Celente- Washington is Paid Off. Only Ron Paul Stands Alone

It is probably beating a dead horse at this point, but restoration of the Gold standard and fiscal sanity is a marketing campaign. Celente crushes the pretty little thing on the air with his straight-forward no nonsense style. The Federal Reserve are crypts and bloods of the financial system. Gangsters in suits. Fight back by buying Silver. Monex the low-cost retailer in the world. Paul Bea account rep 800-949-4653 x2172 use Kevin from Goldmoneybill.org as referral.
The U.S. Civilflag represents America in a state of peace and fiscally solvent under the common law.

Silver Top Ten Reasons Hommel

Ten Topics on Silver
(Each in exactly 101 Words!)
Silver Stock Report
by Jason Hommel, May 24th, 2010

Usury.

Lending at interest (usury) is the bane of our era, the highest crime of the ages, condemned by prophets, regulated by God, and ignored by modern man. God said no usury, unless you loan to other nations, but every seventh year is supposed to be a time of debt forgiveness, thus, it's a plan to teach the nations about God, yet abused instead to enslave people into perpetual bondage. Usurers want the whole earth, plus 6%! Lending is not so much a problem as is the interest! When gold is money, gold grows more valuable over time, so "increase" is built in!

The Big Picture for Silver.

No nation on earth uses silver or gold as a circulating medium of exchange, or common currency. This trend to not use silver started over 150 years ago, and has come to an end. If monetary demand for silver changes, it can only go up. Money is also a store of value, and people are recognizing that more and more. About 65 years ago, at the end of WWII, the world entered the age of electronics, and the demand for silver in electrical contacts soared tenfold. This has consumed more than half of all the silver ever mined since the beginning of time.

Supply and Demand for Silver.

The world annual mine output for silver is about 600 million oz., with about another 200 million oz. from recycling, and another 100 million oz. from selling from other sources. Industrial consumption is about 45%, jewelry consumes about 25%, photography is down to about 15%, leaving about 15% for investor demand. Investors buy about 100 to 150 million oz. of silver per year, which is barely $2 billion. Yet the BIS estimates that most all of the worlds' banks have $200 billion in "other precious metal" (or silver) notional value worth of derivatives on the books, indicating that all paper silver is all fraud. Paper money, unbacked by silver, is fraud, too.

Eternal Properties of Silver.

Silver is rare, dense, fungible, divisible, transportable, non perishable. These qualities unique to both silver and gold make them both an excellent store of value, unit of account, and medium of exchange. Silver is the best reflector, and the best electrical conductor in the world, and is a great germ killer, too. These qualities make silver valuable in tiny quantities to industry. Gold conducts less well than silver, does not kill germs, is too expensive to consume, and is not a viable alternative. Neither is paper. Gold coins smaller than 1/10 of an oz. are not practical, making silver essential as money.

Exchange Traded Silver Funds.

JP Morgan is the custodian of the silver for the silver ETF, SLV. JP Morgan is also the largest trader of derivatives on the earth, and the holder of the large excessive and concentrated short position in silver on the COMEX, and is being investigated by both the CFTC and the US Justice Department. The proof is not on me to prove they don't have the silver. Proof should be on them to prove that they are an honest custodian. SLV's silver is not able to be audited, and you can't take delivery. Silver is payment in full, not a promise.

Futures Contracts.

Many people are deceived by greed, thinking they can earn more money if they buy silver on leverage, putting only part of the money down as payment, to enable them to "control" more silver. But if they don't take delivery of silver, then they are not buying silver, and not controlling any silver, but only get a phantom promise of silver from entities who could not possibly have enough silver to make full delivery. It's like the fraud of fractional reserve banking, but business as usual today. I believe it is a moral failure to be deceived by these con games.

Silver Certificates.

Certificates and storage programs are a worse con. Pay full price to be conned with storage of silver that does not exist! Canadian banks and Morgan Stanley have both been caught selling non existent silver to clients in the past ten years, and their defense is that it is business as usual; that everybody does it. Sending brokerage statements showing silver amounts, when no silver exists, should be one count of mail fraud for every customer! It amazes me that many people do not have the courage and responsibility that is required to guard their silver. No work equals no results.

