MEMO TO: Friends, Neighbors, Colleagues and all interested parties FROM: Mitch Modeleski, Founder Account for Better Citizenship DATE: September 10, 1991 SUBJECT: Enclosed Letter to 50 State Governors Enclosed please find a copy of our letter and attachments to the 50 Governors of the sovereign States of the Union. With this letter, we place these 50 Governors on notice that a great fraud and deception have been fastened upon the American people. This fraud and deception are the result of a private credit monopoly (the Federal Reserve System) and a repressive and confiscatory taxing syndicate (the Internal Revenue Service) that have been imposed upon us without our consent. We petition the Governors to understand that heavy government borrowing and excessive taxation go hand-in-hand, that a foreign jurisdiction has obtained control of money and credit in America, and that the situation is now so serious, it threatens systematically to corrupt and destroy the very foundations of our modern civilization. Help us to assist the Governors to understand that Congress has seized vast powers from the States for the federal government by means of gross deficit spending, heavy government borrowing, and unlawful delegation of monetary powers to a private banking cartel. Help us to abolish the specter of modern slavery which now threatens to destroy the essential rights and freedoms which made this a great nation and the envy of others around the world. Please join us in demanding the 50 Governors to act decisively in accordance with their solemn oath of office: to uphold and defend the Constitution of the United States from all enemies, both foreign and domestic. Help us to restore a government which has drifted so far off course, it hardly resembles the constitutional republic it was designed to be. Account for Better Citizenship c/o USPS P. O. Box 6189 San Rafael, California Republic Postal Code 94903-0189/TDC
Account for Better Citizenship c/o USPS Post Office Box 6189 San Rafael, California Republic Postal Code 94903-0189/TDC Governor [date] Office of the Governor State Capitol City, State Dear Governor : We are writing in order to notify you formally that a great fraud and deception have been fastened upon the people of your State. In so doing, we place you on notice of this fraud and deception, and request that you exercise your solemn oath of office to uphold and defend the Constitution of the United States and the rights of the people. Our forefathers waged the War of Independence, suffered enormous sacrifices, and even gave their lives to sever our nation from an unlawful jurisdiction imposed on them by the King of England. This jurisdiction is known as Admiralty Law. Its primary beneficiary is the Federal Reserve System, a private credit monopoly once described by Congressman Louis T. McFadden as "one of the most corrupt institutions the world has ever known". Congressman McFadden was Chairman of the House Banking and Currency Committee from 1927 to 1933. By utter deceit and a failure to abide by the mandates of the U.S. Constitution, our lawmakers have imposed this same unlawful jurisdiction back upon the people. This was done through the chicanery and great pressure applied by the international banking community, whose aim has always been to control the issuance of money and credit. Foremost among these bankers was Mayer Amschel Rothschild who stated, "Permit me to issue and control the money of a nation, and I care not who makes the laws." We are now in an undeclared economic war, and the enemy is winning! If the people of this nation had not been raped by the great banking cartels, we would have no poor or homeless in our nation; to quote an editorial in the London Times in 1865, we would by now have become: "... prosperous beyond precedent in the history of the civilized governments of the world." This same editorial went on to predict that our nation would pay off its debts and be without a debt. It would have all the money necessary to carry on its commerce. The brains and wealth of all countries would go to North America. For these reasons, the London Times urged that our government be destroyed, or it would destroy every monarchy on the globe! American history reveals that Benjamin Franklin traveled to England as a representative of the Colonies. The British officials there asked how it was the Colonies managed to collect enough taxes to build poor houses, and how they handled this terrible burden of caring for the poor. Franklin's reply was simple and direct: "We have no poor houses in the Colonies, and if we had, we would have no one to put in them, as in the Colonies there is not a single unemployed man, no poor and no vagabonds." He went on to explain the underlying reason for this: "It is because in the Colonies we issue our own paper money. We call it Colonial Script, and we issue only enough to move all goods freely from the producers to the Consumers; and as we create our money, we control the purchasing power of money, and have no interest to pay." As Franklin knew so well, this system guarantees honest money. There would be no need for inflation or deflation, as long as the money supply was kept equal to the value of goods to be moved. Contrast this condition to that of England: all her money was borrowed from banks, and repressive taxes were laid upon the people. Banks usurped the government's right to create and regulate money. Banks created money or credit "out of thin air", by mere bookkeeping entries, with no labor or wealth involved or exchanged. Today, we suffer from the same debt money system here in America. As a result, the nation's wealth is being systematically transferred from a nation of producers to a syndicate of lenders, who have done nothing in any way to earn it or warrant it. Why should the people pay tribute to a private credit monopoly for the benefit of using their own money? The people retain an unalienable right to create