Your Money or Your Life
What’s
Behind the Latest Government Scam to Rob You
Blind?
By John W. Whitehead
“The fact is that the government, like a
highwayman, says to a man: Your money,
or your life. And many, if not most,
taxes are paid under the compulsion of
that threat. The government does not,
indeed, waylay a man in a lonely place,
spring upon him from the road side, and,
holding a pistol to his head, proceed to
rifle his pockets. But the robbery is
none the less a robbery on that account;
and it is far more dastardly and
shameful.”—Lysander
Spooner, American abolitionist and
legal theorist
September 16, 2016 "Information
Clearing House"
- "Rutherford
Institute"
-If a cop wrongfully attacks you,
you cannot fight back.
If
a SWAT team wrongfully raids your home,
you cannot defend yourself.
If
a highway patrol officer wrongfully takes
your money or your valuable possessions,
you cannot get them back without a
lengthy, costly legal battle.
It
used to be that the Constitution served as a
bulwark against government abuses, excesses
and wrongdoing.
That is no longer the case.
Having been reduced to little more than a
historic document, the Constitution now
provides scant protection against government
abuses, misconduct and corruption.
Not
only are “we the people” painfully
vulnerable to the whims of any militarized
cop on the beat, but we are also sitting
targets for every government huckster out to
fleece the taxpayer of their hard-earned
dollars.
We
get taxed on how much we earn, taxed on what
we eat, taxed on what we buy, taxed on where
we go, taxed on what we drive, and taxed on
how much is left of our assets when we die.
Because the government’s voracious appetite
for money, power and control has grown out
of control, its agents have devised other
means of funding its excesses and adding to
its largesse through taxes disguised as
fines, taxes disguised as fees, and taxes
disguised as tolls, tickets and penalties.
For example,
red light cameras, which were sold to
the public as safety measures, have in
practice become backdoor taxes aimed at
swelling government bank accounts.
The
government’s schemes to swindle, cheat,
scam, and generally defraud Americans have
run the gamut from wasteful pork barrel
legislation, cronyism and graft to asset
forfeiture schemes, the modern-day
equivalent of highway robbery, astronomical
health care “reform,” and costly stimulus
packages.
Americans have also been made to pay through
the nose for the government’s endless wars,
subsidization of foreign nations, military
empire, welfare state, roads to nowhere,
bloated workforce, secret agencies, fusion
centers, private prisons, biometric
databases, invasive technologies, arsenal of
weapons, and every other budgetary line item
that is contributing to the fast-growing
wealth of the corporate elite at the expense
of those who are barely making ends
meet—that is, we the taxpayers.
Those football stadiums that charge
exorbitant sums for nosebleed seats?
Our taxpayer dollars subsidize them.
Those blockbuster war films? Yep,
we were the silent investors on those, too.
Same goes for the military equipment being
peddled to local police agencies and the
surveillance cameras being “donated” to
local governments.
Now
the government and its corporate partners in
crime have come up with a new scheme to not
only scam taxpayers out of what’s left of
their paychecks but also make us foot the
bill, and it’s coming at us in the form of a
war on cash.
What is this war on cash?
It’s a concerted campaign to do away with
large bills such as $20s, $50s, $100s and
shift consumers towards a digital mode of
commerce that can easily be monitored,
tracked, tabulated, mined for data, hacked,
hijacked and confiscated when convenient.
According to
economist Steve Forbes, “The real reason
for this war on cash—start with the big
bills and then work your way down—is an ugly
power grab by Big Government. People will
have less privacy: Electronic commerce makes
it easier for Big Brother to see what we’re
doing, thereby making it simpler to bar
activities it doesn’t like, such as
purchasing salt, sugar, big bottles of soda
and Big Macs.”
Much like the war on drugs and the war on
terror, this so-called “war on cash” is
being sold to the public as a
means of fighting terrorists, drug dealers
and tax evaders. Just the mere
possession of cash is enough to implicate
you in suspicious activity and have you
investigated. In other words, cash has
become another way for the government to
profile Americans and render them criminals.
The
rationale is that cash is the currency
for illegal transactions given that it’s
harder to track, can be used to pay illegal
immigrants, and denies the government its
share of the “take,” so doing away with
paper money will help law enforcement fight
crime and help the government realize more
revenue.
