Ken Reser is heading to camp, with our thanks echoing his!


Hello GATA Members,

Here are the cc of four more letters to Congressman Jim Saxton, probable
Vice-Chairman to be of the Congressional Joint Economic Committee.

(Congressman Saxton's e-mail address is For
e-mailing the Senate surf to:, where all senators are
listed with their email addresses.
For e-mailing Congress surf to: )

I have also included good words that you are going to enjoy and find
useful, from market analyst Rita Cragwell. And to end this posting,
there is a pro-gold quotation from the great playwright George Bernard

GO GATA, Go Gold,

Boudewijn Wegerif
Moderator GATA Forum

- - - - -

Congressman Saxton:

I know many people are contacting you regarding the GATA concerns about
the apparent collusive and incestuous behavior of the Central Banks, the
IMF, the Federal Reserve and large New York Banking Institutions with a
vested interest in derivative exposure; specifically as it applies to
Gold lending and sales.

Some of the people who have been hurt most by this are so disillusioned
they are asking "why contact a politician about our dilemna? They always
say one thing to pacify you and then do another". This was particularly
true in the IMF Bailout of Brazil (just the most recent abuse of
taxpayer funds) which I vehemently opposed and pleaded with my
representatives to do the same.

My disillusionment goes clear back to the S & L crisis which
accomplished one thing for sure. It lightened the wallets of honest
taxpayers and fattened the wallets of many gun-slinging bankers who were
never prosecuted for their fast, loose lending policies -- a few were
made an example of (i.e. Keating) -- but that was it.

Now the New York Bankers are being bailed out for fast and loose lending
policies to foreign countries and once again, we taxpayers get to pay
for it. Do you think you can understand why a lot of us are
disillusioned with politicans' ability to do anything in the face of the
power these institutions have garnered from the easy money policies of
the Federal Reserve.

Please stop their nonsense and listen to Mr. Murphy well.

Thank you.

- - - - -

Dear Mr. Saxton,

I have been an investor for thirty years in the financial markets of
this country and never before have I seen such manipulation of the
financial markets in order to accomplish an agenda which is leading the
world into chaos. I refer to the gold markets. In particular the
conflict of interest in the Sec. of Treasury Rubin being a former bond
trader for Goldman Sachs.

Goldman Sachs, it is well know and documented has led the attack on gold
for several years now in conjunction with central banks and bullion
banks. As you may be aware the banks have leased out what is now know to
be in the neighborhood of 8000 tons of gold. This gold was then sold
into the market by various hedge funds, brokerage houses,etc., and then
leveraged up to 100 times in value. This is what got LTCM into trouble
and the subsequent bailout negotiated by Greenspan. The firms involved I
am sure all had similar positions in the market place. I know Morgan
Stanley has large gold short positions, as they are my broker.

What I am writing you about is this. This is illegal. It is collusion to
control a price. But it is worse than that. Tens of thousands of
Americans have invested in the stock market based on the "good
fundamentals" they read about. But the gold manipulation makes false
these fundamentals. Without a leveraging of the bond markets interests
rates would be much higher and stocks much lower and people would not be
bidding up stocks to the most extreme level in the history of the US.

Greenspan, Rubin etc. have created the biggest financial mania in the
history of the Country! But it even goes further than this. I have read
a lot of Jude Wannaski's articles and concur with his analysis that
Greenspan failed in his job as he let the priceof gold decline there by
causing the financial problems in Asia to come to a disorderly finish.

By failing to provide enough liquidity to the dollar starved world,
indebted nations were forced to devalue as they could not repay their
debts. I don't want to sound extreme here but this seems to me to be an
act of criminal behavior against the common person in these foreign
lands. Maybe even an act of war!!

How dare, the bankers and currency traders of the world steal blind the
hard working people they profess to serve with good intentions! Now, it
looks like the same game plan continues with the proposal of the sale of
IMF gold. Just as gold was going to rise, putting an end to the charade
that all is well, Clinton etc. announce gold sales to help the poor.
This is a lie of the greatest proportion. It is because the price is so
low that these so called poor nations cannot repay their loans and are
going bankrupt.

The IMF is the evil force in the world. They should be forced to give
all their the gold to all the countries they have bankrupted. They can
start in Asia and go to Russia, South America , etc. I wonder how long
their 60 billion in gold would last? Not very long.

