For illegally withholding gold information, Fed pays GATA
4:37p ET Friday, May 13, 2011
Dear Friend of GATA and Gold (and Silver):
The Federal Reserve System this week paid GATA $2,870 in attorney's fees and costs for illegally withholding a gold-related document GATA sought in its federal freedom-of-information request and lawsuit against the Fed in U.S. District Court for the District of Columbia.
While the judge in the case, Ellen Segal Huvelle, allowed the Fed to withhold most of the gold-related documents GATA sought (http://www.gata.org/node/9560), the document she ordered disclosed, the minutes of a secret meeting of the G-10 Gold and Foreign Exchange Committee in April 1997, showed Western central bankers conspiring to coordinate their gold market policies:
GATA's freedom-of-information request also elicited an admission from a member of the Fed's Board of Governors, Kevin M. Warsh, that the Fed has gold swap arrangements with foreign banks and insists on keeping those arrangements secret:
From what GATA's case extracted from the Fed and from what the case showed the Fed was determined to keep secret, it now has been established on the official record that the Fed and likely the U.S. Treasury Department too are heavily involved in surreptitious action to suppress the gold price. Thanks to GATA, financial journalists now have plenty of documentation to pursue the story of gold price suppression:
All they need now is the courage to pursue it.
GATA continues to approach many news organizations to urge them to pursue this story.
A letter from the Fed's associate general counsel, Katherine H. Wheatley, to GATA's lawyers, William J. Olson and John S. Miles of William J. Olson, P.C., of Vienna, Virginia (http://www.lawandfreedom.com/), conveying the check for the attorneys' fees and costs, has been posted here:
A copy of the Fed's check payable to GATA has been posted here:
Of course the attorneys' fees and costs paid to GATA by the Fed are just a small fraction of the total costs incurred by GATA in the case. To cover those costs, to explore more legal action against the Fed and other government agencies, and to continue its work generally, GATA is always grateful for financial contributions, which are federally tax-deductible in the United States:
CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.
Sona Drills 85.4g Gold/Ton Over 4 Metres at Elizabeth Gold Deposit,
Extending the Mineralization of the Southwest Vein on the Property
Company Press Release, October 27, 2010
VANCOUVER, British Columbia -- Sona Resources Corp. reports on five drillling holes in the third round of assay results from the recently completed drill program at its 100 percent-owned Elizabeth Gold Deposit Property in the Lillooet Mining District of southern British Columbia. Highlights from the diamond drilling include:
-- Hole E10-66 intersected 17.4g gold/ton over 1.54 metres.
-- Hole E10-67 intersected 96.4g gold/ton over 2.5 metres, including one assay interval of 383g of gold/ton over 0.5 metres.
-- Hole E10-69 intersected 85.4g gold/ton over 4.03 metres, including one assay interval of 230g gold/ton over 1 metre.
Four drill holes, E10-66 to E10-69, targeted the southwestern end of the Southwest Vein, and three of the holes have expanded the mineralized zone in that direction. The Southwest Vein gold mineralization has now been intersected over a strike length of 325 metres, with the deepest hole drilled less than 200 metres from surface.
"The assay results from the Southwest Zone quartz vein continue to be extremely positive," says John P. Thompson, Sona's president and CEO. "We are expanding the Southwest Vein, and this high-grade gold mineralization remains wide open down dip and along strike to the southwest."
For the company's full press release, please visit:
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... Dispatch continues below ...
Wall Street Journal Publishes Lewis Lehrman's Call for the Gold Standard
In its April 26 edition The Wall Street Journal published an important essay by the Lehrman Institute's chairman, Lewis E. Lehrman, explaining why a gold-convertible dollar is critical to eliminating the shocking federal deficit.
"Experience and the operations of the Federal Reserve System compel me to predict that U.S. Rep. Paul Ryan's heroic efforts to balance the budget by 2015 without raising taxes will not end in success -- even with a Republican majority in both Houses and a Republican president in 2012. ...
"What persistent debtor could resist permanent credit financing? For a government, an individual, or an enterprise, 'a deficit without tears' leads to the corrupt euphoria of limitless spending. For example, with new credit the Fed will have bought $600 billion of U.S. Treasuries between November 2010 and June 2011, a rate of purchase that approximates the annualized budget deficit. Commodity, equity, and emerging-market inflation are only a few of the volatile consequences of this Fed credit policy."
To read more, and to sign up for The Gold Standard Now's free, noncommercial, weekly report, "Prosperity through Gold," please visit: