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Copy of Larry Flinchpaugh’s memo to his political activist colleagues Sept. 8, 2009

The only long term solution to our country’s economic problems is to abolish the private and unconstitutional “Federal Reserve System,” “Fractional Reserve Banking” and the income tax on our personal salaries. (Just think what a stimulus it would be to our economy if you didn’t pay income tax on your salary!) This does not mean I am a tax protester as labeled by the controlled mainstream media! We have had three periods in our country’s history when the private banks have controlled our monetary system. (The Federal Reserve Act was the third passed in 1913) In between these times our country experienced a booming economy and once the national debt was even paid off including a balanced budget.

The Federal Reserve Act passed in 1913 was supposed to keep our country from serious depressions and periods of inflation eliminating the boom and bust business cycle. Looks like it hasn’t work.

Now is the time to abolish the Fed and Fractional Reserve Banking and allow our own Treasury Department to issue and print our money supply interest free. The income tax we now pay on our salaries does not go to pay for government services but rather pays the private Federal Reserve for the interest it charges us for printing and loaning us our own money. If anyone other than a bank did this it would be declared “fraud” and they would be charged with “counterfeiting.”

The banking system we now have is bound to fail. It is only a matter of when. The banks through fractional banking practices create the money for the principal for a loan but do not create the money for the interest. There is always a shortage of money to pay the interest.

The paper money created by the colonists and the greenbacks created by Lincoln to pay for the Civil War worked just fine. Neither had any gold or silver backing. Many historians believe that Lincoln’s action of bypassing the bank with his interest free “greenbacks” was the reason for his assassination.

Our country is “bankrupt.” I would suggest that the US Government consider declaring bankruptcy and void all interest and payments to the Federal Reserve. These write offs would be only a fraction of what the Federal Reserve has stolen from the American people since 1913. I sometimes get a little depressed thinking our country is going to collapse due to our flawed monetary system. But then I remember that we still have millions of intelligent hard working people, natural resources, and an infrastructure to recoup what we have lost. Most people are willing to work to obtain the necessities of life. The only thing missing is enough money to make it possible to conduct commerce. Our government can create that money interest free on a printing press so we can conduct commerce efficiently. It has worked in the past and it will work again.

This is the most important issue you could ever consider in solving our country’s economic problems. Sadly the majority of the people of this country do not understand and neither do the majority of our political leaders. Every one of us need to diligently study this issue so we can make the necessary changes to return our country to that which was envisioned by our founding fathers.

Larry Flinchpaugh

J.L. Flinchpaugh Publishing Co.

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