Collector Coins.

Many investors are lured into the precious metals market by dealers such as Goldline who is advertised on Glenn Beck. They mark up "collector" coins anywhere up to 30-100% over spot. There is no crime in charging a high price, but the scheme is borderline criminal. By selling older coins as "non-confiscable," they confiscate nearly half of an investor's money right off the top! By selling those same coins through a leverage program, they don't even have to deliver if the customer does not come up with all the money, and thus, may be selling collector coins that do not exist.

Silver Stocks.

I was guilty of talking up silver stocks, as a way to gain leverage to the rising price of silver. What the market gave, it took away. Even my extremely profitable newsletter that showed a look at my portfolio is now in the dustbin, a relic of internet history. But new internet investors have popped up, claiming great gains as they bought on the dip in 2008. Too late to chase such gains now. Stocks are subject to capital gains, nationalization risk, mismanagement risk, debt risk, funding risk, futures market hedging risk, mine collapse risk, strike risk, tax risk. Why risk it?

Bullion Items

When you buy physical silver, it comes in the form of actual shapes, which we call products. Popular forms of 99.9% pure silver are 100 oz. bars, 10 oz. bars, 1 oz. rounds, 1 troy oz. silver Eagles. There is also 90% silver coinage dated from 1964 and earlier. Occasionally, we get odd weight silver bars, 5 oz. silver bars, 1 oz. silver bars or other odd shaped silver pieces. And there are also the 1000 oz. COMEX bars, each one varies by weight up to 10%, with the exact weight stamped on the bar. Ten oz. bars are popular; they used to be the most expensive form, but now, the cheapest.

JH MINT & Coin Shop, Grass Valley, CA
(530) 273-8175
http://www.jhmint.com/


Monex- The lowest cost Gold and Silver retailer. Paul Bea account rep.
800-949-4653 x2172 Use Kevin from UScivilflags.org as referral to support this site.

Why People are Buying Silver and Gold

Many people today are cashing out their CD's to buy silver and gold. Why?

The obvious.

The CD's pay next to zero interest, and gold and silver continue to head up by 20-30% per year.

Most of our gold and silver buying customers have completely lost faith in the government's ability to "run" the economy, but more than that, there is a real fear of the government today, that it will turn dramatically totalitarian and that we will lose nearly all of our freedom.

The best time to own gold is when the government starts taking more of your money. Silver and gold ownership prevents government from confiscating your wealth through inflation, and more and more people see the inflationary threat of massive $2+ trillion deficits, which are being met by printing more money.

A typical first time customer comes into our coin shop at the JH MINT, and says, "Hey this place looks really nice!" We designed it to look a bit upscale, with plenty of room to hang out, with nice couches to be able to sit down to talk.

They typically say, I've been doing a bit of research online about silver and gold, but I really know nothing about silver and gold, so what can you tell me?

To answer in person, I must get to the point quickly, as other customers will soon come in next.

So I like to show them, and let them hold a gold coin, and let them compare the heft and weight compared with a silver coin. Gold is twice as dense as silver, and the difference is easily discerned when you hold them. A 1 oz. gold coin is just a tad thicker than a half ounce silver coin, which is a bit thinner, and much, much lighter. Since silver is 1/2 the weight, a similar sized silver coin, gold plated, would be about 1/4 of the weight of a gold coin!

Thus, the brass or copper core, gold plated, "authentic replicas" as old on TV make a beautiful comparison to show how difficult it is to counterfeit gold.

So when they hold gold, they know it's something real, and real special.

People continue to ask, "Which is better, silver, or gold?"

I tell people, we like silver best, because it's a much smaller market.

World annual silver mining is about $10 billion, but world annual gold mining is about $80 billion.

But most of the silver market is consumed by industry, as silver is used in all sorts of electrical contacts and devices. In fact, industry consumes more silver than world annual mine supply, and the gap is being met by recycling.

So the amount of silver left over for investors is shockingly small, perhaps only $2 billion.

The silver story is surprisingly simple. The entire world once used silver as money, but today, no nation on earth has silver circulating as currency. This reduced monetary demand has created a very low price.

But silver remains a better store of wealth than ever, due to the increased scarcity, and the growing awareness of silver ownership as a way to make money.