So what is wrong with this picture? Have you figured it out yet? Fiat
currencies aren't worth the paper they are printed on. Unless gold is
set free to end the speculation in the stock and bond markets the world
financial system is going to collapse. It probably will anyway. But who
in government is going to stand up to the falsehoods of our time? Are
you capable of doing so, Jim? I hope so.

A few republicans had enough integrity to vote to impeach the President
on sex. I wonder how many have the integrity to stand up against all the
financial wrongs of our present system.When you look that square in the
eye you will then know how all this came about and where we are headed.
In the end one has to ask oneself is one willing to be counted among the
strong and courageous or content to be manipulated for someone else's

The choice is yours. Choose well.

Dennis Fechner Seattle, Washington

- - - - -
Dear Rep. Saxton:

I am a manager/geologist who works in Mexico for (name of gold mining
company given). I wish to convey my strong opposition to the gold sales
proposed by President Clinton and Secretary Rubin. Due to low gold
prices, the gold mining and exploration industry in the U.S. and
elsewhere has been reduced to a small fraction of its former size, and
has been forced to lay off many of its employees and close many mines.
For this reason, I have been forced to work in Mexico rather than in my
beloved U.S., as no exploration jobs are available here.

This problem is more acute in South and Central Africa, where I worked
as principal consultant to the Mandela/Dlamini (Swazi royal family).
There, in countries that desperately need our help to maintain and
augment their standard of living, many jobs are being lost by persons
who will have no other source of financial support. We and those people
do not need the price of gold to be driven lower in a political effort
to "help poor people".

Depressing the gold price further, through sales and political rhetoric
will only hurt the economic climate. If a collusive group activity to
artificially hold down the gold price is true, as suggested by the Gold
AntiTrust Action (GATA) group, it certainly deserves to be investigated.

Sincerely yours,
Richard R. Redfern

- - - - -

I was delighted to learn through Bill Murphy's superb Le Metropole Cafe
that the gold investment community may finally have in you an ally on
Capital Hill.This enormous conspiracy is unprecedented in its scope and
brazenness. The damage allegedly done by Microsoft, according to
Clinton's own Justice Department, is but a drop in the bucket as
compared with the carnage caused by the collusive and ruthless
price-fixing which this administration has encouraged and participated

The hypocricy and selfish agenda which characterizes this administration
in every other respect should come as no surprise with respect to their
motivation for surpressing the gold price. The ramifications to our
economy when the chickens come home to roost (as theyalways do) is quite
frightening. Slick Willy and his cohorts probably figure that as long as
it eventually happens on someone else's watch (e.g. incoming Chinese
missles) someone else will get the blame. So it will be with the gold

Hopefully you will help expose this greedy Wall Street - White House
Fed plot. Just ask the right questions!

Jeffrey E. Homburger NY, NY

- - - - -

On Wednesday, March 17, Rita Cragwell ( included in
her daily market analysis for clients:

Suddenly you are hearing all over the place about gold sales. This right
after the closing of the big commercial longs, after margins for gold,
silver and copper were cut and right after most speculators went LONG on
gold due to those very indicators. The speculators were right.
Unfortunately they are being manipulated by the financial gurus of the
world. Now those guys are eating it, big and covering their longs and
more than likely going short but they have already missed the move. They
were duped and if that isn't collusion I don't know what is. Nothing has
made me madder than this, not even Hillary shorting the drug stocks
right before announcing her health care plan. Gold has not been
manipulated in such a manner since FDR did so before confiscating all
the gold in the US and making it illegal to own.

. . . Gold is a political metal. Its price is "governed". This is true
because Gold,in its historical role as a currency, is incompatible with
the modern worldwide financial system.

Until August 15, 1971, there has never in history been a time when no
paper currency was linked to Gold. The history of money is full of
instances of currency debasement and upheavals. Throughout history,
people could always escape to other currencies, whose Gold backing
remained intact.

Since1971, there is no escape because no paper currency has any link to
Gold. All of the economic, monetary, and financial upheaval of the past
28 years is a direct result of this fact. In order to continue
functioning the global paper currency system depends on the belief that
the debt upon which it is based will, someday, be repaid. A sharp rise
in the price of Gold in US dollars would shake that belief considerably.
The world financial leaders are working overtime to keep the price of
gold down. Keep your eye on it and watch it closely. If it closes over
300/oz the world financial markets will be in big trouble.


- - - - -

"You have to choose [as a voter] between trusting to the natural
stability of gold and the natural stability and intelligence of the
members of the government. And with due respect to these gentlemen, I
advise you, as long as the capitalist system lasts, to vote for gold."