-Caveat Lector-

The Patriots for Profit Rogues' Gallery
Your help in bringing to light more instances of "patriots for profits" so
that their cons and scams can be exposed is greatly needed!  The Militia
Watchdog welcomes additions to this list.

Please note that the Militia Watchdog also has a lengthy and illuminating
report on one particular type of scam called the "pure trust" at
http://www.militia-watchdog.org/puretrust.htm.

Law enforcement officials are cordially invited to investigate all of the
below groups for possible wrongdoing.



Rogue Number One:  The First Amendment Church of Truth and Sanity or
F.A.C.T.S. (PO Box 339, Adrian, MI 49221; 1-888-820-2126).
This "church" is the product of Pastor Rick Strawcutter, a long-time fixture
on the extreme right.  Strawcutter is known primarily for having operated a
pirate radio station, Radio Free Lenawee, and for having helped to produce
militia figure Mark Koernke's first video, "America in Peril," in 1993.  He
currently manages a mail-order business for extremist videotapes, claiming to
have over 500 available for sale.

The First Amendment Church of Truth and Sanity is a pyramid scheme cloaked as
a church, although Strawcutter claims that it is multi-level marketing.
However, there is essentially no product being sold--the only way members can
benefit is to recruit more members, which means that the scheme will
inevitably fail (one can contrast this to Amway--in Amway, even people who do
not recruit members can still sell Amway products and make money doing so).

Strawcutter, through personal appearances and a 28-minute video, recruits
people to become "missionaries" for his church.  They have to pay $125 to do
so.   In return, they get a "freedom manual" (which discusses jury
nullification and phone-bombing public officials), a religious tract which
appears to be Christian Identity in nature, and two copies of the 28-minute
video, which they will use to help them recruit others.  Members can buy
other copies of the video--in ten tape blocks--for $30.

Strawcutter's "missionaries" are expected to recruit further missionaries.
Each time they do so, they will get $25 of the $125 the new missionary pays.
 If those missionaries recruit others, the original missionary will get $5
for those second-level recruits.  This is true for third, fourth, fifth and
sixth level recruits (theoretically; there are unlikely to be any).

Strawcutter furthermore tells his "missionaries" that all such income is not
taxable because it is an "offering" from the church.

This scheme is fraught with danger.  Strawcutter may be breaking laws against
pyramid schemes as well as income tax laws--if he himself is not reporting
the money as income.  There is also the possibility of mail fraud, since he
is mailing out the videotapes. People should be aware that if they get
involved in a pyramid and recruit others, they themselves will be breaking
the law.





Rogue Number Two:  Freedom's Call (11757 W. Ken Caryl Ave, F237, Littleton,
Colorado, 80127, 800-873-7165; http://www.galaxymall.com/stores/freedom/).
Freedom's Call, a "private membership club dedicated to personal and
financial freedom," is the child of Chuck and Linda Meyers, who reputedly are
'common law' activists in Colorado.

Essentially, Freedom's Call is a method by which the Meyers separate willing
victims from their money.  This is done via a three-staged "Prosperity
Triad":   Understanding, Prosperity and Protection.  It is also a pyramid
scheme in which people are asked to refer new members.  Freedom's Call's web
page promises the possibility of earning $10,000 in the first four weeks, and
"$250,000 realistic potential earnings in just one year."

One can only hope that they will get $250,000, because they certainly will be
shelling over a lot of money to Chuck and Linda Meyers.  To reach Stage One,
"Understanding," participants must pay a $999 membership fee.  In return they
will get a "home study program" which consists of a mishmash of "patriot"
materials. The second stage, "Prosperity," allows participants to attend an
"intensive workshop" on doing business over the Internet.  This workshop
"will be in luxury accommodations at a desirable resort location within the
Continental U.S."  Amazingly, the workshop is "paid for by Freedom's Call."
However, the membership fee for Stage II is $5,999, which may explain how
Freedom's Call can afford to be so generous with its free workshops.   The
third stage, "Protection," is one in which members "will be wooed by
representatives of various countries of the world extolling the virtues of
conducting business in their jurisdictions."  Members will visit several
Caribbean island nations as part of a "luxury cruise," again, paid for by
Freedom's Call.  The price tag for membership:  $16,999.

People who fill out an application form must agree to a variety of
provisions, ranging from the rather innocuous "that I will nuture and protect
the ideals of personal freedom as presented in the Freedom's Call Pledge,"
all the way up to the sinister "that the terms of this agreement are governed
by International Law and that any dispute or claims between the members or
between members and Freedom's Call shall be exclusively resolved by binding
arbitration through the AAA International Arbitration Network with said
arbitration to occur within the jurisdiction designated by the complaining
member when the dispute is between members and by Freedom's Call if the
dispute is between members and Freedom's Call."

Freedom's Call appears to be a very nasty and high-priced pyramid scheme that
sucks its victims in deeper and deeper.



