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India Turning a Blind Eye to Smuggled Gold

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New report reveals India to be one of the largest gold smuggling hubs in the world.

As a result, gold that is tied to conflict, human rights abuses, and corruption in Africa and South America is entering legal international markets through India.

In its latest report, A Golden Web: How India Became One of the World’s Largest Gold Smuggling Hubs,  IMPACT uncovers how India imports approximately 1,000 tons of gold per year—a quarter more than official figures indicate. Some enters as legal imports thanks to falsified paperwork.

“Actors across India’s gold industry are failing to do proper checks on where gold comes from to ensure it’s not financing conflict and human rights violations,” according to Joanne Lebert, IMPACT’s Executive Director. “With its role as a leading global gold manufacturing centre, India must take action to address the weaknesses in its gold supply chain.”

IMPACT’s research reveals that one third of the world’s gold passes through India, the heart of the world’s gold manufacturing sector. With its gold jewellery exports on the rise, India has become one of the world’s leading trading hubs—with illicit gold entering country, being transformed into goods, and leaving for international markets, including North America.

The report identifies three primary factors which allow a problem of this magnitude:

Tax breaks: To boost India’s refinery sector, the government introduced tax breaks in 2013 for gold doré –also known as unrefined gold. This has led to traders covering up questionable provenance claims by falsifying documentation of gold doré to take advantage of lower taxes. Gold doré imports shot from 23 tons in 2012 to over 229 tons in 2015 as a result of these tax breaks.

Falsified origin documents: Gold doré imports have spiked, with the majority coming from producing countries that lack strong internal controls or are linked to supply chains with weak evidence of due diligence. Analysis of trade data reveals more declared gold imports to India than some countries are capable of producing, such as in the Dominican Republic and Tanzania, as well as instances of paperwork fraud like in Ghana. In the case of the Dominican Republic, as much as 100.63 tons of gold doré imported to India between 2014 and 2017 cannot be accounted for in the country’s gold production.

Complicit allies: Refined gold is being smuggled into India primarily from the United Arab Emirates, while key traders and refiners in Africa’s Great Lakes region with links to India have been identified as being part of the illicit gold trade.

To tackle the problem, IMPACT calls on India to take immediate steps to:

  1. Harmonize its taxes, including between doré and refined gold to discourage smuggling; and
  2. Enhance regulatory controls at the border to require additional, valid information for all imports of all artisanal gold.

“India is at the heart of a web of the illicit trade of gold, with threads spanning the globe and almost certainly financing conflict and corruption. Authorities must take action to remove incentives for gold smuggling and ensure the gold industry implements due diligence. Anyone buying India’s gold jewellery should be asking questions about where that gold comes from to have confidence in their supply chain,” adds Lebert.

IMPACT also calls on actors across India’s gold industry to implement due diligence on their gold supply chains. Gold traders, refiners, and jewellers have a responsibility to understand, mitigate, and publically report on any risks in their supply chain—all the way back to the mine site.

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Politics

‎2027: APC Oyo South ratifies Oseni’s senatorial bid

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Leaders and stakeholders of the All Progressives Congress (APC) in Oyo South Senatorial District have endorsed a member of the House of Representatives, Aderemi Oseni, as their consensus candidate for the 2027 senatorial election.

The endorsement was announced on Wednesday at a stakeholders’ meeting held at Alice Hall, Ibadan, with party leaders, stakeholders, local government chairmen and state executive members from the nine local government areas in attendance.

The councils represented at the meeting are Ibadan North, Ibadan North-East, Ibadan North-West, Ibadan South-East, Ibadan South-West, Ibarapa Central, Ibarapa East, Ibarapa North and Ido.

‎The stakeholders expressed satisfaction with Oseni’s aspiration, describing it as timely, credible and anchored on tested leadership and grassroots appeal.

‎Those present at the meeting included Chief Timothy Jolaoso (Ibarapa East); Alhaji Kamorudeen Ajisafe (Ido); Chief Abdulrauf Bello (Ido); Alhaji Muili Oluokun (Ibadan North-West); Alhaji Mufutau Adisa (Ibadan South-East); Alhaji Bello Oladeji (Ibadan North); Prince Gbade Lana (Ibadan North-East); Engr. Olatunji (Ibadan South-West); Comrade Wale Gbadamosi (Ibarapa North); and Alhaja Moji Adetona (Ibarapa Central).

‎Other party officials in attendance were the senatorial chairman, Alhaji Mojeed Adebayo; the secretary, Fatai Adesina; Welfare Officer, Sunday Babalola; Deputy Women Leader, Alhaja Fatimah Hassan; Auditor, Alhaja Tinu Adigun; Youth Leader, Lekan Adebayo; Ex-Officio member, Kola Amoo; Treasurer, Lateef Ajiboye; and Senatorial Youth Leader, Olalekan Olowe.

A chieftain of the party in Ibadan North Local Government, Hon.  Shina Alabi, moved the motion for the lawmaker’s  endorsement, which was seconded and unanimously adopted by the stakeholders.

Alabi said Oseni’s decision to abide by President Bola Tinubu’s directive to step down his governorship ambition for the senatorial race underscored his loyalty and commitment to party unity.

‎He said, “Hon. Oseni has demonstrated uncommon commitment to the welfare of the people. His leadership style is inclusive, responsive and development-driven. We are convinced that his emergence as the APC candidate for Oyo South Senatorial District will strengthen the party’s chances and guarantee effective representation.”

