Another Rotten Twist? Indicted JPM Metals Desk Chief Is LBMA Board Member

Here’s a round-up of the indictment so far. Is it just me, or does something about this whole thing smell, oh, rotten?

Let’s call this post a round up.

Here’s what has been going on so far with respect to the latest DOJ indictment of two current and one former trader.

Let’s start with this excerpt from the indictment (found at DOJ):

Two current precious metals traders and one former trader in the New York offices of a U.S. bank (Bank A) were charged in an indictment unsealed today for their alleged participation in a racketeering conspiracy and other federal crimes in connection with the manipulation of the markets for precious metals futures contracts, which spanned over eight years and involved thousands of unlawful trading sequences.

Charged in the indictment are:

  • Gregg Smith, 55, of Scarsdale, New York.  Smith was an executive director and trader on Bank A’s precious metals desk in New York.  He joined Bank A in May 2008 after it acquired another U.S. bank (Bank B).

  • Michael Nowak, 45, of Montclair, New Jersey.  Nowak was a managing director and ran Bank A’s global precious metals desk.  He joined Bank A in July 1996.

  • Christopher Jordan, 47, of Mountainside, New Jersey.  Jordan joined Bank A in March 2006 and was an executive director and trader on Bank A’s precious metals desk in New York.  Jordan left Bank A in December 2009 and worked as a precious metals trader at a Swiss bank (Bank C) in New York from March 2010 until August 2010.  From June 2011 until October 2011, Jordan traded precious metals futures contracts as an employee of a financial service company (Company D) in New York.

In a nutshell, the DOJ has unsealed an indictment charging the three individuals with criminal racketeering.

Here is Bill Murphy with some top-notch analysis of the indictment:

Bill makes several comparisons to Watergate, and we know how high-up that went!

Soon after the indictment, Craig Hemke uncovered what I would consider a circle-jerk of injustice.

Here’s Craig’s summary from his bombshell article:

  1. The Enforcement Division of the CFTC runs a five-year investigation into silver price manipulation, only to immediately close the investigation once presented with irrefutable whistleblower evidence of said manipulation.

  2. The head of the Enforcement Division, David Meister, quits the CFTC within a week of closing this investigation.

  3. Meister then takes a job with Washington law firm, Skadden LLP.

  4. Skadden LLP has been retained by Michael Nowak, former head of the JPMorgan precious metals desk, as his defense attorneys. The lead attorney defending Nowak is David Meister.

And there you have it. Abject corruption that is in your face and undeniable with another case of the Financial-Political Complex protecting its own.

Do you even recuse bro?

But wait, there’s more!

From GATA we learn:

Gold researcher Ronan Manly reports today that JPMorganChase, more of whose metals traders were indicted yesterday in the United States on charges of manipulating the metals markets, is a member of the London Bullion Market Association and that one of those traders, Michael Nowak, chief of the bank’s precious metals desk, is a member of the LBMA’s Board of Directors.

Is it just me, or does something smell rotten about this case?

We’ve got a CFTC-JPMorgan-LBMA three-way going.

And it’s not just investors getting screwed here.

You see, gold and silver are real money.

And our money is totally corrupt.

Everybody uses money.

So to deniers also.

There’s a word.

BOHICA!

Again?

Ugh.

Stack accordingly…

– Half Dollar


 

About the Author

U.S. Army Iraq War Combat Veteran Paul “Half Dollar” Eberhart has an AS in Information Systems and Security from Western Technical College and a BA in Spanish from The University of North Carolina at Chapel Hill. Paul dived into gold & silver in 2009 as a natural progression from the prepper community. He is self-studied in the field of economics, an active amateur trader, and a Silver Bug at heart.

Paul’s free book Gold & Silver 2.0: Tales from the Crypto can be found in the usual places like Amazon, Apple iBooks & Google Play, or online at PaulEberhart.com. Paul’s Twitter is @Paul_Eberhart.

***