NOTICE NOTICE OF MEMORANDUM OF LAW-Points and Authorities in Support of Internationa !

i of E"#han$enues on toda% under &Those 'ho #onstitute an asso#iation nation'ide of pri(ate) unin#orporated persons en$a$ed in the *usiness of *an+in$ to issue notes a$ainst these o* i$ations of the United States due the,- 'hose pri(ate propert% is at ris+ to #o atera i.e the $o(ern,ent/s de*t and #urren#%) *% e$a definitions) a &nationa *an+in$ asso#iation&- su#h notes) issued a$ainst these o* i$ations of the United States to that part of the pu* i# de*t due its Prin#ipa s and Sureties are re0uired *% a' to *e a##epted as & e$a tender& of pa%,ent for a de*ts pu* i# and pri(ate) and are defined in a' as &o* i$ations of the United States&) on the sa,e par and #ate$or% 'ith Federa reser(e notes and other #urren#% and e$a tender o* i$ations1& 2Pa$e 34 RE5 Ite, tendered for Dis#har$e of De*t1 The instru,ent tendered to the *an+ and ne$otiated to the United States Treasur% for sett e,ent is an 6O* i$ation of T7E UNITED STATES)8 under Tit e 93USC Se#t13) representin$ as the definition pro(ides a 6#ertifi#ate of inde*tedness :1dra'n upon an authori.ed offi#er of the United States)8 2in this #ase the Se#retar% of the Treasur%48issued under an A#t of Con$ress8 2in this #ase pu* i# a' ;<-9=) 7>R9?@ of 9?<< and Tit e <9 USC <9@<) and <9 USC A9=<4 and *% treat% 2in this #ase the UNITED NATIONS CONBENTION ON INTERNATIONAL !ILLS OF ECC7ANDE AND INTERNATIONAL PROMISSORE NOTES 2UNCITRAL4 and the Uni(ersa Posta Union head0uartered in !ern) S'it.er and 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG93Ginde"1ht, & TITLE 93 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG93GpI1ht, & PART I 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG93GpI#h91ht, & C7APTER 9 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG93GpI#h91ht, & Se#1 91 I Se#1 31 Se#1 31 - O* i$ation or other se#urit% of the United States defined The ter, JJo* i$ation or other se#urit% of the United StatesJJ in# udes a *onds) #ertifi#ates of inde*tedness) nationa *an+ #urren#%) Federa Reser(e notes) Federa Reser(e *an+ notes) #oupons) United States notes) Treasur% notes) $o d #ertifi#ates) si (er #ertifi#ates) fra#tiona notes) #ertifi#ates of deposit) *i s) #he#+s) or drafts for ,one%) dra'n *% or upon authori.ed offi#ers of the United States) sta,ps and other representati(es of (a ue) of 'hate(er deno,ination) issued under an% A#t of Con$ress) and #an#e ed United States sta,ps1 The Internationa !i of E"#han$e is e$a tender as a nationa *an+ note) or note of a Nationa !an+in$ Asso#iation) *% e$a andGor statutor% definition 2UCC H-9=A) 9@CFRSe#1 @@?1@) @9=1@) 9@ USC 939<4 ) issued under Authorit% of the United States Code <9 USC <?@) A9=<) 'hi#h offi#ia % defines this as a statutor% e$a tender o* i$ation of T7E UNITED STATES) and is issued in a##ordan#e 'ith <9 USC <9@< and 7>R- 9?@29?<<4 'hi#h esta* ish and pro(ide for its issuan#e as 6Pu* i# Po i#%8 in re,ed% for dis#har$e of e0uit% interest re#o(er% on that portion of the pu* i# de*t to its Prin#ipa s) and Sureties *earin$ the O* i$ations of T7E UNITED STATES1 This is a statutor% re,ed% for e0uit% interest re#o(er% due the prin#ip es and sureties of the United States for dis#har$e of a'fu de*ts in #o,,er#e in #onKun#tion 'ith US o* i$ations to that portion of the pu* i# de*t it is intended to redu#e1 Durin$ the finan#ia #risis of the depression) in 9?<< su*stan#e of $o d) si (er and rea ,one% 'as re,o(ed as a foundation for our finan#ia s%ste,1 In it s p a#e the su*stan#e of the A,eri#an #iti.enr%5 their rea propert%) 'ea th) assets and produ#ti(it% that *e on$s to the, 'as) in effe#t) Lp ed$ed/ *% the $o(ern,ent and p a#ed at ris+ as the #o atera for US de*t)

#redit and #urren#% for #o,,er#e to fun#tion1 This is 'e do#u,ented in the a#tions of Con$ress and the President at that ti,e and in the Con$ressiona de*ates that pre#eded the adoption of the reor$ani.ationa ,easures5 Senate Do#u,ent No1 H<) ;<rd Con$ress) 9st Session) stated) &Under the ne' a' the ,one% is issued to the *an+s in return for Do(ern,ent o* i$ations) *i s of e"#han$e) drafts) notes) trade a##eptan#es) and *an+er/s a##eptan#es1 The ,one% 'i *e 'orth 9== #ents on the do ar) *e#ause it is *a#+ed *% the #redit of the nation1 It 'i represent a ,ort$a$e on a the ho,es and other propert% of a the peop e in the Nation1& 2Whi#h a'fu % *e on$s to these pri(ate #iti.ens14 The Nationa De*t is defined as 6,ort$a$es on the 'ea th and in#o,e of the peop e of a #ountr%18 2En#%# opedia !ritanni#a) 9?A?14 Their 'ea th) :1 their in#o,e1 The reor$ani.ation is e(iden#ed *%5 the E,er$en#% !an+in$ A#t) Mar#h ?) 9?<<- 7ouse >oint Reso ution 9?@) >une A) 9?<< 2pu* i# a' ;<-9=4) and the Series of E"e#uti(e Orders that surrounded the,5 7EPERLINF &http5GG'''1#onser(ati(eusa1or$GeoG9?<<GeoM=;<1ht,& - Reopenin$ of !an+s1 E,*ar$o on Do d Pa%,ents and E"ports) and Li,itations on Forei$n E"#han$e Transa#tions1 Mar#h 9=) 9?<< 7EPERLINF &http5GG'''1#onser(ati(eusa1or$GeoG9?<<GeoM9991ht,& -Transa#tions in forei$n e"#han$e are per,itted under Do(ern,enta Super(ision1 Apri @=) 9?<< 7EPERLINF &http5GG'''1#onser(ati(eusa1or$GeoG9?<<GeoM9=@1ht,& - For*iddin$ the hoardin$ of $o d #oin) $o d *u ion and $o d #ertifi#ates1 Apri A) 9?<< On De#e,*er @<) 9?9<) Con$ress had passed &An A#t to pro(ide for the esta* ish,ent of Federa reser(e *an+s) to furnish an e asti# #urren#%) to afford a ,eans of redis#ountin$ #o,,er#ia paper) to esta* ish a ,ore effe#ti(e super(ision of *an+in$ in the United States) and for other purposes&1 The A#t is #o,,on % +no'n as the &Federa Reser(e A#t&1 One of the purposes for ena#tin$ the Federa Reser(e A#t 'as 5 2<4 to authori.e &h%pothe#ation& of o* i$ations in# udin$ &United States *onds or other se#urities 'hi#h Federa reser(e !an+s are authori.ed to ho d& under Se#tion 9H2a49@ USC- #h1 M) <3 Stat1 @A9 Se#t 9H2a4 The ter, &h%pothe#ation& as stated in Se#tion 9H2a4 of the A#t is defined5 &91 !an+in$1 Offer of sto#+s) *onds) or other assets o'ned *% a part% other than the *orro'er as #o atera for a oan) 'ithout transferrin$ tit e1 If the *orro'er turns the propert% o(er to the ender 'ho ho ds it for safe+eepin$) the a#tion is referred to as a p ed$e1 If the *orro'er retains possession) *ut $i(es the ender the ri$ht to se the propert% in e(ent of defau t) it is a true h%pothe#ation1 @1 Se#urities1 The p ed$in$ of ne$otia* e se#urities to #o atera i.e a *ro+erJs ,ar$in oan1 The *ro+er p ed$es the sa,e se#urities to a *an+ as #o atera for a *ro+erJs oan) the pro#ess is referred to as reh%pothe#ation1& NDi#tionar% Of !an+in$ Ter,s) Fit#h) p$1 @@3 29??;4O As seen fro, the definitions) in h%pothe#ation there is e0uita* e ris+ to the a#tua o'ner1 Se#tion 9M of the #urrent Federa Reser(e A#t) 'hi#h is #odified at 9@ USC H99) de# ares that &Federa Reser(e Notes& are &o* i$ations of the United States&1 So 'e see the &fu faith and #redit& of the United States5 'hi#h is the su*stan#e of the A,eri#an #iti.enr%5 their rea propert%) 'ea th) assets and produ#ti(it% that *e on$s to the,) is there*% h%pothe#ated and reh%pothe#ated *% the United States to its o* i$ations as 'e as to the Federa Reser(e for the issuan#e and *a#+in$ of Federa Reser(e Notes as e$a tender &for a ta"es) #usto,s) and other pu* i# dues&1

