May 23, 1997 Dear Researchers & Friends: Enclosed you will find a computer disk and two important documents: A cover letter from David K. Smith, the State-Federal Coordinator for the Oklahoma Tax Commission who works with the Oklahoma District, Internal Revenue Service, and a copy of the Agreement on Coordination of Tax Administration. Following leads from several directions -- several people concluded that the Feds are operating under alleged state grants of authority -- I concluded that there had to be a contract between the State and the Feds for the tax business. Gail and I went to the Oklahoma State Capitol early the morning of Friday, May 16, and before 9 a.m., had the thing located. We forced surrender of it under the Oklahoma Administrative Procedures Act. Each State has an administrative procedures act you can use the same way. Before going further, the following is an index of what is on the disk with short explanations of each file. The files are in Word for Windows 7, the newest version (IBM format). I apologize for not converting to a more accessible format, but time presses and the information must get out now! Also, we're doing this on our own, and our own is pretty financially thin -- send help if you can!!! Additionally, Tim McCrory of Blackwell, Oklahoma, my research partner, is posting material on a home page now: http://idt.net/~tmccrory/ You can send E-mail to Tim's locations: tim_mccrory@bigfoot.com or tmccrory@mail.idt.net Published works (hard copy) will be available through Mail Boxes Etc. here in Ponca City -- 405/762-6225; FAX 405/762-1119. Disk Contents: 1. Amd. 372c Comp. This is the form I used to file judicial complaints with the Chief Executive officer at the Tenth Circuit Court of Appeals. Each Circuit has a form for complaints. The form and instructions may be secured from the circuit executive; the form itself is probably located in the "State and Federal" code of procedure for your state. It's a reasonably simple 3-page form, the supplemental complaint usually needs to be under 5 pages. 2. Atty.Gen.5.19 A preliminary complaint to the Oklahoma Attorney General. We're proceeding under the Oklahoma Corrupt Organization Act against IRS & United States District Courts. 3. Cir.Exec.5.19 Supplemental complaint filed with 10th Cir. Executive once we found the O.T.C.-C.I.R. agreement accommodating IRS. Integrate this with original complaints. 4. Civ.Brief This is the suit filed in State district court against the Oklahoma Tax Commission to overturn the agreement between the Oklahoma Tax Commission and the Commissioner of Internal Revenue. 5. Complaint Affidavit This is my personal affidavit of complaint. It can be used as a model. 6. D.A. Complaint Criminal complaint cover letter sent to Tulsa County district attorney. 7. H.C.Supplement The supplement to the original Application for Writ of Habeas Corpus sent to the 10th Circuit Court of Appeals. 8. Index of Auth. This is a usable model for pleading, was used in the 10th Cir. Application for Habeas Corpus. 9. Mod. S.D.Tec.5.20 The model Application for Subpoena Duces Tecum. This instrument goes for all the necessary, but for the most part, missing documentation which would establish U.S. jurisdiction, basis of authority, etc. We're using it in all forums, with criminal complaints, judicial complaints, with both offensive and defensive pleadings. 10. Mod.Tx.Com. A model freedom of information request from the State tax commission. 11. MODEL.FOIA A model Freedom of Information Act Request for IRS. 12. Okla. Leg. 5.19 Cover letter to Oklahoma Legislature going with a copy of suit against the Oklahoma Tax Commission. 13. S.C.H.C. Application for Habeas Corpus to the Tenth Circuit Court of Appeals. 14. Stats.Regs. Compiled statutes & regulations pertaining to "qualified state tax". To begin, you are welcome to share the disk information, copies of the OTC-C.I.R. agreement, this letter, et al., with whomever you please -- spread the information as far and as rapidly as you can. We now have the "weapons" to engage the struggle to restore constitutional rule at a whole new level, but those who answer the call should know what they're doing. There must be a concerted push through each state government and simultaneously through Congress. I'm going to start with something of an outline of what we're dealing with: The macabre scheme that has centralized power is called Cooperative Federalism. It springs from the same root as Communism and European Socialism. One of the contributing schools of thought was called "Fabian Communism". "Isms" aside, it boils down to tyranny -- it's simply a tool for global conquest by an entrenched wealth-political noblesse oblige. However, the scheme is a house of cards -- when you understand implications, the enclosed "Agreement on Coordination of Tax Administration" will bring the house down as it defaults both State and Federal tax systems, and the ability to enforce them, simultaneously. The Internal Revenue Service is an agency