First Official Complaint Filed To DOJ-Anti Trust Over JPM's Role In Silver Manipulation Case

Tyler Durden's picture

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Number 156's picture

That will go nowhere fast.

Btw, all you gold bugs out there who are holding gold on paper, sell your paper NOW.

If you want to wait for delivery of real gold, you may already be too late.

swamp's picture

Ass kicking complaint.

It needs to go world wide viral like the GATA CFTC video.

If, like you say, it goes nowhere (in terms of DOJ action) then the conspiracy of JP MOrgan (and Goldman Sachs — too big to fail crappers) with government is further cemented while outright corruption is exposed and faith in the USA and USD erodes at a faster pace.

john_connor's picture

156, you beat me to the punch.  Anyone who is holding PM's in paper ETF's or funds should demand delivery or sell NOW, like today.  It would be very ironic if you were right all along except that paper shares were just a part of the fiat bonfire.

Sell the paper, buy physical, and set up security measures around your home as needed. 

Number 156's picture

Fiat indeed, and who can afford to find out the hard way that the paper belongs on a roll next to the toilet seat.

Dump GLD and SLV ETFs, like right now and get PHYSICAL.

dlmaniac's picture

Hats off to Mr. Homme.


Nolsgrad's picture

long silver vs. gold here. gonna decimate all you gold bugs.

Number 156's picture

You better have physical silver though. We'll be wiping our asses with the paper.

Spitzer's picture

Bullshit, silver has too much industrail use, gold will do better in a depression.

CitizenPete's picture

I thought we were in a depression?  How's that Au bullion a tastin?  like "Chikin"?

duo's picture

FRNs don't taste very good at all, but at least they have fiber.


1 oz copper coins could be our future $1-2 bill

swamp's picture

I know what you mean in terms of pure monetary value, however, gold will be too expensive to use even in fractions of one ounce for small time items, availability will be narrow, and silver is a good "poor man's gold" substitute (sorry silver lovers).

FEDbuster's picture

Even at current levels ($1150) the value of gold is too high for most barter transactions.  How often do you go out an spend $1150. on a single transaction?  Siver at about $18. makes more sense for barter, better yet pre 1964 coins like a quarter is worth about $3. now.  Nickels are worth more than five cents (save your nickels).

The gold:silver ratio should tighten in the next few years, with silver prices rising faster than gold on a percentage basis.  Once the silver fraud and manipulation is well known, silver should take off.  David Morgan says that once silver breaks through the $25. level, it could go to $50.+ very quickly.

When gold goes to $2K+ and silver is $50+, the world is going to be screwed up much worse than today.  Now is the time to really prepare for that.  A good place to start is .  Hang on tight this rollercoaster ride is just getting started.

Marzen's picture

how better? I find comments like this funny.

Anyways...physical on Both Silver and Gold!!!!

Hulk's picture

Same here. Most of us "goldbugs"

are "silverbugs " too

mattco's picture

Someone just wasted a few hours of their time. You get an "A" for effort but a "F" for thinking that anyone at the USJD will read it. Also realize that JPM is basically an arm of the Fed and are most likely doing their work for them. But it was fun to read. Thanks.

digalert's picture

Isn't Obamas man Holder the top justice guy? yep

We know where this is going...

gratefultraveller's picture

Well, as Karl Denninger once remarked about his activity, this is not necessarily about obtaining any results immediately, but rather to document the ongoing fraud *on the record* to make sure none of the involved can later claim that they were not aware of it, in case there should ever be a serious investigation.

As an efficient official investigation would presume the existence of a functioning society, I am not too optimistic about the chances of this ever to happen, though.

MarketTruth's picture

So exactly how many official complaints has Denninger filed? With his whining and chart 'proof' almost daily and whatnot, you'd think he would have filed at least 50 official complaints by now.

So how many has Denninger filed... or is he all talk and no action?

The again it seems he has no belief in hard currency or the obvious and constant proof of manipulation so justice may be served his way one day. Sometimes even the obvious proof blinds people who want to protect the currupt system they hold too dear to their heart.

swamp's picture

The complaint sets the facts, the groundwork, the exposure to the world, and beautifully sets up DOJ as corrupt if they fail to act. It reveals the magnitude of the paper game and is GREAT information for all investors. Look at those numbers!!! whooooo hoooooo

umop episdn's picture

Yes. The fact that this complaint was filed will be considered newsworthy, just not by the LameStreamMedia that most 'Merkins are likely to read/watch. The LSM doesn't control the whole world...and the whole world needs to keep accepting the Feral Reserve Notes or the Ponzi scheme starts to blow up. Just a matter of time, in my opinion...

LeBalance's picture

All pissing in the wind gets you is wet and needing a bath.