7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@Ginde"1ht, & TITLE 9@ 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G#h<1ht, & C7APTER < 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G#h<s#hCII1ht, & SU!C7APTER CII I Se#1 H991 Se#1 H991 - Issuan#e to reser(e *an+s- nature of o* i$ation- rede,ption Federa Reser(e notes) to *e issued at the dis#retion of the !oard of Do(ernors of the Federa Reser(e S%ste, for the purpose of ,a+in$ ad(an#es to Federa reser(e *an+s throu$h the Federa reser(e a$ents as hereinafter set forth and for no other purpose) are authori.ed1 The said notes sha *e o* i$ations of the United States and sha *e re#ei(a* e *% a nationa and ,e,*er *an+s and Federa reser(e *an+s and for a ta"es) #usto,s) and other pu* i# dues1 The #o,,er#e and #redit of the nation #ontinues on toda% under finan#ia reor$ani.ation 2!an+rupt#%4 as it has sin#e 9?<<) sti *a#+ed *% the assets and 'ea th of the A,eri#an #iti.enr%5 at ris+ for the $o(ern,ent/s o* i$ations and #urren#%1 Under the 9Hth a,end,ent and nu,erous Supre,e Court pre#edents) as 'e as in e0uit%) Pri(ate propert% #an not *e ta+en or p ed$ed for pu* i# use 'ithout Kust #o,pensation) or due pro#ess of a' 1 The United States #an not p ed$e or ris+ the propert% and 'ea th of its pri(ate #iti.ens) for an% $o(ern,ent purpose 'ithout e$a % pro(idin$ the, re,ed% to re#o(er 'hat is due the, on their ris+1 This prin#ip e is so 'e esta* ished in En$ ish #o,,on a' and in the histor% of A,eri#an Kurispruden#e1 The 9Hth a,end,ent pro(ides5 6no person sha *e depri(ed of:propert% 'ithout due pro#ess of a'81 And Courts ha(e on$ ru ed to ha(e one/s propert% e$a % he d as #o atera or suret% for a de*t e(en 'hen he sti o'ns it and sti has it is to depri(e hi, of it sin#e it is at ris+ and #ou d *e ost for the de*t at an% ti,e1 The United States Supre,e Court said) in United States (1 Russe N9< Wa ) M@<) M@;O &Pri(ate propert%) the Constitution pro(ides) sha not *e ta+en for pu* i# use 'ithout Kust #o,pensation18 &The ri$ht of su*ro$ation is not founded on #ontra#t1 It is a #reature of e0uit%- is enfor#ed so e % for the purpose of a##o,p ishin$ the ends of su*stantia Kusti#e- and is independent of an% #ontra#tua re ations *et'een the parties1& Me,phis P L1 R1 R1 Co1 (1 Do') 9@= U1S1 @3;) <=9-<=@ 2933;41 The ri$hts of a suret% to re#o(er% on his ris+ or oss 'hen standin$ for the de*ts of another 'as reaffir,ed a$ain as ate as 9?M@ in Pear ,an (1 Re ian#e Ins1Co1) <;9 U1S1 9<@ 'hen the Court said5:8sureties #o,pe ed to pa% de*ts for their prin#ipa ha(e *een dee,ed entit ed to rei,*urse,ent) e(en 'ithout a #ontra#tua pro,ise :And pro*a* % there are fe' do#trines *etter esta* ished:1118 ! a#+/s La' Di#tionar% ) Ath edition) defines 6suret%85 6One 'ho underta+es to pa% or to do an% other a#t in e(ent that his prin#ipa fai s therein1 E(er%one 'ho in#urs a ia*i it% in person or estate for the *enefit of another) 'ithout sharin$ in the #onsideration) stands in the position of a 6suret%18 Constitutiona % and in the a's of e0uit%) the United States #ou d not *orro' or p ed$e the propert% and 'ea th of its pri(ate #iti.ens) put at ris+ as #o atera for its #urren#% and #redit 'ithout e$a % pro(idin$ the, e0uita* e re,ed% for re#o(er% of 'hat is due the,1 The United States $o(ern,ent) of #ourse) did not (io ate the a' or the Constitution in this 'a%) in order to #o atera i.e its finan#ia reor$ani.ation) *ut did) in fa#t) pro(ide su#h a e$a re,ed% so that it has *een

