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I, TOP SECRETBANKER'SMANUALFORBANKERSONLY

This manual is designed [orBank Presidents and Vice presidents only.


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Message to Bankers, Politiciansand Law EnforcementIf any threats are made to Mr. Schauf or laws passed to attempt to SlOpMr. S c h a u f ~ w e have a legal plan. We have a pJanto checkmate the bankers no maner what strategy is used to s top Mr. Schauf. Mr. Schauf hasplaced critical information in the hands of'Olhers that will be released, enmass, if bankers/politicians take certain actions. Mr. Schauf will act in alegal manner-act decisively-swiftly in a way that no banker wiJJ want tohappen. I fMr. Schaufhlls problems he will presume it came frOm bankers and legal action will be taken. Mr. Schauf suggests that the bankersmake certain that Mr. Schauf remains very happy.Bankers may approach Mr. Schauf with a settlement offer. I f Bankers tryand go to a national ill/compuler chip implant , use terrorism to forcetheir hand. make threats against Mr. Schauf or use other methods-Me.Schauf has a plan to legally checkmate these attempts and win against thebankers. Mr. Schauf believes that hewas called byGod to lead the nationOUt of Debt Bondage and Mr. Schauffears God more than Man.Mr. Schauf assures all Americans that every contingency ha" been considered, along with our response. WE WILL NOT FAlL God is with usand no man can s top God.My goal is to inform every American to the truth so they can then vote mein as president so I can correct the banking problemand relum their righl"and freedoms.

Contents

~ ~ i ~ # ~ ~ ~ ~ : !Aboul the Manual - Its Purpose 16W . 17Chapter I - arnmg .Chapter 2 - Court Strategy 22CPA Banking Repan by THOMAS SCHAUF, CPA 34Chapler 3 - Additional Laws & Strategies 48Chapter 4 - What Bankers Fear 51Chapter 5 - Notices 55Chapter 6 - Two Kinds of Money 58Chapter 7 - Credit Cards : : 61Chapter 8 - Credit Card Bookkeepmg Entries 65Chapter 9 - Debt Collectors 67Chapter 10 - Doubling Money 69Chapter II -Changing the System 72Chapter 12 - Ultimate Fearof Bankers 73Chapter 13 - The Threat to the Economy 75Chapter 14 -Title 12 U.S.c., The Banking Law ". 78Chapter 15 - Auditors and A t c o m ~ y s : ..: 80Chapter 16 - lntroduction to Prellmmary JUdiCial Procedures 83Chapter 17 - The Bible and Today's Banking 90~ ~ ~ ~ ~ ~ : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : : " I g ~Suggested CounAdmissions \03STRATEGYOF NOTICES 106

NOTICE OF ADEQUATE ASSURANCE OFDUE PERFORMANCE 110AFFIDAVITofl. Ben Robbed 112AFFIDAViT [Bank] 114AFFlDAY1T(CreditUnion] 116NOTICE and DEMAND 118NOTICE OF ALLEGED LOAN DISPUTE 128NOTICE OF HOLDER IN DUECOURSE STATUS 134NOTICE FOR REQUEST OF CONFIRMATION [IJ 138NOTICE FOR REQUEST OF CONFIRMATION [2J 140NOTICEOF BREACH OF AGREEMENT 142NOTICE and DEMAND FOR FULL DISCLOSURE 145PROOFOF MAILING and CERTIFICATE of SERVICE. 148

Acts, Statutes, Regulations, Terms 150Excerpts from Tom's first book 154........"'"


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DISCLAIMERpeQple reselling the TopSecret Banker'sManual and books oneand two may offer consulting services andlor other products.Please be aware that Tom Schauf has no partners and that any-one you contract with for consultations or other services is acting as an independent agent. Tom Schauf has no control overwhat other people offer you as consultations. commems. advice, information or productS. Tom Schauf is nOlliable for whatthese others may offer or the results thereof.This manual is for educational purposes only and nOt legal advice. Tom Schaufis educating you soyou might vote him in aspresident lO correct the problems.

ForwardIn the forward toTom'ssecond book.TheAmerican Voters Vs,The BankWi System, Tom says, ,'} know God caJled me to gellhe banking mes-sage OlltlOmenation. Ido nOI claim to do this from my powerbut ratherfrom the authority, power and provision of God's anointing in my life."SinceMarch of 1998, I began reading Tom's books and listening to hisaudio tapes, and frequently heard Tom on shonwave radio as I tried toget alternative news aboul whalis really going on in this country. AfterconfirmingTom's infonnation by myown research. and participating inTom's weekly conference calls, it became apparent thai it was time forme to take an active pan in assistingTom in his calling.in a receOl phone call with Tom. he wondered why he had been missingsome imponant financial exchanges in his most recent venture. He realir.ed thai God wanled this Manual completed fLrst! It appears to me !.hatGod is ready !iQ..W.lO begin lhe fulfillment of the Vision described inHabakkuk 2:

Then the Lord answered me and said, "Record the vision.and inscribe it on tablets , that the onr who reads it mal'DUJ, For i t is yet for the appointed l ime; it hastens towardthe goal, and it will not fail. Though it tar ries , wnit for it;for it will certainly come. it will not delay.. .Behold Ihe proud one, his soul is not right within him.. .Will not aU orthese take up a taunt-song against him. evenmockery and insinuationsagainst bim. and sa)'. 'Woe 10 himwho increases what is Dol his for how long - and makesbimselfrich with J..Qam? Will notyour crtdilors rise uPnul=sImlL Rnd those whoWlttl from you awaken? indeed, youwiD become plunder ror them. Because you have lootedmany nat ions . all the remainder [remnant] of the peoplesmil 1001 you - because of human bloodshed and violencedone to the l a n d ~ 10 the lown and all its inhabitants." (Uab2.1-4,6-8 NASV)


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L" the collapse the World Trade Center and thecollapse of EnroD -bothmajor financial powell) in America - JUSl a coincidence? Or is the Liv.ing-Creator allowing these evenlS to occur 10 prepare the way for His"Remnant" to spoiltbeir financial "Slavemasters"- just as they spoiJedthe Egyptians before they left Egypt? Cer tainly the credibility of thtcertified public aCCOuntants aDd auditors h a suffered a major blow.Americans are beginning to realize that they need 10 demand a ' 'FUUDISCLOSURE" and a ''COMPLETEACCOUNTING' from those whoare supposed to be protecting their financial, as well as political, inter.ests.So the timing of this "Secret Banker' s Manual" from Tom could nOlhave been beller! Perhaps this is part of the fulfillment of Isaiah 41.15:;'Behold, 1have made you a new sllarp threshing sledge ["instrument" _KJVI with double edges; you will thresh the mountains, and pulverizethem, and will make the hills like chaff." (NASV) Since today's slaveryis mainly accompHshed by written contracts and laws of men (paper.world), this "instrument" mostly likely is a "paperwork" solution - usingBabylon's Own paperwork system against them. 'Thou shalt go toBabylon [its statutes - vce, USC, CFR); there shalt thou be d e l i v e r e d ~(Mjcah 4.10, 16). "Thou didst piercewith his ll.W. spears the head Mhisthrongs" Habakkuk 3.14 NASV).JUSt how important is it that we act on this Manual , and lell our friendsabout i l? Micah 6 shows thai Goo is angry with us for Dill. doing something aboul this f inancial cas te sys tem, and will suike us down withsickness and poverty unless we act to expose and correci this fraud andinjustice. Notice Micah 6.1, 2, 10-16 (NASV):

Hear now what the Lord is saying. , . Lis ten, you mountains,to the indictment otlhe Lord . . Because the Lord has a caseaeainst His People.. .Is there yel, a man in the wicked house, along with treasuresof wickedness, and a short measure thai is cursed ["abomi-nable" - KJV]? Can I justify wicked scales and a bag ofdeceptive weights? For the r ich men of the city ar e full of

Spt'.ak lies ["breach conirad" Strongs' 82671, and tbe irtongue is deceitful in their mouth.So a lso will I make you sick, stdking you down, desolatingyou beCause or your s ins. You wiJl eat, but you will not besatisfied [not enough to eat!] .. . )'oU will SOW but you willPOl reap {slaYery!1 .. . therefore, 1 will give you up for destrUction, ..

Let's put it this way .. . since the Remnant is prophesied LO be doing thisWork of "SpOiling the moneymasters", if we are NOT involved doingthis Work, then WEARE NOT PART OFGOD'S REMNANT! So saysHabakkuk 2."Arise and Thresh" (Micah 4.13) is the enlightened "butt,le cry" of thisRemnant, consecrating the gain and subslance to "lhe Lord of the wholeear th"! Those who are part of the Remnant are not selfishly focused on"going to coun LO get out of their own loans". They are f o c u ~ onGod's end-time Work of cQrrecting the system by remOving the fraud,enablingeveryone to have fuJI disclosure and egyal protectjoo under thelaw, so that noone is damaged by theft or counterfeiting, which debasesthe currency. The Living-Creator cares for.alL peoples on the earth, andhas no pleasure in the death of anyone (Ezekiel 18.32). Likewise, weneed to care for evcO'0oe, and nOt be like Jonah, who only cared forhimself and bow he would look i fGod did not wipe out all of the peopleof Nineveb for their sins as Jonah had prophesied!Isaiah 52.1-3 shows that it is time now to "Awake,Awake" (from beingdrugged and dumbed-down by TV), to "'shake otT the dus!" (brainwashof IlUl'lSmedia propaganda), to "rise up andsit down" (rule), and t o " ~yourself [rom tbe chains aroynd yQurneck" (fraudulent contracts). "Youwere sold for nothing, and you wil l be redeemed withoyt money." If~ o u r promissory note was stolen, this Manual will set you free by exposIng th.c lruth of the loan agreement, and giving you "Notices" to demandfull d i ~ l o s u r e of the bookkeeping enlfies.Some people of other faiths may be "turned off" by the Biblical references th.i


