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CMRE - 2013
There is no remembrance
of former things
Solomon
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Fiat Currency is the
Constitutional Elephant
in the Room
Tom Selgas,
United States Bill of Rights Foundation
http://www.usbor.org
http://www.npn.net
tdselgas@usbor.org
1.
There’s a Constitutional
Elephant in the Room
2.
That Elephant is the
Federal Reserve Note
3.
The use of FRNs has
created environmental
stresses which lead to:
a.
b.
c.
d.
e.
Government Tyranny
Over-criminalization
Increased levels of crime
Child abuse
Divorce
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Problems created by
the “Continental” fiat
currency
George Washington correspondence
to James Madison 1786
“Blood running in the streets. Mobs
of rioters and demonstrators
threatening banks and legislators.
Looting of shop and home. Credit
ruined. Strikes and unemployment.
Trade and distribution paralyzed.
Shortages of food. Bankruptcies
everywhere. Court dockets
overloaded. Kidnappings for heavy
ransom. Sexual perversion,
drunkenness, lawlessness rampant.
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
"The laws of a country ought to be the
standard of equity and calculated to
impress on the minds of the people the
moral as well as the legal obligations of
political justice. But tender laws, of
any kind, operate to destroy morality,
and to dissolve by the pretense of law
what ought to be the principle of law
to support, reciprocal justice between
man and man; and the punishment of a
member who should move for such a
law ought to be DEATH.”
Tender Laws Operate
to Destroy and Dissolve
Society
Thomas Pain – On Paper Money 1786

If anything had or could have a value
equal to gold and silver, it would
require no tender law; and if it had not
that value it ought not to have such a
law; and, therefore, all tender laws are
tyrannical and unjust and calculated
to support fraud and oppression.
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The Constitution
Prohibits Fiat-Currency
Benjamin Franklin, Publisher and
Signer of the Constitution of the
United States The Pennsylvania
Gazette, December 16, 1789
Since the federal
constitution has
removed all danger of
our having a paper
tender, our trade
advanced fifty percent.
Our moneyed people
can trust their cash and
have brought their coin
into circulation.
Cycle of Decline
Health
Healthy
Tree
Empty Taxes
Income Tax
Stress
Decline
Death
Stresses
Tree
Decline
Tree
Death
Undesired Effects
Redistribution
of Wealth
Fraud
Inflation
Healthy
Society
Fiat-Currency
Stresses
Social
Dysfunction
Society
Dies
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 An
empty tax is a tax that has
a negative return on
investment for the person
who pays it.
 Not
Fiat-Currency
facilitates Empty Taxes
Sam Bryant – Income Tax Causes
Crimes, 2008
all taxes have a negative
impact on the taxpayer.
 Taxes
that do not return value
to taxpayers’ lives are empty
taxes, which cause social
dysfunction by sapping
resources and undermining
the productivity of worker.
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The Empty Taxes of
Fiat-Currency
Tom Selgas,
United States Bill of Rights Foundation

Income Tax is an empty tax
 Income Tax purposes:
1. Control Inflation
2. Transfer wealth through
interest payments
3. Modify societal behavior
4. Redistribute wealth for votes

Inflation is an empty hidden tax
 Inflation’s purposes:
1. Transfer wealth
2. Create fictitious gains to
generate fraudulent revenue
3. Make people feel good while
they are being defrauded
What is the effect of using fiat-currency?
Stock
= # Egg Cartons = # Lawful Money $
# Legal Tender $
(Brown Eggs)
1962
=
=
=
U.S. Silver Certificate
$1,942.00
4 Shares IBM Stock
1982
~5,424
300 Shares IBM Stock
after splits
No Lawful
Money Available
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Fed. Res. Bank Note
75 Shares IBM Stock
after splits
2007
$1,942.00
~4,266
=
“$4,884”
=
=
~6,571
$2,338.56
Fed. Res. Bank Note
“$30,501.00
”
IBM Stock Splits: 1964-05-18 [5:4], 1966-05-18 [3:2], 1968-04-23 [2:1], May 29, 1973 [5:4], Jun 1, 1979 [4:1], May 28, 1997 [2:1], May 27, 1999 [2:1]
Quiet Theft!
Stock
= # Egg Cartons
= # Lawful Money $
# Legal Tender $
(Brown Eggs)
Buy
1962
=
=
=
U.S. Silver Certificate
IBM Stock
Sell
2007
~5,424
=
$1,942.00
$1,942.00
=
=
Fed. Res. Bank Note
IBM Stock
~6,571
17% Gain in Eggs Cartons
Tax Due ~172 Egg Cartons
After FRN Tax results in a
Physical Egg Carton Tax of
923 Cartons of Eggs
$2,338.56
17% Lawful Money Gain
Tax Due $59.48
“$30,501.00
”
Federal Reserve Note
“94% Gain” of $28,559
Alleged Tax Due (15%)
~FRN$4283.85
FRN Inflation results in a
83% tax rate or $328.45 of the
$396.56 of the purported gain
The purported Federal Reserve Note “Gain” is actually a “quiet theft” in that
it results in an 83% tax rate with the perception of 15% tax rate.
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Gold Commission Rpt.
Public Law 96-389
Dr. Edwin Vieira, Jr. contribution to
the Gold Commission, 1982.
“In addition to the compelling
economic case for the gold
standard, a case buttressed by
both historical and theoretical
arguments, there is a
compelling argument based
upon the Constitution.
The present monetary
arrangements of the United
States are unconstitutional -even anti-constitutional-from top to bottom.”
(vol II, pg. 243)
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What are we to do?
Tom Selgas,
United States Bill of Rights Foundation
http://www.usbor.org
tdselgas@usbor.org

Start using the alternative gold
and silver monetary system
Congress enacted in 1985,
especially for long term
contracts.

Learn how to use enforceable
gold-clause contracts.

Asks your State legislators to
enact laws, pursuant to its duty
under Art. I, Sec. 10 of the
Constitution, to make nothing
but gold and silver a tender in
the payment of debts.