Gold legend Jim Sinclair endorses GATA and lawsuit


By Bill Murphy, Chairman
Gold Anti-Trust Action Committee Inc.
December 12, 2000

When gold rallied close to $4 on December 6, we cited
Goldman Sachs as a massive seller all the way up. As is
always the case when Goldman Sachs sells into strength,
the price of gold comes right down again. That comment
is just for the record. I would rather speak on the
positives of what our plan is to free the gold market
from the shackles of Goldman Sachs and their fellow
conspiratorial crooks.

Reg Howe's lawsuit is just awesome. It is beautifully
written and lays out overwhelming evidence of the
manipulation of the gold market. The feedback to me
from people who have taken the time to read the
complaint is that they are stunned. I suspect the gold
cabal is stunned too.

We expect that the gold cabal will mount a ferocious
counterattack, but they have one serious problem to
contend with. We have the truth going for us and it is
displayed at the web site for the world to
see. That is going to make it very hard for the gold
manipulation crowd to make us out as gold investor
malcontents who have filed a frivolous nuisance suit.
One has only to read Reg Howe's complaint, which has
been filed in U.S. District Court in Boston, to realize
that our case is powerful.

I will even go so far to say that I know of some
lawyers who have read it over carefully and believe the
case is a "slam dunk" for our team. That does not mean
it will be easy. We are taking on the wealthiest and
most powerful interests in the world. We are going to
need to raise a great deal of money to pay legal costs.

We do not need to be so concerned about what our
antagonists have to say about GATA and our lawsuit. We
need only focus on what the jury thinks. That means
many depositions, and that is going to cost some big

GATA's first target is South Africa. This morning I
spoke with Willy Madisha, president of COSATU, the
National Union of Mineworkers in South Africa. He could
not have been nicer and is eager to see the lawsuit.
The following was included in a letter sent to Willy
Madisha via express mail:

"As a result of this manipulation, mineworkers in the
gold industry have had to pay a terrible price.

"The Gold Anti-Trust Action Committee contends that
without this concerted effort to hold down the price of
gold by the defendants mentioned in this complaint, the
natural equilibrium price of gold would be hundreds of
dollars higher.

"As that occurs, many thousands of mineworkers will be
re-called to work and the wages of the workers could be
increased dramatically. It is scandalous that the
present gold price collusion that is hurting so many be
allowed to go on any longer."

I told Willy Madisha that a GATA delegation, including
Reg Howe, would like to visit him in South Africa to
determine how we could galvanize that country to help
us end this intolerable situation.

In addition to meeting with Madisha, GATA would like to
meet with the South African gold producers, the South
African press, and interested officials of the South
African government.

One thing that disturbed me in the recent U.S.
presidential election was the overwhelming support
given to Al Gore and the Democrats by black voters.
That is because I know they have deliberately wrecked
the economy of many of the black-led nations of Africa
and other parts of the world by forcing the price of
gold down so low.

The recent U.S. administration went to great lengths to
gain support for an International Monetary Fund request
to sell gold to for debt relief to help poor nations.
What hypocrites! Thirty-six of 49 such nations
requested that the IMF not do so because the low gold
price was hurting their economies too much. As Deutsche
Bundesbank President Ernst Welke said in Central
Banking magazine:

"We have all agreed that we should not sell more than
400 tonnes a year. The British have been selling. The
Swiss also, and they have more justification for it
because their per-capita gold reserves are larger than
the British. But we should not sell more. It is
somewhat disturbing that, on the one hand, we have the
poverty-reduction plans of the World Bank and the IMF
and yet, on the other hand, we damage poor gold-
producing countries by selling gold and reducing the

That is exactly what we are going to point out to Willy
Madisha. That is also what I pointed out today to the
two key staff members of prominent black Republican
U.S. Rep. J.C. Watts of Oklahoma, a rising star in the
Republican Party. They were sent overnight mail
packages that included the lawsuit, James Turk's
"Smoking Gun" article, and a copy of our Business Wire
press release. (The same package went to Madisha.)

While I did not put it in writing, I will not hesitate
to point out to J.C. Watts that the gold scandal is
basically a scandal of the present U.S. administration.
It is time that the world learn the truth about the
manipulation of the gold market to benefit the rich New
York bankers and the U.S. administration to the
detriment of so many around the world -- especially the
poor black gold-producing countries.

Maybe by the time Watts is finished with this issue,
Jessie Jackson won't be so eager to march in the street
for Al Gore. And, maybe many black voters will be
voting for Watts as he runs for higher office later.

My goal is to intertwine Madisha with Watts.

Ralph Nader ran for president to end the big-money
corruption in the U.S. government. With the evidence we
have to present to him about that fraud and corruption
we have found, Reg Howe's lawsuit should be right up
his alley. I await a call back from Nader's chief of
staff at the Center for Responsive Law.

Financial support and publicity are what it is all
about for us now. Publicity will help us in our fund
raising and put pressure on the gold cabal. The more
people read the lawsuit, the deeper the doo-doo the
gold manipulators will find themselves in.

It is our expectation that publicity will be slow at
first but build to a tidal wave. It takes time and some
serious understanding to absorb what Howe has
presented. It is not only fascinating, but the evidence
is so varied and compelling regarding the gold
conspiracy that it almost boggles the mind. Then, when
you think of who the perpetrators are and what they
represent, it sets one back a bit. "How could this be?"
is a normal thought.

But it is -- and Howe has laid it out perfectly. It is
not good enough anymore for the defendants to say that
our claims our baseless. They must respond to what
specifically is baseless and why. That ought to be fun
to watch!

We hope that GATA's friends will direct natural of our
cause to the lawsuit and James Turk's recent essay,
"Smoking Gun," posted at the web site.

In some cases emails are fine, but the best way to be
effective and make an impact is via a phone call with a
follow-up, a fax, or snail mail. People like Rush
Limbaugh receive as many as 10,000 emails a day. It is
a waste of time to email them. Politicians don't
respond to emails either.

Shareholders contacting gold companies by email to
alert them to what is going on is a different matter.
They should respond. There is no excuse for any gold
company, large and small, not to read what we have up
at the GATA site. What could be more important than
what we are doing for each company and its

For starters, they should send out an alert to all
their shareholders and suggest that they go to the GATA
site. There is much they can do to alert the gold press
to cover this story. We hope that they will join the

We ARE going to win this one. The sooner we galvanize
the gold and investment world, the sooner will be our
victory -- and that means a free market gold price that
is hundreds of dollars higher than it is now.