10. DEVELOP PHYSICAL, MENTAL, AND SPIRITUAL DISCIPLINES before a
crisis arrives--so they can be used naturally and without effort
during the crisis.
11. LEARN TO TREAT EVERYTHING AS IF IT IS IRREPLACEABLE--Treat
everything as if it is the last one you can ever get (i.e., your car,
tools, boots, guns, etc.).
12. BUY THINGS THAT WILL LAST EVEN IF THEY COST MORE--Something
mechanical that does not need power is better than something that
B. UNDERSTAND THE PROBLEM
Hosea 4:6 says, "My people perish for lack of knowledge." There are a
number of excellent responsible publications and books which are
available which can better help you to understand and keep abreast (on
an ongoing basis) of the government/establishment attacks on our
privacy, our money, money laundering, structuring, our plunge toward
socialism and the New World Order. It is highly recommended that you
subscribe to at least several of these publications, in addition to
MIA. (Such publications may not always be available if present trends
1. LOW PROFILE - YOUR MONTHLY GUIDE TO PRIVACY AND ASSET PROTECTION -
Mark Nestmann, Editor--A responsible monthly analysis of changes in
seizure/forfeiture laws, money laundering, structuring, privacy laws,
new changes in laws, and how to legally avoid serious mistakes. P.O.
Box 84910, Phoenix, AZ 85071($99 per year).
2. THE FINANCIAL PRIVACY REPORT - Michael Ketcher, Editor--Another
excellent monthly newsletter dealing with privacy issues, asset
protection, and legal strategies for handling your finances. P.O. Box
1277, Barnesville, MN 55337 ($144 per year).
3. THE RON PAUL SURVIVAL REPORT - Ron Paul, Editor--An excellent
political/financial letter with strong emphasis on government attacks
on our freedoms, financial privacy, seizure/forfeiture laws, and money
laundering--written by the ex-Congressional maverick/ex-U.S.
presidential candidate. 18333 Egret Bay Blvd., Suite 265, Houston, TX
77058 ($99 per year).
4. HOWARD PHILLIPS' ISSUES AND STRATEGY BULLETIN - Howard Phillips,
Editor--An excellent fortnightly analysis of Washington political
machinations by one of America's leading conservative political
thinkers, analysts, strategists, and leaders--U.S. Presidential
Candidate Howard Phillips. 9520 Bent Creek Lane, Vienna, VA 22182
($100 per year).
5. THE MONEYCHANGER - Franklin Sanders, Editor--A brilliant
conservative analyst and an excellent monthly source of information on
America's plunge to the New World Order and socialism by a Christian
patriot who is on the front lines of the battle against socialism in
America. P.O. Box 341753, Memphis, TN 38184 ($95 per year).
6. INSIDER REPORT - Larry Abraham, Editor--An excellent analysis of
the New World Order, the Liberal Eastern Establishment and the push
toward a socialist America by one of America's most brilliant
conspiracy theorists and authors. P.O. Box 467939, Atlanta, GA
30346-7939 ($99 per year).
[ED. NOTE: Excellent information from Nestmann, Ketcher, Paul,
Phillips, Sanders, and Abraham was utilized extensively in this report
and is greatly appreciated!]
7. THE REAPER - R.E. McMaster, Editor--An excellent fortnightly
financial/commodities/political analysis by one of America's most
brilliant thinkers. P.O. Box 84901, Phoenix, AZ 85071($195 per year).
8. STRAIGHT TALK - Tom Anderson, Editor--An excellent weekly
compilation of articles of interest to conservative Christians and
insightful analyses by former presidential candidate Tom Anderson. He
will make you laugh, too--and God knows we all need a few laughs here
and there. P.O. Box 60, Pigeon Forge, TN 37868 ($67 per year).
9. THE INTERNATIONAL HARRY SCHULTZ LETTER - Harry Schultz, Editor--An
excellent monthly international financial/political/investment
analysis by the father of the "hard money movement" and a brilliant
analyst and patriot. Harry will help you to "think" beyond U.S.
borders. P.O. Box 622, CH-1001, Lausanne, Switzerland ($275 per year).
