Tag Archive | fiat currency

The Birth of a National Fraud

Dr. Dawinder S. Sidhu, professor of constitutional law and national security at the New Mexico School of Law, wrote an article[1] in which he presented the historical actions of Eldridge Gerry Spaulding, chairman of the House Ways and Means Subcommittee on Banking and Currency, to create the fiat currency known as the greenback.

The advent of the greenback, green paper currency not backed by anything of intrinsic value, like gold or silver, created as a war measure in 1862, was a lawless act because it violated restrictions in the Constitution prohibiting such measures.

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America’s Cyprus

Apr2

While people around the world may be appalled at the actions of the Cyprus government to close their banks and confiscate a portion of certain accounts, many in America claim it “will not happen here.” Perhaps they are correct for at least the immediate future, but far worse was done to Americans in 1933 and it could happen again.

On April 5, 1933, approximately one month after first taking office, Franklin D. Roosevelt commanded, via Executive Order No. 6102, “All persons are hereby required to deliver on or before May 1, 1933, to a Federal reserve bank … all gold coin, gold bullion and gold certificates now owned by them or coming into their ownership on or before April 28, 1933[.]”

By his executive order Roosevelt deprived Americans of their property “without due process of law” under the Fifth Amendment. To add injury to insult, he also ordered up to a $10,000 fine or ten years in prison or both for anyone who willfully violated any provision of his executive order.

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Constitutional Currency

Mar8

Very few Americans understand how the Constitution defines “dollars” or the constitutionally delegated monetary powers and prohibitions to Congress and the States. As a result, Americans take many unlawful monetary policies for granted, because they have known nothing different and have not questioned the national government’s authority to do the things it has done.

Every American should question if the government has the authority to emit a legal-tender paper currency irredeemable in silver or gold coin. If they have the authority to seize the people’s gold like the FDR administration did in 1933. If they are authorized to make the notes of private banks obligations of the United States and legal tender or allow private banks, through an administrative agency exercising unlimited discretion, to draw money from the Treasury without specific appropriations made by law.[1]

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