The future of an Evansville-based company that produces a “private voluntary barter currency” known as the Liberty Dollar is in question after federal agents raided the facility this week, according to an e-mail sent by its founder.

Federal officials reportedly raided the group’s headquarters, located in a strip mall at 225 N. Stockwell Road, early Wednesday morning and seized documents and precious metals.

FBI Agent Wendy Osborne, a spokeswoman for the FBI’s Indianapolis office, directed all questions on the raid to the Western District of North Carolina U.S. Attorney’s Office. A spokeswoman there said she had no information on the investigation.

Bernard von NotHaus, the group’s monetary architect and the author of the e-mail, did not immediately respond to a message seeking comment.

Von NotHaus developed the Liberty Dollar in 1998 as an “inflation-proof” alternative currency to the U.S. Dollar, which he has claimed has devalued since the Federal Reserve was established in 1913. The silver medallions are produced by a private mint in Idaho on behalf of Evansville-based Liberty Services, which also issues paper notes which the group says are backed by silver reserves. (more…)

Bull markets are supposed to make investors feel good. But the hot market in gold this year has an aura of dread about it.

The yellow metal is nearing a lofty $850 an ounce, a height not seen for almost 28 years.

That has triggered primal fears on Wall Street. If investors are turning back to this ancient form of money, one implication is that they’re losing faith in the modern financial system.

Indeed, the higher gold goes, Bill Roberts of Westchester says he can’t help but see a deepening message of doom.

The dollar is sinking, banks are reeling from soaring mortgage defaults and the stock market is tumbling anew. With that backdrop, Roberts says he’s happy that he has most of his investment portfolio in shares of gold-mining firms. Read Full Story

Gold futures rallied Tuesday to trade near a fresh 28-year high, propelled by the dollar’s tumble to yet another record low against the euro and by surging crude-oil prices.

Gold for December delivery rose $14.20 at $825 an ounce on the New York Mercantile Exchange. Earlier, the contract reached an intraday high of $826. The record high for Nymex gold was $875 set on Jan. 21, 1980, and the record settle was $825.50 set on the same date.

“The surging oil price is an important factor and investors are using gold as an inflation hedge,” said Mark O’Byrne, director of Gold and Silver Investments Ltd., in a research note. “But of more importance is the dollar falling to new all time record lows against the euro and a basket of currencies again this morning.”

“Morgan Stanley analysts have warned that the dollar could experience a more “violent correction” and their managing director in Asia Stephen Roach has said that gold will likely remain a safe haven given what is happening in the financial markets,” O’Byrne said. Read Full Story

After unveiling its own “currency” bearing Republican presidential candidate Ron Paul’s likeness this year, The Liberty Dollar of Evansville, Ind., an “alternative” mint that has tried to print its own money to compete with the U.S. dollar, has now minted coins that advocate an end to the war in Iraq.

The Liberty Dollar made its name minting coins pegged to commodity prices. It has now released the 2008 Peace Dollar, with a face value of 10 Liberty Dollars and containing a half-ounce of pure silver.

The $20 Ron Paul Dollar was minted in support of the Republican presidential candidate, who has ridden a wave of Internet buzz to increased prominence. Also available are $1,000 gold denominations. Read Full Story