Peak Prosperity - Mitch Vexler: “Real Estate Taxes Have Become a Ponzi Scheme of Biblical Proportions”

Episode Date: July 1, 2025

Local taxing authorities have overdone it. Not content with merely feathering their own nests, they have done so fraudulently and deceitfully in open violation of both strict legal rules as well as moral boundaries.Click Here for Peak Financial Investing

Nothing in this program should be considered investment advice. It is for educational purposes only Please hit pause and read this disclaimer in full The school districts are bankrupt and by the way I defy any person in the government to simply sit down with a piece of paper and say okay We got X amount of dollars outstanding in bonds How are we going to pay it off with an amortization schedule at 7% compounded over 30 years? Effective today. The answer is you can't. The following is the audio version of a video released at peakprosperity.com. Visit peakprosperity.com

to watch the video and to find other insightful content such as articles, discussion forums, and exclusive subscriber only content. Hello everyone and welcome to this very special edition of finance you I am your host Dr. Chris Martens and today we're're gonna cover real estate taxes. I know it sounds a little bit, ah, what can you do? Everybody hates them. Nobody likes them. But we're gonna find out that these things have the way it's been conducted in this country. Well, as Mitch Vexler, today's guest, talks about it, this is a Ponzi scheme of biblical proportions. Mitch, welcome back to the

program. It's so good to have you back on such an important topic. Did I overstate anything? No, probably understated in reality. It's pretty bad and it's getting worse. The compound cumulative effect of the interest on the outstanding fraudulent school district bond debt is such that the con is when they raise bonds, in truth they're raising the bonds to pay the interest, they cannot pay down the principal. So they've created, like you said, it's a Ponzi scheme of biblical proportions.

Well, let's talk about this again. Remember, folks, I first interviewed Mitch Wexler in September of 2024. He called it at that time 10x worse than Enron. We're just dialing up. The more you dig in, Mitch, I assume the worst this looks, but let me, let me break it down what I'm experiencing. Literally this just came into my inbox randomly from a follower of mine this

morning or yesterday, I believe I found it this morning for the first time. Brandy wrote quote, this is super important. I'm a member. I'm not a bot. I live in a small town called Chehalis in Washington state. Please look at what our new governor, Bob Ferguson, has been doing. This is the exact playbook. Our minimum wage is $16.66 an hour, so the price of goods and services are very high.

We have the lowest police per capita, and all illegal drugs have been decrimbed in 2021. And we have one of the highest gas taxes, do not have access to medical and mental health records that our minor children receive at public schools. But on top of that, in pursuant to today's conversation, the nail in the coffin Brandy writes here was passing law to triple our state treasury fees on our property taxes, exclamation point.

The value of our home increased by $252,600 since 2020. We currently pay $4,577.45 on a 2,169 square foot Rambler on 0.28 acres built in 1967. After they raise state treasury fees from 1% to 3%, we will pay at least $7,306.41 next year. We are all going to lose our homes. This random gentleman I found on Twitter the other day wrote, stop legalized plunder. I built and paid for my house by age 25.

Every three years now, I pay property taxes equivalent to the original cost of my house. It takes 50% of my social security to pay my property taxes alone. And then I hope you can hear this along with us Mitch because I want people to hear this This is a poor gentleman in soon to be very poor gentleman in Chicago I hope you have something to say about this, too This 700 square foot one-bedroom apartment will now cost Michael Markeloff's

$17,494 in property taxes for one year. Barkelos and his mother own this 10 unit Lincoln Park apartment complex. Last year's tax bill for all 10 units combined was $23,674. But now look at this. The same 10 units are now $128,282 this year. Okay. Mitch, what is going on here? $28,282 this year. OK. Mitch, what is going on here? In a nutshell, this is a cash grab.

The laws, be it USEPAP, which is Uniform Standards of Professional Appraisal Practice, are irrefutably being violated straight across the United States and Hawaii. So they have decided, well, we're just going to go and grab this money from which the central appraisal districts, those are the CADs, turn that money or good chunk of it, roughly 83 percent of it over to the school districts.

Then the school districts take that money and lever it up 20 to one. And across the United States, I've calculated that give or take, roughly $5.1 trillion out of the $7.5 trillion is illegitimate fraudulent bonds, school district bonds. And it got worse recently when we found out that they have something under the hood on their balance sheets. recently when we found out that they have something under the hood on their balance sheets many of these school districts do and it's called an investment pool but the investment pool is hidden from the public you don't know who paid in you don't know what the rules of the investments are you don't

know what the tenure is so there's a whole bunch of questions behind all this but the more we dug in the more, well, the hidden investment pools are in reality a second Social Security fund for somebody at the school district level. And it gets even more bizarre when we found out that Governor Abbott himself sits, is the chairman of the Bond Review Board for the state of Texas. First question is, why is he the chairman of the Bond Review Board? This raises red flags left and right. I will state emphatically that Governor Abbott has had donations from the school teacher system and Dan Patrick himself

as well is also on the board at the Bond Review Board. So when you look at all these problems and you start adding this up, the straight answer to your question is this is a cash grab. They are violating every single appraisal law. This is not an exaggeration without exception ever written Because when you violate the way that the newspaper is set up it is designed to be quantitative It is not designed by we think There's no such thing as we think nobody cares what you think. This is I'm speaking to the RPA is a registered think, nobody cares what you think. This is, I'm speaking to the RPAs, Registered Professional Appraisers. Nobody cares what you think. Your job is to quantify.

And what we have found is, in fact, they are not quantifying anything. Don Spencer, the chief appraiser at the Denton Central Appraisal District, stood up in front of the board and admitted, we have the tape, it's on my website, admitted they took 60,000 properties outside of the database, put it in Excel, manipulated it, his words, and put it back in the database. That in and of itself is what spun the mathematics behind the scenes. So when I sat down and started running that math,

we determined that roughly 92% of the database at that time was corrupted. Well, as we've dug in and more and more people have reached out, we now have a signature at least one from every state in the union. We've got thousands of signatures on the petition now, tens of thousands of comments. So and all those people keep sending information in. So we start looking in like I did yesterday in Ohio and Ohio is so in such a bad shape with regard to their school districts and the way that their laws are set up

In truth as far as I can tell the only thing left for Ohio to do or the citizens to do is to file the school districts into involuntary bankruptcy In order to wipe out the fraud. No, no, Mitch, I want to get into all of that, but two things. First, what you described with Governor Abbott, and he sits on this thing that has this hidden slush fund and it goes to the teachers and the teachers pay him money. That sounds a little bit like a fractal smaller version of what we just found out with USAID. Does it not? Right? So taxpayer money

goes into this big organization that then pays handsomely all these people who then funnel money back into the same people who fund the operation with continuing taxpayer monies. It kind of sounds like that. You're describing what sounds to me like what people were very angry about when we discovered the circular self-dealing graft and corruption that happened at the federal level. It just sounds like a smaller version, but still obviously big. That's exactly what it is, except it's worse.

Except it's worse. And the reason why it's worse is because, do you know that in the state of Texas, 165 billion roughly comes in from the federal government that goes to the school districts. So can you imagine the absolute definition of double and triple dipping? So why do we have these real estate taxes that are exorbitant to the point of not being able to cover off the municipal requirements and the school district requirements, and

yet magically for some reason, and by the way, I know the answer to it. So the school district superintendents are in fact committing accounting fraud because they submit these requirements to the state comptroller. State comptroller turns around, by the way, this is based on minority students. So has anybody done an actual audit on how many minority students are in a school for which the federal government is now providing the funds to cover this off? The answer is no. And therefore, the federal government themselves are part and parcel and being defrauded. That's why it's worse. This is a left hand and a right hand not having a clue

what the other one is doing and they're doing it on the back of mom and pop. The fact of the matter is they're equity stripping mom and pop across the United States. That's what's happening here. Yeah, we're just tax donkeys in this whole story. So the second thing you said was that they just sort of pulled all this, what's supposed to be a very, well, let me put it this way. This is how the real estate property this, was supposed to be a very, well, let me put it this way. This is how the real estate property tax process is supposed to work.

