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Click Here: <A HREF="aol://5863:126/alt.conspiracy:639483">Federal Reserve +
IRS = The Protection Racket Coup of 1913</A>
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Subject: Federal Reserve + IRS = The Protection Racket Coup of 1913
From: Jim Bowery <A HREF="mailto:[EMAIL PROTECTED]">jabowery@netcom
13.netcom.com</A>
Date: Thu, Aug 31, 2000 4:55 PM
Message-id: <8omr9d$tp7$[EMAIL PROTECTED]>
Federal Reserve + IRS = The Protection Racket Coup of 1913
by Jim Bowery
Copyright Jim Bowery, August 18, 2000 -- The author grants the right to
copy, without modification.
INTRODUCTION
Federal Reserve Money is Protection Racket Money.
Federal Reserve money buys protection from punishment. You are punished
if you don't pay taxes. This has become the Federal Reserve's primary
monetary authority. The moral hazard of basing monetary authority on
punishment has now been realized in the systemic and out-of-control gang
rapes of prisoners in the US. All other unlawful acts by US governments
are now overshadowed by the murderous, sexually sadistic character of
governmental authority that has developed in US penal systems. Federal
Reserve money is now protection racket money, or, if you prefer
"punishment protection money". Calling it "fiat money", "debt money" or
even "legal tender" obscures its true character. The transition to this
form of money began in 1913, when the 16th Amendment dramatically
expanded the potential need for legal tender in the form of taxes while,
in that same year, the Federal Reserve Act started the process of
removing from legal tender any backing value other than the protection it
affords against punishment. That the redefinition of "legal tender" was
unconstitutional(1) has become only a minor dimension of the massive
decay in legitimacy and moral leadership during the 20th century
triggered by these acts of 1913. These acts were largely in the interest
of continental European banking concerns doing business under the name of
J. P. Morgan. As vital interests of the United States were sacrificed on
their behalf, those foreign interests are reasonably called "enemies",
the acts of U.S. citizens on their behalf "treasons", and all such
citizens "traitors".
Legitimate governments provide assurance that we are secure in our lives
and properties by protecting our legal rights in exchange for taxes and
other duties. The most legitimate governments will even back up their
commitment by providing some sort of compensation if our legal rights are
breached, much the same as insurance companies do when they pay out on an
insurance policy. But there is a fine line between protection rackets and
insurance companies. Indeed, gangsters frequently call their protection
rackets "insurance" and the payments they extort from their victims
"insurance premiums". That fine line between protector and protection
racket is crossed when "moral hazard" tempts the "protector" beyond the
limits of his character.
In conventional insurance terminology, "moral hazard" is the temptation
to artificially increase hazards. A classic case of moral hazard is an
otherwise unprofitable business buying lots of fire insurance and then
hiring an arsonist to burn down the place of business.
Insurers, too, can profit by increasing hazards if it is the uninsured
who suffer the exposure to risk. A classic example of an insurer's moral
hazard is the temptation to parasitize a productive business by
threatening it with destruction unless the owners pay regular "insurance
premiums".
And that brings us to the morality of governance.
The most profound moral hazard for governance is the penal system
combined with taxation.
The framers of the US Constitution included prohibitions against cruel
and unusual punishment under the 8th Amendment. They also made it
difficult to parasitize productive States. This they did by requiring
that taxation on a State's citizenry be proportional to the State's
population under Article. 1. Section. 2. Clause 3. and Article. 1.
Section. 9. Clause 4. Making taxes proportional to State population helps
control the moral hazard of governance at the Federal level by making it
difficult for the Federal government to transfer wealth to States that
are politically active from States that are economically productive.
Also, States are more capable of defending themselves from the Federal
government than are individuals. Unfortunately, the requirement for
taxation proportional to State population ("with apportionment" and "with
regard to the census") was removed by the 16th Amendment, thereby
promoting political porkbarrel at the Federal level and punishing
productivity. In the same year the Federal Reserve Act gave license to
gradually reduce legal tender's reliance on gold and silver as backing
value, leaving the protection legal tender afforded against government
punishment it's primary backing value. (Shortly thereafter, the 17th
Amendment also removed from the States the power to elect Senators,
further eroding the States' ability to protect their citizens from the
federal government.)
These acts of treason have produced profound moral hazard at the Federal
level, and set the stage for the relentless and radical decay of moral
leadership during the 20th century.