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the disinfommtion and misinformation !.hat abounds in today's "ciVi.I i n ~ d " and "enlightened" world about creation versus evolution, and thewars and exploitation that occurs in !.he name of "religion" (see articlabout this at http://freedomnews.comJevolution.htmJ). I can only as:that you be open to the possibility that a Living-Creator does exist, andto be tolerant and respectful about our convictions about this, even as webelieve in a Creator who is a God of Truth. Trust, Courage and Freedomand who respects everyone's free moral agency. 'Habakkuk 2 declares a Vision of a spiritual Remnant of God's People ofall nationalities rising up suddenly as creditors to coHeCl what was.s.t!l:;1m from them by the deceitful illteOiational moneymasters of this end.time generation. It is a Vision hfor an appoimed t ime.. . that wiJlm.tai..n.I.Y come; it will not delay." It is prophesied to occur the Cre-atorreturns to the earth. Those who read it should "run" (nol procrastinate). We believe the "appointed time" i s and that, by your readingthis Manual, you will havean opportunity to become a partof that Rem-nant. wilh all tlte glory and credit for what is accomplished going 10 lheLiving-Creator who makes all things possible.Douglas-Raymond:Stehling

Acknowledgments

Thismanual will presume thatyou have read Tom's banking books Volume I and 2. Tom obtained a seCret banker's manual from one of thebeads of a major univers ity who wanted to expose the bankers . Tomthanks this person who wishes 10 remain anonymous. To get this information could have cost the person their job. This person spent $1 ,000s10 get this information toTom and Ihey m


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it happen and saveAmerica from enslavement. We thank President Bushfor confirming our rights of freedom of speech.Tom also wishes to thank many others who have selflessly contributedresearch, time and money to this effort over the past 10 years, and kept!.he flame of "BankFreedom.com" alive. And special thanks to Doug at"FreedomNews.com" for helping with this Manual, and for creat ing''BankFreedom.Bravepages.com' - our new "replicated website" withits Member Forum so we can more easily protect, share and leverage thelatest secret infonnation among our group.

IntroductionIn the early 1990s Tom Schauf learned that the European families privately owned !.he Federal Reserve Bank. When he heard this he knewthat the bankers had to own and control the Congress, judges and themajor media. He knew that they controlled !.he money supply, allowingthe bankers to determine in advance what percent of the people wouldbe foreclosed on, if the stock market would go up or down and what theinterest rates would be. Tom did not want to get involved. Several peoplegaveTom a book on the FEDand he did not want to read it. These pe(lplekept calling Tom to see i f he had read the book. Finally, because of theirpersistence, he read the book. Tom felt that the God of the Bible hadcalled him to get the truth out to all Americans. In one and a halfyears,he gOt out 2 million brochures exposing the bankers. These were brochures made on photocopy machines, note-mails. Back then, few peopleeven owned a computer.Three months after he began gelling out the brochures, he took a trip tothe Smoky Mountains and the cook in the restaurant had received a brochure two weeks earlier. People were copying the brochures and givingthem out to everyone. These brochures generaled so many telephonecalls Tom could not even work, so he had to stop the brochures. Thenpeople told him that local banks created new money. He did not believeit because that would violate GAAP (Generally Accepted AccountingPrinciples) - the matching principle - and he knew that CPAs audited thebanks and what standards ofGAAS (Generally Accepted Auditing Standards) and ethics must be maintained. To prove to the world that localbanks did not creme new money, he asked his students that he taughtCPA continuing education.All the bank auditors confessed and admittedthat it was a secret. They even told him how it was done. Armed withthis information, Tom showed a few people, resulting in about 20 peoplegetting out of their house mortgages. Now the telephone calls beganpouring into Tom's office requesting information. At this time peoplebegan using this information with credit card companies.In 1996 Tom moved to Tucson to getaway from all the telephone calls.He asked everyone 10 StOp calling for a year so thm he could write thebanking books. It took nearly 3 years working 12 hours a day. 6 days a


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week to writethebooksand make the cassettetapes. Now wehave founda secret banking manual thaL is only for the internal bank off icers explaining that, if the bank is sued, and if people see the secret laws in thissecret banking manual, the bank will lose in court.If we can get out 2 million brochures in one and a half years, think howeasy it will be toget out emai1sand have I,OOO's ofwebsites exposing it.VOters are wiUing to becomecampaign workers if they know what theplan is and if they know that we can win. We can win and we are win-ning. It is DOW t ime to s tand up and be counted and infonn Americansabout the uuth.lfwe get 100 people to hos t a webs ite , soon it wi ll be200, and then 400, and then 800, and then 1,600. and then over 3,000,and it keeps growing. Ifwe haveeven 1, websites and each one getSout 1000 emails, one million voters will be informed. If everyone gOIout emails and their friends kept it going, soon millions of voters wouldjoin us. When we have ten percent of the voters, everyone will join us.The popular thing La do will be to join us.We fought the Revolutionary War over the same banking issue. Thisfight will not be fought by bul le ts but by email , websi tes, books , thesecret banking manuals and votes. If you do not join us in this fight forwinning the vOte. the bankers will go to a national LD card and enslaveyou all the more.Tom talked to the people creating the LD card in 1994. Tbese peoplewere scared.They said that if they ever institute the ID, the government!bankers could track every money transaction, track you by satellite andhave absolute total control over you. The Government will say, "I f youhave nOlhing 10 hide, why would you care?"They forget. America is theland of freedom, not Germany's Gestapo or Russia's KGB. Show meyour papers... and if you do not, you go straighl to jail. They are lookingfor excuses to implement the LD that they began research on nearly leoyears ago. They planned to do i t-now they just have LO talk: the popula-t ion into it. Let us tell the voters about the banking and what they havedone to us and the voters wiU vote out those who want to ens lave usthrough the banking and 10.Time is running out and we need your help.Join us while there is still time to make the change for freedom.

The Arizona Dai ly Star, June 9 . 2002, pg. AI3 reponed how RonaldReagan used the CIAlFBI covenly, and unlawfully tried to SlOp politicalfoes per federal judges. tftbe CWFBI attepmts to threaten political op-p?nents , what would they do if they had a national ID card and youdiffered from them politically? CIAlFBI psychological warfare was usedagainst political opponents. Imagine the comrol that they would havewi th an ID card, t rack ing you by satel li te, knowing where you are 24hours a day, everyone you talk 10 and everything you buy and sell. It iscalled lotal and absolute control, making people fearful of free speech.The KGB and Gestapo would be proud ofoor lawmakers. Presidem Bushwants one .million government informants. That is one informant for every240 Amencans. This would give the U. S. a higher percentage of infor-mants than East Germany had using their dreaded STASI secret police.They'll be watching YOU.On 9 ~ I 1 I O I , they got us to wave the flag as Pres iden t Bush took awayour nghts. How stupid are we? The mainstream media remained silentabout the numerous eyewitnesses and expens, including news reponerson the scene, who, seconds before the World Trade Centers ( W T C f c o l ~lapsed, saw and heard explosions near ground level which brought theWTC dOwn. Thewrc was designed to withstand thesi:t.e ofajet that hitit Ask a demolition expen and they will tell you that a building like thatshould fall likea tree, and nOt straight down, without expen demolitionteams. Demolilion expens explain that it is very difficult to bring downsuch large LOwers without them falling likea tree. Not one, but two tow-ers fell, as if expen demolition teams brought themdown. TheTV showedwhat appeared to be large explosions near the ground JUSt before thetowers collapsed. Van Romero, an explosives expen and fonner directorof the Energetic Materials Research and Testing Center at New MexicoTech, said on 9/11, "My opinion, b a ~ d on the videotapes, is that afterlhe airplanes hit thewrc there were some explosive devices inside thebuildings that caused tbe towen; to collapse." In May, 2002we find thatBush was informed of the threat prior to 9/11. On May 23,2002, Bushopposes an independent investigation of the information Bush had onthe terrorist threat prior to 9/11. If he has nothing to h ide, why djd heStop the independent investigation. Prior to 9/11, Bush's ratings werelow. Mler 9/11, Bush's ratings went up.


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Lel us use our heads for one minute. If it were terrorists, wouldn't theywant the building to fall like a tree destroying other buildings? Many ofthe topexecutives that had offices in theWTC did not come to work thatmorning. It is reported that 50.000 workers did not show up to work thatday. One child in school announced the coUapseof the WTC a few daysin advance. Many people were shoning the stock marKet, especially air-l ine stocks. betling that the stock market would go down that day. Sowhat is the deal? There isa hugedeposit of oil in Afghanistan. Did theyhave to change governments in Afghanistan to get the oil? Is it all aboutmoney. greed and control? Remember the oil fields in Kuwait? An Ameri-can ambassador told Iraq just before the invasion that the U.S. would nothelp Kuwait, thereby giving Saddam the green light 10 invade. Then theUnited Nations was rallied to counter this invasion. Why?Was it to givevalidity to the United Nations?Wars are very popular.They help get you elected. You needa War to takeaway American rights. They got us to wave the nag and say nothing asthey took away our rights. You have to admit they are very slick. F()(them to pull it off, it L'lkes Amerkans to believe everything the booblUbe says to get the job done. This is why we must wake up Americanson banking. The thing we can prove and the one thing that everyonecaresabout, is MONEY. Nearly everyone is in debt and they want OUI ofdebt. When they wake up on the money issue, they will wake up on thehealth, United Nations. education. drugs, guns and the other issues.There are people in government who have an agenda to take away yourrighlS and your wealth.They are looking for excusesto get the job done.We need honest people in government. Please help us by getting out theemails, hosting the website and selling the books. The book sales helpfund us 10 save this great wonderful nation and government. We justneed honest people running the governmenl. We need volers to switchfrom government employees representing the bankers, to representinghonest freedom loving Americans. SavingAmerica depends on you. CANWE COUNT ON YOU TO HELP US GET THE JOB DONE? If yes.then contact us to get yourwebsite upand get out me emails and help USget the books sold. When people read the books.mey get angry and joinus. Thanks in advance for your help. Together, we will get the job done.This could be our last chance to get the job done so Ict's not wasle time.

