The Tylers at ZH have discovered a 1968 memo from the BOE archives sent by the Bank of England to the Federal Reserve revealing that the Fed sent at least 172 bad delivery gold bars to London in the late 1960′s for safekeeping for the German Bundesbank as repayment for swaps.
The memo reveals that London assayers discovered that the Fed through Johnson Matthey sent the Deutsche Bundesbank 172 ”bad delivery” gold bars, and the ”out-turn of the re-melting showed a loss in fine ounces terms four times greater than the gross weight loss”.
The memo also indicates that the Bank of England was willing to keep the discovery private due to the fact that the gold was to be held for the Bundesbank. A declassified report discovered several weeks ago indicates that the Bundesbank subsequently repatriated 2/3rds of this gold in question from 2000-01.
Click here for more on the Fed sending the Bundesbank ”bad delivery gold”:
“I won’t have a bar of it.”
@Stacy, nice.
haha, now were all nuts. lol
haha. not you Max. your weird.
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Exclusive: Gold Fort Knox’s gone! http://www.fgmr.com/we-have-a-right-to-know.html
December 13, 1999 – In the 1970′s a very courageous gentleman named Edward Durrell claimed that substantially all of the US Gold Reserve being stored at Ft. Knox was gone. Only 1,000 tonnes or so of the 8,500 tonnes supposedly being stored there remained. The rest had been secretly taken from Ft. Knox and shipped to London in 1967 and early 1968 for sale by President Johnson in an ill-fated attempt to keep the price of Gold at $35 per ounce.
Mr. Durrell provided a lot of anecdotal evidence to support his claim. These included eyewitness accounts of hundreds of Army trucks leaving Ft. Knox in the middle of the night over a period of many weeks, supposedly loaded with the Gold bounty. Other interesting but circumstantial evidence was the sudden and unexpected dismissal of Gordon Tether, business editor for London’s Financial Times, who published Mr. Durrell’s claims. To my knowledge, no mainstream US newspaper dared to publish Mr. Durrell’s allegations.
Jim Willie (Part 2/2): the rush for physical gold is on http://www.youtube.com/watch?v=lrFCxMSt4ps
Jim Willie (Part 1/2): US recovery is a fairy tale http://www.youtube.com/watch?v=3rFLJ-bMfCs
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@Stacy. you still angry with me? have not heard a thing.
So, “Fed Sent Bundesbank 172 Bad Delivery Gold Bars in 1968″
and “The rest had been secretly taken from Ft. Knox and shipped to London in 1967 and early 1968″.
wOw!!!! Back it Up! Back it Up!… Beep!, Beep!, Beep! … 1968???! http://www.youtube.com/watch?v=B_H7WZGsIjM
LONDON again!!!!
Strange hollow sounds in Fort Knox.
When unusual (atmospheric) conditions prevail for an extended period of time, gold simply evaporates.
Youri,
they finally put part 2 of Jim Willie up. Thanks
Well obviously they were running short of gold right before Nixon closed the cold window in 1971 and ended Bretton Woods. ;D
Well obviously they were running short of gold right before Nixon closed the gold window in 1971 ending Bretton Woods. ;D
It’s not that unusual to have some bad delivery bars in a physical shipment although 178 bars is a high number and represents around 1.8 tonnes of gold bullion. It doesn’t mean that they are fakes just that they are discoloured, dented or defaced beyond an acceptable standard. The remedy is to have the bars recast at the vendor’s expense including any loss of fine ounces that maybe involved in the process.
In 1967 – 8 the London gold pool came apart because they couldn’t dampen speculative pressure forcing the price of gold up. Holders of Dollars saw that too many Dollars were being produced due to war expenditure for the amount of gold backing the currency. The smart money used the convertibility and cashed out for the gold as they realised that the excess printing could only be squared by readjusting the gold price upward.
At the height of what was really a gold run on the London gold pool the bankers tried desperately not to be forced into default. One way of doing this could have very well been large physical top ups from another depository done in secret.
If the Fort Knox gold is gone then this is where it initially went in the late sixties. In transfers involving ten of thousands of GLD bars it’s not that unusual to have 178 bars sent for recast and remedy as this is done at the discretion of the receiving custodian.
The reason for this is the principle of buyer beware (Or in this case custodian beware). If he doesn’t spot some defect and remedy it with the costs passed onto the vendor then at the next transaction where this custodian becomes the vendor then the custodian become financially liable for remedy. A London based custodian would be very aware that the next custodian was likely to be an overzealous Swiss bullion inspector based at the Kloten vault, Switzerland.
The end of the London gold pool: It was the Swiss who inherited the role of gold transactor post LGP. The LMBA still set the two daily prices known as the fix but real transactions took place in Swiss banks using something called the Swiss procedure. This system was more secure and also more discrete because Swiss banks transferred funds using interbank ledger transfers. The records for these transfers is done by a private system of bank mail in hard copy only.
Billions of Dollars moving through the SWIFT system sets of all sorts of alarm bells to those who want to track the activities of big fish traders doing private transactions in Switzerland.
Fort Knox is empty. All the gold is ‘stored’ in England lol
http://youtu.be/wmQDSxKBeGU
If the Germans are wise, they will test EVERY SINGLE BAR!
The cracks in the “TRUST” dam are starting to open up.
Watch as other countries start to repatriate.
Apart from the sheikdoms!
They already have their Mayfair boltholes in place, and they will want to be close to their gold when the SHTF in their own countries and they have to do “a runner”.
…………………………………….Z