This is re-posted for discussion and education purposes only. All rights retained by the original author.
“Re: Material Omissions on Audits of Federally Insured Loans
Dear Certified Public Accountant:
It has come to our attention, after consulting with other CPAs, and researching the United States Code, the corresponding Code of Federal Regulations, the Uniform Commercial Code, SEC Regulations and certain Federal Reserve Bank Publications that there is good reason to believe some of the audits performed by your firm may have misrepresented the financial conditions of some of your clients because of material omissions concerning Federally insured loans.In particular, it appears that the Borrower will be relying upon the Lender’s compliance with Federal Laws 12 USCA 1831n (a)(2)(A) and/or 12 CFR 741.6(b) that require the use of Generally Accepted Accounting Principles (GAAP) for Federally-insured loans, and upon the Lender’s compliance with Federal Reserve Policies and Procedures concerning the granting of loans (see Federal Reserve publications “Modern Money Mechanics“, p. 6, and “Two Faces of Debt“, p. 19, for clear statements that promissory notes for loans are deposited into “borrowers’ transaction accounts” and are payable upon demand just like a regular deposit accounts), to demand the full and immediate payment of the Borrower’s deposit with the Lender from this “borrower’s transaction account”, since the Lender lent their own Net Worth to the Borrower – – not the funds from the Borrower’s deposit account.
We would appreciate an opportunity to discuss this with you and to present some alternatives to limit your exposure to civil and criminal actions as more people become aware of the true bookkeeping entries behind some mortgage loan transactions.
Sincerely,
BankFreedom Authorized Associate“
Retired CPA court expert witness, Thomas Schauf, exposes the bank loan secret resulting in bankers volunteering in forgiving loans. Learn the bankers secret that can significantly increase your wealth.
The bankers wrote the bank loan agreement but they cannot answer Thomas Schauf’s questions. Thomas Schauf simply asks the bankers to tell the whole truth and nothing but the truth in explaining the whole loan agreement, money and bookkeeping entries. All Thomas Schauf asks for is equal protection of both parties, no concealment and that the party who funded the loan per the bookkeeping entries is to be repaid the money. Thomas Schauf believes that if the voters learned the truth, the voters would vote to change the banking system and vote out the politicians who forced this banking system onto us.
Bankers want you to believe that depositors deposit money at banks, banks lend the money to borrowers and the borrowers repay the money and the money is returned to the depositors who funded the loan. If you think this is how American banking works, you have been lied to and deceived. Fact is the economics of today’s banking system is similar to stealing, counterfeiting and swindling and that is why the bankers cannot explain the loan details and answer Thomas Schauf’s questions. Bankers are terrified that the details might be exposed in public court.
The banker’s own publications admit and the bank’s bookkeeping entries prove that when the banks lend money, the bankers create new money with the economics similar to counterfeiting. If a counterfeiter counterfeits money and lends it to you, do you have any moral or legal obligation to repay the loan? NO, The law says counterfeiting is illegal and that you do not have to repay the counterfeiter.
Bankers are too smart to counterfeit cash and go to jail. They are money masters and use another method to create new money with the economics similar to counterfeiting without going to jail. The secret involves two kinds of money. Legal tender – cash- money and non legal tender money like checks and credit cards. The bank’s own publication claims that money does not have to be issued by the government or be in any special form. According to the bank’s manual, money is anything that can be sold for cash and that the banks accept as money. The loan agreement you sign is sold to investors wanting interest. If you do not pay the interest, they foreclose and collect the money. The loan agreement can be sold for cash and the bankers use the loan like non-legal tender money. If you exchange $100 of cash for a $100 check the bankers acted like a moneychanger and lent you none of the bank’s money. If the bank uses your $100,000 loan agreement like money to fund a check like cash funds a check, the banker acted like a moneychanger without the bank using or risking one cent of their money to purchase your loan agreement. The banker got your loan agreement for free which has the economics similar to stealing. The banker created $100,000 of new money which has the economics similar to counterfeiting. Would you agree to have the banker steal your $100,000 loan agreement and use it to create $100,000 of new money and return the value of the stolen property to you as a loan? Did you agree to be swindled? The banker knows you would never knowingly be this stupid and that is why he cannot disclose the whole truth in court. The bookkeeping enties prove that the borrower’s loan agreement funded the loan to the borrower. The bookkeeping entries prove that the banker merely acted like a moneychanger exchanging one kind of currency for another kind of currency and charging you as if there were a loan. If you funded the loan to yourself, why are you paying the banker back the principle and interest?
