Bernanke-Dimon-Fed-TunnelGerman financial journalist Lars Schall has released a MUST LISTEN interview with William Kaye, the Senior Managing Director of the Pacific Alliance Group of Companies in Hong Kong who made waves last week in a KWN interview alleging he owns gold bullion bars with the Bundesbank’s stamp and holds them in Hong Kong.

Kay clarifies his powerful claims to KWN, and drops another major bombshell, stating that the entire 3 month paper gold raid was orchestrated to prevent the imminent systemic gold default by the bullion banks in the days following the April gold default by ABN Amro:

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The paper smash on gold began only days after the official ABN Amro (gold) default.   The purpose for this raid was to preclude the likelihood that all the major bullion banks would have followed in ABN Amro’s footsteps!  We have alot of corroborating evidence that it wasn’t just ABN Amro that was running on empty as it related to gold inventories.
JP Morgan has record modern-era lows in gold inventory against massive paper claims.  Similarly, the COMEX is running close to empty as well against massive outstanding paper claims.  Essentially gold inventory in the system that would be available to the bullion banks was running very close to empty.  That was the case in mid April, and it continues to be the case today. ” –
William Kay


William Kay’s full MUST LISTEN interview on the how and why the Western Central and bullion banks orchestrated the latest massive paper gold raid can be found here:

2013 Gold Buffalo As Low As $59.99 Over Spot!

  1. Listened to this last night and will again today, mind blowing. I’m glad Kaye is shooting from the hip. Not that it matters in this perverse world – we need the crash to come and come quickly. IT is good to hear tacit validation for what we all believe is going on.

    • “Kaye is shooting from the hip”   Yes he is, because if big money ever believed any of his stories, gold and silver would be soaring higher already. 
      If gold inventory is truly running out in CB’s, gold is not just going to $2000, more like $20,000, something tells me that CB’s can manage their inventory better than many think, they got the price down to $1200 oz, and yet plenty of gold and silver is available for sale.

    • I don’t know that plenty is available for sale. Sure, deliveries have been made, but sales have exploded on plummeting prices, which goes against fundamental economic laws – and the strain on the system is evident. I look forward to mines shuttering and companies putting off projects. Not for the loss of jobs, but to give TPTB their eventual deserved fukk you.
      Desperation is the word I’d say. CBs can maintain the charade as long as they can, but not indefinitely.

    • zman  … “they got the price down to $1200 oz, and yet plenty of gold and silver is available for sale.”
      Really? So, how many thousands of ounces did you … PHYSICALLY … receive near that offer?

    • Canadian Dirtlump
      For someone ‘shooting from the hip’, I found him to be terrifically cogent throughout. And, I FULLY agree with your summary. Appearances will get them only so far before their gossamer facade blows over. The longer they play this out, the lighter the breeze that will accomplish it, too.

    • Kaye is a near perfect balance of a straight shooter who still measures his words to avoid being a 3rd year tinfoil hat apprentice. His experience and position lend credibility to his claims. Like I said I find solace in his words because it validates our thoughts after watching our faces get melted off and provides some mental respite until that great day comes that I can break out my notepad and start hanging I told you so’s on people.
      I just pulled the trigger on 40 of the new sbss warbirds to celebrate this debauched abattoir of fraud.

  2. “CB’s can maintain the charade as long as they can”   I agree, and the fact that they get cooperation from around the world (China and others) they are able to maintain a low PM price that benefits both parties (Western and Eastern interests).  This game has been played for decades, and might countinue for decades.

    • Decades? Are you really this dense? Good grief man, get a grip on the issues. The gold and silver markets are under extreme stress.
      Sorry, but I’m sick of these trollish and clownish type of statements polluting an otherwise good board.

