The Credit River Decision: Unchanging values
Once upon 1969, in that bastion of liberality Minnesota, an attorney Jerome Daly faced foreclosure on a piece of property he had bought with a mortgage. He took the bank to court to fight the foreclosure on the basis that First National Bank of Montgomery didn’t lend any actual money, didn’t exchange anything of value, but simply created credit on their books. During the proceedings, after the mortgage banker testified about the mortgage loan, Mr. Daly cross-examined the banker who admitted that the funds were created from a ledger entry, out of thin air. Because the mortgage company failed to provide consideration, something of value, in exchange for the property, therefore FNB of Montgomery had no right to claim possession by foreclosure.
This case, along with others, stands as evidence to the fraud of the Federal Reserve Banking system, but that is a matter for another day’s discussion. I found something else thought provoking in the online court documents from the judgment and decree . In this document there is a memorandum from Justice of the Peace Mahoney outlining the issues of the case. He makes an interesting statement which I’ll quote here:
The money and credit first came into existance (sic) when they created it. Mr. Morgan (the president of the First National Bank of Montgomery, MN which issued the mortgage) admitted that no United States Law or Statute existed which gave him the right to do this. A lawful consideration must exist and be tendered to support the Note. See Anheuser-Busch Brewing Co. v. Emma Mason, 44 Minn. 318, 46 N.W. 558. The Jury found there was no lawful consideration and I agree. Only God can created [sic] something of value out of nothing
If only God can create something of real value out of nothing, I wonder if humanity can have anything of real value out of what exists? Everything has its price, and there are cars that cost hundreds of thousands of dollars and houses in the millions, but among all the stuff of life is there anything of real, lasting value?
A world without God loses more than its moral standards. Godlessness means a world without meaningful values. Beyond a code of conduct, a system of ethics, there must be an underlying basis upon which the human community has as its medium of exchange, if you will. Mankind cannot create anything of value out of nothing, but it can appropriate something of transcendent value from nothing. Ultimately, mankind may attribute worth, but it’s God who establishes values.
The link to the document (in PDF format): http://www.lawlibrary.state.mn.us/CreditRiver/1968-12-09judgmentanddecree.pdf