BIG SCREEN THREAT
If you ever questioned income taxes, the Federal Reserve or the IRS, Aaron Russo answers your fears. They're true.
BY JARRET KEENE

The strip mall located on the northwest corner of Tropicana Avenue and Pecos Road offers a cool little slice of underground Las Vegas. It's where libertarian Jim Brocius runs Cosmic Comics, the best classic comic-book shop in the valley. It also accommodates Tim Arnold's Pinball Hall of Fame, the biggest collection of vintage machines in the country. And it's the home of Tropicana Cinemas, a dollar theater that screens second-run features as well as independent productions from around the country. 

Yet despite all of this cultural goodness cramped into one spot, the parking lot never seems to have more than a few dozen cars at a time.

Unless Aaron Russo is in town. 

On April 9, the former Nevada gubernatorial candidate gave a "pre-screening" of his new documentary, America: From Freedom to Fascism, to a standing-room-only audience inside one of the theaters at Tropicana Cinemas. The event was free to the public, and sponsored by We the People, an organization devoted to the inalienable rights of all Americans. The parking lot was so full that attendees had to park across the street.

The screening was easily the year's largest libertarian event in Vegas.

Created with the help of Final Cut Pro software, America: From Freedom to Fascism had already been pre-screened in 20 different cities across the U.S. - from Londonderry to San Francisco - before coming to Vegas. It was clear from the huge attendance of more than 300 people that word about the film and its explosive message had spread through the libertarian as well as the larger political community via the Internet. No wonder, then, the film played to packed houses in places like Austin, Texas, and Beverly Hills, Calif.

"I'm disgusted," announced Russo, by way of an introduction to his documentary. "I'm sick of it. It used to be that we were sovereign individuals and the government worked for us. Now the government is on top and we're on the bottom." 

Russo resembles a brusque Brooklyn deli owner in appearance and attitude. Is this a calculated move on his part, to present himself as an average schlub a la director Michael Moore? The answer is definitely no, since Russo's movie is every bit as rough and tumble as he is. While Moore presents himself as a schlub to help temper the slickness of his product, such is not the case with Russo. What you see is what you get. He's serrated, and so is his movie.

Today Russo reveals his plans to take AFFtF to Cannes in May. After that, he says he will release the film nationally in July.

"I'm doing everything in my power to get this movie in front of the American people," he says. "There should be no limits to what we can do when it comes to bringing freedom back to America. By being apart - by dividing ourselves into Democrats and Republicans - they win. It's the old divide-and-conquer strategy, and so far it's working. We can change that. This movie is a start."

Russo then thanks people for coming, and singles out We the People's Jan Lindsey and Las Vegas Review-Journal columnist Vin Suprynowicz, calling the latter "a true American and a brilliant man."

"God bless you all!" says Russo triumphantly, raising his hand in the air. With that, the lights go out, and the film begins.


Judging from his official biography, Russo has led an interesting life. He claims to have designed the first ladies bikini underwear in the early '60s, back when his family ran an undergarment business in New York City. He opened a nightclub, Kinetic Playground, in Chicago, where he "helped create the careers of many legendary performers, such as Led Zeppelin," a band he brought to America for the first time. Russo went on to promote concerts by a slew of incredible rock groups: The Who, Janis Joplin, the Grateful Dead, and Jefferson Airplane. 

He managed the careers of Manhattan Transfer, Susan Sarandon and Bette Midler. The latter led him into Broadway and feature film production. The Rose, starring Midler, was the initial success that carried over into other profitable films over the years like "Trading Places" and "Teachers." 

Despite a shelf crammed with Emmys, Golden Globes, Oscars and Tonys, Russo wasn't satisfied. He turned to documentary filmmaking in 1996 with Aaron Russo's Mad as Hell, a straight-to-video title that he wrote and directed himself. Greeted with acclaim within the libertarian community, he then ran for governor of Nevada in '98. He failed to win, but still garnered 30 percent of the vote. After that, he set his sights on winning the libertarian presidential nomination in 2004. Again, he fell short. So he returned to filmmaking, and for the last two years, he has worked exclusively on AFFtF.

The result is a blistering harangue directed at the IRS, a government entity that forces Americans to pay a tax on their labor - even though there is no such law in place.

How can this be? Russo probes the Federal Reserve Act of 1913, which allowed a cartel of private banks to assume control of the printing and valuation of American currency. Indeed, in Russo's film (and view), there's nothing at all "federal" about the Federal Reserve. It's a giant conglomeration of private banks, not a public entity, AFFtF claims. Of course, we don't know who these banks are, but we can see from the abundant evidence that these banks own our government. No longer tied to the gold standard, fed money essentially comes out of thin air. Indeed, fed money has destroyed the purchasing power of the dollar over time, leaving us with near-worthless pieces of paper.

Even worse, the Federal Reserve Act coincided with the federal income tax, or the 16th Amendment - the bane of many libertarians' existence.

