Judge: Fed and its dollars fraudulent

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A comrade named Steve sent me the below. I wrote him my appreciation:
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Thanks for this unique email. I was long looking for such a case. This can be effective PR because the judge himself ruled this way, not some Internet blogger — and he blasted both “fractional reserve” banking and the whole Fed itself!
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Jerome Daly : The Man Who Humbled the Federal Reserve

[source: http://www.counterthink.com/025687.html]

Jerome Daly is one of the few men to have taken on the might of the Federal Reserve in the courts and won. Forty years ago, a Minnesota bank attempted to foreclose on Daly’s mortgage but he humiliated them, thanks to his profound knowledge of Fractional Reserve Banking and a courageous, scrupulously honest judge.
The judge delivered a dynamite decision that blasted the Federal Reserve and National Banks as unconstitutional and fraudulent. Understandably, the bankers have tried to bury this case and keep the controversial decree from public knowledge.
Those of you who may be facing the grim prospect of foreclosure on your mortgage, or if you know someone who is facing foreclosure, then the incredible story of Jerome Daly will delight and amaze you.
Jerome Daly was an attorney in Minnesota in the 1960s. In May, 1964 he took out a mortgage for $14,000 with The First National Bank of Montgomery, Minnesota, on a property described as Lot 19, Fairview Beach, Scott County, Minnesota.
Somehow, three years later, Mr. Daly fell behind on his mortgage payments and the bank initiated proceedings to foreclose. The case was heard before a jury in Credit River Township, Scott County, Minnesota, at 10 a.m. on December 7th, 1968. The trial justice was Martin V. Mahoney, a remarkable, no-nonsense man of great integrity and fair-play.
Jerome Daly, being a lawyer, defended himself. The main witness for the prosecution was a Lawrence V. Morgan, President of The First National Bank of Montgomery.
The main issues were whether or not the loan transaction constituted a legal “consideration” and whether or not Mr. Daly waived his rights to complain by having paid his loan for three years.
For any loan transaction to be legal and binding a lawful “consideration’ must be brought to the table by both parties. Mr. Daly said that as a consideration he had put up his property of Lot 19, Fairview Beach. Mr. Daly further asserted that the bank provided no consideration but merely created the money out of thin air!
Under cross examination by Jerome Daly, Mr. Morgan, the bank president, spoke candidly and truthfully. Nevertheless, his evidence astonished the judge and jury.
Mr. Morgan admitted that by making a book-keeping entry the bank created the money out of nothing but that this was standard practice exercised by his bank in conjunction with the Federal Reserve Bank of Minneapolis, another private bank. When questioned by Daly he also conceded that he knew of no United States Law or Statute that gave the bank authority to create money out of nothing.

The court was gobsmacked. Justice Mahoney was heard to say, “That sounds like fraud to me.”