But pissing in the wind in court costs you untold time and money as well.

Play the chess game, realise the course, and walk away.  Change the channel and don't play their illusion.

LOL, like you have a chance in front of JPM's judge and JPM's law? /ouch!!!/

ToNYC's picture

Whining about court costs, changing the channel, walking away,fear of the time spent before corrupted judges; this is not the courage our founding patriots demonstrated when they took the time out from their busy lives to show up in Lexington and Concord on April 19, 1775

Segestan's picture

Ya Jason deserves an big applaud for at least setting an documented legal example of metals fraud. Now the real fraud will begin... by the denial of justice.

Blackpearl's picture

That's what I call a worthless noble cause......



Rick64's picture

I understand the cynicism, but at least he is doing something which might turn into sombody else stepping up. If the momentum gathers speed it might become something they can't ignore.

Rusty_Shackleford's picture

Well said.


I think he did a nice job. 


Kudos to you Jason.

swamp's picture

Other world players must be salivating at this information.

People thought GATA was fringe too, and look at the impact Murphy's testimony has had already in just one week — all without "official" government action. 


TroyMcClureRIP's picture

What are some of the best channels to utilize to buy physical gold? 



Shameful's picture

Tulving is the best for price and shipping, big minimum orders.  CNI and APMEX are both good too.  Have used all 3 and been happy.

MarketTruth's picture

Have been at this for MANY years....

#1 Tulving (high min to buy, best deal and fast delivery)

#2 Gainesville Coin (best price lower mins, fast delivery)

#3 CNI or Apmex (slower delivery, higher spreads yet they do deliver)

Pure Evil's picture

Great tips from both of ya!

JX's picture


Kinda wish GATA would've done this first. 


CitizenPete's picture

Who would have ever guessed that Jason Hommel would have been the first to officially file?    he he he 

That durn "mightier than the sword" pen agin!   Outside the Matrix in the real world, the landless peasants would open a Sams' Club size case of Whoop-ass on someone.  

I crashed a lecture by Harvey Silverglate at Case Western Law School this week. He lectured on his book, "Three Felonies a Day: How the Feds Target the Innocent. " and he gave examples how the Justice Department "fills the gap" in broadly drafted statutes to obtain any desired result.  "Show me the man, and I will give you the crime."  About halfway through the lecture I came to the realization that one could never store enough ammunition for personal protection from the strong men of our owners -- then decided one would really need a personal squadron of attack helicopters to have half a chance of defending themselves.

I'll bet JPM is just a shakin in their Amedeo Testonis.

3ringmike's picture

nobody gets out of this shit house alive

Absinthe Minded's picture

I hope this guy drives an armored car for his commuter.

xPat's picture

GATA's incompetence has been mind-boggling, and it's frustrating to see yet another well-meaning but completely mis-placed effort to do the right thing that will only distract attention from what's important.

Folks, here's what's important:

  • CFTC has a comment period on COMEX position limits open right now, and they appear (just maybe) to actually be listening.
  • JPM has a massive concentrated short in silver futures (Ted Butler's research)
  • Andrew Maguire claims to have compelling evidence that JPM is consciously and intentionally using that short to manipulate the market.

That's really big stuff. What the investment community needs to do is stay focused on what's important. But instead GATA insists on taking Jeff Christian's testimony completely out of context, and using it to form largely baseless allegations of "the fraud of the century" on the LBMA.

What's important is to stay focused on how to effect real change.

CFTC has no regulatory jurisdiction over LBMA. They do have jurisdiction over COMEX. We need to pressure CFTC to take meaningful action within the scope of their authority. That's the opportunity before us right now (comment period still open) and that's where we need to focus our energy.

I'm not saying there's no scandal on the LBMA. There very well may be, although Jeff Christian's testimony in the CFTC hearing certainly doesn't "admit" any such thing in the way the incompetents at GATA keep alleging. But my point is, save LBMA for another day. Thanks to GATA and Eric King, way too many people are confusing way too many issues and writing in to CFTC about "fractional reserve scandals" and "fraud in the London market". Those are not within the scope of CFTC's jurisdiction, and are therefore irrelevant even if true.

All this nonsense about "illegally selling contracts on the COMEX when they don't own the metal" is nonsense. The COMEX is a derivative market and there's nothing wrong with selling what you don't own there. It's legal. But we have strong and compelling evidence that something very illegal is going on, and that CFTC should act to correct (JPM concentrated short being used for price manipulation before major economic data releases). We need to stay focused on that and keep the LBMA conspiracy theories and related GATA rhetoric out of the process.