For an Amendment to be passed, it needs to be ratified by 75 percent of the states. In the case of the 16th Amendment, that never happened. Instead, then-Secretary of State Philander Knox announced ratification when it just wasn't the case.

Furthermore, the term "income" refers to gains and profits, and not to mere wages, which in fact is what we are all taxed on. This is absurd, since when we work, we are simply exchanging services and not collecting "gains and profits." When we labor, we swap our time and skills for money. Our labor, after all, is our private property and therefore is not subject to federal taxation. The Supreme Court has even made this ruling.

All this may sound like conspiracy-laden, overly technical bullshit, until you witness Russo's extensive efforts to locate someone within the IRS who can point out the specific law that states we must pay income tax. The obfuscation, evasion and mendacity proffered by the federal government is staggering, making Moore's Roger seem like a straightforward guy. You'll just have to see this movie yourself to believe it.

Adding fuel to the fire is the fact that all federal income tax payments are absorbed into the interest on our national debt. Think your income tax payment is going toward schools and roads? Thing again: Education is paid for by state and local taxes, and highways are covered by the gas tax.

Las Vegas anti-tax crusader Irwin Schiff also makes an appearance in Russo's film - before being carted off to jail. Other harrowing moments in the film include the story of pugilistic legend Joe Louis, who suffered constant abuse from the IRS, despite having voluntarily handed over his huge boxing purses to the war effort, he was taxed on these contributions. In his later years, Louis was so put upon by the IRS that he was reduced to working as a greeter at a Vegas hotel (Caesars Palace) in order to make ends meet - and to pay off his "debts" to the government of a country he had represented in his symbolic victory over Max Schmeling, Hitler's great white hope. (Tragically, Schmeling ended up paying for Louis' funeral.) All this, and still the IRS treated the hero of the 20th century like a criminal.

Another scary chapter is the Real ID Act, which President Bush signed into law in 2005. Two years from now, in order for you to open a bank account, travel on a plane and participate in any government service, you will need to have a federally approved ID card. What institution approves the card? The Department of Homeland Security, of course.

"Show us your papers," is what the Nazis demanded. And with this new law set to take effect in May 2008, the Third Reich will return - bigger, badder, meaner and more technologically enhanced. And with the possibility of getting microchips implanted in our skin to "make everyday business easier," it's just a small leap from our reality into Orwell's fiction.

In essence, Russo's film is a must-see. If you already thought things in this country were going to hell in a hand basket, wait until you discover that the basket is engulfed in flames. AFFtF pulls no punches.

Throughout the film, the audience responded vocally with a mix of disbelief and anger at government malfeasance and praise for Russo. AFFtF ended with a couple of imperatives and a plea for unity: "Stop being good Democrats. Stop being good Republicans. Start being good Americans." After the screening, Russo answered questions.

Asked why he switched from politics to filmmaking, Russo replied, "Movies are a great tool for making change, I discovered. I know people get frustrated by the way things are going. But I also believe that one thing leads to another, and that change is possible. 

"We've had screenings in 20 cities," he continued, "and the response has been overwhelming. But I need to ask you all to do two things. First, I need you to get on the Internet and talk about this movie. Put a link to the movie's website and recommend the trailer. And second, I need you to call up radio talk shows and TV shows, and help build awareness about this movie. I know you believe in it, otherwise you would have left by this point."

Russo's plea for help was punctuated by withering rhetoric aimed at politicians. He boasted that while the bankers have the money, the American people have the numbers. He showed no love for any politicians of either party, declaring them to be "no goddamned good" and "frauds." He implored the audience, still intact even after the house lights came up, to "work together."

Someone made the mistake of exiting the theater during Russo's message.

"I hope you get chipped!" Russo hollered. "It's hard to fathom that so many people believe in freedom and yet don't want to do anything about it to make sure it's still around."

Four guys with plastic buckets suddenly appeared, accepting donations for We the People, who had rented the theater. Russo asked audience members to fill out forms so we could get e-mail updates about the movie.

Asked if he had immediate plans to sell the film as a DVD, Russo said, "If I sell it as a DVD now, I won't be able to get the film into theaters." He admitted he had no intention of screening AFFtF at CineVegas.

A few days after the screening, Liberty Watch asked Russo how he thought the event had gone. "It wasn't as wild as the others in terms of the ovations and participation by the audience," he said. "On the other hand, many people turned in donations and forms to help with the distribution of the film. From that point of view, it was very successful."

Did he feel that he came on too strong, allowing his disgust with government to get the better of him? 

"If you believe in the principles of the founding fathers, you have to be outraged and disgusted by what is going on today in America. My motivation was to use my abilities as a filmmaker combined with my political knowledge to create a tool to help organize millions of people to make the necessary change. I did not see anybody else doing that."

Russo's next stop was Reno, where he plans to do his part to prevent the spread of a police state. Is he at all worried about being audited?

"I don't worry about those things," he said. "If I'm always looking behind my back, then I can't move forward."

To learn more about America: From Freedom to Fascism or to view the trailer, go to www.freedomtofascism.com. LW