Texas also aims to repatriate its gold ... from HSBC in New York

Section:

A Gold Rush in Texas?

By Anna M. Tinsley
Fort Worth Star-Telegram
Saturday, May 30, 2015

http://www.star-telegram.com/news/politics-government/article22707600.ht...

AUSTIN, Texas -- Texas -- long known for cattle, cowboys, and oil -- could soon be on the map for something much different.

Gold.

State Rep. Giovanni Capriglione asked the Legislature to create a Texas Bullion Depository, where Texas could store its gold, which is now in New York, and where others could keep their precious metals.

The Southlake Republican must have the golden touch, because the House and the Senate have signed off on his plan and his bill appears headed to Gov. Greg Abbott for consideration.

... Dispatch continues below ...



ADVERTISEMENT

Direct Ownership and Storage of Precious Metals
Outside the Banking System in Zurich and Singapore

Goldbroker.com is a precious metals investment company that enables investors to own and store gold directly in their own name (no mutualized ownership) in Zurich and Singapore.

Goldbroker's clients are not exposed to any counterparty risks. They own gold and silver in their own names (the ownership certificate cites the name of the investor and serial number of his bars) and they have storage accounts opened in their own name as well. So Goldbroker.com's storage partner knows the exact identity of each investor. Goldbroker.com doesn't store in the name of its clients; rather, Goldbroker's clients store personally. All investors have direct access to their gold and silver bars.

Goldbroker.com was launched in 2011 so that investors would avoid any counterparty risk when investing in physical gold and silver.

Goldbroker.com is listed among GATA's recommended monetary metals dealers:

http://www.gata.org/node/173

To invest or learn more, please visit:

https://www.goldbroker.com/



"We are not talking Fort Knox," Capriglione said. "But when I first announced this, I got so many emails and phone calls from people literally all over the world who said they want to store their gold ... in a Texas depository.

"People have this image of Texas as big and powerful ... so for a lot of people, this is exactly where they would want to go with their gold."

And other precious metals.

House Bill 483 would let the Texas comptroller's office establish the state's first bullion depository at a location yet to be determined.

Capriglione's changes to the bill must be approved by Monday, the last day of the 84th legislative session.

The goal is to create a secure facility that would allow the state to bring home more than $1 billion in gold bars that are owned by the University of Texas Investment Management Co. and are now housed at the Hong Kong and Shanghai Bank in New York.

"The depository would be an agency of the state located in the Office of the Comptroller, directed by an administrator appointed by the Comptroller with the advice and consent of the Governor, Lieutenant Governor and Senate," according to a fiscal analysis of the bill.

The depository could also hold deposits of gold and other precious metals from financial institutions, cities, school districts, businesses, individuals and countries.

"This will allow for bullion to be deposited here, as well as any other investments that … any state agencies, businesses or individuals have," Capriglione said.

Storage fees will be charged, perhaps generating revenue for the state. For instance, Texas pays about $1 million a year to store its gold in New York, Capriglione said.

A fiscal note attached to the bill states that the depository will have "an indeterminate fiscal impact" on the state, depending on the number of transactions and fees, but says it's too early to determine the extent.

"It's unusual," said Cal Jillson, a political science professor at Southern Methodist University. "So far as I know, there are no states with bullion depositories."

Supporters of the bill include the Conservative Republicans of Texas and Texans for Accountable Government. No opposition was registered.

This is Capriglione's second attempt to create the depository. Two years ago, then-Gov. Rick Perry was on board, saying work was moving forward on "bringing gold that belongs to the state of Texas back into the state."

"If we own it," Perry has said, "I will suggest to you that that's not someone else's determination whether we can take possession of it back or not."

In 2013, the Legislature ended before Capriglione could win approval of the bill.

Jillson said the bill's sentiment is consistent with the anti-federal approach that conservative lawmakers have taken this year.

"It's in line with the idea that Texas is exceptional and needs to keep a distance from the federal government that respects individual states' depositories," he said.

Capriglione said developing rules for the depository could take six months. But it could be a whole new industry for the state, he said.

"What I'm really hoping to do is to create a central storehouse of commodities," he said. "I'm hoping we can start working on it as soon as the governor signs off on it."

* * *

Join GATA here:

New Orleans Investment Conference
Hilton New Orleans Riverside Hotel
Wednesday-Saturday, October 28-31, 2015

http://noic2015.eventbrite.com/?aff=gata

Support GATA by purchasing recordings of the proceedings of the 2014 New Orleans Investment Conference:

https://jeffersoncompanies.com/landing/2014-av-powell

Or by purchasing DVDs of GATA's London conference in August 2011 or GATA's Dawson City conference in August 2006:

http://www.goldrush21.com/order.html

Or by purchasing a colorful GATA T-shirt:

http://gata.org/tshirts

Or a colorful poster of GATA's full-page ad in The Wall Street Journal on January 31, 2009:

http://gata.org/node/wallstreetjournal

Help keep GATA going

GATA is a civil rights and educational organization based in the United States and tax-exempt under the U.S. Internal Revenue Code. Its e-mail dispatches are free, and you can subscribe at:

http://www.gata.org

To contribute to GATA, please visit:

http://www.gata.org/node/16