a* e to #ontinue on sin#e 9?<< to h%pothe#ate the pri(ate 'ea th and assets of those # asses of persons *% 'ho, it is o'ned) ) at ris+ *a#+in$ the $o(ern,ent/s o* i$ations and #urren#%) *% their i,p ied #onsent) throu$h the $o(ern,ent ha(in$ pro(ided su#h re,ed%) as defined and #odified a*o(e) for re#o(er% of 'hat is due the, on their assets and 'ea th at ris+1 The pro(isions for this are found in the sa,e a#t of 6Pu* i# Po i#%8 7>R-9?@) pu* i# a' ;<-9= that suspended the $o d standard for our #urren#%) a*ro$ated the ri$ht to de,and pa%,ent in $o d) and ,ade Federa Reser(e notes for the first ti,e e$a tender) 6*a#+ed *% the su*stan#e or 6#redit of the nation81 A US #urren#% sin#e that ti,e is on % #redit a$ainst the rea propert%) 'ea th and assets *e on$in$ to the pri(ate so(eri$n A,eri#an peop e) ta+en andGor Lp ed$ed/ *% T7E UNITED STATES to its se#ondar% #reditors as se#urit% for its o* i$ations1 Conse0uent %) those *a#+in$ the nation/s #redit and #urren#% #ou d not re#o(er 'hat 'as due the, *% an%thin$ dra'n on Federa Reser(e notes 'ithout e"pandin$ their ris+ and o* i$ation to the,se (es1 An% re#o(er% pa%,ents *a#+ed *% this #urren#% 'ou d on % in#rease the pu* i# de*t its #iti.ens 'ere #o atera for) 'hi#h an e0uita* e re,ed% 'as intended to redu#e) and in e0uit% 'ou d not satisf% an%thin$1 And there 'as no on$er a#tua ,one% of su*stan#e to pa% an%*od%1 There are other serious i,itations on our present s%ste,1 Sin#e the institution of these e(ents) for pra#ti#a purposes of #o,,er#ia e"#han$e) there has *een no a#tua ,one% in #ir#u ation *% 'hi#h de*t o'ed fro, one part% to another #an a#tua % *e repaid1 Federa Reser(e Notes) a thou$h ,ade e$a tender for a de*ts pu* i# and pri(ate in the reor$ani.ation) #an on % dis#har$e a de*t1 De*t ,ust *e 6pa%ed8 'ith (a ue or su*stan#e 2i1e1 $o d) si (er) *arter) a*or) or a #o,,odit%41 For this reason 7>R-9?@ 29?<<4) 'hi#h esta* ished the 6pu* i# po i#%8 of our #urrent ,onetar% s%ste,) repeated % uses the te#hni#a ter, of 6dis#har$e8 in #onKun#tion 'ith 6pa%,ent8 in a%in$ out pu* i# po i#% for the ne' s%ste,1 A de*t #urren#% s%ste, #annot pa% de*t1 So fro, that ti,e to the present) #o,,er#e in the #orporate UNITED STATES and a,on$ su*-#orporate su*Ke#t entities has had on % de*t note instru,ents *% 'hi#h de*t #an *e dis#har$ed and transferred in different for,s1 The unpaid de*t) #reated andGor e"panded *% the p an no' #arries a pu* i# ia*i it% for #o e#tion in that 'hen de*t is dis#har$ed 'ith de*t instru,ents) 2i1e1 Federa Reser(e Notes in# uded4) *% our #o,,er#e) de*t is inad(ertent % *ein$ e"panded instead of *ein$ #an#e ed) thus in#reasin$ the pu* i# de*t1 A situation potentia % fata to an% e#ono,%1 Con$ress and $o(ern,ent offi#ia s 'ho or#hestrated the pu* i# a's and re$u ations that ,ade the finan#ia reor$ani.ation anti#ipated the on$ ter, effe#t of a de*t *ased finan#ia s%ste, 'hi#h ,an% in $o(ern,ent feared) and 'hi#h 'e fa#e toda% in ser(i#in$ the interest on tri ions upon tri ions of do ars in US Corporate pu* i# de*t and in this sa,e a#t ,ade pro(ision not on % for the re#o(er% re,ed% to satisf% e0uit% to its Sureties) *ut to si,u taneous % reso (e this pro* e, as 'e 1 Sin#e it is) in fa#t) the rea propert%) 'ea th and assets of that # ass of persons that is the su*stan#e *a#+in$ a the other o* i$ations) #urren#% and #redit of T7E UNITED STATES and su#h #urren#ies #ou d not *e used to redu#e its o* i$ations for e0uit% interest re#o(er% to its Prin#ipa s and Sureties) 7>R-9?@ further ,ade the 6notes of nationa *an+s 6and 6nationa *an+in$ asso#iations8 on a par 'ith its other #urren#% and e$a tender o* i$ations) No' 7EPERLINF &http5GG'''H1 a'1#orne 1eduG#$i-*inGht,Qh R D!Sus#ode<9PSTEMMERSenPWORDSS e$a TtenderTPCOLOURSRedPSTELESsPURLSGus#odeG<9 GA9=<1ht, & U &,us#atQhi$h i$hterQfirstQ,at#h& Ut &Qparent& TITLE <9 ) SU!TITLE IB ) C7APTER A9 ) SU!C7APTER I ) Se#1 A9=<1 sa%s) Le$a tender - United States #oins and #urren#% 2in# udin$ Federa reser(e notes and #ir#u atin$ notes of Federa reser(e *an+s and nationa *an+s4 are e$a tender for a de*ts) pu* i# #har$es) ta"es) and dues1 2e,phasis added4 !ut this offi#ia definition for L e$a tender/ 'as first esta* ished in 7>R-9?@ 29?<<4 in the sa,e a#t that

,ade federa reser(e notes and notes of nationa *an+in$ asso#iations e$a tender1 Pu* i# Po i#% 7>R-9?@ >OINT RESOLUTION TO SUSPEND T7E DOLD STANDARD AND A!RODATE T7E DOLD CLAUSE) >UNE A) 9?<< 71>1 Res1 9?@) ;<rd Con$1) 9st Session >oint reso ution to assure unifor, (a ue to the #oins and #urren#ies of the United States1 As used in this reso ution) the ter, 6o* i$ation8 ,eans an o* i$ation 2in# udin$ e(er% o* i$ation of and to the United States) e"#eptin$ #urren#%4 pa%a* e in ,one% of the United States- and the ter, 6#oin or #urren#%8 ,eans #oin or #urren#% of the United States) in# udin$ Federa Reser(e notes and #ir#u atin$ notes of Federa Reser(e *an+s and nationa *an+in$ asso#iations1 6A #oins and #urren#ies of the United States 2in# udin$ Federa Reser(e notes and #ir#u atin$ notes of Federa Reser(e *an+s and nationa *an+in$ asso#iations4 heretofore or hereafter #oined or issued) sha *e e$a tender for a de*ts) for pu* i# and pri(ate) pu* i# #har$es) ta"es) duties) and dues)8 NUSC Tit e 9@1@@9 Definitions V 6The ter,s 6nationa *an+8 and 6nationa *an+in$ asso#iation8:1sha *e he d to *e s%non%,ous and inter#han$ea* e18O 6notes of nationa *an+s8 or 6nationa *an+in$ asso#iations8 ha(e #ontinuous % *een ,aintained in the offi#ia definition of e$a tender sin#e >une A) 9?<< to the present da%) 'hen the ter, had ne(er *een used to define 6#urren#% 8or 6 e$a tender8 *efore that1 Prior to 9?<< the for,s of #urren#% in use that 'ere e$a tender 'ere ,an% and (aried5 -United States Do d Certifi#ates V United States Notes V Treasur% Notes V Interest *earin$ notes VDo d Coins of United States V Standard si (er do ars V Su*sidiar% si (er #oins V ,inor #oins -Co,,e,orati(e #oins V *ut the ist did not in# ude federa reser(e notes or notes of nationa *an+s or nationa *an+in$ asso#iations despite the fa#t nationa *an+ notes 'ere a #o,,on ,ediu, of e"#han$e or 6#urren#%8 and had *een) a ,ost sin#e the foundin$ of our *an+in$ s%ste, and 'ere *a#+ed *% United States *onds or other se#urities on deposit for the *an+ 'ith the US Treasur%1 Further) fro, the ti,e of their in# usion in the definition the% ha(e *een phased out unti present % a pro(isions in the United States Code pertainin$ to in#orporated federa % #hartered Nationa !an+in$ institutions issuin$) redee,in$) rep a#in$ and #ir#u atin$ notes ha a(e a *een repea ed5 USC 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@Ginde"1ht, & 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@Ginde"1ht, & TITLE 9@ TITLE 9@ I C7APTER @ - NATIONAL !ANFS SU!C7APTER B - O!TAININD AND ISSUIND CIRCULATIND NOTES WX I C7APTER @ - NATIONAL !ANFS SU!C7APTER B - O!TAININD AND ISSUIND CIRCULATIND NOTES Y 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G9=9to99=1ht, & 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G9=9to99=1ht, & Se#1 9=9 to 99=1 Se#1 9=9 to 99=1 Repea ed1 Pu*1 L1 9=<-<@A) tit e BI) Se#1 M=@eA-99) f@-HA) $?) Sept1 @<) 9??H) 9=3 Stat1 @@?@) @@?H SU!C7APTER BI - REDEMPTION AND REPLACEMENT OF CIRCULATIND NOTES

