US Mint bought gold linked to Mexico, Peru pawn shops, claims NYT probe

The United States Mint has reportedly sourced gold from foreign and potentially illicit supply chains, despite a legal requirement to use only domestically mined gold, according to an investigation by The New York Times.

The report said the Mint purchased gold originating from pawn shops in Mexico and Peru, and even from sources linked to organised crime, before processing it into coins featuring the Lady Liberty design marketed as American-made.

According to the investigation, some gold was reportedly traced to mines allegedly controlled by the Clan del Golfo, a major Colombian drug cartel. The report also claimed that gold linked to environmentally damaging and illegal mining operations entered the global supply chain before reaching US facilities.

The Mint is required by law to use only gold mined in the United States for its bullion coins. However, the report said the agency has reportedly relied on a complex supply chain in which foreign gold is effectively reclassified as domestic under certain procurement practices.

The investigation further alleged that some gold came from controversial sources, including a Honduran company accused of extracting ore from an Indigenous burial site.

The report said similar practices were observed at the Royal Canadian Mint, suggesting broader challenges in regulating global gold supply chains.

According to the findings, high global demand for gold, driven by economic uncertainty and geopolitical tensions, has contributed to a surge in mining activity, including illegal operations linked to armed groups and environmental damage.

The New York Times said the lucrative nature of the gold trade and thin profit margins across supply chains have made it difficult for refiners and institutions to enforce sourcing standards strictly.

There was no immediate response from the US Mint to the claims in the report.