Every box is a process, there are laws, there are rules, there are guidelines, there are professional standards, and that's how it's supposed to work. But what you just said is it works like this. The county or district needs Mo money. They pull the tax pieces out into a spreadsheet, they communicate that number to the appraisal firm like whisper wink wink, hey we'd like seven percent more, and then the firm bumps all the property values up by that needed

amount, shoves that spreadsheet back into the system, presses the button, I get a tax bill that goes up by X percent, right? It's based on a predetermined amount and that in and of itself is where the fraud starts. So your school districts say, we need money. We need money for the children. Okay. First off, that is a straight up lie. They do not need money for the children.

In fact, many schools in Texas are closing down. Here's the problem. The debt never went anywhere. So if you close those schools down, A, you, the school district have committed bond fraud because you didn't tell any of the bond holders that you were gonna be closing these schools in a set period of time. You knew it was coming and you didn't do anything about it.

That's bond fraud. And when the world of the bonds, those holders wake up, these school districts are gonna get sued into oblivion, rightfully so. But again, it is always worse. Why is the money not going to the children where it really should be going, right? It should be going to education and it should be going to get good teachers You got to get the fat out of there. But the truth of the matter is it isn't it's going to pay the cumulative Interest that has been compounding because they have not paid off the principle of any of the bonds for dozens of years.

And that's the problem. We literally have charts that show that they were going to be paying these bonds off in 2024. Well, this was a school district in particular right now today. It's got three billion dollars in outstanding bonds and started with 110 million. Three billion. Well, hang on. What collateralizes these bonds? I thought, I thought taxpayers homes were the collateral in this story. No, um, you can't get to the houses, right?

So what's the real collateral? It's mom and pop school districts have no assets. Their land isn't worth 10 cents. It's lever to to the hilt. The buildings levered to the hilt by the bonds. The real asset for a school district isn't even the children. It's the parents. It's mom and pop. So it's an implicit guarantee. There's no such word. I made that term up. Implicit guarantee means nothing. There's no guarantee. There isn't a single person in the United States who ever signed a document that said,

I am prepared to go bankrupt to backstop my school district. Well, how do they get to mom and pop? I'm sorry, say that again. How do they get to mom and pop, Mitch? Where does the money come from? Well, what happens, the central appraisal districts receive a demand from the school districts in the form of a budget. This is the money that we need. This is your demand. Central appraisal district hit this target. Well, that has nothing to do with uniform standards of professional appraisal practice. That has nothing to do with uniform standards of professional

appraisal practice. That has nothing to do with real estate valuation. That has to do with a wish list. The problem with the wish list is it's a fraud. The predetermined budget is 100% fraud. We have figured out that the school superintendents are in fact committing accounting fraud. They simply say we need X, but it gets worse because it turns out that Ken Paxton himself has violated the law. And the law here in Texas is there's a 25% cap on the preceding bonds outstanding

for that school district of that year. While you have certain school districts like Argyle that have gone up over 275% above the 25%, Ken Paxton's job is to ensure, he is the sole signator, to ensure that there is revenue available to pay off these bonds. There isn't. The school districts are bankrupt. And by the way, I defy any person in the government to simply sit down with a piece of paper and say, okay, we got X amount of dollars outstanding in bonds. How are we going to

pay it off with an amortization schedule at 7% compounded over 30 years effective today? The answer is you can't. So you see we're at the tipping point. I want to get into that data because it's just so illuminating in a not good way. But first, we're going to talk about Texas. We're going to look very specifically, I believe the fractal tells the larger story. So we're going to look at the data you've sent me. But before we do, we're talking Texas. How many other states would you say are in comparable condition or situation so that we, so people listening will understand if this applies to them. As far as we know, we have not been able to find a state that is not in this mess

because the school districts are bankrupt. And we haven't found one that isn't. Let's put it that way. I mean, there are some that are I would say they're left armaments and more criminals. How many states have you looked at, would you say? Roughly. Pretty much everybody. There's nobody that we have seen yet because we're getting emails, I kid you not, every 15 to 20 minutes around the clock. So the data that's coming in, we'll look at this and look at that.

And I spent several hours. I have known that Ohio was in trouble. There's a fellow by the name of Bob Hall. You were showing those clips at the beginning. Well, Mr. Hall is an 84-year-old vet in Ohio whose real estate taxes are more. It's $3,600 of what he's being commanded to pay. He's on fixed income. He's a vet.

He's 84 years old. He doesn't have the money. So these morons at the government there are basically saying, go to assisted living. Do you have any idea what assisted living costs? A, he doesn't need it. B, it's $84,000 a year. C, what in the world for? Like you can't possibly be this dumb. It's $3,400 versus $84,000 or $3,600 versus $84,000. Yet when I say they can't possibly be this dumb, yeah, I'm wrong. Dumb or evil greedy. So I want to, okay, so as far as we know,

this, what we're about to describe, could apply to any state anybody happens to live in in the United States, including Hawaii. So let's go through this. You sent me this spreadsheet. Hey folks, we're going to go through this spreadsheet. Don't try and absorb it all at once. We'll step through it. But this is the whole spreadsheet, so you can see what it looks like and this is I titled this unpayable that's Texas edition but it could just as well be titled Ohio or Illinois or Florida or something else so so okay here's the first four columns Mitch take us through us what's the process here so this is just a handful I'm gonna make that point this is a handful of 1,030 roughly

school districts across Texas. But the point that you're making is that when you realize, and this is what everybody in the United States must look at, because these two numbers will literally tell you how big the fraud is in your school district. So what we've done with this is we grabbed the data initially. There were two of these charts. And one of them was one set of values from the bond review board, which Governor Rabbitt is the chairman.

And the other came from the right hand of the Texas government called the Texas Education Agency. Well, what this is showing you and what everybody should be doing, because this tells the truth if you go and look in your local school district for outstanding bonds you will find that information in most cases we found it and right at the top here Mitch we have Aledo ISD some kind that stands for what what does that stand for ISD uh Independent school district. Okay population 31,966 in in this district 9598 students total debt outstanding looks like 367 million and some other numbers

Is that so they have three hundred sixty seven million dollars in debt on top of a population of 31,000 Yes, but it gets worse. So keep going and you'll see how much that is per house. Okay. So the trick to this is looking at it per house. So I just wanna make sure, so we got those first four columns, we understand how to read those,

and we got McKinney in here, Plano, we just have a selection of school districts. This is the same chart, but cut in the middle. So now we have a cost per student. What does that mean, 38,285? We have found across the United States, and I am willing to bet right now that there isn't a single school district

who can answer one question. The one question is, how much does it cost to educate a child from grade one to grade four, educate a child from grade one to grade seven? I don't care what the numbers are, just answer the question. How much does it cost? Well, the reality is they can't answer the question or they refuse to answer your choice, but that is a huge problem and that proves that the money isn't going to the students. But that's

is that a yearly cost? Is that what does that what does that mean? 38,285 cost per student is that per year Yes, what okay? There are 17 under 85 households in that first district. We're looking at the debt per household is 205 thousand eight hundred fifty nine dollars and forty cents Bingo, okay bringing us to the last set I Included that debt per household 28 $205,859. That means, what do you mean monthly payment due? Simply run an amortization schedule on

it. Now what that means is you the homeowner, right, because we're doing this by the house, you that house owner in that Aledo location, that's how much money you owe, according to your central appraisal district and your school district that created the outstanding fraudulent bonds. Now ask yourself, because you clearly can't afford it, now ask yourself, what's the real value of my house? And it gets really glaring when you start realizing that Argyle, Argyle Texas is in that list. I think Argyle was at $324,000.

