"ملف ٢/٨ ‎ II‎ تهريب الذهب" [و‎‎٥‎٠] (١٢٠/٩٩)

British Legation,
Beirut,
O.i'.B, 181 23rd Septerioer, 1549-
(i456/VU9)
COMFinBKriAL
Sir ?
I liRve t *3 honour to report that the traffic in gold i^ars
and sovereigns thi^o'jgh Beirut in 'transit lias shown signs of a narked
increase in volixie since the prohibition of the export of gold fron
Mexico in mid 1947.
2 . _ Altliough local gold merchants are ‘reluctant to divulge
poj. ciculai o Ox preoeno soux^ces or supplg and destinaGion 0 . eiruG
banlcer, who as far as I an aware is not himself engaged in the traffic
’nas provided me in confidence with the follorvvijv- account of iia.v it
operates.
(i) Gold bars fran Holland and other con.tines.ital countries ?
ti^e United States, Colonbia and Argentine are mipcrted
by Beirut merchants into Beirut port free zone against
payment in dollars.
(ii) The gold bars are re-exported to Hov^ait against payment
in sovereigns which are inpa^ted into Beirut in ti*ansit t
(lii) The gold .oars ex Kowait are sold against so^/ereigns in
India, wnere it is reported that gold in bai's is 204
cheaper than in sovereigns.
(iv) The sovereigns ex Beirut are sold in Switzerland against
payment in dollars or Swiss francs, (The Beirut merchant
is reported to r.ialce a net profit of •£,Lcb. 1.00 per sovereign-
cn the transaction to this nonent frai the time of purchase
of the gold bars.)
(v) m Switzerland sovereigns are bought by Tepline (Trails-
Arabian Pipeline Oanpany) against payment in dollars, and
uhe former ere paid to Ssudi-Arabia in respect of royalties*
/(vi)
The Under Secretary,
CcTtiiiercial .Relations and TScp^rts Department*
Board of Trade,
Millbanl:,
imm, s,w # i.