SLV Is Now Exposed As A Fraud

Project Mayhem Research has published a report showing several inconsistencies in the reporting of the silver that SLV is supposed to have in custody. These inconsistencies include "the presence of internal duplicates, rough internal duplicates, weight duplicates, statistical clustering, and cross-reference duplicates."

This calls into question whether or not the custodian, JP Morgan, can actually prove to the world that it has in its custody all of the silver that it is supposed to be holding in custody - that would be the silver that investors are assuming is really there when they invest in SLV as a surrogate silver investment. And those investors would include large pension and mutual funds.

The problem is that, as per the prospectus of SLV, nobody can force JP Morgan to prove that the silver is really there. There have been some ETFs recently that actually mandate in the prospectus that a physical audit of the custodian has to occur at least once a year. SIVR is the latest and it requires twice per year.

How come GLD and SLV do not mandate this? Is it any coincidence that JPM, who holds about 80% of the silver short interest on the Comex ALSO happens to be the trustee of SLV?
If you don't think there's foul play there, then you probably believe O.J. is innocent.
Greenlight Capital voted with its money and dumped its GLD holdings - it was the largest holder - and acquired physical bullion for its own safekeeping. THAT should be all you need to know...

Here is a copy of the research report, which I sourced from www.zerohedge.com:

http://www.zerohedge.com/sites/default/files/SilverETFs_1_PDF.pdf

If you own SLV, I would strongly recommend that you sell your shares and either buy physical silver coins for your own safekeeping, or invest in an ETF like SIVR, which requires that the trustee provides a physical audit of the custodian's silver holdings twice a year. To continue holding onto your SLV exposes you to the risk of being Madoff'd.