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FBI Raid in the Line of Fire Minimize
 

 

Thursday May 25, 2006 Vol. 8 No. 103
In Today's Letter: Comment: FBI Agents Step Way Over the Line
Offshore: FATF Headed for The Bahamas Again
Wealth: Italian Oil Company Races Ahead of Competitors
Privacy & Rights: British Force Businesses to Give Up Keys
FBI Raid in the Line of Fire

Dear A-Letter Reader:

Yesterday I chatted with you about corruption on Capitol Hill and how an out-of-control government has allowed lawmakers and bureaucrats to wield enormous powers over our lives -- and offered the chance to enrich themselves with bribes.

I mentioned that last weekend, FBI agents raided the Rayburn House Office Building, the office of Rep. William Jefferson (D-La). The FBI accused Congressman Jefferson of taking over $400,000 in bribes. Without regard for guilt or innocence, there is no precedence for the FBI or any other federal police to invade any office in the legislative branch in such a blatant violation of the separation of powers the U.S. Constitution provides.

"There is no excuse for the FBI -- for the first time in history -- searching a congressional office, and apparently doing so in total disregard of due process as it relates to the legislative branch," former Speaker Newt Gingrich, (R-Ga.), said in an e-mail to several members. Gingrich was particularly critical of what he described as the executive branch trampling constitutional lines of authority.

"The president should respond accordingly and should discipline (probably fire) whoever exhibited this extraordinary violation," he wrote. "The protection of the legislative branch from the executive branch's policing powers is a fundamental principle which goes all the way back to the English Civil War," Gingrich said. He described the incident as "the most blatant violation of the constitutional separation of powers in my lifetime." U.S. Sen. Bill Frist (R-Tenn), the Senate Majority Leader agreed with Gingrich.

Well, I served in the House with Newt and I agree with him that this blatant FBI raid was way out of line. There are procedures to be followed when the executive branch wants information from the legislative branch and all these procedures were totally ignored.

But there is a supreme irony when U.S. Senators and U.S. House members complain about this FBI police raid on their domain.

The majority of these are the same legislative yahoos who have voted to strip every American of their personal and financial privacy. This constitutionally blind gang on Capitol Hill has voted to expand and renew the PATRIOT Act that allows secret surveillance and clandestine intrusion into our financial accounts, home and office records and computers. And when it is revealed that President Bush is not only violating laws requiring search warrants for wiretaps in thousands of cases, and allowing massive gathering of millions of Americans' phone calls, these distinguished ladies and gentlemen for the most part stand mute -- or sing their approval of such criminal acts.

Charles Tiefer, a law professor at the University of Baltimore who served as deputy general counsel of the House said that the incident "raises some serious separation of powers questions when extraordinarily harsh and extreme tactics are used on the legislative branch."

Well, my friends, what about the rights of 300 million Americans now living in a police state where many of them are subjected to extraordinarily harsh and extreme tactics on a daily basis? Do our so-called "representatives" have more and greater rights than the rest of us?

That's the way that it looks from here,
BOB BAUMAN, Editor

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Offshore

The Bahamas Fall Under the FATF Microscope Again

It seems no matter what The Bahamas do, they still seem to fall on the radar screen of the Financial Action Task Force. This lovely chain of islands was first blacklisted by the FATF in 2000 as an "uncooperative" country, according to The Bahamas Journal. In response, Bahamian officials enacted anti-money laundering and anti-terrorism financial laws that severely damaged The Bahamas' standing as a tax haven. The Bahamas finally managed to drag themselves off the FATF's blacklist in 2001, but they remained under the FATF's watchful eye until 2005. And the FATF still isn't pleased. Now, the Caribbean chapter of the FATF will visit The Bahamas again from May 22 - June 1 to ascertain their compliance with the FATF rulings. One thing is certain: just as we have said many times before, as long as The Bahamian officials continue to say, "Yes Sir and Madam" to the FATF officials, you should consider taking your assets elsewhere.  
Wealth/Investments

Booming Oil Profits... and the Benefits of Being a Sovereign Individual

ENI SpA, Italy's largest integrated oil and gas concern and Europe's fourth-largest oil company based on stock market-capitalization, reported strong first quarter (Q1) profit growth. ENI logged a 22% increase in Q1 earnings compared to 12 months earlier, or $3.82 billion dollars. The Italian oil titan outperformed its European peers for the second time in a row by posting a 7.3% increase in oil and natural gas production to 1.83 million barrels per day. Italy, like France, has defied a U.S. State Department edict since 1995 to drill in rogue oil-producing states, including Libya, Iran and Syria. ENI continues to drill in all three markets along with France's Total SA. The United States established new diplomatic ties with Libya last week, removing the country from its state-sponsored terrorist list. ENI earned production growth in Libya, Angola and Egypt in Q1. One of the advantages of being a true global investor is you can invest in the best companies throughout the world without being thwarted by the inconsistent and often arbitrary rulings of governments.  As a result, subscribers to Commodity Trend Alert have seen 178% gains and counting from ENI Spa, even while major American energy companies have been shut out of doing business in many countries entirely.

ERIC ROSEMAN, Investment Director
on behalf of The Sovereign Society 

Privacy&Rights

UK Law Forces Businesses to Hand over Encryption Keys

Five years after the original law was passed, the UK has decided to exercise all the powers within the "Regulation of Investigatory Powers Act." Basically, this law gives the British police the right to demand businesses and individuals hand over encryption keys, according to CNET News. British officials say encryption is increasingly used by criminals and terrorists. They don't mention the other reason everyone else uses encryption: personal privacy. Also, this new forced-transparency law could send big businesses outside of British borders. As one critic said, "If you're an international banker, you'll plunk your headquarters in Zurich."
LINK: Please click here for more information.

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