----- Original Message -----
From: OPC International <[EMAIL PROTECTED]>
To: Opsecrets <[EMAIL PROTECTED]>
Sent: Tuesday, 19 October 1999 10:50 AM
Subject: "Offshore & Privacy Secrets, October 18, 1999"


> ================================================================
>       >> "Offshore & Privacy Secrets, October 18, 1999" <<
>                Published by OPC International
>                   http://offshoreprofit.com
> ================================================================
>
>   CONTENTS
>
>   [1] Welcome!
>   [2] Feedback
>   [3] Negotiating Your Own Tax Bill
>   [4] Going into "Debt" - to Protect Your Assets
>   [5] NewsBriefs
>   [6] New Articles, Products & Services
>
> ================================================================
>   [1] Welcome!
> ================================================================
>
> Welcome to another issue - and a special welcome to our new
> subscribers. The more the merrier!
>
> An interesting international development this week showed up the
> West's preoccupation with "democracy". Pakistan has had a military
> coup. The West is appalled - and will apply all sorts of pressure,
> even sanctions, to get Pakistan back on the straight and narrow.
>
> However, it appears that Pakistanis themselves, are quite relaxed
> and happy about the coup - for to them, it is an improvement on
> the "democracy" they were experiencing.
>
> The real reason for the "democratic" world's hostility to such
> a coup is that it undermines "democracy" as an IDEAL. And it is
> of the utmost importance for our Masters - that we believe in
> the ideal of democracy. Why? Because it is the myth that in such
> a democratic society we somehow get to "control" (by the ballot
> box) the government. This, of course, is pure baloney. Democracy,
> as we know and experience it, is simply a vehicle to diffuse
> genuine discontent - by giving people the opportunity to "vent"
> their discontent through the process of voting. Voting, as such,
> has much more to do with creating an "impression" of having an
> impact on the direction of society - than actually impacting on
> such a direction.
>
> Democracy is no defender of Liberty - and the proof of such a
> statement is all around us!
>
> Live Free!
>
> Robert Smith
> OPC International
> http://offshoreprofit.com
>
> PS: Do you want to protect your email? Now you can get your free and
> private OPC International Email Address! Simply go to
http://offshoreprofit.com
> and click the "Free Email" link to sign up now! It's FREE!!
>
> Latest News - updated 24 hours a day: http://offshoreprofit.com/news.html
> Make this page your browser's start page!
>
> ================================================================
>   [2] Feedback
> ================================================================
>
> We didn't get any of the "normal" feedback this week - everyone
> must be on holiday! But we did receive the following links from
> a few of our subscribers - the first of which sent us this:
>
> Aspects of Australian history the government does not want you
> to know about. The Australian Constitution is UK legislation and
> was extinguished at independence on 10 January 1920. To understand
> more about how politicians have conned the Australian people,
> read:
>
> http://users.orac.net.au/~gds/democracy.htm
>
> Another reader sent in this:
>
> A Brief Quiz -
>
> Were you born in a "Federal Territory" (like D.C.)?  Do you live
> in Washington, D.C. or a Federal Territory? Do you receive
> Corporate Net Profit instead of earnings? If you answered "No" to
> all of these questions, believe it or not, you do not owe a single
> penny in federal income tax! (And, you may not, even if you
> answered "Yes"!)
>
> See: http://www.federaltax.net/
>
> COMMENT
> There is continuing interest in these "constitutional" strategies
> for not paying tax. The idea is based on the fact that various
> forms of tax are unconstitutional.
>
> I have warned on this before - and I'll do it again now. It may
> be very true that taxes are unconstitutional - but that is NOT
> the issue. We have long passed the point where politicians are
> concerned with the constitution. The constitution is null and
> void as far as they are concerned. What we're up against now is
> raw power - the power of the gun. If you decline to pay your taxes
> on the basis of a constitutional argument - you may get away with
> it for a while (if the tax department is backlogged), but be very
> clear, there is nothing to stop the revenue people from taking
> your money - unless the money is NOT there in the first place.
> It is already routine in some countries for the tax department to
> simply sweep any and all domestic bank accounts - if they perceive
> money to be owing. If you refuse to cooperate, you can be targeted
> with penalties - which if ignored, can end up cleaning you out
> completely.