their own medium of exchange, through their elected representatives in the Congress of the United States, as mandated by the Constitution. When this right was challenged by the British, the Colonists went to war. Benjamin Franklin identified this as the real reason for the War of Independence: "The Colonies would gladly have borne the little tax on tea and other matters, had it not been that England took away from the Colonies their money, which created unemployment and dissatisfaction." We believe that President Abraham Lincoln was assassinated for his creation of "United States Notes", and for his refusal to borrow debt money from banks. Lincoln was quoted to say: "The people can and will be furnished with a currency as safe as their own Government. Money will cease to be master and become the servant of humanity. Democracy will rise superior to the money power." Governor, with your help, and with the grace of God, this can still happen. Governor, we expect you to understand that debt money and excessive taxes go hand-in-hand. Today, Americans pay over 10,000 PERCENT more in taxes than did Colonial Americans. Federal income taxes are confiscated under duress, even though they are voluntary under law, and apply only to persons in federal enclaves or possessions. The framers made it plain that "No money shall be drawn from the Treasury but in consequence of appropriations made by Law" (Article I, Section 9, Clause 7). Nevertheless, a philosophy of "tax, tax; spend, spend; elect, elect" began in the Roosevelt era when the U.S. Supreme Court relaxed traditional restrictions on the Federal Government in the Butler case (297 US 1, 1936). In this case, the Court interpreted the "general welfare" clause as a general grant of power to Congress to tax and spend for anything it felt was in the interest of the nation's welfare. This ruling opened the U.S. Treasury to unlimited looting by politicians who saw this as a golden opportunity to increase taxes and buy votes with federally funded projects in their respective States. A massive share of this funding is now done through heavy government borrowing! Governor, if this situation is not changed, the destiny of our nation is literally in the hands of international bankers and their cohorts. As German statesman and soldier Bismarck predicted: "The death of Lincoln was a disaster for Christendom .... I fear that foreign bankers with their craftiness and tortuous tricks will entirely control the exuberant riches of America and use them systematically to corrupt modern civilization. They will not hesitate to plunge the whole of Christendom into wars and chaos in order that the earth shall become their inheritance." For our own sake, and for the sake of our posterity, we pray that you will be earnest in your endeavor to help set our nation aright. Honor your oath of office, so that your constituents and our Creator may properly show you respect, and that you too may proclaim, with Benjamin Franklin: "I can appear cheerfully before God fearing nothing from His justice in this particular." Governor, join us to help restore the laws and liberties that our founding fathers fought so hard to win and leave to us, their posterity. Please take the time necessary to study personally the material enclosed with this letter. It summarizes the fraud we now suffer, from a private credit monopoly and a confiscatory taxing syndicate imposed upon us without our consent. Then, honor us by acting decisively in accordance with your solemn oath of office: to uphold and defend the Constitution of the United States from all enemies, both foreign and domestic, so help you God. Yours for liberty and justice, /s/ Mitch Modeleski, Founder /s/ Leigh Waddell Account for Better Citizenship Secretary attachments: Graph of U.S. National Debt 'Why, Pilgrim, Don't You Act?' 'Promises Made, Promises Broken' 'How It All Began' 'The Rothschild-Hamilton Money and Banking System' 'The Lost Document' 'What You Should Know About the Federal Reserve System' Letter to 60 Minutes, by Mitch Modeleski, 5/29/91 Letter to 60 Minutes, by Godfrey Lehman, 5/21/91 Letter to Prof. Louis Roseman, by Mitch Modeleski, 5/2/91 'The Two United States and the Law,' by Howard Freeman '$10,000 Reward' Selected Bibliography enclosure: A Moderate Proposal for Restoring Prosperity Individual and National, by Jean Carpenter
Why, Pilgrim, Don't You Act?[ Next Appendix | Table of Contents ]
an excerpt from the book Tax Scam, by Alan Stang:
"As you know, the Constitution reserves the power over money to the Congress, which power Congress is forbidden to delegate. How would you respond, were Congress illegally to give its power to a private corporation, like Ford or Xerox, or Occidental Petroleum or IBM, or a new corporation organized for the purpose? Suppose Congress confiscated your gold and gave it to that private corporation. Suppose that private corporation issued currency the government forced you to use, and on which it forced you to pay interest. Suppose that private corporation extended credit ('cheap money') and then called the loans; did so time after time, creating endless boom and bust; thereby farming the farmer and bringing the people to their knees -- protesting all the while in a blizzard of propaganda that it was fighting these things.
"How would you respond? Do we exaggerate when we speculate that you would call it the biggest scandal of all time? Are we far afield when we guess that you would demand a special prosecutor, complete with hearings, to expose the conspiracy; seizure of the corporation's assets and abolition of the corporation; long prison terms for the perpetrators, in government and out; and restoration to Congress of the money power, in obedience to the Constitution?
"Pilgrim, if that is close to what you would demand, may we ask respectfully why you have not demanded it -- because the private corporation we have been talking about is the Federal Reserve System.