Here's the problem. When you look at the median home value of any one of these communities, doesn't matter, let's just use Argyle, it's $450,000. Do you realize they've got 70% more in outstanding fraudulent school district bond debt than they do in the value of the house? Here's another one. So I wrote a bill for Helen Kerwin at her request. Helen Kerwin is a Texas state rep.

Helen Kerwin has a community called Godley, Texas, which I think is on that list as well. In Godley, Texas, the outstanding fraudulent school district bond debt today is $120,000. The average value of a home in Godley, Texas is $160,000. Four weeks ago, roughly, I sent an emergency email over to Helen, and I said, Helen, in three and a half years, if Godley does one more bond raise, the value of the outstanding fraudulent school district bond debt will be greater than the median value of a home in Godley, Texas. And I put it in writing, you males will get a D9 dozer, start on the north end, and start pushing. Well let's look at it, what's that say, Islata? Yes. Okay. 26,000 souls, a lot of students, I don't understand how that works, $865 million in debt carrying

it across means that the median household income is $31,000? Yes. That means that just to pay their monthly due payment to sort of start paying down this debt assuming they want to pay it back, right? That would command 22% of the gross income of the households to even begin to square that circle. That's not going to happen. This is never going to happen.

These bond debts are never, and I will underline the word never and put it in bold, they cannot be paid off. The only saving grace if somebody wanted to pay it off would be massive printing, just to cover off the bond debt of the schools to the tune of 5.1 trillion. There is no other way and then inflation will take off and you're right back to a circular argument where this thing blows to shreds. There is a fix, right? So the fix is you simply tell the truth and say we're gonna have to walk these down these bonds are worth 13 to 30 cents on the dollar. We reset each component of

the 5.1 trillion and simply say, fine, those who hold the paper, you lose. But you took unilateral bets, and the people that sold you this stuff, this is beyond junk bonds. There was a fellow here in Dallas, he owns a bank, and he did very well by buying bonds in the last financial crisis from the federal government So the federal government took the bonds and he bought them at 13 cents on the dollar and then worked the portfolio out Well, my math shows that this stuff is worth 13 to 30 cents on the dollar simply so it can be paid

Anything above the 30 cents cannot be paid because the median household income does not exist to pay it off not be paid because the median household income does not exist to pay it off. Well, but Mitch, somebody is holding that $5.1 trillion. Who's holding that debt? Who's gonna get plowed in this story? Oh, the pension funds, the 401ks. Don't they have a fiduciary responsibility? Shouldn't they not have somebody smart like yourself looking at this saying maybe we shouldn't hold this crap paper. Yep and then when that must look at what is the fee structure so let's talk about the 2 and 20 we get 2% assets under management we get 20% of the profits do you really think they care about the 20% of the profits 2% assets under management 1

trillion dollars it's not a bad day at the office. Well, when you put it that way. The markets are unraveling and the stakes could not be higher. If you're relying on passive strategies or so-called diversification, or perhaps using an advisor who was, I don't know, maybe in elementary school during the great financial crisis, you could be on a collision course with staggering portfolio losses. Peak financial investing is your lifeline. We handpick wealth managers who will actively manage your portfolio with proven, market-savvy

strategies, not the tired, modern portfolio theory that could crumble under pressure. The unprepared will not just lose this time, but lose big. The future that I see consists of both winners and losers, but many more losers this time than last time. Go to peakfinancialinvesting.com today and schedule your free consultation. This is your chance to protect your wealth again. That's peak financial investing calm And I'm dr. Chris Martinson urging you please don't wait another day So I think this is the let me let me guess this is the plan This is the plan roll the debts in perpetuity while they just get bigger and bigger and the problem compounds

I'm using that word accurately by By definition what you just said that's a Ponzi scheme. Correct. That's the plan. No, literally that's the plan, right? Well except it's going to blow up. It is blowing up now. It's just in slow motion and it's hard to detect. But when you've got people in Ohio screaming and you look at their laws, they've got problems. Here in Texas you've got people in Ohio screaming and you look at their laws, they've got problems. Here in Texas, you've got massive problems. The truth is, all of our evidence is now deemed admitted by the courts, and nobody in all this time has been able to refute any of it. It is what it is, and it's their documents.

So okay, we've got the evidence. The law hasn't agreed to hear these cases, but they're going to shortly either through the Texas Supreme Court or the US Supreme Court. But all this stuff is floating to the surface. And it's not just me jumping up and down. We found the evidence. We put it out there, and other people

are getting on the bandwagon to realize how bad it is. But you talk about these pensions. Illinois, there's not enough money on this planet to fix Illinois. It's beyond repair. And Texas has got one advantage at the moment, which is its population is growing, but you can go to Oklahoma, no, not happening. Arkansas, not happening.

So if they don't deal with this head on and simply say, okay fine, this 5.1 trillion is going to be vacated. We are going to reverse this and those people are going to lose. That's how you deal with it. But they're going to lose eventually anyway. My point is that the compound cumulative effect of the interest is clicking by the nanosecond. Like if you go to usdeckclock.org, what's happening on the school district level is the exact same thing. By the nanosecond, this interest continues. There's no way to pay off the principal. So your mails will call a spade a spade. And if you have to start putting these school districts into involuntary bankruptcy, do it. There isn't a judge on the planet that can argue

with you. They'll say, well, no, we don't want to hear the case. It isn't going to change the math. And the truth is that the math is much bigger than the courts. The math is much bigger than the federal government. This is going to blow to shreds if they do not get involved and say, that's it, enough. These people here that are invested in these bonds, you're going to lose this portion of your portfolio. Mitch, this is why we get along so well. You and I met at Limitless because I put up this chart just in, this is the macro scale,

this is across total all sector debt in the United States, TCMDO, well over 100 trillion now, which includes this 5 trillion we're talking about, and the debt's growing faster than income. So this is at the national scale, but you said, Chris, I have the same chart at the Denton County level, right? Because it's the same idea. We're just piling debts up and up and up. There's all these people feasting off of that, getting their two and 20, thinking they have a pension on the back end. There are politicians getting the graphy spin around so they can get reelected.

And meanwhile, nobody's looking at the underlying, which is that this is destroying the fabric in the households of this country, right? And I just want to point out that here's a consequence of this housing scam in 1992 the average age of a first-time US homebuyer was 28 now it's 38 that is a lost decade and it's accelerating of late because of the exact scam you're talking about and this is a moral abomination as far as I'm concerned it's a financial crime against humanity because it's not just in the United States as it turns out Right, so really? Yeah, Canada same same position anything that touches

Uniform standards of professional appraisal practice. That's the nexus between all of this and Use pap is across the globe We reversed engineered. I've got all the documents and spreadsheets that's on my website, we reversed engineered USEPAP. It truly is about quantifying the value and doing a proper appraisal. It is completely ignored. In fact, as of yesterday's email that I sent to my attorneys, we're about to launch two lawsuits, one of which will be criminal, the other one of which will be civil, for damages as a result of a registered professional appraiser saying, well, this value, I think this value is $2.4

million. When the real value is by what just happened across the street is a true comparison, is roughly $1.24 million. Well, there's your damages. This is what you said. You can't quantify it. By the way, you didn't use a standard deviation or a linear regression in your model, which means you violated USEPAP on that one issue alone. Well, except under Texas law. Guess what? The damage model is trouble. It's also trouble under Fetel. Okay, we'll take the 1.2 and we'll go 5 plus, 5 million plus, and we'll hit you.

