Jim Willie: Bullion Banks Have Pilfered 60,000 Tons of Gold From Allocated Accounts!

• Jim Willie: Bullion Banks Have Pilfered 60,000 Tons of Gold From Allocated Accounts! 
  by http://www.silverdoctors.com/ 
  The Doc sat down with Jim Willie for the 2nd part of an explosive interview this week discussing the likelihood of a coming bank failure contagion, and multiple signs of an impending implosion in the gold market.
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  Willie made the shocking claim that upwards of 60,000 tons of gold have been pilfered from ALLOCATED gold accounts by the bullion banks, & stated that the bars have been recast to remove the evidence, and are now physically held by Eastern parties such as William Kay’s hedge fund. Willie stated that the allocated gold account theft scandal will break soon, and could be the largest bank scandal in history.
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  Willie discussed the current gold shortages amidst unprecedented global demand and stated that the COMEX & LBMA futures price for gold is becoming a farce as their is not enough physical gold to clear demand! The Golden Jackass also discussed the likelihood that the next Western bank to fail will trigger a massive contagion throughout the Western banking system, potentially bringing even Goldman Sachs and JP Morgan to their knees!
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  With COMEX gold inventories plummeting and the LBMA GOFO rate negative for nearly 20 days, The Doc began by asking Willie for his thoughts on what is currently going on in the gold market:
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  I just wrote an in-depth public article on the gold supply vs. demand.  We’re not seeing the true price of gold reflected- there’s no equilibrium. The most important point to start with regarding the gold market is that there’s no equilibrium regarding supply and demand.   According to basic economics, what you should see is that demand clears supply and the supply satisfies the demand.   We’re not seeing either!  We’re seeing shortages and huge demand.   Shortage in supply, and unspeakable demand across the whole world.   We’re seeing pockets of shortages, pockets of different availability, different prices here and there, different premiums here and there- the whole market is disrupted!
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  We don’t have the true price of gold being reflected by the official COMEX gold price.   The COMEX gold price is farce!  The COMEX/ LBMA tag team are a joke, they’re a criminal enterprise!   The dominant player in the COMEX gold inventory draw-downs you mentioned is JP Morgan.   What’s even more telling of the criminality besides the empty vaults is the ravaging and the pillaging of the GLD holdings!    They are going down massively with the plummeting JPM and COMEX inventories.
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  There is some arbitrage going on, and satisfaction of deliveries.  The Shanghai Gold Exchange has a premium of $20-$40 higher than COMEX.  There are rumors that the Wall St. banks are taking GLD inventory, and selling it in China!   There is other evidence that the volume for gold deliveries at the COMEX are almost identical with the drawdown of the GLD inventories!
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  It’s so ugly that in the silver market, JPMorgan has not yet satisfied and delivered on the June silver futures contracts!  It’s so ugly that using hidden entities that Andrew Maguire has detected in London, JPM is using hidden entities to hog 90% of the July silver deliveries!   It appears that JPM doesn’t have the silver to meet June delivery, and is trying to replenish their own vaults by taking delivery in London, secretly, to replenish their inventory!   Where are they getting it from?  Maybe the SLV!
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  The JPM clients have removed between December and June- close to 40,000 kg of gold- thats 40 metric tons.  While JPM’s house account has removed over 40 tons in the same period!  What’s the lesson there?  It appears JPM’s best friends and clients don’t trust them anymore!
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  My best source (originally a trader with Scotia Mocatta) tells me that the allocated gold account raids have resulted in 40-60,000 tons of gold!   (The US likely doesn’t have any of its reported 8,500 tons left at all!).   Rubin and Clinton might have made $2-$3 trillion leasing and selling the US gold.  Someday the US may have to replenish its gold.
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  We’ve had other things like ABN Amro’s default, and another small Dutch bank just made the same statement that they’re not going to redeem on gold accounts.   Morgan Stanley is stalling on every single metals transfer request.  When it is finally transferred the serial numbers and weights are different than what was documented.  Clearly the broker dealers are going into the market to find the gold, to find supply just in order to meet their daily requirements.
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  read more!

[youtube=http://www.youtube.com/watch?v=OvnW-daLwWc]

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