by David Kranzler
Investment Research Dynamics
House Rep, Alexander Mooney, introduced a Bill that would the first true audit of gold owned by the United States in more than 65 years. The Bill, if passed, would require a full assay, inventory and audit of the U.S. gold every 5 years. Currently the gold is being “safe-kept” by the Fed.
The last time a Bill was introduced to audit the Fed, specifically the gold and gold swaps activity, the Fed spent millions in lobbying fees to have the legislation drafted by then House Rep, Ron Paul, buried. Then Chairman of the House Financial Services Committee, Barney Frank, made sure the Bill never left Committee.
What exactly does the Fed have to fear with respect an audit of the U.S. citizens’ gold held at the Fed?