The Comex Warehouse Stock Report Fraud Clarified !

• The Comex Warehouse Stock Report Fraud Clarified! 
  by http://truthingold.blogspot.ca/ 
  I realized after assessing some comments posted on my Tuesday blog post about the fraud going on at the Comex that I did not articulate a key point about the credibility of bank financial reporting.  It seems that there is still a contingency of people who are willing to believe that if a bank issues an accounting report, it must be valid.
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  Let me preface this clarification post by saying that given the long laundry list of charged and prosecuted high profile fraud cases against all of the big banks, I just assumed that everyone understood that banks can not be trusted at all.  Here’s my Golden Rule:  banks can not be trusted at all.  Fool me once, shame on you;  fool me twice, shame on me; fool me three times, I’m a moron.  Got it?
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  With that in mind let me clarify how the Comex warehouse gold and silver stock reports are produced.  Each bank that operates a Comex vault is responsible for keeping and maintaining all accounting records in connection with operating their vault.  This means that all of the reports and data that the CME uses to produce its warehouse stock reports come from the banks themselves.  They are paper accounting records the bank produces and sends to the bean counters at the CME.  There is no actual independent auidt of the reports OR of the bars themselves that are reported to be held in each bank vault.  Everything the CME publishes is based on what is reported from the banks.  Do you still trust these reports?  If you do, re-read my Golden Rule.
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  Please DO NOT CONFUSE the reliability of  paper records and the reliability of any bank not acting fraudulently with regard to those paper claims with actual physical gold that is sitting  in an allocated account and bars for which the rightful owner has legal entitlement.  Paper is NOT to be trusted – in any form.
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  A large portion of the gold that is being reported  by the Comex vault operators is likely not really there to be reported.  Now, “not being there” could well mean that there is a lease-claim  attached to it or some other form of hypothecation.  Just because bars  are sitting physically in “registered” or “eligible” accounts does not mean that the  intended owner of that bar has a legal entitlement to that bar.
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  read more!

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