Liberty Dollars Founder convicted in federal court
Jim
http://j.mp/ikmGdZ
Liberty Dollar founder convicted on federal charges
Posted by David Forbes <http://www.mountainx.com/member/875/>in News
<http://www.mountainx.com/blogwire/category/News> | 17 hours, 47 minutes
ago
Liberty Dollar founder Bernard von NotHaus was convicted today on
federal charges in Statesville. The case has local implications, because
Asheville Liberty Dollar head Kevin Innes also faces trial
<http://www.mountainx.com/news/2009/head_of_asheville_liberty_dollar_operation_arrested_faces_45_years_in_priso>.
Innes has asserted that he is innocent of any wrongdoing
<http://www.mountainx.com/news/2010/020310give_me_liberty_or_give_me_jail>,
and sought local support.
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Full announcement from the U.S. Attorney's office below:
STATESVILLE, NC - Bernard von NotHaus, 67, was convicted today by a
federal jury of making, possessing and selling his own coins, announced
Anne M. Tompkins, U.S. Attorney for the Western District of North
Carolina. Following an eight-day trial and less than two hours of
deliberation, von NotHaus, the founder and monetary architect of a
currency known as the Liberty Dollar, was found guilty by a jury in
Statesville, North Carolina, of making coins resembling and similar to
United States coins, of issuing, passing, selling, and possessing
Liberty Dollar coins, of issuing and passing Liberty Dollar coins
intended for use as current money, and of conspiracy against the United
States. The guilty verdict concluded an investigation which began in
2005 and involved the minting of Liberty Dollar coins with a current
value of approximately $7 million. Joining the U.S. Attorney Anne M.
Tompkins in making today�s announcement are Edward J. Montooth, Acting
Special Agent in Charge of the FBI, Charlotte Division, Russell F.
Nelson, Special Agent in Charge of the United States Secret Service,
Charlotte Division, and Sheriff Van Duncan of the Buncombe County
Sheriff�s Office.
According to the evidence introduced during the trial, von NotHaus was
the founder of an organization called the National Organization for the
Repeal of the Federal Reserve and Internal Revenue Code, commonly known
as NORFED and also known as Liberty Services. Von NotHaus was the
president of NORFED and the Executive Director of Liberty Dollar
Services, Inc. until on or about September 30, 2008.
Von NotHaus designed the Liberty Dollar currency in 1998 and the Liberty
coins were marked with the �$�, the word dollar, USA, Liberty, Trust in
God (instead of In God We Trust) and other features associated with
legitimate U.S. coinage. Since 1998, NORFED has been issuing,
disseminating, and placing into circulation the Liberty Dollar in all
its forms throughout the United States and Puerto Rico. NORFED�s purpose
was to mix Liberty Dollars into the current money of the United States.
NORFED intended for the Liberty Dollar to be used as current money in
order to limit reliance on, and to compete with, United States currency.
In coordination with the Department of Justice, on September 14, 2006,
the United States Mint issued a press release and warning to American
citizens that the Liberty Dollar was �not legal tender.� The Mint press
release and public service announcement stated that the Department of
Justice had determined that the use of Liberty Dollars as circulating
money was a federal crime.
Article I, section 8, clause 5 of the United States Constitution
delegates to Congress the power to coin Money and to regulate the Value
thereof. This power was delegated to Congress in order to establish and
preserve a uniform standard of value and to insure a singular monetary
system for all purchases and debts in the United States, public and
private.
Along with the power to coin money, Congress has the concurrent power to
restrain the circulation of money which is not issued under its own
authority in order to protect and preserve the constitutional currency
for the benefit of all citizens of the nation. It is a violation of
federal law for individuals, such as von NotHaus, or organizations, such
as NORFED to create private coin or currency systems to compete with the
official coinage and currency of the United States.
Von NotHaus, who remains free on bond, faces a sentence of up to fifteen
years imprisonment on Count Two of the Indictment and a fine of not more
than $250,000. Von NotHaus faces a prison sentence of five years and
fines of $250,000 on both Counts One and Three. In addition, the United
States is seeking the forfeiture of approximately 16,000 pounds of
Liberty Dollar coins and precious metals, currently valued at nearly $7
million. The forfeiture trial, which began today before United States
District Court Judge Richard Voorhees, will resume on April 4, 2011 in
the federal courthouse in Statesville. Judge Voorhees has not yet set a
date for the sentencing of von NotHaus.
�Attempts to undermine the legitimate currency of this country are
simply a unique form of domestic terrorism,� US Attorney Tompkins said
in announcing the verdict. �While these forms of anti-
government activities do not involve violence, they are every bit as
insidious and represent a clear and present danger to the economic
stability of this country,� she added. �We are determined to meet these
threats through infiltration, disruption and dismantling of
organizations which seek to challenge the legitimacy of our democratic
form of government.�
The case was investigated by the FBI, Buncombe County Sheriff�s
Department and the U.S. Secret Service, in cooperation with and
invaluable assistance of the United States Mint. The case was prosecuted
by Assistant United States Attorneys Jill Westmoreland Rose and Craig D.
Randall and the forfeiture trial is being prosecuted by AUSAs Tom Ascik
and Ben Bain Creed.