Now, am I going to collect it? No. Are they worth it? No. They will lose their lives, they will lose their job, and we're going to make it extremely difficult for these RPAs to continue the fraud on society that they're doing. Get a job, get sued. That's what's coming. And that's happening as a direct result of the fact that the courts in Texas so far have punted. See, there's ramifications and there's problems when these courts don't allow somebody like

me into the court. If they don't allow a guy like me who's got the evidence into a court room, then how exactly and gets access, who exactly gets access to the court? This is the problem. They don't want to hear these cases, but it's gotten to the point where we've gotten so well defined in this. We can bring up a cumulative compound spreadsheet, which is an amortization schedule in reverse, which by the way is exactly what the Federal Reserve needs to learn how to use. But if that issue was tied, yeah.

So the Federal Reserve and the central appraisal districts and the school districts are one in the same. They're a mirror image. None of these morons know how to even read accumulative. And it's not that difficult It's just an amortization schedule in reverse. All they got to do is bring it up and look at it and say, okay fine Here's the debt on this house. How is it gonna get paid off? Well, if the answer is it isn't then why are we even having this conversation?

Why is it that we've got to go and sue these people? Why is that? I've made demand put Don Spencer in jail I put him in cuffs. That's where we're headed with this I put Don Spencer in jail. I put him in cuffs. That's where we're headed with this. So any one of these people that violate these laws, both under Texas Penal Code and Federal Code, Chapter 42, Section 1986, Knowledge and Power to Prevent, you've been told you're breaking the law,

and you refuse to do anything about it. And that makes you a guilty party in the eyes of the law. This is a fact. And my point is either the laws exist or they don't. I believe the laws exist. I believe these people, in order to put money in their pocket, and by way of example, would be the school district superintendents. Do you know that the average salary for school superintendent in Texas is $500,000 a year

on average? They're getting paid to commit accounting fraud. If A equals B and B equals C, then A equals C. It's real simple. You're getting paid to commit accounting fraud. And part of your accounting fraud is duping the federal government because nobody ever bothered to look at what the demand is for the minority students and verify that it's even real. at what the demand is for the minority students and verify that it's even real. So this is so infuriating, but so you're working the legal system. What about the legislative branch in Texas? I know you mentioned that you work with a legislator there.

How are things going legislatively? Any traction for this? Just like Florida, where Governor DeSantis said he has wants to eliminate the real estate tax, I fear that they're not getting the message. It's not the idea of eliminating tax, it's getting jumbled up in there. What we have said and what we have quantified is you repeal the real estate tax in favor of the uniform state's sales tax. And what that does, and this is in the bill that I wrote, so we have a document called the First Amendment

to the Criminal Complaint, and it spells out exactly what happened with Helen Curwin and when I wrote the bill for the state of Texas, and that bill is in that document. What really happens, and not every state has to have 15%, but just follow for a second. In the case of Texas, it starts off with a 15% sales tax for three years. The schools within six months must specify and prove that they can pay off their bonds within that three-year period. If they can't, the school districts must file

bankruptcy. So what we start with is a 15% sales tax total. So we're 8.25 now. It goes to 15% for three years. Upon stabilization, it'll drop to either 11% or 12%. Sly scale backwards. And that fixes this mess, kills off the central appraisal districts, kills off any need for use PAP whatsoever, because they're not adhering to it anyway. And to be clear, Mitch, very, very clearly, that's 15% state sales tax, but no property taxes anymore. 100%. Property taxes are gone. Everybody is associated with this. So there's a fellow

here by the name of Senator Betancourt. Well, Betancourt is a Senator here at the state of Texas, and he makes his living as a real estate tax consultant. He's the problem. He's got zero interest in seeing this go away. Or you get a conflict of interest up the yin-yang. Well, the point of the matter is that when you start running into these problems and everything we've got and everything I'm saying is specified, it's hardcore evidence. We've got these people on tape. So when Governor DeSantis stands up and says, I want to eliminate real estate tax, well,

Governor Appet said the same thing for the last five years, but he hasn't done it. And the fact of the matter is he's got a problem. And by the way, we know that they're listening to these videos. There's no doubt about it because there are politicians now. I was speaking to somebody who's running for governor in Minnesota. I mean, people are reaching out and saying, okay, we need to do this. And what I'm doing right now is I'm referring them to the First Amendment to the criminal complaint because it's the fastest way to get enough facts to get up to speed to see how bad this is.

But that chart that you put up in the beginning, when you look at this death on a per house basis, you can't get anything more clear. That's your house. It doesn't matter where you live. This is in the United States. This is what's happening. This cannot be paid off. Right?

That's just math. Mom and Pop are now saying they don't have the money to cover their own expenses, let alone the fraudulent school district bond debt. Well, without consequences, nothing ever changes. So some of these fraudulent people need to go to prison, I think. In prepping for this, though, I did, I'm sure you know this gentleman from the Texas State Legislature.

This was, this was, this is how bad things are in Texas. I don't think people in Texas know how bad things might be in their state house. This is how bad things are in Texas right now. Hey, howdy, Texans. You're not gonna believe what I'm about to show you. So the Texas House of Representatives spent the first three months not working, not passing Republican priorities.

We still haven't dealt with property taxes. We spent three months not working. It's a Saturday. We have 240 bills. They're gonna working. It's a Saturday. We have 240 bills they're going to pretend to work on today and on that one day with 240 bills which we're not going to get to, what are we doing right now? That's right, Mariachi. This is your Texas house. Not cutting property taxes, not cutting, not dealing with Republican priority bills. Check this out.

Priorities, right Mitch? 240 bills, they sort of back-ended and stacked and whoops, wouldn't you know it, they're not going to quite get to property taxes. And, but they have all the time in the world for Mariachi. What an absolute travesty of political leadership I'm looking at there. So inside the First Amendment to the criminal complaint is the bill that I wrote at Helen Kerwin's request That bill got a knife shoved in Helen Kerwin's back and in the bill because it was the legal department At the state of Texas it's called ledge That said oh, well, you're going after the school districts and you're gonna make the school districts adhere to the law Yeah, we're not putting this bill forward. They sliced it over and above that.

He was talking about 240 bills. Do you know that the bills were over 8,000 bills submitted? They're literally doing nothing. Yeah. The biggest thing that is sitting right in front of them is the real estate tax. There is nothing more important because the truth is it will take down the economy, because mom and pop don't have the money, right? So something has to give. You either eliminate these schools, which are failing anyway, like the average population across the United States, school

population is actually decreasing. So what they do is, well, like they did in Fort Worth, we're going to consolidate the schools. Okay, sounds great. Look at all the money we're going to save. You didn't save 10 cents because the outstanding bonds still exist. They just merged. Yeah. You know, Mitch, I had a ray of hope because in February Elon Musk says he supported ending all property taxes I am a huge believer in ending all property taxes myself because of a couple of reasons Let me let me see. Where did I want to put this because you know home affordability. It's terrible We know this we know kids can't start houses. We know young people are delaying it to like mid to late adulthood

You know, we see things like this where they're talking in governing all ambitious housing proposals like in Texas SB 840 allows housing development in commercially zoned areas in SB 15 which amends minimum lot sizes They are just they're not striking at the root. They are nipping at the twigs in this story. This does nothing except give them more things to fraudulently tax. Right? So this is their attempt to perpetuate the overall scheme. What are your hopes that things like this Governor Spencer Cox co chairman now of the National Housing Crisis Task Force? What do you think the chances are they're gonna actually look at things like, oh, the fed money printing and the property tax Ponzi schemes

versus come up with a whole lot of youthlessness? What are your chances there? How would you weight that? There is no such thing as a housing crisis, right? What they're saying is well we need more affordable housing but if you don't look under the hood as to what the problem is the real problem is HUD right? The real problem is HUD. Right? The real problem is the government itself in the middle of what should be a normal market condition. If you had a normal market condition, there would be no shortage of housing of any caliber.

