On Wednesday, November 14, 2007, federal agents raided the Indianapolis headquarters of a company called NORFED, the National Organization for the Repeal of the Federal Reserve Act and Internal Revenue Code, and seized its holdings of gold, silver, and copper, much of it in the form of coins bearing the likeness of US Congressman Dr. Ron Paul of Texas, a candidate for the Republican nomination for President of the United States.
The search warrant for this raid alleges fraud and money laundering, and a supporting affidavit refers to provisions of the US Code that prohibit the emission of any coins intended to circulate as money, and the emission of anything in the likeness of the currency of the United States.
The details of the case are complicated, but there are two issues that I can address without going into all the claims and counterclaims. How is it that the US government has the power to prohibit people from using alternative forms of money (i.e., the first provision), and how is it that the coins of NORFED resemble those of the United States (the second)? FULL ARTICLE