My new draft letter to the President of the Greek Supreme Court suggests a more ambitious target, namely, that the court should rule all national as well as personal debts in Greece should be cancelled on the basis that all bank debts are based on the fractional reserve banking system. That this is fraudulent is a fact that can be established by any court using due process. Fraud, in turn, vitiates all contracts.
However, cancelling all debts inside of Greece to Greek banks is the more realistic goal if the Supreme Court gets enough political backing.
Open Letter to the President of the Supreme Court of Greece
Concerning legal ways to
· cancel all personal debts in Greece
· stop all foreclosures
· cancel all national debts of Greece
· claim compensation from banks and other organizations responsible for the financial crisis and bailout
by ascertaining the facts of how the fractional reserve banking system works, specifically, by establishing the fact that is a fraud
as part of due process, and so enabling, after the correct application of the law, to determine that fraud vitiates all contracts for personal and national bank debt
Dear Vasiliki Thanou,
I am writing to you to give you information on a simple and legal way that the Areios Pagos can cancel all personal debt in Greece, stop all foreclosures, restitute property and also claim compensation from banks and actors responsible for the bailout. This method can also be applied to cancelling all national debts.
By issuing a single ruling, the Supreme Court could free up money for consumption, stimulate the Greek economy and stabilize society.
I would like to draw your attention to the fact that the Athenian leader and member of the Areios Pagos, Solon in 599 BC cancelled debts, restituted lands seized by creditors, and flooded the money supply with state-issued “debt-free” coinage as the Telegraph reported (1)
Knowledge of how Athenian oligarchs had obtained the power to issue money and what impact this had provided the starting point for Solon’s reforms 2,600 years ago. And knowledge of how the private bankers today have obtained the monopoly to issue money and what impact this has also provides the only valid starting point for all legal action involving issues relating to banks and debts in Greece today.
As you know due process considerations requires courts to investigate and establish accurate and factual information about our banking system, called the fractional reserve banking system. Only if the correct facts have been determined can the laws be applied correctly. A factual examination of the fractional reserve banking system reveals, however, that it is based on fraud. Fraud vitiates all contracts.
In this letter, I will
· explain how fractional reserve banking works
· explain how determining that fractional reserve banking is fraudulent is factually correct
· explain how this fraud nullifies all contracts, including all contracts for bank loans on a personal and national level
· explain a legal precedent that would allow the Supreme Court of Greece to rule that all personal loans obtained by all Greek people from banks, specifically mortgages, to be cancelled
· explain the basis for a criminal conviction of Marfin banker Andreas Vgenopoulos and Vatopedi monks for their role in an engineered financial crisis
· explain the basis for a criminal conviction for Elstat statistician Andreas Georgiou and associates
· explain how the private system of creation of money through fractional reserve banking is not constitutional or lawful in the eurozone
The benefits of this cancellation of personal debts will be felt by all Greeks, rich and poor alike, by those who have large mortgages as well as by those who have no mortgages. This is because the cancellation of debts will free up money for consumption. More consumption will boost jobs and tax revenue. More tax revenue will mean more money for pensions, school, hospitals and a social security network.
The benefits of this cancellation of all national debts will also be felt by all Greeks, rich and poor alike. This is because the cancellation of debts will free up money for consumption. More consumption will boost jobs and tax revenue. More tax revenue will mean more money for pensions, schools etc.
However, the cancellation of all national debts may be much more politically difficult to achieve with foreigner partners in fact than the cancellation of all personal debts to Greek banks, at least, at this point in time.
The billions in compensation which the Greek government could get from the banks and organizations that pushed Greece into a debt death cycle could be significant.
I appeal to all political parties to support the Areios Pagos in its investigation bearing in mind the severity of the crisis in Greece , which could eventually even lead to civil war, especially if outside actors become involved.
The control of banks over the mainstream media means that information about the fractional reserve banking system, however, largely appears on blogs like my own, a wordpress birdflu666 blog.
1. The fractional reserve banking system: determining whether it is a fraud is vital for legal issues
a) Banks create money out of thin air or as a book keeping entry
Vienna Economics Professor Franz Hoermann explained how banks create money out of thin air.
b) Banks deceive their customers about the fact that they are receiving not real money but ledger book created credit.
Banks do not give any real money but they simulate the power of giving real money and impose on customers the belief that the banks are giving real money and something of value as a loan to buy, for example, a house, through false statements and documents, fulfilling the criteria for fraud
c) Fraud vitiates every transaction and all contracts.