And the idea that you even call affordable housing affordable housing denotes that you're making housing for poor people. Housing is housing. Their status, their economic status isn't relevant. That's the first thing. Second thing is when you have people like economic development commissions handing out what should be equity,

so a developer shows up and the developer's got 15% equity. Well, I wanna do this project. EDC, help me out. Economic Development Commission, give me another 15%. The EDC gets that money from Economic Development Commission, give me another 15%. The EDC gets that money from the real estate tax coffers. So when you start understanding what's going on, and HUD is the same thing, so HUD says, well, we'll create bonds for you, we'll give the illusion of legitimacy on these outstanding buildings so you can go build more multifamily,

HUD is just a monkey in the middle. But it is a very expensive monkey. Because if I went and built apples to apples, quality to quality, the exact same unit that would be specified under a HUD 221D4, my cost would be 15% to 20% less than that of a HUD project, apples to apples. Well, if I can build it conventionally for 20% less then how exactly is what HUD is doing quote deemed affordable the answer is it isn't it's a con and when you start to understand who's behind all this who

was behind most of this there's a video out there a Barney Frank himself admitting that they screwed up but it was Barney Frank under the Frank Dodd rule the start of all this nonsense. When the government interjects and interferes with what is a normal market condition, you end up exactly where we are right now. These debts cannot be paid off. Powell, stuck in a box. He can't raise interest rates.

He can't lower interest rates. He's stuck because one way or the other, he's dancing on a razor blade. And if they say, well, we're going to go print more money, which unfortunately is in President Trump's bill over the next 10 years, 3.8 trillion. Now, it's small as compared to everything else that's happened, but that's not the point. You cannot be printing money. At some point, people have to realize you invested in this garbage, you were sold this garbage, this is less than junk bond status. Even Michael Milken would be crawling under a rock right now over this.

It's a junk bond king himself? Yeah. I mean, this is so bad, there's no solution to it. They literally just take bankruptcy and start over. Well, a quick note to everybody who's got a pension and when your pension loses money on these things, which they will, remember to file lawsuits against the people who had fiduciary responsibility to not put you in garbage. Okay?

So, Mitch, I mean, it has real impacts, right? So look at Toronto. You mentioned Toronto. So Toronto, Canada, what do we know about Canada? Canada is kind of like what we're talking about, but to me on steroids a little bit in the sense that Canada is a lot of land and very few people, and they have this massive self-imposed housing crisis.

Look at Toronto now, property crime up 40% higher than New York City, shootings up, all this stuff, but they have record housing unaffordability, right? And the video is, you get to watch somebody literally showering on a bus this is where this all leads right this is like it's bet like there's like there's no reason for Canada to have a housing shortage except when you try and build there and I know Canadian builders who operate in the US because at least

it's a little bit less restrictive here it's all self-imposed problems it's all government regulation and do-gooders or whatever their plan is. But when you strip it all away, every single one of those government regulators, administrators, and ministrivia makers and doers, they're the ones getting paid to put more rules on and then get a pension at the back end of this whole thing. Do they not realize, A, that's not good for the country? B, their own pensions are going gonna go tits up in this story No, they don't realize it because they're dumb. That's the first thing. The second thing is I'm Canadian a

And I left Canada Because of the socialist government and I did here in Texas and in the United States including Vegas What I could never have done if I had remained in Canada. When I left, they were talking about bringing rent controls in. And as you know, if you have older properties, with rent control you freeze the rent, your operating expenses continue to run. That's a one-way ticket to bankruptcy. And to your point of housing, do you know that the average apartment or condo that's selling in Toronto right now is only 480 square feet? Ooh.

Sounds like a garage. Yeah, well, they're building them, but they're basically shoe boxes in the sky. Mm-hmm. So they're very expensive, and they're hard to rent because nobody even have $480 a foot, you know, when you're looking at five to six hundred bucks a foot in construction, this is big money. So the truth of the matter is, no, they don't see it, they don't understand it, they don't know, I doubt very much they can spell the word amortization, but they enter, that's the truth of this matter.

When you, if anybody has to do, even mom mom and pop pull up an amortization schedule, this is a debt on my house. Now times it by three because the one thing we didn't talk about here on that one chart when it says $342,000 outstanding fraudulent school district bond debt to Argyle, you must realize that in 30 years that turns into over $1 million. That's the number we're talking about. It's not just the $343,000 today. The compound effect of the interest, that's the point. It's a compound amortization schedule.

That will take what these people think they owe today up 3x. That's assuming that the interest rates stay frozen, and that assumes that these idiot school districts stop spending money. I mean, the masses of the that assumes that these idiot school districts stop spending money. I mean, the masses of the mass, it's as crystal clear as can be. But no, these politicians are clueless. Well, let's hope we can clue them in.

It's just basic math, and I know UMath and IMath and a few people math. This is simple. This is mathematically unworkable, full stop, and somebody ought to be doing something about it, we would hope. And the thing that gets under my skin, of course, is that, like here's just an example from my state of Massachusetts, these people saw their property tax values increase by 135 percent, and then their taxes, you know,

quadruple, and it's terrible, right? So, but this means that what's happening is we're taxing unrealized gains and of course There's a big hue and cry when whenever somebody says maybe we should tax the unrealized gains in Bitcoin or stocks and immediately people grok That is a terrible idea. That is a very that's a surefire way to ruin a market But we accepted on real estate like taxing unrealized gains to that gentleman in Ohio holding that sign up the 84 year old guy He's now paying more in taxes than it costs to build his house in the first place, right? So this is happening, and we see this poor gentleman here, but in Illinois, at least state senators said, well, hey, how about if people who are 30-year or more homeowners, so good luck

getting to that milestone. But maybe we can eliminate property taxes for people who have paid in 30 years. But there is a movement afoot right now, I think some pushback, hopefully, for people understanding that untaxing unrealized gains is absolutely, when did this start, Mitch? How did we get here? This is absolutely, may I say, un-American, and it's immoral. There's a high probability we're going to the U.S. Supreme Court. I believe what will happen, and I could be wrong, but it is clear that the Texas Supreme Court is, as of a few months ago,

on our side with regard to rulings that they have made. However, when this case shows up on their desk, because of what the Fort Worth Court of Appeals did, should the Texas Supreme Court take the same approach as the Fort Worth Court of Appeals, we're going to the US Supreme Court and this whole thing is going to come to shreds. And the whole house of cards will come down because I'm going to end up with two depositions. I'm going to get the deposition of Glenn Hagar, who I stated publicly I want as a state comptroller, and I'm going to get Don Spencer's deposition. With those two depositions, we'll prove irrefutable fraud across the state of Texas.

But the situation is a mirror image across the United States. In other words, everything we have shows what they did, how they did it, who did it, and it all stacks. So the problem with the Supreme Court is that in the 16th Amendment, it is clear. You do not, they don't have the right to tax anything other than an income. You cannot tax an unrealized gain. You cannot tax property. The states did it and got away with it because nobody had the foresight to sit down with an amortization schedule even then and say, what if?

