Finacial Non-Freedom or It's The Law

[Mergie Master]

I got this from a friend who follows the financial markets very closely and writes the occasional financial article. It's a copy of a post he made to a forum. -Mergie

It's The Law

It couldn't have happened to a nicer country. On March 18, with very little pomp and circumstance, president Obama passed the most recent stimulus act, the $17.5 billion Hiring Incentives to Restore Employment Act (H.R. 2487), brilliantly goalseeked by the administration's millionaire cronies to abbreviate as HIRE. As it was merely the latest in an endless stream of acts destined to expand the government payroll to infinity, nobody cared about it, or actually read it. Because if anyone had read it, the act would have been known as the Capital Controls Act, as one of the lesser, but infinitely more important provisions on page 27, known as Offset Provisions - Subtitle A-Foreign Account Tax Compliance, institutes just that.

In brief, the Provision requires that foreign banks not only withhold 30% of all outgoing capital flows (likely remitting the collection promptly back to the US Treasury) but also disclose the full details of non-exempt account-holders to the US and the IRS. And should this provision be deemed illegal by a given foreign nation's domestic laws (think Switzerland), well the foreign financial institution is required to close the account. It's the law. If you thought you could move your capital to the non-sequestration safety of non-US financial institutions, sorry you lose - the law now says so. Capital Controls are now here and are now fully enforced by the law.

One thing we are confused about is whether this law is a preamble, or already incorporates, the flow of non-cash assets, such as commodities, and, thus, gold. If an account transfers, via physical or paper delivery, gold from a domestic account to a foreign one, we are not sure if the language deems this a 30% taxable transaction, although preliminary discussions with lawyers indicates this is likely the case.

And so the noose on capital mobility tightens, as very soon the only option US citizens have when it comes to investing their money, will be in government mandated retirement annuities, which will likely be the next step in the capital control escalation, which will culminate with every single free dollar required to be reinvested into the US, likely in the form of purchasing US Treasury emissions such as Treasuries, TIPS and other worthless pieces of paper.

Each and every one of you are now officially trapped inside the borders. If you have real estate overseas that you can flee to, I would eat the losses, even if it meant 75% of your net worth, and GET OUT.

The remainder of us will be trapped here for a decade at a minimum or longer should the world elect to quarantine this nation; and that they will.

Good luck to all.

P.S. - FYI, I outlined this when I did radio a few years ago as one of the preconditions for a currency change and martial law.

It's here. Get out if you can.

Congratulations bankrupt America - you are now one step closer to a thoroughly non-free market.

[lab wont swim]

I have a question about all these laws ubama has been making/passing/signing. If one of these supposed lawsuits about his eligability turns out to be acurate, then does that mean all these laws ppassed would be null and void on the basis he wasn't eligable to be president?

[Mergie Master]

Some camps say "yea" some "nay". But who knows how the PTB would deal with that situation. There's no precedent for it. It would definitely be virgin legal turf.