In the 1990s, Los Angeles held the dubious title of “bank robbery capital of the world.” At its height, the city’s bank crime rate hit the incredible frequency of one bank robbed every forty-five minutes of every working day. As FBI Special Agent Brenda Cotton—formerly based in Los Angeles but now stationed in New York City—joked at an event hosted by Columbia University’s school of architecture in April 2012, the agency even developed its own typology of banks in the region, most notably the “stop and rob”: a bank, located at the bottom of both an exit ramp and an on-ramp of one of Southern California’s many freeways, that could be robbed as quickly and as casually as you might pull off the highway for gas.
In his 2003 memoir Where The Money Is: True Tales from the Bank Robbery Capital of the World, co-authored with Gordon Dillow, retired Special Agent William J. Rehder briefly suggests that the design of a city itself leads to and even instigates certain crimes—in Los Angeles’s case, bank robberies. Rehder points out that this sprawling metropolis of freeways and its innumerable nondescript banks is, in a sense, a bank robber’s paradise. Crime, we could say, is just another way to use the city.
Tad Friend, writing a piece on car chases in Los Angeles for the New Yorker back in 2006, implied that the high-speed chase is, in effect, a proper and even more authentic use of the city’s many freeways than the, by comparison, embarrassingly impotent daily commute—that fleeing, illegally and often at lethal speeds, from the pursuing police while being broadcast live on local television is, well, it’s sort of what the city is for. After all, Friend writes, if you build “nine hundred miles of sinuous highway and twenty-one thousand miles of tangled surface streets” in one city alone, you’re going to find at least a few people who want to really put those streets to use. Indeed, Friend, like Rehder, seems to argue that a city gets the kinds of crime appropriate to its form—or, more actively, it gets the kinds of crime its fabric calls for.
Of course, there are many other factors that contribute to the high incidence of bank robbery in Los Angeles, not least of which is the fact that many banks, Rehder explains in his book, make the financial calculation of money stolen per year vs. annual salary of a full-time security guard—and they come out on the side of letting the money be stolen. The money, in economic terms, is not worth protecting.
Exit ramps of a different kind in Australian Prudential Regulation Authority v Siminton (No 6) [2007] FCA 1608, one of those judgments about pseudo states that offers a perspective on sovereign citizens.
The Court states
1 In this proceeding the Australian Prudential Regulation Authority ("APRA") seeks various forms of relief including injunctive orders against the respondent ("Mr Siminton"). APRA alleges that Mr Siminton has engaged in a number of contraventions of the Banking Act 1959 (Cth) ("the Act"). These contraventions are said to have occurred in the course of the implementation of a scheme, devised by Mr Siminton, under which a "country", the Principality of Camside , was established and that country became host to a "bank" called the Terra Nova Cache. Members of the public were encouraged to make deposits in the "bank" in return for high interest payments. Deposits were solicited at public meetings, through material placed on the internet and by other means. It will be necessary, later in these reasons, to examine the activities of Mr Siminton and some of his associates in greater detail. ...
3 Section 7 makes it a criminal offence for a natural person to carry on any banking business in Australia unless APRA, acting under s 11, by order, determines that s 7 does not apply to a particular person. Section 5 relevantly defines "banking business" to mean "a business that consists of banking within the meaning of paragraph 51(xiii) of the Constitution."
4 Section 66 of the Act makes it an offence for a person who "carries on a financial business" to assume or use the word "bank" in relation to such a business. Two definitional provisions should be noted. Section 66(4)(b) of the Act provides that: "(b) A reference to a word or expression being assumed or used includes the reference to the word or expression being assumed or used: (i) as part of another word or expression; or (ii) in combination with other words, letters or other symbols ..." Section 66(4)(c) provides that, in s 66, "a reference to a financial business is a reference to a business that: (i) consists of, or includes, the provision of financial services; or (ii) relates, in whole or in part, to the provision of financial services." ...
[30] On 15 January 2002 Mr Siminton registered a business name under Victorian legislation. That business name was "Principality of Camside ". He was identified as the only person who was carrying on the business at that time. The registered address of the business, its mailing address and the address of Mr Siminton was, in each case, given as "189/199 Toorak Road, South Yarra 3141." This was not the address of a unit within a complex situated at 199 Toorak Road. Rather it was a post box number (189) held at commercial premises which were situated at 199 Toorak Road.