Warrior Insurance
The proper role of government is protection against force and fraud.
Therefore, to keep it honest, government's source of revenue should be
insurance premiums against loss due to force and fraud. Said premiums
could be payable in notes issued by the insurer/protector, but the
insurer/protector should merely cancel the insurance policy and cease
protecting those who do not pay. An insurer/protector should not generate
the market for their own notes by threatening to punish those who do not
pay -- as that is a protection racket, even if the insurer/protector
honorably indemnifies those who do pay in the event of a covered loss.
Such insurance premiums and corresponding insurance coverage would,
necessarily, stipulate other conditions under which the
insurance/protection continued to be provided at the agreed upon rates.
This amounts to taxation on asset value, adjusted for various conditions
that may affect risk -- with the added guarantee of indemnification in
the event that asset value is lost due to force or fraud.
Such a system actually eliminates governance, as we know it. I call it
"warrior insurance".
Under warrior insurance, reinsurance networks take the place of existing
international treaties and alliances. Intelligent warrior reinsurance
networks will check loss of asset value resulting from gang, or
"protection racket" formation well in advance of any need for warfare.
Warrior insurance premiums eliminate taxation. Competition between
warrior insurance companies creates checks and balances supporting
liberty. Formation of mass armies on ideological/political grounds is
suppressed by exposing the underlying quid-pro-quo of reciprocal altruism
that actually exists between people and their sovereignties --
over-extended kin identification, the basis of political and religious
warfare as well as one-world ideology, is rendered less viable. Warrior
insurance companies are much like the original sovereignties that
defended newly formed civilizations -- they are, in fact, quite
traditional. Empires subsumed the original sovereignties because trade,
communication and literacy were so centralized. In the information age,
this is decreasingly the case. What is increasingly necessary is a
strong, distributed militia living lives bonded to their communities and
lands from generation to generation, who value honor above their own
lives. Unlike systems of taxation, warrior insurers will compensate those
who are bonded for conscription in time of war, or deputized in times of
civil emergency. Those so bonded would naturally demand a vote, or
representation, in declarations of war or civil emergency.
Under warrior insurance, the citizens' militias traditionally enjoy tax
relief, since they are in effect, protecting themselves. In Scotland,
rather than forming a Yeoman class from the "kindly tenants", "feu fees"
were imposed to pay for foreign war debts during the Protestant
Reformation, thereby dispossessing ancient families of their lands to
make way for revenue generating land use such as wool-producing sheep.
Kindly tenants were kindred or clan members who had traditionally been
given relief from economic rent/taxation in exchange for sworn allegiance
to their clans' militias under the command of their chiefs. But the clan
chiefs were corrupted by the royalty which had become more interested
foreign adventures than they were in allowing the clans to support and
protect themselves and their families on their own lands. The royal war
debts began consuming the livelihoods of the folk. Many were forced to
flee for their lives. This was the primary origin of the Scotch-Irish
pioneers who attempted to create a society in "the New World", free from
such betrayals of clan loyalty. The earliest pioneers suffered a 25%
mortality rate in the first year of migration in their desperation to
create that "New World". This was not merely the moral equivalent of war
-- it was death on a massive scale in a struggle with nature herself (war
with natives was not the primary cause of these deaths), on the one hand,
and tyranny on the other. As usual mostly men went to the frontier to
risk everything for their new lands, but many women and children also
suffered similar fates. As a consequence, the founders of the United
States, folk memory still fresh, thought the avoidance of foreign wars to
be common sense. This gave rise to the Monroe Doctrine and the avoidance
of foreign wars.
Compare and contrast such a system to the internationally adventurous
protection racket posing as a government we have today.
THE MURDEROUS, SEXUALLY SADISTIC BASIS OF THE FEDERAL RESERVE
Crime, Punishment and Monetary Authority
The US Federal Government, by basing its monetary authority on punishment
protection with the treasons of 1913, has degenerated into an
irredeemably murderous and sexually sadistic regime operating without
lawful authority.
When Pennsylvania Quakers established the original penitentiaries, they
were places where a man was to spend time alone in a room with a bible to
contemplate the error of his ways. Now they are the source of most acts
of rape in our society as well as a primary dissemination point of the
deadly Human Immunodeficiency Virus that causes AIDS(2).
