Zero Hedge: Dutch Bank Orders Pension Fund to Sell its Gold

Zero Hedge: Dutch Bank Orders Pension Fund to Sell its Gold

A 1930’s style executive order against gold was delivered by the Dutch Central Bank to a pension fund, Zero Hedge reports:

Perhaps the most stunning example of what may be in store for asset managers and pension funds (and possibly retail holders) who dare to challenge central bank monetary authority comes from the Netherlands, where we have just witnessed the 21st century equivalent of Executive Order 6102. The story in a nutshell (and as translated loosely from the primary source presented below): the glassworkers pension fund (SPVG) was ordered by De Nederlandsche Bank (DNB, or the equivalent of the Dutch central bank), that it has to sell the bulk of its gold assets. After the SPVG refused to comply with the order, the DNB went to court and the decision has come out, siding with the central bank, ordering the SPVG to sell the required gold within two months.

Full story at Zero Hedge.

Wow.  We know central banks and sovereign governments are not fans of rising gold prices.  But it is very alarming to see this straw in the wind take place today, in 2011.  Fiat currencies are not tied to gold as they were in the 1930’s.  So an edict against gold is not a devaluation per se but instead paranoia and anger at the yellow metal, the final arbiter of monetary good and evil, for its refusal to stay quiet for the past 10 years.