Money is more than a currency or medium of exchange, it's also a store of value. As demand for silver, as a store of value, increases, so will the price, and this demand will continue as a positive feedback loop that will eventually destroy paper money.

But the real shocking fact of the silver market is that 99% of silver investors are getting scammed by paper silver, that is basically all fraud.

The proof of this is the BIS report, from the Bank of International Settlements, here:
http://www.bis.org/statistics/otcder/dt21c22a.pdf

The proof is in the numbers. The BIS keeps track of the derivatives of the banks worldwide. It shows that the notional value of "other precious metals" over the counter derivatives, which are mostly all silver, increased from $100 billion to over $200 billion in six months.

When the entire annual physical silver investment market is only $2 billion, and when the paper silver investment market increased by $100 billion in six months, there is only one way that can happen. The paper must be all fraud.
Goldmoneybill.org- Spreading the word about Sound money.
=====

I asked several bullion dealing managers why people are buying precious metals:

Matt, at rocklincoinshop.com, says:

Now more than ever, it seems that people are becoming increasingly aware of the growing instability of the dollar. With the national debt climbing, and the future of our nation’s currency looking less bright every day, people are looking for ways to protect their wealth against inflation and the ever-crumbling banking system. After doing some research, most of them come to realize that purchasing precious metals like silver and gold is the most reliable method for storing their wealth in a way that will ensure that their hard-earned capital will retain its spending power and viability despite an economy with a future that is shoddy, at best.
Cont'@ Source


Monex is the low-cost gold and Silver retailer. Paul Bea @ monex 800-949-4653 x2172
To support Goldmoney use Kevin from Goldmoneybill.org as referral.

Germany's Indentured Servitude 66% of all Taxes goes to Banks

And history repeats itself.

Germany’s parliament today passed a bill that will mean that about 66 per cent of the country’s income tax revenue each year will go to banks in the form of interest payments on souvereign dent bonds held by Greece, Portugal and other eurozone nations.

Chancellor Angela Merkel’s centre-right coalition government voted to give 123 billion as Germany’s portion of a 750-billion euro loan guarantee package prepared by the European Union and the International Monetary Fund to enable governments to keep up interest payments to banks on souvereign debt.

The bill was passed by the Bundestag with with 319 "yes" votes, 73 "no" votes and 195 abstentions.

The abstentions came from the center-left opposition Greens and Social Democrats (SPD) and a handful of CDU/CSU and FDP backbenchers.

The 123 billion euro bank package comes on top of the 22.4 billon that Germany’s parliament voted to give Greece two weeks ago.

German taxpayers will, therefore, have to give 145 billion euros or 77% of the country’s annual income tax revenue to the banks in the highly likely event of Greece, Portugal and other countries not being able to meet their souvereign debt interest payments.

A German accountancy website allowing people to calculate what portion of their income tax will go to fund the banks reveals that a man earning 30,000 euros a year, and paying income tax of 5,625 euros, will be giving 3,709 euros to banks as part of the 123 billion eurozone “rescue” package.

He will be giving another 675 euros as part of the 22 billion euro Greek “rescue” package.

Germany spends another 40 billion a year paying interest on its national debts, which were created by the bank bailout and stimulus in the first place.

This means that another 1,200 euros of the 5,625 euros collected in income tax from a man earning 30,000 euros a years goes on interest payments on the national debt.
In this case, a total of 5584 euros or 99% in income tax is being paid directly to banks such as Deutsche Bank and Goldman Sachs by the German government in the form of interest payments on national and international eurozone debts.

As a result of this bill, only 41 euros of the total annual income tax of 5,625 could soon be available for the government to spend on education, pensions, hospitals and welfare and such like.

41 euros is 0.72% of the total income tax paid by a man earning 30,000 euros each year.

The Merkel government has just announced a raft of deep cuts and tax hikes, which will increase the proportion of the country’s income flowing to the banks and accelerate an economic collapse that could be much more severe than the Great Depression of the 1930s.

The transfer of almost the country’s entire tax revenues to the banks shows that the politicians in Germany are working hand in glove with banks to loot the people on an unprecedented scale under the smokescreen created by the mainstream media.

Though sold by the controlled media as “aid for Greece”, none of the money will go to the people of Greece...
Source

Goldmoneybill.org- seeking the return of Sound Money.

Silver the commoner's weapon to slay the banks. Monex is the low-cost Silver and Gold retailer. Paul Bea @ monex 800-949-4653 x2172 Use Kevin from Goldmoneybill.org as referral to help support the return to sound money.

The Intent of the Gold Money Bill

For use in introducing the concept of Gold/Silver Sound Money to others

including your elected officials.

~ The Gold/Silver Sound Money Bill would provide CONSTITUTIONAL Money – Money of True Value rather than money based on “debt” – for your State Treasury to AUGMENT (NOT replace) the Federal Reserve Notes (FRNs) currently being used. It has been called an example of “A Constitutional Money Bill.”

~ Initially a state would REQUIRE tobacco suppliers, and/or others of the so-called “sin”

industries (liquor, casinos, etc.) in your state, to pay their state fees and taxes in Gold/Silver Sound Money (Gold and/or Silver coin, based on weight, Not face value, OR the Digital equivalent). This would supply your state Treasury with the needed specie (funding in coin) or the Digital equivalent of funds to assure that your state would NOT need to earmark or provide any other separate funds. This ensures that your alternative Gold/Silver Sound Money

model will function from the very beginning. Once the Gold/Silver Sound Money model is

up and running, other businesses and citizens, so inclined, would also be encouraged, on a volunteer basis, to use this system for payments to or from your state.

~ The Gold/Silver Sound Money system is Voluntary for those so inclined, but MANDATORY for the businesses indicated above. A citizen or other business could, however, participate in the Gold/Silver Sound Money system at any level they wished, and would NOT be tied to using the system for All transactions with the state, but at a level and frequency each could determine for themselves. The Gold/Silver Sound Money system can function as both a One-Way system or a Two-Way system depending on the citizen’s or non-mandatory business’s wishes. Each could just Receive Gold/Silver Sound Money from the state as a receivable system OR use it for paying obligations to the state or a Combination of both. If one worked for the state he/she could receive their weekly /monthly pay as Gold/Silver Sound Money, in total, or as just a portion.

~ The Gold/Silver Sound Money system is nothing more than a way of providing people and businesses with an Alternative to being compelled to use Federal Reserve Notes (FRNs) for business or private transactions by using real money of “true value” as opposed to FRNs which are actually “debt” instruments. There could come a day when these “debt” instruments may no longer be viable. The Gold/Silver Sound Money Bill, in the interim, will help people become familiar with this alternative to carrying on business. It would also be a way for states to get their own houses in order and start conforming to the Constitution which the states are obligated to support.

~ The Gold/Silver Money Bill, which is compatible for any of the 50 states, was written by well known Constitutional scholar and practicing Constitutional lawyer, Dr. Edwin Vieira, Jr, who has numerous wins in the Supreme Court on Constitutional issues. The current Indiana version, which includes the addition of the Digital component when using Gold/Silver Sound Money, is available for viewing at http://indianahonestmoney.com …and is available to capture and print off or download and modify for your state. The Gold/Silver Sound Money Bill was researched extensively over many years and written to conform specifically with the Constitution !

~ The Gold/Silver Sound Money Bill was modified (the addition of a Digital component for ease of use) since it was originally introduced in the New Hampshire legislature back in 2004. This addition will make it easier for people to use Gold/Silver Sound Money on a day to day basis. The previous argument against having to use unwieldy coins in transactions was put to bed with this twist of being able to also use a Digital equivalent electronically. There are compatible systems already in place that deal in the transfer of digital Gold and Silver and these systems would be able to dovetail nicely with The Gold/Silver Sound Money Bill. Many can be funded by bank wire transfer or some other intermediary. Some of these, that might be considered to serve as the interface with the states. are: c-gold, goldmoney.com, GoldExchange, CrowneGold, Liberty Reserve, Pecunix, London Gold Exchange, etc. Each state would choose one or a combination to serve as its interface(s) based on pedigree, reputation, reliability, and scalability.