WX Repea ed1 Pu*1 L1 9=<-<@A) tit e BI) Se#1 M=@eA-99) f@-HA) $?) Sept1 @<) 9??H) 9=3 Stat1 @@?@) @@?H SU!C7APTER BI - REDEMPTION AND REPLACEMENT OF CIRCULATIND NOTES Y 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@91ht, & 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@91ht, & Se#1 9@91 Se#1 9@91 Repea ed1 Pu*1 L1 9=<-<@A) tit e BI) Se#1 M=@fH!) Sept1 @<) 9??H) 9=3 Stat1 @@?@ WX Repea ed1 Pu*1 L1 9=<-<@A) tit e BI) Se#1 M=@fH!) Sept1 @<) 9??H) 9=3 Stat1 @@?@ Y 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@9a1ht, & 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@9a1ht, & Se#1 9@9a1 Se#1 9@9a1 Rede,ption of notes unidentifia* e as to *an+ of issue WX Rede,ption of notes unidentifia* e as to *an+ of issue Y 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@@1ht, & 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@@1ht, & Se#1 9@@1 Se#1 9@@1 Repea ed1 Pu*1 L1 ?;-@A3) Se#1 A*) Sept1 9<) 9?3@) ?M Stat1 9=M3 WX Repea ed1 Pu*1 L1 ?;-@A3) Se#1 A*) Sept1 9<) 9?3@) ?M Stat1 9=M3 Y 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@@a1ht, & 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@@a1ht, & Se#1 9@@a1 Se#1 9@@a1 Redee,ed notes of unidentifia* e issue- funds #har$ed a$ainst WX Redee,ed notes of unidentifia* e issue- funds #har$ed a$ainst Y 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@<to9@M1ht, & 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@<to9@M1ht, & Se#1 9@< to 9@M1 Se#1 9@< to 9@M1 Repea ed1 Pu*1 L1 9=<-<@A) tit e BI) Se#1 M=@e9@) 9<) fHC) M) Sept1 @<) 9??H) 9=3 Stat1 @@?@) @@?< WX Repea ed1 Pu*1 L1 9=<-<@A) tit e BI) Se#1 M=@e9@) 9<) fHC) M) Sept1 @<) 9??H) 9=3 Stat1 @@?@) @@?< Y 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@;1ht, & 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@;1ht, & Se#1 9@Y Repea ed1 Pu*1 L1 3?-AAH) Se#1 3a) Sept1 M) 9?MM) 3= Stat1 M<< As stated in LMone% and !an+in$8) Hth edition) *% Da(id 71 Fried,an) pu* 1 *% the A,eri#an !an+ers Asso#iation) pa$e ;3) 6Toda% #o,,er#ia *an+s no on$er issue #urren#%) :16 It is # ear) federa % in#orporated *an+in$ institutions su*Ke#t to the restri#tions and repea ed pro(isions of Tit e 9@) are not those pri,ari % referred to ,aintained in the #urrent definition of 6 e$a tender81

The e$a statutor% and professiona definitions of 6*an+8) 6*an+in$8) and 6*an+er8 used in the United States Code and Code of Federa Re$u ations are not those #o,,on % understood for these ter,s and ha(e ,ade the statutor% definition of 6!an+8 a##ordin$ %5 UCC H-9=A PART 9 &!an+& ,eans a person en$a$ed in the *usiness of *an+in$)8 9@CFRSe#1 @@?1@ Definitions 2e4 !an+ ,eansZ6the ter, *an+ a so in# udes an% person en$a$ed in the *usiness of *an+in$)8 9@CFR Se#1 @9=1@ Definitions1 2d48 !an+ ,eans an% person en$a$ed in the *usiness of *an+in$18 USC Tit e 9@ Se#1 939<1 VDefinitions of !an+ and Re ated Ter,s1 V 294 !an+1 - The ter, JJ*an+JJ V 2A4 6,eans an% nationa *an+) State *an+) and Distri#t *an+) and an% Federa *ran#h and insured *ran#h-8 ! a#+/s La' Di#tionar%) Ath Edition) pa$e 9<<) defines a 6!an+er8 as) 6In $enera sense) person that en$a$es in *usiness of *an+in$1 In narro'er ,eanin$) a pri(ate person:::- 'ho is en$a$ed in the *usiness of *an+in$ 'ithout *ein$ in#orporated1 Under so,e statutes) an indi(idua *an+er) as distin$uished fro, a 6pri(ate *an+er8) is a person 'ho) ha(in$ #o,p ied 'ith the statutor% re0uire,ents) has re#ei(ed authorit% fro, the state to en$a$e in the *usiness of *an+in$) 'hi e a pri(ate *an+er is a person en$a$ed in *an+in$ 'ithout ha(in$ an% spe#ia pri(i e$es or authorit% fro, the state1 6 6!an+in$8- Is part % and optiona % defined as 6The *usiness of issuin$ notes for #ir#u ation::) ne$otiatin$ *i s18 ! a#+/s La' Di#tionar%) Ath Edition) pa$e 9<<) defines 6!an+in$85 6The *usiness of *an+in$) as defined *% a' and #usto,) #onsists in the issue of notes ::intended to #ir#u ate as ,one%::11 And defines a 6!an+er/s Note8 as5 6A #o,,er#ia instru,ent rese,* in$ a *an+ note in e(er% parti#u ar e"#ept that it is $i(en *% a pri(ate *an+er or unin#orporated *an+in$ institution18 Federa Statute does not spe#ifi#a % define 6nationa *an+8 and 6nationa *an+in$ asso#iation8 in those se#tions 'here these uses are e$is ated on to e"# ude a pri(ate *an+er or unin#orporated *an+in$ institution1 It does define these ter,s to the e"# usion of su#h persons in the #hapters and se#tions 'here the issue and #ir#u ation of notes *% nationa *an+s has *een repea ed or for*idden1 &In the a*sen#e of a statutor% definition) #ourts $i(e ter,s their ordinar% ,eanin$1 &!ass) Terri L1 (1 Sto per) Forit.ins+%) 999 F1<d 9<@A);thCir1 Apps1 29??M41 As the U1S1 Supre,e Court noted) &We ha(e stated ti,e and a$ain that #ourts ,ust presu,e that a e$is ature sa%s in a statute 'hat it ,eans and ,eans in a statute 'hat it sa%s there18 See) e1$1) United States (1 Ron Pair Enterprises) In#1) H3? U1S1 @<A) @H9 -@H@ 29?3?4- United States (1 Do den*er$)9M3 U1S1 ?A) 9=@ -9=< 293?;4&The e$is ati(e purpose is e"pressed *% the ordinar% ,eanin$ of the 'ords used1 6Ri#hards (1 United States) <M? U1S19 29?M@41 Therefore) as noted a*o(e) the e$a definitions re atin$ to L e$a tender/ ha(e *een 'ritten *% Con$ress and ,aintained as su#h to *e *oth e"# usi(e) 'here ne#essar%) and in# usi(e) 'here appropriate) to pro(ide in its statutor% definitions of e$a tender for the in# usion of a those) 'ho *% definition of pri(ate) unin#orporated persons en$a$ed in the *usiness of *an+in$ to issue notes a$ainst the o* i$ation of the United States for re#o(er% on their ris+) 'hose pri(ate assets and propert% are *ein$ used to #o atera i.e the o* i$ations of the United States sin#e 9?<<) as #o e#ti(e % and nationa % #onstitutin$ a e$a # ass of persons *ein$ a 6nationa *an+8 or 6nationa *an+in$ asso#iation8 'ith the ri$ht to issue su#h notes a$ainst The O* i$ation of T7E UNITED STATES for e0uit% interest re#o(er% due and a##rued to these Prin#ipa s and Sureties of the United States *a#+in$ the o* i$ations of US #urren#% and #redit- as a ,eans for the e$a tender dis#har$e of a'fu de*ts in #o,,er#e as re,ed% due the, in #onKun#tion 'ith US o* i$ations to the dis#har$e of that portion of the pu* i# de*t) 'hi#h is pro(ided for in the present finan#ia reor$ani.ation sti in effe#t and on$oin$ sin#e 9?<<1 N9@ USC H99) 93 USC 3) 9@ USC- #h1 M) <3 Stat1 @A9 Se#t 9H2a4) <9 USC A993) <9@<1 'ith ri$hts prote#ted under the 9Hth A,end,ent of the United States Constitution) *% the U1S1 Supre,e Court in United States (1 Russe 29< Wa ) M@<) M@;4) Pear ,an (1 Re ian#e Ins1 Co1) <;9 U1S1 9<@)9<M)9<; 29?M@4) The United States (1 7ooe) < Cran#h 2U1S14;<293=A4) and