Please, google "ted butler a time to act" and read Ted's excellent piece also emphasizing the importance of staying focused on what CFTC actually has authority to regulate. That piece also contains instructions on adding your own comments to the public comment process, and a sample letter for reference.

IMHO, Eric King and yes, even Tyler Durden should be ashamed of themselves for their role in helping GATA's incompetent leadership to distract everyone's attention from the solid, irrefutable evidence in favor of theory, which although it might eventually be proven true, isn't relevant to the regulatory opportunity now before us.



MarketTruth's picture

Agreed, and the LMBA is deeply corrupt and will NEVER change. Look at where the Rothschild/etc do their dirty work and what they own. So the LMBA will never change, yet demanding physical delivery means eventually the shelves will be empty.

swamp's picture

Focus on the fact that CFTC works for the too big to fail, not you, they have no interest in you, at all, never did never will.

knukles's picture

Tired of hearing about selling that which one doesn't own on derivatives markets.  That's a fundamental underlying premise, a necessity for the whole marketplace to function.  The hedger, by definition requires the offsetting spec. 
And if the market is to be broad, deep and liquid, there will, by definition be significant over purchases and sales versus the underlying commodity supply. 


That is NOT to say that there are not attempts at malfeasance and manipulation.  Evidence (real, proven, not debated, suspected, etc.) the Hunt Brothers attempt to squeeze the silver futures market some eons ago. 

But that a derivatives market has out standings Many Multiples of the underlying is of no consequence in and of itself.  That's one of the fundamental premises behind Clearing Corporations.   
Not to mention that each short and long in the futures arena posts not ony initial, but Variation Margin.

Sabremesh's picture

It should be added that although Andrew Maguire has been described as a "whistleblower", this is not technically correct. Maguire is not a JP Morgan employee and therefore has no first-hand experience of JPM's market rigging activities. Although I have no doubt this manipulation is occurring,  a JPM metal traders conversation with Maguire is no more than hearsay, and wouldn't be admissible in court.

This was a big story, make no mistake, but it would have been much bigger if an actual JPM trader had come forward to blow the whistle.

sweet ebony diamond's picture

it's great.

for the historical records.

just like the ZH website.

xPat's picture

Forgot to mention...

GATA keeps trying to make a big deal about how Jeff Christian "admitted" in his testimony that the LBMA (that's the PHYSICAL market in London) is "leveraged" 100:1 by paper over real gold. GATA and Eric King would like you to believe that this is "the biggest fraud in history" and that selling something you don't have - as they allege Jeff Christian to have admitted is the case 99% of the time on the LBMA - is fraudulent default.

Wow! Them's some pretty darned incriminating words, and anyone who listened to the GATA round table interview by Eric King would certainly be expected to come away outraged that 99% of what's being sold on the physical market really has no physical gold behind it. And Jeff Christian even admitted it! That Bastard!!!

Unless, that is, you listened to what Jeff Chritian actually said, as opposed to the nonsense GATA is claiming he said. You don't have to take my word for it. Go to the CFTC website, bring up the official video of the hearing, and go to the 5:32 mark, where Christian makes the now-infamous "100 to 1 statement".

All he really says is that the term "physical market" is something of a mis-nomer, because a lot of people in the industry use the words "physical market" to refer not only to the real physical market (LBMA), but collectively to LBMA plus OTC derivatives, and other stuff. He goes on to say that when you consider that collection of markets including both the actual physical market and the derivative markets, perhaps as much as 100 times as much gold is traded than really exists in physical metal.

There's no scandal or great revelation in Christian's testimony, folks. I'm not saying there is no fraud on LBMA - there probably is. But as noted in my earlier post, this is not the time to make a case about LBMA. It's time to focus on what CFTC has authority to regulate, and that's position limits on COMEX Gold and Silver contracts.


tip e. canoe's picture

imho, always thought that GATA, while its intentions are noble, is its own worst enemy.  it definitely serves a purpose and should be respected for its diligence & perservance, but perhaps it's time for it to pass the baton to someone with a little more saavy for strategy.

Al Gorerhythm's picture

How many hundreds of billion naked short has the OTC grown to, in the gold and silver markets as reported by the BIS? Where were you screaming about this  and central bank dumping of gold for the last 10 years? Where is your track record of sacrifice of your time and money as well as attacks upon you credibility and body personally.

Fine, focus on your US centric, market oversight buffons, but don't make excuses for fuck ups like Christian who have been disparaging any hint of market manipulation since GATA was formed. They have endured enough vitriol from these turds over the years, without having to get labeled as incompetents by some wanna be. Let them have their day. It's been a long time coming. Congratulations to Bill and team for getting us to where we are, and fuck you for trying to besmirch them for their achievement, using semantics to justify your points. What are you, a fucking troll?