The bank went on to claim that the Defendant, Daly, accepted the ledger book credit and by paying his mortgage for almost three years he waived his right to complain about the consideration and was legally estopped from doing so.
At 12.15 p.m. the jury returned a verdict. They unanimously found for the Defendant, Jerome Daly.
Justice Mahoney’s Judgment and Decree makes for fascinating reading. Here are some of his major points.
1. The Plaintiff (the bank) was not entitled to recover the possession of Lot 19, Fairview Beach
2. Because there was no lawful consideration, the Mortgage was Null and Void
3. The Bank parted with absolutely nothing except a little ink
4. The Plaintiff had no right, title, interest, or lien on the property
5. Defendant is awarded costs in the amount of $75
In his Memorandum Justice Mahoney went on to say, “The jury found there was no lawful consideration and I agree. Only God can create something of value out of nothing.”
He also said, “Even if the Defendant [Daly] could be charged with waiver or estoppel as a matter of Law this is no defense [use] to the Plaintiff. The Law leaves wrongdoers where it finds them.”
And incredibly… “Plaintiff’s act of creating credit is not authorized by the Constitution and Laws of the United States, is unconstitutional and void, and is not a lawful consideration in the eyes of the Law to support anything upon which any lawful rights can be built.”
Amazing! A properly accredited American judge actually said this in a properly convened American court!
“…It has never been doubted that a Note given on a Consideration which is prohibited by law is void. It has been determined, independent of Acts of Congress, that sailing under the license of an enemy is illegal. The emission of Bills of Credit, upon the books of these private Corporations for the purposes of private gain, is not warranted by the Constitution of the United States and is unlawful…”
Then the case took another incredible turn.
The bank appealed as was their right; but a lawful appeal must be made within 10 days and accompanied by fee of [then] $2. If the Clerk of the Court does not receive the appeal and the appropriate $2 fee within 10 days, as is required by the strict Appeals Statutes, then the District Court does not acquire Jurisdiction upon Appeal.
When the Notice of Appeal and the $2 fee arrived on Justice Mahoney’s desk for him to make his return to the District Court, the judge made a second landmark decision. \
After examining the two $1 bills he saw that they were Federal Reserve notes. Justice Mahoney refused the notes and refused to allow the Appeal upon the grounds that the notes were without any lawful consideration and void for any purpose.
Justice Mahoney would not accept the Federal Reserve notes to pay for the Appeal process because they were not true money but represented instruments of debt. If the bank had paid in silver dollars, half-dollars, quarters, dimes, nickels, or even pennies, their appeal would have been legitimate and would have been heard.
Justice Mahoney offered the bank a hearing on the issue but they failed to request one.
Then the District Court ordered Mahoney to show cause as to why the Appeal should not be allowed. Mahoney then ordered a hearing on January 22nd, 1969, for the purposes of making Findings of Fact and Conclusions of Law.
Legal money, issued by the United States government in 1957 as per the US Constitution, not the “Fed,” a consortium of Jewish bankers. I remember these as a boy. You could get real silver for these if you turned them in.

“The Congress shall have power to coin Money and regulate the value thereof.” U.S. Constitution – Article 1, Section 8 [see below]

The unfederal unreserve note below cannot be turned in for gold, silver or anything of value except more Jew paper. The Jew bank lends it at interest to the US Treasury, and it must be repaid with real sweat and work by Americans.

But no representative of the First National Bank of Montgomery turned up in court, nor was there any continuance requested by the bank or its attorney.
In his Findings of Fact and Conclusions of Law Justice Mahoney made some extraordinary observations. The following 12 points are quoted directly from his report (http://www.lawlibrary.state.mn.us/C…)…
1. The Federal Reserve Banks and National Banks create money and credit upon their books and exercise the ultimate prerogative of expanding and reducing the supply of money or credit in the United States. The creation of this money or credit constitutes the creation of fiat [arbitrary] money upon the books of these banks.
CreditRiver2.jpg image by ILoveCasperTheGhost
2. When the Federal Reserve Banks and National Banks acquire United States Bonds and Securities, State Bonds and Securities, State Subdivision Bonds and Securities, mortgages on private Real property and mortgages on private personal property, the said banks create the money and credit upon their books by bookkeeping entry. The first time that the money comes into existance [sic] is when they create it on their bank books by bookkeeping entry. The banks create it out of nothing. No substantial fund of gold or silver is back of it, or any fund at all.
3. The Federal Reserve Bank obtains Federal Reserve Notes [no matter what denomination] for the cost of printing of each note which is less than one cent. The net effect of the entire transaction is that the Federal Reserve Bank obtains Federal Reserve Notes comparable to the ones they placed on file with the Clerk of the District Court…for the cost of printing only.
4. From 1913 down to date, the Federal Reserve Banks and the National Banks are privately owned. As of March 18, all gold backing is removed from the said Federal Reserve Notes. No gold or silver backs up these notes.
5. The Federal Reserve Notes in question in this case are unlawful and void…being contrary to Article 1, Section 10, of the Constitution of the United States…[they] 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.
6. Said Notes are fiat money, not redeemable in gold or silver coin upon their face, not backed by gold or silver, and the notes are in want of some real or substantial fund being provided for their payment in redemption.
7. The sole consideration paid for the One Dollar Federal Reserve Notes is in the neighborhood of nine-tenths of one cent, and therefore, there is no lawful consideration behind said Notes…As a matter of fact, the “Notes” are not Notes at all, as they contain no promise to pay.
8. The activity of the Federal Reserve Banks…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.
9. 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.
The Rothschild Private Bank of America, near the White House, which calls itself the Federal Reserve. It is neither federal nor has it any kind of “reserves” except green ink and paper. It makes money out of pure thin air and demands repayment with interest. Every dollar in existence is “money” borrowed from Jewish billionaires, who hide their fraud with economic double-talk, a Jew specialty.
10. The Federal Reserve Act and the National Bank Act is in its operation and effect contrary to the whole letter and spirit of the Constitution of the United States; confers an unlawful and unnecessary power on private parties; holds all of our fellow citizens in dependence; is subversive to the rights and liberties of the people. It has defied the lawfully constituted Government of the United States. The two banking Acts and Sec. 462 of Title 31, U.S.C. pages 41 and 42, are therefore unconstitutional and void.
11. This fraudulent Federal Reserve System and National Banking System has impaired the obligation of Contract, promoted disrespect for the Constitution and Law and has shaken society to its foundations.
12. No rights can be acquired by fraud. The Federal Reserve Notes are acquired through the use of unconstitutional statutes and fraud.
This is a thoroughly amazing legal decision, unprecedented in the history of the United States. Justice Mahoney was not a man to mince his words. He was courageous in the extreme, perhaps even reckless, to deliver such a decree against the Federal Reserve.
Alan Greenspan, whose wife is NBC reporter Andrea Mitchell, dominated the American Rothschild bank consortium from the 1980s to 2005. To be blunt, to cut through the economic mumbo-jumbo, as the current three trillion-dollar bank bailout proves, JEWS PRINT MONEY AND GIVE IT FOR FREE TO THEIR FRIENDS. All others pay triple interest. (If you buy a house for $200,000, at compound interest you repay $600,000.)

