31 USC § 1321 (a) (2)Philippine special fund
(a)The following are classified as trust funds:
(2) Philippine special fund (internal revenue).
BATF/IRS -- Criminal Fraud
by William Cooper
CAJI News Service -- Exclusive
Issue Number 6
Forward by Dan Meador
The following report was sent via FAX from one of our IRS triage people in the Northeast -- the FAX transmission was marginal grade and the original title was not included. There are a few holes where the type was not legible, so three or four lines are missing. The article appeared in the September 1995 issue of Veritas Magazine, published by William Cooper. The magazine can be secured by writing to P.O. Box 3390, St. Johns, Arizona <85936>. Cooper wrote the article, Cooper and Wayne Bentson did the research. I verified most material immediately in the federal depository at the Oklahoma State University library, and everything alleged in the article that I've had time to follow up on, including the fact that IRS and BATF are not listed in Chapter 3, Title 31, of the United States Code as agencies of the Department of the Treasury for the United States, checks out.
Since receiving the article and doing preliminary follow-up research, I secured a book of documentation produced by Bentson some time prior to the Cooper article being published. The book has most Federal Register and Treasury Order materials mentioned in the article, although the contract for IRS collection on behalf of the Agency for International Development, the military arm of the United Nations, isn't produced in the book. In sum, however, everything in the following article that we've had time to verify stands as Cooper presents it.
Tom Dunn of Maine throws in another twist yet to be verified: IRS allegedly operates through the Capital Trust Corporation, D.C., which is allegedly another off-shore entity. Dunn also links judges of "Nisi Prius" courts (statutory admiralty/contract) to Capital Trust, D.C. Our research demonstrates that the Department of Justice, when representing IRS, operates in an alter ego on behalf of what is described as the "General Authority" established under treaties on private international law (28 CFR Sec. 0.50), and that state district courts, via the various adopted acts implemented by the States, accommodate private international law (see "conflict of laws" as a subcategory to "statutes" in American Jurisprudence 2d). The following article contributes significantly to documenting the pedigree of IRS, BATF, etc.
Ponca City, Oklahoma.
"The Congress shall have Power to lay and collect Taxes, Duties,
Imposts and Excises, to pay the Debts and provide for the common
Defence and general Welfare of the United States; but all
Duties, Imposts and Excises shall be uniform throughout the
United States; ...."
The Constitution for the United States of America
Article I, Section 8, Clause 1 ("1:8:1")
"No Capitation, or other direct, Tax shall be laid, unless in
Proportion to the Census or Enumeration hereinbefore directed to
The Constitution for the United States of America
Article I, Section 9, Clause 4 ("1:9:4")
Investigation of the alleged Internal Revenue Service and
the Bureau of Alcohol, Tobacco and Firearms has disclosed a
broad, premeditated conspiracy to defraud the Citizens of the
United States of America. Examination of the United States Code,
the Code of Federal Regulations, the Statutes at Large,
Congressional Record, the Federal Register, and Internal Revenue
manuals too numerous to list, reveals a crime of such magnitude
that words cannot adequately describe the betrayal of the
American people. What we uncovered has clearly been designed to
circumvent the limitations of the Constitution for the United
States of America and to implement the Communist Manifesto within
the 50 States. Marx and Engels claimed that, in the effort to
create a classless society, a "graduated income tax" could be
used as a weapon to destroy the middle class.
The Art of Illusion
Magic is the art of illusion. Those who practice magic are
called Magi. They have created a web of obfuscation and
confusion in the law. When the courts have ruled them
unconstitutional or unlawful, they merely stepped outside
jurisdiction and venue. By fooling the people, they continued
the crime. These Magicians have convinced Americans that we have
a status we do not. We are led to believe we must do things that
are not required. Through the clever use of language, the
government promotes the fraud.
Not Created by Congress
The Bureau of Internal Revenue, and the alleged Internal
Revenue Service, were not created by Congress. These are not
organizations or agencies of the Department of the Treasury, or
of the federal government. They appear to be operated through
pure trusts administered by the Secretary of the Treasury (the
Trustee). The Settler of the trusts and the Beneficiary or
Beneficiaries are unknown. According to the law governing
trusts, the information does not have to be revealed.
Not Found in 31 U.S.C.
The organization of the Department of the Treasury can be
found in 31 United States Code, Chapter 3, beginning on page 7.
You will not find the Bureau of Internal Revenue, the Internal
Revenue Service, the Secret Service, or the Bureau of Alcohol
Tobacco and Firearms listed. We learned that the Bureau of
Internal Revenue, Internal Revenue, internal revenue, Internal
Revenue Service, the Bureau of Internal Revenue Service, internal
revenue service, Official Internal Revenue Service, the Federal
Alcohol Administration, Director Alcohol Tobacco and Firearms
Division, and the Bureau of Alcohol Tobacco and Firearms are all
one organization. We found this obfuscated.
The investigation found that, except for the very few who
are engaged in specific activities, the Citizens of the 50 States
of the United States of America have never been required to file
or to pay "income taxes." The Federal government is engaged in
constructive fraud on a massive scale. Americans who have been
frightened into filing and paying "income taxes" have been robbed
of their money. Millions of lives have been ruined. Hundreds of
thousands of innocent people have been imprisoned on the pretense
they violated laws that do not exist. Some have been driven to
suicide. Marriages have been destroyed. Property has been
confiscated to pay taxes that were never owed.
