The United States Department of the Treasury has maintained the Bullion Depository at Fort Knox since 1937.
Representative Ron Paul wants to know if all the gold is still in Fort Knox. He’s demanding an audit and inventory of all U.S. gold reserves, but the U.S. Treasury says it will cost too much.
At a congressional hearing in June Rep. Paul introduced his bill to force an audit of U.S. gold holdings. He says the Federal Reserve of New York, which has 5% of the U.S. gold reserves, can secretly sell or swap gold with other countries without anyone ever knowing.
Paul says the federal government owes it to taxpayers to open up Fort Knox, West Point and Denver and count the bars one at a time.
Right now the Treasury Department and Government Accountability Office audit gold reserves once a year. But, that audit is based on samples. The most recent Treasury audit (September 2010) showed U.S. gold reserves at more than 271.2 million troy ounces.
At today’s market prices, that’s worth over $435 billion. Paul’s bill would require assaying each bar of gold, which he says would cost $15 million in taxpayer dollars. The U.S. Mint says the cost is more like $60 million, not to mention the cost of the gold lost in the assaying process.