Tag Archives: War on Cash

Martin Armstrong On Proposal To Seize ‘Suspicious’ Cash, Precious Metals, Gems Entering EU

On Tuesday, I blogged about how individuals intending to carry legally-obtained and owned currency, precious metals, and gems into the European Union for their safe deposit boxes may want to take note of proposed rules seeking to enable European Union authorities to seize cash- “to include gold, precious stones and metals”- below the €10,000 threshold temporarily merely on suspicions of criminal activity.

Here’s one take on these rules from economist Martin Armstrong, who blogged yesterday:

The purpose of the rules is now openly being justified to fight against tax evasion, along with moonlighting and terror financing. The government clearly understands that cash is the only way for citizens to protect their savings from access by states and banks and any special levies or wealth taxes. Closing this door merely opens the door to cash investment turning to movable assets particularly shares.

(Editor’s note: Bold added for emphasis)

An insightful post by Armstrong concerning this development across the pond, which you can read here on his company’s website.

By Christopher E. Hill
Offshore Safe Deposit Boxes (www.offshoresafedepositboxes.com)

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Latest On Proposal To Seize ‘Suspicious’ Cash, Precious Metals, Gems Entering EU

Individuals intending to carry legally-obtained and owned currency, precious metals, and gems into the European Union for their safe deposit boxes may want to take note of a December 5, 2017, press release on the European Parliament web site:

“Cross-border cash movements: tightening up anti-terror and crime checks”

• New rules beefing up rules on cash controls dating back to 2005
New definition of “cash”
• Disclosure declaration required for cash sent by freight

Tougher checks on cash entering or leaving the EU were backed by the Civil Liberties and Economic Affairs committees on Monday.

The new rules repeal the First Cash Control Regulation (CCR) from 2005, which requires individuals to declare sums over €10,000 when leaving or entering the EU. MEPs want to close loopholes exploited by criminals, such as divergent penalties in different member states, travelling with sums just below the declaration threshold or using means of transferring value that are not covered by current rules.

To prevent the proceeds of crime from re-entering the economy or money being used to finance illegal activities, MEPs agreed to:

widen the definition of “cash” to include gold, precious stones and metals, as well as anonymous prepaid electronic cash cards,

enable the authorities to impound cash below the €10,000 threshold temporarily, if criminal activity is suspected, and

• make it mandatory to disclose “unaccompanied” cash sent by cargo.

MEPs also asked the EU Commission to draft legislation to bring about a convergence of cash control penalties in the member states and study the possibility of establishing a Union Financial Intelligence Unit by 2019.

The draft law was adopted Monday evening by 55 votes to 3, with 4 abstentions…

Next steps

The text still needs to be approved by the Parliament as a whole, before MEPs can start negotiating the legislation with EU governments…

(Editor’s note: Bold added for emphasis)

Once again, the proposed rules seek to enable EU authorities to seize cash- “to include gold, precious stones and metals”- below the €10,000 threshold temporarily merely on suspicions of criminal activity.

This initiative may sound familiar to regular readers of Offshore Safe Deposit Boxes as I first blogged about it back on December 28, 2016.

You can read the entire press release on the European Parliament site here.

By Christopher E. Hill
Offshore Safe Deposit Boxes (www.offshoresafedepositboxes.com)

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Martin Armstrong On Proposal To Seize ‘Suspicious’ Gold Entering European Union

Last Wednesday, I wrote about a recent Reuters.com article which reported:

The European Commission proposed tightening controls on cash and precious metals transfers from outside the EU on Wednesday, in a bid to shut down one route for funding of militant attacks on the continent…

Authorities will also be able to seize cash or precious metals carried by suspect individuals entering the EU.

People carrying more than 10,000 euros ($10,400) in cash already have to declare this at customs when entering the EU. The new rules would allow authorities to seize money below that threshold “where there are suspicions of criminal activity,” the EU executive commission said in a note…

(Editor’s note: Bold added for emphasis)

I blogged about this proposal due to the ramifications it could have for those intending to carry legally-obtained and owned currency and precious metals into the Eurpoean Union for their safe deposit box.