This is so much the case that a standard book on preparing for prison
life "You Are Going to Prison" by Jim Hogshire, answers the question
"Will I get butt-fucked?" quite simply and in the affirmative. Government
itself routinely uses the EXPLICIT threat of gang rape in 'crime
prevention' programs aimed at youth, such as that depicted in the public
television broadcast of "Scared Straight"(3) where youth offenders are
warned about their fate as sex slaves if they go to prison. Awareness is
so widespread that Hollywood movies routinely make light of the pervasive
nature of prisoner rape. Until recently, federal officials have avoided,
like the AIDS epidemic they help spread, any indication that they are
conscious of the fact that their authority relies, in large measure, upon
cruel and unusual punishment. But even that taboo may be crumbling(4).
Any reasonable man must ask and demand an answer to this question:
"How has the Quaker conception of the penitentiary been so perverted that
the threat of HIV-infected gang rape of prisoners is now a primary
component of the government's authority?"
The answer is simple yet profound. It lies in the distinction between the
two bases of money:
Reward VS Punishment protection
Everyone is familiar with the concept of reward money -- money issued
with a promise from the issuer to reward the bearer usually with some
commodity, such as gold or silver, upon presentation to the issuer.
The concept of money backed by punishment protection sounds unfamiliar to
all but a very few scattered individuals. It is unfamiliar even to Nobel
Prize winning economists, let alone the vast pool of PhDs from whence
they are chosen.
Yet punishment protection money is as simple and obvious as it is
pervasive:
Money issued with a promise from the issuer to protect the bearer from
punishment upon presentation to the issuer.
Forget the Clothes --The Emperor is a Murdering Rapist Run Amok
Many critics of President Clinton accused him of being a murdering
rapist. But President Clinton was simply the by-product of an epic
perversion that has overtaken the lawful government of the United States.
It would be understatement to call this perversion a criminal gang.
Criminal gangs only occasionally commit rape and murder against their own
community. They don't pretend to be a lawful authorities in public. They
don't issue their own currency as protection racket money and then demand
it as "legal tender". They may rationalize their criminal conduct, but
they don't convince themselves that what they are doing is lawful. They
admit to themselves that they are gangsters. At least they are that
honest. But, perhaps this is simply because gangsters are afraid to
compete with the most massive criminal organization in history, whose
roots extend back at least to 1913 when the Income Tax and Federal
Reserve were created.
The Federal Reserve was created in the same year as the Income Tax for
one simple reason:
The US Federal Government was shifting from Reward to Punishment
Protection as the basis for its monetary authority.
Federal Reserve Notes are promises to reduce the bearer's risk of
punishment for tax code violation, upon presentation to its collection
agency, the IRS, in the form of Income Tax.
Note here that it is impossible to reduce the risk of punishment for
violation of the income tax code to a level commensurate to the threat of
prisoner gang-rape(5). This has become the foundation of the IRS/Fed's
all-pervasive aura of fear(6) upon which their punishment protection
money is based. The Income tax code is so complex that not even the IRS
with all its private contractors from law and accounting firms, can
reliably and reproducibly interpret it. This makes it possible only to
_reduce_ the risk of punishment -- no matter how much wealth you turn
over to the IRS.
In this manner the federal government creates demand for the Federal
Reserve's otherwise worthless paper(7). Under the evil monetary basis of
punishment protection, the government's monetary authority is limited
only by the degree to which it can create pervasive terror of its prison
system in the hearts of nonviolent potential tax code "offenders" -- and
that means you.
With punishment protection as the basis of its monetary authority, and
therefore its ability to buy votes, it was only a matter of time before
the US Federal Government, as though an animal trained by operant
conditioning, would find ways of increasing the severity and cruelty of
its punishments.
But like rat in a maze, the US Federal Government had a problem to solve:
How to impose cruel and unusual punishment without arousing the wrath of
a people whose ancestors had risked a 1 in 4 chance of dying in the first
year of migration to the New World in order to escape just such evils?
The solution, reached without conscious intent (conspiracy) of
individuals was a form of punishment so cruel and unusual -- SO TABOO --
that no decent human being would even want to think about it, let alone
use freedom of speech and the press to talk about it:
Gradually cultivate prisoner rape as the basis of government authority.