About tbe AuthorT h o m ~ Schauf has a diverse background. He has wriuen two booksr e ~ e a l i n g me banking secret from the viewpoinl of a CPA court expertwitness. He graduated from Northern D1inois University with a Bach-e ~ r o f S c i e n c e wim double majorsin accountingand finance. Aftergradu-atIOn. he worked as a staff accountant for Motorola. He worked for as m ~ 1 I Certified Public Accounting firm, owned and operated his Ownb U s , ~ e s s brokerage firm and Cenified Public Accounting practice. Overa penod of nearly ten years. he has testified in a number of cases as anExpertWitness in business valuation. and has taught the arts of businessvaluation, business acquisition and negotiations to buyers, CPAs andiaw-yers on a national level in colleges and major universities. He has taughtI ~ w y e r s ~ thousands of CPAs the art of valuation and negotiations inhIS copynghted course designed to meel continuing education require-menlS. H.e has been a controller and head of purcbasing and personnelfor a .maJor manufactUring company. He hal; been a real estate brokerand 3Jrcraft flight instructor (CFTI).


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About the Manual - Its PurposeTom has rtteived telephone calls from many people claiming 10 have had creditcard debts zeroed OUI or mortgages canceled. Some people have claimed thai Ulebankers offered to cancel half the mortgage or all of it in an effort to sellle whileasking the boo"ower 10 sign an agreement 001 to teU anyone thai a settlement wasreaclJtod MOSl all of thiswas done in ~ People and lawymwan! a COUll case 10fax around showing success and thai might be the reason for the seUJementS. Thebankers knov,' that they cannot allow this on the public record. Proofis hard to comeby.This manual is designed 10 e.'(pose the infonnation Thm read in the banker's secretmanual and informal.ion obtained from bank auditors. 1be secret bank manuaJ 6 -posed laws that bankers fear laws that. if used. mighl: R:Sult in bankc:B losing incoon. This manual is designed to show the laws and the questions bankers cannotexplain aoom the agreement. It shows hislorically what tlas been happening incourt. It explainsTom's theory ofwhy tie believes bankers have offered 10 cancel 50percent of loans and up to 100 percent of some of the loons per telephone calls frompeople who have used lhesecrcl information in lbe banker's secret manual..Bankers hlStorica.lly do II( l( wanllOshow the alllRd notes.. Bankers cannoc explainthe bookkeeping entries Showing if the borrower funded the loan. Bankers cannotexplain i f ~ a s h or notes are money or i f owing money is money and if new moneywas dePOSited and create

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Chapter 1 - WarningThis manual is nol designed to give legal advice. This manual is only togive people historical infonnation as to what ThomasSchaufhus leamedthaI has worked and not worked in court. Tom has learned that strategiesin coun can change every 30 10 90 days. Lf you are using old information, YOU WILL LOSE IN COURT. Before this manual was prinled.strategies changed every3 10 6months. 11Je old strategies failed incoun.You have to presume that bankers andjudges have read this manual andare waiting for you. On a regular occurrence people have called Tomand said, I want 10 order your books, my neighbor gOt your books andthe banks agreed to cancellheirdebt. Iwant to do what my neighbordid.Tom usuallywarns people and tells them thai just because yourneighborgot OUi of their loan does not mean that you will get OUI of your loan.While they may understand coun rules. you may not, setting you up fora failed coon case, IN NO CASE SHOULD YOU ENTER INTO ACLASS ArnON COURT CASE. You cannot win fighting the bankingsystem. If you win in court, it must be an individual lawsuit claimingthat the bankdid nOt perfonn, tOe bank breached the agreement and concealed material faclS. The bankers fail when they cannOI answer Tom'scourt admissions (statementS thai the bank must admit or deny). Oneperson won three coun cases in a row and lost the fourth coun case. Thebank bribed the judge and placed $150,000 cash in the judge's personalbanking account. The judge might call il a political contribution but it isused to influence the judge like a bribe. Tom Schauf was watching thelocal news on TV. The TV explained how the local foreclosure judgeamassed an $8 million real estate fonune in 3 to 4 years byworking withthe bankers in buying foreclosed homes. How can a judge go from nonet worth 10 $8 million of net wolth in 3 - 4 years without the bankershelping?The judge helps the bankers in court and the bankers make surethat thejudge getS the best foreclosure victims with the most equity. Onehand washes the other. It is all about profits. Going to coun is risky. Youare playing in their sandbox and they make the rules up as they play themoney game.Tom helped explain the bank secret 10 one person. They won in coun.Within twO weeks of winning the court case 1.500 people filed the identical lawsuit The bankerswent to Congress and said wemust change thelaw or we will have everyone becoming debt free and that would shift

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the money to the people that would change pol it ics and vote out thebanker-paid politicians and judges. Congress immediately changed thelaw and the 1,.500 coun cases gOt thrown out and the people lost Remember that about one third of Congressmen are directly related to thebankers by binh or lhey receive money from the bankers. The big bank_ers have boasted co Tom that me bankers' money controls bolh sides orlhe election and also controls the major media through loans, a d v e r t i s ~ing money and direet ownership. Bankers simply remind the politicianslhat if they do nOt cooperate wilh the bankers. lhe bankers will heavilyfund the politician's opponent during lhe next election. The same bigbankers IOld Tom that if we organize and get the American voter a w a k ~ened to the trulh, theAmerican citizens would win theeleetion and changelhe banking system. So it is up (0 you to join us in an organized way towin and we control (he laws and who is elected. Congressman Trafican(spoke out against the bankers. He called lhe IRS (the collection agencyof the privlltely owned Federal Reserve Bank) a bunch of thieves. Nowhe is going (0 jail. He said it was selective prosecution and a conspiracyto put him injai l. On national TV juror Lee Glasr said, "No doubt government was outto gel Tmficant." Traficantwas an example 10 lhe members of Congress not (0 speak OUI against the bankers. On Friday, 3n103,The Tucson Cit izen had an art icle about how lhe FBI had a practice ofmisleading judges to get search warrantS and arrest people. This is whyit is so important to get out the brOChures and wake up every Americanto what is going on. You can help by hosting a websi te, gel out emaiisand wake up hundreds of Americans. As we get 1000s to host websitesand work to saveAmerica. we will get everyone talking and wanting tobe debt free. Going to coun is not the solution. It Costs money and takestime. Help us in wak ing up Americans to the truth so we can use theAmericanway to change things.We have the best govemment even withall the flaws lhal need 10 be changed.We have the vote. It is up to us tocremelhe fertile soil for change. CAN YOU TRUSTANY OFTHE CURRENTGOVERNMENT LEADERSWHO KEEPTIIE SECRET WHOFORCE US INTO DEBT. WHO FOLLOW TIlElR MASTER '_ THEBANKERS WHO WANT TO GO TO A NATIONAL ID CARD TOENSLAVE YOU AND TOTALLY CONTROL YOU? Join us in savingthis nation from lhe bankers' agenda before it is tOO late.Instead of suing the bank in coun and spending all that time and money.use your time wisely and gel out lhe information. by helping us get Ihe

bOOks and manual sold so thai voters understand lhe truth. Lnstead ofsuing the bank. use lhe bunking syStem to your advantage using computer programs in investmentS to quickly increase your wealth. Somepeople know how to gel 50- 100 percent profit a year. Some can gelthaiin one week. It is more profitable by using your time wisely makingmoney or changing the laws by the vote instead of suing the bank. Thesales help fund our organi7..alion so that we can save America. How canthe judges and politicians go against 120 million voters? The moneyissue always wins the vOle. It is up to you to help us reach our goal ofhaving everyAmerican read Tom's books and use the vote tocorrect lheproblem. We need a clean sweep to sweep out the banker's politiciansand judges and to VOte inreal freedom lovingAmericans who will honorour Founding Fathers quest for freedom and liberties. The voters mUSIfirst learn what the real issue is and that is banking.As Tom was writing this manual, a doctor who wrote another bankingbook tookTom's confidential information. This doctor signed an agreement to keep Tom's information confidential.This doctor (ook the confidential information, put on a seminar (0 aboul 100 people and chargedIhem $6


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confidential in the past that cOSt belween $300 and $1,200 or more isnow here in a manual. The idea is for people to buy this manual and nOtpay the deceivers who broke the agreemems with Tom. Yes, there are afew honest people charging thai get inside information from Tom. Yes,people need help. If the banker wrote the agreement, have them explainit. They refuse to explain il so how can there be an agreement? Let thevoters know the lIUth so they can vote 10 fu the problem.For the record. Tom never read the book DEBT VIRUS by Jacques S.JaikMan. 1995.Tom understands that Jacques claimsTom read his bookand got informat ion from his book for Tom's book. The truth is thatDoctor Jaikaaran signed an agreement to keep confidential the information thai Tom developed. Tom has copies of the agreementand signatureon-hand. The confidential information was on making an offer to discharge the debt with the condition that the original agreement was notaltered and that the holder of the promissory note is the true owner andthat the bank: return the original promissory nOle unaltered plus otherinformation. After this agreemenl was signed, this person gave the information at seminars. Tom challenges the author to prove otherwise.This infonnation originated from Tom as proven by the signatures. TheonJy point Tom is making in this case is thatTom never read his book, assoine claimed. and that Jacques signed an agreement 10 keep information


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Cbapter 2 - Court StrategyTIle ~ a n k - t r a i n e d lawyers are e ~ p e n s in COurtroom procedures. RerneQl~ It was lhe bankers ' U.S. Presidents who gOI lhrough lhe "Traer With lhe Ene.my Act" and the Emergency War Powers. The U.S. G : ernmem and liS leaders declared the U.S. Citi7.en to be lhe enemy. This~ a ~ s y o musl h ~ v e a license 10 t rade with the enemy (you). The SOl.diers (pohce) requtre Ibm you have a driver's license. The soldiers rnaargue thaI could be a good thing to get blind people and drunks off~ and keep people under ~ o n t r o l . The coun has a mililary flag flyingIn the COurtroom.The gold fnnge nag makes it a military coun. The warallows the vielors, bankers and the governmenl agent'> working for thebankers, to plunder the enemy (you). Now do you understand why theywant to ~ e all me guns? They want 10 disarm the enemy. You no longer~ a v e a n ~ ~ t 10 own a gun under the Constitut ion. They turned me rightmto a pnvllege thaI Ihey control by license. They fear that the enemymight communicate and realize that warhas been declared on them andthe war allows.the bankers to creale money 10 plunder the enemy. Thesecrel weapon IS the money creation in a silent war to plunder the enemy- you. They want 10 go to a nat ional ID card so that they have lOla!control ~ v e r you. The ID card allows them to track you 24 hours a dayby satel li te. You cannot buy or sell willlout the lD SO they can controlyou. Deleteyour 10 card and you cannot buy food 10 ea l Gel the idea oflIle terrorist talk.. Using me terrorist police powers, the government has:uready abused ~ p o w ~ r againsl thai people they do not l ike. They sayIf you have nothing 10 hIde, then you do nm care i f we use the ID. Jt is aUa ~ u l power and control. Do you trUSt them afler they did what they didWith the banking? Do you lruSt anyone who wages war against you top l ~ d e r you? The propaganda media i s mere to talk you into will inggomg along with theiragenda. Theycannot fight 120 million vOlers whosay NO. Ifyou were a Congressman or judge and getting all that moneyfrom the bankers to gel e lected and personal inves lment money, why~ o u l d you change the systemunlesslhe votersall wakeup and say enoughIsenough?The key to winning in coun is helping us inform everyAmerican voter and using the vote to cor rect the problem and end the war.Exposing the problem forces lhe problem 10 be corrected.

