Fed Floods Market with Fake Gold, the Latest Hurdle for Gold Investors

By Dominique de Kevelioc de Bailleul

Tungsten-filled 10-ounce gold bars suddenly have appeared at some of the finest dealers of Manhattan.

No doubt, beginner investors who seek to purchase real money, a real asset, the ultimate safety, have had to overcome decades of carefully orchestrated financial propaganda from the Fed, Washington and academia.  ‘They’ say, the dollar is good, and gold is just a rock, a silly anachronism and an asset useful only to persecuted WWII-vintage Jews.

Then, having cleared the propaganda hurdle, the new class of awakened investors have had to somehow research the gold market long enough to maybe run into articles which discuss the accusations of fraud riddled throughout the paper gold aspect of the market and the manipulation scheme perpetrated by JP Morgan.

What appeared to be an easy way out of the dollar, through a click of a mouse and a few bucks commission on the Scottrade website, may turn out to be more dangerous than holding a debauching currency.

Enter, stage right, comes Jeff Christian, who assures investors that the paper market is on the up-and-up.  The debate between GATA and Jeff Christian kept some investors out of the line to take delivery of real metal, forestalling a bit longer the inevitable and coming stampede into the gold market.

Was GATA an organization spewing ‘conspiracy theories about a gold cartel?

Christian, a suspected shill for the gold cartel, argued that GATA was seeing things, imagining dark-hat bankers ripping off the public with un-backed gold ETFs and bogus short sales of the metal in the futures market.

The case of Andrew Maguire and the CFTC investigation into JP Morgan proves beyond a reasonable doubt that Christian is either a liar, an incompetent or a shill for the Fed.

Christian leaves the stage and CFTC’s Bart Chilton enters.  Chilton, the corn-fed, boy-next-door kind of guy, who grows up to become a heroic fighter of corruption in the financial markets, is the perfect character for the next act to Christian’s ‘Gaslight’ performance.

And the tangible results of the so-called Eliot Ness of Wall Street?  Nothing.  Nearly three years after the CFTC hearings and investigation into JP Morgan, Chilton comes up with zip, furthering the con of the U.S. dollar.  Chilton is now quiet.  He’s done his job for the Fed.  He may leave now.

Now, the poor, confused investor hears that the Fed’s QE-to-infinity policy will further debase the U.S. dollar.  Even some of the ‘big boys’ have come out with recommendations to buy gold.  PIMCO’s Bill Gross and Bridgewater Associate’s Ray Dalio have gone public recently to counter Warren Buffett, Charlie Munger and Bill Gates, the con-job trio billionaire shills for the Fed.

Is it time to buy some physical?  Even the big boys think it’s a good idea.

But wait, the circulation of phony gold bars hits the news, and the companies selling the bars are, of course, the most reputable walk-in retailers of New York.

And the timing of news of the tungsten-filled gold bars couldn’t come at a most fortuitous time for the Fed.  The most recent announcement of QE3-to-infinity policy from Bernanke & Company is a downright admission that the U.S. economy is not responding to previous QEs, unprecedented levels of ‘currency swaps’ and a reflation of the over-the-counter derivatives market.

The Fed needs more help pushing the mob away from gold, because there isn’t enough gold to back all the paper promises saturated throughout the banking system.

“We’re getting closer and closer to the big disclosure that the banksters have stolen the gold, and now they’re flooding the market with fake gold,” TruNews radio host Rick Wiles tells his listening audience of Sept. 24.

Is Wiles spreading another ‘conspiracy theory’?  Let’s ask Christian what he thinks.  Let’s see if Chilton will recommend to the U.S. State Department that it shut down the Chinese company that’s been alleged to have made the phony bars.  Let’s see if Warren Buffett has anything to say.

Silver Manipulation: CFTC v. Dollar Hegemony

By Dominique de Kevelioc de Bailleul

If the silver community expects satisfaction out of CFTC Commissioner Bart Chilton and his ‘colleagues’ at the commodities future trading ‘watchdog’, don’t expect any!  Get it out of your mind.

As a reminder, the Silver Doctors published an email of Bart Chilton’s response to their inquiries into the matter of the silver manipulation investigation—as in, why is it taking so damn long to resolve?!  In short, Chilton stated he expects the results of the investigation will be released by Oct. 1, 2012.

Why nothing will happen?

A fraudulent financial system is predicated upon a continuation of the fraud—a la Ponzi scheme.  Simple.  Ergo, no action will be taken by the CFTC against JP Morgan, and the manipulation will continue, though kind words or sympathy most assuredly will come from CFTC’s sympathetic good cop, Bart Chilton.

“I empathize with you on your loss; I really do, but thank you for being a lovely contestant on Fascism, the game.”

Ted Butler, Bill Murphy, Chris Powell and Adrian Douglas at GATA are good people, doing the right thing for noble reasons.  The silver community owes each one of these men sincere gratitude, but they are outnumbered by a pack of suit-wearing psychopaths, not by the CFTC, but from the financial system oligarchs and Washington politicos who have naturally teamed together to form a fascist state.