And it's not the what if they can't pay. The question would have been at that time, what if the value is established by the school district isn't real? In other words, the ability to create the fraud was never calculated or not thought of, or perhaps by intent it was. But as time morphed, it became real clear that this was a cash cow for the school districts. This was a cash cow for the school district unions. This is what kept them afloat. And the truth of the matter is that's why you've got so many bad teachers in the system.

This is a ramification of that. flow. And the truth of the matter is that's why you've got so many bad teachers in the system. This is a ramification of that. You wouldn't have these bad teachers, you wouldn't have these failing school districts, you wouldn't have schools closing, because if they use proper accounting in the first place, none of this would have happened. It's the fact that you let it fester uncontrolled. But now it's gotten to the point where it's uncontrolled and the debt is uncontrollable. The debt must be sliced and the debt's got to come down at a minimum 70 cents on the dollar. I really think when all said and done and you realize what's going on given the reduced population of the students in the school districts, I think you're going to end up pretty close to that 13 cents on the dollar in terms of what the real value is but why bother with the 13 cents file them into bankruptcy and

shove them down the toilet. So the 16th Amendment I mean this so this is a there's a constitutional issue afoot here which is that we have no constitutional law that allows the government at any level to tax unrealized gains in particular something as primary as your primary household. So if it's income, I mean a house is not an income generating asset, let's be very clear about this, it's a liability because you have to replace the roof and pay, it's a liability, costs money, doesn't generate money. If it was an Airbnb

I could make a case for it, if it's a hotel I make a case, if it's a commercial building I get it. But a house, I can't make the case for it if it's a hotel I make a case if it's a commercial building I get it but a house I can't make the case for a house and Particularly when you tax unrealized gains you've now cleaved a person's income producing which we saw in all those counties, right? The household income is what it is But the property values are what they are and you're taxing this Totally independent of the actual earning power and potential. Wow, you said stupid. I'm gonna go with moronic. It's one level below stupid. This is destined to fail and it's not

that hard to figure out why. It's also worse than that. So with regard to an income property... Give me a sec here. Let me connect the dots. Income properties are the exact same playing field as a single family home. So if it's a retail strip and that retail strip is taxed to the point that it cannot turn around and tax its tenants, in other words, charge the tenants back on a triple net lease, that means that those tenants go broke. That means that the mortgage company that holds the loan goes broke. That means that the landlord goes broke.

And you've got taxes that are so high, there simply is no way to charge those tenants. So the ecosphere of mom and pop who may be one of those tenants in that retail, at the house level they go broke, as a tenant they go broke, and the entire chain goes broke as a direct result that the taxes are so great they simply can't be paid. If you're an industrial building, let's say it's a million square feet, and inside that industrial building, so there's retail, and now we'll talk about industrial. So inside that retail building, industrial building, let's call it a million square foot industrial

They'll probably have 75 to 100 employees Okay, do you realize that the real estate taxes on that building are greater than the paycheck of all those employees combined? You start to see the problem it works its way through the economy to the point that to see the problem. It works its way through the economy to the point that although you think, well, the US national debt is $36 trillion, and this is $5.1 trillion of fraud as part of that, well, yes, except that when you start to realize what this means, that $5.1 trillion turns into $20 trillion in the next 30 years. It cannot be paid today, never mind what happens then. And the gross domestic product, I worked this out a couple weeks ago, but in order to pay down $2 trillion of the US national debt,

and never mind the derivatives of $600 trillion, all this other crap, just pay down $2 trillion. Do you realize that the gross domestic product would have to double? It would have to go to $51 trillion tomorrow morning in order to pay down 2 trillion We're at the endgame. So, okay. Do you want to get in front of it? Or do you want to let it run you over? Because that's where we are and it all starts with this real estate tax and yeah, you can say the Federal Reserve

Okay, let's just fix the real estate tax. Let's restore the balance sheet to mom and pop so they've got money in their pocket I've got what to retire on in 30 years, which as of today has been completely equity stripped. You're not going to make 10 cents. You bought a house in the last two years, you're not going to make 10 cents on that house. When you go to sell it, you're going to lose, because values today are coming down. Values in Austin down 18%.

I looked at it yesterday. Values in Austin down 18% I looked at it yesterday values in Miami down 14% See you it's hard for the world to see what's going on, but all you got to do is look Illinois you can't sell anything there. What are you gonna do? I mean it's based on income Illinois is beyond bankrupt because their pension funds have been doing this for generations corrupt corrupt shot through Mitch I love the sales tax idea. Here's why I think a lot of people would instinctively recoil and say whoa whoa whoa 15% sales tax ouch Sounds like European vat, but here's why I like it Then it puts the decision in my hands if I want to buy something I pay a tax if I want to save

Then I save it makes I get the decision consumer save right and that's a decision you get to make at any point along the way Am I gonna buy something or we're gonna save money, right? Then now the decision is mine right now My decision is if I stop if I want to get off the treadmill and I don't want to pay my property taxes Or I can't afford to the government takes my house, right? That means we all just work for the local government, right? We're just tax donkeys and we don't own anything so That's like totally anathema, I would think, to the spirit, if not the letter of the law

of the Constitution of the United States, right? Which is that we are supposed to be free and sovereign individuals. And you're not if you have to rent your house from your local government who can fraudulently and whimsically decide to charge you more and more and more for whatever they dream up next, right? I just got an email as well from a gentleman in Portland and he said, oh they have this new income tax because they want free help free child care for anybody who wants it. Right? And so the 51% voted that the other 49% really ought

to pony up, you know, 3% more of their income to this project. And that's just one project. They have an art project that has a special levy. They have a this, a this, a this. Anyway, it goes on and on until it breaks itself. And perhaps no more magnificently than New York City if they get their Mamdami socialist Marxist mayor who they seem to want to elect into position. We're gonna see if all the

wealthy people will leave. The wealthy people are fleeing the UK for the same reason. Taxes all like people who can leave Mitch have the most money and they tend to have the most options. People are fleeing. They're already migrating away making the problems worse and worse and worse for the remaining spots. I mean obviously broken system. How do people protect themselves from this though? What can we do? Recognize what the problem is. I want to take one step up on the US Supreme Court level. By virtue of these courts prohibiting access to the court, by definition, that's a violation of due process under the 5th and 14th

Amendment. The worst days they're gonna have is when I show up at the US Supreme By definition, that's a violation of due process under the fifth and 14th amendment. The worst days they're going to have is when I show up at the US Supreme Court. We've got the evidence. These courts themselves have violated US constitutional law. This is a big deal. This could be ratcheted up into billions of dollars. Now you're not going to collect it because you win, but you don't collect $0.10 because that means people have to pay more in tax in order to pay off the debt again.

But that's not the point. The point is here, this has to stop. Like, I've got a building. I haven't made $0.10 on that building since 2016. That's part of the reason why we're doing this. The other reason is, in truth, I'm a builder. I'm a developer of multifamily, thousands of units, single-family land, thousands of lots, retail,

millions of square feet. But I'm not doing anything at this exact moment, because if I start a project and they decide unilaterally, well, we think the value of your taxes should be this because this is how much money we need, well then I've put my investors in harm's way. Why would I do this? So you see the economy is on a nice edge as we sit here today in reality because of the debt and the courts, because the courts, well we

don't want to touch this because this is how we make our living. In fact, Braden Metcalfe, opposing counsel at the original court hearing in Denton, stood in front of the judge and said, but your honor, this is how you and I make our living. By the way, I got that on tape. So you see, they're conned. They're so stupid because in truth they pay the real estate tax themselves. So what we're saying is it has to be an even playing field for everybody and the only way to do that is through the sales tax. It's a hundred percent transparent. You know where the money is going. You know what the income is and it takes all the guesswork out of the system.

