NORFED Liberty Dollar Newsletter - March 2003

LIBERTY DOLLAR NEWS: March 2003 Vol. 5 No. 3 ACTION ITEM: Read how Wayne Hicks developed his RC into LibertyDollarVille, get the Other Half of the Success Story with a new Merchant Display and CD, and do the same thing for yourself and our great country. TABLE OF CONTENTS: 1• LibertyDollarVille 2• The Other Half of Success 3• Get Your Sponsorship Funds Any Way You Want 4• NEW Audio CD for New RC Available 5• Liberty Festival Postponed 6• Ken Evans Gets Money from the IRS 7• New Articles about Liberty Dollar 8• Where to Spend It 9• Instance of the Month 10• Questi o n of the Month 11• Redemption Center of the Month 12• Quote of the Month 1 LibertyDollarVille • [Editor Note: Here is the story in his own words of how Wayne Hick developed his RC, Ozark Monetary Services, into LibertyDollarVille:] Over the past several months, I have been deeply involved in promoting the Liberty Dollar, both in my local economic market, and in negotiations with several National and Regional chains. Now it’s time to put my experiences down in print in order to ease some of the way for others who may choose to do likewise. The process I’ve followed has had enormous success, and properly applied, I believe it will work just about anywhere in the US . But be warned… it requires a lot of perseverance and some expense. It’s not a task for the faint-hearted or the faint-pocketed. It’s necessary for anyone looking to promote the Liberty Dollar in any area to understand one basic fact of economic nature, which is that if you are going to be successful, then you must bring more to the table than just a good new form of money. You must be dedicated to serving the merchants that go along with you, by promoting them and teaching them and helping them to make more money because they accept the Liberty Dollar! If you are not prepared to see yourself as their servant, as dependent on them for your business survival, then don’t get into this field. Because that is exactly how they will see you, and you want them to know that you are ready and able to do that job! Part 1: Publicity The very first step is to find and approach a medium of advertising that will be cooperative with your efforts. In my case, the local newspaper felt that my efforts were too commercial, and therefore not

newsworthy. On the other hand, the radio station was happy to give me promotion both in advertising at regular rates, and in news coverage that cost me nothing, and which was invaluable in its publicity generating power! Using this coverage, I launched a program to make the Silver Liberty familiar and welcome by a large segment of the local population. By running commercials several times a day for two solid weeks, while simultaneously giving away two Silver Libertys a day during the first week, and one a day for another five weeks, on a weekday morning “Money Trivia Contest”. The DJ would start his 6 AM show by reminding listeners that he would give them a chance to win a brand new Silver Liberty shortly. Then about fifteen minutes into the program he’d ask one of the questions I had provided. (These are available, if you want them). Often the phones would actually begin ringing before he even asked the question. Sometimes the person would be able to answer, sometimes they wouldn't, but they were that determined to get in and try! The Silver Liberty was a novelty item, a true piece of Silver that they could own and hold... and people loved the idea! During this period I also rented a meeting hall, but when a sufficient number of people failed to show up, I decided to concentrate on the radio promotions. One such promotion involved a sort of “living scavenger hunt”, wherein I would announce via a telephone call to the Radio Station that I was leaving my office, and inviting people to track me down at one of the Liberty Merchant’s locations. And when I was found I would give away a Silver Liberty to the tenth person to find me! Another involved hiring the radio station to do a live remote broadcast from one of the Merchant’s locations, while I’d be waiting there to exchange Silver Libertys for only $9.00 each. This was great because the consumer could then spend it immediately at that very location for its full face value of ten dollars! Since the newspaper wouldn’t cooperate, I finally decided to launch The Ozark Liberty Times, a small paper of my own in order to serve the Liberty Merchants better. It is simply an advertising vehicle, with a nice write-up on each new merchant that joins the program each issue. We also accept ads from Liberty Merchants, which of course