-- Posted Thursday, 2 December 2010 | Digg This Article
| | Source: GoldSeek.com
Dear Friend of GATA and Gold:
Germany's Bundesbank today joined the U.S. Federal Reserve in demanding secrecy for gold swap transactions involving those central banks.
The Bundesbank brushed off 13 specific questions posed by the German journalist Lars Schall, whom GATA had encouraged to pose the questions. The first of the questions was: "Does the Bundesbank have gold swap arrangements with the United States / Federal Reserve?"
In reply to that question and the 12 others, the Bundesbank press office told Schall:
"In managing foreign reserves, the Bundesbank fulfils one of its mandated tasks as an integral part of the European System of Central Banks (ESCB). We trust you will understand that we are not able to divulge any further information regarding this activity. Particularly with respect to the confidential nature of information about where gold holdings are kept, we are unable to go into any greater detail concerning exact locations and the quantities stored at each of these. Likewise, owing to the strategic nature of the activity, we are not at liberty to provide you with more detailed information about gold transactions."
Schall sought an explanation from the Bundesbank about its activity in the gold market and the security of German gold reserves held outside Germany itself, particularly German gold held in the United States.
The Bundesbank's refusal to answer Schall's questions can only heighten suspicion that use of German gold is central to the gold price suppression policy undertaken largely surreptitiously by the Federal Reserve, U.S. Treasury Department, and Bank of England.
In a letter sent in September 2009 to GATA's lawyer, in response to GATA's request under the U.S. Freedom of Information Act for access to the Fed's gold records, Fed Governor Kevin M. Warsh confirmed that the Fed has gold swap arrangements with foreign banks and insists on keeping them secret:
http://www.gata.org/node/8192
GATA urges its supporters to bring Schall's correspondence with the Bundesbank to the attention of financial journalists everywhere and particularly in Germany. This correspondence is another acknowledgement of secret central bank intervention in the gold market and of surreptitous central bank market manipulation generally. Central banks cannot answer questions about their custodianship of national gold reserves without exploding the gold price suppression scheme, and most financial journalists -- particularly those at the Financial Times, The Wall Street Journal, The New York Times, the London Times, the Associated Press, Bloomberg News, Reuters, and the London Telegraph -- don't dare ask such questions lest they commit actual journalism and spoil their cozy relationships with official sources.
Schall's report on his exchange with the Bundesbank about the German gold reserves is headlined "Some Justified Questions for the German Bundesbank" and can be found at the ChaosTheorien Internet site here:
http://www.chaostheorien.de/artikel/-/asset_publisher/haR1/content/some-...
Or try this abbreviated link:
http://tinyurl.com/284sn2g
CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.
-- Posted Thursday, 2 December 2010 | Digg This Article | Source: GoldSeek.com