in #onfor,it% 'ith the U1S1 Supre,e Court ;? U1S1 @3; 293;=4) 9;@ U1S1H3 2 93?34) and as #onfir,ed at <=; U1S1 @H;29?<?41O 7>R- 9?@ further de# ared ::116e(er% pro(ision:1'hi#h purports to $i(e the o* i$ee a ri$ht to re0uire pa%,ent in $o d or a parti#u ar +ind of #oin or #urren#%:1 is de# ared to *e a$ainst Pu* i# Po i#%- and no su#h pro(ision sha *e :1,ade 'ith respe#t to an% o* i$ation hereafter in#urred18 Ma+in$ 'a% for dis#har$e and re#o(er% on US Corporate pu* i# de*t due the Prin#ipa s and Sureties of T7E UNITED STATES pro(idin$ as 6pu* i# po i#%8 for the dis#har$e of 6e(er% o* i$ation8) 6in# udin$ e(er% o* i$ation OF and TO T7E UNITED STATES8) 6do ar for do ar8) a o'in$ those *a#+in$ the US finan#ia reor$ani.ation to re#o(er on it *% dis#har$in$ an o* i$ation the% o'ed TO T7E UNITED STATES or its su*-#orporate entities) a$ainst that sa,e a,ount of o* i$ation OF T7E UNITED STATES o'ed to the,- thus pro(idin$ the re,ed% for the dis#har$e and order % re#o(er% of e0uit% interest on US Corporate pu* i# de*t due the Sureties) Prin#ipa s) and 7o ders of T7E UNITED STATES) dis#har$in$ that portion of the pu* i# de*t 'ithout e"pansion of #redit) de*t or o* i$ation on T7E UNITED STATES or these its pri,e-#reditors it 'as intended to satisf% e0uita* e re,ed% to) *ut $ainin$ for ea#h *earer of su#h note) dis#har$e of o* i$ation e0ui(a ent in (a ue Ldo ar for do ar/ to an% and a 6 a'fu ,one% of the United States81 Those 'ho #onstitute an asso#iation nation'ide of pri(ate) unin#orporated persons en$a$ed in the *usiness of *an+in$ to issue notes a$ainst these o* i$ations of the United States due the,- 'hose pri(ate propert% is at ris+ to #o atera i.e the $o(ern,ent/s de*t and #urren#%) *% e$a definitions) a &nationa *an+in$ asso#iation&- su#h notes) issued a$ainst these o* i$ations of the United States to that part of the pu* i# de*t due its Prin#ipa s and Sureties are re0uired *% a' to *e a##epted as & e$a tender& of pa%,ent for a de*ts pu* i# and pri(ate) and) as 'e ha(e seen) are defined in a' as &o* i$ations of the United States&) on the sa,e par and #ate$or% 'ith Federa reser(e notes and other #urren#% and e$a tender o* i$ations1 This is 'hat is asserted in the tender presented to the *an+ for deposit and the $o(ern,ent has said nothin$ to the #ontrar%1 Wou d 'e 0uestion that this is e"a#t % 'hat Con$ress has pro(ided for in these statutes and #odes on the pu* i# de*t and o* i$ations of the United States and that this is the re,ed% #odified in statutor% a' and definition 'e ha(e #ited hereR E(en thou$h it is ne(er dis#ussed1 Under this re,ed% for dis#har$e of the pu* i# de*t and re#o(er% to its Prin#ipa s and Sureties) TWO de*ts that 'ou d ha(e *een dis#har$ed in Federa Reser(e de*t note instru,ents or #he#+s dra'n on the sa,e) e0ua % e"pandin$ the pu* i# de*t *% those transa#tions) are dis#har$ed a$ainst a SINDLE pu* i# de*t of the Corporate UNITED STATES and its su*-#orporate entities to its pri,e-#reditor 'ithout the e"pansion and use of Federa Reser(e de*t note instru,ents as #urren#% and #redit) and so) 'ithout the e"pansion of de*t and de*t instru,ents in the ,onetar% s%ste, and the e"pansion of the pu* i# de*t as *urden upon the entire finan#ia s%ste, and its Prin#ipa s) and Sureties the re#o(er% re,ed% 'as intended to re ie(e1 Apparent % their use is for the dis#har$e and non-#ash a##rua redu#tion of US Corporate pu* i# de*t to the Prin#ipa s) Pri,e Creditors and 7o ders of it as pro(ided in a' and the instru,ents 'i u ti,ate % *e sett ed *% adKust,ent and set-off in dis#har$e of a *earer/s o* i$ation TO T7E UNITED STATES a$ainst the o* i$ation OF T7E UNITED STATES for the a,ount of the instru,ent to the ori$ina #reditor it 'as tendered to or 'ho,e(er or 'hate(er institution ,a% *e the fina *earer and ho der in due #ourse of it) a$ain) thus dis#har$in$ that portion of the pu* i# de*t 'ithout e"pansion of #redit) de*t or note on the pri,e-#reditors of T7E UNITED STATES it 'as intended to satisf% e0uita* e re,ed% to) *ut $ainin$ for ea#h endorsed *earer of it dis#har$e of o* i$ation e0ui(a ent in (a ue Ldo ar for do ar/ of #urren#%) ,easura* e in 6 a'fu ,one% of the United States81 A thou$h this has *een pu* i# po i#% as a re,ed% for the dis#har$e of de*t in #onKun#tion 'ith re,o(a of $o d) si (er and rea ,one% as e$a tender #urren#% *% the sa,e a#t of pu* i# po i#% in 9?<<) it has *een a diffi#u t #on#ept to #o,,uni#ate for others to a##ept and to +no' 'hat to do 'ith it) so its ne(er $ained #o,,on use and for o*(ious reasons the $o(ern,ent has dis#oura$ed pu* i# understandin$ of the re,ed% and re#o(er% under it and therefore it is itt e +no'n and not $enera % a##essed *% the pu* i#1 !ut it is sti

