Gold traders with pending applications not permitted to trade – GGMC

– warns traders to wait until licence issued or face prosecution

The Guyana Geology and Mines Commission (GGMC) has sounded a stark warning to would be gold traders, even those waiting on their licences to be processed, that they will be prosecuted to the fullest extent of the law if they engage in the gold trade without a valid licence.

GGMC’s notice comes just one day after Minister of Natural Resources, Vickram Bharrat, had a management meeting with senior officials from GGMC. It also came in the wake of a gold trader claiming that due to a delay in them being issued their licence, they were forced to close their office. The trader subsequently announced publicly that they had resumed their full operations.
According to GGMC in its statement, “only individuals or entities holding a valid gold dealer’s licence issued by the Guyana Gold Board (GGB), or a valid trader’s licence issued by the GGMC, are legally permitted to purchase gold in Guyana.”
GGMC also stressed that an application for a new licence or the renewal of an existing licence does not grant said trader any legal authority to conduct gold trading activities. According to GGMC, those with pending applications must wait for their licences to be issued, lest they be prosecuted.
“The Ministry wishes to notify that all pending applications for trading licences in gold and precious stones must await the formal and official issuance of their licence prior to engaging in any such transactions.”
“Anyone caught contravening this, or buying gold without a valid licence, will be prosecuted in accordance with the laws of Guyana. The Ministry and its agencies remain committed to enforcing the laws governing the mining and trading of mineral resources in Guyana and will continue to take the necessary steps to uphold transparency and legality in the sector.”
In addition to being illegal to trade without a valid licence, it is also illegal under Sections 6 and 8 of the GGB Act, for persons who possess gold as a producer (miner) or a tributor, to sell gold to anyone other than the GGB, or an authorised buyer.
An authorised buyer may be one of the licensed Gold Dealers currently licensed by the Gold Board, or persons/entities who are Licensed Traders in gold as authorised by the GGMC. The Gold Board has offices in Georgetown, Port Kaituma, and Bartica as well as conducts periodic mobile transactions in other Mining Districts.
In keeping with Section 8 of the GGB Act, it is illegal for any person to sell any gold to a goldsmith or jeweller, or for a goldsmith or jeweller to purchase any gold from any person/entity other than the GGB.
The Government has been tightening up its enforcement of breaches to the law when it comes to the gold trade. Last month, Vice President (VP) Dr Bharrat Jagdeo had issued a stern warning to individuals involved in gold smuggling, stating that ongoing intelligence operations will result in arrests and legal action. Speaking at one of his weekly press conferences, Jagdeo had emphasised that those caught will not be allowed to claim discrimination as a defence.
Only earlier this month, officers of the Special Organised Crime Unit (SOCU) had acted on intelligence received, intercepted an alleged gold smuggling operation in Georgetown, and detained two Brazilians, a Cuban and a Guyanese.
SOCU officers also seized gold valued in excess of $30 million, more than $31 million in Guyana currency, and a quantity of electronic equipment. This bust also followed a similar enforcement action conducted on March 5 at Lethem in Region 9, where two persons have been arrested.