Subject: [DanMeador] WHERE THERE IS SMOKE Date: Sun, 16 Dec 2001 08:27:20 -0600 From: Dan Meador (by way of Bo Tomlyn) To: Recipient List Suppressed: ; As a rule, I've avoided posting material relating to the "redeemed for value" and other process based on Uniform Commercial Code remedies. It isn't because I don't believe there is something to process people who have dedicated time to UCC study have developed. My difficulty with most of the process arises from assorted shortcomings. Several come to mind. One of the major problems is the need for someone to study the process who is a capable writer. I've read several discourses that come from the discipline and have yet to see a reasonably comprehensive work that doesn't make what seem to be wild conclusions without solidly explaining and anchoring them with credible authorities. Then there is the dual problem of greed and anger. It seems to me that that's where people get into trouble. One of the people prosecuted in the Texas CMO cases reminded me that Walker Todd testified at one of the trials. Todd was general counsel for the Cleveland Federal Reserve Bank for most of twenty years. He told the jury that so far as he could tell, privately issued Credit Money Orders were as legitimate as credit issued by financial institutions. Yet the judge in that case pretty well discredited Todd's testimony, and he was prevented from saying much in the Montana Freeman case. Proponents of UCC remedies invariably make wild claims. For instance, they claim that the birth certificate is a commercial instrument that is "monetized" -- that there is a second birth certificate for the "straw man". I've seen one of those. In fact, I have it somewhere in the boxes of stuff I've accumulated over the years. The lady is a Kansas native born in 1934. On the back side, the "rights" of the "res" (child) are listed, and I can assure you that they don't correspond with substantive rights secured by state and national constitutions. Ralph Winterrowd's research into automobile titles issued by the state confirms a conversion process by which the state secures an interest in the property. The conversion is commercial in nature. In 1933 or 1934, the Oklahoma Legislature endorsed a resolution declaring that "virtually all human enterprise is commercial in nature." When he had a dispute with a bank, Winterrowd did something to tick bank officers off so they called all notes due. He managed to come up with enough cash to pay everything off, but he insisted on having original notes, etc., in exchange for payment. "We never give original paper back," he was told. However, the UCC informs us that the creditor's interest in the property isn't terminated until the debtor secures return of original credit instruments. Ralph had quite a wrangle in court and with the bank, but eventually forced the bank to give original paper back. The evidence suggests that the bank was using the notes for collateral -- the paper had to be "redeemed" from whoever had possession. It appears that whenever someone takes a loan from a financial institution, the note is "deposited" to the bank's credit. The bank then issues a check to the borrower. The bank's books then balance. When the bank deposits the note to it's credit, it is indebted to the borrower. In other words, the borrower actually originates the credit so he winds up paying back what he originally loaned with interest, but the bank doesn't repay the "credit" the borrower issued. Kind of mind boggling, isn't it? What's even worse is that the financial institution is literally engaged in what might be described as a money laundering scheme on a large scale. Financial institutions are chartered as associations, not corporations. Prior to lending anything, they must become Federal Tax and Loan Depositaries then mixed-ownership corporations. In the latter capacity the function as Federal Home Loan Banks, Farm Credit Banks, Intermediate Credit Banks, etc. All credit they issue in any of those capacities is hypothecated on credit of the United States. They may originate and service loans, but the United States is always principal of interest. In the event of default, the General Accounting Office, HUD, or some other government agency must verify the debt then the Attorney General must initiate foreclosure in courts of the United States. The financial institution doesn't have a private right of action except in the event of fraud. Whatever security interest there is is rarely if ever the property -- whatever is purchased with the loan -- it is motgage insurance. Enter the Uniform Commercial Code. It is commonly used as the vehicle to accommodate the fraud. However, when government chartered financial institutions utilize UCC remedies, they exceed charter authority. They and courts that accommodate them operate in "outlaw" capacity. I also have a December 1994 letter from Marian Opala, a justice on the Oklahoma Supreme Court. When I asked him about the character of first-level state courts, in his response letter he described them as "nonconstitutional statutory courts." Luis Ewing has occasionally used an interesting approach. He developed a contract he presents to judges. His approach is something to the effect, "If you will sign this and suspend the Constitution of the United States long enough for me to pay this judgment with something other than gold and silver coin . . ." It seems that not many judges want to commit his signature to something like that. It's one thing to be a crook in a black robe, but not many judges want to sign what amounts to a treason confession. John Jennings and others in Florida are entering judicial oaths into evidence and for all practical purposes contracting judges to their constitutional oaths. They're having amazing success in some areas. They've also learned how to use rules of evidence to force "judicial notice" of constitutions and legitimate law. Richard Cornforth and several others are beating them with their own rules. Although people are taking several courses, it appears that we're destined to meet at the gates of Modern Babylon. It will be interesting to see who is willing to guard the gate. Dan Meador