[31] There was no equivalent business name registration effected for the Terra Nova Cache.
[32] Not long after the business name of the Principality of Camside was registered, on 5 March 2003, the Principality, under its "Great Seal" made what it described as a "Formal Declaration of War" against the Commonwealth of Australia. Mr Siminton was one of the signatories to the declaration. In a charade reminiscent of the screenplay in "The Mouse that Roared", the declaration was duly ignored by the Commonwealth government. It had, however, apparently, the effect desired by Mr Siminton. The website of the Principality thereafter contained an entry headed "Contacting Her Majesty’s Government of Camside " and, on its first page, referred to "Dr David R Siminton" as "Governor – State of Sherwood HM Government of Camside 189/199 Toorak Road, South Yarra 3141 Victoria, Australia." This website entry recorded that:
"...on 6 March 2003, due to the successful Declaration of War declared on the Commonwealth of Australia, by the Principality of Camside , the succession of these lands was overridden by the fact that the Principality of Camside , by default, won that war, due to the Commonwealth of Australia not turning up to battle.
The law relating to the Declaration of War, state, that if the country on which war has been declared fails to turn up to battle, the country that declared war (Principality of Camside ), is declared the winner. For this legal reason the "spoils of war", namely the Australian National Estate, Crown Land, roads and freeways, are now the property and responsibility of the Principality of Camside ...
The Principality of Camside is now be (sic) legally referred to as Her Majesty’s Government of Camside , as another of the consequences of the Principality of Camside having won by default, the war ..."
[33] In the course of 2005, if not earlier, the website maintained by the Principality of Camside had on the left hand side of its home page a link labelled "banking". That link contained the following statements under the heading "HM Government of Camside Banking Facilities":
"On 1st December 2003, HM Government of Camside opened "stage one" of its new banking facilities. Camside ’s new bank will be known by the name – "Terra Nova Cache." ...
It has been a challenging time for us since January 2002, in preparing and planning the "first stage" opening of Terra Nova Cache.
We often found ourselves having to remind ourselves, that the planning of our new bank’s future operations should not be based upon banking laws standards. Otherwise, this would have caused us to duplicate the current world banking behavioural rules, rather than offering our Citizens a new and legal banking alternative.
Terra Nova Cache will rapidly become known world wide, as it sets the first precedent for a bank of its type, in the history of our planet. ...
So what’s new about Terra Nova Cache?
Below is a brief summary of the revolutionary benefits of banking with Terra Nova Cache. Greater detail with respect to each benefit will gradually become available behind new buttons that will be added to the left of this web page. ...
01. Depositors automatically become owners of the bank.
02. Depositor’s funds are guaranteed repayable to them at any time they call upon them, regardless of any "financial crash" that may be in progress.
03. Depositor’s funds will be backed by a 100% equivalent value of precious metals.
04. Terra Nova Cache will not engage in fractionalize banking practices.
05. Terra Nova Cache will not engage in lending funds in excess of its legitimate deposit asset holdings.
06. Terra Nova Cache will not charge interest, account or transaction fees.
07. As depositor’s funds are cleared into Terra Nova Cache, these funds or precious metal equivalents will be stored outside any existing world bank or financial institution facilities.
08. Owner/Depositors will receive pro-rata profit share on the distributable profit earnings of Terra Nova Cache.
09. Terra Nova Cache will not affiliate with any other banks or financial institutions, and will report its trading activities to only HM Government of Camside .
10. All accounts held with Terra Nova Cache will be numbered accounts, which will not carry any account name details.
11. Soon Terra Nova Cache will be offering an opportunity to be trained and employed as Bank Treasury Traders. This business opportunity will offer Citizens, financial freedom, and a tax free home income earning business employment opportunity with the bank.
12. It is envisaged that the next stage of Terra Nova Cache’s development, once deposits are established, profitably traded and fully precious metal backed, that the bank will be offering interest free loans to its depositor/owners.
Terra Nova Cache will not be affiliated with any other bank in the world.
Our bank will not enter into any transactional relationship with any other bank.