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coun, you cannot use the ConstilUtion, orsay they lent you credit sodo nm have to repay the money. The banker and judge will try and

) t yOU to agree that you have a signature on the agreement, thai thelent money 10 you and therefore you must repay the money. If the

'odge says, is thai yoursignalure, some people say, "I t looks l ike a mas-J !h"d "C "I ~ forgery. I do not understand what 15 ocuroemlS . an you supu-l8te if this promissory note acts like money or money equivalent used togive value to a bank check? Can you stipulate a l of the material f ~ c ~aboUI the promissory nOte or what the agreement IS so I know what It ISthat my alleged signature is validating as 10 the agreement. I do nOl understand in the agreemem if I provide the capital or if the bankerdoes tofund the check. I cannOt lestify if something is my signature if I do notknOw what is agreed to in the alleged document." When the judge demands that you say yes or no, some people say they will answer whenyou expla in what the agreement is . How can you testify to somethingthat you do not understand and they refuse to e ~ p l a i n ? Some respondsaying it looks l ike a forged document to me with concealed materials.Ifyou agreethat it is your signature, you lostlhe councase. Your signalure means you agree that Ihe bank lent you their money and that youowe them your money. The judge may demand that you say that t hebank lenl you money that resulted in your purchase of a house or car.BUI, i f youagreethai the bank lent their money 10 "purchase" your promissory note, lhen you aretestifyingthat the bank violated the law- GAAP.Per GAAP and Federal Reserve publications, twO loanswere e ~ c h a n g e d .You lent the promissory nOle to the bank that funded the loan back toyou. The loan from you to the bank isme deposit of the promissory note.GAAP requi res that the bank "match" a new bank l iabi li ly wilh yourname on itshowing that the bank owes you for thedeposil they acceptedfrom you just like they do when you depos it cash into your checkingaccount. The banker knows as weU as the judge that when you depositcash into your checking account, you lenl the bank your money. I f youwithdraw your money, the bank lent you nothing. 10 0 form contraClsays that tbe bank lent you money, but the substance - bookkeeping en lries - say thai the bank accepted yourpromissory nOle as new money asa deposit just like depositing cash inlo yourchecking account. Your signature cannOI les ti fy thai the bank lent you the bank's money 10 purchase your promissory nOle, bUI the bookkeeping entries prove that meylent no money 10 purchase your promissory nOle. If you lent the bank

23


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money as a deposit, the bank accepted money from you, the bank: fiegave up one cent of the bank's money. The bank accepted money fr '#ttyou and deposited ii , which is the opposite of lending you money. I f ; :lent the bank money and they returned the same value back 10 yo" ' ....loans were exchanged or they siole your money. The bank chaner J&.quires the bank to fol low the law - GAAP. You can presume the bartmust follow the law or the contract is an illegal contract. 1ne COntraeesaid inleres t. which is defined a s t he charge for the use of borrOWedmoney. We can presume mal the pany who funded the l oan i s to be "-paid the money. The bank claims that the form says thallhe bank fUndedt he loan and should be repaid the money but the bookkeeping entriesprove me opposite. Did the agreement say that the bank was to stea!lbepromissory note. aIler it to become money, and then return the 510_money as a loan or did the bank use their money to purchase the prOm.sory note from you without the economics similar to stealing and c0unterfeiting and swindling?The bankers hate it if you claim thm the noeewas stolen and forged.You have 10 have a damage in court to win. If it i s s tolen, you can c1aiJlla damage. If the bank violated GAAP. then lhe CPA audit i s a fraud andthe bank management and ePA will go to jail and the SEC can go afterthem so they cannOI say thaI they did not fol low GAAP. If they followGAAP. we know what the bookkeeping entries are and theydid the opposite to what you understood lhe agreement was to be. You only careabout the agreementYou only care about GAAP. You only want them toexplain the details of lhe agreement they wrote. You want lhe originalpromissory note back 10 see the stamps to see if youare payingthe properparty endorsed on it. See u ec 3-302. Adequate assuranceof due performance UCC 2-609 is for the sale or purcbase. I f you demand adequaleassurance of due perfonnance. the other party must give assur


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We write notices to learn what is the reaJ agreement. When they refuseto tell us, we look at it as breach of agreement - concealment.

You had beuer really know law and cOurtroom procedures or you cane ~ p e c t 10 lose unless they do nOI answer the lawsuit. Even iflhey do notanswer the suil, will the judge sign of f and a llow you to win? Soundseasy. bUI i t is work. Do not expect the bank to let you of f the hook thateasily. Do not stOp making payments or they wtll foreclose. Some peoplesend a new promissory note in the amount of the original note payable inthe same species of money or credi t that the bank used to fund the loanperGAAP thus ending all interest and liens. Then they write loan payment checks payable to the new note . If the bank accepts the checks,then you can have fun. I f they do nol, you might claim breach of agreement You tried to learn the f


15/75

Please read and study Tom's two banking books for further training.

OJ The fact is. bankers bave been telling peoplet lell every voter. and ou must repay the loans SO.,bY nO depositors funded the loans Y an be repaid the money.. ~ ~ I other . _who funded the loans cu'" ther depoSitors I d because the borrowertbat Ihe. 0 then all loans should be cance e the Federalif thiS IS we, the same boll'Ower per GAAP and per

ed the loan torund B ok publications.Reserve a . What worked lastmonth. arantee of acoon WID.Remember - there ~ n ~ l g u l work today. Lf a friend won, i l does not guarank -......"tee It WI I Theban ersis not a gu.. . . . . . . IS time and money to go to cou t . . ." tyOU will wto. 11 cos TheJ'udoe might be afraid toIt t u' d the attorneys. c>bavethe time, the m o n e ~ an . nOI our friend. Tom believes thai youIe in your favor. The Judge IS Y the voteT'S to joi.n us. The votersN I of court and help us getshould stay auare the sure way to fix the problem.

lhe bank sum-. . The beSt coun strategy to stOpT h i s i s t h e k e y t o W ~ l O g . is the CPA Repon copyrighted by Tom

mary judgement agalOst you. ro's coun admissions. You need theSchauf and suing the bank ustng 0 sued or yOU sue the bank.CPA Report regardless of w h ~ h e ~ ~ : ; e s u e without personal know\Look al coun procedures. The h t lve legal knowledge. See theedge. and a copy of the note mIg le"O g Social Serve v P.A.Q. 317. M mouth Qunty .following court cases on . S See also: United StateS Bank-N.J. Super 187, 193-194App. Dlv. 1 ~ b t o r s June 30. \993 BankruptCy Coun NJ . Investors and Len elUp1Cy no. 92-30'754.

. F deral CreditUnion, Plain-Supreme Court ofHawaii. PaCIfic Concrele Ie d I Appellant No 6362. J SKano e Deenan .tlff-Appellee v. Andrew . . au ' . th boOkkeeping enmesJuly 11,1980 teUs us that the bank must gIVe us e 'deoce One cannot. " aok' " "d ' ce is hearsay eVl .With an affidaVit orthe b s eVI en . h tho aod a CPAT m says Wit IStnter hearsay evidence into the court. a . roblemttpon talking about GAAP, the bank has a senous P .

'f sue This way. theyIt is best to not be behind in debt payments 1 you ' . CPA expen. ' nant to use acannOt foreclose and you can win. It IS Impowitness using Tom's copyrighted CPA Repon.

. f ' ds and more andIf you got 100 cmails out and they cmai1ed their nen

Bankers have told Tom thai the American people are tOO stupid to undlfostand the bank loon agreement and bookkeepingentries and no one caexplain it in coun to a jury. Tom agrees, you need a jury and Tom saftthat a jury can understand it.

Remember. we are defining stolen as the banker getting the p r o m ~note wilhout spending one cent to purchase it and violaling GAAP. . .matching principle.

Why do we keep talking about GAAP? It is lhe law. I f they claim lbI&1GAAP was nOI followed. they violated the law and the CPA audit opiJtion. If lhey followed GAAP. they cannot claim lhat lhey do not IcnCJIWwhat the bookkeeping entries are. The bookkeeping entries prove . . . .lent what 10 whom. Two loans were exchanged and we believe lIUd.borrowers should repay all loans giving each pany equal protection. '"believe that all the facts should be disclosed in the loan and not conc;ellmaterial faclS a'i to who provided the money to fund the alleged 1(lIIIIiWho could argue with that? Why nOltel! the truth. lhe whole trUUt,nothing but the truth? If there is nothing wrong with the bankingsyst."

cent and Ihat Lbe stolen propeny funded the alleged loan Lbatwasaof agreement. Let Ihem tell yOu Ihat Ihe agreement allows Ihem 10and create new money. Fraud in Lbe factum - you never agreed thatsignature and promissory note was money to be stolen and returneclloon.