>
> The bottom line is this: your government needs your money, it
> can't go on without it. If you prove difficult in this regard
> they have the means (force and guns) to extract the required
> funds - and they will do it regardless of what any constitution
> says. In fact, if such "constitutional" difficulties persist, you
> can be sure they would find a way of altering such a constitution.
>
> The only way such a constitutional strategy would work in the
> long term, would be if a majority of people refused to pay their
> tax - thereby causing "civil disobedience" on a grand scale. But
> it wouldn't be the constitution that caused it to "work", but the
> sheer numbers of people refusing to pay tax.
>
> The "offshore" strategy is quite different from the "constitutional"
> one - in that with an offshore strategy you move your funds and
> other assets out of reach of the tax man altogether - by placing
> them in a completely different jurisdiction.
>
> We received this interesting link on computer security:
>
> Can anyone crawl into your computer while you're connected to the
> Internet? You may be VERY surprised to find out!
> http://grc.com/
>
> And finally, we received a link for global duty free shopping!
>
> http://dutyfreezone.com
>
> Don't forget, we like to hear from you - whether it's an opinion,
> comment, suggestion or interesting links.
>
> ================================================================
>   [3] Negotiating Your Own Tax Bill
> ================================================================
>
> The Swiss offer an interesting "choose your own tax" option that
> could be a model for other nations in the not-to-distant future.
>
> You can take up residence in Switzerland (if you are a high net
> worth individual) by negotiating your own lump sum tax rate.
>
> This is a very attractive option for wealthy, high-income people,
> as they can know with absolute certainty, what their tax bill is,
> and more importantly, know that it is NOT related to their income
> in any particular year.
>
> The Swiss offer residency status to retired foreigners in return
> for a negotiated lump sum annual amount. This varies according
> to which Canton you are dealing with. The larger ones will charge
> you more - the smaller ones less. But to give you some idea, one
> of Switzerland's smaller Cantons offers an attractive tax deal
> of around $45,000 per year.
>
> Now, if you are only earning $50,000 PA, then this is hardly a
> good deal. But imagine you're worth $1 million a year - then an
> effective tax rate of under 5% is certainly attractive!
>
> Of course, this strategy is only an option for the very wealthy,
> and the retired. But it does show what is possible with a bit of
> lateral thinking.
>
> With the increased pressure coming on domestic tax revenues - and
> the growth and awareness of offshore strategies, governments are
> going to have to make some hard choices. They can either decide
> to get "tough" on those they believe owe tax - and increase the
> harshness of their tax regimes (thereby causing more of their
> citizens to become tax exiles), or they can get smart and devise
> ways of holding on to their productive people.
>
> For mark my words, we are going to see increasing tax competition
> among nations - as they wake up to the fact that they need to
> provide a "tax-attractive" environment for productive people
> (people they cannot afford to do without). And one such strategy
> could very well be modeled on the Swiss idea. So, instead of
> penalizing those who work hard by taxing them more, they could
> negotiate a fixed tax bill - to be paid annually, regardless of
> what such a person was earning.
>
> This would also be an eminently just system - as it would provide
> for a voluntary contract between a sovereign individual and a
> sovereign territory - based on mutual requirements. You would
> in effect be paying for services rendered - and no more!
>
> I would imagine that the first countries to offer such a deal
> will be smaller nations trying to attract productive people.
> It would be a sort of de-facto citizenship - or more correctly,
> a permanent residency by virtue of contract. The other advantage
> of such a residency contract is that it would automatically remove
> you from residency/tax obligations in other countries - by
> providing the proof of residency sometimes required.
>
> The dollar value of such contracts could vary widely, but I
> would expect some countries to offer deals considerably cheaper
> than the Swiss one!
>
> Keep your eyes peeled for such developments in the new century.
>
> ================================================================
>   [4] Going into "Debt" - to Protect Your Assets
> ================================================================
>
> A subscriber sent in this question:
>
> "I would be very interested in seeing an article on how an offshore
> corporation can purchase a home in the US?  And have you identified
> banks or mortgage companies who will grant mortgages to corporations
> or trusts? When would someone want to go this route as opposed to
> purchasing a home (with a mortgage) under their own name and
> transferring equity to an offshore corporation?"
>
> Firstly, there are a few questions bundled above. Regarding the
> purchase of a home in the USA by an offshore corporation: There
> is nothing unusual or illegal about this, provided there is no
> law against foreign ownership. Most developed countries allow
> foreigners to own property - whether commercial or residential,
> and in such a situation, having a foreign corporation transact
> the deal is perfectly reasonable.
