GATA: The Federal Reserve Admits Existence of Previously Denied Gold Swaps
The evidence of coordinated suppression and manipulation of the gold price by central banks and their minion bullion banks continues to mount, and this is due in no small part to the exhaustive investigations conducted by GATA over the past decade.
"The Federal Reserve System has disclosed to GATA that it has gold swap arrangements with foreign banks that it does not want the public to know about."
"The disclosure contradicts denials provided by the Fed to GATA in 2001 and suggests that the Fed is indeed very much involved in the surreptitious international central bank manipulation of the gold price particularly and the currency markets generally."
In response to a freedom of information act request by GATA for documents pertaining to the FED's purported gold swaps with foreign central banks, GATA counsel received a letter from Federal Reserve Board member Kevin Warsh that justified denial of the request as follows:
"In connection with your appeal, I have confirmed that the information withheld under Exemption 4 consists of confidential commercial or financial information relating to the operations of the Federal Reserve Banks that was obtained within the meaning of Exemption 4. This includes information relating to swap arrangements with foreign banks on behalf of the Federal Reserve System and is not the type of information that is customarily disclosed to the public. This information was properly withheld from you."
Mr. Warsh, by the way, is also a former member of the President's Working Group on Financial Markets, which is also known by its more honest euphemism: the Plunge Protection Team.
That, fellow Fools, is what a smoking gun looks like. Ponder the implications.