‘JPMorgan traders bragged about manipulating the silver market’, informant says

Both this lawsuit, and the past lawsuit, claim JPMorgan and HSBC, two firms which they say controlled 96% of all precious metals derivative contracts, conspired to depress the price of silver around "key" dates.

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Both this lawsuit, and the past lawsuit, claim JPMorgan and HSBC, two firms which they say controlled 96% of all precious metals derivative contracts, conspired to depress the price of silver around “key” dates.

Courtney Comstock, Business Insider · Monday, Nov. 8, 2010

financialpost.com A new lawsuit has been filed against JPMorgan and HSBC for manipulating the silver market – the same charge that was brought against the two firms two weeks ago.This time, the lawsuit is backed by someone it calls “the Informant,” who is described as a 40-year industry veteran and former Goldman employee.

The Informant is key to the lawsuit. His claims – are its backbone.

The anonymous Informant told the prosecution, lead by a man named Eric Nalven (a trader who lost money because of the alleged manipulation), that JPMorgan traders told him first hand that they manipulated the silver market.

From the lawsuit, brought to our attention by Zerohedge:

The JPMorgan traders would brag to the Informant about how much money they were making as a result of such manipulation.

Both this lawsuit, and the past lawsuit, claim JPMorgan and HSBC, two firms which they say controlled 96% of all precious metals derivative contracts, conspired to depress the price of silver around “key” dates, like when unemployment data was released…

Read more: http://www.financialpost.com/news/JPMorgan+traders+bragged+about+manipulating+silver+market+informant+says/3799661/story.html#ixzz15SswBiLU