~ One system, we’re familiar with, uses both Gold and Silver that is insured by Lloyd’s of London and stored in secured, monitored and audited vaults, and can be transferred Digitally, via the Internet, to anyone with an account – such as the one set up and utilized by your state. The monthly storage and transfer fees are very reasonable for this secure, Digital delivery system. Your state would simply set up an account and a citizen or vendor would do the same and use the account to either Pay or Receive Digital Gold/Silver (or receive actual coins at your state treasury). Some of the interfaces have accounts with bullion suppliers which allows citizens to actually convert their account assets into physical Gold/Silver and have it sent directly to them.

~ Think of The Gold/Silver Money Bill as an Insurance Policy for your state. If our fiat money system ever fails to function, then your state would have a system Up and Running to help

businesses and people function. Besides, as mentioned above, your state will, finally, again be in

full compliance with the Constitution for the United States of America. “No state shall…make any Thing but gold and silver Coin a Tender in Payment of Debts…” Article 1, Section 10.

If you have questions about The Gold/Silver Sound Money Bill and/or how your state might move

forward with implementation, contact Harvey Wharfield at mentor2@gmail.com

or call 978 – 635 – 9586 anytime, between 11am and 11pm, Eastern !

Why We Should Be Buying Silver

Why We Should Be Buying Silver
Frank Williams

Looking at a chart of the Dow Jones Industrial Average we see boom and bust cycles lasting about 20 years each. We will start with the bear market that began in 1929 after the boom of the 20's. The Dow peaked at 381 in October of 1929 and was in a bear market until 1949. At that time the Dow began a new bull market from the low of 162 and lasted until 1969 and went to 1,000. We begin another bear market in 1969 that ends early in 1982 due to the creation of the 401k plan. The bull market that just ended launched in 1982 from 777 and ended at 14,165 in October of 2007. This massive 25 year Bull Run is due for a correction. Past economic corrections have ended with the Dow to gold ratio at one to one. In other words one share of the Dow was equal to one ounce of gold. The last time this occurred was in 1980 with the Dow around 850 and gold climbed to 880. During the great depression the Dow bottomed at 41 and gold was 35 dollars. Keep in mind that GM did not fail during the great depression. Now with the Dow at 8150 and gold 910 dollars, either gold would have to increase by 900% or the Dow would have to lose 90% of its value for the ratio to be one to one.

However there is a much greater risk today, because the dollar is backed by nothing. For the first time in the history of the world we have a global fiat currency. In every past instance of a nation trying the fiat currency experiment, the currency collapsed. Recent examples are Argentina, Iceland, Hungary, Ukraine, and Zimbabwe. No one can predict a global currency collapse but certainly the possibility exists now more than ever before. Fiat currency has a 100% failure rate. Therefore the risk in all paper investments is great.

Some wise investors would argue that silver has no downside risk and has the potential to be worth many times what it is trading for today? Silver's purchasing power has been more than 100 times what it is today in past history. It has been successful for more than 5,000 years. It could be argued that silver has a fundamental reason to be worth more today than ever before in history? Silver has so many industrial applications today that we have been consuming more than what is being mined. The current price has nothing to do with the supply and demand fundamentals. It is being suppressed because it is the enemy of fiat money. The artificially low price has caused inventories to fall to dangerously low levels. It will take a much higher price to bring all the silver back to the market to meet future demand. When we say silver has zero downside risk. We are not saying silver will never trade for less than it does today. Only that if you understand what money is and what silver is. You will never sell you silver for 15 Federal Reserve dollars or less.

Monetary history is quite clear when government spends without restraint it results in the debasement of the currency. When this begins to happen at a rapid pace people will want hard assets. Silver is the most undervalued commodity in the world today and probably the most undervalued commodity in all of history.

In the Old Testament 20 pieces of silver purchased Joseph as a slave. The silver referenced here was likely a shekel that was less than a half ounce or about 10 ounces of silver. We can buy 10 ounces for 150 dollars today. We can barely get a day’s worth of work for 10 ounces of silver today. In the New Testament 30 pieces of silver bought a Potters field. This would be a little less than 15 ounces of silver. We can get 15 ounces of silver for less than 300 dollars today. In the Gospel of John 6:7 we see 200 denarii, also translated 200 days wages, being related to feeding 5,000 people. One denarius was a man’s wage for the day in ancient Rome. A Denarius is one tenth of one ounce of silver. If a tenth of an ounce of silver was an average daily wage today, it would be worth 100 to 200 Dollars or 1,000 to 2,000 dollars an ounce. In America before the Federal Reserve Act, you could purchase a medium home for about 500 ounces of silver. Why was silver so valuable in past history and so cheap today?

