Ken Dost: Exiting Babylon June 12, 2017
"What we are dealing with IS a form of trust referred to as a 'rabbi trust', which is structured on 3 main characteristics:
1* Trust assets are subject to claims of employer's creditors in event of employers insolvency.
2* Employee and his beneficiaries have no preferred claim nor any ownership interest in plan assets. In other words, assets get stripped from the true Principal, the donor. The public line is that of a “mortgage loan”, not an investment contract.
In this 21st century these mortgages are actually an investment contract that uses the donor’s assets with all onus of risk on the Principal donor.
3* The plan trustee shall immediately cease payments under a deferred compensation plan to employer in an “insolvency.” Who is the employer ??? ....…YOU are the employer of a single named entity in the business of trade. The servicer is retained by YOU, not to service a loan, but to value ITS assets. When a default is called, a BAR attorney issues a “will be debt opinion”; which is served upon Federal Taxing Authorities and taken under receivership. Now, YOU are not the employer, but now an employee under a GSA contractor for the Federal Government."