And this isn't guesswork. This guesstimating is criminal. Let's be clear. When you violate USEPAP, which is required under the Texas Property Tax Code, and uniform and equal that's required under the Texas Constitution, you are in fact a criminal. That's 37.1 loan under the Texas Penal Code, just to start with. Then you get into all the federal laws, etc. So the point of the matter is the law either exists or it doesn't. That's the pitch to the US Supreme Court. And I'm most certain

that Judge Gorsuch would have a very sincere interest in this case. So if he did, and let's presume you prevail, what happens? What's the actual ruling? What's the outcome of that? The outcome would literally be, okay, fine. You, the state, violated the 16th Amendment. You can no longer collect real estate tax. You're done. It simply vacates right on the spot. And they're going to say, wow, but damages, etc.

Let the chips fall where they may. It's going to to say, wow, but there's damages, et cetera. Let the chips fall where they may. It's going to happen anyway. See, that's the point of all this. The debt cannot be paid off. So you may as well call a spade a spade, get the criminals out of the system, which is really what this is about,

so that people like me can go back to work. I'm very capable of hiring hundreds of people. That's what we've had on the paywall. I just have no intent of doing it right now. I've got a project we're poking at. But the point of the matter is to go and build retail right now, knowing where the economy is, is crazy. To go and build industrial, even though I love mom and pop, what I call light industrial,

maybe if I saw something and it was outside of a major city, okay, maybe. I saw for the first time outside of a major city, okay maybe. I saw for the first time in 90 days a week ago there was a project in North Carolina, 118 units, well-built. The rent was only a dollar twenty-seven a foot and it's fairly new. So that product was the first time in 90 days that I and I get 60 to 70 properties a day rolling through here. That was the only time in 90 days that I and I get 60 to 70 properties a day rolling through here That was the only one that I've seen that I said, you know, but for the fact that I'm in Texas I don't really want to fly to other locations So but that was a good opportunity

But that shows you how few the good opportunities are today. Let the chips fall where they may Let the system bankrupt itself. Let's start this thing over, but you get the fraudsters out of the picture. Well, from from your lips to the Supreme Court's ears, that would be good. Look, the only way I can find, so we have a big math problem. I showed the macro situation for debt in the United States, and you're in Texas, so this is important. We know that according to even the EIA now, the Energy Information Agency out of the DOE, that it doesn't run out,

but oil starts peeking out in the Permian this year, maybe next year, right? They're waffling a little, but this is it. And then that's one of the main economic engines in Texas, and that starts to just slowly do this over time. So we need to have a plan, right? The only thing I can think Of to really get our economy growing would be to get all this regulatory

Stuff off of our backs to get to take the administrative cast and skinny it right down. I see no reason to pay superintendents 500,000 I'll be honest. I don't even see the need for Superintendents if you said hey Chris there's $20,000 per pupil per household here's a chit go out I could find teachers who would compete and take take it for 10 grand a student right yep put 20 students in a classroom that they manage they get $200,000 income and it'll all pencil out just fine right and they'll make more money and everybody will be happier I bet so so there's a lot We're gonna have to get to this anyway

But the reason I'm so excited to talk to you and also this always fires me up a little It's because this is just we have a math problem, and it's not like a hundred years in the future This is happening right now The next few years are like let the chips fall where they may I love what you're doing because we got to get out in front of this like either it happens to you or you navigate it on your own terms. Either way it's happening, right? So what kind of, what kind of support are you getting right now? Is this, I mean, you were a one man band therefore if they outset, how big is your band now?

There's a lot of people across the United States, including attorneys that are working, like there's two attorneys right now that are working on a constitutional suit in the state of Florida. When Governor DeSantis came out with that comment, one of those attorneys was behind that comment. So I know firsthand that there are things that are happening. The problem is, as you've seen in Texas, it happens at a snail's pace. And somebody said, well, but you're going

after Ava, you're going after Paxton. I said, look, I'm not going after anybody. It's not a personal issue. You must understand that the laws are being broken and you, mom and pop, are paying for. The laws do exist. They've chosen, which is the word intent. They have chosen to intentionally defraud the public to support something that should never have existed from day one. The school system has failed. Go and look at the education levels of any school in the United States.

They're getting an F. They're literally failing right in front of you. And yet, well, we need more money to continue the failing, I mean, none of this stacks. But the point of the matter is, if your outstanding fraudulent school district bond debt is even 10% of the value of your home, do you realize that that 10% in 30 years turns into 30%? It's just the math. You should not have to pay anything to support a school. It must come out of the sales tax, which is totally transparent. There is no other solution. Or let the whole thing

fall apart and you end up in a greater depression, which is not what I want to see for anybody, but that unfortunately is where it's probably headed. Agreed, agreed. Um, so how's your suit doing? Um, I know when we talked in September, you were preparing it as it's been filed. We filed the suit. It went to one court. Um, and then then that judge said, I don't want it this thing anywhere near me. And it was way above her pay grade to begin with. Was that in district court or? Yes, district court. Yeah. So then it went to the Fort Worth court of appeals to force it to be heard

because I'm a citizen of Danton County. The judge doesn't own the courtroom. The citizens do. First thing. Second thing is if it's above your pay grade, no problem. Just say so. We'll get somebody else. It's not an issue. Again, it's not a personal thing. Second thing is if it's above your pay grade, no problem. Just say so. We'll get somebody else. It's not an issue. Again, it's not a personal thing. But the fact of the matter is it ended up in the Fort Worth Court of Appeals. The Fort Worth Court of Appeals came back and they said, well, generally, literally, generally is the way that this thing was couch. Um,

there's deference. So they use that word deference. Well, I'm one of the guys that wrote an amicus brief on the Chevron deference. Oh really? Okay, Chevron deference went away. So they use the word, I don't know whether that was by accident or I have no idea, but it's just very interesting. So we show deference to the municipalities and the school districts, But the problem was that the statement was 100% false according to the Texas Supreme Court. So, in essence, they did the same thing that the first judge did, which was punt the case. Well, I'm hopeful that the Texas Supreme Court does not punt the case.

I am fully prepared if they do. And that'll be at the U.S. Supreme Court. And that's when the wheels come off, because one way or the other, I am fully prepared if they do. And that'll be at the U.S. Supreme Court. And that's when the wheels come off, because one way or the other, I'm getting those two depositions. And that's really why they're going through this. They're hiding these people. They don't want those depositions taken, because in both cases, both of those people will end up in jail.

I'm not so sure about the state comptroller, but I am very certain of Don Spencer. Don Spencer belongs in jail. He has been told he's breaking the law. He admitted it that he broke the law. It's on tape. It's in our evidence. And all you have to do, Chapter 42, Section 1986, look at that knowledge and power to prevent. You were told straight on you're breaking the law. You and power to prevent. You were told straight on, you're breaking the law. You chose to ignore it. You chose to do nothing. That's intent. You belong in jail. Mitch, you're, you're, you're goring a lot of, uh, sacred oxen here and more importantly, um, uh, impinging on people's future earnings.

Uh, have you received any threats? No, because at the tail end, I, I really think most people understand it's not a personal thing, and even with Don Spencer, he's our person, I don't care if it's Don Spencer or Mr. XYZ, the point is the law is the law, and you have allowed the theft and the equity stripping of 500,000 citizens in Denton County alone. The existence of the Central Appraisal District costs Denton County alone over seven and a half billion per year. So when you understand what's going on here, it's not a personal issue. It is a legal issue. It is a math issue. Either the law exists or why are any of us paying real estate tax? There's a hell of a lot more of us than there are of any of these politicians.

