Everything in Imitation China is fake. This revelation comes from the fake gold reserves in China. This fake gold scam is also linked to the same city of China with which the Corona virus is concerned. This city is none other than Wuhan itself.
The process of getting bad news related to China has not stopped. Now he is facing allegations of scam in Gold Reserve. It is believed that this may be the biggest gold scam in recent years. This scam has come out of the city, which has become the center of the scam. The corona virus that originated from this city is now causing havoc all over the world. We are talking about Wuhan. According to the report, more than 4 percent of gold in China’s total gold reserves can be counterfeit.
Kingold Jewelery, one of China’s largest jewelers and listed on the Nasdaq, has been accused of having fake bars of gold as a pledge to take loans from 14 financial institutions. The company took a loan of 20.6 billion yuan by pledging 83 tonnes of gold. Most of this gold was merely gilded copper. This is 22 percent of China’s total annual production and 4.2 percent of the country’s gold reserves last year.
Two US law firms have already started investigating it. Kingold China is the largest gold processor in Hubei Province. Its chairman Jia Zhihong is a former officer of China’s Army People’s Liberation Army. The fake gold was revealed in February when a trust tried to sell the pledged gold to make up for the defaulted debt. Then it was discovered that what was considered gold was gilded copper. When this news came to the fore, there was a panic among the banks and financial institutions that loaned Kingold. Some of the lending financial institutions checked the purity of the gold pledged with them and it turned copper. Investigative agencies are investigating this. However Jia denies any fraud. Earlier in 2016, a similar scandal was uncovered in Hunan Province.