Nothing will come out of the CFTC’s investigation regarding the manipulation of the silver market.

Obvious demonstrations of what GATA is dealing with can easily be gleaned by the cast of social misfits and genetically defective masses of human flesh already well-know to us.  How about Bernie Madoff?  And MF Global’s Jon Corzine, JP Morgan’s Jamie Dimon, Goldman’s Lloyd Blankfein, U.S. Treasury Secretaries Timothy Geithner and Hank Paulson, politicians George W. Bush, Dick Cheney, Donald Rumsfeld, William & Hillary Clinton and Barrack H. Obama as well as many others yet to be discovered by the public as racketeering mobsters tied to Washington’s one-party cabal—and that’s just on the American side.

“Psychopaths have what it takes to defraud and bilk others: They are fast-talking, charming, self-assured, at ease in social situations, cool under pressure, unfazed by the possibility of being found out, and totally ruthless,” wrote Andrew M. Lobaczewski Ph. D., Polish psychiatrist and author of Political Ponerology: The science on the Nature of Evil Adjusted for Political Purposes.

According to Amazon’s introduction of the book, Political Ponerology, another capo of the Washington/Wall Street syndicate tried to suppress its publication.

Amazon: The first manuscript of this book went into the fire five minutes before the arrival of the secret police in Communist Poland. The second copy, reassembled painfully by scientists working under impossible conditions of repression, was sent via a courier to the Vatican. Its receipt was never acknowledged, no word was ever heard from the courier – the manuscript and all the valuable data was lost. The third copy was produced after one of the scientists working on the project escaped to America in the 1980s. Zbigniew Brzezinski suppressed it.

Political Ponerology was forged in the crucible of the very subject it studies. Scientists living under an oppressive regime decide to study it clinically, to study the founders and supporters of an evil regime to determine what common factor is at play in the rise and propagation of man’s inhumanity to man.

Shocking in its clinically spare descriptions of the true nature of evil, poignant in the more literary passages where the author reveals the suffering experienced by the researchers who were contaminated or destroyed by the disease they were studying, this is a book that should be required reading by every citizen of every country that claims a moral or humanistic foundation. For it is a certainty that morality and humanism cannot long withstand the predations of Evil. Knowledge of its nature, how it creates its networks and spreads, how insidious is its guileful approach, is the only antidote.

If psychopaths and war criminals in control of America & Companies, Inc. are willing to kill innocent American citizens, Iraqis, Afghans, Sudanese, now Syrians, and soon-to-be Iranians, in the face of every human law of decency—not to mention dozens of U.N. treaties and other sanctioned rules of international conduct—what causes someone to think that the very financial system, founded upon global U.S. dollar hegemony, will be threatened by a complaint from the CFTC?

The source of funding of the U.S. military and its role as protector against any threat to said system will be crushed.  Saddam Hussein and Muammar Gaddafi threatened the petrodollar system, and they got crushed.  What chance do Ted Butler and the good guys at GATA have against the most powerful fascist state the world has ever seen and the individuals in power who are willing to kill to protect the U.S. dollar?

Commissioner Bart Chilton, I’m sure, is already aware of the powerful cabal behind the manipulation of the price of silver and doesn’t stand a chance of making a difference either.  The issue is a matter of ‘national security’.

CFTC’s Bart Chilton, A Slick PR Man

By Dominique de Kevelioc de Bailleul

CFTC Commissioner Bart Chilton smiles.  He frowns and head-nods to mimic his audience’s predictable emotions of the criminal news story of the day.  He understands you and the anger you must feel.  He even sports anti-establishment long hair to blend in with his audience.  He’s a likable guy with a pleasant face, blond hair and blue eyes, a corn-fed country-boy look about him, who communicates more with facial expressions and clever tone control to serve as an excellent public relations man.

For example, Chilton spoke with Bloomberg’s Erik Schatzer and Trish Regan Tuesday about the Barclay’s Libor-rigging scandal.  Notice carefully how Chilton deflects questions, but launches non-verbal language to camouflage his unresponsive answers to the poignant question on the minds of the public regarding the criminal probe of the Barclay’s incident—why aren’t people prosecuted and going to jail for bank fraud?

Schatzer: Bart (not ‘Commissioner), I presume, the CFTC wanted Bob Diamond and Jerry del Missier out at Barclay’s.  You could have made it a condition of your settlement.  Is this the right outcome?

How about asking the question: why aren’t bankers being prosecuted and going to jail if they commit fraud?  Why are deals being made in the first place?