But the great fortitude of this remarkable judge may have cost him his life.
Less than 6 months later, in June, 1969, Justice Martin V. Mahoney died in a mysterious boating accident. Those close to him say his body was heavily poisoned.
Justice Mahoney`s decree still stands and has not been challenged or overturned to this very day.
We owe it to the memory of this brave man to get his audacious and milestone judgment out into mainstream public awareness.
Some citizens, facing foreclosure, have quoted this case as a precedent but ended up losing their cases. Not every judge in America possesses the integrity and decency of Judge Mahoney. Isn’t it time to stamp out this fraud and corruption that is so endemic in the legal, business, and political institutions of our world today?
Those interested in examining the original documents of this monumental legal decision will find scores of documents at:
In 1910, German Jews such as Paul Warburg met with WASP fatcats on Jekyll Island to cook up the “Federal Reserve” scheme, promising it would end recessions and depressions. The greatest depressions in our history have happened subsequently, 1929-1941 and 2009-?
Minnesota State Law Library DOCKET SERIES
Law on the Edge:
the Credit River Case Files

Documents from the court’s files in First National Bank of Montgomery vs. Jerome Daly, Scott County, Minnesota

1968-12-10 Notice of Appeal
1968-12-11 Appeal
1968-12-18 Notice of Appeal
1968-12-20 Affidavit of TRM
1969-01-15? Motion
1969-01-17 Notice of Motion
1969-01-20 letter LEL to JD
1969-02-07 The Daly Eagle
1969-02-25 Notice of Appeal
1969-07-18 Surety Bond
1969-10-01 Order
German Jew Paul Warburg, ringleader of the un-federal un-reserve. Has a Jew’s picture ever been taken without that cocky look on his face? Here is the cat that ate the canary…… No wonder Jews are rich; the top billionaires literally MAKE money from thin air. It really is that simple, a presto-changeo- shell game so the economic royalists can live like kings while you and I sweat, scrimp and worry.

Jesus whips the moneychangers out of the temple. John 8:44 “You belong to your father, the devil, and you want to carry out your fathers desire. He was a murderer from the beginning, not holding to the truth, for there is no truth in him. When he lies, he speaks his native language, for he is a liar and the father of lies.”