10. THE NEW AMERICAN MAGAZINE--An excellent conservative monthly
magazine giving in depth analysis and background on domestic and
international political issues. Excellent analyses of America's plunge
toward socialism and the New World Order. 770 Westhill Blvd.,
Appleton, WI 54915 ($39 per year).
11. REMNANT REVIEW - Dr. Gary North, Editor--Excellent fortnightly
financial/political analysis from a conservative/Biblical perspective
by one of America's most brilliant thinkers. P.O. Box 84906, Phoenix,
AZ 85071 ($95 per year).
There are several excellent international newsletters which do
excellent global analyses on communism, the New World Order, South
Africa, the Middle East, etc.:
1. THE AlDA PARKER NEWSLETTER - Ms. Aida Parker, Editor--Excellent in
depth monthly analysis on South Africa and its revolution, and global
geo-political developments. P.O. Box 91059, Auckland Park 2006, South
Africa ($80 or 80 rand per year).
2. ROCA REPORT--An excellent confidential assessment of developments
in Southern Africa, the ANC/SACP revolution, etc. Along with the Aida
Parker Newsletter, this writer's best ongoing source of information on
developments in the Republic of South Africa. P.O. Box 35225, Menlo
Park, 0102, South Africa $69 or 59 rand per year).
3. FRONTLINE FELLOWSHIP NEWS - Peter Hammond, Editor--Excellent
monthly analysis and action update on developments in Southern Africa
by one of South Africa's leading conservative political/Christian
activists, the Christian missionary "Indiana Jones of Southern
Africa." P.O. Box 74, Newlands 7725, South Africa ($50 or 50 rand
contribution per year).
4. INTELLIGENCE DIGEST - Joe de Courcy, Editor--Excellent (45 issues
per year) international geo-political intelligence and analysis. 17
Rodney Road, Cheltenham, Glos. GLSO 1 HX, UK ($197 per year or UK
5. MIDDLE EAST INTELLIGENCE DIGEST - Stan Goodenough, Editor--An
excellent monthly analysis of the Middle East, published by the
International Christian Embassy in Jerusalem. P.O. Box 1192, Jerusalem
91010, Israel ($25 per year).
[ED. NOTE: There are hundreds of other excellent newsletters (too
numerous to mention here) around the world doing excellent analyses of
current U.S. and global political/financial/geopolitical developments.
These letters, plus the ones listed above, will be conservative
patriots, lovers of freedom, and Christians' best sources of
information over the next five to seven years).
BOOKS PERTINENT TO THIS ISSUE OF MIA--There are hundreds of excellent
new books available (obviously too numerous to mention here) dealing
with the issues MIA analyzes each month. Three that are especially
pertinent to this issue are:
1. HOW TO ACHIEVE PERSONAL AND FINANCIAL PRIVACY IN A PUBLIC AGE - By
Mark Nestmann (editor of Low Profile Newsletter)--An excellent book
which analyzes current trends in money laundering, structuring,
privacy laws, etc. and offers legal suggestions for how to cope
financially. Highly recommended! See the enclosed flyer (or write to
P.O. Box 84910, Phoenix, AZ 85071).
2. ENROUTE TO GLOBAL OCCUPATION - By Gary Kah--(Hope For the World, P
O Box 509283, Indianapolis, IN 46250 - $10) An excellent book on the
New World Order, the coming socialist America and how to survive it.
3. TOWARD A NEW WORLD ORDER - COUNTDOWN TO ARMAGEDDON - By Don
McAlvany--An updated, expanded new edition of the book first published
by your editor about two years ago with foreword by Dr. Tim LaHaye.
For a copy, write to: P.O. Box 5150, Durango, CO 81301 (Cost $14.95).
