Foreclosure victim successfully beats back the bank

[Xicano]

Read this 1969 case First National Bank of Montgomery vs. Jerome Daly. The First National Bank had foreclosed on Mr. Daly's home and filed a claim to take possession. Mr. Daly argued that since the bank had simply created credit on its books, nothing of value had been advanced by the bank, therefore, the bank was not entitled to the property that secured the loan. In this case the court finds that the federal reserve and banks indeed create credit (money) out of thin air thus not satisfying (in legal terms) consideration where consideration is a contract which is founded on an exchange of one form of consideration (something of actual wealth) for another.

The court decided against the bank in Mr. Daly's favor. This is a very interesting case and in my opinion the first twelve pages on the above link is a must read.

Here's some excerpts:

First National Bank of Montgomery vs. Jerome Daly

IN CONCLUSION, it is therefore the further judgment and determination of this Court:

1. That the original Judgment entered herein on December 9, 1968 is in all respects confirmed.

2. That the Federal Reserve Notes on deposit with the Clerk of the Court are not lawful money of the United States; are in violation of the Constitution of the United States and are not valid for any purpose.

--snip--

A lawful consideration must exist for a Note. See 27 Amer. Jur. on Contracts, Section 95, and also Sections 215, 216, and 217 of 11 Amer. Jur. 2nd on Bills and Notes. As a matter of fact, the "Notes" are not Notes at all, as they contain no promise to pay.

The activity of the Federal Reserve Banks of Minneapolis, San Francisco and the First National Bank of Montgomery is contrary to public policy and the Constitution of the United States and constitutes an unlawful creation of money and credit and the obtaining of money and credit for no valuable consideration. The activity of said banks in creating money and credit is not warranted by the Constitution of the United States.

The Federal Reserve and National Banks exercise an exclusive monopoly and privilege of creating credit and issuing their Notes at the expense of the public, which does not receive a fair equivalent. This scheme is for the benefit of an idle monopoly and is used to rob, blackmail and oppress the producers of wealth.

Wow!

[cliffordu]

1. Ouch. That's going to leave a mark.....

:rofl:

[ORDagnabbit]

2. i ordered a copy of this case bout 4 years ago...makes very interesting reading

[Xicano]

3. Yes, interesting indeed

I wonder what the atmosphere was like in that court room when all of this was being sad? LOL

:)