Now, regular readers of Offshore Safe Deposit Boxes may remember my December 10 post mentioning economist Martin Armstrong and his belief there is a “War on Gold” being waged by revenue-starved governments. I wrote:

Yesterday, economist Martin Armstrong published a blog post on his company’s website entitled “Gold Headed Lower Under $1,000 into the Abyss.” The subject of the 2014 documentary The Forecaster claimed “India is moving now to confiscate gold after going after the cash” and talked about how this confiscation might be carried out. Armstrong added the following:

This is the problem I have been warning about with gold. It is losing it safe haven status for it is getting to the point you cannot travel with it, keep it in a safe deposit box, or show gold with jewelry

(Editor’s note: Bold added for emphasis)

While that statement about not being able to “keep it in a safe deposit box” was met with “food for thought” from yours truly, Armstrong’s other claim about “it is getting to the point you cannot travel with it” warrants some “chewing” after that European Commission proposal.

As does this from Armstrong in a December 28 post on his company’s site:

The assault on gold is by no means casual. The hunt for money and the global effort to eliminate cash to be able to increase taxation is also targeting gold. All the sales pitches that gold will survive have ignored the fact that government is well aware of gold and people using it to store wealth

Gold is rapidly becoming the target of confiscation in Europe following the Berlin Christmas attack…

(Editor’s note: Bold added for emphasis)

Hmm. Lots to digest here. And not all of it “agreeable”- which I’ll expand upon later.

By Christopher E. Hill
Offshore Safe Deposit Boxes (www.offshoresafedepositboxes.com)

(Editor’s note: A qualified professional should be consulted prior to making a financial decision based on information found in this weblog. If this recommended course of action is not pursued, then it must be understood that the decision is the reader’s and the reader’s alone. Christopher E. Hill, the creator/Editor of this blog, is not responsible for any personal liability, loss, or risk incurred as a consequence of the use and application, either directly or indirectly, of any information presented on the site.)

Source:

Armstrong, Martin. “Confiscating Gold.” Armstrong Economics Blog. 28 Dec. 2016. (https://www.armstrongeconomics.com/markets-by-sector/precious-metals/gold/confiscating-gold-3/). 3 Jan. 2017.

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Proposal To Seize ‘Suspicious’ Cash, Precious Metals Entering The European Union

Regular readers of Offshore Safe Deposit Boxes know that I’ve blogged before about transporting cash (March 19, 2014) and precious metals (March 20, 2014) outside the U.S. for the purpose of placing/acquiring assets in/for an offshore safe deposit box. I last discussed this subject in March 2015, where I pointed out a piece by Andrew Henderson over on the Nomad Capitalist website regarding currency reporting requirements for Australia, China, the European Union, India, Mexico, Switzerland, Thailand, United Kingdom, and the United States.

Speaking of the European Union, last week I came across an article on Reuters.com which may have repercussions for those looking to carry currency/precious metals into the E.U. for their safe deposit box. Francesco Guarascio reported on December 21:

The European Commission proposed tightening controls on cash and precious metals transfers from outside the EU on Wednesday, in a bid to shut down one route for funding of militant attacks on the continent.

The move follows Monday’s attack on a Christmas market in Berlin, where 12 people were killed as a truck plowed into a crowd. It is part of an EU “action plan against terrorist financing” unveiled after the bombings and shootings in Paris in November 2015.

Under the new proposals, customs officials in European Union states can step up checks on cash and prepaid payment cards sent by post or in freight shipments.

Authorities will also be able to seize cash or precious metals carried by suspect individuals entering the EU.

People carrying more than 10,000 euros ($10,400) in cash already have to declare this at customs when entering the EU. The new rules would allow authorities to seize money below that threshold “where there are suspicions of criminal activity,” the EU executive commission said in a note…

(Editor’s note: Bold added for emphasis)

Since cash/precious metals could be seized merely on “suspicions of criminal activity,” it’s a good bet persons originally intending to carry legally-obtained and owned currency and precious metals into the European Union for their safe deposit box might think twice about transporting such assets in this manner.