C. SIMPLIFY AND STREAMLINE YOUR INVESTMENT PORTFOLIO
In spite of the current euphoria (from Washington to Wall Street), we
are still moving into very convulsive economic times, which will be
compounded and exacerbated by the socialist political environment
which is racing toward us. Reduction of debt, liquidity, monitoring of
your banks, S&Ls and insurance companies (via a Weiss Research
Report), avoidance of the stock market, and reduction of real estate
holdings are still the order of the day.
Up to 30% of your portfolio invested in fully paid, personally held
semi-numismatic gold and silver coins (in light of all of the analysis
above) makes more sense than ever. Switching from gold and silver
bullion (or bullion coins), if you are an American living in America,
into semi-numismatic U.S. gold and silver coins (in the opinion of
this writer makes more sense than ever in light of the above analyses.
(Some junk silver coins should be retained or acquired.) Collectible
U.S. gold and silver coins (if the 1930s and '80s are any historical
precedent--and this writer believes they are) are more likely to
remain legally tradeable than bullion coins.
Foreign government bonds (or bond funds) continue to return in the
9-11% (total return) range and seem appropriate for 30-40% (or more)
of one's portfolio (particularly if you are pessimistic about the U.S.
dollar--as this writer is).
D. OTHER FINANCIAL CONSIDERATIONS
1. BEWARE OF GOING OVERBOARD TO ACHIEVE FINANCIAL PRIVACY - And don't
break any laws. People who become fanatical about financial privacy
usually set off a lot of red flags, bells, and whistles unnecessarily.
One approach is to simply get lost in the crowd. The government is
sitting on a backlog of 38 million CTRs (cash reporting forms). They
are choking on them and may not process them for five years (if ever).
Having a form sent in on you is not the end of the world. Having lots
of forms sent could trigger an audit. Having a form sent in that is
marked "suspicious transaction" "could" be the end of the world--or at
least it may trigger a visit From "unfriendly people."
2. IT IS NOT ILLEGAL TO SET UP A FOREIGN BANK ACCOUNT - It simply must
be reported if it exceeds $10,000. Foreign diversification into
stocks, bonds, precious metals, real estate or annuities might make
sense for some investors (especially if they have a large net worth).
Diversification is always healthy. All interest or profits are taxable
and should be reported to the IRS. Swiss insurance annuities and
precious metals in safety deposit boxes are not presently considered
to be reportable financial accounts.
3. MAINTAIN A LOW PROFILE - Don't flaunt your wealth. We live in a day
of crime and envy, and our government employees or the police are not
totally immune to the latter human frailty. If you crave luxury,
purchase it so that it is not necessarily visible from the outside.
Drive an old car--it will be good for your ego, it will probably run
better, and you're less likely to be robbed.
4. FILE A TAX RETURN AND PAY WHATEVER TAXES YOU HAVE CALCULATED THAT
YOU OWE - the IRS is rapidly expanding its computerized auditing
capability which makes it increasingly likely that individuals who
don't file tax returns will be caught. Non-filing or underpayment of
taxes is an open invitation for the IRS to seize your assets, jail
you, or both--under criminal money laundering, seizure, forfeiture
statutes. Even taxpayers who have taxes withheld by their employer,
and whose taxes are overpaid, are being fined for not filing returns.
[ED. NOTE: This writer does not agree with the "untaxed" or tax revolt
movement. Thousands of these people are already in jail--tens of
thousand more will join them. If someone about to do a financial
transaction with you uses the term "untaxed," stop. It could be an IRS
sting! In any case, if you enter a transaction with "untaxed money"
you have become a "money launderer" --subject to penalties described
in Section II above.]
5. KEEP DETAILED RECORDS (VIA A JOURNAL AND RECEIPTS) SUBSTANTIATING
THE INCOME AND DEDUCTIONS YOU CLAIM ON YOUR TAX RETURNS - And proof
that you filed (i.e., a copy of the completed forms) indefinitely.