can be bought with Liberty Dollars! I have it printed by a newspaper company in another county, and distribute it to all the merchants, who give it away to their customer. Enough copies to blanket the county costs me only a few hundred dollars every two weeks, and I expect to have it actually pay its own way within three months, due to advertising sales. All of these efforts are publicity tools designed to bring the Liberty Dollar to the attention of both the business community and the consumer and let them know that the Liberty Dollar is a good thing for their town or region. Use them effectively, and they’ll pay you back a hundred times what they cost! Part 2: Approaching the Merchants Here at Ozark Monetary Services, I took a different tack than many RCs. I offered the Merchants a safe way to test the Liberty Dollar and see if it would improve their bottom line, by signing a contract with them that obligated me to buy back any excessive Silver Liberty they might have. After all, one of the big fears of any merchant trying the Liberty Dollar is that he’ll get too many of them and not be able to pay his utilities, or his employees, or his taxes. So with this agreement, I have made it possible for him to try the program without risk, and this is what got us our first few Liberty Merchants. The program is simple. If the merchant agrees to accept Liberty Dollars and offer them in change to his customers, then I will agree to buy back any excessive amounts of them he may acquire in the course of

his business. It works because of human nature. By giving him a safe way to convert them to US Dollars if he needs to, I’ve alleviated his fears. But I almost never get to buy any back because the vast majority of the Libertys he gives out in change will never be seen again. They’ll go into a drawer, or be given to children or grandchildren as gifts, or just be kept as a novelty, so it will be several months before he sees substantial amounts of them coming in. And before that happens, he will be joined by many more merchants who will happily accept them as well. So it will be a very rare occurrence for him to get more than he can safely give out in change within a reasonable amount of time. Once he’s comfortable with them, he’ll avoid letting me buy any back simply because his customers want to get them and use them, or because he knows he can always use them himself! Part 3: Training the Merchants Let’s face it… the whole reason the merchants agree to my program is that they want to make more money. They want the customers to come to them, rather than going to the big superstore, and they like the idea that my program will actually let the customer have more money to spend. This being the case, it is up to me to make sure they know how to make the money once they are on the program! Towards that end, I’ve written a small handbook, “The Liberty Merchant Handbook”… which I give them. It explains in detail why the currency is good for the local business economy, why it is good for the community, and why it will make more money for the merchant who is wise enough to get on the program! It also teaches them how to use it legally and safely, by showing them how to train their clerks in giving Silver Libertys out in change, and in handling the inevitable irate customer who tries to stick it in the bank and comes back to blame the clerk who gave it to them. The handbook gives them step-bystep instructions o teaching their clerks how to make the Liberty Dollar acceptable to their customers. Finally, the handbook teaches the merchant that there are more ways to make money. Such as buying discounted Libertys to give out in change or even becoming a Redemption Center themselves! I am always happy to show one of the merchants how they can make more money… because it lets me have more places to spend it! Part 4: Community Involvement In the course of learning all of the above, I also decided to approach the local Chamber of Commerce. We already had several merchants on the program, which were Chamber Members, so the Chamber Director was willing to look it over and listen to a description of how the program worked. Well, once I “dropped” a Silver Liberty into the Executive Director’s hand, and explained how the Liberty Dollar functioned as a local economy booster, he was 100% in favor of it! He immediately invited me to join the Chamber of Commerce, which I did, and Ozark Monetary Services will be featured in the next newsletter. As a Chamber Member, I now enjoy more credibility. The Chamber of Commerce has taken it upon itself to investigate the Liberty Dollar by talking to the merchants who are happily taking the Liberty Dollar and my program. These unsolicited endorsements are then reported back to the Membership, so the merchants who are now on the program receive lots of calls asking them how they feel about the

currency. As more and more merchants hear from their colleagues that sales and profits are up, our list of Liberty Merchants continues to grow. And as more and more of the local people discover that they can increase their purchasing power by getting a ten dollar Liberty for only nine dollars US, they like using Silver Libertys too! Part 5: LibertyDollarVille There you have it. We have turned Berryville , Arkansas into what I term LibertyDollarVille by using this basic plan. I believe anyone can do it. If you want a copy of the Liberty Merchant Handbook, which includes a copy of my Merchant Agreement, please let me know, and I’ll be happy to send one to you! Good Luck! Editor Note: Congratulations and Thank you Wayne for doing everything you can do and sharing your Success Story with everyone so they too can succeed! 2 The Other Half of Success • We all know the first half of the Success Story is spending the Liberty Dollar into commerce. Now it is time to ask, What about the Other Half of Success? The other half of success is the Merchant’s success using the Liberty Dollar. This closes the economic circle. And that’s where the new MERCHANT DISPLAY comes in. Sure, you got your $10 of gasoline. Now, how does the merchant use the Silver Liberty? What constitutes “success” for him? Well, as he can not deposit the Liberty Dollar into his bank, nor wants to go through the current hassle to convert it to FRN or sell it to a coin dealer, what does he do with it? The answer is the ‘The Other Half of Success’. Actually, it is not all that difficult. Many of us have dealt with it many times. But “What can merchants do with the Liberty Dollar, remains the most asked question at this stage of our development. Of course, the answer to this question is simply that he can (and should) simply give it out as change. And although he didn’t “get it at a discount” he got something very unique and as such will draw more people to his store when the recipient is asked where he got it. And hopefully, it is not too long before the merchant takes an interest in the Liberty Dollar and seeks out the why and wherefore of the new currency and becomes a RC. And when he does, the organization grows and as it does we move ever so surely towards our goal. So when you are using The Liberty Dollar, a second or third time with a merchant, inquire about what he does with the Liberty Dollars. Ask him how spends them? Explain to him that he can start “getting them at a discount and using them at a profit”. Give him Wayne’s Liberty Merchant Handbook, the Liberty Dollar Story, a Merchant Display and invite him to start “making more money” while protecting his money from the next monetary crisis. 3 Get Your Sponsorship Funds Any Way You Want • In addition to getting your Sponsorship Funds in those dreaded FRN, now you can specify your Sponsorship Funds in Liberty Dollars – Specie, Paper or Digital. Just put in an order for $100 and a note

that you want your next sponsorship fee to be payed for your next order and voila! Now you can have it any way you want. As usual, if you have any questions, please call/email the office in Evansville . 4 NEW Audio CD & Merchant Display Available • The Liberty Dollar audio CD is now available. It features Bernard in a 46 minute presentation on The Liberty Dollar. The CD itself is quite attractive with a Gold Liberty printed on it. Designed to help RC sponsor more RC, I encourage everyone to give it a go. The CD retails for $10.00 each, but only $4.00 each for 10, or $3.50 for 50 and $3.00 each for 100. Please contact the office at 888.421.6181 or order on line at www.LibertyDollar.org . PLUS the new Merchant Display is finally available. Those who have seen it have been very impressed. One RC ordered 10! You can see it too at http://www.libertydollar.org/Merchant%20Display.htm . Only $10 each until the end of March and then $10 with $3 for shipping and handling. Give it a try, if you don’t like it, we will take it back. And by the way, we take Liberty Dollars for everything except for the currency for obvious reasons. The new CD, Merchant Label and Display and the first advertising in four years is all coordinated to bring about greater awareness and make it easier for RC to sponsor more RCs. Please contact the Office for any collateral materials. 