[Alan Stang, Tax Scam, Research Publications, P.O. Box 84902,
Phoenix, Arizona 85071, 1988, pages 228-229]
Promises Made, Promises Broken
In promoting passage of the Federal Reserve Act of 1913, its sponsors, and those working to see it passed, made ten promises:
1. To operate entirely under the direction and control of the President and his appointees to the Board of Governors.
2. To pay interest to the government for the privilege of printing Federal Reserve Notes as the nation's currency.
3. To perform many banking services for the government free of charge.
4. To manage the nation's money supply so as to stabilize the dollar which, in turn, would stabilize prices.
5. To remove the United States from the control of Wall Street.
6. To prevent depressions and eliminate "boom and bust" cycles.
7. To be a friend and helper to farmers and to the monetary needs of small businesses.
8. To create a system that would remain forever decentralized, so each Federal Reserve Bank would have as much influence in monetary policies as the one in New York City.
9. To protect American interests against foreign monetary assaults.
10. To supervise and inspect local banks and provide funds when they were pressed by unexpected demands.
Contrary to promises, the effects of the Federal Reserve Act have been disastrous:
1. Judged by the promises at the time the act was passed, including a stable currency and elimination of boom and bust cycles, the Fed must be rated, at best, a colossal failure.
2. The Federal Reserve action of curtailing the nation's money supply by a third in 1929 converted a serious recession into a disastrous depression, destroying one-third of the nation's banks in the process.
3. Judged on the basis of the U.S. Constitution and by the intent of its framers, the Federal Reserve Act and amendments are clearly unconstitutional.
4. The present system, requiring people and businesses to pay interest to the banks on every Federal Reserve dollar in circulation, is a devastating and needless burden, adding to bankruptcies in a recession and severely hampering recovery. An Honest Money System, based on debt-free money, is essential to the economic well-being of the people all across the U.S.
5. An unstable national money supply is a debilitating handicap at best and, at worst, not only causes but worsens "boom or bust" business cycles so destructive of the people's best interests.
6. The people of America now suffer from needless recessions brought on by the cumulative effects of inflation and interest-bearing debt financing encouraged by the Federal Reserve System.
How It All Began
an excerpt from the book A Writ for Martyrs, by Eustace Mullins:
"The income tax amendment and the Federal Reserve Act were passed in the same year, 1913, because they function as an essential team, and were planned to do so. The Federal Reserve districts and the Internal Revenue Districts are "new states," which have been established within the jurisdictions of legal states of the Union. But why were they so established, and why are they co- functional? The Internal Revenue Service has the duty of collecting large amounts of taxes from employed Americans, solely as an agent of the Federal Reserve System. It was not accidental, nor was it coincidental, that these acts coincided with the preparations of World War I. The necessity for income tax "collections" did not become obvious for some years. The U.S. Congress had awarded the Federal Reserve System the power to issue money, despite the fact that the Federal Reserve bank stock was entirely owned by private stockholders. The Federal Reserve System then began to issue large amounts of profitable interest- bearing "U.S. dollars," without control from any government agency. It became apparent that the Federal Reserve System must set up its own system of controls, which it did through the Internal Revenue Service. Here again, the "Service" was not a service to the U.S. Government, nor a service to the American people. It was a service to the Federal Reserve System. The IRS performed the necessary task of "sopping up" the enormous amounts of money issued by the private stockholders of the Federal Reserve System to finance their systematic acquisition of all the property of the people of the United States.
"If these billions of paper instruments remained in continuous circulation, they would become mere assignats, not worth a Continental. The money is controlled by confiscatory taxation through the agency of the Internal Revenue Service. The system was laid down by David Ricardo, son of Abraham Israel, an Amsterdam stock manipulator who moved to England and made a fortune with the Rothschilds in the Waterloo speculations. Ricardo developed the technique of controlling the people through taxation. His direct descendant, Rita Ricardo Campbell, now advises President Reagan on Social Security.
"As the largely worthless paper assignats are forcibly removed from circulation by the zealous activities of the Internal Revenue Service, the Federal Reserve System can then issue more billions of paper currency to the public. The constant flow of "new money" deceives the public into thinking these assignats have real value.
"The IRS also fulfills Ricardo's dictum that the worker must never be allowed to enjoy more than a bare subsistence wage. Income tax, withholding tax, Social Security tax and other taxes fulfill Ricardo's dictum. With no money beyond bare subsistence, the workers are effectively prevented from engaging in political activity. In effect, the IRS functions as the slave overseer of the great American plantation, plying the lash freely in order to keep the workers bent to their tasks. However, neither the function of sopping up paper money for the Federal Reserve System nor the controlling of the workers by robbing them of their wages is a proper function of the United States Government."
[Eustace Mullins, A Writ for Martyrs, published by O.T.U. Christ
Church, P. O. Box 1105, Staunton, VA 24401, 1985, pages 190-191]