The jackboots may be going to work to destroy alternative financial entities again. Read it and weep?

"2 Brevard men face laundering charges"
http://www.floridatoday.com/apps/pbcs.dll/...S/70428010/1086

Two Brevard County men and two digital currency businesses they
operated in Melbourne have been indicted by a federal grand jury in
Washington, accused of running an unregulated financial network that
catered to criminals moving money.

Tuesday's four-count indictment, made public Friday, charged e-gold
Ltd., Gold & Silver Reserve Inc. and owners Dr. Douglas L. Jackson,
50, of Satellite Beach; his brother Reid A. Jackson, 44, of
Melbourne; and Barry K. Downey, 47, of Woodbine, Md., with four
crimes involving conspiring to launder monetary instruments or
operating unlicensed money-transmitting businesses from 1999 to
December 2005.

E-gold, incorporated on the Caribbean island of Nevis but based in
Melbourne, began offering Internet services in 1996. Gold & Silver
Reserve Inc. operated e-gold and its Web site and offered a currency
exchange called OmniPay. Services included checking, bill-paying and
money transfers.

The indictment charged that the company's digital currency functioned
as an alternative payment system and was purportedly backed by stored
physical gold, which investigators said was on deposit in Dubai and
Switzerland.

Customers needed only to provide an e-mail address to open an account
and that no other customer information was verified, according to
court papers. The indictment accused some customers of using
fictitious names such as "Mickey Mouse," "Donald Duck" and "No Name"
and could conduct international transactions without any government
oversight.

In September, Douglas Jackson, a former oncologist, testified before a
U.S. House subcommittee that his companies helped combat
child-pornography payments by sharing information with the National
Center for Missing and Exploited Children. He complained that Secret
Service officials had rebuffed his contacts since 2001.

Jackson also testified that e-gold had completed more than 67 million
transactions, processed up to 70,000 daily account transfers exceeding
$2 billion annually. E-gold, he said, had more than $68 million in
gold on deposit at the time at London Bullion Market Association
member repositories. Its Web site claims more than 4 million
accounts....