So we're at that that endpoint. I don't want to see violence on anybody. I don't want to see a greater depression. The reason we're doing this is to stop that from happening. You have to understand and be able to articulate the problem in order to say enough is enough. And we're at the point where talking isn't getting it done, which is why We're going to use a stick and what just happened recently, which is we're now going to sue And we're going to press criminal charges against the employees themselves

So one way or the other this is going to go into a courtroom I am Going to get don spencer's deposition And once I have it the entire house of cards comes down because you'll have to admit by virtue of everything that's on our website that we've got all the evidence. There is no way out of this. They have no defense. This is literally the court saying, well, we don't want to hear the case. So what has this turned into?

This is turned into a case, a hearing, to decide to have a hearing. Right? That's how insane this is, which is why when it goes to the US Supreme Court, if that's where it ends up, they're gonna take one look at this and say, no, you all lose. And yeah, the 16th Amendment literally says, you can't tax an unrealized gain and an unrealized gain is market value. They're one and the same. Can't do it. You violated the 16th Amendment, you violated the 5th and 14th Amendment, and oh by the way, one little tidbit, the First Amendment is freedom of

speech. Isn't it interesting that I haven't been allowed in a court room? Indeed it is. Now you mentioned a greater depression which would be if this 5.1 trillion dollars of bonds gets written down to 10 cents on the dollar, that's a lot of losses. That's what's called a deflationary collapse prediction. Before we get there, we'll see another special line on the Federal Reserve's balance sheet called school bonds. And they'll just like mortgage-backed securities.

Remember, the single largest landlord in America today is the Federal Reserve, because they own more mortgage-backed securities. Remember the single largest landlord in America today is the Federal Reserve because they own more mortgage-backed securities than any other entity. They'll just buy all the stuff up again but then of course what they do for everybody listening is that's the Fed printing money and that means that they're gonna create inflation which just immiserates households just as surely as anything else but that's sort of how they roll. One way or the other people in this country end up losing. I'm tired of it I know you're tired of it

What can people do to help support this movement because it sounds like a movement to me more than anything It won't cost you ten cents Go and read the First Amendment to the criminal complaint. It's on my website Once you get through that get an espresso before you sit down, go through it. But it's the most simple way to get up to speed so you can see literally what's happening in your neighborhood. And you can literally just go out and say, give me the outstanding school district bonds in XYZ school district. Find out how many houses are in your neighborhood, divide the two numbers, and

that will give you the horror picture. Then the technical stuff under the hood is in the First Amendment to the criminal complaint. So be able to articulate what is truly happening to you. Then you have to say, okay, fine, personally, how do I offset some of these problems? Am I in harm's way of losing my job because of some of these problems? And yes, you are seeing that now flow to the surface with massive layoffs occurring everywhere. So if you're in harm's way of potentially losing your job, get your resume up to speed, start networking as fast as possible,

take the steps necessary to put yourself personally in a better position to withstand the storm. Should that storm show up, the reason why I said a greater depression, because if Chris is right, and a 5.1 trillion additional balance to the Federal Reserve shows up on their balance sheet, you will end up in a greater unemployment situation than what happened in the original Great Depression. So the Great Depression, at its high, had 25% unemployment. I've run the math.

My math shows it'll be 35% unemployment. Doesn't mean that the economy stopped. It just means that the ramification of the debt load was so great, the pendulum swings so far to the left that more people are unemployed. There's still a nucleus. There's always going to be an economy. There's been an economy for 5,000 years.

It's not going away. The problem is how many people are employed and how many people get wiped out during that process. And that's what we're trying to avoid by saying, tell the truth. Let's recognize it for what it is. Those people who hold those bonds, it doesn't matter where it is. You're going to lose. It could be 70 cents on the dollar. But the Federal Reserve,

Chris, to your point, when you say that they've got mortgage-backed securities, the Federal Reserve, through the reverse repo, take those mortgage-backed securities at face value. Yes. How can that statement even be true, given what we're talking about here today, when the value of the homes is 40% overvalued. So the repo, the reverse repo itself is a fraud on the public. And I've made the case recently that the Federal Reserve should be shut down. You want to get back to market conditions?

Dump the Federal Reserve because they themselves are a purveyor of fraud. It's not an exaggeration. The two largest purveyors of fraud on the planet are the central appraisal districts and the Federal Reserve They're a mirror of each other And that's how they treat the public So the Federal Reserve does not exist to backstop mom and pop They exist to backstop the banks of which there's like forty seven hundred left and out of the forty seven hundred Six hundred are in death's doorstep right now today. So when you start putting the pieces together, you realize that

the Federal Reserve is accepting trillions of mortgage-backed securities that aren't worth, let's call it, I don't know, 60 cents on the dollar, it's not 40 cents off, so it's worth 60 cents on the dollar. But they turn around and they push out U.S. Treasuries. So a bank shows up, I got a package of mortgage-backed securities. Oh, no problem. We'll accept that as face value. Here, take our U.S. Treasuries, and from that, you can use our U.S. Treasuries to backstop your balance sheet, and you can go do more deals. Well, funny thing is, across the globe, who else did that same formula? It was our Federal Reserve that taught the Chinese government how to do the

exact same thing. And what do you end up with? Ghost cities. Look at what's happening in London. Look at what's happening at the IMF, the European Union. They all copied the same BS that the Federal Reserve started. The idea was a failed concept when the Federal Reserve first came out. Senate bought off on it. Well, we have to do

something to stop a bank run. Yeah, I know you don't. It's the last thing you want to do. Let the bank run occur. Mm-hmm. Why? Because that means that bank went out of business and the money will go somewhere else. No problem. But that's where we are. That's where we are. Do I have this right? Is this the right website? Yes, that's moncomberproperties.com forward slash DCAD. There is literally a mountain of evidence there.

There's videos, there's audio testimony, there's depositions. And right in the middle, at the top, you'll see the First Amendment to the criminal complaint. If everybody read that document, you will see exactly what is happening to you. And this is applicable across the United States. That's a criminal complaint that's been registered

with the SEC, the DOJ, and the FBI. And the SEC reached out to us, myself and Jeff Mashburn, and asked us to upload our documents to their intake. That document there is naming names, who did it, how they did it. It's all there. And these poor people of Valedo have an extra mortgage payment of $2,178 per month. It's all here so we can see everything here. So again you would go to Mockingbird Properties forward slash slash DCAD, and then we clicked here on this First Amendment to the Criminal Complaint, so you can read it all there.

So I'll put these links down below, Mitch, so people can just make it even easier, but I just want to make sure everybody can follow along, because it's so important what you're doing here, and it's a math problem anyway, and gosh, I just wish you all the success. Anything I can do to help, just let me know. People need to know about this. And we're all aggrieved at, I'm so mad. So in my town, roughly two thirds of my county town lives at or below poverty level.

And we have a lot of people over the age of 65 who can't afford their property taxes, and they have to make the worst decision in the world. Do they lose their home or do they not eat? And it's like how did we get here? It just it's it's absolutely For me, it's a moral issue. I get very aggrieved by this This is not how we should be treating each other let alone our elderly in this particular case. So Anything I can do to help just let me know Thank you, and you know, it's coming shortly

Well good well, thank you so much for your time today Mitch and really thank you for what you're doing here and for everybody else you got to pay attention this is a huge deal in a minimum if you happen to have some of those school bonds in your portfolio I'd be asking some hard questions of my financial advisor about that and if you do participate in your pension in any way, shape or form, you might want to ask them those same questions and ask them if they really know what they're up to because the math doesn't math. With that, Mitch, thank you so much for your time today.

Great. Thank you very much. Thank you. you