The Smoking Gun

[webmaster]

Subject:The Smoking Gun
By: Theodore Butler

Overview: The recent widespread shortage of silver for retail purchase coupled with a price collapse appears to have shaken these analysts’ confidence that the COMEX silver market is operating ‘fair and square.’ Well it should, since there is no rational explanation for a significant price decline going hand in hand with product shortages other than collusive manipulation.

Link: http://news.silverseek.com/TedButler/1219417468.php

[silver wink]

The Fed cannot feed enough to the banks at the discount window so they are free to rip it off PM investors by market rigging on a grand scale.

Isn't it amazing that the 2 or 3 US banks increased their short positions by a huge amount and in gold the 22-23 non-US banks decreased theirs'. What clever dealers the US banks have, yeah right !

"The Gold Coin Shortage hitting would-be buyers worldwide also continues to worsen, with precious metal refineries now "booked solid" through to the end of Sept. according to one professional dealer in London."

The mainstream must pick this story up (Reuters, Wall Street Journal) and as the situation gets worse, which it will, we will see who has been swimming naked !!

Keep buying, get family and friends to buy, go to your coin-shop on 9/2 at 2.00pm, talk to people there.

[duneyman]

Very few ( if any, for that matter ) have effectively challenged Ted's claims of manipulation in the silver market but when will a major physical shortage develop which will overwhem the shorts and lead to the explosion ? I hope sooner rather than later !

[michael goulish]

Is there precedent for starting a class action lawsuit against a regulatory agency for not doing its job?

If Mr. Butler has "smoking gun" evidence, let's do it.

Mr. Butler -- you have had a leadership role for many years in the silver investment community. Organizing such an effort would seem to be a logical next step.

What do you think?

[skijake]

Originally Posted by duneyman

Very few ( if any, for that matter ) have effectively challenged Ted's claims of manipulation in the silver market but when will a major physical shortage develop which will overwhem the shorts and lead to the explosion ? I hope sooner rather than later !

I have never heard any decent explanation. Some say, there is plenty of silver, they are swimming in it. But the average guy is having problems getting significant amounts. Maybe they think if you can buy an ounce or two there is not a supply problem. No one ever answers why they are allowed to short SLV or have such oversized short positions on the COMEX. Reminds me of Germany from 29 -thru the war. There are tons of guns and rifles--see ,No SHORTAGE. Just illegal for a private citizen to own one. You might hurt yourself or worse !

[thowze]

One of the biggest questions I had when the recent beatdowns in PM's took place is who is selling their physical metal at this point? With the German Bundesbank saying it will not sell their gold because of the global economic environment, (http://www.guardian.co.uk/business/feedarticle/7744536), along with an article stating that physical gold sales by central banks are probably at their lowest since the Central Bank Gold Agreement was signed in 1999, (http://www.forbes.com/afxnewslimited...fx5341286.html), that counts the big players out. Even the ETF's have stated they have increased their PM holdings during this selloff.

The only feasible answer is paper manipulation of gold and silver. Therefore I'm going with Ted on this one.

[jadams49@columbus.rr.com]

I think that there probably is silver available to coin, but
the unavailability of coin products is another way of limiting sales. If it is not for sale how can you buy silver.

What we need is another producer, foreign probably, to fill the need and get the silver to buyers and at the ssame time it would take away that edge that they now have. Also these coins would have significant historical value which could add premium to the coins.

[JiveDadson]

There was a huge drop during Asian trading in one tick on the 19th. I suppose this could happen
if a really big trader got a margin call he couldn't meet, and his broker "helpfully" put the whole position up
at market. But just look at it!

[philbert]

Can anybody actually identify which are the three banks involved??
which are the Non US banks involved??
A class action suit cannot commence until we knew who they were? The CFTC is not going to voluntarily divulge the participants as this would undermine their position.

[mathisen]

This is strong evidence of market manipulation but you have to ask the question why do these banks do it. We investors lose but who benefits?
There is only one beneficiary and that is the State. High gold and silver prices mean a low Dollar value. If the markets were unfettered, the US Dollar would start following the Zimbabwean Dollar to hyper inflation. This is the ultimate measure of the failure of Government, so cannot be allowed.
These banks can only be the agents of Government. Evidence of this connection is the missing link. It must be out there.
Ted Butler go to it!
Many thanks for your work so far.
John