Guarascio noted:

The proposals must be approved by EU states and the European Parliament to become law…

Stay tuned…

By Christopher E. Hill
Offshore Safe Deposit Boxes (www.offshoresafedepositboxes.com)

Source:

Guarascio, Francesco. “EU to boost border checks on cash, gold to tacke “terrorism financing.” Reuters.com. 21 Dec. 2016. (http://www.reuters.com/article/us-eu-security-financing-idUSKBN14A16N?il=0). 28 Dec. 2016.

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Related Reading: Martin Armstrong Discusses Gold In Safe Deposit Boxes

Yesterday, economist Martin Armstrong published a blog post on his company’s website entitled “Gold Headed Lower Under $1,000 into the Abyss.” The subject of the 2014 documentary The Forecaster claimed “India is moving now to confiscate gold after going after the cash” and talked about how this confiscation might be carried out. Armstrong added the following:

This is the problem I have been warning about with gold. It is losing it safe haven status for it is getting to the point you cannot travel with it, keep it in a safe deposit box, or show gold with jewelry…

(Editor’s note: Bold added for emphasis)

Food for thought.

You can read Armstrong’s entire post here on his company’s website.

By Christopher E. Hill
Offshore Safe Deposit Boxes (www.offshoresafedepositboxes.com)

(Editor’s note: A qualified professional should be consulted prior to making a financial decision based on information found in this weblog. If this recommended course of action is not pursued, then it must be understood that the decision is the reader’s and the reader’s alone. Christopher E. Hill, the creator/Editor of this blog, is not responsible for any personal liability, loss, or risk incurred as a consequence of the use and application, either directly or indirectly, of any information presented on the site.)

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Related Reading: PTI Reports India’s Finance Secretary Reiterates ‘No Plans’ To Seal Safe Deposit Boxes

Last Friday I blogged about India’s safe deposit box industry in light of that country’s “currency experiment.” Specifically, I noted the following from a November 26 article on The Economic Times (India) website:

Listen carefully and you might hear a creaky, squeaky noise. It is the sound of safe deposit boxes in security vaults across India being opened and emptied as their panicky renters anticipate an impending government crackdown as part of the war on black money.

No such notice has been delivered officially, nor does anyone in the government seem to have said anything about lockers. But it would be a logical move…

(Editor’s note: Bold added for emphasis)

Earlier today, the Press Trust of India, the country’s largest news agency, covered a meeting of “BRICS” (Brazil, Russia, India, China and South Africa) officials in which India’s Revenue Secretary, Hasmukh Adhia, spoke to reporters on the sidelines of the event. India’s safe deposit boxes- and private gold ownership- were said to have been mentioned. From the PTI piece:

[Adhia] reiterated that the government has no plans to cap gold holding by an individual and also sealing of bank lockers. “Lot of rumors are spreading on the social media. There is a rumour that all safe deposit vaults will be sealed and then government will confiscate the money. These are all rumours. Even there are some rumors about putting a limit on gold holding but this is also baseless,” Adhia said.

(Editor’s note: Bold added for emphasis)

The Press Trust of India added this about Information Technology Minister Ravi Shankar Prasad:

Prasad said the country was moving towards a cashless economy

(Editor’s note: Bold added for emphasis)

You can read the entire PTI article here via the Millenium Post website.

By Christopher E. Hill
Offshore Safe Deposit Boxes (www.offshoresafedepositboxes.com)

(Editor’s note: A qualified professional should be consulted prior to making a financial decision based on material found in this weblog. If this recommended course of action is not pursued, then it must be understood that the decision is the reader’s and the reader’s alone. Christopher E. Hill, the creator/Editor of this blog, is not responsible for any personal liability, loss, or risk incurred as a consequence of the use and application, either directly or indirectly, of any information presented on the site.)

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