Russian Gold Coins "rusting" - entire supply now suspected of debasement

07-19-2010 • Zero Hedge

As a consequence of this discovery, IRPS decided to "rid itself of all stocks, bought up earlier from the Central Bank on behalf of investors. Investment coins "St. George The Conqueror", as well as other gold coins of the Bank of Russia, are now excluded from the company's operations until all circumstances in the case are determined." Additional, as disclosed in an interview for Here and Now show on TVRainRu, the Russian Central Bank would buy back the coins at a price of 9,300 rubles, despite prevailing prices for the bullion at well over 10,000.

The Central Bank of Russia has been one of the biggest purchasers of gold in 2010, having bought gold every single month. It would be embarrassing if it were discovered that not only is the bank diluting the gold content once received with oxidizable materials, but subsequently passing it off for 999 proof precious metal.

And if this is happening in Russia, one wonder what trickery other Central Banks, with a far lower amount of gold in their vaults, resort to...

1 Comments in Response to Russian Gold Coins "rusting" - entire supply now suspected of debasement

Comment by John Morgan

Entered on: 7/20/2010 8:33:00 PM

Did anyone check to see what these coins were stored in? Perhaps the steel box they were stored in put its stain on the surface.

This sounds like disinfo put out by the American and European central banks to scare people away from gold, or aimed specifically at Russia to hurt its credibility in some way.

Central banks are trying desperately to suppress the price of gold by flooding the market with it, which works temporarily, until the supply dries up and the price rises higher than before. Bankers do not want common folk empowering themselves with real money, they want people to be at the mercy of the fiat paper money as it becomes more and more worthless.

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