an o* i$ation the United States has *ound itse f to and has pro(ided for in statutor% a' and the United States sti a##epts these non-#ash a##rua e"#han$es toda% as a ,atter of a' and e0uit%1 So is the e"perien#e of ,an% 'ho ha(e atte,pted to a##ess the re,ed%1 That the 6pu* i# po i#ies8 of 7ouse >oint Reso ution 9?@ of 9?<< are sti in effe#t is e(iden#ed *% the other pro(isions of 6pu* i# po i#%8 it esta* ished that 'e #an see a on$ 'ith these dis#ussed1 No one 'ou d atte,pt to de,and pa%,ent in $o d or a parti#u ar +ind of #oin or #urren#% in use or thin+ to 'rite su#h an o* i$ation into a #ontra#t) *e#ause the $o d standard for #urren#% is sti suspended and the ri$ht to a L$o d # ause/ to re0uire pa%,ent in $o d is sti a*ro$ated1 !oth are a so part of 6pu* i# po i#%8 esta* ished in 7>R-9?@1 The pra#ti#a e(iden#e and fa#t of the United States/ finan#ia reor$ani.ation 2*an+rupt#%4 is sti on$oin$ toda%) (isi* e a around us to see and understand1 When Treasur% notes #o,e due) the%/re not paid1 The% are refinan#ed *% ne' T-!i s and notes to *a#+ the #urren#% and #o(er the de*ts1 11so,ethin$ that #annot *e done 'ith de*t ::un ess):1 the de*tor is prote#ted fro, #reditors in a *an+rupt#% reor$ani.ation that is re$u ar % *ein$ restru#tured to +eep it $oin$1 E(er% ti,e the Federa de*t #ei in$ is raised *% Con$ress the% are restru#turin$ the *an+rupt#% reor$ani.ation of the $o(ern,ent/s de*t so #o,,er#e #an #ontinue on1 For o*(ious reasons the United States $o(ern,ent does not i+e ha(in$ to re#o$ni.e a this1 It is a (er% sensiti(e and de i#ate ,atter1 And fe' #an spea+ or 'i spea+ authoritati(e % a*out it) as the *an+ has found out1 The re#o(er% re,ed% is ,aintained in a' *e#ause it has to *e to satisf% e0uit% to its pri,e #reditors1 At this ate ti,e) the United States is neither e"pe#tin$ nor intendin$ it to *e $enera % a##essed *% the pu* i#1 Re$ardin$ su#h instru,ents tendered to the Se#retar%) 'hen pu* i# offi#ia s are put in a position to e$a % a#+no' ed$e or den% the authorit% or (a idit% of the instru,ents) those in responsi*i it% 'i not den% or dishonor it) or an instru,ent of dis#har$e proper % su*,itted for that purpose1 The issue is 'hat has the $o(ern,ent said a*out it no'R What is its po i#% in pra#ti#eR And ho' does it fina % respond to su#h # ai,s of 'hi#h it re#ei(es thousands e(er% da%R It is a fa#t5 Tit e <9 USC <9@< ,a+es a statutor% p ed$e of the United States $o(ern,ent to pa%,ent of o* i$ations and interest on the pu* i# de*t1 7EPERLINF &http5GG'''H1 a'1#orne 1eduG#$i-*inGht,Qh R D!Sus#ode<9PSTEMMERSenPWORDSS e$a TtenderTPCOLOURSRedPSTELESsPURLSGus#odeG<9 G<9@<1ht, & U &,us#atQhi$h i$hterQfirstQ,at#h& Ut &Qparent& TITLE <9 ) SU!TITLE III ) C7APTER <9 ) SU!C7APTER II ) Se#1 <9@<1 - Pa%,ent of o* i$ations and interest on the pu* i# de*t 2a4 The faith of the United States Do(ern,ent is p ed$ed to pa%) in e$a tender) prin#ipa and interest on the o* i$ations of the Do(ern,ent issued under this #hapter1 62*4 The Se#retar% of the Treasur% sha pa% interest due or a##rued on the pu* i# de*t18 It is a fa#t5 Tit e <9 Se#tion <9<= further de ineates in its definitions a portion of the tota pu* i# de*t 'hi#h is he d *% the pu* i# as the 6Net pu* i# de*t8 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG<9Ginde"1 ht, & TITLE <9 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG<9GstIII1ht, & SU!TITLE III 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG<9GstIII#h<91ht, & C7APTER <9 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG<9GstIII#h<9s#hII1ht, & SU!C7APTER II I Se#1 <9<=1

Se#1 <9<=1 - Annua pu* i# de*t report

2e4 Definitions1 2@4 Tota pu* i# de*t1 - The ter, JJtota pu* i# de*tJJ ,eans the tota a,ount of the o* i$ations su*Ke#t to the pu* i# de*t i,it esta* ished in se#tion 7EPERLINF &http5GG'''H1 a'1#orne 1eduGus#odeG<9G<9=91ht, & of this tit e1 2<4 Net pu* i# de*t1 The ter, JJnet pu* i# de*tJJ ,eans the portion of the tota pu* i# de*t 'hi#h is he d *% the pu* i#1 It is a fa#t5 Se#tion <9=9 referen#es $uaranteed o* i$ations he d *% the Se#retar% of the Treasur% 'hi#h are e"#epted and e"e,pted fro, 6the fa#e a,ount of o* i$ations 'hose prin#ipa and interest are $uaranteed *% the United States Do(ern,ent8 Se#1 <9=91 - Pu* i# de*t i,it 2*4 The fa#e a,ount of o* i$ations issued under this #hapter and the fa#e a,ount of o* i$ations 'hose prin#ipa and interest are $uaranteed *% the United States Do(ern,ent 2e"#ept $uaranteed o* i$ations he d *% the Se#retar% of the Treasur%4 ,a% not *e ,ore than [A)?A=)===)===)===) outstandin$ at one ti,e) su*Ke#t to #han$es periodi#a % ,ade in that a,ount as pro(ided *% a' It is a fa#t5 E(er% da% the United States Treasur% depart,ent re#ei(es do.ens or hundreds of su#h instru,ents ,a+in$ # ai,s of this t%pe1 O*(ious % so,e are (a id and so,e are not1 It is a fa#t5 There are on % < offi#ia $o(ern,ent dire#ti(es or a erts that address spurious) fraudu ent) fi#titious) or other'ise in(a id) instru,ents sent to the US Treasur% for pa%,ent) and on % one that offi#ia % states 'hat is to *e offi#ia US $o(ern,ent po i#% and treat,ent of the, if the% are re#ei(ed) this is ALERT ??-9=5 'hi#h is a so pu* ished on the $o(ern,ent 'e*site for the United States Treasur%5 7EPERLINF &http5GG'''1pu* i#de*t1treas1$o(& '''1pu* i#de*t1treas1$o( under Frauds and Phonies) The Offi#e of the Co,ptro er of the Curren#%) Enfor#e,ent P Co,p ian#e Di(ision in ALERT ??-9= states5 6T%pe5 Suspi#ious Transa#tions TO5 Chief E"e#uti(e Offi#ers of a Nationa !an+s- a State !an+in$ Authorities- Chair,an) !oard of Do(ernors of the Federa Reser(e S%ste,- Chair,an) Federa Deposit Insuran#e Corporation- Conferen#e of State !an+ Super(isors- Deput% Co,ptro ers 2Distri#ts4- Assistant Deput% Co,ptro ersDistri#t Counse and E"a,inin$ Personne 1 RE5 Fi#titious Si$ht Drafts pa%a* e throu$h the U1 S Treasur% It has *een *rou$ht to our attention that #ertain indi(idua s ha(e *een ,a+in$ and e"e#utin$ 'orth ess paper do#u,ents 'hi#h are tit ed &Si$ht Draft&1 These ite,s state that the% are pa%a* e throu$h the U1 S1 Treasur%) 9A== Penns% (ania A(enue) NW) Washin$ton) DC @=@@=1 These instru,ents are *ein$ presented for pa%,ent at *an+s and other *usinesses throu$hout the United States1 An% of these instru,ents that are presented to the U1 S1 Treasur% for pa%,ent 'i *e returned to the sender and #opies 'i *e pro(ided to the appropriate a' enfor#e,ent a$en#ies18 Dishonored1 This is in #onfor,it% 'ith the Unifor, Co,,er#ia Code that parties ,a% re % on their present,ent of o* i$ations as sett ed un ess $i(en a Noti#e of Dishonor) 'hether dire#t % app i#a* e to Treasur% Dept1

