The Federal Reserve and the National Debt

May I also suggest:  Why we are not free!..............Betrayal of the
Public Trust

Document of 38.........
Subject: Is this true?
Date: 07 June, 2002 9:09 AM
THE HARD FACTS NOBODY KNOWS ABOUT The Federal Reserve and the National Debt.

FACT#1. The Federal Reserve is a private corporation, owned and controlled
mostly by foreign bankers.

FACT#2. How the Federal Reserve banks work (using a 10% reserve

  1. F.R. "creates" $1,000,000 worth of "debt certificates" with no assets
behind the creation, just the "OK" of Congress, and distributes it to banks.
  2. The bank "Holds" the 10% reserve as operating capital ($100,000) and
loans the rest out at 10% interest.
  3. The bank pockets $90,000 in interest, and accepts the $900,000 back as
a deposit.
  4. The bank retains 10% of the $900,000 deposit as a reserve, and loans
out the $810,000 at 10% interest.
  5. The process is repeated over and over, with "hard" assets pledged as
collateral for these "loans". Thus, it starts with "no money" and ends up
with houses, cars, land, silver, gold...real assets...and all it took was
some ink, some paper, and the cooperation of Congress.

FACT#3. The BIRTH of money #1...Congress authorizes the F.R. to purchase U.
S. Notes from the U.S. Bureau of Engraving for 2.5 cents per bill (no
difference between $1 and $1000 bills). The F.R. then issues an equal amount
of "debt certificate" Federal Reserve Notes which they use to purchase U.S.
Treasury Bonds. Taxpayers are, supposedly, obligated to pay off these bonds
at FULL FACE VALUE, plus the debt of the original currency purchased at 2.5
cents per bill!

FACT#4. The BIRTH of money #2...All credit is hypothecated upon the faith
and worthiness of the "United States". Congress authorizes various
corporations to extend the credit of the United States (as a privilege, not
a right) to finance mortgages and other types of credit. You and I could not
set up shop to extend credit to others, except we be licensed and approved
by the government. Thus, it is not the mortgage company, with whom you sign
a contract, who extends you credit...they are only an "agent"... it is the
United States who is the party with standing, and the only entity which can
sue or foreclose for breech of the contract. BET YOU DIDN'T KNOW THAT! Then
there is the credit contract itself...a fraud perpetrated upon the buyer
every time. It is another means of "creation" of money. There is no "money"
exchanged in the mortgage transaction. It is a book entry made by the
"agent" which "monetizes" the value of the real thing, the property
involved. No contract is valid except both parties bring something of value,
called "consideration", to seal the contract. You are bringing the property,
and the promise of future payments...they bring nothing but the ability to
create credit...a congressional "okie-dokie" the contract. Thus the
government fraudulently claims superior ownership rights to the property
involved, and the ability to charge the "tenant" rent (called property
taxes, bet U thought U owned that property, right?) for the privilege of
using paper credit.

FACT#5. The taxes paid by Americans never provide ANY services to our
country...all collected income tax money goes DIRECTLY to the F.R. Board
(check the back of ANY check sent to the is true).

FACT #6. All U. S currency is "Federal Reserve Notes" of debt, owed to the
Federal Reserve, and is borrowed into existence. How can you pay the debt
when you have to "borrow" the currency to pay the debt, FROM THE GUYS YOU
ALREADY OWE? It is like paying off your VISA card using THE SAME VISA
CARD...the interest just keeps growing, and no principal is ever paid! It is
a ponzi scheme....a scam...and America is the mark!

Thus, the national debt can never be repaid. It is not meant to be repaid.
It is meant to bring Americans to ruin without bloodshed. It is the legal
takeover of the country, piece-by-piece, and the voluntary enslaving of the
sovereign people, who will ULTIMATELY be asked to accept the demise of the
Constitution, and their sovereign status under that Constitution, to become
"subjects" of the benevolent ruling class.

This debt is owed by a "corporation" called "THE UNITED STATES"...A true
LEGAL ENTITY...just like AT&T or any other company. It was formed, under
Article IV powers of the Constitution, to do, in the territories what the
U.S. Constitution said the Federal Government could NOT do in the states of
the union, and I'm not talking just about income taxes, although that is
certainly the case!

This whole scheme is based upon Congress' "sovereign rights" over the
territories (Article IV) they established a "corporation", a central bank,
and a paper money supply for those areas and peoples of the territories and
areas over which the "FEDS" were Sovereign (see Article IV, Section 3 of the
national constitution).... this was NOT done for or apply within the
jurisdictions of the 50 union states, mind you, since it would have been
openly UN-constitutional to do so. Only the "territories", the subject
peoples within those territories or the 50 union states, and those 14th
Amendment "citizens of the United States, and subject to the jurisdiction
thereof"(see the 14th amendment, the tax code, the voter registration cards,
etc) who possess only the inferior legal status of "subjects of the United
States"(according to the Supreme Court), and do NOT have Bill of Rights
protections, guarantees, or unalienable rights from God (only civil rights
from government, who created them in law) ...they are Federal
(U.S.)citizens. The "federal" banks were set up to provide services to only
federal citizens and other "subjects" of the United States. Free American
Citizens began accepting the fake money (not backed by any substance of
value), along with the genuine (redeemable at par for a set quantity of gold
or silver), until 1964, when redemption of "paper" into real money (silver
and/or gold coin) was terminated, and we all began to exchange only the fake

