Even as law enforcement agencies have been stepping up their efforts to clamp down on gold smuggling, new trends are emerging as criminals attempt to smuggle gold, trends that are being tracked by the Guyana Revenue Authority (GRA).
GRA Comptroller Rohan Beekhoo
GRA was among the agencies that made presentations during an Illicit Trade Seminar organised by the Private Sector Commission (PSC) on Wednesday at the Marriott hotel. GRA Comptroller, Rohan Beekhoo, revealed that smugglers are becoming more creative in how they attempt to evade the law.
“Alarmingly, we’ve been seeing some new trends. We have some obligations under the Anti Money Laundering Act. We’ve been seeing some alarming trends with smuggling of gold and that kind of stuff, currency and so on,” Beekhoo said.
“There are new trends, trends in the form of some of the gold are being disguised as jewelry, to try to evade detection. So smuggling, from the regular traditional goods, vehicles, narcotics, gold, currency, it’s all over. Combined together, its eating into the very fabric of our society.”
According to Beekhoo, GRA has been stepping up training for its staff, all in an effort to strengthen its enforcement of the laws. He also explained some of the other steps the agency has taken.
“One of the measures that we’ve done successfully and we hope to extend it even further, is the use of excise stamps on some of these high-risk goods. The excise stamps, we place on alcohol and tobacco products, at least for now.”
“And that has helped, to some extent, coupled with the intel we’ve obtained from the major players, some of your members here,” he explained. That being said, Beekhoo also urged the private sector to continue playing its part, since they would also have very helpful intel they can share with authorities.
With the United States (US) instituting sanctions a few months ago on prominent local gold dealers, coupled with the arrest of three smugglers at the country’s main international airport, the government has been looking to beef up its enforcement against the illegal gold trade.
Additionally, the Guyana Geology and Mines Commission (GGMC) had announced it will be on a countrywide enforcement exercise to ensure all players in the gold market, are compliant. Under Sections 6 and 8 of the Guyana Gold Board Act, persons who possess gold as a producer (miner) or a Tributor, are required to sell all gold to the Guyana Gold Board, or an authorized buyer.
An authorized buyer may be one of six licensed Gold Dealers currently licensed by the Gold Board, or persons/entities who are Licensed Traders in gold as authorized 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 Guyana Gold Board 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 Guyana Gold Board.
Meanwhile, in June, two US citizens and one Guyanese were intercepted with US$560,000 worth of raw gold at the Cheddi Jagan International Airport (CJIA) at Timehri. They were subsequently charged for Exporting Gold without a License – in contravention of Section 8 of the Guyana Gold Board Act, Chapter 66:01, contrary to section 23 (a) of the said Act. They were granted bail totaling $600,000. They were also charged under Guyana’s Anti-Money Laundering (AML) law.
Further in the recent sanctions against the Mohameds family and their associated businesses, the United States had alleged that some 10,000 kilograms of gold were smuggled out of this country between 2019-2023.
The US Department of the Treasury’s Office of Foreign Assets Control (OFAC), which announced the sanctions, alleged that by under-declaring their gold and evading paying taxes on exports, the Mohameds defrauded the Guyana Government of more than US$50 million in duty taxes. (G3)