of the Department of the Treasury, Puerto Rico. I won't go into details here as the information has been well enough published, and is covered sufficiently in disk files, that I don't need to go over the tax history or origins of IRS. The memorandum I completed last May has now published in legal newspapers in about 8 states, in Veritas Magazine, Media Bypass, & Anti-Shyster. In the continental United States, the Internal Revenue Code vests authority in the Treasury Department, not the United States Department of the Treasury, the Department of the Treasury, Puerto Rico, IRS, BATF, or any other agency. IRS and other "components" of the "Department of the Treasury" operate exclusively under Executive Order #10289 & T.D.O. #150-42 (1956), as amended by T.D.O. #150-01 (1986), with application only in United States off-shore territorial and maritime jurisdiction. "Treasury Department" (Secretary of the Treasury) authority for execution of agreements for collection of state qualified tax (5 U.S.C. § 5517) is under E.O. # 11833, published following 5 U.S.C. § 5520. Refer to 5 U.S.C. § 5512 to find that the General Accounting Office now has responsibility for "collecting" these taxes when they are delinquent -- see historical notes to find that the authority was formerly vested in "officers of the Treasury", and the "Attorney General" must prosecute, formerly, "Solicitor of the Treasury." The Office of Personnel Management is also vested with administrative authority by statute. Contracts for cooperative administration of "state qualified tax" apply only on the Federal side -- agreements executed by the Secretary of the Treasury enable the various Federal Government agencies to collect tax from officers and employees of the United States, and collect other qualified state, county and municipal tax within what would otherwise be Federal jurisdiction. There is no authority for a cross-over. Which is to say, if anyone other than a Federal employee or someone with business on a military installation or in a national park, forest, etc., was subject to "state qualified tax", Federal authority would not apply -- the Feds are limited to United States jurisdiction, as defined at 18 U.S.C. § 7(3). The whole business comes from the Buck Act (4 U.S.C. §§ 105- 110). Authority at 5 U.S.C. §§ 5512, 5516, 5517, 5520 and related statutes merely implement the Buck Act grant of authority for "States" to tax Federal officers and agents, impose various excise taxes, etc., in United States jurisdiction. As you read files on the disk, you will find the infinite number of flaws and condemnations of exercise of Federal authority in the Union of several States. The Tenth Amendment, known as the Separation of Powers Doctrine, provides the key blockage: The United States cannot exercise power which isn't specifically delegated by the Constitution, and if you will read New York v. United States, et al. (1992), you will find that State officials cannot accommodate exercise of a Federal power not delegated by the Constitution without first securing a constitutional amendment. The Cooperative Federalism "house of cards" puts both State and Federal tax systems in jeopardy because the Federal tax system simply does not apply to the Union of several States, and State tax systems are premised on the Buck Act grant of Federal taxing authority. Legislatures of the several States long ago abandoned independent State taxing authority. Read Section 3.1 of the enclosed Agreement between the OTC & C.I.R. to see the list of State taxes at risk in Oklahoma. As we move into court to default the OTC-C.I.R. Agreement, we will cut the State jugular -- State government becomes a financial cripple as soon as the Agreement is overturned. And in order to put the State back on its feet, the State Legislature will be forced to kick the Feds out! I filed the action to over-turn the OTC-C.I.R. Agreement in the Oklahoma County district court on Wednesday, May 21, Case No. #CJ-97-3501-63. In other words, the process has begun. In the meantime, people in Oklahoma City are reproducing the complaint and a six-page cover letter to the Oklahoma Legislature and will distribute copies to the entire legislature. Most everyone knows that I was charged for, and convicted of, "communicating with a grand jury in writing" (I attempted to file criminal complaints against the judge who presided at my so- called trial, the assistant U.S. attorney who prosecuted, the IRS inspector, etc., who testified), and "obstruction of justice" (I helped Kenney & Colleen Moore construct a "refusal for fraud" pleading). Given my docile disposition ... we sued the whole batch out of the district court in Tulsa County prior to going to trial, and since, aside from motions filed into the criminal case, (1) filed an application for writ of habeas corpus with the Tenth Circuit, (2) filed judicial complaints under 28 U.S.C. § 372(c) with the 10th Circuit administrator, (3) filed individual criminal complaints with the D.A. for Tulsa County, and (4) filed a complaint with the Oklahoma attorney general against IRS and the folks involved with my case under the Oklahoma Corrupt Organization Act. Before the weekend is over, we will file complaints through Janet Reno, U.S. Attorney General, under the U.S. Anti-Terrorist Act, demanding a special prosecutor -- several people in the Department of Justice will ultimately be named. The "Stats.Regs." file on the disk accounts for nearly all statutes and regulations pertaining to state qualified tax, plus a few more items thrown in for good measure -- it's about 104 printed pages in length. With the outline above, they should make sense. The material is downloaded from current West Law USCA & CFR so it can't be sold -- circulate it gratis and give appropriate credit. The Application for Writ of Habeas Corpus & the Supplemental H.C. pleading combined will probably give as good a view of "Cooperative Federalism" as has been compiled in one place. Again, I don't take credit for all the research. As was the case with the public notice memorandum on IRS & proper application of I.R.C. taxing authority, numerous people have contributed to research, I simply have a gift for stealing from everybody to make the car run. It's a "Short Brush Country" survival tactic. As a friend says, all he had growing up was a Pet Milk can and a tumble-weed so he learned to improvise. Out where I spent a good deal of my childhood, from the back door, the "sand pile" stretched about 40 miles north and 100 west. If you like sage, blackjack and rattlesnakes, it was home, and if you found something laying around, someone either lost it or threw it away. Paul Mitchell, Tim Richardson, Dave Fuller, Pete Stern, and Tim McCrory have made significant recent contributions. Geri McClain of Las Vegas, Nevada, a Pete Stern (North Carolina) link, has probably developed the most research on qualified state tax (702/648-7825) -- she hit the hot button that sent me on the search for the Agreement contained with this letter. As you secure documentation, we would like to have copies to compile for use in national forum. There needs to be at least a second location, too. Some time ago, I proposed a "national research conference" suggesting Wichita as the location, then Barry Briner of St. Louis came back with an offer to host. As I've visited with others, there seems to be strong preference for St. Louis as it is more accessible from the West Coast and Mountain States by air and more accessible from the Midwest, East and South by car. At any rate, watch Internet locations for announcements -- recent finds might necessitate broadening the scope. Possibly I should conclude by discussing motive and strategy: When we first secured a copy of the OTC-C.I.R. Agreement, I considered attempting to do something through the Oklahoma Legislature in a reasonable fashion that would avoid "sudden" shock to the system. A nice administrative letter to OTC, a cover letter to the Legislature ... let them work through the problem without panic. However, the Criminal Element of Government, as Dr. Scott calls them, is in the midst of an all-out attack on people devoted to restoring constitutional government -- they had to "manufacture" crimes to charge me with, and they're manufacturing crimes to charge people all over the country with. But the broader problem is this: Cooperative Federalism, like Communism and European Socialism, is a mathematically impossible scheme. We have the appearance of steaming ahead today, -- rest assured that rural poverty and the urban ghetto growing like cancer in every metropolitan center say otherwise -- but we're on course for an epochal economic crash that will make the Crash of 1929 seem as comparative small potatoes. Consider that the nation was 35% rural in 1929, with millions of independently owned farms and food support systems surrounding every metropolitan center. Today the nation is about 90% urban, with more than that living within the 40-mile commuter range of metropolitan centers, and the food production system has been specialized into regional rather than local systems. Probably no more than 20% of the population could feed themselves if given a year's written notice -- we're in deep, deep trouble, standing at the brink of food and financial bankruptcy. On March 9, 1933, Congress sold us out -- the good folks took the monetary system off the gold standard, based both the FRN & private credit on obligations of the United States, and put us in a situation where the banks could steal from one end while government, in order to grow, keep pace and create dependence, had to steal increasing amounts from the other end by way of brutal taxation or forced inflation. The latter devalues all existing wealth other than that which generates compounding interest, or if you to be "licensed" to manufacture money with ledger-entry credit, you can steal from America's working and entrepreneurial classes. In Oklahoma, government has been the only consistent