KW,I don't think anyone is seriously thinking that gold is going...

KW,

I don't think anyone is seriously thinking that gold is going to be smuggled out under a Chinaman's hat.

The infor was interesting, and thx Scipio.

I am more interested in where the legal limits are in the extent of using hedging to secure gold at market price for a large quantity for an extended period of time while POG increases.

This is an effective method for extracting all the upside value above the struck price of the hedge. The hedge being used to back a loan for M&A, for example.

There is no law that says BOD decisions need to be good, or make money, so long as the decision applies to all shareholders.. I can see at 51% SD could argue they they were affected with everyone else, but if the hedge is getting gold out at less than the then prevailing POG above the hedging value, then they have grabbed all the upside on...well, 500,000 oz.