{"id":147621,"date":"2019-05-13T13:42:18","date_gmt":"2019-05-13T17:42:18","guid":{"rendered":"https:\/\/www.countingpips.com\/?p=147621"},"modified":"2019-05-13T13:42:18","modified_gmt":"2019-05-13T17:42:18","slug":"precious-metals-market-rigger-turns-states-evidence","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex\/2019\/05\/precious-metals-market-rigger-turns-states-evidence\/","title":{"rendered":"Precious Metals Market Rigger Turns State\u2019s Evidence"},"content":{"rendered":"<div id=\"inves-458327085\" class=\"inves-below-title-posts inves-entity-placement\"><div id =\"posts_date_custom\"><div align=\"left\">May 13, 2019<\/div><hr style=\"border: none; border-bottom: 3px solid black;\">\r\n<\/div><\/div><p><b>By Money Metals News Service<\/b><\/p>\n<p>John Edmonds, a former vice president at JPMorgan Chase bank, may be headed to prison for cheating clients and investors. But metals investors can hope it won\u2019t be before he is done helping federal investigators catch even bigger fish.<\/p>\n<p><img decoding=\"async\" class=\"img-reponsive content-img-right\" src=\"https:\/\/www.moneymetals.com\/uploads\/content\/jp-morgan-sm.jpg\" alt=\"JP Morgan\" \/><\/p>\n<p>Edmonds pleaded guilty to spoofing precious metals markets \u201chundreds of times with the knowledge and consent of his immediate supervisors\u201d last October.<\/p>\n<p>The court delayed sentencing for those crimes again last week, and that is a very good sign.<\/p>\n<p>The move to delay implies that Edmonds is still assisting the Department of Justice\u2019s investigation of other bankers, both within JPMorgan and elsewhere. It is the second time sentencing has been postponed.<\/p>\n<p>On the surface, it is starting to look like the case will be a slam dunk.<\/p><div id=\"inves-3606439035\" class=\"inves-in-content inves-entity-placement\"><hr style=\"border: 1px solid #ddd;\">\r\n<div id=\"inpost_ads_header\">\r\n<p style=\"font-size:10px; float:left; color:#666;\">Free Reports:<\/p><\/div>\r\n<div id=\"inpost_ads\"> \r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/1ApBOV\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2018\/06\/graph_techs_PD.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t     <a href=\"https:\/\/goo.gl\/1ApBOV\"><b><u>Get Our Free Metatrader 4 Indicators<\/u><\/b><\/a> - Put Our Free MetaTrader 4 Custom Indicators on your charts when you join our Weekly Newsletter<\/p><br><br>\r\n<br>\r\n<br>\r\n<p style=\"font-size:15px; float:left;\"><a href=\"https:\/\/goo.gl\/f3RrHX\"><img loading=\"lazy\" decoding=\"async\" src=\"https:\/\/investmacro.com\/wp-content\/uploads\/2019\/01\/cot_pie_80.png\" align=\"left\" width=\"80\"  height=\"55\"\/><\/a>\r\n\t    <a href=\"https:\/\/goo.gl\/f3RrHX\"><b><u>Get our Weekly Commitment of Traders Reports<\/u><\/b><\/a> - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.<\/p><br><br>\r\n<\/div>\r\n<hr style=\"border: 1px solid #ddd;\">\r\n<br><\/div>\n<ul>\n<li>There is the guilty plea from Edmonds and his continued cooperation.<\/li>\n<li>Deutsche Bank pleaded guilty to cheating markets in 2016 and turned over a trove of evidence, including hundreds of thousands of documents and recorded phone calls.<\/li>\n<li>The CFTC caught Deutsche Bank, UBS, and HSBC \u201cspoofing\u201d prices in the precious metals markets and levied fines in January of this year.<\/li>\n<\/ul>\n<p>Widespread and illegal price manipulation by the bullion banks is no longer a theory. It is a fact. Market watchers, such as Ted Butler and GATA, have been aggregating extensive evidence of price rigging for years.<\/p>\n<p>Despite all that, metals investors should avoid counting any chickens before they hatch.<\/p>\n<p>Many will recall the CFTC spent years looking for manipulation in the silver market. The investigation ended in 2015 <a href=\"https:\/\/www.moneymetals.com\/news\/2019\/02\/05\/cftc-silver-market-manipulation-001712\">without a single banker being held to account<\/a>. The huge pile of evidence now available reveals just how much CFTC officials had to overlook.<\/p>\n<p><img decoding=\"async\" class=\"img-reponsive content-img-right\" src=\"https:\/\/www.moneymetals.com\/uploads\/content\/manipulation-strings_sm.jpg\" alt=\"Manipulation\" \/><\/p>\n<p>No one should overestimate the competence of federal investigators or the willingness of senior government officials to prosecute powerful Wall Street bankers.<\/p>\n<p>However, gold bugs can at least hope the Department of Justice is not completely captured. The cozy relationship between market regulators, including the CFTC, and Wall Street is infamous. There is less of a revolving door between the FBI and Wall Street.<\/p>\n<p>The Justice Department\u2019s criminal inquiry isn\u2019t the only concern for the bullion banks. Investors are lining up to sue in civil court, based on the evidence uncovered in the ongoing crime investigations.<\/p>\n<p>Those civil cases have been placed on hold by the court until May 31st. Prosecutors have asked the court to delay those cases to avoid interference. <a href=\"https:\/\/www.cnbc.com\/2019\/05\/02\/sentencing-of-ex-jp-morgan-chase-metals-trader-delayed-as-probe-continues.html\" target=\"_blank\" rel=\"noopener noreferrer\">According to CNBC<\/a>, the Department of Justice will soon request an extension of the stay on civil suits.<\/p>\n<p>Plaintiffs are likely more than willing to delay, hoping to take full advantage of additional evidence unearthed in the criminal investigations.<\/p>\n<p>If a number of traders, including senior executives in multiple banks, are convicted of repetitive cheating over several years, the civil liability could be enormous.<\/p>\n<p>&nbsp;<\/p>\n<hr \/>\n<p><img loading=\"lazy\" decoding=\"async\" src=\"http:\/\/countingpips.com\/articles-analysis\/wp-content\/uploads\/2016\/03\/money-metals.png\" width=\"80\" height=\"79\" align=\"left\" \/> The Money Metals News Service provides market news and crisp commentary for investors following the precious metals markets.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>By Money Metals News Service John Edmonds, a former vice president at JPMorgan Chase bank, may be headed to prison for cheating clients and investors. But metals investors can hope it won\u2019t be before he is done helping federal investigators catch even bigger fish. Edmonds pleaded guilty to spoofing precious metals markets \u201chundreds of times [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[],"tags":[],"class_list":["post-147621","post","type-post","status-publish","format-standard","hentry","no-post-thumbnail"],"_links":{"self":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/147621","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/comments?post=147621"}],"version-history":[{"count":2,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/147621\/revisions"}],"predecessor-version":[{"id":147623,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/posts\/147621\/revisions\/147623"}],"wp:attachment":[{"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/media?parent=147621"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/categories?post=147621"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.investmacro.com\/forex\/wp-json\/wp\/v2\/tags?post=147621"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}