Bankers understand the difference between money and wealth. Money buys things. If you could counterfeit money, you could buy the whole world and control Congress. Wealth is anything that you can sell. You can sell real estate, cars, gold, silver and people sell their 40 hours a week for a payroll check. Yes, labor produces wealth. Labor produces gas for your car, food to eat and homes, cars and roads. The banker knows that if everyone stopped working, stayed home and counterfeited money, everyone would starve to death, and no one would have gas for their car because everyone stopped working. When bankers create new money and lend it to you, you must work for the banker for free to repay the loan or he forecloses and gets your home or car for free. The money creator gets more of your wealth for free using a suit and tie than a gunman does pointing a gun to your head. The banker says, repay the loan because the bank lent you money. We simply ask one question. Should the one who funded the loan he repaid the money? If they answer YES or NO, the bank must forgive the loan and zero out the debt. That is the one question that they do not what to answer because the borrower funded the loan as proven by the bank’s own bookkeeping entries.
Ask yourself one question. Where did all the cash come from to make all the loans for cars and
homes and businesses, Nearly every business and family has huge debts. If they had cash, they would not have loans. The banks created the new money and lent it to you.
We are not calling the bankers criminals. We are showing you how intelligent, creative and genius the bankers are in developing this secret. Bankers have told Thomas Schauf that the American people are too stupid to figure it out. One of the biggest bankers in America told Thomas Schauf that the banker’s money controls who is elected into Congress, the President and judges. He even boasted how the Banker’s loan money and advertising money controls all major media to keep it a secret. He explained how lawyers, judges, CPAs, politicians profit from the bankers by keeping this system going and keeping it secret. You lose and they benefit by understanding this secret. Want proof? Ask the banker to sign Thomas Schauf’ss affidavit proving Thomas Schauf wrong. The banker will not sign it proving us wrong.
This secret banking allows bankers to create economic booms and busts, makes the stock market go up and down as they increase and decrease the money supply. You lose in investments as those who understand the secret transfer your investment money into their pocket. You lose, they win.
You can benefit from learning this secret.
1) Force the banker to explain all the bookkeeping details to you. Bankers wrote the agreement, have them give the details. They fear that you might expose this in public court for all to learn their secret. This could be the reason many bankers have forgiven debts giving people a zero balance owed. We look for a voting solution not a court solution because bankers might ask the bank owned politicians to change laws to force you to stay in debt.
2) Learn how to profit from their secret system.
3) Join us so that voters will vote out the banker’s politicians and judges and vote in honest Americans to give everyone equal protection under the law, stamping out the economics similar to stealing, counterfeit and swindling. Join us in exposing the whole truth and nothing but the truth, ff we do not stop the bankers and their politicians, they will try and go to a national ID card and cashless society giving the bankers absolute control over you.
Copyright 2002 – Thomas Schauf
Want Worldwide PEACE and Prosperity. We are the solution we have been searching for... Free People on Earth will solve our crisis and create an era of Creativity. Be Aware; Be Creative; Be Active; Be Free; and then Share it. LOVE & Wholeness AMOR y Paz
Ronmamita's Blog 
http://loveforlife.com.au/content/09/08/17/top-secret-bankers-manual-zero-credit-cards-personal-loans-and-mortgages-tom-schauf
Visit the above link or download the pdf file for the book, this is but only one of the many thousands of sources that are revealing the financial racket that controls governments and political parties and mass media…
Is it not time for you to exercise your freedom, liberty, creativity and leave the global financial matrix behind?
Create your own vision for your life and find many new friends that are doing likewise.
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I kindly add my thoughts about home mortgages in hopes that the fraud will be revealed to all and repealed. Stop the banking fraud.
The foundation of the mortgages is FRAUD.
The home owner should know if the NOTE is financed with negotiable instruments (what specie of money is used) or is a tangible asset used to create a true loan with mutual considerations, full disclosure, and wet ink signatures for a valid contract agreement.
Fraud is still fraud even if it has been done for decades and insured/promoted by the governments.
