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RED TAPE
Death by 10,000 Paper Cuts

Paula Devlin
EtherZone
September 17, 2004

The United States Constitution provides for "government of the people, by the people and for the people". The current state of affairs is witness to the crime of government of lawyers, by lawyers and for lawyers. Our legislatures and bureaucracies are bloated with legal eagles who have never done an honest day's work in their lives. These high-end parasites are committed to justifying their existence by regulating those who are responsible for capital formation and make real money.

Every aspect of our lives is increasingly controlled by so many laws it is humanly impossible to know all of them. The one true God got his laws across to mankind in ten sentences. But when men became gods, laws multiplied geometrically in every little fiefdom where man took himself to be the ultimate arbiter of right and wrong.

When the majority believed in a final judgment and man was expected to regulate his behavior accordingly, there was no necessity for laws defining everything. Civilizations that become so enmeshed in regulations have collapsed because they no longer produced anything. We have become dominated by the chattering class: people without souls, ethics or productive abilities yet with enough unearned capital to control those who produce it.

The only professions not afflicted by the curse of suffocating regulation are the legal profession itself and artists. (Organizing artists and artisans is like herding cats. As soon as they figure out how to do that, they will.) Those who have other talents that actually produce something have their productive ability reduced by an onerous (and growing) burden of paperwork. It doesn't matter what the profession: doctors, financial professionals, mineworkers, manufacturers, educators, trainmen, ranchers, insurance companies, pension plans, banks, restaurants, distillers, etc. The list is endless and the regulations enough to sink the nation.

If someone wishes to bake cookies and sell them to tourists passing through town, they must deal get a proper license from the health department and have their kitchen approved for commercial purposes. That means no pets in the house, among other things. You can't just bake cookies and sell them any more than a kid can set up a lemonade stand.

Living in a rural community does not allow freedom from this legalized sadism. What got me set off this week was a signature guarantee requirement. Our firm was attempting to transfer some 401(k) assets from one custodian to another. The appropriate paperwork, as we understood it, was sent off on August 31 with the requisite signature guarantee. Two weeks later all of the parties receive a letter from the current custodian with a new set of hoops through which to jump. Being country bumpkins, we were quite puzzled by the gradations in the Medallion Signature Guarantee. We soon learned that the surety bond for our E designation was inadequate to cover the value of the assets to be transferred. That went into effect last February without any appropriate notification.

The next challenge was to find a Medallion Signature Guarantee that met the surety bond requirements. That took several hours. That part cannot be completed until the boss gets back from vacation next week. In the meantime, the receiving custodian has had to generate a letter of instruction that not only tells the current custodian where to send the funds but also that they are willing to accept them. We have been working on this case for over three months and the current custodian is assuming that the new custodian is going to be surprised by an influx of money, which is probably less than in costs to keep a presidential campaign on life support for a day.

This custodial transfer has reduced the productivity of four organizations, not counting the current custodian. Additional hours have been spent telephoning, faxing and filling out more forms to please the regulatory ogres. Commissions have been delayed and the ability to add money to the economy has been delayed.

The assumption that all are criminals and must be treated as such reigns. Doing business on a handshake, which was based on Christian ethics, has been destroyed. Innocent until proven guilty is history.

As another example, this week the Forest Service started some controlled burns to eliminate the underbrush and dead wood in some forests. The smoke can be seen for a hundred mile radius. Trees killed by pine bark beetles are going up in smoke, useless to everyone. Time was when the forest needed cleaning, the local citizenry or the logging companies took care of it. The forest was treated like a large garden. Now that there is a huge, idiotic and unconstitutional federal bureaucracy, taking a rock, much less a combustible (and possibly humanly useful) stick out of federal land is a federal crime.

How is this different from what Robin Hood and his merry men opposed?

Why is it politically correct to murder an in utero person yet politically incorrect to take dead wood out of a forest? What malicious ideology spawned these hate-filled regulations? It is inimical to the basic premises upon which our nation was founded.

"When in the course of human events, it becomes necessary for one people to dissolve the political bands which have connected them with another, and to assume among the powers of the earth, the separate and equal station to which the laws of nature and of nature's God entitle them, a decent respect to the opinions of mankind requires that they should declare the causes which impel them to the separation." (Declaration of Independence, July 4, 1776)

Is there any hope that we can throw off the yoke of bureaucratic oppression spawned by the legal profession without a violent conflict? We need to have a national referendum that makes it an illegal conflict of interest for any lawyer to hold any legislative office. That would be a good start.

September 17, 2004
Paula Devlin

Paula Devlin is a former New Englander who bolted to the Rocky Mountain West, where the air is clean, the stars are brilliant and men still put their pants on one leg at a time.  Paula is a regular columnist for Ether Zone.

Paula Devlin can be reached at: pdevlin@bacavalley.com

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