We will not report our bank’s trading activities to any Reserve Bank, International Monetary Fund or Federal Reserve authority.
HM Government of Camside is the only government structure, to whom our bank will report its financial activities and with whom it will co-distribute its profits.
There will be no reporting facilities of individual client’s bank account activities to any authority.
All accounts held within our bank will be number-identified accounts, details of which will also never be shared with any other banking authority.
Anyone in the world can bank with Terra Nova Cache, and they may feel safe that none of their private trading/banking information will be disclosed to any government or taxation authority.
Most banking transactions will be authorised, by way of the account holder providing their account number and signature, along with Internet computer IP and password confirming codes on any transactions.
Only Camside "In The Truth" Court orders are legally binding on HM Government of Camside or its bank, Terra Nova Cache, and therefore all records, at all indicative times, will be highly encrypted (stored as unreadable data to unauthorised parties). The matching of account names to account numbers is not intended to be a need for either bank executives or its employees."
[34] Under the heading "Deposits" the website contained the following entries:
"Any Camside Citizen can open any number of numbered accounts with Terra Nova Cache, keeping in mind that as a subsequent owner of the bank, you are entitled to only one vote per Citizen on bank trading matters. There is no minimum amount that needs to be deposited, or held on deposit, in order to establish, or keep an account open with Terra Nova Cache.
We ask you to understand, that Terra Nova Cache in its first stage of operation, is not operating as a trading bank.
Initially, any funds offered for long term deposit, must be retained for a minimum 12 month period. These funds will attract a 10% p.a profit share, calculated on the value of the actual accounts deposited value. This profit share will be paid progressively as one/twelve of the 10% profit share p.a rate per month, into an account nominated by the depositor/owner. ...
The calculation of Terra Nova Cache profit share, and the prior calculation of daily deposit balance history, commences upon the clearance of deposit funds into Terra Nova Cache, and continued until such time as all funds may be withdrawn by the depositor.
Deposits in excess of $10,000 may attract higher profit sharing arrangements.
These special larger deposits may earn annual profit share ranging up to 30% per annum. All profit share returns are paid to the depositor monthly, and for this reason, at this stage do not compound in their deposit accounts."
[35] Under the heading "Profit Sharing Arrangements" the website continued:
"Terra Nova Cache is a HM Government of Camside run bank, and eventually the bank trading profits will be shared with HM Government of Camside and all of the bank’s owners.
It should be noted, that the bulk distribution of bank trading profits will be payable to HM Government of Camside , so that the government structure may grow, without the need to have any form of taxation of its Citizens. ...
Regardless of the value of a depositor’s funds, or the number of accounts that any one depositor has with the bank, each person has only one vote with respect of having their voice heard re the running of the bank. This is one of the many major history-establishing differences with Terra Nova Cache, compared with any other bank in the world.
For years, other banks have used their depositor’s funds to trade, without the depositor’s knowledge, and without sharing the consequent trading profits with anyone other than the bank’s shareholders.
Now every profit earning opportunity engaged in by Terra Nova Cache’s Treasury is to be the profitable distributable benefit of those that choose to safely keep their savings with Terra Nova Cache."
[36] Under the heading "Owners of the Bank" the website says:
"As soon as a Citizen becomes a depositor of Terra Nova Cache, they will also be recognised as an owner of the bank.
Only Citizens of HM Government of Camside can bank with Terra Nova Cache. ...
Terra Nova Cache will at all times be a Camside Government run bank, and is therefore equally answerable to the Camside Government, as it is to its depositor owners for its trading and performance. ...
All bank assets will be kept securely in Terra Nova Cache’s direct control at all times. No bank assets will be kept in any existing bank or financial institutions control, premises or facilities."
[37] The website also provided an interesting insight into the reason for adopting the name "Terra Nova Cache" for the "new banks name". The website explains:
"Initially we selected the name Royal Bank of Australia, until Citizens reminded us of how many non Australians are on our citizenship register. The Citizens that have helped us build out new bank’s concept, were also worldly enough to realise, that what we have created is going to be of world wide appeal. We also started to think bigger than just Australia wide banking facilities, and as you read through what we have planned for you with our bank, we are sure that you will agree, that Camside may well become the most sought after banking facilities in the world.
