Mexico to audit its gold holdings at the Bank of England

Not sure if this was posted. I guess its only normal after all these years to question the integrity of the reserves. Venezuela did it in 2011. Yet more signs of economic trouble and trust in EU and West in general?

The Mexican Government Audit Office has issued an official statement, criticizing the Bank of Mexico for not auditing the gold it has supposedly bought and stored at the Bank of England. The auditors ask the Central Bank of Mexico to “make a physical inspection with the counterparty that has the gold under its custody, in order to be able to verify and validate its physical wholeness and compliance with the terms and conditions of dealing with this asset.
The Government Audit Office has concluded that 95% of the gold reserves of the Bank of Mexico are stored abroad and 99% of this gold is stored with the Bank of England. However, the Mexican central bank has never inspected the gold it bought, has not performed purity tests on it and doesn’t even have a list of all the gold bars stored in London. In their current state, Mexico’s gold reserves are no more than “paper gold” in the meaning that the Bank of Mexico doesn’t have any physical gold, but mere “claims” on a certain amount of gold supposedly held by the Bank of England.

SOURCE

Good luck with that Mexico.......There has been a lot of corruption in the Bank of England over the years. I wonder who walked off with their gold. I'm sure that gold from some other countries holdings will be temporarily reclassified as theirs for the investigation.

"Mexican President dies from cancer" 2015.

Look what happened to Chavez when he wanted an audit.

Originally posted by Ranong
"Mexican President dies from cancer" 2015.

Look what happened to Chavez when he wanted an audit.

I thought about that too and laughed. Strange things do happen.

What gold?

Seriously, the BOE is about as corrupt as they come and somebody needs to check the MPC meeting room to see if they are still alive in there! The BOE are totally responsible for the pound's devaluation, just a week or so ago, it was one of only two currencies that was down against gold! May be that's what Mexico is looking at, or may be Germany started a trend of distrust to the one central bank that was previously the most trusted of all the central banks in the world. What doesn't help Mexico is that reportedly, the Bank of Mexico doesn't even know how much gold it owns!!

Years ago it was a gentleman's agreement between central banks that was enough with regards to gold holdings, now even the central banks are turning against each other. Perhaps its a sign of the times, or more than likely there were never any gentlemen in the central banks to begin with.

Good luck Mexico, but the BOE are so corrupt and too clueless to know what they hold and what they don't, that nobody at the Bank of Mexico should hold their breath for any gold heading back to Mexico any time soon. I wouldn't push it neither, people who push the BOE always end up DOA.

reply to post by SecretFace


Not everyone at the BoE is corrupt, a lot of them are nice people just trying to do a job, but its unfortunate that the management are bought and paid for by big corporations.
Oh and I have to admit that I did work there for a number of years, and that includes a number working in the bullion vaults. lets just say when I left they were checking the bars authenticity.....

Seriously, the BOE is about as corrupt as they come

And you have examples / evidence of this that you'd like to share with us, I guess.

The BOE are totally responsible for the pound's devaluation

And it has nothing to do with the vast amount of currency trading / speculation carried on around the world?

Years ago it was a gentleman's agreement between central banks that was enough with regards to gold holdings

Which means it is about as useful as the paper it was written on. Really, though ... countries entrusted their gold to others for safekeeping with nothing more than a gentlemen's agreement about the whole thing? I'm dubious, to say the least.

"Entrust that to the Bank of England, they are honest, reliable and were founded on peaceful intentions" - Said no-one ever.

(well, perhaps one very stupid and soon to be very dead Mexican financier)

And you have examples / evidence of this that you'd like to share with us, I guess.

reply to post by lacrimoniousfinale


A world-spanning and at one point world domineering central bank founded for the sole purpose of expanding a military arm? What could go wrong?

No, I still can't see any evidence of corruption there, I'm afraid. And well, yes, it WAS founded as a means of raising funds for the Navy, but the 1690's was such a long time ago.

rickymouse
Good luck with that Mexico...

....There has been a lot of corruption in the Bank of England over the years. I wonder who walked off with their gold. I'm sure that gold from some other countries holdings will be temporarily reclassified as theirs for the investigation.

edit on 18-3-2013 by rickymouse because: (no reason given)

How is this any different than a bank's reserve? As long as no one makes a run on the Gold, then no one will be any wiser that it's not there.

Kinda like Schroedinger's Cat.