Jim,

This woman from the FT was one of the few that called the current crisis well ahead of time. She rightfully has been named Journalist of the Year in the UK.

FRGCR here we come! Remember CIGA’s: you heard it here first, on JSMineset!

Regards,
CIGA Pedro

Dear Pedro,

This is no joke anymore. It is for real, but now FRGCR is being considered as part of the SDR more than dollars in the manner I have outlined to you.

Jim

Fiat Currencies May be Replaced by Gold Standard

Gillian Tett is the head financial writer for the Financial Times, one of the leading mainstream financial publications. Investment analyst and financial writer Yves Smith says of Tett:

[Whatever] Tett is writing about … will be taken seriously, since Tett is read by central bankers.

So it is newsworthy that Tett writes today that the odds of a return to the gold standard are increasing:

A panel at the World Economic Forum meeting in Davos … was asked to produce one concrete recommendation to fix the global financial crisis.

The top pick? … a new reserve currency, akin to an old-style gold standard….

Moreover, these musings about a gold standard are currently cropping up in all manner of unlikely places. One savvy European property developer (who aggressively sold most of his holdings in early 2007) recently told me that he is now moving a growing proportion of his assets from government bonds into gold, even at today’s elevated prices.

More… ^[1]

Jim Sinclair’s Commentary

The following is from CIGA Hermit:

http://www.pbs.org/moyers/journal/04032009/watch.html ^[2]

The Best Way to Rob a Bank Is to Own One

The financial industry brought the economy to its knees, but how did they get away with it? With the nation wondering how to hold the bankers accountable, Bill Moyers sits down with William K. Black, the former senior regulator who cracked down on banks during the savings and loan crisis of the 1980s. Black offers his analysis of what went wrong and his critique of the bailout.
Here is the transcript of the video you can watch at the URL above
April 3, 2009

BILL MOYERS: Welcome to the Journal.
For months now, revelations of the wholesale greed and blatant transgressions of Wall Street have reminded us that "The Best Way to Rob a Bank Is to Own One." In fact, the man you’re about to meet wrote a book with just that title. It was based upon his experience as a tough regulator during one of the darkest chapters in our financial history: the savings and loan scandal in the late 1980s.
WILLIAM K. BLACK: These numbers as large as they are, vastly understate the problem of fraud.
BILL MOYERS: Bill Black was in New York this week for a conference at the John Jay College of Criminal Justice where scholars and journalists gathered to ask the question, "How do they get away with it?" Well, no one has asked that question more often than Bill Black.
The former Director of the Institute for Fraud Prevention now teaches Economics and Law at the University of Missouri, Kansas City. During the savings and loan crisis, it was Black who accused then-house speaker Jim Wright and five US Senators, including John Glenn and John McCain, of doing favors for the S&L’s in exchange for contributions and other perks. The senators got off with a slap on the wrist, but so enraged was one of those bankers, Charles Keating – after whom the senate’s so-called "Keating Five" were named – he sent a memo20that read, in part, "get Black – kill him dead." Metaphorically, of course. Of course.

More… ^[2]

Geithner, Paulson Named in $200 Billion Lawsuit
AIG-related case claims they violated shareholders constitutional rights
April 10, 2009
© 2009 WorldNetDaily

A $200 billion lawsuit filed on behalf of shareholders of American International Group has been amended to include Treasury Secretary Tim Geithner, former Treasury Secretary Henry Paulson and former Securities and Exchange Commission C hairman Christopher Cox as defendants.

The case, filed earlier by a public interest law firm, Freedom Watch USA, is on behalf of shareholders of AIG who have watched the value of the company plummet by some $214 billion.

The class action lawsuit filed in federal court in Los Angeles is a "wide reaching" claim that will do what Congress cannot, said Freedom Watch USA founder Larry Klayman.

"The American people, not the compromised ruling elite in Washington, D.C., have begun a second American Revolution to take the country back from the con men on Wall Street, and on Pennsylvania Avenue – who under successive administrations played a central role in the meltdown of the U.S. financial system and economy," Klayman said.    

The amended complaint now alleges that the additional defendants violated the constitutional rights of the shareholders by denying them the right to their property, the shares themselves.

"The inspiration for this amendment was information disclosed by University of Missouri professor William K. Black on the Bill Moyers’ PBS television show last Friday, where he implicated these government officials in a massive cover up of the banking scandal, mostly for the benefit of Goldman Sachs, the former employer of both Paulson and Geithner, in which they held a significant financial interest," Klayman reported.

More… ^[3]