Gold EFPs: Absolute Proof That Paper Gold Is A Fraud

A guest post by Stewart Dougherty

IRD’s Note:  In the past year, there has been a noticeably substantial  increase in the use of the obscurely defined EFPs (Exchange for Physicals) and PNTs (Privately Negotiated Transactions) in the settlement of Comex gold and silver futures contracts.  In simple terms, the EFPs and PNTs enable the counterparties  a Comex futures contract or LBMA forward to settle the contract in an acceptable form other than the actual physical commodity as required by the contract specifications (e.g. one gold futures contract requires the delivery of a 100 oz. gold bar as qualified by the Comex).  As an example, the counterparty that is required to deliver gold under Comex contract terms can deliver a comparable dollar amount of GLD shares if the counterparty standing for delivery agrees to take delivery of the GLD shares.

The EFPs and PNTs plunge the Comex operations into even greater opacity – likely intentionally.  In all probability, the EFPs and PNTs are used to bridge the gap between the amount of gold (silver) that needs to be delivered and the amount of gold (silver) that is available to be delivered.  The settlement of the contract occurs outside of the Comex.  These contract settlement devices further enable the ability of the western Central Banks to execute the successful manipulation of the gold (silver) price.


In recent months, the issuance of gold Exchange for Physical (EFP) contracts has surged. EFPs convert a physically deliverable Comex gold contract into an LBMA or LME contract supposedly deliverable at a later date ex London and/or Hong Kong. As an incentive for Comex contract holders to accept EFPs, a cash bonus reportedly is paid. EFPs in silver are also being issued in vast quantities, but we will focus on gold for brevity.

Most gold market observers believe that EFPs are a Comex gimmick designed to prevent, or at least forestall a formal Comex delivery failure. We believe the full story behind the EFPs is more complicated and disturbing, and that it involves collusion, conspiracy, and fraud.

In order to fully understand the corruption within the gold market, we believe that one must first understand the full extent of American political corruption, as the two are directly linked. Inferential Analytics, the forecasting method we have developed and use, is based on linkages, which are crucial to insight. Please bear with us as we take a brief tour of the Washington, D.C. political swamp; it is crucial to understanding the gold swamp.

The 2016 U.S. presidential election was never intended to be an election. Instead, it was a Deep State charade designed to pass the presidential baton from Obama to Clinton. Obama’s reign was an unprecedented financial bonanza for his Deep State handlers, and they were poised to go in for the looting kill upon the second White House coming of the epically money motivated Clintons.

The mainstream media did everything in their power first to derail Trump’s nomination, and then to destroy his prospects in the general election. Anyone who understands American politics knows that there was no way whatsoever any of the non-Trump Republican nominees, such as Rubio, Cruz and Kasich, could ever have beaten the stop-at-nothing Clinton political machine in the general election. None of the Republican candidates was ever supposed to win; their specific purpose was to lose, while creating the false illusion of a real presidential campaign and election.

The Republican establishment was greatly looking forward to the Clinton presidency, as the political streets would have been more thickly paved with gold than ever before in their careers. They could taste the graft, kickbacks, donations, pay for play bribes and other forms of illicit compensation headed their way.


7 thoughts on “Gold EFPs: Absolute Proof That Paper Gold Is A Fraud

    1. Yes, and now the Deep State has Trump under it’s control. It’s pretty easy to build a huge bribe file on a real estate and casino operator based in NYC/NJ.

  1. “Banks make money by controlling depositors’ money, and precisely nothing from a box of Gold Eagles buried in someone’s back yard. More important to the banks is that individual deposits will be required for future bank bail-ins and capital controls, and cannot be allowed to leave the banks, soon to be monetary prisons ……..”

    I don’t think the depositors’ money disappeared in someone’s backyard. The money is transferred from the gold buyers to the gold miners which get deposited back into the banks. The real money (gold) disappeared, not the fake paper money.
    The manipulators don’t care about the flow of money or where they may end up, they do care about the physical flow of gold.

  2. Those in control get what they want either way. Presidential elections since the assassination of JFK have been orchestrated charades. People who attempt to shine light in darks corners die mysteriously, the perps rarely identified. Trump is no more a hero of the disenfranchised than Hillary. He is a bombastic, egotistical, financial fraud ( with some dubious partners ) a demagog with precious little regard for the constitution, rule of law, or international diplomacy. Hillary sacrificed everything and everybody to be president. There’s no champion for US in either political party. At this point both are wholly owned subsidiaries of the military/industrial/corporate/global banking cabal. That isn’t to say that good and sincere people are not duped into believing that they are working for an entity with a noble cause, for truth, justice and “American Way” whatever that is. I have one piece of advice: GET OUT OF THE SYSTEM.

    1. Presidential elections since the attempted assassination of Ronald Reagan have been orchestrated charades. Jimmy Carter is useless but he is a honest man. I don’t think the deep state had complete control of Nixon either.
      H. Bush is the beginning of the charades.

  3. EFPs and PNTs …. more control mechanisms. More time for the price to be held range-bound. Who knows how long? Some say we are getting closer to the end of the time they will be able to control price. Yeah and everyone is getting older…

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