Highway Robbery

"We hang the petty thieves and appoint the great ones to public office."

Aesop

Do you remember when you were a kid and you saw something that someone else had that you really wanted?  

What did you do?  Were you the kind of kid who went to you friend and offered to trade him some worthless junk for that special toy?  Did you offer a barbie, or baseball cards?  What did you do when he / she said no?

Did you cry to your parents for that toy?  Did you decide to get a job mowing lawns / babysitting and decide to save up for it?  Or did you just plan to steal it for yourself, and if you did steal it... how did you feel int the end?

I bet you found something bigger ... better, something more shiny to covet and want. 

You see no matter how much we truly want something ... we will always want something more... it's our evil human nature, but bigger than that... it is our history... we always want what others have for ourselves.

History again is beginning to repeat itself. 

Aside from gun debate and the bullets that are being purchased by our own government... the powers that be in Illinois are attempting to set another precedent; 

To track where the Gold and Silver are going.

You see, Sen. Kirk W. Dillard of Illinois has introduced a bill that, "Creates the Precious Metal Purchasing Act. It provides that a person who is in the business of purchasing precious metal shall obtain a proof of ownership, create a record of the sale, and verify the identity of the seller. It Provides that a person who is in the business of purchasing precious metal shall not pay for the precious metal in cash and shall >record the method of payment. It requires the purchaser to keep a record of the sale for one year or, if the purchase amount is over $500, for 5 years. It provides that a person who violates the Act is guilty of a petty offense and subject to a fine not exceeding $500. Provides that the Attorney General may inspect records, investigate an alleged violation, and take action to collect civil penalties.

Now.. I get it.  He is trying to curb Gold and Silver dealers of buying illegally attained goods.  But, just like in Washington, Illinois gold and silver buyers have to get ID and other identifying information, as well as photograph the gold they purchased and record any serial numbers that are associated with that purchase.  

But this isn't about the Business buying the gold from a person walking in off of the street.  Its actually about people like you and I going in and investing in Gold or Silver as real money.

But like always... there is more here than meets-the-eye.  Why should a Gold dealer have to retain records over 5 years on a simple $500.00 purchase? 

I'll tell you why.

Gold is not a regulated industry like our current fiat currency.  Gold can be bought and sold at any time and the reporting requirements are very limited unlike cash where if you do over a 10,000.00 transaction in banking you are required to report it. 

Gold represents real money.  It is a hard asset and can be traded for services or goods without having to pay taxes on it.  It is what our fore-fathers said we should use as our currency.  Sure the IRS is working to set new regulations on how Gold can be taxed, but the gold isn't theirs... the tax income that they received was already paid through payroll taxes.

Our Government is the kid who wants what you have.  Gold is a natural resource, you work for what you own, they tax your paycheck ... and should you choose to invest it in real money... they want to tax and regulate you even more. 

History is repeating itself... again.

In 1933 President Franklin D Roosevelt issued Presidential Proclamation # 2039 that forbade the "Hoarding of Gold and Silver" under penalty of $10,000.00 or between 5 and 10 years in prison. The proclamation itself wasn't the problem at the time.  It was the executive order that went along with it.  When Roosevelt issued Executive order # 6102, this is where the selfish child came in and tried to steal what was not his. 

Executive Order 6102 required all persons to deliver on or before May 1, 1933, all but a small amount of gold coin, gold bullion, and gold certificates owned by them to the Federal Reserve, in exchange for $20.67 per troy ounce. Under the Trading With the Enemy Act of 1917, as amended by the recently passed Emergency Banking Act of March 9, 1933, violation of the order was punishable by fine up to $10,000 or up to ten years in prison, or both.

What happened then was that the price of gold from the Treasury for international transactions was thereafter raised to $35 an ounce resulting in an immediate loss for everyone who had been forced to surrender their gold. The resulting profit that the government realized funded the Exchange Stabilization Fund established by the Gold Reserve Act in 1934.

So in essence... a private bank, who couldn't back their money decided that they needed something to finally back their currency for a short time to make some additional profit decided to leverage the Executive power of the Government to take the "real money" from the people.

Somehow this is deeply ironic... banks normally get robbed... not rob the people. 

Now...I am not saying don't render unto Cesar what is Caesars, but the taxes are already collected, and this is just a bigger example of how we continue to not learn from our own history.  The Government and the Fed will continue to look for other ways to cover their bills they can no longer afford.

Like most Americans, I watched what happened with the "fiscal cliff" and was severely disappointed with the outcome of what our "leaders" did to fix the problem.  The can they kicked down the road still is about to cause us severe financial pain the likes of which we have never seen in our history.

I like the idea of using a real money for our currency... its in the Constitution!  You should want that too, but not at the illegal expense of having something stolen from us. If the Government is doing what I think their going to try and do .... well that just shameful. 

If they can't find a way to correctly fund the currency... they may try what Roosevelt did, and just take it.  The Fed is a corrupt instituion and is soley responsible for the debt we now have a nation.

Folks ... they are trying it with our guns... now they are going to go after our real money... you need to begin to take a stand and let your voices be heard... don't stand idly by while our rights to protection and security are taken from us!

If not ... we are inviting The Event... to come in and shape things in a way that you, your family and your friends will never recover from. 

Be proactive... keep your eyes open.. and your head up!

Untill next time!