“The Federal Reserve Act”.
One of the purposes for enacting the Federal Reserve Act was:
(3) to authorize “hypothecation” of obligations including “United States bonds or other securities which Federal Reserve Banks are authorized to hold” under Section 14(a):
12 USC; Ch. 6, 38 Stat. 251 Sect 14(a)
The term “hypothecation” as stated in Section 14(a) of the act is defined:
1. Banking. Offer of stocks, bonds, or other assets owned by a party other than the borrower as collateral for a loan, without transferring title. If the borrower turns the property over to the lender who holds it for safekeeping, the action is referred to as a pledge. If the borrower retains possession, but gives the lender the right to sell the property in event of default, it is a true hypothecation.
2. Securities. The pledging of negotiable securities to collateralize a broker’s margin loan. The broker pledges the same securities to a bank as collateral for a broker’s loan, the process is referred to as re-hypothecation.” [Dictionary Of Banking Terms, Fitch, pg. 228 (1997)]
As seen from the definitions, in hypothecation there is equitable risk to the actual owner.
Section 16 of the current Federal Reserve Act, codified at 12 USC 411, declares that “Federal Reserve Notes” Dollars are “obligations of the United States” or debt instruments just as a LPN Negotiable Security, bank check, money order canceled stamp or other currency.
So, we see the “ full faith and credit” of the United States: which is the substance of the American citizenry: YOUR real property, wealth, assets and productivity that belongs to the Government corporation and the central bank, is thereby hypothecated and re-hypothecated by the United States to its debt obligations as well as to the Federal Reserve for the issuance and backing of Federal Reserve International Promissory Note Dollars as legal tender “for all taxes, customs, and other public dues” and so are the LPN Negotiable Securities.
TITLE 12, CHAPTER 3, SUBCHAPTER XII, Sec. 411
Sec. 411. – Issuance to reserve banks; nature of obligation; redemption
Federal Reserve Notes, to be issued at the discretion of the Board of Governors of the Federal Reserve System for the purpose of making advances to Federal Reserve Banks through the Federal Reserve Agents as hereinafter set forth and for no other purpose, are authorized. The said notes, shall be obligations of the United States and shall be receivable by all national and member banks and Federal Reserve Banks and for all taxes, customs, and other public dues.
The commerce and credit of the corporate nation continues on today under financial reorganization (Bankruptcy) as it has since 1933, still backed by the assets and wealth of the American citizenry: putting YOU at risk for only the 10 square Mile area and territories of the District of Columbia corporate government’s obligations and currency known as the National Debt. The 50 republic states of the union is not part of the UNITED STATES Corporate Government.
Under the 14th amendment and numerous United States Supreme Court precedents, as well as in equity, PRIVATE property cannot be taken or pledged for public use without just compensation, or due process of law. The United States cannot pledge or risk the property and wealth of its private citizens, for any government purpose without legally providing them remedy to recover what is due them on their risk, but the banks rob you of your possessions and property thru bogus or fake pretend loans by forcing you to sign your signature on their notes and liens.
This principle is so well established in English common law and in the history of American jurisprudence. The 14th amendment provides: “no person shall be deprived of … property without due process of law”. And courts have long ruled to have one’s property legally held as collateral or surety for a bogus debt even when you think you still own it but you are just renting as the government entity, city, county, or STATE actually owns your property. The Corporate Government still deprives you of it since it is at risk and could be lost for the debt at any time.
The United States Supreme Court said, in United States v. Russell [13 Wall, 623, 627] “Private property, the Constitution provides, shall not be taken for public use without just compensation.”
“The right of subrogation is not founded on contract. It is a creature of equity; is supposed to be enforced solely for the purpose of accomplishing the ends of substantial justice, but most attorney judges rule in the bank’s favor against the law, court cases, and against their oaths of office; and is independent of any contractual relations between the parties.” Memphis & L.R.R. Co. v. Dow, 120 U.S. 287, 301-302 (1887).
BUT the good news is that the Texas Republic Nation now has cyber coins soon to be released to the world and backed by intrinsic valued precious metals, timber, and oil from the Texas Republic land area, nearly 1 million square miles reaching from what is now known as the STATE OF TEXAS all the way to the Pacific Ocean to the west and you can also get out of your Corporate UNITED STATES debt slavery prison now by going through this website and read about the preprocessed LPN Negotiable Security that can be used as money and pay off your debts and save you Thousands of Dollars. Just order the $19.95 LPN E-booklet for information and education. Remember this process is not a DO IT YOURSELF process. This is the Texas Republic Chief Justice Judge for Travis County, David Allen Young bidding you a great life with freedom, justice, and restored rights as a Texian. When you decide to join us in the Texas Republic Nation just contact me and I will swear you in as a Texian after only 6 months of living in the Texas Republic.