What is being forgotten today is that silver is money. In the Hebrew Old Testament the same word is used for silver and money. In the language that is used in more than 50 countries money is synonymous with silver. The Federal Reserve System is a debt based system and is unconstitutional. It is in opposition to all our founding documents in America. According to the U.S. Constitution only gold and silver are to be used for money in America. The treasury of the United States alone has the authority to issue currency. The U.S. dollar was pegged at 371.25 grains of fine silver when it was created in 1792. The United States Government used to issue a silver certificate to use for payment. However a silver certificate was not money it was a receipt for your silver. It certified that there was one dollar in silver was on deposit in the treasury of the United States of America payable to the bearer on demand. Your receipt stated that you could get your real money on demand.

The Federal Reserve note that we have today is backed by nothing. The Federal Reserve is not a government agency. Its name is a deception. As in the case of all fiat money, it will be worth less and worth less until it is worthless.

Until we take back America from the money changers, silver and gold is the only way to protect the fruits of our labor. Our money is not safe in paper investments until this system of tyranny ends. Bob Livingston writes in his July 2009 newsletter. “Do insiders who are shoving trillions of fiat dollars to their elite friends know what they are doing? Of course they do! What appears as financial irresponsibility to the American people is organized theft on an unimaginable scale. The recent market crash should demonstrate more than ever the need to own gold and silver coins in your physical possession. But with the gold to silver ratio at 70 to 1 when its historic ratio is 15 to one silver looks very cheap compared to gold.

Even if you are not concerned with a collapse of the dollar consider the history of boom and bust cycles. We are coming off a 20 year bear market in precious metal and a 25 year bull in stocks. The dollar started a downward trend in 2002 and has lost over 40% of its value since then. It makes sense today to have at least an equal portion of hard assets, to paper assets. Do your own research. Don't take anyone’s advice on where to invest the fruits of your labor.

We are able to buy directly from a mint that has been in the silver bullion business since 1974. I have met with the owner personally, and find him to be a man of very high integrity. He has provided us with great service. He has filled all our orders within 3 weeks. He has also provided us with the lowest prices we have been able to find, and we have been helping people get silver for over 5 years.

We feel silver is the investment that everyone will be talking about in a few years as the best investment of a lifetime. The only regret you will have about silver is if you did not take advantage of it while the price was so low.


You can find our contact information at globalsilverinvestors.com.

Colloidal Silver- The antidote for the allergy to ink...

For Physical Ownership of Silver there is Monex- The low cost precious metal retailer. Paul Bea 800-949-4653 x2172 Use Kevin from Goldmoneybill.org as a referral

Are ETF Silver Bars Fake? Made out of Molybdenum?

I think Bix Weir is my new precious metals guru. He has adroitly put together an argument for the faking of Silver bars with Molybdenum by breaking down the custodial prospectus of JP Morgan. Key words are defined in the prospectus such as OZ and bullion, but never used again. They never state that the bars are .999 Silver just that they have Silver in them. They disavow any responsibility for fake bars. Like the gold bars have been faked with Tungsten based on the weight. The Silver bars can be replaced with Molybdenum which is only 2.7% weight differential.
Since very few of the ETF bars are ever delivered; it is a perfect venue for counterfeiting. Bix even predicts an upsurge in Molybdenum production to conincide with the introduction of ETF's in 2005.
Goldmoneybill.org Educating the public on Austrian Economics

Bix Weir
A while back Rob Kirby wrote an article revealing that over 1.3 million of the 400 oz gold bars may actually be gold plated tungsten.