    • Bay, “Gold and silver markets are under extreme stress”       Maybe so, but there is no real way of quantifying that statement, everyone knows about the COMEX inventory details, and GLD and SLV inventories,  and potential delays in getting product, ect.
      You know what happens if physical gold and silver markets are under extreme stress, in short order the price will move higher.
      Please don’t label people that question a bullish outlook for the PM’s, it’s about keeping a open mind,  regardless of the circumstances.

    • Bay, my “agenda” is to have a open minded discussion on the PM market, and to try to understand the current price decline.
      I am sorry my questioning of the bullish claims upsets you, but I like to question things.  I also question the bearish claims.
      I think the fundelmentals for higher PM prices remain strong, what has surprised me is the weak physical silver demand for such a small market, all it takes is a few million investors around the globe to bust the physical silver market, maybe one day.

    • Hogwash. How many times and different ways must it be explained to you? Read the posts below if you are still having a hard time understanding the situation. (AGXIIK’s post is spot on). I am unable to comprehend how you cannot connect the dots here at Doc’s place with the quality of posts made here every single day. It’s almost like you don’t read any of them. 

  3. “something tells me that CB’s can manage their inventory better than many think, they got the price down to $1200 oz, and yet plenty of gold and silver is available for sale.”
    If that was actually the case then the GOFO rate which is set in London, where 85% of the global gold trade occurs, wouldn’t still be negative after seven days. ABN Amro wouldn’t have defaulted on delivery of physical metal in April. GLD and the Comex wouldn’t have lost 30% of their gold stockpiles since December. Delivery volume on the Shanghai Gold Exchange since January has been over 1100 tons of gold. It would have been even higher but for the gold smash on 12th and 15th April which ignited global demand causing shortages on the SGE between 19th April and the 28th May. Therefore just the Shanghai Gold Exchange on its own will absorb pretty much all gold mined globally this year. Then you have Indian demand, demand from the rest of Asia, middle eastern demand and of course central bank demand. The gold price smash will also of course lead to reduction of gold scrap sales and gold mining production.
    It’s not as if the US/UK have any friends left after their escapades in the middle east and mainstream recognition of their extensive spy networks. I would say that the Anglo/American criminal syndicate are crapping their pants and well they should be.

    • Something I noticed about decreasing scrap gold supplies. Here in Toronto a chain of second hand stores called “Cash Converters” is closing 40% of all locations (22 stores) and one of the main reasons is the crash in the price of gold and no one is selling any scrap. More than one manager confirmed this fact with me. No one is selling at these prices and whatever few things they have for sale is 10k @ about 30$ a gram. One location is selling 80% canadian coinage at 25x face value for dimes and 40x face value for dollars! They haven’t sold lol. Maybe there’s just less and less scrap? “We Buy Gold” shops are all over the place in the streets and in the shopping malls.

    • 59LesPaul
      I’m sitting here wondering how many suckers are sitting with GLD shares in their IRAs. My guess is that’s WHY gold deposits were PERMITTED in retirement accounts TO BEGIN WITH. GOD, I hate the depths of corruption those SOBs have fallen to!

  4. Pat, are you saying that it was or is impossible to buy thousands of gold coins, at spot price plus the normal premium ($50-60 over spot)? I don’t think this is the case, correct me if I am wrong.

    • My point is, despite ALL THE EVIDENCE TO THE CONTRARY … because piddling amounts of retail coinage is available, you constantly make these self-assured statements as though your narrowly focused observations dispel everything else. We’ve heard NUMEROUS reports of folks with ALLOCATED ACCOUNTS, facing adamant dissuasion against withdrawals and LONG delays in receipt, only to get SOMEONE ELSE’S bars in place of what they’d originally deposited and, in the case of ABN Amro, NOTHING BACK BUT A STINKIN’ STACK OF DAMNED PAPER .. for who? For EVERYBODY!! You just can’t fathom it, but the cumulative implications STRONGLY lead to concluding that if 200 of the world’s billionaires tried to ‘pull the rip-cord’ your contention would evaporate like a fart in a tornado.