5 Liberty Festival Postponed • Fortunately, just a few days before I was to sign the contract for Styx to play the headline act at the Liberty Festival, I learned that they were playing just 50 miles north of Austin . As this would have destroyed our marketing of the Liberty Festival, it was a blessing that we found this out just in time. So the Festival has been postponed until after the actual anniversary, as there is not enough time to start all over with a new plan, venue, band and date. Stay tuned, we will let you know ASAP. 6 Ken Evans Gets Money from the IRS • IRS MAKES 'TIME BARRED' ASSESSMENT – REQUIRED TO ISSUE TOTAL REFUND TO TAX HONESTY ADVOCATE Kennett Square, Pennsylvania - After over two years of litigation, the IRS is required by law to refund approximately $13,000.00 to Tax Honesty Advocate and Libertarian activist, Ken Evans. "This is a huge victory," said Evans, "and demonstrates once again that the misapplication of the federal income tax is the single greatest financial fraud in world history." In the spring of 2000, Evans sent a letter to the IRS asking how much, if anything, he owed for the tax year 1999 and further asked for a refund of anything in excess of what the law said he owed. The IRS did not respond. Nine months later and in accordance with federal law, Evans filed a refund lawsuit in Federal District Court in an attempt to require the IRS to refund his money or provide evidence to the

contrary. Shockingly, throughout the entire lawsuit, the Department of Justice, which represented the IRS, did not at any time make the argument that Evans actually owed income tax. The DOJ simply claimed that Evans was 'required to file a return.' However, in direct contradiction to the DOJ's position, an IRS Supervisor informed Mr. Evans on tape that he was not required to file an income tax return. This was later reinforced further by IRS internal computer documentation, which confirmed Evans' lack of a requirement to file a return. Yet, in June, 2001, the District Court dismissed Evans refund claim and stated in its opinion, "...this Court rejects all of Evans' arguments concerning his income tax liability for the 1999 tax year." So how much did the Court say that Evans owed? Well, the Court didn't actually say that Evans owed anything. In fact, the Court couldn't because the Department of Justice did not provide any evidence of Evans' liability. So, what now? Well, there are specific procedures that the IRS is required to follow in order to establish liability. In Evans' case, however, the IRS seems to have thrown those procedures out the window. "In my case, the evidence is so overwhelming that IRS and DOJ employees see the law more as a hindrance than as something they are required to obey," Evans comments, "Even though the statutes and regulations of federal law themselves do not say that I owe income tax, the IRS tried to illegally create a record of assessment, which is considered prima facie evidence of liability. These procedures, which the IRS has been engaging in for decades, are now being exposed for the fraudulent activity that they are. This is due, in part, to the IRS Reform and Restructuring Act of 1998. This act made public the internal codes that the IRS uses in the computer files that it keeps on Americans." Evans continues, "Every step of the way, the IRS has violated the law. In June of 2002, the IRS sent me a Notice of Deficiency in relation to 1999. This specific action was illegal because the IRS is required to provide me with an Appeals Conference prior to its issuance, yet they did not. They went so far as to lie about the reason that they denied the conference. But, their crowning fraudulent achievement was the recordation of a time barred assessment on November 18, 2002 ." The law requires the IRS to make assessments within specific time periods in order to be valid. Yet, in Evans' case, internal IRS documentation proves that an IRS agent illegally recorded a time barred assessment in Evans' computer file. Further, federal law requires the IRS to notify individuals of assessments within sixty days. But, the IRS has not yet sent Evans a 'Notice and Demand for Payment,' even though the assessment was recorded over one hundred days ago. "This doesn't surprise me in the slightest," said Evans, "The IRS will go to almost any length to hide this fraud. The only reason that I am even aware of the time barred assessment is because I contacted the IRS of my own volition and asked a random IRS employee for a printout of their computer file on me. The agent that made the assessment obviously didn't send me a Notice and Demand for Payment because he knows that the assessment is illegal."