‎He also urged party members to remain united and rally behind credible aspirants with proven capacity and electoral value.

‎In his remarks, Hon. Aderemi Oseni said his decision to pursue the senatorial seat followed the presidential directives, noting that he accepted the decision in the interest of party cohesion, progress and stability. He recalled that he had earlier prepared for the Oyo South senatorial race in the 2023 general elections, having already purchased the nomination and expression of interest forms as part of an arrangement reached, before stepping down following appeals by party leaders.

The lawmaker, who chairs the House Committee on the Federal Roads Maintenance Agency (FERMA), said the party must close ranks to reclaim political dominance in the senatorial district.

‎According to him, “There is a huge task ahead, especially with several House of Representatives seats in the district currently held by the opposition. We must work together, mobilise effectively and secure victory for our  party and leader, President Bola Tinubu”.

‎Oseni thanked party leaders and stakeholders for the confidence reposed in him and assured them of his commitment to advancing the interests of Oyo South Senatorial District.

The meeting also had representatives from all nine local government areas, with about 10 leaders from each council in attendance.

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APC Secretariat Violence: Oyo Lawmaker Denies Assault, Alleges Smear Campaign

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The lawmaker representing Akinyele/Lagelu Federal Constituency of Oyo State, Olafisoye Akinmoyede, has denied allegations of violence at the All Progressives Congress (APC) state secretariat, describing claims that he assaulted a party member as false and politically motivated.

An online platform, IMPARTNEWSNETWORK, had alleged that Akinmoyede assaulted one Gafar Oyebade during a meeting convened by the state chairman of the party, Alake Adeyemo, to resolve issues surrounding the executive list of the APC in Lagelu Local Government Area.

However, Akinmoyede, in a statement on Tuesday, said the meeting was peaceful and attended by key members of the state executive, including the chairman, deputy chairman, and secretary, who witnessed the proceedings.

He clarified that contrary to Oyebade’s claim of being the party secretary, the official list presented by the state leadership recognised him as the Public Relations Officer.

According to the lawmaker, following the clarification, the state executive directed the Lagelu Local Government chairman, Fatai Awoyoola, to proceed with the swearing-in of other party officials.

Akinmoyede also faulted attempts to link the incident with the 2019 killing of a former federal lawmaker, noting that a court of competent jurisdiction had already ruled on the matter.

He said, “In Suit No. I/70c/2019, delivered by Justice Mufutau Adegbola on January 23, 2020, all those accused were discharged and acquitted.”

The lawmaker expressed concern over what he described as a deliberate attempt to mislead the public, alleging that Oyebade, a public school teacher under the Oyo State Government, should not be involved in partisan politics.

He described the allegation as a “recycled script” aimed at tarnishing his image ahead of political activities, urging constituents to remain calm.

Akinmoyede also called on journalists to verify information before publication and urged security agencies to take action against individuals who file false reports.

“These tactics surface every election cycle. Those behind them should learn to accept the outcomes of political processes. They failed before and will fail again. Power comes from God,” he added.

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Oyo Reps Member Denies Assault, Dares APC Chieftain to Prove ‘Hospitalisation’ Claim

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‎The lawmaker representing Akinyele/Lagelu Federal Constituency in the House of Representatives, Hon. Olafisoye Akinmoyede, has denied allegations of assault levelled against him by a member of the All Progressives Congress (APC) in Lagelu Local Government Area, Mr. Gafar Oyebade.

Akinmoyede described the allegation as “false” and “a lie taken too far,” insisting that no physical altercation occurred.

The denial was contained in a statement issued on Monday by his Legislative Aide, Dr. Isiaq Akintunde.

Oyebade had alleged that he was hospitalised following a confrontation during a meeting held at the office of the state party chairman in Oke-Ado, Ibadan, convened to resolve a leadership dispute in the local government.

‎But the federal lawmaker maintained that the meeting was peaceful and attended by top party officials.

‎“The meeting was convened to clarify Mr. Oyebade’s position within the local executive, and it was attended by the State Party Chairman, his deputy, the secretary, the publicity secretary, and other key state executives, all of whom witnessed the peaceful proceedings,” the statement read.

‎He added that contrary to Oyebade’s claim of being the party secretary, the official list presented by the Lagelu Local Government Party Chairman, Hon. Fatai Awoyoola, identified him as the Public Relations Officer.

‎According to Akinmoyede, the state executive thereafter directed Awoyoola to proceed with the swearing-in of the remaining members of the local government executive.

‎The lawmaker accused Oyebade of fabricating the allegation to advance political interests.

‎“I wonder why Mr. Gafar Oyebade, a secondary school teacher, would claim he was assaulted in the presence of the State Executive. This is an attempt to justify money allegedly collected from an aspirant to tarnish my image,” he said.

‎Akinmoyede further claimed that Oyebade was seen walking freely after the meeting and was not hospitalised as alleged.

‎He also raised concerns over Oyebade’s involvement in partisan politics, noting that civil servants are restricted from active participation in political activities.

The lawmaker called on security agencies and the media to investigate the incident at the party’s Oke-Ado office to ascertain the veracity of the claims.

‎Efforts to reach Oyebade for comments were unsuccessful as of the time of filing this report.

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