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U.S. Constitution – Article 1 Section 8

Article 1 – The Legislative Branch
Section 8 – Powers of Congress

Congress shall have Power To lay and collect Taxes, Duties, Imposts and Excises, to pay the Debts and provide for the common Defense and general Welfare of the United States; but all Duties, Imposts and Excises shall be uniform throughout the United States;

borrow money on the credit of the United States;

regulate Commerce with foreign Nations, and among the several States, and with the Indian Tribes;

establish an uniform Rule of Naturalization, and uniform Laws on the subject of Bankruptcies throughout the United States;

coin Money, regulate the Value thereof, and of foreign Coin, and fix the Standard of Weights and Measures;

provide for the Punishment of counterfeiting the Securities and current Coin of the United States;

establish Post Offices and Post Roads;

promote the Progress of Science and useful Arts, by securing for limited Times to Authors and Inventors the exclusive Right [PATENTS] to their respective Writings and Discoveries;

constitute Tribunals inferior to the Supreme Court;

define and punish Piracies and Felonies committed on the high Seas, and Offenses against the Law of Nations;

declare War, grant Letters of Marque and Reprisal, and make Rules concerning Captures on Land and Water;

raise and support Armies, but no Appropriation of Money to that Use shall be for a longer Term than two Years; [NO STANDING ARMY!!!!!!!!!]


make Rules for the Government and Regulation of the land and naval Forces;


provide for organizing, arming, and disciplining the Militia [THE MILITIA ARE STATE-RUN MILITARY UNITS UNDER THEIR STATE GOVERNORS!!!], and for governing such Part of them [THE STATE MILITIAS] as may be employed [AS BORROWED TROOPS] in the Service of the United States, reserving to the States respectively, the Appointment of the Officers, and the Authority of training the Militia according to the discipline prescribed by Congress; [THE FEDERAL GOVERNMENT CAN ONLY ISSUE TRAINING RULES FOR THE MILITIAS CONTROLLED AND OFFICERED BY THE STATES!!!!]

exercise exclusive Legislation in all Cases whatsoever, over such District (not exceeding ten Miles square) as may, by Cession of particular States, and the acceptance of Congress, become the Seat of the Government of the United States, and to exercise like Authority over all Places purchased by the Consent of the Legislature of the State in which the Same shall be, for the Erection of Forts, Magazines, Arsenals, dock-Yards, and other needful Buildings; And

make all Laws which shall be necessary and proper for carrying into Execution the foregoing Powers, and all other Powers vested by this Constitution in the Government of the United States, or in any Department or Officer thereof.

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Since the presidency of Abraham Lincoln, who crushed states attempting to leave the Union they had voluntarily joined, the federal government has been ILLEGAL, raping and trashing the sacred US Constitution.

On 11/22 in 1963, parts of the federal government, with the aid of a foreign military power, Israel, murdered the US head of state, John Kennedy, and thus replaced him with the ultra-liberal puppet Lyndon Johnson, who began the welfare state, open immigration, black “civil rights,” discrimination against Whites, and military alliance with Israel. And on 9/11 in the year 2001, elements within the federal government itself, in a “false flag” operation with the aid of a foreign military power, Israel, deliberately assaulted the American people and mass-murdered 3,000 human beings so as to terrify Americans and justify the beginnings of a long-planned police state.

Finally, on 1/20 in the year 2009, with the aid of DUAL CITIZENS of both the U.S. and Israel, an illegal alien and communist sympathizer born in Kenya snuck into the White House and masquerades since as U.S. president. Promising “change,” he has continued the foreign wars and bank bailouts desired by the New York Goldman Sachs billionaires, who all are literally passport-carrying citizens of both the United States and the foreign military power in Southwest Asia called “Israel.”


I. There is nolegitimate federal government, and nodemocracy in America; the government clearly has been taken over, subverted, corrupted and turned into an Enemy of the People far worse than England in 1776 . There is no Rule of the People, only a crypto-judeo-pluto-psychopatho-cracy, a secret rule by wicked rich Jews in America, aided by traitorous non-Jewish collaborators such as the millionaires Bush, Cheney and Barack Hussein Obama.

Due to the total breach on every point of the Constitution of the United States, which established the federal government as servant, not master, none of the laws of the lying Washington regime, and especially no laws signed by the Kenyan immigrant, are binding and valid.

II. Areas of the United States must be declared to be liberated zones, where the United States Constitution is once againlegally in effect and enforced. And in these same zones, in accord with the Federal Endangered Species Act signed into law in 1974, the one population that has crashed downfrom 90% to 50% (of the school-age children) in just one lifetime must be protected from genocide and disappearance.

As a proven Endangered Species, the Native White American populationthat built America must be protected in its own “White Safety and Heritage Zones” from the five main predators threatening its freedom and survival:

–A) the fake president and black nationalist egomaniac, Barack Hussein Obama, who never served in the US military, cannot produce his birth certificate or any college applications or transcripts, and has appeared in many addresses using different Social Security numbers so as to hide his true identy;

Pick whichcouplesneaked into

the White House with no

credentials !!! Answer: BOTH!