Despite what we know about the government
and its history of corruption, bumbling,
fumbling and data breaches, not to mention
how easily technology can be used against
us, the campaign to do away with cash is
really not a hard sell.
It’s not a hard sell, that is, if you know
the right buttons to push, and the
government has become a grand master in the
art of getting the citizenry to do exactly
what it wants. Remember, this is the same
government that
plans to use behavioral science tactics to
“nudge” citizens to comply with the
government’s public policy and program
initiatives.
It’s also not a hard sell if you belong to
the Digital Generation, that segment of the
population for whom technology is second
nature and “the
first generation born into a world that has
never not known digital life.”
And
if you belong to the growing class of
Americans—46%
of consumers, approximately 114 million
adults and rising—who use your cell
phone to pay bills, purchase goods, and
transfer funds, then the government is just
preaching to the choir when it comes to
persuading you of the convenience of digital
cash.
In
much the same way that Americans have opted
into government surveillance through the
convenience of GPS devices and cell phones,
digital cash—the means of paying with one’s
debit card, credit card or cell phone—is
becoming the de facto commerce of the
American police state.
It
is estimated that
smart phones will replace cash and credit
cards altogether by 2020. Already,
a growing number of businesses are adopting
no-cash policies, including certain
airlines, hotels, rental car companies,
restaurants and retail stores. In Sweden,
even the homeless and
churches accept digital cash.
Making the case for “never, ever carrying
cash” in lieu of a digital wallet,
journalist
Lisa Rabasca Roepe argues that cash is
inconvenient, ATM access is costly, and
it’s now possible to reimburse people using
digital apps such as Venmo. Thus, there’s no
longer a need for cash. “More and more
retailers and grocery stores are embracing
Apple Pay, Google Wallet, Samsung Pay, and
Android Pay,”
notes Roepe. “PayPal's app is now
accepted at many chain stores including
Barnes & Noble, Foot Locker, Home Depot, and
Office Depot. Walmart and CVS have both
developed their own payment apps while their
competitors Target and RiteAid are working
on their own apps.”
It’s not just cash that is going digital,
either.
A
growing number of states—including Delaware
and California—are looking to adopt
digital driver’s licenses that would
reside on your mobile phone. These licenses
would include all of the information
contained on your printed license, along
with a few “extras” such as real-time data
downloaded directly from your state's
Department of Motor Vehicles.
Of
course, reading between the lines, having a
digital driver’s license will open you up to
much the same jeopardy as digital cash: it
will make it possible for the government to
better track your movements, monitor your
activities and communications and ultimately
shut you down.
So
what’s the deal here?
Despite all of the advantages that go along
with living in a digital age—namely,
convenience—it’s hard to imagine how a
cashless world navigated by way of a digital
wallet doesn’t signal the beginning of the
end for what little privacy we have left and
leave us vulnerable to the likes of
government thieves and data hackers.
First, when I say privacy, I’m not just
referring to the things that you don’t want
people to know about, those little things
you do behind closed doors that are neither
illegal nor harmful but embarrassing or
intimate. I am also referring to the things
that are deeply personal and which no one
need know about, certainly not the
government and its constabulary of
busybodies, nannies, Peeping Toms, jail
wardens and petty bureaucrats.
Second, we’re already witnessing how easy it
will be for government agents to manipulate
digital wallets for their own gain. For
example, civil asset forfeiture schemes are
becoming even more profitable for police
agencies thanks to
ERAD (Electronic Recovery and Access to
Data) devices supplied by the Department of
Homeland Security that allow police to
not only determine the balance of any
magnetic-stripe card (i.e., debit, credit
and gift cards) but also freeze and seize
any funds on pre-paid money cards. The
Eighth Circuit Court of Appeals
ruled in June 2016 that it does not
violate the Fourth Amendment for police to
scan or swipe your credit card.
Third, as the ever insightful Paul Craig
Roberts
observes, while Americans have been
distracted by the government’s costly war on
terror, “the financial system, working
hand-in-hand with policymakers, has done
more damage to Americans than terrorists
could possibly inflict.” Ultimately, as
Roberts—who served as Assistant Secretary of
the Treasury for Economic Policy under
Ronald Reagan—makes clear, the war on cash
is about giving the government the ultimate
control of the economy and complete access
to the citizenry’s pocketbook.