By replacing pillory, open corporeal punishments and work restitution, so
common before the 20th century, with an environment in which Mafiosi and
other gangster types are protected from prisoner rape while the American
pioneer cultures, less prone to prison gang formation, are systemically
gang-raped, an ethnic bias was created against the very peoples who
founded the country to escape government predation. The actual bias is
apparent as at least 3 out of 4 prisoner rapes involve blacks victimizing
men of Protestant heritage while Mediterranean Mafiosi are somehow
immune.
The ruthlessly pragmatic and sadistically sociopathic genius of this is
that its very intensity, both as physical trauma and moral outrage,
rendered it invisible.
Such is the mentality of the child molester who relies on the traumatic
nature of his crime to cover his tracks -- seemingly unable to control
his subconscious urges. Such was the mentality of those men who, in 1913,
gave us the Federal Reserve and the Income Tax.
CONCLUSION
As with a molested child whose shame and guilt compound his trauma, so
the American people have come to accept as, as fated, a life lived with
this filthy family secret. The US Federal Government, now basing its
authority on cruel and unusual punishment, cannot be considered
legitimate by any reasonable man. The fundamental role that the
application of force against citizens plays in defining legitimacy
demands such a radical conclusion.
Warrior insurance will be a crucial tool in the triumph of honor over the
political will that has so corrupted the rule of law. But honorable
warriors need something to protect. Pioneers risk their lives creating
new lands. Women then risk their lives giving birth to new folk. Finally,
warriors risk their lives protecting their lands and their folk.
The burden of leadership falls, as it did after the feu fees that so
motivated the Scotch-Irish, on pioneers.
The dilemma, facing those of us who value the heritage of those early
Americans who risked so much to escape sadistic authority in the old
world, is not whether we are willing to risk our lives for freedom from
such tyranny, but whether we can pioneer a 'New World' where our love of
freedom can bear fruit in the face of death.
Notes
(1) This is a consequence of the unlawful declaration that Federal
Reserve Notes are "legal tender". "Legal tender" is called such because
courts are required to accept it as money for legal purposes (by far, the
largest legal purpose of money is payment of taxes). The US Constitution,
under Article 1, Section 10 requires the States to use only gold and
silver as payment for legally recognized debts. Article 1, section 8 does
not give Congress power to make legal tender. Therefore, the declaration
that Federal Reserve Notes are "legal tender for all debts public and
private" is unlawful. The best counter arguments to this generally ignore
the fact that the paper currency issued by the original central banks
were presumed to not be backed by legal tender's value as protection
against punishment, let alone cruel and unusual punishment.
(2) See <A HREF="http://www.spr.org/docs/stats.html">http://www.spr.org/docs/s
tats.html</A>
(3) The "Scared Straight" program from the 1970s is still going strong as
evidenced by this April 5, 1997 article from the Lubbock Avalance-
Journal: <A HREF="http://www.lubbockonline.com/news/040697/prison.htm">http://
www.lubbockonline.com/news/040697/prison.htm</A>
An excerpt:
"DALLAS (AP) - A grand jury has refused to indict prison inmates in
connection
with a ''scared straight'' prison visit during which several boys claimed
to have been molested."
(4) Assistant U.S. attorney Gordon Zubrod from Harrisburg, PA made the
following public statement to 3 suspects who fled to Canada (this
statement was captured for the public record during a Canadian
Broadcasting Corporation interview):
"You're going to be the boyfriend of a very bad man if you wait out your
extradition."
(5) Look at the classic paper on the value of human life by Nobel prize
winning economist George Stigler of the University of Chicago School of
Business. He measured the effect of danger on wage rates in different
professions. Prison is more of a danger in some lines of activity than
others. We should be able to apply similar analytic techniques to the
relationship between taxation and the prison system.
(6) "Prison Rape: Every Man's Greatest Fear", August 1995, Penthouse.
(7) Although the thesis of this paper does not necessarily predict it, an
increase in the rate of prisoner suicide negatively correlating with the
rate of inflation would be supportive.
--
The promotion of politics exterminates apolitical genes in the population.
The promotion of frontiers gives apolitical genes a route to survival.
Change the tools and you change the rules.
-----
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Om, Shalom, Salaam.
Em Hotep, Peace Be,
All My Relations.
Omnia Bona Bonis,
Adieu, Adios, Aloha.
Amen.
Roads End
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