growth industry since 1982, which is a malady for many interior natural resource states. And as Byran Dale appropriately points out, a government employee has precisely the same economic value as a welfare recipient -- both are net negatives. Government creates nothing -- every cent government spends must be taken from the nation's producers. It doesn't make any difference which political party is in power -- Supply-Side Economic Theory, a/k/a Trickle-Down Theory, is as much hogwash as Keynesian Socialism. The 1933 Congressional sellout came on the heels of four years of hard depression, which cost 40% of the nation's industrial jobs and gutted rural natural resource production, and in the midst of a fabricated bank run that was causing panic. In other words, the "other side" set the deal up. If you will read the House record for March 9, 1933, you will hear Rep. McFadden speaking to the matter, and read Hoover presidential papers written in retrospect, and you know he knew ... the "New Deal" crowd staged the bank collapse, coordinated through New York and Chicago Federal Reserve Banks. Hoover acknowledged that the New York Fed gave him the emergency proclamations Roosevelt signed the last night he was president, but he refused to declare a national emergency premised on economic causes -- the Constitution doesn't authorize such a thing. In Roosevelt papers, he admits to being mystified about how to get a currency in place so he evidently didn't see H.R. 1491 prior to it being introduced to the House and Senate. It isn't hard to guess who came up with the notion of substituting Federal Reserve bank Notes backed by "paper promises" for the predecessor Federal Reserve Note backed by 40% gold, and designated who would serve as fiscal agent for the United States. In short, there's no escape. The mathematically impossible scheme, which has caused both public and private debt to soar since about 1982 (national debt skyrocket duplicated natural resource debt soaring 1975-82, which is precisely the sequence during the two decades prior to the 1929 collapse), is destined for meltdown. The question isn't if, but when. My contention is that it is better to move ahead with correcting fraud perpetrated through the taxing system, which might cause something of a glitch, and force state governments to kick the Feds out -- to restore the balance of power American founders built into our system of constitutional government. In other words, if we're faced with an inevitable crisis, it's easier to effect damage control before rather than after the fact. In Oklahoma, the state legislature met in special session from May into July 1933 in order to reorganize state government to accommodate New Deal initiatives. Most other state legislatures met in special session, or as was the case in North Dakota, operated under gubernatorial edict until the next regular session. One of the more amusing requests for legislation was for there to be a ban against creditors foreclosing and otherwise disturbing state legislators during the summer 1933 special session. Oklahoma was in desperate shape, and members of the state legislature were obviously ready to do, or sell, anything to escape personal disaster. I was amused with Paul Beck when we were going through special session legislation -- there were certain "insiders" in most state legislatures responsible for accommodating legislation. Paul saw the same guy's name over and over as a bill sponsor, which led to the comment, "We need to dig this guy up so we can hang him!" One of the things I suggested in the letter to the Oklahoma Legislature is that they establish a Committee of Correspondence on the order of what Thomas Jefferson suggested in the Kentucky Resolutions, and to do it separate from units sponsored by The Counsel of State Governments. As a "bonus," I'm including the list of "Official Names of States and Jurisdictions, Capitals, Zip Codes and Central Switchboards" from the 1990-91 edition of The Book of the States. You will notice that the last nine on the list aren't Union states, they're Federal states subject to Congress' Article IV § 3.2 legislative jurisdiction. The Union states, and the sovereign American people, are subject only to Congress' constitutionally delegated authority; in United States territories and insular possessions, Congress has plenary power, operating in the capacity of state and national government. Via The Counsel of State Governments, with headquarters in Lexington, Kentucky, government officials of the Union states operate on the presumption that the several States, as the District of Columbia, American Samoa, etc., are subject to United States municipal authority -- unrestricted legislative and police powers. This de facto arrangement was formalized in 1935 in Denver when representatives of the Federal government and various state, county and city governments, signed an "intergovernmental" agreement. The Book of the States has been published every second year since, and