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Title: Liberty Dollars Not Legal Tender, United States Mint Warns Consumers
Source:
US Mint
URL Source: http://www.usmint.gov/pressroom/ind ... es&action=press_release&ID=710
Published: Nov 22, 2006
Author: Unknown
Post Date: 2006-11-22 08:11:57 by innieway
Keywords: None
Views: 215
Comments: 16
Justice Determines Use of Liberty Dollar Medallions as Money is a Crime Washington, D.C. — The United States Mint urges consumers considering the purchase or use of “Liberty Dollar” medallions, marketed by the National Organization for the Repeal of the Federal Reserve Act and the Internal Revenue Code (NORFED), to be aware that they are not genuine United States Mint bullion coins, and not legal tender. These medallions are privately produced products that are neither backed by, nor affiliated with, the United States Government. Prosecutors with the Department of Justice have determined that the use of these gold and silver NORFED "Liberty Dollar" medallions as circulating money is a Federal crime. NORFED is headquartered in Evansville, Indiana, and the medallions reportedly are produced by a private mint in Coeur d’Alene, Idaho. NORFED claims that more than $20 million dollars worth of Liberty Dollar coins and notes are in circulation. Consumers may find advertisements for these medallions confusing and should take note of several issues related to them. The advertisements refer to the product as "real money" and "currency." These medallions might look like real money because they: * Bear the inscriptions, "Liberty," "Dollars," "Trust in God" (similar to "In God We Trust"), and "USA" (similar to "United States of America"), and an inscription purporting to denote the year of production. * Depict images that are similar to United States coins, such as the torch on the reverses of the current dime coin, 1986 Statue of Liberty Commemorative Silver Dollar and 1993 Bill of Rights Commemorative Half-Dollar, and the Liberty Head designs on the obverses of United States gold coins from the mid-1800s to the early 1900s. However, despite their misleading appearance, NORFED "Liberty Dollar" medallions are not genuine United States Mint coins, and they are not legal tender. The advertisements confusingly refer to NORFED "Liberty Dollar" medallions as "legal" and “constitutional." However, under the Constitution (Article I, section 8, clause 5), Congress has the exclusive power to coin money of the United States and to regulate its value. The United States Mint is the only entity in the United States with the lawful authority to mint and issue legal tender United States coins. Under 18 U.S.C. § 486, it is a Federal crime to pass, or attempt to pass, any coins of gold or silver intended for use as current money except as authorized by law. According to the NORFED website, "Liberty merchants" are encouraged to accept NORFED "Liberty Dollar" medallions and offer them as change in sales transactions of merchandise or services. NORFED tells "Liberty associates" that they can earn money by obtaining NORFED "Liberty Dollar" medallions at a discount and then can "spend [them] into circulation." NORFED’s "Liberty Dollar" medallions are specifically marketed to be used as current money in order to limit reliance on, and to compete with the circulating coinage of the United States. Consequently, prosecutors with the United States Department of Justice have concluded that the use of NORFED’s "Liberty Dollar" medallions violates 18 U.S.C. § 486, and is a crime. The United States Mint has a Consumer Alert with photos of Liberty Dollars at http://www.usmint.gov/consumer/index.cfm?action=HotItems Contact: Press inquiries: Becky Bailey (202) 354-7222
Poster Comment: FRN debt NOTES aren't really money either - as set out in the CONstitution... If anything, the Liberty Dollars come closer to qualifying under the Constitution - as it says "no State shall make any thing but gold and silver coin a tender in payment of debts"....
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#1. To: innieway (#0)
Okay, not legal tender, but legal barter.
Are these "liberty dollars" made of gold or silver?
the law, in its majestic equality, forbids the rich as well as the poor to sleep under bridges, beg in the streets and steal bread.
They are. And the feds are skirting around a very delicate issue here, that being that you can pay anyone with anything if the other party is agreeable--classic barter. The only thing that distinguishes "legal tender" from other forms of payment is that the party providing goods and services MUST accept legal tender if it is offered, whether they like it or not. I am not involved with Liberty Dollars in any way, but it seems to me that NORFED (the guys who provide them) have been VERY careful to not claim that their products are legal tender. In fact, I think they claim that they're better than legal tender, because they're backed by or composed of silver or gold. My $.02: Any case brought against them for counterfeiting or passing bogus "money" (as defined per statute) has no merit, but the feds could probably drag it out long enough to bankrupt NORFED if they so chose.
The national nightmare has ended... Now begins two years of watching the Congress play "Kick the Gimp".
Legal or not, who would pass up a chance to be paid a debt in GOLD??? I'd rather have real gold, than fake money any day.
#2. To: innieway (#0)
#3. To: bluedogtxn (#2)
Are these "liberty dollars" made of gold or silver?
#4. To: Indrid Cold (#3)
 | What's that Mr. Nipples? You want me to ask the nice lady about her rack?. |
#5. To: lodwick, BTP Holdings, Arete (#0)
ping
"The illegal we do immediately. The unconstitutional takes a little longer."
---Henry Kissinger, New York Times, October 28, 1973
#6. To: TommyTheMadArtist (#4)
Well on that note, I'd rather be paid in Credit Suisse bars, rather than something with a huge markup like Liberty Dollars.
I'd rather have real gold, than fake money any day.
The national nightmare has ended... Now begins two years of watching the Congress play "Kick the Gimp".
#7. To: robin. gold bugs here (#5)
I offer to pay however the payee wishes - many are smart enough to take gold or silver, like the ad from Swiss America says, "It is private, it owes no one, and it is a store of value."
#8. To: TommyTheMadArtist (#4)
Well- that is precisely why the government takes this seriously. I don't care how "strong" or how much "Faith" there is in government issued paper currency- if someone offered to pay for something in gold or silver coin or the paper currency- which do you think most people would choose? Any non corporate or non franchise operation would take the gold or silver (and the only reason why your local Starbucks wouldn't is because they are corporate drones who do what they are told and can't make decisions like that.) Governments will never accept currency competition. Indeed- monopolization of the currency is the first order of business for any government. It is the loadstone of government power- upon which all other government powers rest atop. During the great depression- people actually made their own money in the form of IOU's to buy goods and services from one another- backed by nothing more than the faith in that person and his reputation. In the history of the expansion westward of this country- where often no government existed in newly settled lands- all sorts of private currencies circulated. Not only currencies- but property deeds. Law itself was privatized before formal governments came in and announced their monopolies. We have been conditioned to believe in our history books that only when government was established in new territories of this nation that "civilization" was established- that before government came- people were murdering each other and there was no security. It is a big lie.
Legal or not, who would pass up a chance to be paid a debt in GOLD??? I'd rather have real gold, than fake money any day.
#9. To: Indrid Cold (#6)
You've piqued my curiosity. How does one procure these said Suisse Bars?
| What's that Mr. Nipples? You want me to ask the nice lady about her rack?. |
#10. To: TommyTheMadArtist (#9)
Credit Suisse 1 oz bars $8 over spot. 10 oz - $6 over spot See, e.g.:
#11. To: innieway (#0)
NORFED has never purported their silver and gold rounds to be legal tender. In fact the opposite is true. They have said openly that they are not. The only thing which is misleading is this press release from the U.S. Mint.
However, despite their misleading appearance, NORFED "Liberty Dollar" medallions are not genuine United States Mint coins, and they are not legal tender.
“The tendency of democracies is, in all things, to mediocrity, since the tastes, knowledge, and principles of the majority form the tribunal of appeal.” James Fenimore Cooper
#12. To: Indrid Cold (#3)
Not exactly. You have a right to private contract with individuals, and in the terms of that contract can state that the only acceptable form of payment is gold or silver.. I do NOT have to accept "legal tender" FRN's if I don't want to - and if Sally Soccer Mom doesn't want to pay me in silver to unclog her drain, she can go find a different plumber. There are plenty of plumbers out there that WILL accept the debt Sally is offering.
The only thing that distinguishes "legal tender" from other forms of payment is that the party providing goods and services MUST accept legal tender if it is offered, whether they like it or not.
No absurdity is so palpable but that it may be firmly planted in the human head if you only begin to inculcate it before age five, by constantly repeating it with an air of great solemnity. - Arthur Schopenhauer
#13. To: TommyTheMadArtist (#4)
And you certainly can legally get paid in gold IF you conduct your "business" by private contract with individuals... In the terms of the contract you state that payment will be in gold. Hell, you can accept a bale of hay for payment if you want to - simply state that in the contract. Private contract between individuals (barter) is also a powerful tool to alleviate taxes...
Legal or not, who would pass up a chance to be paid a debt in GOLD??? I'd rather have real gold, than fake money any day.
No absurdity is so palpable but that it may be firmly planted in the human head if you only begin to inculcate it before age five, by constantly repeating it with an air of great solemnity. - Arthur Schopenhauer
#14. To: innieway (#12)
Gold contracts are not enforceable. The US Supreme Court determined that in the 1930s. Obviously if the contract is complied with, that is of no concern. But if the gold-paying party reneges, AFAIK, there is no recourse in the courts.
#15. To: innieway, DeaconBenjamin (#12) (Edited)
It all comes down to offer and acceptance. Public entities may not refuse legal tender, but they are restricted from accepting gold or silver due to the banking system. You cannot deposit Liberty Dollars in a bank, for instance. Now, under private contract, the terms of that contract are certainly enforcable in any court. But the court may not order payment in anything other than legal tender, unless you can locate the metals from the party who has the judgment against them for not coming across with the payment under the terms of contract. Then you have the Sheriff attach those assets. There is a procedure to do this in court. Finding the precious metals assets is the problem. At some point, all of these brokers may be under the gun to report each and every transaction. That is why it is vitally important to deal only with one who will protect your privacy now.
I do NOT have to accept "legal tender" FRN's if I don't want to - and if Sally Soccer Mom doesn't want to pay me in silver to unclog her drain, she can go find a different plumber. There are plenty of plumbers out there that WILL accept the debt Sally is offering.
“The tendency of democracies is, in all things, to mediocrity, since the tastes, knowledge, and principles of the majority form the tribunal of appeal.” James Fenimore Cooper
#16. To: DeaconBenjamin (#10)
Great seller of PM's - thank you.
-Thomas Paine
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