>
> However, the next issue as to whether a US bank would lend money
> to such a corporation to make a property purchase comes back to
> basic banking "rules" about lending. Banks will only lend money
> when collateral is provided - and in the case of a property
> purchase, the loan is usually secured by a mortgage against the
> very same property - up to a specified percentage of its value.
>
> However, banks have other rules besides - like the ability of
> the borrower to repay the loan, and the borrowers risk profile.
> And it is these requirements that would prove the most difficult
> for an offshore corporation. Banks want proof of ability to repay
> - in either the form of earnings statements, or wage slips etc.
>
> A much better method of having your offshore corporation "own"
> your home would be to put it under mortgage to your IBC - making
> it the owner of last resort (should you fail to pay!). To do this
> you need to be debt free in the first instance.
>
> One method would be this: You identify the home you want to
> purchase. You "arrange" to borrow money from this offshore corp
> (indirectly controlled by you). You have the mortgage papers duly
> drawn up. You now have a house under mortgage - and the higher
> percentage of the buying price the mortgage is, the better. In
> this way, the "ownership" of the house is really vested in your
> IBC as the mortgagor. You "pay" your mortgage in the usual way
> - by remitting funds (preferably through a legal third party) to
> your IBC.
>
> In this strategy you have eliminated the risk of having your home
> seized from you and losing everything. Why? Because should you
> be subject to a lawsuit, tax purge, whatever, the mortgage holder
> would have first claim on any proceeds from the forced sale of
> the house. You could in this way, theoretically "lose" the house
> (although mortgage repayment to the lending "company" would in
> fact come back to you), but not likely - as anyone seeking to
> force a foreclosure on you would naturally check the files to
> see how much equity you had in it. In this way you can use an
> IBC to hold the equity - and protect yourself against any claims.
>
> Now, if you use an offshore bank instead of the IBC (a bank
> that is indirectly controlled, but not legally owned by you)
> you can completely bullet-proof this strategy. Don't twiddle
> thumbs while the vultures are blithely hacking away at your
> life's work: Simply employ your bank to lay its hands (i.e.
> yours!) on your assets before anyone else does. Buy out your
> own debt for a song, stage your own "friendly self-takeover"
> and make exorbitant profits - absolutely legally, too, provided
> you know the proper way to do it!
>
> To get get an IBC now, click here:
> http://offshoreprofit.com/offshore-cyberbiz.html
>
> To get an Offshore Bank now, click here:
> http://offshoreprofit.com/freedom-nauru.html
>
> To get an Offshore Credit Union now, click here:
> http://offshoreprofit.com/freedom-eucu.html
>
> ================================================================
>   [5] NewsBriefs
> ================================================================
>
> Company develops email-expiration technology:
>
> A company has developed a way for Net users to create self-deleting
> email messages that are unreadable after a specified time.
>
> http://abcnews.go.com/sections/tech/DailyNews/email991008.html
>
> ----------------------------------------------------------------
>
> Hobbled IRS lets delinquent tax bills slide
>
> by David Cay Johnston - The New York Times
>
> "Understaffed and caught in a set of mixed signals from Congress,
> the Internal Revenue Service for more than a year has let many tax
> delinquents go without paying tax bills that may total billions of
> dollars.
>
> Those owing back taxes include wealthy individuals, as well as
> employers that have withheld payroll taxes but not turned the
> money over to the federal government, according to IRS tax
> collectors who spoke on the condition of anonymity for fear of
> retaliation by supervisors."
>
> COMMENT
> Now, that's the sort of story I like to hear! Don't you ever
> wonder what sort of people decide to work for the IRS?
>
> ----------------------------------------------------------------
>
> SCAN THIS NEWS
>
> The "No Return" Return - By Scott McDonald
>
> "As a consequence of the IRS' Restructuring and Reform Act of 1998,
> all taxpayers will soon be filing their returns electronically --
> or better yet not at all!
>
> Don't get too excited. You may not like the plan they have for
> the "No Return" Return.
>
> In 1998, Representative Bill Archer sponsored the IRS tax reform
> measure under the pretext of creating a more friendly, more
> responsive agency. But a little-known and little-discussed
> provision of that Act also requires the IRS to engage in a
> campaign to convince and pursue the taxpaying American public
> to file their returns electronically; 80% WILL DO SO in seven
> years or less. If not, the IRS will have failed in their
> Congressional mandate. The IRS does not like to fail."
