Goldline is in support of Glen Beck which makes them a part of his showing. Beck and Goldline seem to be taking advantage of the concerns people have had about keeping their U.S. dollars instead of switching for gold. Goldline has been investigated just lately because of the things individuals have been reporting them doing, reports Mediaite and the Big Picture blogs. The Los Angeles District Attorney’s office explains that Beck is not a part of the investigation although Fox News doesn’t like another sponsor of “The Glenn Beck Show”.
Goldline and its issues
The U.S. based its system off of gold for a when. Such a system of commodity money has its limitations, but fiscal conservatives praise the gold standard for its ability to place a government on a leash by limiting the potential for chronic deficit spending. Glenn Beck tells viewers that purchasing gold is the only safe way to invest right now during this economy, and people tend to believe him. Goldline is then endorsed by Glenn Beck, when Goldline, reports the Los Angeles District Attorney, sells gold that is way overpriced. The Goldline investigation is being done by the DA, which involves two people who for some reason are very interested in what is going on; New York Rep. Anthony Weiner and Bobby Rush, from the House of Commerce Subcommittee.
DA telling all about Goldline
”Grossly overcharges,” is the term the Los Angeles DA uses when referring to what Goldline is doing with its gold. The Big Picture notes that markup on average is “90 percent above the melt value of the coin” and 47 percent higher than the competition, while one coin was valued by Goldline at 208 percent above melt value. Selling coins as high as twice that of melt value does not constitute a good investment for consumers, as the price of gold would have to double before a consumer could break even. Numerous who work for Goldline say they are able to make investment advice, when the DA thinks they shouldn’t be allowed to say that with what they do.
Anthony Weiner wants it to end
The SEC and FTC have both been people representative Anthony Weiner of the Trade and Consumer Protection contacted about this. Weiner has a plan to make companies be required to show how much money they are making off the gold being sold, including Goldline. Hearings on the matter could be held later this summer, according to The Big Picture.
In a public statement, Anthony Weiner said that “Goldline rips off consumers, uses misleading and possibly illegal sales tactics, and deliberately manipulates public fears of an impending government takeover – this can be a trifecta of terrible business practices.” If Congress believes that Goldline is intentionally exploiting the public, self-proclaimed “rodeo clown” Glenn Beck could be forced to drop one more sponsor.
Additional reading
Mediate
mediaite.com/online/rick-sanchez-confirms-glenn-becks-weinerfacts-com-still-going-strong/
Weiner
weiner.house.gov/Reports/GoldlineReport.pdf
Ritholtz
ritholtz.com/blog/2010/07/glenn-beck-goldline/
Wikipedia
en.wikipedia.org/wiki/Gold_standard
Rep. Anthony Weiner versus Goldline
youtube.com/watch?v=3GDts0Q1dK8