The banker argues. '''This is how it is done, you signed Ihe agTeeme(you got the money." We ask, "Was the agreement altered after i t _signed. was it forged?" We ask. "Did Lbe borrower provide thec_for Ihe loan to Ihe same borrower per GAAP (standard bookkeeping.tries)? Did you follow GAAPas required by law and the CPA aud i t .ion? Is it the intentof the agreement that the onewho funded the loaa . . .GAAP is to be repaid the money? Were material facls concealed? t.IjBanker. do you understand this agreemem and who wa'i to provide"money or funding for the loan'!" They cannot explain the agreemenl . . . .they wrote and that they are trying to enforce.


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~ r p e o ~ l e put u our website and distr ibuted the books. we couldqUIckly Win thenation beforeit is 100 lale. If everyone stopped and wenlI? coun. we could lose the nation and government we love. We have thenght 10 replace the e m p l o y ~ s called politicians using the vote but weneed your help 10 ge t me Job done. PLEASE JOIN US IN SAVINGAMERICA AND THE REPUBLIC WHICH STANDS. ONE NATIONUNDER THE CHRISTIAN GOD OF OUR FOUNDING FATHERSWITH LmERT\ESAND JUSTICE FOR ALLAND EQUALPROTEC.TION W J T ~ JUST ~ E I G H T S AND MEASURES. It is Our jo b to getevery Amencan lancing so America wil l be safe for all. AMERICA'SFUTURE IS IN YOUR HANDS.~ e might be able to stop us in coun but they cannot stop us from get.ung.the vOters organized and awakened. and vote them Out of office andput In hOllCSt Americans. Help us make il happen.The l a w m a k e ~ s and courts have been helping us wilh the following cooncases demanding that the lender have possession of the promissory nOte~ f o r e the banker can collecl. See Ihe follOWing coun cases confirming~ I S . See M a U ~ o f S l a f f M o n . & lnv.Corp., 550 F.2d 1228 (9th Cir 1977).Under the Umform Commercial Code the only notice sufficient 10 inform all interested panies that a securiry inlerest in inslruments has beenperfected is actual possession by the secured pany. his ageOl or bailee.See BankruptcyCourt followed byuce In Re InveslOrs& Lenders LID165 B.R. ~ 8 BKRTCY D.NJ. 1994" Under the New Jersey Uniform~ o m m e ~ l a J ~ o d e (NJUCC) promissory note is "instrumeOl;' securityLnlerest In which must be perfected by possession... Clearly the courtsd e ~ a n d possession of the note before the bank can collect.. Why is thisso 1 ( . .lmponant. t IS Important because you have been paying the loan tobank #1. Bank #1 sells the nOie to bank #2. You keep paying the wroogpany, Bank # I. Now bank #2 who bought the note f rom bank # I dem a ~ d s that you pay Ihe last 12 months of payments 10 bank #2. Youc ~ m . that you paid. and bank #2 claims Ihal you paid the wrong party.TIus IS why you must be sure thai you paid lhe correct pany and muslsee the note to see who the nOie is sold too or you mUSI pay twice. Youw ~ u l d . have to pay the wrong panyand then again pay the correcr party.I-hstoncally. the bank claims they lent you money. The bank bundles uthe promissoryDOleSin groups ofaooUi 2--.3 millioo aod..uses.l.be.OOles

30

as value-to i s s u e ~ a bond and sells them to investors.. Tbe"bank becomesl!le servicing agent..Now the ba.nk sues you...and t r i ~ 10 foreclose. Getthe picture? The bank does not have possession, and is not the owner oftile nOle so what legal sumding does the bank have to sue you? Peoplebave demanded to see what contract allows the non-owner of the nOle tosue you. The servicing agent ha.. 60 days to give you the owner's nameafter you request itTSee litle 12 under servicing agents). They usuallysell it again when you requeSI the owner's name and keep sel ling it soyou cannOt find out who owns it. People have demanded to know whoowns the note. and what contract allows someone other than the owner10 sue you. It is like you having a contraCI with your neighbor. Joe. YourIleighbor Tom says you violaled your agreement with Joe. so Tom suesyou. Tom ba no cOntraCI with you and c a n n o ~ sue you. Replace theword Tom with the word bank and you see the picture. The bank workson presumption hoping that no one demands the original note or whoowns the note. I f you cannol find the nOle, some s ta tes allow one 10reconstruct the note. How can lhey reconstruct il if the one doing Iheret:onstructinghas no personal knowledge and you are arguing the termsand conditions of the note. Only you have flISt hand knowledge, onlyyou were theresigningit. Some staleSallow the allomey to use a copy ofme public record where the note was recorded in the country record andcertify the copy as the original Again the artorney has no personal k l l O ~ l edgeand it could be forged. stolen andwe s ti ll donot know who owns I.t.They sliIl cannot explain our 6 . 7 terms in dispute in the back of thISmanual in the notices claiming breach of agreemem. Tom Schauf reoceived a telephone call from someone who used this information. Theperson wrote to the bank requesting a copy of the current nOle with theassignments (paid to the order of. .. ) showing who is the current ownerof the note. The bank refused 10 respond. He gave a second request. Hedid not give any argumenlS or dispute. He only requested a (.'Opy of thenOle. Now he sues the bank claiming thai he is the holder in due courseof the tirle of the home and the bank is nOI the holder of the nOte. Thebank refused to answer the law suit and he got his home free and clear.Remember after one sues. you can amend the suit once. I f the bank reoSponded, you could claim that the tenns were altered or breached. Thebank did nOt want to get involved in answering thequeslionsas ro breaching the terms and 6-7 things concerning the tenns thai we want to discuss.

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They never leU you who owns the note. They have been known to 5eIthe nOles, you payoff the entire DOle and the bank gives you a sheetpaper saying it is all, p ~ off. Then 5 years later the owner of !he nOltforecloses. Why? It IS simple. You never got the original note back aJIl:you mUSI p,rove that you paid of f the note. People have been foreclokllon ~ h p m off lhe ~ O I e 5 years ago but losl the on e piece of pap!ls a y m ~ that II was pald off. They throw oul their old bank statemenra~ h o w m ~ ~ ~ I ! h e y paid it offand did nOl get back the original note. ThisIS why It tS Iffiponant 10 see the original note and gel it back. This is winil is imponant to foUow the law and gel Ihe note, and see who ownsand get back the original.Two people Iaught byTom have been winning on creditcards. On e per.son . i n v ~ i c e s Ihe credit card, then sends an opportunity to cure and payth e mVOIce. Then he sends a default judgement. Next he sues the creditcard company in small c la ims court. Resulrs have been wins and thecredi t card companies have issued checks back to the victor in smallclaims COUrt. Some small claims will not allow you to sue an ou t of stalebusiness. Check the agreement ~ g a r d i n g jurisdiction. arbitration andcoun location.One person uses a bill of particulars if sued by the credit card company.tben enters a motion to dismiss the coun case brought by !.he credit cardcompany for nOl complying with the Fair Debt COllections PmcticesAdand giving verification/affidavit by someone with personal knowledg&'and he uses OUI CPA Repon and ou r CPA expert Results have beeRsuccesses. As I wri te this il is not a 100%success. The week I wrote thison e man had his mortgage cancelled on on e house. but on his other housethe mortgage was not cancelled.There are a ser ies o f coun cases on void and voidable judgments. Theattorney foreclosing did not teU you thm he is a debt collector per thesupreme court ruling. You had no opportunity 10 demand verification.affidavit signed by the attorney. with personal knowledge. verifying thedebt. The attorney forces you into coon and wins. Th e mlomey brokethe law by not informing you that he is a debt collector . People haveused coun cases showing that the flrst coun ca


18/75

asset which is recorded under loan accounts.They told me thai they rede-fil'twords tomean the opposite thereby significantlychanging the mean-ing,cost. and risk of the alleged uansaction and agreement. The auditors~ p l a i n e d how they play with words 10 hide the IrUth of the real transaction and the real agreement.,According to Chicago Federal Reserve Bank publicationModem MoneyMechanics, page six, the bank records the promissory DOte as a bank as-set which isoffset by a new bank liability called Ihe borrower's transac-tioIlat.:count (which is commonly called a checking account). Please nOtetilt: word "borrower's" is possessive. Page three of the same report, sec-ondcolumn and second paragraph. claims that the bankscreate new moneyas loanS are granted. I f you read the page. they redefIne the word "money"lomean owing money which. is the oppositeof money. The idea is Ih.at ifyou deposil $100 of cash. into a checking account , you can count thechecking aCCOUlll (bank: Liability) as money because there is an equalamount of money. cash, deposited to match !he bank liability. AccordingloGAAP. generally accepted accounting principles. a bank: Liability means!hat the bank owes moneyand c a ~ h , money, is recorded as a bank asset. Acheck is nOl money, but acts Like money.with the presumption that moneyis first deposited to make th.e check good. According 10 Black's LawDic-tionary, a check contains an unconditional promise to pay a sum cenainin money. The presumption is that if you present a check to the bankteller, the bank reller will give you cash.

Federal Reserve Bank of New York publicationThe SIOry of Banks pagelen claims that the bank firsl deposits the money and then uses thai de-Posited money to make the loans. Then il c la ims that a lot of money isl'reated when the banks , credi t unions and saving and loans make newloans.

Federal Re..o;erve Bank of Boston publication Banking Basics page oneclaims that the money deposited belongs (0 !he depositors.

Federal Reserve Bank of Texas publication Money, Banking and Mon-etary Policyexplains on page II , that banks createmoneywhen they lendit. The loan becomes a new deposit into the customer'schecking accountJUSt like a payroU check does.For the record. I use FederaJ Reserve Bank br .en tr ie s as published by the F deraJ R pu Icatl onsandbookkeepillle eserve Bank dmaterial statement in this repon Th..i . . to ocument evef1

bank loans and credit card 1 "h s repo" Includes house. carand olhdoans w ere the bank rceo ded th .nOle or receivable as a bank asset as sh . h r e promlSSOl)'publications. Own In t e Federal Reserve Bank

CPA Banking Report by TROMAS SCHAUF, CPAJuly, 2002Imponant This report is copyrighted Co .Unauthorized copying or use Of t h ' S ' ~ y n g h t 2002 Thomas Scired' .: I report IS prohibiled and eachoopymg or use IS subject 10 a fee of $100 000 . pcdollars per each unaulho"' d ' cash, Unned Sm.e copy or use, payable (0 Thomas SChautThis banking report is to expose the li "k es, misrepresentation dsma e and mirrors by book d' an useau Hors and CPA auditors.