      But, as long as you can get two or three ounces of gold every few months … everyone’s full of crap about deliverable reserves. Dude, is your real name … Tommy? Are you a pin-ball wizard?

    • It seems to me, TPTB are trying like heck to keep some PM 
      liquidity in the small denomination PM markets 
      (which have higher premiums per ounce on Eagles, and 1 oz rounds, etc)
      so as to NOT SPOOK the small retail buyers. If the small retail purchaser is 
      convinced that there is a SHORTAGE, then all hell breaks loose! WE 
      (the small retail buyers of PMs) are the very folks who, en masse, 
      will trigger BANK RUNS and a possible U$D CRASH! This is why folks 
      like @zman have a hard time seeing this. 
      PMs being plentiful??? SEE BELOW! lol

  5. That was an ear opening interview really enjoyed it and now I gotta go buy some more Silver dammit, seeing they are manipulating again. O! Well, Keep Stacking. either I’m going to be rich or my kids are. LMAO

  6. I suggest you bookmark this particular posting gentlemen – with the benefit of hindsight you will see the significance of the topic, the messenger, and your own ruminations. This interview with Kaye(operating out of HK, via Schall(out of Germany) acts in the same manner as a message beamed from outer space at a dead planet. There are ghostly echoes of same from within the expired western worlds atmosphere, but no amount of Andrew McGuires, GATA, or anybody else who’s voices still linger on can be anything but that – echoes.
    Kaye is as mystified to the reaction to his previous comments as the gold community is to why gold has defied the ‘logic’ of the market in refusing to rise – and that is because he is living in what is now the ‘real world’ as opposed to the expired one which is still sending out signals giving the illusion of continued life in the west. It’s a given that when the last oz is drained from west to east, the ‘third world'(as in “twilight zone”) status of everybody still in the formerly first one will be instantly confirmed. ‘
    And unfortunately, that includes those who thought that pm’s would be their ticket out of purgatory. We was sold a ‘bill of goods’. And no, I am not coming to that conclusion from an anti-gold pov; I’ve been all in for a couple of years now, and would quite possibly have done it all over again the same way if I had the chance. But it’s all about location, location, location now. They’ve left nothing to chance and will be barring the final exits shortly.  The “central banks” are all centrally controlled, by one owner. Sovereign governments are not a factor. Kaye’s words confirm the obvious there.
    China(and perhaps to some extent Putins’ Russia if he can put together a deal with the rump of Germany not doomed to inclusion in the forthcoming Carnival of Souls!) is the only wild card left. Got an exceedingly strange msg from my gold storage company this week, and using the same tools of ‘inference’ and ‘reading tween the lines’ as Mr Kaye – have come to the conclusion that it’s time to get everything out of the west asap – in or out of ‘the system’ they will find a way to loot everything. Kaye’s words should be parsed with that in mind my friends.
    It should go without saying – if you get your wealth out intact, you need to get your arse out intact equally. Fact that Kaye had NO QUALMS about naming the refiner was the giveaway – the game is up.

    • @hedgey    Serious question for you.  What is your professional background?  You don’t post too often, but when you do it is always thought provoking.  Mind sharing a little bit.

  7. I’m still not buying at these prices. I continuously wait. In a great moment something will go off in my head and buy some silver. Yet a second thought is they are going to screw with this until the can. So, I don’t buy and then I see the smash. Over an over and over. These other countries are lining up against Amerikkka and the rest of these corrupt politicians around the world that support Amerikkka. 

    It’s a damn shame that men and women of all races can’t live amongst each other without killing one another. Travon or any other shootings. The bigger question is why no DOJ on the metal  manipulation, corrupt Wallstreet, banks that traffic money for drug cartels and these politicians know it.

    • generally speaking I find that if I go out high on marijuana to buy the fixins for “sizzurp” in order to enhance my high, as long as I don’t attack anyone, I don’t get shot. LOL!
      as for buying, whenever I get spare cash, I buy. Even if silver falls more, you’re more likely to see higher premiums than lower coin prices.

    • i helped put a dent in the Canadian Maples 2 weeks ago when Ag was getting hammered. Price was 18.61 but those Maples actually cost me 21.3999 with the premium. Im stacking and i hope the sons of bitches take it down below 17 this week and ill pile on another box. im in, bring it you rotten scumsucking trolls ( previous comment directed towards manipulators, any other perceived intent is purely coincidental) 😉

    • The bigger question is why no DOJ on the metal  manipulation, corrupt Wallstreet, banks that traffic money for drug cartels and these politicians know it.”
      There is no question there.  All of those scumbags are playing for the same team, so of course they will not take any action that is contrary to the team’s interests.  They are extremely well paid not to rock the profit boat and they care not what cargo the boat carries.

    • C&P from YT … Well THAT’S an odd coincidence, you have a vague resemblance to my BROTHER … Chas! Thanks for the ‘shout-out’!

    • Bisons? Wasn’t that a bit late? I bet you paid a hefty premium…
      Not that there are many semi-numi plays left now of course.
      Koala’s. Elephants, I have 50 of those on the way. Polar Bears here in EUland are still very cheap. Hope that’ll end soon. Noah’s Arks are creeping up it seems, got some of those on the way too from when they were cheaper.

    • they were 24.50 for immediate deliver from albern coin in calgary and I think it was around spot +4 when I bought them. 1 dollar more than maples or thereabouts. I have scads of maples and the place doesn’t carry anything else. I expect it won’t be a bad buy.

      I have a tube of polar bears as well, and look forward to those finally being gone. I understand there is only 20-30k of them.

    • I stand corrected. Killer buy, I applaud and envy you 🙂
      Very good catch. We pay that in Euro’s nowadays. Certainly for the Antelopes by now (got plenty of Bisons, got locked out of most Antelopes after I sold mine).
      I paid a similar premium over Maples (indeed a great yardstick) for my Bisons, but months ago, when the crash started.

      Who to sell all my Bisons to, I don’t know yet. Selling Cougars (ugly) is a long effort. Ebay might help, but I have not found courage (1 e more than Cougar) to undertake an eBay campaign. The unclear fees, the feedback thing, and the tiny local market. I’d need to try and engage the German market, which makes shipping relatively costly, etc.

    • “Sounds like this Irish guy has had a few too many, but is still of sound mind from what he says”
      Good gawd, man, do ya no’ noo the sound of a bonnie Scottsman when ya hea’ ‘im?  lol
      As always, keep stacking.  I got 200 Antelopes from Provident last month and by some stroke of luck they were about $0.50 each cheaper than regular Maples.  🙂
      Would like to be buying some US 90% silver coins now but most places are charging a higher premium per ounce than they do for Maples and ASEs!  Not exactly my idea of a good buy.  I need to do more LCS scouting, I guess, because the Internet coin and bullion vendors are not helping us stack all that much junk.

    • Sounds like this Irish guy has had a few too many, but is still of sound mind from what he says
      AAAAAAAAAH How come when your happy with yourself inside and out people think your drunk. LMAO
      And By The Way I’m Scottish not flipping Irish, Though There’s Nothing Wrong With Being Irish, My Mother Was.
      As Always, Keep Stacking

  8. Just finished listening to Kayes interview, he sounds very much like a man who is in command of his faculties and quite sure of his knowledge of the Precious Metal market. His decades of experiance form Goldman Sachs to Payne Webber to successfully starting his own fund, lend to his credibility. I, like most of you here, anxiously anticipate the global crash will be sooner rather than later. We wait and pray that we will weather the storm better than most due to our preparation, but its gonna be one helluva storm to ride out.