It is a legal principle that if one party has lied or committed a deliberate misrepresentation, their whole case or contract is no longer defensible in a court of law. Customers are actively deceived and therefore, they have not waived their right to complain or take legal action when they make use of the ledger book created credit and payment on the mote
d) The eurozone private fractional reserve banking system is neither lawful nor constitutional.
The central bank supplies liquidity only to private banks giving them a monopoly on the creation of money but this privatization of our money supply is nowhere anchored in treaties or articles in the EU. It has been done by stealth and is constitutes fraud.
e) 97% of all our money is created as a book keeping entry
f) The role of fair value accounting
2. The Credit River decision as a basis for stopping all foreclosures and cancelling all personal loans in Greece today.
The scheme for cancelling all personal loans to banks involves reviving the judgment issued in the case of the First National Bank of Montgomery v. Jerome Daly by Judge Martin Vincent Mahoney in 1968.
Please find the transcript of the Credit River decision attached.
Jerome Daly stopped the foreclosure of his house by using the factually true argument that the banks never gave him anything of value, any real money, in the first place. They offered a consideration that was illusory or fraudulent.
As part of due process, Judge Mahoney summoned the local bank manager, Lawrence Morgan, who confirmed to the court that his bank created money of thin air as a book keeping entry and admitted that his bank was only able to keep up the appearance of having money to customers because it obtained liquidity from the central bank or local branch of federal reserve to conduct their day to day over the counter and cash business.
“Mr. Morgan admitted that all of the money or credit which was used as a consideration was created upon their books, that this was standard banking practice exercised by their bank in combination with the Federal Reserve Bank of Minneapolis, another private Bank, further that he knew of no United States Statute or Law that gave the Plaintiff the authority to do this.”
Having established the facts, Judge Mahoney ruled that the bank did not fulfill the consideration necessary to make the mortgage contract valid, did not give anything of value in exchange for something of value, did not fulfill their side of the bargain, and so had no right to claim Daly’s house.
“He [Morgan] freely admitted that his Bank created all of the money or credit upon its books with which it acquired the Note and Mortgage of May 8, 1964“.
Daly’s argument is a valid today as it was in 1968 in any court where due process is applied and the bank manager is called as a witness and gives truthful statements. If he does not, he is guilty of perjury.
If the concept of consideration is not required in the Greek law system to make a contract valid, then the concept of fraud can be applied to nullify all contracts.
In addition, there is nothing in any EU treaties which allows private banks to create money out of thin air and obtain liquidity from the central bank as long as they fulfill the minimum capital reserve requirements.
As the European Central Bank admitted to me in an email, there is only one technical rule directing all liquidity to private banks and the wording of this rule is designed in such as to obscure understanding.
In 1969, an appeals court reversed the judgment saying Mahoney had overstepped his power in making such a ruling, underlining that there are no legal arguments to be used against the judgment. It comes down to a question of who has the power to impose a ruling in spite of legal arguments.
Also, a smear campaign was started against the judge as well as Jerome Daly. But in 2016, the information has been revived on the internet and is being used, also in Ireland, to stop foreclosures.
To sum up
a) Due process requires an examination of the fractional reserve banking system and questioning of bank managers etc
b) Bank managers must admit that mortgages are created as a book keeping entry and that the bank did not give anything of value for the mortgage or commit perjury
c) The bank manager must admit that it does not tell the customer that the money it lends is illusory, i.e. admit fraud
d) Fraud vitiates all contracts
e) The private fractional reserve banking system in the eurozone is neither lawful nor constitutional
Course of action for the Areios Pagos
I invite the Areios Pagos to investigate and establish the true facts concerning the fractional reserve banking system as part of due process by
· evaluating the factual evidence of economics experts like Frany Hoermann, Martin Wolf and Ambrose Evans-Pritchard
· questioning bank managers as well as national and ECB central bank governors about how money is created and the role of liquidity
· determining that all the loans they offer are fraudulent
· determining that banks that offer only illusory money cannot claim something of real value (a house, payments of interest made with real money produced in the real economy) in return
· questioning EU officials about whether the system of private creation of money in the eurozone is lawful and constitutional
Having established the facts, I invite the Areios Pagos to consider issuing rulings that declare
· all personal debts to banks to be cancelled on the basis that fraud vitiates all contracts
· all foreclosures to be stopped
· all properties and businesses that have been seized by creditors to be restituted
· all national debts to be cancelled on the basis that fraud vitiates all contracts
· all properties and businesses that have been sold to pay the debts to be restituted
· the system of private creation of money in the eurozone to be illegal and unconstitutional