" "do aVOI repeating, one may go 10 Ihe three boobanking (0 find my background d I . ks thai J have wrine"CPA. I have testified an O C ~ l J o n . I am an lIIinois liceas a coun expert Wilness for rou hltaught CPA (:onrinuing education c1a..ses for ePE g y I ~ yearslen years. I have Iaught at major universiti ~ v e r a penod of ahow to testify as a CPA c es and natIonally leachingOWlradio and TV stations an aun e x ~ n wi,mess. I have been on a number

try relating to this r e p o n d o ~ e , ' : . . n l t t e n Information on the banking indltU.lC ast len years.

We aU know of the Anhur Anderson CPA fiaudit scandals. As I was teaching CPA CPE17' Enron and Worlde .CPAs over the past ten years I ask d' c asses 10 .more than 2.()JaudilOrs. I talked 10 a numoo'r of; m ~ s t ~ d e n t s Ifany were baatlhe banking System was a fmud buto:e auditors and they admittellno One could explain it in count the y could gel away with it becauahide the lruth This "epon . or y couJd use smoke and mirrors. IS to expose the smok d "the lJ1Jth. e an mirrors and revet!

Bank auditors have repeatedlv told me th .cash as they record the bank I ' at they ~ I a l m thai they creditoan agreement promiSSOry Dote as a bank


19/75

Federal Reserve Bankof Chicago publicationABC's of Figuring I n t e ~page two c la ims thai when you depos il mooey into a savings a.__._....you make a loan to the bank. According to GAAP, the new bank I i a b i ~proves a loan to the bank.

Black's Law Dictionary explains a deposit as placing mooey in the CUI.tOOy of a bank to be withdrawn at the wil l oflbe depositor.Federal Reserve Bank of New York publication I Bel You Thought e-.plains it very well on page twenty-seven that banks create new rnoneJ'whenever they grant loans by simply depositing the borrower's prosory note as a bank assetoffsel bya new bank liability. Page fiveexplai!.hat money does nOt have to be issued by the govemment or be inspecial form.Combine what the Federnl Reserve Banks above have admitted in wJit.;ing and you have the fact that the bank used the borrower's promisso.,llnote as money or Like money, hereinaftercalled money. deposited or re-corded it as a bank asset to g ive value to a check which the bank retuqto!.he borrower as a loan. When the bank deposited the money (or prolDo'issory nace), the money deposited was a loan to the bank. This is consistent with GAAP and the mutching principle. Bank auditors r e p e a t e d l ~told me thaI they must hide Ihe loan to the bank. If the loan to the bank ithidden, then you have the economics similar 10 stealing, counterfeitintand swindling. All we ask for is that the pany who funded the loan. perthe Iiank bookkeeping entries, be repaid the money. What honest persoawould argue otherwise?Lf one argues that the one who funded the loan, per the bookkeeping entries. should nOt be repaid the money, then they are arguing that one ofthe par ties has a r ight to swindle lhe other par ty. My quest ion is "Whaf.law or agreement gives thaI pany the r ight to swindle the other party'rShow me! Americans want to know. If the bank cannot answer. they lostthe aTbTUment by theirsilence.I will now explain what bank auditors have told me are some of the lieSand smoke and mirrors and then I will try and expose the misinformati()l1.

36

Bank audilOrscannot give a complete answer as to whal money is. To bes cPA, one mUSI have the competence to complete the assignment and ifthey cannot answer what money is. they have no right to audil the booksor testify. Typically , bank auditors will claim that the promissory note isnot money and thai the bank did not depos it money received from thebOfl'Ower and that the borrower did nOI make a deposit at the bank orcredit union. TIley then claim that two loans were not exchanged. T y p i ~caUy, at this time, they go through the motions that GAAPwas followedand everything is in order jusl like Arthur Anderson did just before theaudit fr3ud was exposed. Then the typical bank and crewt union auditorsuse the following example that auditors have privately told Tom Schaufis a trick to deceive the judge and general population. Tom Schauf willrtrst give the nick. and lhen expose the nick.The trick goes like this. The bank does not deposit the promissory note.The bank or credit union records the promissory nOte or credit card purchase as an asset on the books of the bank or credit union and credits cashto balance the books. The borrower gOI cash. This is exactly what onebank audilor toldTom Sctmufand admitted that this is a fraud and a lie.At this time, the typical bank and credit union auditor will try and avoidexplaining that the cash earlier credited is now deposited. The deposit isII debit to cash and a credit to a bank liabi li ly l ike a checking accOUO( ordemand deposit account or savings account. The new result is exact lywhat the Federal Reserve Banks have already admitted. 11lere is a newbank assel and a new bank liabi li ty. The new asset came f rom the borrower and the bank liability means the bank owes money related to thenew asset.In the previousmentioned bookkeepingennies where bank auditors claimthalthey credit cash, they can replace the word cash with the word checkand you have the same economics and bookJeeeping entry on the typicalloan. The t ri ck they use i s that a check and cash are similar because youCan gel cash for a check. As mentioned earlier, a check is nac cash, but aPromise to pay a cenain sum of money. Thing is... few people use cash.most use checks and the audilor knows this. They can sell the promissorynote for cash. Logic tells us that the auditor is wrong here, claiming thalthey gave you cash. The bank or credil union auditor must agree that thepromissory note is recorded as a bank asset , typical ly recorded under

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loan a c e o u n ~ . I f the offset or credit is to cash or check, the typical bf&rowerdeposilS the cash or check resulting in a debit 10 c a ~ h or check llrJ&an offset to a bank or credit union liability (typically called a checkiJ:lraccount, demand deposit account or savings account). 1be result isaetly what the Federal Reserve Bank publications earlier Stated; that is,inew bank asset and new bank l.iabiliry and the economics are the same, " .s l m ~ ar to d e p o s i t i ~ g new money. I challenge any bank or credit u n auduor to prove this paru!?"uph wrong. They either remain silent or II)and gel offon another subject (0 confuse the issue.

Now some auditors are stupid enough 10 keep the game going by fOOl-ishly claiming that no money was deposited to cover the check thus ad-miuing to a criminal act of check kit ing and a fraudulent audit . Sornr:pretend !.hal the promissory note is first sold for cash, the cash is dcpo$-iled to give value to the cbed:. and then the promissory note is recordedas a bank asset.This is a stupid argumem because the resultis a new baliasset and a new bank liability just as I said earlier. In all of the aboecases, the bank or credit union gOllhe promissory nOte for free, new money,credit or money equivalent was created. The party who provided the assetto give value to the check that is claimed t() be lent to the alleged bor.rower was the same alleged borrower and the pany who funded the 10lIl,per the bookkeeping entries , is not repaid the money. This creates lbteconomics similar (0 stealing, counterfeiting and swindling. This changesthe COSt and the risk of the loan compared to if the one who funded theloan .is repaid the money. Tom Schauf challenges any auditor to prow:that the economics are nOl similar to stealing, counterfeiting and swin-dling and thal the GAAP principle ofmatching was not applied by mat(:/t.iog the new asset with a bank liability showing that the bank owes molle)'to the alleged borrower as indicated in the Federal Reserve Bank publica-tions. The matching principle works like this. [ f you deposit $100 of cashal the bank, the bank must show a bank liabilityof$IOO showing that thebank must return the $100 to you. If the bank accepts cash or a promis-sory nOte from you togive value toa check, should not the same econom-ics apply to StOp the economics similar to stealing, counterfeiting andswindling? Should not the party who funded the loan, per the bookkeep-ingentries, be repaid the money? The bank or credit union auditor cannoldiscuss this issue which is the heart of the whole discussion.

~ ' have a r ight to know and undersland the ent ire agreement and theteonomics and the bookkeeping entries. Thomas Schauf is looking toforce a bank auditor intoa court deposit ion and force the bank auditor togive all of the details of the bookkeep!ng entries,.explain what .is and isnac money, money equivalent and credit and explam the economiCS of thetf'llsaction.The bank or credit union wrote the agreement, they executedthe bookkeeping enmes. and we have a right to know and understandII'hlit the agreement is and the economics of the agreement. One questionremains. Is Ihe pany who provided the asset that gave value to the allegedb.tI1k loan check, per the book.keepingenmes. to be repaid an equal amountofvalue, for the value that was earlier provided to fund the loan check? IfLbe answer i s no, do you agree tha t it is a sw ind le? If the bank can getmoney or an asset for free from the borrower or s teal i t by knowinglyhiding Ihe fulllerms of the agreement and then return the money to thevictim as a loan, they could own nearly everything in the nation similar to!be eronomics of counterfeiting?Demand the auditor produce the bookkeeping entries to prove lhe prom-issory note is not used to give value to the check and tJmt other deposi-IOrs' money was used to fund the loan. [ f this were the case, the book-reepingenmes would be a debit toa checking account or demand depositICOOUnt or savings account and a credi t to cash. TIle promissory notewould not be recorded as a bank asset . The depositors cannot spend themoney taken out of their bank account which was lent to the borrower.The borrower repays the loan and the money is returned to the pany whofunded the loan. Economically speaking, everyone has equal protection.Then: are noeconomics similar to stealing, counterfeitingand swindling.There is onlyone key issue. According 10 the bookkeeping entries. shouldthe value of the money or asset thatwas used to fund or give value to theloan be returned to the original pany who provided the money or asset? Ifthe CPA auditor says no, then we have the economics of a swindle. If theCPA auditor says yes , then there is no disagreement and we all agree.Who could possibly argue that the one who funded the loan should not berepaid the money unless they are trying 10 create Ibeeconomics similar toII swindle? They would have to hide the true bookkeeping entries if thisWere the case. I f so, have the auditor give the complete details of thebookkeeping enmes including who provided the asset to fund the loan.


