It was abandoned for two reasons.

1/ People saw through it for what it was an attempt to get the bad debts off their balance sheets and hide them in this fund.    

2/ The US Fed is now providing loans through special auctions.

Fed provides US$20B in loans to banks to help them through credit crisis

http://www.macleans.ca/business/wire/article.jsp?content=b1219133A

Fed auctions another US$20B in funds to commercial banks to combat credit crunch

http://www.macleans.ca/business/wire/article.jsp?content=b1221105A

As you can see from these stories demand for these new loans is very brisk.

The European central bank has injected 1/2 a trillion into their banking system. 

The defaulting loans will somewhat offset this new money creation but their is no limit to the amount of money the central banks can create. This means more inflation and this time it will go into real assets as people look for a safe haven.

It will take some time to play out but in my opinion gold still has a long way to go. The public has still not caught on to what is going on.