>
> ----------------------------------------------------------------
>
> Russian scandal report unwanted blow to Cayman Islands
>
>  From CNN
>
> "The Cayman Islands are the world's fifth-largest banking centre,
> with more than $500 billion of assets under management at its
> institutions, which include 580 banks. It thrived by making
> incorporation easy and earnings tax- free.
>
> But with success came an unwanted reputation that the Cayman
> banks history of secrecy had made the island a favourite place
> for drug lords and other criminals to stash cash. Officials
> worked in recent months overcome that image.
>
> In May the territory agreed to seek certification under the
> Offshore Initiative launched in March by the U.N. Global Programme
> Against Money Laundering -- the first offshore centre to do so."
>
> COMMENT
> There are many such "initiatives" underway, as cash-strapped
> high tax countries look for ways to stop funds from being
> "exported" to low tax countries. Another one is the EU plan to
> bring about tax "harmonisation" between member EU states - so
> that no country has a tax advantage over another!
>
> ----------------------------------------------------------------
>
> October 21st, 1999 is "Jam Echelon Day"
>
> "Following some discussions on the Hacktivism mailing list, October
> 21st, 1999 was named "Jam Echelon Day". This was significant
> because it marks both the first large scale grass-roots effort
> to "jam up" the works of the global surveillance system operated
> by the US/UK/Australian/New Zealand Governments known as "Echelon"
> and because it coincides with Stop Police Brutality Day. While
> the goal of "jamming up" Echelon is a lofty and likely unattainable
> one, is it not better to signal displeasure at being monitored
> than passively allow it to happen? We believe so. Privacy should
> not be something that's considered only after it's been breached."
>
> Go to: http://www.echelon.wiretapped.net/ for more information.
>
> ----------------------------------------------------------------
>
> Government stretching faith in ID card system
>
> http://www.scmp.com/News/Asia/Article/FullText_asp_ArticleID-199910120
> 25526076.asp
>
> South China Morning Post
>
> "A Malaysian government decision to include religion on identity
> cards has drawn strong criticism from religious groups and a
> leader of one of its own parties, who described it as an
> "undesirable exercise".
>
> The plan was announced on Friday by the Deputy Prime Minister,
> Abdullah Badawi, who said the added feature would help authorities
> in cases where members of a family disagreed over the religion
> of a person who had died.
>
> It would also help them expose Muslims masquerading as non-Muslims
> in order to patronise the Genting Highlands casino or to avoid
> fasting during Ramadan, he claimed.
>
> Followers of Islam are barred from gambling and, during the
> fasting month, are required to abstain from food or drink during
> daylight hours."
>
> COMMENT
> What a wonderful idea! Maybe we could apply for ID cards which
> state our political beliefs as well - libertarian, anarchist,
> tax protester, perpetual traveller - and the like.
>
> ----------------------------------------------------------------
>
> Caribbean Cash Havens Arouse U.S. Suspicions
> Critics Say Island Banks Shelter Criminal Funds
>
>
http://www.washingtonpost.com/wp-srv/WPlate/1999-10/11/041l-101199-idx.html
>
> The Washington Post - By Douglas Farah
>
> "ST JOHNS, Antigua - A government Web site on this tiny Caribbean
> island has tried to attract offshore investors by bragging that
> Antigua is bucking moves elsewhere "toward greater disclosure"
> of financial information. "The emphasis on non-disclosure provides
> a high comfort level," it said.
>
> The neighboring island of Nevis promises that companies set up
> on its territory need file "no annual return or accounts."
> Anguilla's Web site said companies can incorporate there in just
> 24 hours, while Dominica boasted of the "absence of tax treaties
> or exchange agreements with any other country."
>
> The small islands of the eastern Caribbean are aggressively trying
> to expand their offshore financial industries by making it even
> easier for investors to keep their business secret. Several are
> promoting the ultimate in anonymity: They will sell citizenship
> along with the right to a new name on a new passport.
>
> The trend is arousing growing concern among U.S., British and
> other international law enforcement agencies, which say the new
> policies are attracting more money from drug trafficking and other
> criminal activities. One senior U.S. official said that small
> countries like Dominica and Grenada, by offering both strict bank
> secrecy and the easy change of identities, are creating havens
> for "one-stop shopping" for international criminals."
