Bankers gold scam about to explode...

If you can fractionally reserve gold,1 ounce is worth 40, 50, or 100

Submitted by cpowell on Fri, 2010-08-06 00:07. Section: Daily Dispatches

8:09p ET Thursday, August 5, 2010

Dear Friend of GATA and Gold:

A 1-ounce gold coin in your sock drawer may be worth $1,200 to you, blogster FOFOA notes this week, but it is worth many times that in the hands of central banks and bullion banks because of their fractional-reserve gold banking system. If, as CPM Group's Jeff Christian and GATA's Adrian Douglas maintain in cordially hateful agreement, every ounce of gold in the fractional reserve banking system can support claims to 40, 50, or 100 ounces of gold, then, FOFOA suggests, the real price of gold is at least 40 times $1,200. Or at least that's the real price until those who suppose themselves to be depositors in the fractional-reserve gold banking system start taking delivery of their metal, start taking it out of the fractional-reserve system, initiating a great short squeeze, in which case there may not be enough zeroes to put behind the real price of an ounce of gold. FOFOA's new commentary is headlined "Relativity: What is Physical Gold REALLY Worth?" and you can find it at his Internet site here:

http://fofoa.blogspot.com/2010/08/relativity-what-is-physical-gold-reall...

CHRIS POWELL, Secretary/Treasurer
Gold Anti-Trust Action Committee Inc.