the "Cooperative Federalism" scheme is coordinated through The Council of State Governments and corresponding counsels, associations, etc., for governors, legislators, attorneys general, city and county governments, school boards, et al. As you read the various files on the computer disk, you should get a feel for how the de facto operation works. Federal statutes and regulations comply with constitutional limitations -- they're written exclusively for application in the "geographical United States" under Congress' Article IV § 3.2 legislative jurisdiction. But it's like fishing. The Feds dangle bait, the fish bites -- when officers of the state, a county, or a city sign on, they are treated as though they are instrumentalities of the United States whether they are or not. The bait is money. More precisely, "public money", premised on "obligations of the United States." Obligations of the United States are predicated on the nation's private as well as public assets. Ralph Winterrowd of Anchorage has done considerable research on this, as have others -- Pete Stern, people in Kansas, etc. Your body, if not your soul, is literally traded as collateral -- the "birth certificate" is converted to a commercial instrument stored at the Dept. of Commerce in the state where you were born. Banks retain an interest in whatever automobile you purchase on credit by retaining original factory papers -- the financial institution keeps a retained interest in real property you mortgage. It's the grandest system of frauds imaginable. If you research state session laws for 1933 special sessions, you will probably find a short bill in which the state legislature proclaimed that virtually all enterprise is commercial in nature. And due to then-new technology, including transportation, communications, etc., virtually all human enterprise, down to and including having and raising children, has implications for "interstate commerce". The Social Welfare System, or more appropriately, Socialism Welfare System, is premised on commerce! Now this will make sense: The Director of Transportation is leading authority over all Federal grant-making. If he, or she, determines a state, county, or city isn't complying with Federal regulations, he has authority to cut off grant money, thus undermining services of whatever nature. By consulting the Parallel Table of Authorities and Rules, beginning on page 721 of the current Index volume to the Code of Federal Regulations, you can figure out what in the United States Code does or doesn't apply to the Union of several States. The long and short of it -- damned little Federal legislation applies to the several States. Congress has moved almost exclusively under Article IV § 3.2 authority, and relies on officers of States, counties, cities, school districts, even churches, to "voluntarily" cross the line. "It isn't involuntary servitude, you volunteered! Now do as you're told and shut up or we'll cut the credit off!" Consult 31 CFR, Parts 202-215 to see the role of federally chartered financial institutions as "Federal Tax and Loan Depositaries" -- this is the arms-length "fiduciary" role of the Federal Reserve carried out via the fraudulent arrangement. Federally chartered financial institutions act somewhat like the exchange membrane through which a pregnant woman feeds the unborn baby in her womb -- although food and oxygen are delivered to the baby, and waste disposed of, by way of the two blood systems, the blood of mother and baby actually never mix. Cooperative Federalism works something on that order, with federally chartered financial institutions, and the Federal Reserve, postured to profit from both ends. The scheme is set up so banks have to be equipped with at least three arms to keep up with the take. I've constructed a "freedom of information" request for the state tax commission. You'll have to look up your own state administrative procedures act for authority -- ours is in Title 78 of the Oklahoma Statutes. All states have one. Additionally, I've put a freedom of information request in to the Oklahoma Attorney General for copies of all administratively executed intergovernmental enforcement agreements, too. Follow the tax commission model to duplicate an A.G. request. Read II Timothy 3: 8 & 9: "Now as Jannes and Jambres withstood Moses, so do these also resist the truth: men of corrupt minds, reprobate concerning the faith. But they shall proceed no further: for their folly shall be manifest unto all men, as theirs also was." God gave me this vision about two years ago. I had no idea how it would come to pass. In conclusion, I can say nothing more, or less, than God's speed. If God is in it, we cannot fail. America will once again be blessed. We will generate new wealth through natural resource industries and home-based manufacturing ... we will have the opportunity to recover American solvency and sovereignty. God bless, /s/ Dan Meador Dan Meador # # #
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