Lincoln's War Tax
During the Civil War, Abraham Lincoln imposed a war tax upon
the citizens. The war tax lawfully applied only to those
citizens who resided within the federal District of Columbia and
the federally owned territories, dockyards, naval bases, or
forts, and those who were considered to be in rebellion against
the Union. Many Citizens of the several States volunteered to
pay. After the war, the tax was repealed. This left the
impression that the President and Congress could levy an
unapportioned direct tax upon the Citizens of the several States,
when, in fact, no such tax had ever been imposed. The Tax was
not fraud, because nothing was done to deceive the people. Those
who were deceived, in fact, deceived themselves.
Philippine -- Trust #1
In the last century, the United States acquired by conquest
the territory of the Philippine Islands, Guam, and Puerto Rico.
The Philippine Customs Administrative Act was passed by the
Philippine Commission during the period from September 1, 1900,
to August 31, 1902, to regulate trade with foreign countries and
to create revenue in the form of duties, imposts, and excises.
The Act created the federal government's first trust fund called
Trust Fund #1, the Philippine special fund (customs duties), 31
U.S.C., Section 1321. The Act was administered under the general
supervision and control of the Secretary of Finance and Justice.
Philippine Trust #2
Bureau of Internal Revenue
The Philippine Commission passed another Act known as the
Internal Revenue Law of Nineteen Hundred and Four. This Act
created the Bureau of Internal Revenue and the federal
government's second trust fund called Trust Fund #2, the
Philippine special fund (internal revenue), 31 U.S.C., Section
1321. In the Act, Article I, Section 2, we find:
"There shall be established a Bureau of Internal Revenue,
the chief officer of which Bureau shall be known as the
Collector of Internal Revenue. He shall be appointed by the
Civil Governor, with the advice and consent of the
Philippine Commission, and shall receive a salary at the
rate of eight thousand pesos per annum. The Bureau of
Internal Revenue shall belong to the department of Finance
And in Section 3, we find:
"The Collector of Internal Revenue, under the direction of
the Secretary of Finance and Justice, shall have general
superintendence of the assessment and collection of all
taxes and excises imposed by this Act or by any Act
amendatory thereof, and shall perform such other duties as
may be required by law."
Customs & BIR Merged
It is clear that the Customs Administrative Act was to fall
within the jurisdiction of the Bureau of Internal Revenue which
bureau was to be responsible for "all taxes and excises imposed
by this Act," which clearly included import and export excise
taxes. This effectively merged Customs and Internal Revenue in
When Prohibition was ratified in 1919 with the 18th
Amendment, the government created federal bureaucracies to
enforce the outlaw of alcohol. As protest and resistance to
prohibition increased, so did new federal laws and the number of
bureaucrats hired to enforce them. After much bloodshed and
public anger, Prohibition was repealed with the 21st Amendment,
which was ratified in 1933.
Federal Alcohol Act
In 1933, President Roosevelt declared a "Banking Emergency."
The Congress gave the President dictatorial powers under the "War
Powers Act of 1917." Congress used the economic emergency as the
excuse to give blanket approval to any and all Presidential
executive orders. Roosevelt, with a little help from his
socialist friends, was prolific in his production of new
legislation and executive orders. In 1935, the Public
Administration Clearinghouse wrote, and Roosevelt introduced, the
Federal Alcohol Act. Congress passed it into law. The Act
established the Federal Alcohol Administration. That same year,
the Supreme Court, in a monumental ruling, struck down the act,
among many others on a long list of draconian and New Deal laws.
The Federal Alcohol Administration did not go away, however; it
became involved in other affairs, placed in a sort of standby
Internal Revenue (Puerto Rico)
At some unknown date prior to 1940, another Bureau of
Internal Revenue was established in Puerto Rico. The 62nd trust
fund was created and named Trust fund #62 Puerto Rico special
fund (Internal Revenue). Note that the Puerto Rico special fund
has Internal Revenue, capital "I" and "R". The Philippine
special fund (internal revenue) is in lower-case letters.
Between 1904 and 1938, the China Trade Act was passed to
deal with opium, cocaine, and citric wines shipped out of China.
It appears to have been administered in the Philippines by the
Bureau of Internal Revenue.
China Trade Act
We studied a copy of The Code of Federal Regulations of the
United States of America in force June 1, 1938, Title 26 --
Internal Revenue, Chapter I -- (Parts 1-137). On page 65, it
makes reference to the China Trade Act, where we find the first
use of such terms as: income, credits, withholding, Assessment
and Collection of Deficiencies, extension of time for payment,
and failure to file return. The entire substance of Title 26
deals with foreign individuals, foreign corporations, foreign
insurance corporations, foreign ships, income from sources within
possessions of United States, citizens of the United States and
domestic corporations deriving income from sources within a
possession of the United States, and China Trade Act
Our investigation uncovered a lot. We have printed only a
little. Successful use of this material requires a lot of study,
and an excellent understanding of the legal system. Please do
not compound errors by attempting to extract some imaginary magic
bullet to use against the alleged Internal Revenue Service, or
the Bureau of Alcohol, Tobacco and Firearms. It is not enough to
discover this information; you must know it inside and out,
backwards and forwards, like you know the smell of your own
We have been betrayed by those we trusted. We have been
robbed of our money and property. It happened because we trusted
imperfect men to rule imperfect men, and we failed in our duty as
watchdogs. It happened because we have been ignorant, apathetic,
and even stupid.
By Choice and Consent
"A nation or world of people, who will not use their
intelligence, are no better than animals that do not have
intelligence; such people are beasts of burden and steaks
on the table by choice and consent."
from "Behold a Pale Horse," by William Cooper,
Light Technology Publishing, Sedona, Arizona state
A significant portion of the research that led to the
writing of this article was contributed by Mr. Wayne Bentson.
# # #
Return to William Cooper