Royal Canadian Mint says it has begun a full internal review after allegations surfaced that some of its gold supply may be connected to mines in Colombia reportedly controlled by criminal groups.
The response follows claims raised in a report by The New York Times suggesting that some gold refined by the Mint originated from a Colombian region where the Clan del Golfo drug cartel has influence over mining operations.
According to the report, the Colombian gold was allegedly sent through an intermediary in Texas, where it was blended with American gold before reaching Canada. The report said the resulting mixture was then classified as North American material.
A spokesperson for the Mint said the organization immediately suspended refining any material connected to the supply chain identified in the allegations as soon as it became aware of the issue.
The Mint added that mixed-source material represented about five per cent of the more than five million ounces of rough gold it refined last year.
Officials said the organization regularly reviews its suppliers and business relationships and takes prompt action whenever concerns arise.
The case is likely to renew scrutiny over global mineral supply chains, responsible sourcing standards and the challenge of ensuring precious metals entering international markets are not linked to organized crime or human rights concerns.