Life Without Debt Leaves Jimmy Phipps Owing Society

Phipps is charged with laundering his full take of $25 million from the various MLM programs he ran between 1998 and 2006. But in United States v. Santos, Efrain Santos, convicted of money laundering proceeds from an illicit gambling ring, argued that the term "proceeds" in money-laundering schemes refers explicitly to "profits" (gross receipts less expenses) not total revenue.

In the meantime, Life Without Debt members continue to plead Phipps' case, writing letters to the court on his behalf. "The members don't know of one thing he has ever done to hurt or mislead anyone," writes Brantley. "As a trusted friend, we will stand by him through thick and thin."

Writes Kathleen Baglio from Toronto: "It is our great loss that James has been incarcerated for a year to date...He has chosen to take the difficult road, when he could have been released from custody sooner by capitulating to an acceptance of guilty plea, but his integrity would not permit him to do that."

The American government, Phipps says, functions not unlike the Gestapo in Nazi Germany. It's as close to Hitler as anything can get. His membership seems to agree.

"If I had wanted to I could have gathered probably 30, 40, 50 thousand people to come up here and protest like some of these Muslims do," Phipps says. "But I said, 'No, guys. I'm the guy that put this thing together. I'm the one who has to suffer.' ...I'm at peace inside. God is directing me to do this and I have to do it for the American people."