>
> COMMENT
> Notice, once again, the emphasis on "criminal activity". No
> mention of law-abiding people who just want to protect their
> hard-earned money from the grasping hands of politicians!
>
> This article also shows how the smaller offshore jurisdictions
> will take up the "slack", should places like the Caymans sign up
> for various international treaties against money laundering. You
> can be sure that as long as there is rapacious taxation, there
> will be places where you can avoid it. Where there is a market,
> there is a way!
>
> ----------------------------------------------------------------
>
> Net Wiretapping: Yes or No? - by Declan McCullagh
>
> The FBI says the Internet's standards body should craft technology
> to facilitate lawful government surveillance.
>
> http://www.wired.com/news/politics/0,1283,31895,00.html
>
> A spokesman said Wednesday that the bureau supported the Internet
> Engineering Task Force's recent decision to debate whether the
> ability to wiretap should be part of future Internet standards.
> "We think it's a wise and prudent move," said Barry Smith,
> supervisory special agent in the FBI's Digital Telephony and
> Encryption policy unit.
>
> "If court-authorized wiretaps are frustrated, effective law
> enforcement is jeopardized, public safety is jeopardized, and
> policy makers are going to have to figure out how to rectify the
> problem."
>
> COMMENT
> Get the logic? Draconian measures are justified - because without
> them "effective law enforcement is jeopardized. The question of
> course is: effective law enforcement against what exactly?
>
> ----------------------------------------------------------------
>
> Did NATO Bomb The Chinese Embassy Deliberately?
>
> http://dailynews.yahoo.com/h/nm/19991016/wl/nato_china_1.html
>
> LONDON (Reuters) - NATO deliberately bombed the Chinese embassy
> in Belgrade after the Western alliance discovered the mission
> was being used to transmit Yugoslav military communications, a
> British newspaper reported Sunday.
>
> An official at NATO headquarters in Brussels denied the Observer
> newspaper's report but it is likely to rekindle diplomatic tens-
> ions on the eve of a visit by Chinese President Jiang Zemin to
> alliance hawk Britain this week.
>
> The Observer quoted an unnamed intelligence officer as saying
> "NATO had been hunting the radio transmitters in Belgrade,"
> including one at President Slobodan Milosevic's house, during
> its air war against Yugoslavia.
>
> "When the president's residence was bombed on 23 April, the
> signals disappeared for 24 hours," said the NATO officer, who
> monitored Yugoslav broadcasts from neighboring Macedonia.
>
> "When they came back on the air again, we discovered they came
> from the (Chinese) embassy compound."
>
> COMMENT
> There is nothing new about this information; OPC International
> published it back in May. At least the cover-up is finally
> beginning to unravel: Clinton's Willing Executioners have not
> only bombed Yugoslavia back into the stone age, but also risked
> World War III... all in order to establish a precedent for the
> New World Order's plans of a world government.
>
> No evidence has been found to support NATO's claims of "mass
> graves" and "tens of thousands of Albanians being brutally
> murdered" - and the pro-war pretense of "We must fight these
> crimes against humanity!" is now being exposed for what it is:
> an outright lie, designed to manipulate the public opinion. And
> all the time, it is becoming more and more obvious who the real
> criminals are.
>
> ================================================================
>   [6] New Articles, Products & Services
> ================================================================
>
> Fathers' Rights Package
> http://offshoreprofit.com/educate-fathersrights.html
>
> Beat the system and regain custody of your children, lower or
> eliminate child support, enforce visitation orders, and a LOT
> more! Free offshore bank account included if you order now.
> http://offshoreprofit.com/educate-fathersrights.html
>
>
> Let's Jam Up Echelon!
> http://offshoreprofit.com/educate-echelon-crash.html
>
> The Abyss
> http://offshoreprofit.com/educate-abyss.html
>
> ================================================================
>
> "If we want the whole world to be rich, we need to start loving
> wealth. In the difference between poverty and plenty, the problem
> is the poverty, not the difference. Wealth is good."
>
> PJ O'Rourke - Eat the Rich
>
> ================================================================
>   See you next week! Please spread the message and forward this
>   newsletter in its entirety to related mailing lists, friends,
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> ================================================================
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> ================================================================
>       True Freedom CAN be yours at http://offshoreprofit.com
>             Copyright 1999, OPC International, Inc.
> ================================================================
>
>

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