As investors turn to gold as an inflation-proof safe haven amid global turmoil, opportunists are exploiting the market to the detriment of international financiers. A Dubai-registered gold trading firm, Veritas Gold Trading LLC (“Veritas”), is now the subject of a criminal investigation following loan defaults and the alleged use of forged trade documents.
Veritas obtained trade financing from international investors to acquire small-scale gold in Africa, which was to be shipped to Dubai for refining and sold for profit. However, after Veritas defaulted on its loan financing, company leadership repeatedly offered “shifting sands” excuses to delay repayment. In response to the persistent defaults, financiers demanded full trade documentation verifying the company’s export activities.
To placate impatient lenders holding months-overdue loans, Veritas Chief Executive Officer Kevin Hart—self-acclaimed author of the Gold Buyer’s Bible—circulated alleged proof of gold trading and Kenyan export activity.
The documentation featured official-looking stamps from the “Kenya Revenue Authority” and the “East Arrican Customs Revenue Dept.”. Financiers quickly spotted glaring typographical errors and unevenly spaced date stamps, exposing the export papers as faked.
The discovery of forged documents has pointed to a broader fraudulent commercial operation. Multiple law enforcement authorities have been notified, and an active criminal investigation is underway into Veritas and its executive team.
Authorities are examining the roles of key company directors alleged to have orchestrated the operation, including CEO Kevin Hart, UK-based director Jon Matthews, and Dubai-based UK national Marc Ingram.