That is why Citizens came up with the first two words Terra Nova.
Terra meaning "land" and Nova meaning "bright star – with a burst of bright light", with both words together, Terra Nova, also meaning "new land", also shown in some dictionaries as "New, Bright Idea!". ...
In pursuit of a replacement name for the word bank one of our Citizens found the name Cache, which means a "secure place to store valuables"."
[38] Initially, the evidence suggests that potential investors were attracted to the Terra Nova Cache through personal contact with Mr Siminton. Mr Andrew Vella was an early depositor. He had had discussions with Mr Siminton about the establishment of the bank. On 29 January 2004 he made a payment of $100,000 to the credit of a Commonwealth Bank account held in the name of the Principality of Camside . The deposit was subsequently acknowledged in letters, written on Terra Nova Cache letterhead, and signed by Mr Siminton. In about August or September 2004 Mr Vella sought to recover the funds he had invested. He was unsuccessful.
[39] Most of the later depositors who gave evidence traced their involvement with the Terra Nova Cache to local meetings which they had been invited to attend. One such depositor was Mr William Ketelhohn. In about August or September 2004 he attended a meeting at the CWA Hall in Bundaberg. He had been invited to attend by two friends. Mr Siminton addressed the meeting. He invited those present to become citizens of Camside and to deposit money with him and earn high interest rates. Mr Siminton introduced Ms Karen Holzheimer and told those present that she was going to handle all of the financial matters. About a month later Mr Ketelhohn paid a $200 membership fee for citizenship of the Principality of Camside . On 31 July 2005 he attended another meeting at the Bundaberg CWA Hall. The meeting was addressed by Mr Siminton and proceeded along the same lines as the meeting which Mr Ketelhohn had attended in 2004. Mr Siminton spoke about making deposits into the Terra Nova Cache and said that interest could be earned at rates up to 50% per annum. Mr Ketelhohn understood from what Mr Siminton said that the Terra Nova Cache was a bank owned by the depositors. (I interpose here that others who attended these meetings had a specific recollection of Mr Siminton referring to the Terra Nova Cache as a bank set up by the Principality of Camside . One of these deponents was Mr Bernard Barry who attended a meeting at the Bundaberg CWA Hall on 30 July 2005. Ms Christine Bosch was present at three meetings in Bundaberg which were addressed by Mr Siminton. At all of them she recalls Mr Siminton saying that the Terra Nova Cache was a banking system run by Camside ). Ms Holzheimer was again present and Mr Siminton told those attending that they could contact her should they wish to make deposits. Ms Holzheimer wrote her contact details on a whiteboard and also wrote down details of the bank account into which deposits could be paid. As he left the meeting Mr Ketelhohn picked up a document which contained substantially the same information which appeared in the extract from the Principality of Camside website and which is set out above at [33]-[37]. Mr Ketelhohn decided to make a deposit of $3,000 in the Terra Nova Cache. He contacted Ms Holzheimer by telephone and she provided him with account details for an account in the name of Technocash Pty Ltd. He made the deposit at his local National Australia Bank on 1 August 2005. He received an acknowledgement of the deposit on Terra Nova Cache letterhead signed by Mr Siminton. The address on the letterhead was 189/199 Toorak Road South Yarra 3141. Adjacent to the address was the Principality of Camside ’s website details. The letter was addressed to Mr Ketelhohn and dated 24 November 2005. It is typical of letters which were received by other depositors. Relevantly, it read:
"Your last months deposit of $3,000 which earns a pre-agreed 40% per annum profit share, payable monthly, is calculated using a daily rate of profit share, of $3.29 per calendar day. Upon receipt of each monthly payment, always be careful to avoid paying your funds into any conventional banking or financial institution, so as to avoid any monitoring or recording of your income, by any of the various illegal Australian authorities.
As best you can, we also suggest that you make payments against regular bills such as utility services in cash, using these creditor’s payments centers. In most cases, utility accounts such as electricity, gas, telephones etc, can be made via any Post Office at which you may choose to pay by cash, or at which you may also have chosen to cash your money order/s.
It is a good idea to also vary the Post Office locations at which you cash any money orders.
