Beneath the Shine: Illicit gold and financial crime
Gold has long been considered a safe haven — a store of wealth, a symbol of luxury, and a pillar of the global economy. But beneath its gleam lies a darker story. As demand for gold surges globally, so do its links to financial crime, environmental destruction, human rights abuses, and armed conflict.
In our latest Tathabbat Briefing Note, Beneath the Shine: Illicit Gold and Financial Crime, we unravel the complex web connecting gold to illicit financial flows, corruption, smuggling, and conflict financing.
What’s Inside the Report?
🛑 The Mechanics of Illicit Gold
- Gold laundering by organised crime networks
- Role of gold in conflict financing and sanctions evasion
- Real-world examples from Africa and South America
🌐 Global Supply Chain Blind Spots
- Artisanal and small-scale mining (ASGM) vulnerabilities
- Informal trade and exploitation of local communities
- Weak enforcement and fragmented oversight
⚖️ Legal and Regulatory Risks
- AML and sanctions breaches in gold supply chains
- ESG non-compliance in high-risk jurisdictions
- Enforcement examples from the UAE and US
🧭 Case Study Spotlight: Sudan & Wagner’s Gold Network
- Wagner Group's entrenchment in Sudan’s gold industry
- Smuggling routes to global markets
- Security and geopolitical implications
What’s Inside the Report?
Financial Crime Risk
Illicit gold enables money laundering, sanctions evasion, and terrorism financing. As a high-value, low-trace commodity, gold is often exploited to mask criminal proceeds.
Legal and Compliance Risk
With tightening international regulations, including AML/CTF laws and ESG reporting frameworks, institutions face enforcement actions and reputational loss for failing to detect illicit links to gold.
Environmental and Social Risk
Informal gold mining drives deforestation, mercury pollution, and human trafficking — especially in Latin America, Sub-Saharan Africa, and Southeast Asia. Exposure to these crimes can severely damage investor trust and stakeholder confidence.
Gain a detailed understanding of how illicit gold fuels global financial crime, weakens supply chain integrity, and exposes institutions to serious compliance, reputational, and ESG risks.
Top Insights from the Briefing
$2 billion in gold smuggled from Sudan by Wagner-linked networks
80% of jobs in gold mining come from informal ASGM sites
32 UAE refineries suspended in 2024 for AML violations
50% of mines globally don’t report key data
Gold identified as a top priority for sanctions evasion by regulators
What You’ll Gain by Downloading
✅ A 360° understanding of gold’s role in illicit finance and global criminal networks
✅ Clear red flags for supply chain screening, AML risk, and ESG violations
✅ Strategic insights for financial institutions, corporates, and compliance teams
✅ Practical recommendations to strengthen due diligence and risk mitigation
✅ A deeper understanding of the intersection between gold, crime, and global policy