offi#ers or not1 UCC<-A=<1 NOTICE OF DIS7ONOR :2*4 Noti#e of dishonor ,a% *e $i(en *% an% person- ,a% *e $i(en *% an% #o,,er#ia % reasona* e ,eans) in# udin$ an ora ) 'ritten) or e e#troni# #o,,uni#ation- and is suffi#ient if it reasona* % identifies the 7EPERLINF &http5GG'''1 a'1#orne 1eduGu##G<G<-9=H1ht, & U &Instru,entQ<-9=H& instru,ent and indi#ates that the instru,ent has *een dishonored or has not *een paid or a##epted1 Return of an instru,ent $i(en to a *an+ for #o e#tion is suffi#ient noti#e of dishonor1 #4 Su*Ke#t to Se#tion 7EPERLINF &http5GG'''1 a'1#orne 1eduGu##G<G<-A=H1ht, & U &<-A=H2#4& <-A=H2#4 ) 'ith respe#t to an 7EPERLINF &http5GG'''1 a'1#orne 1eduGu##G<G<-9=H1ht, & U &Instru,entQ< -9=H& instru,ent ta+en for #o e#tion noti#e of dishonor ,ust *e $i(en:1 'ithin <= da%s fo o'in$ the da% on 'hi#h the person re#ei(es noti#e of dishonor1 With respe#t to an% other instru,ent) noti#e of dishonor ,ust *e $i(en 'ithin <= da%s fo o'in$ the da% on 'hi#h dishonor o##urs1 These instru,ents are ne(er returned fro, the Treasur% dishonored1 It is a fa#t5 There is no *asis or reason or p ausi* e e"p anation for su#h une"p ained si en#e 'ith re$ard to these parti#u ar instru,ents1 E(er% other *ran#h of the Federa $o(ern,ent in# udin$ the Dept1 of the Treasur% has de(e oped e a*orate i*raries of #o,puter $enerated for, etters of state,ents and rep ies dea in$ 'ith a ,ost e(er% possi* e 0uestion or # ai, that #ou d *e ,ade of an% a$en#% or depart,ent of the Federa $o(ern,ent1 The United States Treasur% has an Offi#e of Pu* i# Corresponden#e 'hose so e Ko* it is to respond to #o,,uni#ations fro, the $enera pu* i#1 T7ERE IS NO COMMUNICATION SENT TO T7E UNITED STATES TREASURE T7AT CAN NOT !E RESPONDED TO AS IT MAE RE\UIRE1 Man% su#h #ate$ories of re0uests #a in$ for response are far $reater in nu,*er than # ai,s in e0uit% for re#o(er% to a Pri,e-#reditor o(er the United States and so,e #ate$ories are far fe'er in nu,*er) and %et *e the re0uests $reater or s,a er in nu,*er or in #o,p e"it% of response re0uired) a these of a #o,,er#ia nature are re$u ar % and ti,e % responded to1 There is (irtua % no 'ritten response *% the Federa $o(ern,ent to this issue of re#o(er% to the pri,e#reditors and ho ders in e0uit% o(er the United States1 The fa#tua % o*ser(a* e position of the Se#retar% of the Treasur% and his depart,ent in response to T7IS t%pe of # ai, has *een A!SOLUTE SILENCE *e the% fro, *an+) *usiness or pri(ate person5 Not denia ) disa(o'a ) dishonor) or repudiation of su#h # ai,s OR their *asis in a' and fa#t if the% are not true) 'hi#h in e(er% other #ase of #orresponden#e to the Federa $o(ern,ent or the Depart,ent of Treasur% dea in$ 'ith an% 0uestion) re0uest or # ai,5 ANE SUC7 FALSE CLAIM) MISCONCEPTION OR MISTAFEN UNDERSTANDIND ON T7E PART OF T7E DENERAL PU!LIC IS TIMELE DEALT WIT7 IN EBERE CASE !E SUC7 FORM LETTERS1 It is the dut% of the United States Treasur% to the #o,,er#e of the nation and in the interests of the $enera pu* i# 'ho, it ser(es to 0ui#+ % and #on# usi(e % 0uash and repudiate an% su#h fa se understandin$s or # ai,s of re,ed% in e0uit% on re#o(er% of the pu* i# de*t in the #o,,er#ia rea , and it is easi % 'ithin their po'er to do so1 This despite the fa#t the on % offi#ia US $o(ern,ent dire#ti(e fro, the Depart,ent of the Treasur% dea in$ 'ith po i#% of the $o(ern,ent to'ard fi#titious or other'ise in(a id instru,ents sent to the Treasur% for #o e#tion states # ear % 6the% 'i *e returned to the sender18 There is) therefore) no *asis or reason or p ausi* e e"p anation for su#h une"p ained si en#e 'ith re$ard to this parti#u ar # ass of instru,ent e"#ept that a re,ed% in e0uit% for re#o(er% to the pri,e-#reditors o(er