Victoria Osborne, a Forensic Accountant of TPI Associates http://www.tpirsrelief.com ) has confirmed that the IRS is required to issue a complete refund plus interest to Evans. For more information contact: Ken Evans 873 East Baltimore Pike - PMB 464 Kennett Square, PA 19348 610-636-4407 [email protected] www.reasons2vote.com 7 Articles about Liberty Dollar • Do you read the Idaho Observer ? It is a great 24-page paper, by Don Harkins. Recently, Don has started to devote a page to The Liberty Dollar and the people who are taking an active role to “return America to value – one dollar at a time”. Currently, the Idaho Observer is doing a poll to ascertain the size of the Liberty Economy. So please contact the Idaho Observer about the poll and the new Directory of Liberty Merchants . You may want to consider advertising too. As Don says, The Idaho Observer is in the spirit of the Philadelphia Aurora and in the honor of Benjamin Franklin. And so I hope you will get involved with the Idaho Observer. Contact them via [email protected] or 208.255.2307. Or via mail at P.O.B. 457, Spirit Lake , Idaho 83869. Ask Don about his Special Offer of 50 copies of the Idaho Observer for only $25 plus shipping. 8 Where to Spend It • As there have been some problems using all the features on the WHERE TO SPEND IT button on our home page, please be informed that all search engines are now working. Now you can go there to 1.) Log into your Liberty Merchant account and update your info. 2.) Sign up Liberty Merchants. 3.) Search for LM. And if you just scroll down, you can 4.) Search by Business Type. 5.) Search by Name for any word in our database or 6.) Search for a Redemption Center . This is a very handy button and I encourage you to check it out and use it. 9 Instance of the Month • You have to know that I love using the currency and hearing all the Success Stories. Unfortunately, some people attempt to use the Liberty Dollar without the advantage of having read the “Usage” page or the “Success Stories” before venturing forth. Sure, there are very few “incidents” but this one it just seemed was meant to happen. Please note when you read this report by Chad Letterman, who is not a RC yet, although he had the best intentions, he did some things we suggest against. My comments are in parentheses. Barnes & Noble: The Saga

So I bought my wife a book and asked the cashier, Mary, if they accepted the American Liberty Dollar (no need to ask) and showed a Silver Liberty to her. She was very bedazzled by it and said she didn't see why not. I explained to her (this is not necessary) that this is a barter-based exchange and NOT a legal tender (this is very good but generally not necessary either) exchange and the whole spill of explanations (generally not good to do) and asked her if she was sure she wanted to take it (not necessary) and understood what it is, and she said yes. So then I wrote my name, phone number, and email address down and said if for whatever reason that they needed to do an exchange back into Federal Reserve Notes, I would gladly exchange the silver for green paper (this is very good but better to use the preprinted “Info Card” from NORFED). She said great and thanked me. A few hours later when I got home, I noticed there was a voicemail. I checked it, and it was Mary from Barnes and Noble asking me to call because they would like the silver exchanged for green paper. So I called her back and asked her if they needed it right then and there or if they wanted me to come in first thing in the morning (this was very well done). She told me that I could come in the morning since it was starting to get late. No big deal, or so I thought... About 11:00PM at night my phone rings. I picked up the phone and it was Officer Van Dresar (Badge #378) with the College Station Police Department. He introduced himself and then immediately set out on quizzing me for my address (this is typical). I asked him what it was for and he said it was so they could keep a profile on me... Lovely. He then proceeded to state that he was investigating a counterfeiting claim in which case… I interrupted him and asked if this was about Barnes and Noble? I informed him that I had already spoken to Alan, the manager, and agreed to come in the morning to exchange the Silver Liberty. I then stated that I had given them my phone number, and did not understand his involvement since the issue was already resolved. He the informed me that Donna who is one of the managers at the Barnes and Noble had called the police AFTER I had already talked to her. The police officer stated that he had never heard of NORFED (quite understandably), and so I got the opportunity to explain the American Liberty Dollar (definitely no need to do this) to him. Then I shared my two cents about what a waste of Police Resources (probably not the best thing to do) this was considering that I left my phone number with Barnes and Noble. After some discussion, he tried to create a logical reason as to why he should be involved even though the issue was already resolved (actually once the police have been called, the issue is not resolved until the Officer says it is). I responded by informing him that I was previously a 911 dispatcher and knew for a fact that the Police Officers are not required to investigate every single call. And that there was absolutely no reason for the police to be involved since I was very straight with Barnes and Noble (actually this doesn’t make any difference, again once the police have been called). Shortly after telling him this, I got the case number (#03002298), we exchanged pleasantries, and we hung up. I immediately called Donna at Barnes and Noble and asked her if they needed me to exchange the Silver Liberty that night. She said that it could wait until the following morning since they wouldn't be able to open the door to let me in. I informed her that I had just received a call from the Police Department and told her that I would be there in the next morning. The next morning I went to the College Station Barnes and Noble and exchanged Federal Reserve Notes for the two Silver Libertys that I used the previous night.

