VHF - your post this morning re the CFTC Enforcement Division, and the week's trading action in AUM, AUMN, and the warrants, made something in this little head of mine snap, so I fired off an email to Bart Chilton. To my amazement, I received a reply within 70 minutes. My vent for the week.

From: lawnbowler (obviously not on the email, LOL)

Mr Chilton,

I must say that I am not impressed with the CFTC's Enforcement Division, and the (non) progress of the CFTC towards setting limits on speculative positions in the silver market on the COMEX. When is it going to happen?
(IMO it will not, because I am of the opinion that those running the CFTC are bought and paid for, bribed, threatened, use what ever phrase you want here, by the bullion banks, acting as agents for the Federal Government. Here is my take. President Obama wants to get re-elected. He has to show the American people that the US dollar is strong for now, so that there will not be a panic that triggers a flight to safety in the form of gold and silver. Thus, gold and silver prices are suppressed. Not so, you say? How many million ounces of silver are JPMorgan 'short'? The CFTC has the data. Not manipulative, you say - oh, you already have said it).
Why is there limitations on how many contracts can be held on the 'long' side, but not, apparently on the 'short' side. Oh, if JPMorgan couldn't sell short, and demand on the long side was there, maybe the price would rise, and the populace would get an idea that the US dollar was/is in trouble, etc, etc.

How can the CFTC reconcile the article below with the criminal actions going on in the silver and gold markets on the COMEX? Maybe because the bullion banks are empowered by the Federal Government to 'carry on'.

Your article inserted here

Unbelievable, sir. Absolutely unbelievable.

Name
(519) phone number

(Yes, a Canadian phone number, so you are OK, Obama won't lose my vote. He won't get it, either)

Bart's reply:

I understand your frustration and while I disagree, I accept your belief and pessimistic conclusions.

You might notice that the Optiver case is from 2007. Our silver investigation started in 2008. The President has called for additional enforcement staff, technology and fines for manipulation. My math and your math apparently won't add up to the same sums with these variables, and that's ok.

I'll do the best I can. That's really all I can do.

B

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NOTE: The new book, Ponzimonium: How Scam Artists Are Ripping Off America, is available at gpo.gov, barnesandnoble.com, and amazon.com. Neither the CFTC nor Commissioner Chilton receive any proceeds from the sale.
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Note the reference to the book at the end. This should be required reading for the Enforcement Division.

Have a good weekend

lb