  9. Well, there you go. Charlie telling it like it is, with a picture of the Great Escape poster behind his silver locks.  I had to listen to Charlie first, a voice  of reason.  Now on to the video interview that’s got everyones attention.
    Mikey set a letter out re the ABN AMRO excused failure to deliver and settling for cash as they sold that division of this failing bank and thus were no longer in that line of work.
    If ABN was the tipping point, for whatever reason they used to excuse this FUBAR, the April 12-15 $200 an ounce price knockdown required 500 tons of short gold paper trading in the space of about 8 hours. This $22 billion shuffle probably could not been rigged without the Fed’s ESF with its $100 billion warchest, or so it might seem. That highly risky venture needed some serious capital. I doubt if any one bank, such as JPM, could have carried that water for the FED. BIS might have been involved to but evidence of that would be sketchy. Willie has spoken to that possibility.
    This was a very dramatic action that might have been used to disguise the lack of gold delivery from ABN. But I think there were other reasons for this action.
    The shortfall of inventory in the bullion banks is no secret. The price knockdown was reputed to be an action to scare weak hands from gold as a bad investment and get long weak hands out of their positions as well. If it scared enough investors from gold, it could end up protecting the runs on the bullion banks shaky inventory levels. This seems to have backfired according to some who opine on this. It might have scared some from gold but in reality it just offered the eastern bullion banks, central banks and investors an opportunity to buy at $200-300 less an ounce and buy in 20-1,000 ton tranches. Hmmm, someone just offered us a 20% discount of one of the best forms of real money there is. That you Paine Webber.
    That’s a heck of a bargain that I think was an unintended consequence of this price busting move from mid April. And yes, the western banks and GLD are being gutted. The very stealthy way this is taking place, grand theft gold, in plain sight, so well concealed by the folks who should know better, is quite the scheme.
    GLD is down to about 940 tons. With $12,000,000 of GLD stock, that one should be able to acquire say, a half a ton of gold, shipped from HSBC to Hong Kong or Shanghai, pocketed into a vault or flipped for a nice profit, is one heck of a gift from stupid bankers and traders to smart folks who will shortly end up with the preponderance of gold left in US and other western banks. This legal removal of gold is sort of a come-uppance to the arrogance of western bankers IMO
    We as small stackers might has no effect on these actions given 400 ounces bars are flying over to China and India to be melted, checked for purity, recast is smaller ingots and stacked in their vaults, but we’re getting a decent price on our purchases too.
    I don’t know what will happen when the western vaults are looting until they are empty. Or when a western bullion bank force majeure will take place. But it is coming. No one with the liquidity as demonstrated by the Chinese, Russian and Indian is going to stop buying gold at a 20% off sale so long as the midnight gold discount window is open.
    Reading the WSJ, the TBTF banks, Citi, JPM, B of A et al are announcing huge profits ranging from $4-9 billion this quarter. It seems to me that this is just window dressing in the paper ponzi currency scheme while the smart money steals the good stuff from these banks
    at light speed. If GLD sees another 50% drop in inventory, along with the first 50% inventory Blue Light Special’ that started earlier this year, they will be nothing more than road kill, scavenged by eastern bullion bank vultures.
    Once GLD is stripped of gold or depleted to the point that their and HSBC fraud is exposed, I think that will signal game over.
    JPM can play games with their gold holdings. So can CNT, Brinks, Scotia and others, declaring the force majeure and delaying the day of reckoning while their overlords run high cover throught ESF and BIS paper trading action. This might give the western bullions banks time to visit the coroner, embalm themselves and bury their criminal butts deep in the earth. Whether they get away with this and avoid jail or worse remains to be seen. But like ABM AMRO, I speculate they’ll try to figure out how to cover their a**** with a little help from their friends.