Fourth, if there’s a will, there’s a way. So
far, every technological convenience that
has made our lives easier has also become
our Achilles’ heel, opening us up to greater
vulnerabilities from hackers and government
agents alike. In recent years, the U.S.
government has been repeatedly hacked. In
2015, the Office of Personnel Management had
more than
20 million personnel files stolen,
everything from Social Security numbers to
birth dates and fingerprint records. In
2014, it was the
White House, the State Department, the Post
Office and other government agencies,
along with a host of financial institutions,
retailers and entertainment giants that had
their files breached. And these are the
people in charge of protecting our
sensitive information?
Fifth, if there’s one entity that will
not stop using cash for its own
nefarious purposes, it’s the U.S.
government. Cash is the currency used by the
government to pay off its foreign
“associates.” For instance, the Obama
administration
flew more than $400 million in cash to
Iran in January 2016, reportedly as part of
a financial settlement with the country.
Critics claim the money was ransom paid for
the return of American hostages. And then
there was the
$12 billion in shrink-wrapped $100 bills
that the U.S. flew to Iraq only to claim it
had no record of what happened to the money.
It just disappeared. So when government
economists tell you that
two-thirds of all $100 bills in circulation
are overseas—more than half a trillion
dollars’ worth—it’s a pretty good bet that
the government played a significant part in
their export.
Sixth, this drive to do away with cash is
part of a
larger global trend driven by
international financial institutions and the
United Nations that is transforming nations
of all sizes, from the smallest nation to
the biggest, most advanced economies.
Finally, short of returning to a
pre-technological, Luddite age, there’s
really no way to pull this horse back now
that it’s left the gate. While doing so is
near impossible, it would also mean doing
without the many conveniences and advantages
that are the better angels, if you will, of
technology’s totalitarian tendencies: the
internet, medical advances, etc.
To
our detriment, we really have little control
over who accesses our private information,
how it is stored, or how it is used. Whether
we ever had much control remains up for
debate. However, in terms of our bargaining
power over digital privacy rights, we have
been reduced to a pitiful, unenviable
position in which we can only hope and trust
that those in power will treat our
information with respect.
America’s founders, however, did not believe
in trusting government officials or giving
them too much power. In fact, they believed
those entrusted with power will eventually
pervert it into tyranny. As Thomas Jefferson
observed, “Let no more be heard of
confidence in man, but bind him down from
mischief by the chains of the Constitution.”
Unfortunately, that Constitution has since
been shredded.
Our
republic has been transformed into an
oligarchy.
We
have come full circle, back to a
pre-revolutionary era of taxation without
any real representation.
Lysander Spooner, a 19th century
American abolitionist and legal theorist,
was right when he concluded that the
government is far more disingenuous and
dangerous to the rights, property and lives
of the citizenry than the common criminal or
highwayman. As Spooner
points out:
[Unlike the government,] the highwayman
… does not pretend that he has any
rightful claim to your money, or that he
intends to use it for your own benefit…
He has not acquired impudence enough to
profess to be merely a “protector”… He
does not persist in following you on the
road, against your will; assuming to be
your rightful “sovereign,” on account of
the “protection” he affords you. He does
not keep “protecting” you, by commanding
you to bow down and serve him; by
requiring you to do this, and forbidding
you to do that; by robbing you of more
money as often as he finds it for his
interest or pleasure to do so; and by
branding you as a rebel, a traitor, and
an enemy to your country, and shooting
you down without mercy, if you dispute
his authority, or resist his demands… In
short, he does not, in addition to
robbing you, attempt to make you either
his dupe or his slave.
How
tragically apropos the analogy remains
today.
We
the people, once free citizens of a free
nation, are now at the mercy of cutthroats
and villains masquerading as government
agents and elected officials.
We
continue to be robbed at gunpoint, treated
like cattle, tracked incessantly and forced
to serve and obey.
We
continue to be branded rebels and traitors
and enemy combatants, shot without
hesitation for daring to resist an official
order or challenge injustice, and duped into
believing all this was done for our “good.”
In
the end, as I make clear in my book
Battlefield America: The War on the
American People, we are no
better than when we first started out more
than 200 years ago as indentured slaves to a
government elite intent on using us for
their own profit and gain.
Constitutional attorney and author John W.
Whitehead is founder and president of The
Rutherford Institute. His book
Battlefield America: The War on the American
People (SelectBooks, 2015) is available
online at www.amazon.com. Whitehead can be
contacted at
johnw@rutherford.org. |