Smuggling of gold
Smuggling of gold in the postwar period has turned into an entire branch of business, which has its own methods and practices, their organizations and bosses, their profits and risks. Half of all the gold that enters the market, took place in 50-60s through the hands of smugglers and filled their pockets. These people prefer to stay in the shadows: their activity is related to violation of the laws of many countries and hide profits from tax.
Smuggling occurs and thrives because many countries prohibit the importation, exportation, possession and sale of gold. According to the 1970, there were only 10 countries and territories where there was full freedom of trade: Germany, Switzerland, Netherlands, Canada, Paraguay, Lebanon, Saudi Arabia, Kuwait, Dubai and Macau. It is true that in later years this list has grown considerably. Among larger countries, repealing the ban, including the U.S., UK, Japan. In order to expand markets and financial gains lifted all restrictions in Singapore and Hong Kong.
However, this does not deprive the smuggling of the soil. In many countries, the importation and sale of gold as a monetary, and industrial, are subject to various duties and taxes. Importers and buyers tend to avoid these levies, and are at their service is contraband.
Many developing countries are seeking to implement strict control over the gold to relieve the barren waste of scarce resources, accumulation of foreign currency in the hands of the state to increase budget revenues, etc.
More gold images you can find in gold images gallery.
For example, India bans import of gold in any form, except for jewelry, personally owned by persons who cross the border. Under certain conditions of the license can be issued for import of gold for industrial purposes. Forbidden to hold gold bullion in the form of currency and coins in the possession of the controlled and limited. Although ownership of gold in jewelry is not limited to any sample, but beyond a certain limit, such value shall be recorded in public bodies. Control of gold contains a number of other detailed requirements. In Indonesia, the free gold imports are allowed only to firms who have received special sanction of the government, and, moreover, subject to duty. In Turkey, are allowed to possess, in addition to jewelry, numismatic coins only. Import and purchase of gold for industrial purposes are permitted only by authorized firms.
The complexity and intricacy of circulars created especially fertile ground for corruption of officials, supervisors. Smuggling band-
Lot, in many cases is closely linked to this corruption.
Where gold transactions are prohibited or restricted, the price is higher than in free international markets - in London or Zurich. When the gold in London was worth $ 35 per ounce (the price support to the Gold Pool in 1968), in India the price is 50-55 dollars. Per kilogram of metal varying up to $ 500 or more. Meanwhile, smuggling was considered beneficial is the difference in the 75-100 dollars per kilogram.
We already know that buying gold is not a population is often a sign of wealth, but instead, poverty and economic chaos. In recent times is the state in Egypt. In 1976 there was bought up to 25 tons of gold. Price was at $ 20-30 higher than the international, which is average for the year amounted to $ 125 per ounce. Margin is relatively lower, but not because syndicates have become less greedy, but rather because the Egyptian government can not (or unwilling) to effectively deal with smuggling.
The overall pattern is clear: the weaker the control, the easier it is contraband, and the closer the domestic price to international. Monetary gold imports into France formally subject to control, but smuggling, especially from Switzerland, so simple that the price of gold in Paris is not very different from London and Zurich.
In a lot of gold smuggling routes and methods. Stories about it are suitable for the adventure novel, although it is serious business, and syndicates even claim that they are engaged in socially useful task, combining the proposal with the yellow metal demand.
The river flows out of gold in Western Europe in shopping malls in the Middle East. At this point, gold is usually not contraband, as many countries in the region are allowed to import: from here it spreads smuggling to neighboring countries (Turkey, Iran, Egypt) or are large and the beaten road to India, Pakistan, Bangladesh. Branches of the river - in Singapore, where gold smuggled into Indonesia and other neighboring countries.
In South-East Asia and the Far East, the starting point for the smuggling of many decades is a Hong Kong (Hong Kong - British colony to Chinese soil. In the 40s, before the fall of Chiang Kai-kayshistskogo regime in mainland China, gold took place: it bought the officials, military, industrialists and merchants who were preparing to flee abroad or hoping to survive the "difficult time." In the early 70's the same thing happened in South Vietnam: Saving stolen values ??and preparing to run away from people's power, the rulers and their henchmen were buying gold. At various times, Hong Kong's major customers were smuggling syndicates, India, Japan, Philippines, Taiwan, South Korea.
In the ongoing struggle with the Customs authorities of the smugglers and their owners are often marvels of organization, skill and ingenuity. This struggle is usually successful for them. Of the many hundreds of tons of metal annually, illegally crossing the border into the hands of government gets a small part - just one percent. In 1947, French authorities seized on the borders of gold per ton, while the annual turnover is estimated to smuggle 500 tons. Japanese customs officials were more cautious: in a particularly successful 1967 they seized more than 3 grams of gold smuggled from 30-40 tons of annual illegal entry. A significant portion of the metal, which fell into the hands of the authorities, was hidden in false bottoms of barrels of oil that are shipped to Japan from Canada.
It is hard to think of an object or method that would not appear anywhere in the history and contemporary practice of smuggling gold. There is a common, frequently used methods. Flew scheduled flight couriers wore a suit vest with special nashivnymi pockets, which contained 40 kg of gold, it is clear that for this purpose were good only young and strong people. Recently, a special inspection of passengers undermine the business. In India, Pakistan and smuggled gold is most often driven by motor boat from the ports of the Persian Gulf, Indonesia - primitive junks from Singapore.
The folds of the orange robes of Buddhist monks and colorful saris the Indian women are often
hide small gold bars or coins. Muslim pilgrims returning from Mecca to their homeland, often trafficking in gold: in Saudi Arabia it is sold freely. Known and more unusual and exotic, sometimes comical ways and occasions. In Turkey from neighboring countries, gold penetrates into the stomachs of cattle across the border distilled. One of the Middle Eastern countries sent to their embassy in India furniture, made partly of gold. And so on and so forth.
Smuggling - it's just one of the areas of capital investment. There is a high risk, but high and profits. Therefore, no laws and police measures were not able to stop the smuggling of gold.