Sell Gold to Hong Kong or Bangkok
The following are abridged versions of current buying processes introduced to combat COVID-19
Dore Bars
(a) Hong Kong has closed its borders. Every arrival will be subject to 14 days of quarantine. Deliveries of dore bars can be accepted In amounts for 20 kilogram up to 1,000 kilogram on each working day Hong Kong.
(b) Buyer and Seller exchange valid FCO and LOI electronically.
(c) Buyer and Seller execute a legal contract electronically to buy and sell a specific amount of gold. Seller evidences gold for sale and the Buyer will cause a BCL to be issued to prove funds are available.
(d) Malca-Amit, their local agent or the Seller’s nominated logistics company will deliver the consignment. The logistics company shall be responsible for clearing Hong Kong Customs and delivery to the refinery.
(e) Payment for consignments will be made on the next working day after delivery to the refinery.
Immediate Payment
(a) Buyer and Seller exchange a valid FCO and LOI electronically.**
(b) Seller delivers gold to a nominated refinery in Hong Kong and receive 85% of agreed price. Funds remitted to Seller and Consultants by interbank SWIFT.
(c) Balance of 15% paid after issue of new Certificates of Purity and Weight. Usually the next working day.
(d) Delivers of gold can continue until Seller’s inventory exhausted.
Delivery Order
(a) Buyer and Seller exchange a valid FCO and LOI electronically. **
(b) Seller issues a Delivery Order to Malka-Amit, or their local agent, to deliver a consignment of gold to Hong Kong, clear Customs and deliver to a refinery.
(c) Based the Delivery Order the Buyer will deposit funds in its refinery account with instructions to release after issue of new Certificates of Purity and Weight.
(d) Deliveries of gold can continue until Seller’s inventory is exhausted.
Delivery & Validation of a BCL ***
(a) Buyer and Seller exchange a valid FCO and LOI electronically**
(b) Seller evidences that gold exists with a SKR and the Buyer will cause a bank to send a BCL to the Seller’s bank for validation.
(c) Buyer and Seller execute a legal contract to buy and sell a specific amount of gold.
(d) Malka-Amit can deliver the gold from the Seller’s security warehouse to the refinery.
(e) After issue of new Certificates of Purity and Weight payment is remitted to the Seller.
(f) Deliveries of gold can continue until Seller’s is exhausted.
(g) This programme was devised especially for gold in safekeeping in Hong Kong. It may be possible to extend the concept to other selected countries
Guidance Notes
• The abstract of procedures is to define how it is possible to sell gold with processing and accelerated disbursements of remittances to Seller’s and Consultants.
• Whilst suggestions are welcome please take into account that attempting to tinker with a proven process invariably leads to time delays or failure.
• **To be valid a FCO must be written on stationery of the Seller. If a Mandate has been engaged a copy of their letter of authorisation is needed. Hiding the Seller invariably causes fees to be lost.
• It is not possible to issue a LOI in advance of a valid FCO. In certain jurisdictions a LOI is classified as a legal document consequently it can only be addressed to a Seller.
• *** There is no disputing banks have an aversion to issue MT700 series SWIFT messages in connection with gold transactions. This is due to attempts to use financial instruments illicitly in the past or none existence of gold. Sources exist to issue BCL. BCL can have a validly period of 366 days to cater for daily, weekly or monthly delivery of tranches of gold, BCL can be validated bank-to-bank.
• Detailed descriptions of procedures are available on request. Priority will be given to requests with a valid FCO. A SCO is not a recognised offer to sell.
• All visitors to Hong Kong are required to self-quarantine for 14 days and wear a wrist band app for tracking and alerts.
• Preference will be for deliveries of gold to Malca-Amit at Hong Kong airport or directly to the refinery. Consideration will be given to FOB subject to net discount and payment remitted after assay. Advance cash payments will not be made.
FUNDS AND REFINERY SPACE ARE CURRENTLY AVAILABLE IN HONG KONG. REFINERY SPACE IS HOWEVER LIMITED.
PLEASE NOTE:
2020 04 02
Only this process is still open:
(a) Seller delivers one tonne of gold to a nominated refinery in Hong Kong.
(b) Consignment will be inspected on arrival and 85% off the agreed price immediately remitted to Seller and Consultants by SWIFT.
(c) The balance of 15% remitted on the next working day after issue of Certificates of Purity and Weight.
(d) The process can continue until the Seller’s inventory is exhausted.
Through our freight forwarder, Malca-Amit, consignments can be collected, cleared through Customs & Excise in Hong Kong and delivered to the refinery.
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