Love Me Tender Laws

On March 15th U.S. Congressman Ron Paul introduced the “Free Competition in Currency Act of 2011” that would, among other things, repeal the current legal tender laws.

HR 1098 was introduced to the 112th U.S. Congress and includes language that would also remove any taxation, federal or state, on all

“…coin, medal, token, or gold, silver, platinum, palladium, or rhodium bullion, whether issued by a State, the United States, a foreign government, or any other person…”.

This bill was introduced days prior to the decision in a federal court in North Carolina which declared monetary architect, Bernard von Nothaus guilty of violating legal tender laws by conspiring against the United States and committing “…a unique form of domestic terrorism” according to U.S. Attorney Anne M. Tompkins.

The suit against von Nothaus came only months after he had filed suit against the U.S. Mint whose legal team had previously reviewed von Nothaus’ Liberty Dollar and prompted U.S. Mint officials to declare:

“There’s nothing illegal about this. As long as it doesn’t say ‘legal tender’ there’s nothing wrong with it.”

Von Nothaus has been credited with inspiring others in the “honest money” movement which, among other ideals, calls for in depth examination of the devaluation of the U.S. Dollar by the privately owned Federal Reserve Bank.

Congressman Paul was featured on medallions minted by von Nothaus’ organization, previously called NORFED (National Organization to Repeal the Federal Reserve Act), and seized by federal agents in a raid of the Liberty Dollar headquarters in Evansville, Indiana in 2007. The U.S. government is still seeking, in addition to the two tons of copper and 500 pounds of silver taken in the initial assault, another 16,000 pounds of coins and precious metal valued at nearly $7 million.

House Resolution 1098 introduced by Dr. Paul would open the U.S. Dollar to competition in the U.S. while it is suffering the same fate from abroad as uncertainty in its stability grows. The legislation would also afford more protection to those who utilize precious metal purchases as investments.  The bill has been referred to the Committee on Financial Services, and the Committees on Ways and Means and the Judiciary. A link to the text of the bill can be found embedded in the quote above or by clicking on the following link: