So you think this is not fractional reserve banking because instead of having the fractional reserve of X% beforehand they get the fractional reserve of X% right afterwards?
Edit: I've just briefly skimmed it [1], but "The creation of credit money should happen after the creation of government money." would be true if the system was working at capacity. The fractional reserve requirements are not really a limiting factor, the banking system in aggregate is operating well below that limit if I remember correctly.
[1] The 2012 article, for a few seconds; I didn't look at the 30-year-old paper beyond noticing the date in the cover
He first published that article in 2009 right after the markets imploded with the GFC. He's also generally acknowledged as one of the few who predicted the crash which he predicated on the buildup of private debt.
His articles make for interesting reading even now given his general rejection of mainstream models being inadequate.
