On April 17, former U.S. Army Lieutenant Colonel Roy Potter issued a statement that the recent drop in gold prices was due to a forced manipulation by the central bank as a message to the states that were either demanding their physical gold back from the Fed, or who were passing legislation allowing for the free use of gold and silver. Not coincidentally, the dumping of 500 tons of Paper gold onto the markets came one day after President Barack Obama‘s meeting with many high officials in the banking industry, to include Lloyd Blankfein and Jamie Dimon.
Lt. Col. Potter: You notice that gold took a big dip. The Federal Reserve did that by dropping a whole bunch of paper gold certificates, or however they do their trading… to lower the price to make it look like a bunch of gold had been dropped on the market when actually it hadn’t.
The Purpose of that was to make gold not as attractive as an investment. But there is more to it than that. I want to point this out to you…. remember, Texas and some other states (Texas being the first one), demanded their gold back from the Federal Reserve when it was at $1600 an ounce. And now that the price has dropped, they were trying to make people not as interested in keeping (holding) it.
But the point is, this was done not just as an act against individuals, this was an act done against state governments. The Federal Reserve is a private entity backed by the power of the Federal government, telling the states no, you’re not going to get your gold back
. – Lt. Colonel Roy Potter, April 17 The coincidence of the massive gold short, nearly 25% of the entire global gold production for one year, being thrown into the markets one day after the bank meeting with President Obama cannot be ignored. Lloyd Blankfein and Jamie Dimon are the heads of two banks which are shareholders in the private Federal Reserve, and have the power to direct any market they see fit, using trillions of dollars of leverage at any given time.
Earlier this week, the state of Arizona joined the state of Utah in allowing its citizens to perform transactions within the state using gold and silver as recognized money. Couple this with The state of Texas demanding their gold holdings back from the Federal Reserve in late March, and you begin to see a growing disconnect between trust in the dollar, and the need to find alternatives to a devaluing currency.
People and sovereign nations around the world, mostly outside the Western economic sphere, are quickly moving away from the dollar, and into hard assets like gold and silver. Several economists, including Peter Schiff who called the bursting of the housing bubble well in advance back in 2006, have stated that the dollar is dead, or at the very least, the walking dead, and its days as the world’s reserve currency are numbered.
This week has been one of the most chaotic in America’s history, with events not seen since 9/11, the days of Watergate, or the assassination of President John Kennedy. Terror attacks, shootings, and other events like the explosion that occurred near Waco, Texas, are masking other events which deal with the financial and economic crisis now brewing in the U.S.. And as Lt. Colonel Roy Potter has pointed out, the use of a 500 ton shorting of gold by the Federal Reserve is an additional attack on the people, and on the states, in an attempt to consolidate power for a government and a currency that is experiencing a waning confidence by its populace.