The Targeting Of Private Retirement Accounts
By: Jim Sinclair
The following article is a Carolina Journal exclusive:
Dems Target Private Retirement Accounts
Democratic leaders in the U.S. House discuss confiscating 401(k)s, IRAs
By Karen McMahan
November 04, 2008
RALEIGH - Democrats in the U.S. House have been conducting hearings on proposals to confiscate workers’ personal retirement accounts - including 401(k)s and IRAs - and convert them to accounts managed by the Social Security Administration.
Triggered by the financial crisis the past two months, the hearings reportedly were meant to stem losses incurred by many workers and retirees whose 401(k) and IRA balances have been shrinking rapidly.
Let me first say this is improbable. However:
- This would be Draconian.
- What idiot feels that the Social Security Administration has any capacity to manage enormous investment funds other than through buying Treasury instruments?
- This can only be an idea of how to refinance the pillaged social security funds.
- This would not be any different than Chavez’s recent moves.
- This would place the US alongside all Banana Republics.
- This is not gold.
- This is a liberal professor speaking to the left.
- This is the most disturbing event to be suggested.
- This is not good for the dollar.
- This is good for gold.
Now having said that, let’s address your major concerns based on today’s calls and faxes.
- This is the most disturbing item I have experienced since OTC derivative dealings began in a serious way in 1991.
- Discussions of the confiscation of citizen’s assets at this level, no matter how it is presented, has the potential for catastrophic consequences.
- If Citizens can have their asset confiscated who in the world would consider the dollar, US Treasuries, or US depositories safe from confiscation without representation?
- With the TIC reports already threatening the dollar, consider the flight of petro funds from the US.
- Financially the back door was closed by the Patriot Act. On January 1st, 2009 expatriates will have practically all their assets taxed away. That is law and that is fact. The front door is closed because a nation of immigrants refuses to allow legal immigration. The country is locked down.
- Never say never regarding confiscation of any asset if in the unlikely case the article above is true.
- My solution is public.
- Your solution is to do what I have done, not necessarily in the same way.
- Incorporate in another country, operate in a third country, trade on multiple national exchanges. It is a form of Harry’s formula of having your money in one country, your citizenship in another country and your body in a third country. For me this is true corporately.
- You do not need to do exactly what I have. If you look carefully there are other vehicles which you might already be in that contain the same characteristics.
- Take physical delivery of your shares.
- Do nothing illegal.
- Do not deal with anyone that offers a service that is in the light of day illegal. If you do, they will own you.
- If you select to expatriate your gold do it legally.
- Gold ETFs will be treated exactly like gold.
- Coin dealers will try to talk you into collector gold coins, declaring them free of confiscation risk. They may be but you are entering into an art, not gold market. You will be expertly screwed price wise.
In conclusion, I strongly doubt retirement accounts will be confiscated this early in a new Administration. The USA is still a nation of NASCAR fans in the main. The public would simply go wild.
You cannot try anything illegal as no transfer of funds goes unnoticed today.
The front door is closed and the back door is closed for US citizens on 01/01/09. US citizens simply have to deal with it. I believe I have already.
Take delivery of your shares in the form of paper certificates. As a second option become a direct registration book entry at the respective company’s transfer agent. Do it tomorrow because you already know that soon many gold and silver public companies will become fully computerized and cease the issue of paper certificates while dissuading direct registration if they even allow it.
Every exit is shutting down. “This is it and it is now” takes on a new dimension.
Even though I doubt that such Draconian means will be introduced, I believe in being prepared with all your funds that are now outside of retirement accounts.
We can no longer say never on the possibility of gold confiscation talk at the same level. I still doubt both will ever happen, but be prepared.
Do not act emotionally and pay confiscation tax levels. Cool down and think about things. Nothing so draconian will happen so early in a new Administration - believe me. What was reported is a liberal professor speaking to the left.