This was a shocking revelation that will profoundly effect the gold market and yet it is the most simple of cons. Who ever checks to see if their 400oz gold bars are filled with tungsten??? NOBODY! 400 oz gold bars are handled with kit gloves by those fortunate enough to own them. They represent an astounding amount of value in such a small package. They come in special cases and are wrapped in beautiful cloths. When you buy them you are scared to touch them...who in their right mind would ever drill a hole in them to see if they are real?!

We'd better start thinking a little harder...a little smarter. It is truly amazing that NOBODY ever checks to see if their gold is .999 fine. Buyers almost always trust the markings on the bar even though they have no idea when those markings were placed there or who the refineries that produced them are connected to...

Colloidal Silver- Kills Werewolves, nature's anti-biotic, true healthcare.

Wanna get rich? If you had no morals you could buy a low quality, unmarked gold or silver bar and "decorate" it with these tools:



This is where a big problem lies in the world of gold and silver. We have "trusted" the big guys for too long and they have abused that trust at every turn.

So let's look at how the gold/tungsten problem is related to silver. Here was my take:

Fake Gold Portend Silver Explosion



In this article I contended that fake silver could not be as easily substituted as fake gold:

"The silver situation was a little trickier than just creating fake silver bars. The problem was that, unlike gold where it is unheard of to melt down "Good Delivery" bars, large silver bars purchased from the exchanges were routinely removed from inventory and melted down to be used for industrial purposes. If the "Good Delivery" silver bars were filled with something like tungsten or lead the industrial users would know almost immediately. That kind of visibility would have called into question all "Good Delivery" metals on the major exchanges."

What I didn't fully understand at the time was that there is one public silver stockpile that rarely, if ever, removes the physical silver from their "inventory" and that is the iShares Silver ETF (SLV). Of course, I never believed they actually had all that silver they claim to but I wasn't sure how the con worked. Back in the 1980's there were lead filled silver bars floating around but they weren't hard to spot for the dealers. Lead has a density of 11.342 gm/cm3 and silver has a density of 10.501 or an 8% difference. Not that hard to spot for a professional.

But it made me curious as to what other metal might be closer to the density of silver and voila…MOLYBDENUM HAS AN ALMOST IDENTICAL DENSITY TO SILVER!

The density of molybdenum is 10.220 gm/cm3 or only a 2.7% difference and is commonly coated with silver for industrial applications! As a matter of fact there is a long list of companies who make Molybdenum bars as well as specialize in Molybdenum coating.


So could it be that SLV (who boasts JP Morgan as their "Custodian") does not have .999 fine silver bars in their inventory but rather a significant supply of silver plated Molybdenum bars? Let's face it, if the banking cabal figured out that they could gold plate tungsten bars don't you think they also considered silver? Could this be the entire REASON why SLV was approved by "the powers that be" to the surprise of all the silver bugs?

As Paulson, Geithner, Summers, Goolsbee and everyone else who has been involved in the rigging of the markets has stated...

"WE WILL DO WHATEVER IT TAKES TO KEEP THE MONETARY SYSTEM STABLE".

Could "whatever it takes" include flat out fraud? Of course it does!

Let's look for clues that there may be some 1,000 oz "MolyBars" floating around in the SLV inventory.

The fact the SLV has given it's controllers a considerable amount of legal leeway is no secret. The prospectus has more holes than Swiss cheese that's been shot point blank with buckshot. There are more articles covering this subject on the internet than there are bars of real silver in their inventory!

Hidden amongst it's many flaws, the SLV prospectus is carefully written to allow for silver that is not .999 fine. There is no specification as to the amount of silver required to be in their silver! Not .999, not .900, not .500, not Sterling, not plated, not coated...nothing. The original prospectus included the term "SILVER BULLION" when it was describing the silver holdings, but a year later the word "BULLION" was stricken from the prospectus. At the same time JP Morgan changed their liability as custodian from $1B to 265M+ troy ounces. OUNCES OF WHAT? Silver wrapped Hershey's Kisses?



Sure they define an "Ounce" as:

"Ounce" -- A troy ounce, equal to 1.0971428 ounces avoirdupois, with a minimum fineness of 0.999. "Avoirdupois" is the system of weights used in the U.S. and Great Britain for goods other than precious metals, gems and drugs. In that system, a pound has 16 ounces and an ounce has 16 drams."

