Another 'Sovereign Citizen' Learns Fake Claims Can Lead to Real Arrest
Declaring yourself a 鈥溾 exempt from government authority and tax obligations must be something of a rush 鈥 until that government decides to slap handcuffs on you.
Consider the case of Marshall Edwin Home, 81, a self-described multibillionaire and dispenser of highly questionable financial advice who on March 16 filed to run for mayor of Tucson, Ariz. Evidently relying on 鈥渟overeign鈥 rationale, Home 鈥 on the very same day he declared himself a mayoral candidate 鈥 filed documents in the U.S. Bankruptcy Court seeking to place the United States itself into bankruptcy, asserting that he personally had a $3 billion claim against the federal government. (Home withdrew from the mayoral race in June.)
The government doesn鈥檛 look too kindly on phony bankruptcy claims. On July 1, Home was arrested and charged with two counts of making false claims in bankruptcy. Each count carries a maximum penalty of five years in prison and a $250,000 fine.
According to the government鈥檚 press release, Home operated the 鈥淚ndividual Rights Party; Mortgage Rescue Service,鈥 through which he would charge clients $500 to 鈥渕ake the foreclosure process stop.鈥 The government alleges that on his website Home told clients that their property 鈥渨ould become part of his 鈥榣arger overall bankruptcy liquidation.鈥欌 That means, according to the federal complaint, that 鈥淗ome filed or caused to be filed 173 false claims against the United States 鈥 total[ing] over $2.5 trillion.鈥 The criminal complaint is linked to two of those claims, one for $2.5 billion and another for $50 million.
鈥淭he anti-government paranoia of so-called 鈥榮overeign citizens鈥 becomes a self-fulfilling prophecy when they use their false claims and fraudulent practices to rip off others,鈥 U.S. Attorney Dennis K. Burke said in the press release.
Sovereign citizens generally believe they can remove themselves from the jurisdiction of state and federal government, so that they don鈥檛 need to pay taxes or use any form of government documentation, such as driver鈥檚 licenses or automobile license tags. Some sovereigns believe they can discharge debts by accessing secret accounts supposedly created by the government in their names at birth 鈥 accounts that, of course, don鈥檛 exist.
Among Home鈥檚 clients was John Apostolou, a Greek immigrant who rose from cook to owner of , a popular Chicago-based chain of 45 restaurants nationwide. During the course of 23 years, Apostolou鈥檚 various businesses amassed $45.5 million in bank debts and faced bankruptcy. Apostolou turned to Home for help and, apparently at Home鈥檚 direction, filed a series of legally bogus affidavits in court. One asserted that Apostolou and his wife, who co-owns the business, don鈥檛 recognize U.S. currency and are free of any legal constraints. Another sought to terminate Apostolou鈥檚 bankruptcy by alleging bank fraud and other misdeeds. In May, a clearly annoyed bankruptcy judge seized control of the restaurant chain from the Apostolous, placed it in the hands of a trustee, and barred Apostolou from setting foot in the establishment. Proceedings are still under way.
Though Apostolou claimed he didn鈥檛 read the documents Home directed him to file, as of mid-June he still believed Home could deliver him from financial ruin, even promising to give Home a share of the business should he regain control. Home filed papers with the bankruptcy court claiming to have a $150 million lien against Giordano鈥檚 鈥 apparently part of a scheme to get the pizza chain back for the Apostolous. 鈥淢y claim is solid, legal and secured,鈥 Home told the Chicago Tribune at the time. 鈥淚 will be in control of the business. You can count on it.鈥
About all Home can count on right now is that he is in a world of trouble.
With more than a dollop of irony, Home told the Tucson Weekly that he had entered the mayoral race because of 鈥渁ll the lies and the deceits. How about all the thievery? There doesn鈥檛 seem to be any integrity in the government.鈥
One might wonder about Home鈥檚 claim of being a multibillionaire. Could that merely be based on his $3 billion claim against the U.S. government? He wouldn鈥檛 go into details when pressed by the Tucson Weekly.
鈥淭hat鈥檚 private,鈥 Home told the newspaper. 鈥淚鈥檝e been described as a multi-billionaire. We鈥檒l leave it at that. Why? You can鈥檛 accept it at that?鈥