August 07, 2020

Perth Mint - Incident Review Process Update

The Perth Mint remains a Good Delivery List Refiner

As the Global Authority for Precious Metals, LBMA maintains the highest standards for responsible sourcing. It, therefore, takes very seriously the recent allegations relating to The Perth Mint which have resulted in the LBMA invoking its Incident Review Process (IRP). As an iterative process, the IRP has involved extensive discussions with the refiner, auditor, and market participants, including the LBMA Physical Committee.

Following the conclusion of this IRP, The Perth Mint remains a Good Delivery List Refiner. LBMA did not find any instances of zero-tolerance non-conformance.

There are elements of The Perth Mint’s risk assessment, which need to be strengthened through a Corrective Action Plan (CAP) to be audited by a third-party auditor. The previous auditor is no longer approved, and The Perth Mint will be required to use a new Approved Service Provider to carry out the audit.

This CAP will address the weaknesses in the application of The Perth Mint’s management systems. For example, the Papua New Guinea based counterparty was identified as medium risk, rather than high risk.

LBMA reserves the right to re-visit this conclusion, if new information relating to The Perth Mint, becomes available.