the United States IS true and fa#tua and CANNOT !E DENIED or DIS7ONORED in e0uit%) and that su#h !i s of A##eptan#e in dis#har$e of ,utua % offsettin$ o* i$ations *et'een the United States and its ho ders in e0uit% as se#ured parties ARE) in fa#t) *ein$ +ept) he d) and 'ithout return or dishonor) a##epted as o* i$ations of the United States in the dis#har$e and re#o(er% of the pu* i# de*t as the% ,a+e # ai, on their fa#e to the Se#retar% of the Treasur% to *e1 7o' the% are to *e re#o(ered on is up to the parties in(o (ed ho din$ su#h o* i$ations and is pro(ided for in a' and re$u ation and ad,inistrati(e pro#edure a ho der or its *an+in$ institution ,a% use1 In Con# usion5 When a Co,,er#ia !an+ sends the instru,ent to the Se#retar% for dis#har$e of its o'n o* i$ations and a pro* e, arises #on#ernin$ the instru,ent) a #o,,er#ia response of so,e +ind is re0uired1 There is a e$a ia*i it% of the $o(ern,ent to a ne$otia* e e$a tender o* i$ation upon the United States $o(ern,ent sent to the, for a##eptan#e *% a ,e,*er Federa Reser(e !an+ after the% re#ei(ed it and *e#a,e responsi* e for it1 The Treasur% has an o* i$ation as a depart,ent of $o(ern,ent ser(in$ the pu* i# interest to the *an+ 'hi#h as a ,e,*er of the Federa Reser(e S%ste, that has a #o,,er#ia o* i$ation to an a##ount ho der and a <rd part% 'ho tendered the ite, in pa%,ent to te the, that its not an% $ood or its not $oin$ to *e honored) e(en if the% 'anted to +eep it for prose#ution or in(esti$ation1 This is in effe#t 'hat the dire#ti(e sa%s the $o(ern,ent 'i do if its no $ood1 What does statutor% a') re$u ation) or #ase a' te s us a*out 'hat that o* i$ation isR The% do not dishonor it in an% 'a% *% return of the ite, or the sendin$ of an% noti#e to that effe#t) or ,a+e re0uest for additiona infor,ation or ti,e for e"a,ination of the instru,ent) or $i(en a state,ent of e"p anation indi#atin$ the ti,e fra,e for its re(ie' and sett e,ent if it 'ou d *e an inordinate % en$th% ti,e as on$er than M= da%s to finish 'ith it1 The instru,ents are *ein$ +ept) he d) and 'ithout return or dishonor) are a##epted as an o* i$ation of the United States in the dis#har$e and re#o(er% of the pu* i# de*t as it ,a+es # ai, on its fa#e to *e1 Put another 'a%5 If the *an+ had had to pa% the ite, to honor its #usto,er a$ree,ent as if it had *een a #he#+) 'hat 'ou d or #ou d the *an+ *e tr%in$ to do 'ith it to fina % sett e the a##ountR The *an+ needs to treat the Instru,ent tendered as an o* i$ation of the United States to the *an+1 1 The tender of these instru,ents dis#har$e the o* i$ation of the de*t for 'hi#h the% are de i(ered and the pa%ee *e#o,es the ne' ho der in due #ourse and #o e#tion a$ent on the instru,ents1

NOTICE OF MEMORANDUM OF LAW POINTS AND AUT7ORITIES IN SUPPORT OF INTERNATIONAL !ILL OF ECC7ANDE d Pa$e PADE NUMPADES ]]]]]]

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http5GG'''H1 a'1#orne 1eduGus#odeG<9GstIII#h<9s#hII1ht, http5GG'''H1 a'1#orne 1eduGus#odeG<9GstIII#h<91ht, http5GG'''H1 a'1#orne 1eduGus#odeG<9GstIII#h<91ht, http5GG'''H1 a'1#orne 1eduGus#odeG<9GstIII1ht, http5GG'''H1 a'1#orne 1eduGus#odeG<9GstIII1ht, 11U11U11U11U11U11UApp i#ation DataUMi#rosoftUWordUm=d 11U11U11U11U11U11UApp i#ation DataUMi#rosoftUWordUm=d http5GG'''H1 a'1#orne 1eduG#$i-*inGht,Qh R D!Sus#ode<9PSTEMMERSenPWORDSS e$a TtenderTPCOLOURSRedPSTELESsPURLSGus#odeG<9 G<9@<1ht, http5GG'''H1 a'1#orne 1eduG#$i-*inGht,Qh R D!Sus#ode<9PSTEMMERSenPWORDSS e$a TtenderTPCOLOURSRedPSTELESsPURLSGus#odeG<9 G<9@<1ht, ,us#atQhi$h i$hterQfirstQ,at#h ,us#atQhi$h i$hterQfirstQ,at#h http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@;1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@;1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@<to9@M1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@<to9@M1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@@a1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@@a1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@@1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@@1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@9a1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@9a1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@91ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G9@91ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G9=9to99=1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G9=9to99=1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@Ginde"1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@Ginde"1ht, http5GG'''H1 a'1#orne 1eduG#$i-*inGht,Qh R D!Sus#ode<9PSTEMMERSenPWORDSS e$a TtenderTPCOLOURSRedPSTELESsPURLSGus#odeG<9 GA9=<1ht, http5GG'''H1 a'1#orne 1eduG#$i-*inGht,Qh R D!Sus#ode<9PSTEMMERSenPWORDSS e$a TtenderTPCOLOURSRedPSTELESsPURLSGus#odeG<9 GA9=<1ht, ,us#atQhi$h i$hterQfirstQ,at#h ,us#atQhi$h i$hterQfirstQ,at#h http5GG'''H1 a'1#orne 1eduGus#odeG9@G#h<s#hCII1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G#h<s#hCII1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G#h<1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@G#h<1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@Ginde"1ht, http5GG'''H1 a'1#orne 1eduGus#odeG9@Ginde"1ht, http5GG'''1#onser(ati(eusa1or$GeoG9?<<GeoM9=@1ht, http5GG'''1#onser(ati(eusa1or$GeoG9?<<GeoM9=@1ht, http5GG'''1#onser(ati(eusa1or$GeoG9?<<GeoM9991ht, http5GG'''1#onser(ati(eusa1or$GeoG9?<<GeoM9991ht, http5GG'''1#onser(ati(eusa1or$GeoG9?<<GeoM=;<1ht, http5GG'''1#onser(ati(eusa1or$GeoG9?<<GeoM=;<1ht, http5GG'''H1 a'1#orne 1eduGus#odeG93GpI#h91ht, http5GG'''H1 a'1#orne 1eduGus#odeG93GpI#h91ht, http5GG'''H1 a'1#orne 1eduGus#odeG93GpI#h91ht, http5GG'''H1 a'1#orne 1eduGus#odeG93GpI#h91ht, http5GG'''H1 a'1#orne 1eduGus#odeG93GpI1ht,

http5GG'''H1 a'1#orne 1eduGus#odeG93GpI1ht, http5GG'''H1 a'1#orne 1eduGus#odeG93Ginde"1ht, http5GG'''H1 a'1#orne 1eduGus#odeG93Ginde"1ht, Root Entr% 9Ta* e 9Ta* e WordDo#u,ent WordDo#u,ent Su,,ar%Infor,ation Su,,ar%Infor,ation Do#u,entSu,,ar%Infor,ation Do#u,entSu,,ar%Infor,ation Co,pO*K Co,pO*K O*Ke#tPoo O*Ke#tPoo Mi#rosoft Word Do#u,ent MSWordDo# Word1Do#u,ent13 U _Sos57-3@tSlfu n Rn endstrea, endo*K A<;< = o*KvvGT%peGFontGEn#odin$GWinAnsiEn#odin$G!aseFontGAria MTGFirstChar <@GLastChar 9A=GSu*t%peGTrueT%peGFontDes#riptor A<;H = RGWidthsN@;3 @;3 <AA AAM = = MM; 9?9 <<< <<< = = @;3 <<< @;3 @;3 AAM AAM AAM AAM AAM AAM AAM AAM AAM AAM @;3 @;3 =