But they never use the capitalized word "Ounce" in the context of the prospectus as it relates to silver. Any decent lawyer will tell you that it's the oldest trick in the book. Define a term with a capital letter yet never capitalize it in the context of the document. The capitalized term "Ounce" as defined is never used again. So why define it if you don't use it... unless you are trying to deliberately mislead the reader of the prospectus!

Just another con.

The same goes for the word "silver". Not once is "silver" defined or capitalized. They almost screwed up in the first prospectus by using the term "silver bullion" but they fixed that boo-boo. But the most damning evidence that the silver in SLV is not the real deal is in the prospectus and the SLV 10k SEC filing..

SLV PROSPECTUS

"However, the custodian is not responsible for conducting any chemical or other tests designed to verify that such silver meets the purity requirements referred to in the Trust Agreement."

SLV SEC 10K

"Silver transferred to the Trust in connection with the creation of Baskets of iShares may not be of the quality required under the Trust Agreement. The Trust will sustain a loss if the Trustee issues iShares in exchange for silver of inferior quality and that loss will adversely affect the value of all existing iShares."

FIRST THEY SAY THAT THEY ARE NOT RESPONSIBLE FOR THE QUALITY THEN THEY SAY IF THEY QUALITY IS BAD iSHARES WILL TAKE THE HITS...WHICH THEY ARE NOT RESPONSIBLE FOR!

Why in the world would JP Morgan take on a multi-billion dollar liability to act as custodian if they are not going to even check the silver that comes into the warehouse? Because they don't. It's just another Ponzi scheme with the illusion of grand silver deposits that never leave the watchful eye of the custodian or the "Authorized Participants".

The key to faking silver bars is that they can not be sold into the industrial market as the melting point of Moly is much higher and it doesn't have the same electrical conductivity. The SLV inventories represent the perfect resting place for "silver bars" to be stored publicly yet not removed for industrial uses. Clearly it can't be in the COMEX or LME warehouses since both exchanges can be called for delivery.

JP Morgan manages the physical silver which can only be withdrawn by this short list of "Authorized Participants"...who know where their loyalties lie!

Barclays Capital Inc

Citigroup Global Markets Inc.

Credit Suisse Securities (USA) LLC

EWT, LLC

Goldman Sachs & Co.

Goldman Sachs Execution & Clearing L.P.

Intrade LLC

JP Morgan Securities Inc.

Knight Clearing Services LLC

Merrill Lynch Professional Clearing Corp.

Newedge Group USA

PruGlobal Securities, LLC

Scotia Capital (USA) Inc.

UBS Securities LLC

Virtu Financial BD LLC

Although we really don't know if the "Authorized Participants" have any rights to remove silver since we haven't seen their contracts, we do know that they have NOT removed much silver since its inception...interesting...






Back to the "MolyBars"

Now that we know that SLV has no legal requirement to hold .999 silver bars lets look for more evidence of "MolyBars". I guess a tell-tale sign would be an increase in Molybdenum production since the announcement and introduction of the Silver ETF in 2005/2006…well what do you know...






Was it Ronald Reagan that said "Trust but VERIFY"?

I'm not going to get into the fact that the COMEX is now allowing physical delivery in ETF shares because that may be a little too "conspiratorial" for such an upstanding news service as the Road to Roota Letters.

WAIT! Bart Chilton(the New Sheriff in town)and the recently fully funded CFTC staff will surely catch on to any "funny business" going down in ETF gold and silver holdings...oops...

Let's just say I've been down this road before:

Who's the Little Man Behind the Curtain

Let's face it, the only way to regain trust in the gold and silver markets will be to completely overhaul the entire physical testing and storage system.

Basically, we need a global remelt and re-certification.

As for us little guys...this kinda makes you wish you had paid the premium for those 1oz Gold and Silver Eagles...surely we can trust the US Government...can't we?

When this is all over those of us sitting with real, verifiable .999 gold and silver will be Kings of the World...

EVERYONE ELSE WILL BE JOKERS.

May the Road you choose be the Right Road

Bix Weir
For Physical Ownership of Silver there is Monex- The low cost precious metal retailer. Paul Bea 800-949-4653 x2172 Use Kevin from Goldmoneybill.org as a referral