For regular fixed monthly payments amounts, may we suggest that you cancel any direct debit arrangements which you may have in place with your bank, and provide us with the details, so that we may make the monthly payment/s on your behalf, thereafter providing you with a monthly profit share payment, net of these monthly creditor payments. ...
Monthly payments will vary from month to month depending on the number of calendar days in each month, as we have your money working for you, seven days a week, 365 days a year.
Please let us know if you need any further details or clarification as to how Terra Nova Cache calculates your monthly profit share."
[40] The second page of the letter was headed "A Banking Institution of HM Government of Camside ". Attached to the letter, again on Terra Nova Cache letterhead, was an account statement for the period 2 August 2005 to 30 September 2005. Mr Ketelhohn received two postal notes each for the value of $98.63 which were said to be for interest earned on his deposit in August 2005 and September 2005. He did not receive any other interest payments. In 2006 he rang Mr Siminton three or four times asking about his account. On each occasion Mr Siminton said he couldn’t help Mr Ketelhohn.
[41] As already mentioned Mr Bernard Barry attended another meeting addressed by Mr Siminton at the Bundaberg CWA Hall on 30 July 2005. Mr Barry recalls Mr Siminton saying that the Terra Nova Cache was a bank set up by the Principality of Camside and that citizens of Camside could deposit their funds with the bank. The Terra Nova Cache was owned by its depositors. All profits would be distributed to the depositors. Mr Siminton advised the 15 or so people present that interest rates paid by the Terra Nova Cache would vary but that all those present could obtain a fixed rate of 40% regardless of how much they deposited. The offer was to be open for three weeks only. Mr Siminton said that deposits were for a minimum term of 30 days and that, after that, a deposit could be withdrawn. Withdrawals would be subject to a small administration fee. Mr Siminton continued that, in the near future, the Terra Nova Cache would be able to make loans to Camside citizens and he said that the interest rates on these loans would be between 0.5% and 1% to cover administration costs. After the meeting Mr Barry paid Mr Siminton $200 in cash to become a citizen of the Principality of Camside . On 8 August 2005 Mr Barry decided to make a deposit in the Terra Nova Cache. He obtained a money order worth $1,000 and then attended the house of a Ms Faye McGarry, the person who had invited him to attend the meeting. He gave her the money order in an envelope which he had addressed to the Terra Nova Cache post box. Ms McGarry told him that she would forward the envelope to Mr Siminton. This occurred and Mr Barry received a letter on Terra Nova Cache letterhead dated 28 September 2005 acknowledging receipt of the $1,000 on 15 August 2005. The first page of the letter was in substantially the same terms of that received by Mr Ketelhohn (above at [39]) down to the paragraph which concluded with the words "illegal Australian authorities." Mr Barry subsequently received two profit share statements on Terra Nova Cache letterhead. The first covered the period between 15 and 31 August 2005 and the second the month of September 2005. The first was accompanied by a money order for $18.63 and the second by a money order for $32.88. The second statement was accompanied by a letter on Terra Nova Cache letterhead dated 24 November 2005 and signed by Mr Siminton. That letter was, apart from particulars peculiar to Mr Barry, in the same terms as the letter received by Mr Ketelhohn which is extracted above at [39]. Thereafter Mr Barry received no further interest payments. His deposit has not been recovered.
[42] Mr Ketelhohn’s experience and that of Mr Barry were similar to that of a score of other depositors who invested their funds with the Terra Nova Cache and who have filed evidence in this proceeding. In sum their deposits exceeded $1 million. All depositors have not been traced by APRA.
[43] Some of the depositors reported making unsuccessful attempts to withdraw some or all of the funds which they had deposited in the Terra Nova Cache. Most were unsuccessful. An exception was Ms Janet English. Like Mr Ketelhohn she had attended a meeting at the Bundaberg CWA Hall which had been addressed by Mr Siminton. She was induced to purchase citizenship of the Principality of Camside and then to make a series of small deposits totalling $1,900 between September 2004 and February 2005. She received interest payments until February 2005 when they stopped. In September or October 2005 she was planning a trip to England. She telephoned Mr Siminton and asked to withdraw $600 to assist with her travel expenses. Mr Siminton told her he would look into it but he did not return her call. A money order for $600 arrived by post after she had left Australia in early December 2005.
