A major transnational gold trading scandal has triggered a sweeping investigation by law enforcement agencies and financial regulators in The Gambia, following allegations that a United Arab Emirates commodities firm was defrauded in a sophisticated scheme involving fake bullion, forged certificates, and large-scale financial manipulation.

Court documents filed at the High Court of The Gambia show that Arabia Gulf Diamonds DMCC, a Dubai-based company operating within the DMCC free zone, has initiated civil proceedings alongside parallel complaints to the Financial Intelligence Unit (FIU) and the Gambia Revenue Authority (GRA).

The firm is seeking both criminal asset recovery and tax investigations against two licensed Gambian gold brokerage companies.

At the centre of the case are Wuria Ventures Company Limited and B & M Gold & Silver Brokerage Shipping and Services Ltd, both of which operate under government-issued mining licences.

According to the Statement of Claim filed on May 18, 2026, the dispute began in March when the Dubai firm was offered a 214-kilogram gold dore shipment allegedly originating from Guinea.

To secure an initial tranche, the investor transferred $3.6 million through Safaro Trading Limited into a Gambian account held by Wuria Ventures at Ecobank Gambia.

A key document presented in the deal, a “Certificate of Control of Mining Products” issued by KK Gold Refinery Company Ltd in Bijilo, claimed the gold was of 96–97% purity.

But the transaction quickly collapsed after the payment was made.

According to filings, the sellers began delaying export clearance, citing additional documentation requirements.

When the buyers eventually recovered the gold bars and handed them to the Gambia Police Fraud Squad for verification, forensic testing reportedly revealed a shocking result, purity levels of just 2% to 5%, indicating the bars were not genuine gold.

The FIU has since reported that the $3.6 million was rapidly withdrawn and dispersed through multiple channels shortly after receipt. The primary seller, identified as Guinean national Ibrahima Ba, is now reportedly on the run.

A source close to the investigation described the scheme as “a coordinated financial deception built on forged documentation and institutional trust.”

Parallel tax fraud allegations emerge
In a separate but related complaint, B & M Gold & Silver Brokerage is accused of orchestrating a second layer of financial misconduct involving tax underdeclaration and misrepresentation of export values.

The firm allegedly issued a proforma invoice of $800,000, claiming it represented government taxes and associated export fees for a 200-kilogram shipment valued at $18 million.

However, customs records reviewed by lawyers suggest the shipment was grossly undervalued, with declared figures far below market value – allegedly depriving the state of more than $1 million in legitimate export tax revenue.

Instead, investigators believe the majority of the $800,000 was retained privately under the guise of official payments.

Corporate structures under scrutiny
The lawsuit seeks to pierce the corporate veil of the accused companies, naming multiple directors and shareholders as jointly and severally liable.

It also alleges that KK Gold Refinery Company Ltd issued fraudulent purity certificates and restricted independent verification processes inside its facility.

The refinery is accused of barring external testing equipment and enforcing strict controls on buyers during inspections – actions now under legal scrutiny.

The High Court has been asked to order full restitution of the $3.6 million, recover wasted logistical costs exceeding $300,000, and impose punitive damages, including 18% commercial interest.

The Financial Intelligence Unit and GRA are expected to expand their investigations into whether the case is part of a wider pattern in West Africa’s gold export trade.

Authorities have not yet issued formal charges, and all allegations remain subject to judicial determination.