PS: The USC defines the United States as a Federal Corporation.
Get over the shock and deal with the truth.
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HOW about credit cards? do they operate the same way?
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Happy greetings Arnold!
It depends on the corporation.
If it is a member of the global money cartel (central banks) it may be operating in a similar manner with credit cards (more likely, as the major corps have bought out most competitors or sub-contract through them).
Change is occuring as more people realize the global financial ponzi scheme and more people are challenging the global money cartel.
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how do u know which banks are connected to the central banks? is there a list?
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Re: Arnold
There may be some lists available but would you trust it?
I can only tell you that I would not trust a list but use it, perhaps as a point to start further investigation and research.
If they are FDIC insured and have a federal charter then they are connected to the Federal Reserve system Central Bank.
One bank that appears not to be is the public bank of North Dakota, however further research is required to know for sure.
http://banknd.nd.gov/
They claim: “In contrast to most commercial banks, Bank of North Dakota is not a member of the Federal Deposit Insurance Corporation (FDIC). North Dakota Century Code 6-09-10 provides that all deposits in Bank of North Dakota are guaranteed by the state.”
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Thank u for ur answer. hypothetically speaking: if someone gets a mortgage upon purchasing a house or land at a bank, is that money that is at the bank as a positive instead of a negative based on a trust that the person’s signature authorizes from his birth certificate (which looks like a bond) trust account. (since there is no money)?
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There is no “short answer to your hypothetical.
For starters what do you mean when you use the term “MONEY”? There are many species of money and banks use several and sometimes create more.
There are government currencies, municipal bonds, other promissory notes, commodities such as silver & gold, etc.
Typically Federal Reserve Note, “dollar”, may be what you are considering as money, but it, the “Dollar”, is just a promissory “note” from the USA’s central bank, Federal Reserve System. Which has no reserves and is not part of the federal government. We are dealing with massive deception and fraud…
Ok, typically as a homebuyer one may want to buy a home and the bank will use the homebuyer’s signature as a legal contract to pay interest or a large sum that incorporates a interest for the profit and fees of the bank that agrees to “finance” the transaction. The bank will then typically record the signed promissory “note” as a asset (a specie of money) and use it to create more monies (fractional reserve banking) to loan out or payoff with Federal Reserve Notes (FRNs)…
The old fractional reserve rate 9:1 (for every dollar the chartered bank could create 9 more dollars now a total of $10 dollars exist on their asset ledgers where there was only one in the vault) They can payoff the other parties (previous owner and inspectors and recordkeepers, etc.) and increase their commercial paper assets based on the signed promissory note as an asset. For many banks they have become even more creative and bundled the signed “note” with many and securitized as an asset backed security to trade on the global exchange markets that is a major functions of “MERS”…
The bank then hands the mortgage over to a “servicer” to recoup what fees and payments it can.
Can you see what I mean when I said there is no short answer?
I only skimmed the details and it is worth your time to research and read the details.
Generally the banks hold a positive asset value while the homebuyer holds a debt not realizing the home has already been paid off and most likely repackaged into another profit making vehical or instrument.
But almost all of these paper assets are fictional Hypothecation and re-Hypothecation meaning quite probably that the major banks are broke and with more fictional paper-wealth assets than real tangible physical assets; unless you leave your property and they, the banks, take it.
For more details see:
Click to access SECURITIZATION-DIAGRAM.pdf
http://www.marketoracle.co.uk/Article14123.html
http://www.nakedcapitalism.com/2011/11/matt-stoller-mortgage-servicers-%E2%80%93-getting-away-with-the-perfect-crime.html
http://stopforeclosurefraud.com/
http://www.msfraud.org/howtheysteal.html
http://www.msfraud.org/quest2.html#z
Documented bad actors:
http://www.msfraud.org/fraudsterlist.html
Help and solutions:
http://whatliesinyourdebt.com/
http://livinglies.wordpress.com/foreclosure-defense-forms/people-players-and-resources/suggested-readings/
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Reblogged this on Roxie's Random SpirituaL {MU5inGzzz}…….
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Reblogged this on SherayxWeblog.
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Reblogged this on Lissa's Humane Life.
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Reblogged this on Spartan of Truth and commented:
Thanks Ron.
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Yes, yahoo. Where to for this question/ s to ask banker’s?
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