Syndicate Committee: Fake-branded Gold Bars "Locally Made"

George Michel, head of the Gold Traders Syndicate Committee said that the fake-branded gold bars and coins circulating in the Egyptian market are of local manufacture and were not imported from abroad.

Head of the syndicate committee added, during a meeting with gold and jewelry traders, that the rise in gold prices to historical levels amid the increasing demand of citizens to hedge against the decline of the currency prompted some underground workshops to offer ounces and coins filled with copper, and display them for sale as imported products through social media groups.

Michel explained that there is a difficulty in recognizing the precious metal, and there are special ways to test gold authenticity, including an examination called "Cheshna”, by cutting a small part of the yellow metal to determine its purity.

He added that selling bullion in the markets through packaging and asking customers to keep the packaging to ensure obtaining the "cashback", facilitated the circulation of fake products, in light of the manipulators’ guarantee that customers would not open the packaging, and disclose it.

He pointed out that this phenomenon, or what is known as the "refund rate", has hurt the domestic market, and it is not much different from the exchange policy of gold jewelry for precious stones.