This corporate US makes laws which apply ONLY to those areas and peoples
over which the Constitution gives the federal government sovereignty (See US
Constitution, Art 1, Sec. 8, and Art. IV, Sec. 3, and Downes Vs. Bidwell,
182 U.S. 244). The ignorant sovereign people (the free natural American
Citizen of the constitutional United States of America), began to submit to
and obey laws which were legally applicable only to "subjects" of the
corporate federal US. We were also tricked into legally volunteering to all
become "federal persons" by the promise of old age security... that's
right...Social Security...the ever tightening noose around the throat of We
the People. This explains why Congress can pass laws about guns and other
"protected" topics, and not have such laws declared unconstitutional. They
are not legislating for the 50 states or the Citizen of one of those 50
states. If you submit to a law, however, you are judged to be under that
law. If you become a "federal person" through application for a social
security number, or other federal benefit program, you have traded your
birthright for a bowl of pottage (see Esau in the Bible). WE THE SHEEPLE
have been voluntarily sheered by our own ignorance.  Notice that there is
still gold and silver coin being minted today (constitutional money)...but
its value is calculated in federal reserve notes, falsely called "dollars".

WE MUST NOW reassert our sovereignty! It is time for "We the People" to
declare the corporate US to be bankrupt, remove the Federal Reserve from the
U. S. of A., and require Congress to turn on the presses and begin minting
lawful coins (or Silver and Gold Certificates) which have no debt attached
to their creation. Lawful money which is backed by gold, silver, and the
productivity of Sovereign Americans. If you have understood how the debt is
created, you know that it has been a fraud from the outset. It is no more a
legal debt than Federal Reserve Notes are legal money. It is a "Corporate
debt" of the federal corporation known as the "UNITED STATES", which is NOT
the constitutional entity established in 1791.

  NOTE # 1: This is the THIRTEENTH doc in a string of about 38 regarding the
Income Tax, How it was illegally forced upon us, the collusion of various
nation banks, including The Bank of England, the Banks of Europe, the Banks
of the USA that make up the Non-Government organization known as the Fed and
the bankers themselves dedicated to making this a Socialist Nation. As David
Rockefeller reportedly said in 1973 when he and others formed the Trilateral
Commission, "We will have this a Socialist Nation by the end of the year
2000."  Well, with the help of our past Communist President, he damned well
nearly did it.  If Comrade Gore had been elected, it would be now! The last
doc in this series is a plan that was presented to President Bush when he
visited Florida recently.  It was put directly into his hands.  He has not
acted upon it. We The People must initiate a campaign of letters, faxes,
e-mails, and phone calls to him and others in our otherwise corrupt
government letting them know of our displeasure.  For God and Country, Chet.
 NOTE # 2:  [  Should you wish to be removed from my mailing list, please
send a message with the word remove in the subject line.  If you got this
from a mail list, such as  or something like that,
then it is up to the moderator or owner of the list to remove my access
based upon complaints of my material, abuse, or removal of your access if
you request it. ]         Should you wish a copy of a numbered message
(this is the 13th one)   that you may have missed, please e-mail me off net
for a copy of it and I will be very happy to provide it. Chet.
You may forward this to every member of Congress by using a Mail Blaster
application available on the Internet as follows:
Step 1.  Access your web browser.   Step 2.  Type in the search block:
Step 3.  Click on   Send Batch E-Mail which is on the left end of the
Step 4.  Type in your E-mail Address.   Step 5.  Click on Subject: Type in
the subject of your document.
Step 6.  Click on Message: Now here you can type in your message or you can
paste a previously copied file here.  You can also edit your message after
you finish with the message and before sending it.
Step 7.  Then click on   select a file.  Here you may click on:
 demhouse.txt (Socialist Democrat House Members) or,
 democsen.txt (Socialist Democrats Senate Members) or,
 newsorg.txt (Many of the "anchor" news folks have their email address here
for you to use) or,
 rephouse.txt (Republican House of Representatives Members) or,
 repubsen.txt (Republican Senate Members) or,
 senators.txt (All Senators).
Step 8.  After selecting the group to receive your message then click on
send batch. It will go to everyone listed in the batch.
Remember: Nothing beats a letter AND a phone call.
Forwarded by: Chester L McWhorter Sr, c/o 504 N. Brighton Rd, Lecanto,
Occupied Florida. 34461. Ph: 352-344-9073. Fax: Same. E-mail:
 13 of 38.........   End.

     "Beware the leader who bangs the drums of war in order to whip the
citizenry into a patriotic fervor, for patriotism is indeed a double-edged
sword.  It both emboldens the blood, just it narrows the mind.  And when the
drums of war have reached a fever pitch and the blood boils with hate and
the mind has closed, the leader will have no need in seizing the rights of
the citizenry.  Rather, the citizenry, infused with fear and blinded by
partiotism, will offer up all of their rights unto the leader and gladly so.
How do I know?  For this is what I have done.  And I am Caesar."--Julius


Part 14

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