Long story short, all is well, and not only did the folks at Barnes and Noble get to learn about The Liberty Dollar but the Police got to learn about the new currency as well, and the Silver Liberty has continued to be gladly accepted elsewhere. Editor note: Although Chad had an unfortunate “incident” he handled it very well and courteously. The best part is that he has not been discouraged from using the Liberty Dollar and educating more people about the new value backed currency. Congratulation and thanks Chad for your efforts. 10 Question of the Month • QUESTION: Why am I not showing up as the sponsor for a new RC submitted on line? ANSWER: All Affiliate Programs are designed to work when someone goes from your site or the referral URL in your email signature to access the affiliate organization. If they don’t come from your site or use your referral URL, you will not be identified as their sponsor. So please make sure you are using your affiliate banner or text link in your signature for all emails. If you do not know your RC id and password to access your account and the Affiliate Page, please call the home office. Please inform your sponsoree they should use the Redemption Centers button to submit their new RC, not the shopping cart. Plus at the beginning of the RC application there is an opportunity for the new RC to identify their sponsor. But if all else fails, the Ladies at NORFED continue to review all Redemption Centers to make sure that, to the best of their ability, all new RC are correctly credited to the right sponsor. If you have a problem, please contact the office as the Affiliate Program provides most of the new RC. In the end, the sponsoree retains the right to identify the Sponsor of his/her choice, as this is a totally voluntary system. Thank you for being a big part and sponsoring at least two Redemption Centers. 11 Redemption Center of the Month • Although anybody can run for President of the United States, it is rarely someone I know, and probably equally rarely, it is someone familiar enough with the Constitution, not to march all over our rights as one so-and-so president does on a regular basis. So this is an especially great occasion to name Michael Badnarik the Redemption Center of the Month. I can only hope he will remember The Liberty Dollar when he gets to the White House. Seriously, Michael is campaigning for the Libertarian Party nomination for President. And quite frankly, there is probably no one better suited, given his famous Constitutional Class and his own personal integrity. Michael explains that one of his primary motivations for undertaking this campaign is to reverse the country's rush toward a totalitarian police state. And I guess we can all agree with that. Michael refers to his supporters as "Fellow Fire Lighters” and his campaign motto is "Lighting the fires of Liberty , one heart at a time!” Michael just began his first tour of 11 conferences, 20 states, and 8745 miles before the 4th of July. For more information, please visit http://www.badnarik.org/icp21/icpschedule.html or email him at [email protected] . To subscribe his newsletter, please visit http://www.badnarik.org/news .

For those who wish to contribute to Badnarik for President campaign, please make your checks payable to: Badnarik for President: P.O. Box 841 , Buda , Texas 78610 . PS: I also know that Michael’s preferred money is The Liberty Dollars and you can email them digitally to him at [email protected] . Good Luck Michael!!! 12 Quote of the Month • "The government is the only agency that can take a useful commodity like paper - slap some ink on it - and make it totally worthless." Ludwig Von Mises Thank you for being part of the solution and helping to return America to value – one Liberty Dollar at a time. Bernard von NotHaus Monetary Architect / Editor