Bart Chilton: Silver Investigation to Conclude by September if Not Sooner

The Doc contacted CFTC Commissioner Bart Chilton this week regarding the delay by the CFTC and the SEC in enacting position limits in silver, as well as the CFTC’s silver manipulation investigation, which is now in it’s 4th year.

As the CFTC’s Commissioner’s have recently come under extreme criticism by the silver community, with long-time supporter Ted Butler finally throwing in the towel last week and calling for Chilton and Gary Gensler’s dismissal, we offered Bart the opportunity to speak with The Doc to update readers on the progress of both the silver investigation as well as the implementation of position limits.

Commissioner Chilton has deferred a live interview until the silver investigation is concluded ‘in the next 2-3 months if not sooner‘, but has allowed SilverDoctors to publish his response regarding these inquiries.

Bart Chilton: Silver Investigation to Conclude in 2-3 Months

Doc, Thank you for the invitation, but I must decline a verbal interview. As you know, I’ve spoken a lot about this (radio, television, and in the press). I’ve also answered many emails, including this one at 1:30 am.

I expect the investigation to conclude in 2-3 months, if not sooner. As you know, I can’t take an action by myself (I would have done so long ago if that were the case). It takes at least 3 of the 5 Commissioners.

What I will say is that if this matter was as simple as some writers state and many believe (large concentrated positions regularly manipulating the silver market) this would have been over years ago. It just ain’t so. These are complex global markets–with an emphasis on the global and the “s” (think foreign regulators, foreign holdings, various entities and trading partners to start off with) where things are traded and sliced and diced into physical and other myriad exotic products. These markets can sometimes be like giant shell games.

On limits, I’m hoping we and the SEC will conclude the swaps definition later this month or just after July 4th. I also hope the bankers law suit seeking to stop the rule from being implemented doesn’t have any life. It is frivolous in my opinion.

Finally, there has been a lot of action in silver markets for the past several months. We have a new individual with lots of experience (former silver trader and regulator who caught manipulation before at FERC). He, and his staff, have been looking at trades in detail each time some potential anomaly occurs. There has been more staff hours dedicated to looking at silver in the past few months than anyone would believe.

You may feel free to put this up on your site in its entirety. I was surprised when I was told you put a portion of our emails up the last time we communicated. Anything I write can logically be expected to get on the web, I get that. I just would have made sure to spell check and be more thoughtful than a simple email response if I’d known. Anyway, I guess people had a vulgar on-line party in my honor. Such is life. We do the best we can.

Thanks again for the interview offer. Perhaps when we conclude the investigation, we can talk.

B