Macau bank sold gold for Pyongyang
12 December 2006
Banco Delta Asia, the small Macau lender at the center of a money laundering dispute between the US and North Korea, has admitted playing a larger role in servicing Pyongyang than originally thought, the Financial Times reported. In addition to channeling North Korean cash through its accounts, the bank also purchased a large amount of gold bullion, according to a US Treasury filing made by its lawyers, US firm Heller Ehrman. The disclosure appears to partially confirm reports in a Macau magazine that Delta Asia bought 9.2 metric tons of gold from North Korea in the three years to September 2005. It was said that this raised US$120 million for Pyongyang. About US$25 million in North Korea-linked accounts at Delta Asia was frozen last year after the US launched a financial crackdown. Pyongyang subsequently pulled out of the six-party talks on ending its nuclear programs but has agreed to return to the table next week.