–B) the barely-in-the-closet LESBIAN whom Obama appointed as “Secretary of Homeland Security,” Janet Napolitano, ne Winer, who under federal laws signed by Bush can instantly declare anyone a ‘terrorist’ and order their arrest;

C) seventy million fast-breeding, white-hating, racist Hispanics, Muslims, Hindus and Orientals, often illegal aliens, who are invading US soil while screaming that Americans are racists, forcing foreign languages on us, banning any displays of the Christian religion or Christmas, and bankrupting and ruining the neighborhoods, schools, jobs and businesses of the endangered white people of America;

–D) the filthy, degenerate, disease-spreading homosexual lobby, the religion-and prayer-hating atheist lobby, and the alien media,alien entertainment and pro-minority public education systems controlled by cocaine- and prostitute-using New York and HollywoodJewish billionaires; ironically, they scream ‘antisemitism’ when it is THEY who are anti-white, anti-Christian, ungrateful, and attack the very AMERICAN people who generously took them in when they were driven from Europe due to their wicked and greedy behavior for centuries there;

E) the gradual and increasing Chinese takeover of the U.S. economy.

III. New Elections therefore must be held in 2010 by Native White Americans, using traditional, proper PAPER BALLOTS that can be physically recounted, rejecting both puppet main political parties, andwhere Native White Americans will elect their own leaders, and above all elect the President of the Americans.




  1. Some very interesting but scary stuff here John.
    It reaks of the Rothchild Dynasty thoughout White/Christian Europe in recent centuries … and now White Christian America under attack. Just also been on D/Duke Site regards the placing of JEWISH MENORAH on ‘White House’lawn, unbelievable! I simply ask the question: how the hell can ‘our little friends’ get away with such blatant racism? They will come to regret it, however. Their checkered history is littered with what happens when they ‘overstep the mark’ as they inveribly ALWAYS do!

  2. This is truly a shock into reality. I will be reading this article many more times to almost have it memorized. I had no idea that the parasite vermine Jews have infested and infected our American Citizen White Aryan Gentile Middle Class economic national security to such a massive, disasterous and catastrophic degree. Obviously the Jews consider all non-Jews as only exclusively slaves in one form or another to work for and to provide for the security, the welfare and the increasing and insatiable greedy prosperity of all Jews everywhere. I guess I am just one more White Anglo-Saxon Aryan Gentile slave to those Jews who dominate and control our White Aryan Gentile Middle Class Society. It is very obvious why Adolf Hitler was so much revered and cherished by the German people. Adolf Hitler understood the amoral and immoral evil mentality and behavior of the Jews much better than the Jews understood themselves. Adolf Hitler was a very successful social scientist and human behaviorist who was able to disect the mentality, the thought processes and the behavior of the Jews and understand exactly what makes a Jew tick. Jews obviously do not have any human morality of any types and Jews also lack any type of scruples.

  3. Actually the Salahis did not sneak into the White House. They only hopped the fence and merely aimed for a better life and were trying to feed their families. Saying they do not have credentials is not politically correct. We shall just call them undocumented guests. Just because they were not invited does not make them illegal and it certainly does not mean that they should be treated like criminals.

    Actually, I find it quite hypocritical that the Secret Service would check their papers. What right do they have to check someone’s papers like that? That’s racist! No, Mr. Obama, these people should have received amnesty and gotten some White House Green Cards to come back as they please, receive free Health Care, free Housing, free Schooling, and whatever else they need – for themselves and the rest of their families. And yes, Mr. Obama should pay for it.

    After all, that’s how Mr. Obama expects us taxpayers to treat Mexicans who cross the border to the US. It would be hypocritical if he would not do the same to people who cross the border into the White House.

  4. Bravo. I’ll mail this to all my MN friends. Remember, it was Senator Lindbergh (Charles’ father) who fought for MONTHS the 1913 Income Tax and Federal Reserve bills, until (like any NORMAL American) he left to go back home to MN, to celebrate Christmas with his family, and his God. It was AFTER he (Lindbergh) left, that those who ‘hate Christ’ voted in the largest Judeophilic legislation this nation has ever seen. Coincidence? I think not.

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