Rogue Number Three:  NORFED (http://www.norfed.org).
October 29, 1998

Militia Watchdog Official Alert

Investigators, Journalists, Others Urged to Monitor NORFED

The Militia Watchdog has learned of a new organization which, as described,
carries considerable potential for fraud or misuse. The Militia Watchdog
urges all law enforcement officers, journalists, activists and others to
scrutinize this organization and its activities carefully.

Background: One of the major "hot button" issues for adherents to the
so-called "patriot" movement is the "money" issue. A summary of this issue
would be that the creation of the Federal Reserve and the change from a gold
standard to paper money was not only illegal and unconstitutional, but part
of a large plot to impoverish the country and enrich the "international
bankers" (usually alleged to be Jews). As a result, paper money (federal
reserve notes or "FRNs" as the "patriot" movement abbreviates the term) is
looked upon with suspicion and disgust. This has led to numerous attempts to
invent alternative currencies, often by people who are themselves all too
willing to accept federal reserve notes in exchange for dubious alternatives.
In the early 1980s tax protester Tupper Saussy created a stir with his
"Public Office Money Certificates," which were a sort of bogus promissory
note. In the late 1980s, various conmen created illegitimate "sight drafts"
that were alleged to be as valid as federal reserve notes. And in the
mid-1990s a host of groups including USA First, Family Farm Preservation, the
Republic of Texas and, most famously, the Montana Freemen, created billions
of dollars worth of bogus money orders and checks. This last resurgence
resulted in scores of successful prosecutions around the country. However,
these convictions only stopped certain perpetrators; they did nothing to end
the sentiment. It would only be a matter of time before the next alternative
currency scheme was hatched.

NORFED: NORFED is an abbreviation for a group calling itself the National
Organization for the Repeal of the Federal Reserve Act. In its own words, it
is a "membership based nonprofit organization dedicated to using all its
revenue to restore a honest monetary system for all Americans, as required by
our Constitution. It is governed by a Board of Directors, and a Members
Advisory Council." No Board or Council members could be found listed on its
website.

Contact information for its leaders is as follows:

Jim Thomas/Tri-State Redemption Center/812-473-5250

Bernard von NotHaus/NORFED/888-421-6181

FAX 812-473-5199

Postal address:  4900 Tippecanoe, Suite 6 / Evansville, IN 47715

Webpage: www.norfed.org.

NORFED has created something it calls "American Liberty Currency." This
consists of "silver certificates" in $1, $5, and $10 amounts. The $10
certificate is allegedly backed by one ounce of .999 pure Troy silver, and
the other certificates backed proportionately. However, the silver itself is
kept in a "warehouse" run by "Sunshine Minting."

The current price of silver is only about $5.10 per troy ounce.

NORFED is also engaged in the creation of "a National Network of Redemption
Centers." The function of these centers is "to exchange Federal Reserve Notes
for American Liberty Currency (warehouse receipts)." In other words, to take
people's dollars and give them this new "currency." Redemption Centers can
buy certificates from NORFED at a 10% discount, then provide them to others.
Ostensibly, these centers will also exchange silver certificates for silver
coins. The centers are also urged to recruit "members" and will get a portion
of the membership fee.

What are the dangers of NORFED? The possibilities are endless.  The first
danger is that one will lose one's money by basically exchanging it for half
its value in silver (or, more accurately, silver certificates which are
supposed to represent silver).   The second danger is that there might be no
actual silver at all, despite the "independent audits" that NORFED assures
people will be conducted. In this case, people will be exchanging good money
for worthless money. A third danger is that NORFED will be used as a
warehouse bank, which is a way to hide money or financial transactions. There
are many other potential problems as well, all of which cry out for careful
scrutiny of NORFED and its operations.

One warning sign consists of some of the people and organizations who have so
far signed up to be "Redemption Centers." These include but are not limited
to Charles Eidson, a Florida-based white supremacist who has been prominent
in placing bogus liens and marketing abusive trusts; the Save-A-Patriot
Fellowship, one of the largest tax protest groups in the country; and the
Cascadian Resource Center, involved in various aspects of "paper terrorism,"
including the marketing of abusive trusts. Even though NORFED has supposedly
been in operation only since October 1, 1998, it has already amassed a large
number of "Redemption Centers." This could grow very quickly.

NORFED leader Bernard von NotHouse is "printmaster" for Royal Hawaiian Mint,
a Honolulu-based numismatic dealer. Leader Jim Thomas is the founder of
"Media Bypass" magazine, a magazine which caters to right-wing extremists.
Coincidentally, the November issue of "Media Bypass" will feature an article
on NORFED. "Sunshine Mint" is located in Hayden Lake, Idaho. The address
associated with the domain name (from Internic) is a mailbox in a university
bookstore in California. The mailing address for NORFED is the same as for
Media Bypass.

The Militia Watchdog is not alleging that NORFED is currently engaging in any
illegal activity. However, because of the clear potential for abuse now or in
the future, it urges people to monitor NORFED and its activities very closely.

(Courtesy www.milita-watchdog.org)

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