CFTC: Obey Your Plaque!
(Stop the Fraud!)
Silver Stock Report
by Jason Hommel, April 1, 2010
I swear this is NOT an April Fool's joke. But maybe this is a
long standing joke on the American people, ever since 1975.
The Plaque reads:
THE MISSION OF THE
USERS AND THE PUBLIC
PRACTICES RELATED TO THE
SALE OF COMMODITY
TO FOSTER OPEN,
COMMODITY FUTURES AND
CFTC, obey your
When the open interest in silver futures
contracts exceeds 800 million oz., and when the silver on
deposit for delivery is a mere 50 million oz., it does not take a genius
to figure out that something is out of balance. That's only a
When the London OTC market trades in excess of 125
million oz. of silver per day, and only has 75 million oz. of physical in
the vaults, again, it does not take a genius to figure out that
something is out of balance there, too. The BIS notes that the OTC
"over the counter" other precious metals derivatives exceed $200 billion,
which is about 12 billion oz. of silver, or almost 24 years worth of mine
supply, and 160 times the 75 million oz. they have left!
should not take any hearings or investigations. But the
investigations serve the purpose of revealing the numbers to
CFTC commissioners who may not otherwise know.
London fraud is easier to understand, even though it is
bigger. Why? In Europe, there is the VAT, and on silver,
it's about 17% if you take your silver out of the banks, and take
delivery. Therefore, most people leave it with the banks. But
there is no "it", no silver.
YES, THIS IS THE WORLD'S
BIGGEST FRAUD! BIGGER THAN EVERY OTHER FRAUD, EVER! PERHAPS
BIGGER THAN ALL OTHER MONETARY FRAUDS IN THE HISTORY OF THE WORLD,
The world's gold market is like a Ponzi scheme, or bucket
shop. Around 100 years ago, there were brokerage houses (bucket
shops) that let you buy stocks, and they would give you a
receipt, but they would not buy the stock, they would simply buy back your
receipt if the stock went up, and if you cashed in your
receipt. Two big "ifs". Jesse Livermore wrote about the bucket
shops in his famous book, "Reminiscences of a Stock Operator".
government eventually put the bucket shops all out of business,
because they were all fraud. (Also, the government banks don't like
Jesse notes that the bucket shop trading was
different than a real market, as you would not move the market price
of stocks you bought or sold, and so, you could buy the stocks cheaper,
not paying such large commissions, and also, not moving the market price
up against yourself as you were buying.
Same thing in the gold and
silver markets. The big brokerage houses promise silver at lower
commissions, but only if you don't ask for delivery.
gold and silver markets are no different than a bucket shop, it's cheaper,
but if you don't take delivery, your silver does not
I can see the questions now. "Jason, I
have allocated gold, or silver, not unallocated, isn't that
safe?" But why would you trust a bankrupt entity, known for
doing fraud and theft as a regular method of business, to hold your silver
and gold for you?
There is no kind of gold or silver
that is more vulnerable to a recall, or government confiscation
Letting your bank store your silver or gold is
easy. But that's the trouble with easy. It's also easier to
Many people ask me about confiscation.
Here's my essay I send out on the topic:
I was stunned when I saw this plaque at the CFTC building at the entrance
to their meeting room. Stunned. I laughed! I have long
suspected that the CFTC is complicit, and in on the manipulation.
However, the CFTC is basically a panel of 5 people, appointed
directly by the President of the United States. And, it is a
legacy bureaucracy filled with who knows how many people working as
So, while prior commissioners may have been "in on
it" as they have willfully and deliberately lied in past reports the
denied manipulation in the silver market, several current CFTC panel
members have been there for about one year or less. They may truly
be ignorant of the manipulation, and may, indeed, have a desire to end
Again, please send your constructive comments with specific and
creative ideas on how to end the manipulation, to the CFTC, by mail, fax,
Written materials should be mailed to the Commodity
Futures Trading Commission, Three Lafayette Center, 1155 21st Street,
N.W., Washington, DC, 20581, attention Office of the Secretariat;
transmitted by facsimile at 202-418-5521; or transmitted electronically to
should be made to “metals position limits.”
stunned by the admissions of Jeff Christian at the CFTC hearing, where
Jeff admitted that the leverage of paper gold to physical gold is
over 100 to 1 in the London Market. Listen as they
was not stunned by that, because I've read the CPM Group's reports, and
I've read the BIS reports, and I've been mentioning the BIS report for
nearly a year now, since April 6th, 2009.
BIS Admits $190 Billion
don't know why a verbal admission by an idiot has more
weight than the written reports of the BIS, but there it is.
More stunning than the plaque is the BIS report. It puts the
fraud in writing! See the OTC "other precious metals" derivative
obligations at $203 billion!
table, towards the bottom, middle of the page.
"Notional Amounts Outstanding"
Column: Jun 2009
Row on left,
"Other Precious Metals"
It's right there, black and white, full
admission, by PEOPLE IN POWER, the BANK OF INTERNATIONAL
SETTLEMENTS. This is not a secret.
It should be daily
front page business news, but the report only comes out once every 6
months. Also, if the media don't know where to look, and if they
never learned how to read a chart, then what chance is there of
coverage? At least the CFTC hearings put this on center
stage from many who were in denial.
But I have to
wonder, how strong is the spiritual darkness that prevents people from
seeing? Why is silver not $25/oz. by today already? It should
be $50/oz. by the end of next week!
Why are people not waking up to
this fraud? Why are big money people so complacent? Why are
they not able to do the math, and see that $203 billion / $17/oz. =
12 billion ounces, which is 24 times world annual production of 500
million ounces, and 160 times more than the 75 million ounces
they have to back it up in London?
Don't investors know
that it's a race to see who gets physical first?
He who takes delivery first is no fool, but will
become master of the financial universe!
Don't people realize that
demand is already 160 times greater than the market can clear? Don't
people know what that means to the price, going forward, once people, 1 in
160 silver investors, ask for delivery?