Chilton: You’re correct; we could have made these things part of our settlement.  We could have tried to work on that.  It’s not part of our settlement.  We don’t talk about personalities, and to some extent I don’t want to get into personalities now, but I will say, ‘Look these guys broke the law’ <said with gusto>  ‘They broke the law’, and as you were just talking about it impacted interest rates all over the planet <again, said with gusto>.  So, it’s a big damn deal <increasing his angry tone>, and I think if you ask most people out there watching and people out in the countryside I talk to, whether they think this is a just outcome, they’d say, ‘sure‘.  They wonder why people aren’t in jail.  When people do the crime, they should do the time, not just pay the fine.  But that’s not in our settlement for the banks to determine, but I think there’s a lot of people out there who aren’t displeased.

Chilton said nothing the public doesn’t already know, but he did mimic how people feel about the incident with Barclay’s by showing a little anger while he stated the obvious points of the case.  In the sales profession, a technique called the ‘feel, felt, found’ is used to gain the prospect’s trust, with the well-know technique beginning with mimicking your prospect’s concerns by disarming the prospect by validating his feelings and objections.  Chilton demonstrated a knack for the ‘feel, felt, found’ method of culling the viewer to his side by cushioning the bad news with showing empathy for the public’s outrage that no banker is going to be criminally prosecuted for manipulating interest rate financial vehicles.  But the bottom line from Chilton is: people (in the countryside) should accept the settlement, the cop out, and if you do feel the Justice Department should prosecute, well, you’re in the minority.

After searching on the web for a public poll about what to do with bankers who commit fraud, not one formal poll conducted by a major newspaper could be found in Google’s search engine’s top results pages.

But, The Guardian conducted a poll in August 2011 regarding the victims of banker fraud who protested in the UK last summer.

The Guardian/ICM poll asked: “Do you think that people convicted of theft or other offences during the recent riots in London and elsewhere should or should not receive a tougher prison sentence than they might ordinarily expect, in order to set an example of them?”

“Of the respondents, 70% said they believed offenders should receive a tougher sentence, while 25% believed they should not.  Five per cent said they did not know,” The Guardian stated.

And Chilton wants the public to believe that the “people in the countryside” think a mere monetary fine is “just”?  Shouldn’t the Justice Department criminally prosecute to “set an example of them,” as The Guardian posed its poll question regarding the victims—the people of the countryside?  And reread Schatzer’s question again.  Does that sound like a question that would be asked by legendary investigative reporter, Jack Anderson?  The media, regulators, bankers and politicians are all in this mess together.  No one will break ranks until the public is pushed into serious action that threatens this flagrant cartel of fascists.

Chilton: They’ve violated the law.  Our Department of Justice are the ones who decide whether or not they’re going to prosecute and put somebody in jail.  They reached a settlement as you know for $160 million with Barclay’s, so they agreed not to prosecute anybody on this incentive to crime, send them to jail.  I’m not going to second-guess the Department of Justice, but what I’m saying is that there are a lot of people out there in the countryside who are watching this, they’re wondering about, in general, about this culture that’s been going on in the banks for years, since 2008, and I think there really does needs to be a culture shift, and so far I really think we’ve got a culture shaft a lot of times, and as we’ve seen sometimes it goes all the way to the top.

A culture shift?  It’s unlikely that “people in the countryside” believed that a culture of committing fraud was accepted as a right endemic to bankers.

Well, I think this [settlement] sends a good signal to people in the countryside that regulators on both sides of the Atlantic are on the job, that we are looking after it.  Now, it doesn’t mean the end, but again, I cannot say whether we have an investigation when there is a continuing probe, but it is a natural question and I can assure that its a question that we ask ourselves.  I just can’t comment unfortunately where it is. . .

No.  The signal to bankers is—no banker goes to jail, and the fine imposed will not seriously harm the institution which employed them.  But, “the people in the countryside” may think it’s a big deal to fine a bank the size of Barclay’s $160 million, unless, of course, the countryside bumpkins cares to look at Barclay’s balance sheet of $2.3 trillion in assets—or 0.0000695 of Barclay’s total assets.

Though the magnificent work of Gold Anti-Trust Action Committee board member Adrian Douglas can never be repaid to fit the job he does for all gold and silver bugs, the idea of calling Chilton “the modern-day equivalent of Eliot Ness” may be a mistake, but a most forgivable one in the case of Douglas and GATA.  GATA is dealing with the most clever, high-tech slimes the world has ever know, working on low budgets and high ambitions to fight the Fed, JP Morgan and banker fraud.  No one can ever challenge GATA’s good intentions successfully, though former Goldman Sachs ‘associate’ Jeff Christian had tried with no success other than to diminish his own reputation.

If Chilton is truly a ‘good guy’, how can he stay at the CFTC knowing that his work amounts to essentially nothing?  Could anyone imagine GATA’s Bill Murphy, Chris Powell or Adrian Douglas lasting 24 hours at the CFTC if catching guys who allegedly commit monstrous, outrageous and unspeakable fraud means essentially nothing?

Gold and silver bugs may want to rethink Bart Chilton’s real role at the CFTC.  He looks good, sounds good, but so do slick PR men.