    • AG, this is a thought provoking post and raises one of my own.
      If GLD is just designed as an arbitrage play for big banks while allowing the average Joe to buy something that closely resembles gold price, what does it matter if stocks go to zero or not?  GLD has only been around since 2005, before that gold was still mined, minted, and traded.  
      GLD inventory should, and from what I can tell does, mirror the available shares (as a non-leveraged fund), so the massive drop in GLD inventory is accompanied by a mass drop in outstanding shares.  But the amount of gold remaining compared to shares remaining should be close to 1:1 (i.e. my share may be worth less thanks to lower prices of gold, but still represents the fund holding the same number of ounces).
      So if GLD goes to zero, that gold likely ends up in deliverable vaults for COMEX or other exchange to fulfill the arbitrage, I think that the real story will be what comes after that.
      Shanghai exchange is settled physically much more often than the COMEX is, if the gold is heading over there, it is more likely that a long actually wants the physical, where at COMEX it seems mostly a paper play (though we all know the direction of the stocks!)

  10. XCS    I dont read Dutch but reading between the lines, the last line or so is pretty telling.  When Pascal was asked about RABO I get the the impression that his response  “Ik weet het niet’  might mean:
    Rabo? it went tits up–like ABN.   No gold today, Mein Heir  None tomorrow either

    • No, it translates: “I know it not”.  “I do not know”.
      These little blog sites get these scoops, and mainstream doesn’t want to discuss it. And PM fund shareholders just silently extract whatever they can. Or take money out and run to the bullion dealer. I suppose.

    • ““Ik weet het niet’”
      I don’t know Dutch either but do know some German.  When I saw this, the first thing that popped into my head was :”Ich weiss es nicht”.  lol

  11. China is getting all the gold they ask for, cause they have the capability to put serious hurt on the USA.  Germany is weak, and is being occupied by US troops, so they get little to nothing.  How they (Germany) could have been so stupid over the years, to allow their gold to be stored in the country who defeated them in WWII, is beyond me.  It’s like the bully up the street who beats the crap out of you, and you let him hold your baseball cards in his room.  LOL.  Dumb Stupid Germans.  Man!!!  7 more years…  Right!  This ponzie game is about to end on Oct 8th.  LOL ! ! ! ! ! (Am I the only one who still uses the “LOL” anymore?)
    Gonna listen now.  Remember, I posted the link to the KWN interview here first under the FT KNOX LOOTED thread, if anyone noticed…

    • “How they (Germany) could have been so stupid over the years, to allow their gold to be stored in the country who defeated them in WWII, is beyond me.”
      You say that as if they had a choice.  Did they?  Probably not.  To the victor go the spoils and all that. Not saying that it is right, just that it IS.

  12. Yup.  By the amount of gold that’s being sent to China, they should have cleaned out all the Western vaults by Oct 8th.  Then they’ll probably dump Treasuries in mass to get rid of the worthless dollar.  If I were Germany, I’d start dumping Treasuries right now, before they lose out in that game too.  America is also stupid, letting all our gold go overseas.  So In a short while, America will become a third world country, and the only people in the upper class will be those whose money is in gold and silver.  The game is heating up, and soon to end.  I can feel it.  It can take only a few days or less to see the gold and silver for sale in America, like on eBay, Craigslist, LCS and Newspaper Ads, dry up to next to nothing.  Then you’ll see the price rocket, disregarding the ponzi CRIMEX and LBMA price.  There already is a small disconnect that has been going on for a few months, so this will only get bigger.
    Buy now or forever hold your peace.  I’m love’in it ! ! !

    • And, with the length of both China’s and India’s borders, some amount of gold smuggled across must be taken into account. This may not (directly) flow into central bank vaults, but it will find very strong hands nevertheless. One only sells the gold that can be instantly replaced, significantly cheaper. No different from my little silver trading.

  13. No worries Ed    English is my third language, Canadian is second. Mumbling is the first,  according to my wife.  ‘Stop mumbling’ says she.
    I think maybe it could be a good course at the local jnior cllge.  Mmblng 101.  Crscredit 1.5 unit. Stdn loans avlbe
    If KLUMAC can be a constitutional scholar I can be a perfessr of mushmouf  And yes, we still use LOL. 
    that’s  from the classic Mumble-chic era. if you ask me.

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