There is no statute of limitations if you are accused of fraud, tax
evasion, non-filing or money laundering. [ED. NOTE: Some say seven
years is sufficient but play it safe and keep the records
[ED. NOTE: Neither MIA, nor its editor or related businesses are tax
experts in any way. For tax-related questions, consult a tax accountant
or attorney who is completely on top of current tax laws and related
developments. Nor is MIA, its editor or related businesses an expert
in any way or qualified to give advice in the very complex, rapidly
changing area of privacy, money laundering, seizures, forfeitures,
etc. For counsel in these latter areas, consult publishers such as
Mark Nestmann or Mike Ketcher and/or your own accountant or attorney
6. AVOID COMPLEX OFFSHORE TAX, INVESTMENT, TRUST, OR TAX SHELTER
SCHEMES - Many (perhaps most) are scams. Apply the KISS
principle--keep it simple, stupid! There are still many honest,
legitimate, legal offshore investments in stocks, bonds, metals and
banks. But, if you don't understand it, or if in doubt, don't do it.
7. AT PRESENT, CASH, CASHIERS CHECKS, MONEY ORDERS, AND TRAVELERS
CHECKS ARE CONSIDERED TO BE REPORTABLE MONETARY INSTRUMENTS IN
TRANSACTIONS - if in one, or multiple transactions (i.e., over 12
months) of $10,000 or more. Money orders appear to be reportable at
$3,000. Personal checks, money market fund checks, and bank wires are
not presently reportable monetary instruments.
8. IF YOU ARE AFRAID TO HAVE CASH ON HAND AT HOME, IN YOUR CAR, OR
WHEN TRAVELING - cashiers checks are still very convenient, theft
proof, and legal. Over $10,000, however, is reportable.
9. DO NOT "VOLUNTARILY" CONSENT TO A SEARCH BY STATE, LOCAL, OR
FEDERAL AUTHORITIES - of, for instance, your vehicle, your luggage,
your home, or your person. Ask if you are under arrest, or if they
have a search warrant, or if you are under any legal obligation to
consent to a search. If you are not, then do not consent to the
search. If you are arrested, a seizure becomes criminal, not civil. The
former is better, because the burden of proof of wrong-doing falls on
the officials. A seizure is less likely. If the latter, the burden of
proof falls on you, and a seizure is more likely.
CAVEAT: In some states like Florida, it is now considered "probable
cause" of illegal activity if you say no to a search. If in doubt,
consult your attorney!
10. MINIMIZE YOUR USE OF CREDIT CARDS - Except where you want to leave
a computerized paper trail (i.e., for business expense deductions).
Minimize the use of your Social Security number--except where legally
required to use it (i.e., opening a stock brokerage account, on tax
forms, opening a bank account, etc.) Giving your Social Security
number in every business, personal, and medical transaction is not
only not usually required, but feeds reams of personal information on
you into the government's data bases (as do your credit cards).
11. FAMILY LIMITED PARTNERSHIPS CAN GIVE SOME (THOUGH NOT TOTAL)
PROTECTION AGAINST SEIZURE, FORFEITURE AND FRIVOLOUS LAWSUITS - They
are tax neutral and will not protect from taxes, bankruptcy, or fraud.
If this legal structure might fit for you, consult a trust attorney
competent in that field.
E. GET INVOLVED POLITICALLY
Educate and inform your local police, National Guardsmen, local and
state political officials, Congressperson and Senators as to the
threat to our freedoms analyzed in this and other issues of MIA and
other newsletters. Support Howard Phillips' third party movement (the
U.S. Taxpayer's Party) as a viable alternative to the two mainline
political parties. (USTPP, 450 Maple Ave. East, Vienna, VA 22180.)
Work to reinstate our Christian foundation of constitutional
government. Never pass up an opportunity to serve on a grand jury or a
trial jury. These juries may be the last major barrier between us and
the socialist police state which is coming.
F. STRIVE FOR MORE INDEPENDENCE AND SELF-SUFFICIENCY FROM THE SYSTEM
More rural or small town living, more self-sufficiency, acquisition of
basic tools and skills for hunting, fishing, gardening, etc. will be
very important in the period which lies ahead. Investigate and
consider homeschooling (while it is still legal) as an alternative to
the liberal government (New World Order) schools. Find like-minded
friends who can support and multiply your efforts.
G. AND FINALLY:
Americans in general, and followers of the Bible in particular, are
likely to be severely tested in the months and years immediately
ahead. Perhaps this is God's judgment on a nation, which after almost
50 years of uninterrupted prosperity since the end of World War II,
has forgotten God. Perhaps it is the natural consequence of years of
abusing our financial and political system and our culture. In any
case, this writer firmly believes that the "times that try the souls
of men" lie immediately ahead.
This writer believes that America's (and the Western world's) chief
problem is not financial (i.e., depression or inflation), is not
political (i.e., socialism or the New World Order) but is rather
spiritual. The forces of light and darkness, of good and evil, of God
and Satan are on a collision course over the next 3-5-7 years. Things
could become very uncomfortable for lovers of freedom, lovers of the
Constitution and our traditional way of life, and for lovers of God.
It seems appropriate to this writer to study how lovers of freedom
(and Christians) survived and functioned in Nazi Germany and in
occupied Western Europe in the 30's and 40's and in Russia and the
East bloc for the past 6 or 7 decades. We could be living like them
over the next 5-10 years.
This writer has gained useful insights from studying the book by
Corrie Ten Boom, "The Hiding Place", and the film (at video stores) of
the same name. And, also a book by Richard Wurmbrandt, "Tortured for
Christ". Also, a book by a former Romanian pastor Dumitru Duduman (who
was a Bible smuggler and functioned within the underground church in
Romania for years) entitled "Through the Fire--Without Burning".
These last two books describe the persecution (and victory) of
Christians under communism. The latter takes a rather apocalyptic look
into the future in America, and is available from Hand of Help, Inc.,
P.O. Box 3493, Fullerton, CA 92634 (cost $10.00).
However, the greatest book with answers for preparing for the future
(in the opinion of this writer) is still the Bible. It was the
foundation and blueprint for our Constitution, Declaration of
Independence, our educational system and our entire history, until the
last 20 to 30 years. The answers to life and death, war and peace,
prosperity and poverty, freedom and slavery, and eternal life are all
found in that book.
MIA refers to many resources in its various issues, but the greatest
resource any of us can find is that all time best seller--the Bible.
It (and its Author) hold the key to peace, wisdom, guidance, strength
and everything we will need to take us through the tumultuous decade
of the 90's. Your editor encourages you to begin to spend a great deal
of time studying that Book and getting to know its Author in the days,
weeks, and months which lie ahead. The Book is for winners!
As Psalm 73:23-28 says: "Yet I am always with you; you hold me by my
right hand. You guide me with your counsel, and afterward you will
take me into glory. Whom have I in heaven but you? And earth has
nothing I desire besides you. My flesh and my heart may fail, but God
is the strength of my heart and my portion forever. Those who are far
from you will perish; you destroy all who are unfaithful to you. But
as for me, it is good to be near God. I have made the Sovereign Lord
my refuge; I will tell of all your deeds."
As Isaiah 43:2 & 3 (KJV) says: "When thou passeth through the waters,
I will be with thee; and through the rivers, they shall not overflow
thee: when thou walkest through the fire, thou shall not be burned;
neither shall the flame kindle upon thee. For I am the Lord thy God..."
And that is the bottom line!
The McAlvany Intelligence Advisor editor by Donald S. McAlvany is a
monthly analysis of global economic, monetary, and geo-political trends
which impact the gold and precious metals markets and is explicitly
Christian, conservative, and free-market in its perspective. Information
contained herein has been carefully selected from sources believed
reliable, but absolute accuracy cannot be guaranteed.
E-Mail Fredric L. Rice / The Skeptic Tank