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If the bank CPA cannot explain or does not understand what weiog about, then he or she does nOI have the competence to takeaudit assignment and has broken the ethics of a CPA.Have thebank orcredit union CPA auditorgiveaUexamplesof lhincause as I) money, 2) money equivalem,3) things of value thaI givecheck. ls money recorded as a bank asset or liabiliry? Is cash """"Y'Ilthe bank use a DOte as money'! Is thepromissory note used to givecheck or similar instrument? Is it the intent and bank policy tha!who provided theasset to give vaJue to the loancheck, per theeomes, have the money or value of the asset earlier describedthem? If a CPA cannot answer these simple questions. then ethicsthat they have no business auditing the bank or credit union. Theauditor must have thecompetence 10 answer these simple quesUOl\i'wok on the assignment to audit the bank or credit union. Ifmey cthey roUowed GAAP. have them givedetails and answerourquestithe CPA claim that the Federal Reserve Bank publications areamine what the CPA says and see if they refuse to answer our basictions 10detennine bank policy, economicsof a loan. andwhat the fuRkeeping entries of GAAP really are. If the bank CPA disagrees,give the proof. If noproof, they have no credibility.One CPA audilwa CPA class with Tom Schauf toldTom thai these 3fl,oumeIllS are CfIZJTom madehimanswerspecificquestionsand then he admitted tharwas a fraud. If no m o ~ y was deposiled 10 fund the bank loan chedc,;can it be legal?Who provided the money to fund the loan'!Have the bank or credit union auditors prove that the FederalBank publications are incorreCt in that money is nOI first depos'then lent out Have them prove that the intent of the agreement ispany wbo provided the asset to fund the loan, per the bookkee .tries, is not to be repaid the money or value of the asset thaIloan.There is only one real issue to be resolved. Ask the bank: or creditCPA auditors to answer the foUowing questions. Is it the basic'the loan agreement lIlat whichever pany provided the asset to giveto the loan. according 10 the bookkeeping enLries, is 10 be repaidequal amount of value plus imeresl when the loan is repaid?Thisis'simple and basic concept any competent CPA should understand-

40

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t u n J ~ t i e S from this tranS3Ction would not increase. I challenge any bank~ or (0 prove me wrong. This just told you who funded the loan. Ac-~ l .cording (0 GAM and the Federal Reserve Bank publicatlons, the nelefltct of me tota1lransaction of the bookkeeping entries was that the netbanking a s s e L ~ and liabilities increased. I challenge any CPA bank audi101" 10 prove me wrong. The CPA can play with words. ignore the issues,beat around the bush and talk about nothing of imponance, but i f they dowtd refuse to prove me wrong, you know everything iliat you need 10know and how 10 win.Typically, the bank auditors wiU go into great detail on how they folm'e


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there isa tax owedto the IRSfor the stolen promissory note. Did the ban.tpay the rRS tax?The matching principle does not allow anyone to Stealyour asset, exchange it for something of equal value, and return the vaJuestolen to the victim as a loan. The bank auditors who claims that cash orcheck was credited in exchange for the promissory nOte, which is recorded as an asset, gOi the promissory nOle for free and exchanged thevalue of the promissory nOie for a check and returned the check to thevic tim as a loan having the economics similar to depositing the promis_sory note l ike money which allows the bank to get the promissory notefor free and create new money. 1be economics are like the bank is actingas a money changer and cal ling it n loan . If the bank took your cash orstole the cash and used the cash to fund a check and returned the check toyou as a loanyou can understand it is like stealing. Replace thewordcashwith promissory note llnd you havesimilar economics. Claiming that cashor a check was credited is only smoke and mirrors accounting and cookingthe books, which gives theeconomicssimilarto stealing, counterfeiting and swindling. Have the bank CPA auditors prove me wrong.If Joe signs a promissory note ,rod it is agreed that Joe loans the promissory note to the bank, the fol lowing bookkeeping entries are recorded..The promissory nOie is recorded as a bank asset and the bank records abank liabiJiry showing that the bank owes Joe money for the loan to thebank.. This shows two loans were exchanged as proven by the new assetand new liability. Under the smoke and mirror method, the bank recordsthe promissory nOie as an asset r esul ting in a new bank l inbi lity wheneverything is completed, but this time Joe' s name is n01 on the bank li-ability. 1b e bank CPA claims that two loans were nol exchanged. Thebank gOt the promissory note for free as the bankcreated new money andthe par ty who funded the loan, per Ihe bookkeeping enuies. is not repaidthe money. Haveany bankCPA auditor prove me wrong.A bank auditorhiding lhis must claim they credited cash or check but when the cash orcheck is deposited you have !he new asset and new liability. This lempo-rary bookkeeping entry only hides the true transactioo and economics. Acheck is a liability and who gelSa hand full or bag of cash when they geta car or house loan?As the bank CPA auditors told Tom Schauf, it is a liethat cash wascredited. it was onlycal ledcash toget everyoneof f track as10 the truenatureof the true e c o n o m i c ~ . Bank auditors typically call cashthings other than cash to hide the uue meaning of the word. The bank

42

auditors admitted to Tom Schauf t ha t it was a lie and that the true panywho funded the loan , pe r the bookkeeping enuies, is never repaid themoney_The auditor toldTom that there is a new asset and liability and theliability means that the bank owes money for the assel it accepted a s anasset. Thai is basic GAAP. The bank got the promissory note for free bycreatingnew moneyand violating theGAAPprinciple of matching. Then,when you ask the bank or bank auditOrs for the truth. they typically misrepresent how it works or refuse to eltplain.Please notice how I gave the Federal Reserve Bank publicationsand pagenumbersand bookkeepingentries.What proofdoes anyCPA have to proveroe wrong? lbe Federal Reserve Bank publications claim that new moneywas created in the loan process, the new money is deposited and there isa new asset and new liabili ty and money is owed for thenew liabiliry, SOwhat CPA bank auditor would be a big enough fool to c la im tha t thi s i snOt true? WhaI CPA bank auditor is foolish enough to claim that if youdeposit $100 into your checking account that you did not loan the bankthe $100 and that the bank asselS and liabilities did not increase by$100?The problem is that the CPA bank auditors do not want 10 admit that thepromissory note was used like or as money or value or money equivalentto give value to the bank loan check. The auditors must try and hide thisfact or the secret is revealed that the borrower's asset, per the bookkeeping entries, gave value to the alleged loan and that the par ty who fundedthe alleged loan, per the bookkeeping entries. is never repaid the moneygiving the economics similar to stealing, counterfeiting and swindling,thus hiding the true elements of the alleged agreemenL Any CPA bankauditor should have the competence lo know the Dllth or they should stoptaking on an assignment thai tbey do not have the competence to finish.Yes, the bank auditor typically will play with words to confuse the issue.They cannot ellplain what is money or money equivalem.They typicallywiU say that cash and checks are deposited bUl that promissory notes arenot deposited ignoring that the overall neteffect of the bookkeeping entries in both cases have the same economic effect of having the cash andpromissory note recorded as an asset and both giving value to a bankcheck. The bank is merely a moneychanger calling themselves a lender.hiding the fact that the promissory note increased the bank asselS andliabilities creating new money or money equivalent or credit. They will

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not allow theoriginal panywho provided thebe repaid the same value when the l()an i ~ uun funded the loan tolaIdTom Schauf il is a Ul k th . s repaId. As the CPA audit........ c ails very profi bl . thatconfusion and ignoranceof the en lIa e:md they were hoping[0 continue this very profilable me; NeraJ p o P U ~ a t l ~ n would allow themSchauf is challenging any CPA bank o the tnck IS exposed and Tornthe general population will/eam the ~ ~ ~ I ~ O ~ t:y;ve him wrong. SOOnCPA firm, Enron and WorldCom d" n 10 the Arthur Andersonau It scandals w ' . .pared to lhe lying and m' . ere lflslgnificam Com_boo IsrepresenwtJons we h .kkeepingentries Uthe . I ave seen With the bank. re IS a oan agree ththe bank used their bookk ' . men! at the bank wrOie andtelling the uuch and noth,eeplflb g emnes. have the bank give the details. 109 UI the truth d's J m ~ l y Want the one who funded the loan an s top the decept ion. We

eomes, [0 be repaid /.he mOne Wh b c ~ k . per the bookkeepingare wrong? Tom Schauf Ythe' 0 ut a SWindler couJd argue that wegave proof have the CPA bankuse empty words but give solid proof ili , auditors notareas of this repon. Their sUe at om Schauf IS wrong in allnee proves Tom Schauf to be COrrea.We need to keep a re f. CO'U 0 everyone involved' . ." forCing slavery upon theAmerican In thiS misrepresentationto correct the Problem.... VOte Out ~ ~ l e , The VOle i the only Sure wayThe Vote is theonly real sol . 0 enforced thIS slavery upon us.. . UtIon. After weVOle and .JUStIce the legal way I[ [s COrrect II, we wiU get. up to you to gel thwe Can COrrect the proble OUt e lrUth to every Voter som.In summary, a bank audilor usin dece ' .relevanl to diSCUSs wbo funded I p t I ~ n . WIU say things like, it is notbookkeeping entries, it is not r e l e v a n ~ ~ , l I I S nOi relevam 10 discuss thesubstance (bookkeeping entri " 0 ISCUSS form (agreement) verseswho funded the loan should bees), I ~ ~ S not relevant {o discuss i f the onerelevaIllto discuss what mone reipa! the m o ~ e y , ~ will argue it is nottypically say things like it a Y S :d what IS or IS not deposited. Theymentelaiming... asa w a ~ t o : = I r a : ~ thedther ~ i d e is m ~ g a n argu-report. They lypically argue that the bo an not d l ~ S S the ISSUes in thisgoods and deny that the bank or r d' ~ w e r r e ~ I V e d a benefit to buyalleged borrower which was an l ~ u r u o n received a benefit from thevalue to the allego


