From:
Republic of Texas General Council

To:
MEMBERS OF CONGRESS, STATE OF TEXAS
MEMBERS OF THE SENATE, STATE OF TEXAS

    On February 23, 2001 a notice was sent to all County Commissioners Courts, County Clerks, and County Sheriffs in Texas regarding the process of filing the Form 668(Y)(c) from the Internal Revenue Service in all County jurisdictions. On March 28, 2001, after it had come to our attention that numerous County Clerks were not informed of this notice by the County Commissioners Court, a second mailing of the notice was done directly to the County Clerks.

    The purpose of the Notice was to inform county authorities of, and to stop, an ongoing securities fraud that is being committed, knowingly or unknowingly, by the County Commissioners Courts and County Clerks/Recorders of Texas, and being perpetrated against the good people of Texas. TO WIT: The laundering of IRS Form 668(Y)(c) ("Notice of Federal Tax Lien") into a secured Tax Lien Certificate, by misfiling this "NOTICE" as if it were a lawful lien.

    To date, only 5 of the 254 counties noticed have bothered with any kind of response and none have directly addressed the issues that were raised in the notice.

    The issue is that the IRS Form 668(Y)(c) is a Notice, not a commercial lien or lawful lien of any kind. It contains no certification that there is a lien. It is not supported by affidavit or adjudication and often, it is not even signed!  The county clerk/recorder files this mere "Notice" into a Tax Lien Index, as if it were an actual lien. If it were, indeed, an actual lien, such filing would be mandated by statute. However, since it is merely a "Notice" such filing DISTORTS and PERJURES THE COUNTY RECORD!

    Subsequently, an IRS agent requests and receives a certificate that there is Tax Lien on file. That certificate incorrectly certifies that there is an actual lien. That certificate is a Security, a negotiable instrument. By this process, a mere unsigned and un-sworn "Notice" has been boosted or laundered into a Security instrument. Such action constitutes Securities Fraud.

    Internal Revenue Code § 6323 (f)(1)(a)(A) requires that Notices of Federal Tax Lien be filed "under state laws" and further provides, in § 6323 (a) that such notices are not valid until this requirement is met. If there is no agreement by the alleged debtor, in accordance with STATE OF TEXAS law, or if no court order accompanies these notices of lien, then the notices are filed in violation of IRC § 6323. Further, if there is no certification on the notice by the Secretary, then the Recorder is responsible for the filing of the notice and can and should correct the error.

    IRC § 6331 has no implementing regulation in the Code of Federal Regulations under Title 26 of the United States Code and therefore has no force and effect of law. It also clearly applies only to "any person liable to pay any tax" and therefore liability of the named individual must be determined either by certification by the Delegate of the Secretary or by the Recorder if there is no federal certification of lien or of liability, or a court order.

    IRC § 6321 & 6322 are almost always cited on the back of Form 668(Y)(c) as the authority under which it is issued. These two code sections do not have legislative regulations listed in the Code of Federal Regulations in Title 26. In other words, 6321 & 6322 are not cited as having regulatory authority, thus rendering those two statutes benign as concerning the income tax.

    Given the fact that an IRS Form 668(Y)(c) is merely a NOTICE that is NOT verified, NOT certified, NOT sworn, NOT accompanied by a court order, NOT signed by the alleged debtor, and in some cases is NOT even signed by an agent of the IRS who has proper authority, is there a legally proper way to record Form 668(Y)(c) into the County Record and encumber innocent people's property?

    The discovery of this commercial securities fraud, initiated by the INTERNAL REVENUE SERVICE, compels the General Council of the Republic of Texas to NOTIFY the State Legislators of what we consider to be a continuing fraud upon the people of Texas, and to cause a review of the process of filing "NOTICES OF FEDERAL TAX LIENS" generated by the Internal Revenue Service so that such filings, if they are continued, would comply with legal and lawful principles.

    It was suggested that the County Clerks ask the IRS to show proof of a valid lien whenever they receive an IRS Form 668(Y)(c). We further suggest that the IRS be asked to certify and verify the LIABILITY of the individual named in the action. If the IRS fails to show proof of a valid lien, or fails to certify liability, the Form 668(Y)(c), should not be filed, or if it has been filed it should be deleted from the record.

    We find it to be quite ironic that you gentlemen, the Legislators of the STATE OF TEXAS, passed laws to prevent the alleged "filing of bogus liens" by Republic of Texas Citizens, yet the Internal Revenue Service is violating those very laws by filing bogus "NOTICE OF FEDERAL TAX LIEN" documents when there is no such lien supported by law.

    We understand that the argument regarding the lien is that it is placed statutorily. But it must be remembered that the statute can only be construed to apply to one who is LIABLE and there is no certification or verification of liability confirmed regarding the Form 668(Y)(c). It is based on a false presumption.

    It is our contention that this is a scheme, a commercial fraud that is being perpetrated upon the people of Texas. If we are incorrect, we respectfully ask the lawmakers of Texas to show us the law that makes the people of Texas liable to the Income Tax Scheme and to explain how unverified, unsworn, uncertified, and sometimes unsigned documents make their way into the County recording system to the harm of the people of Texas simply because they bear the letters "IRS."

Please respond to the General Council of the Republic of Texas regarding the issues related herein.

/s/ Jesse Enloe, President
      John D. Hunter, Vice President
      Coolidge Gerdes, Auditor
      Earl Forester, Treasurer
      Ed Brannum, Secretary of Privatization
      D.A. West, Secretary of Agriculture
      John Roberts, Secretary of Commerce