The Mouse Was Swallowed Whole
August 24, 2009 by Bob Livingston
The mouse was no match for the three dragons. Facing the ever-full money sacks of three branches of the Federal Government (the dragons) and a team of government attorneys, businessman Robert Kahre (the mouse) was convicted August 15 of 57 felony counts of tax evasion, real estate fraud and failing to withhold taxes from worker’s wages, according to press reports.
We recently detailed Kahre’s battle with the government behemoths in two stories, U.S. Attorney Wants Newspaper to Name Names and Three Dragons Battle a Mouse Over Value of Money.
Now Kahre faces 296 years in prison and fines of up $14 million. “Your honor, this last 17 years of my life has been to get my issues,” aired about taxation and the importance of the gold standard to back U.S. currency, Kahre told the judge, as reported by the Las Vegas Review-Journal. And that’s why the big government boys and girls came down so hard on him.
They don’t want the fraud of their fiat money system exposed and they don’t like it when the peons get uppity and try to call their hands. So the Internal Revenue Service (IRS), Federal Reserve and Justice Department pooled their resources to put him in his place.
To sum up: Kahre ran a contracting business and he paid those who worked for him as independent contractors. In doing this, Kahre was required to file a form 1099 when payments exceeded $600, but he wasn’t required to withhold payroll taxes. He paid his subcontractors in silver and gold coins and reported the face value of the coins for tax purposes.
He then allowed those he paid—but didn’t require it—to exchange their gold and silver coins for fiat cash.
The gold and silver coins he used were issued by the U.S. Mint and are considered legal tender. But government boys and girls didn’t like it that he was shining light on their sham monetary system and wasn’t paying payroll taxes like a good little subject.
Kahre’s error, it seems from the limited press accounts of the trial’s details, came from the fact that he tried to have it both ways when it came to his dealings in gold and silver. At times he used the face value of the coins for reporting purposes. Other times he used the actual value. He chose whichever method benefitted him financially.
That this further exposes the fraud in the system was apparently lost on the jury, which took only a day and a half to reach a verdict after three months of trial. Other defendants in the case were convicted of most of the charges against them. They included Kahre’s sister Lori and his long-time girlfriend Danille Cline, with whom he has four children.
He and his co-defendants will remain out of jail until their sentencing hearing Nov. 17.
His defense lawyers plan to appeal, for what it’s worth. But don’t expect much relief there as the judges and justices that’ll hear his case are a part of the fraud system themselves.
One thing in Kahre’s favor, the Ponzi scheme that is the United States monetary system—and probably the whole system of government—is going to collapse long before his 296 years are up.
Let’s just hope he hid some of those gold and silver coins in a jar so they can’t be found by government snoops. That way, when it all collapses, maybe he’ll get one last laugh.
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