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might say it is insignificant and irrelevant who funded the loan until YOusteal the CPA's asset or money and return the stolen item to the victim asa loan and then it becomes significant and relevant.Anyone with a high school education can see the f law in the bank CPA'sargument that cash was lent and the borrower did not fund the loan. Ex-ample: The bank: makes5 loansors I00.1XlO each. Each time the $1 00,000promissory note is recorded as an asset and cash is credited. The onereceiving the cash does not hide the cash in their bed sheets. they depositit back in the bank and the bank assets and liabilities increase byS100,000from the aUeged truosaction. According to the bank CPA a bank couldlend out the same SIOO,OOO cash five times as bank assets and liabilitiesincrease5 times.The math provesthat you cannot have thesame $1 00.000cash in 5 pla


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Chapter 3 AdditionaJ Laws & StrategiesYou m,ay want to l o o ~ at the following laws: Fair Credit BillingACI andthe Fatr Debl Collection Practices Acl. Look up the words "validation"and "verification" in the law dictionary - let them, by affidavit. tell youlhat you owe t ~ money and what the terms and conditions are . S tudythe rules of eVidence (they must show you each item ch"roed that th, . -bCalffi you owe, notjuSta tOtal debt,and nostandard agreement is easytoprove). See VCC 8-315. Federal Rules of Evidence, Rule 1003 aboutnot allowing c:o py as evidence - argue the authenticity of the copy,demand the angmal. look up under State Jaw for lost or missing notes.~ t ~ d y the Federal Rules of Civil Procedure. Rulesn and 28 to gel Depo-Slbons. Study Declaratory RelieffJudgment to invalidate the contract.Read UCC 3-308about the proofof signalure and Status as the holder indue course- about denyingsignature in pleadings before rial orelse thejudge a s s ~ m e s it is yoursignature, giving authenticity 10 the promissorynme - which means you agreed the bank lent you the money as agreed.Study " h ~ y evidence", The debt collector who is an attorney useshearsay eVidence - what thecredit card company (a third pany) said to

-, collect. One person keptobjecting in court as the debt collector talkedsaying."objection, this is hearsay evidence."11le judge allowed the d e b ~collector to leslify. lOe judge asked if this wa


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If you go 10 coun. and get OUI of your loan but we do not use the VOtewin me nation. me bankers' politicians wiU demand a National ID toenslave you. So. what good isit winning in coun if we lose the nation : :me bankers? You could get many others tojoin us who could help us1O,000s. YES. YOU CAN MAKE A BIG DiFFERENCE. getIf wedo nOt do anything. they will go to a cashless SOCiety giving themtotal control over you. This is the time 10 win back a nation to the truthand stop slavery.W,e expect the bank. to changestrategy in 2003. The new bankruptcy lawWill ~ a mat you cannot cancel your creditcard deb!. Theywill simply~ ~ s h your wages and foreclose on your house after they force youIOta Involuntary ~ k : r u p t c y . Ask your legal counsel about demandingproof of the debt In bankruptcy. That might be your best defense.For research please look up these coun cases:'"Because the note in question was not payable 't o order or to bearer' theplaintiff payee did nOI hold in due course. Pascal v. Tardera. 1986. 123A.p.2d 752. 507 N.Y.S.2d 225""Where an instrument is neither payable to onler or bearer no one canqualify as a holder in due course. Key Bank of Southeastern N. Y. v.StroberBros., Inc., 1988, 136A.D.2d 604, 136A.D.2d604 523 NYS 2d855''''' ' . . .

50

Chapter 4 - What Bankers Fear

Tom taught over 2,000 CPAs nationally on appraising businesses andtestifying in coun as an expen witness. Tom owned and operated hisownCPA fum and business brokerage business for about len years. Af-ter one of the seminars in Pennsylvania at a Holiday Inn, Tom talked toa controller (top accountanl) for a major bank. In a privale conversation.Tom thought he would see if he could get a reaction out of this accountanl. Tom said to the controUer, U You know that all your bank loans area fraud." Without hesitation the controller agreed. Tom said, .. Aren'tyou afraid that you will go to jail." The controller responded. no. Hethen explained how banks create money and he who owns me moneycontrols the judges. lawmakers and the media. He explained how adver-tising money, loans and direct bankownership and how banker's politi-cal contributions control the politicians and the laws and how mOlleycontrols the media. Ifa politician VOles against the bank. the bank heavilyfunds lheir opponent next election so thaI the bank politician wins. Allthe politicians know thai they need the bank's media and money to getelected. He even boasted how the bank controls the FBI (Get me idea ofwhy they took. away rights if they call someone a terrorist?). He mensaid.. . I f someone put together a brochure and passed it out ill mass, Iwould immediately, permanenlly leave this country. I f the Americanpeople ever figure out what we have done to them, they would pul all ofus bankers.judges, sheriffs. and lawmakers in jail." He then laughed andsaid, "The American people are too stupid to figure out what we havedone to them, they wiU never be able to explain this in coun:' He letTom know how foreclosuresare very profitable and when lhe bank helpsthe judges, politicians. and sheriffs get the profitable foreclosures. Thegovernment agents in the bankers' pockel have very profitable invest-ments. The bankers and politicians call it good business. They representtheir personal invesunents, not the people that elected them. Currencytrading is also very profitable. Somegovernment agents helping the bank-ers get 100 percent profit a month on their investments. He explainedhow the governmem agents sold their souls to the bankers all for thelove of money.This is why it is critical 10 gel as many websites set up and get out the

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emails. Help us selllhe books. and gel the voter angry enough to talk thislher.friends. The book sales helps us raise the mooey needed to W i the nauon back to the lrUlh.As Tom conducted CPA continuing education seminars to CPAs and law.yers, a number of bank auditors toldTom that it was a fraud. The auditors tried to get Tom 10 swear to secrecy about the bank money creationand how it controls the government leaders and judges. Obviously. thebank concealed this pan of the agreement.From past telephone calls. peoplehave letTom know that in coun, bank.ers hate it when you ask for adequate assurance of due performance bywanting assurance thm the bank purchased the note from you lind didnOI deposit thenote. II they did. they were violating theGAAP matchingprinciple requiring the new liability to show thai the bank owes the depositor (You) money for depositing the note. I forgot to mention. per thebanking law. if the bank deposits the nOte, they muSt give you a depositreceipt (See 12 USCA Sec 1813). Did theygive you one? History showsmat in coun, bankers hare it if you claim mere is no bona fide signatureon the nOle, that the note is forged, lhe note was stolen and the value ofthestolen propeny was returned as a loan breaching the agreement. Bank.ers knew thai the stolen propeny funded lhe alleged loan. Anyone in thebanking indusuy buying me note knew what the agreement said andwhat the bookkeeping entries were. They knew and now they want 10pretend thai they do not know what you are talking about. The bankviolated the banking law GAAP (GAAP is only required if there is aCPA audit opinion and if the bank is FDIC insured. See United SlatesCode Annotated Title 12 Sec, 1831 n (2)(A. GAAP is proven by Federal Reserve Bank: publicaLions, showing the bookkeeping entries andconfirming everythingTom has said.The bank isin trouble if they admitto following GAAP or nOI following GAAP. U they do nOt know whatthe bookkeeping entries are, they cannot prove that they performed under the agreement and funded the loan to you. They have no coun evidence to prove they performed. TIle bank does not want to talk about thebookkeeping entries and if the borrower funded the loan. So that is whatwe want to talk about . The attomey/debt col lector is to know the lawGAAP - and what the agreement is. State law says banks are to purchasethe promissory nOle. They depos ited the note and did nOI give you a

receipt_ PerFederal Reserve Bank publication "'ModemMoney Meehanics", page 6 . the bank opened up a checking account under your nameand deposited the note. Then the bank withdrew the money from youraccoun( without your knowledge, permission or authorization and returned it to you as a loan . If they took your cash from your savings account and did mis, you would cal l it a fraud. The economics are essentialJy the same using a note instead of cash. They made an exchange ofmoney for money and charged you as if there was a loan. They performed the services of a moneychanger and claimed that they were alender, charging you 100percent for the transaction plus interest. That iswhy nearly every American is in debt up to the ir heads and sink ingquickly. They cannOt tell you i f money is cash or a bank liabiLily owingmoney. Look at the law for definitions of a deposit A depos il is an unpaid balanceofmoney that the bank owes. A negotiable instrument mustbe pa id in a cenain sum of money, SO how can the NOle be money andowing money at the same time? It cannot be the opposile of two de6ni-tions 31 the same time. The bank cannot explain what money is and thebookkeeping enllies but they charged you interest for the use of borrowed money. They wrote the agreement; have them explain it.The bankers' own secret manual that is truly for the bankers, shows thatthe bankers hate it when people claim "fraud in the factum" (fraud in theexecution). Remember the law in USC Title 5 Administrative Procedures Act? The nation is bankrupt SO we are under administrative lawand lhat is the law of "notices". Remember how the IRS and the banksalways give you a notice? You need to do the same. Notice them askingwhat the terms of the agreement are - the agreement that they wrote .When they refuse to tell you, the theory is that you can claim "fraud inthe factum".Obviously lhe banks fear Tom's coon admissions. Admit or deny - foreing them 10 give you "FULL DISCLOSURE"!Tom has a real concern. Peoplewant immediate gratification 10 becomedebt free. People want to sue, and wail 6 to l2 months hoping to win.Then people say, if I win, I will tell my fr iends about the bank. If theywait, we will never win the vote. The vote is more imponant than coun.Please stay outof coun and concentrateon getting hundredsof people to


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join us before taking the time 10 consider court. COUrt is risky, time COn-suming and COSIS money 10 hire a CPA expert witness. You could spend!.housands of dollars, waste 6 10 12 monthsand lose if you do not do theCOunroom procedures correctly or if the judge is bribed. If we all COn,centrale on the vote, we a re sur e to aU get out of debt. The Vale is theonlyway tohave assurance {Q reclaim a nation. If hundreds sue the bank,!.hey might just change the law to keep you in deb!. The vOle is the solution, nOI court . When we get hundreds of ePAs and lawyers joining usit will be easierfor a judge to agree wi!.h us. The lawyers and ePAs wilinOi join unti l we get the vOlers on our side. It is all about money, prOfitand control of the people.This ma

secret_banker%27s_manual

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