"Documents link Amazon and Google to companies investigated for illegal gold mining", 16 December 2024

...AMAZON, GOOGLE AND EMBRAER are among the multinational companies that may be using gold sourced from a Brazilian group under investigation for buying and exporting gold from illegal mining operations in the Amazon. The Federal Police also suspect that, since 2021, part of this gold has been illegally extracted from Indigenous territories and conservation units.

Customs data accessed by Repórter Brasil shows that, in the last four years, the Indian refiner Sovereign Metals made several purchases of gold from Fenix Metais do Brasil, based in Cuiabá (MT). Fenix Metais do Brasil and Fenix Distribuidora de Títulos e Valores Mobiliários, companies from the same business group, are implicated in gold exploitation and “laundering” schemes, according to investigations by the Federal Police obtained...

In “gold laundering” schemes, mining titles from regulated areas are falsely indicated in invoices as the source of the marketed gold, aiming to give the appearance of legality to gold extracted from illegal mining operations.

Besides Amazon, Google (through its parent company, Alphabet Inc.), and Brazilian company Embraer, the Indian refiner is listed as a potential supplier of gold to companies such as Philips, Sony, Canon (manufacturer of photographic equipment), Dolby (audio technology lab), 3M (manufacturer of health, safety, and office supplies), and even Starbucks, which sells coffee machines containing gold filaments. 

The information about the commercial relationship is disclosed by the companies in their 2023 Conflict Minerals Reports...

Amazon responded that it is committed to “offering products and services produced or supplied in a way that respects human rights and the environment” and to “avoiding the use of minerals that fuel conflicts.” Philips stated it does not buy directly from Sovereign. “It appears in our 2023 Conflict Minerals Report because it is listed as a supplier to one of our suppliers, but we have no confirmation that it is linked to any of our products,” said the statement.

Embraer denied having commercial relationships with Sovereign Metals and stated that gold is not a relevant item in its suppliers’ production chains. “We have initiated a more in-depth diligence process to understand if there is any connection between our suppliers and gold extraction in Brazil, including questioning potential actions to mitigate risks.”

Starbucks said it is committed to ethical sourcing in its supply chain and has no active contracts with Sovereign or Fenix.

3M responded that the Indian refiner is not its supplier.

Sony, Canon, Dolby, and Google did not respond to the inquiries sent by Repórter Brasil by the time of the publication.

The Fenix Group responded that its activities “are guided by legality, transparency, and compliance” with international standards. “Regarding the investigations mentioned in the article, which are under confidentiality, the companies are available to the competent authorities to provide any information.”

Sovereign Metals did not respond to the Repórter Brasil‘s contact attempts. In a document detailing its precious metal acquisition policy, the refiner states that the products it buys come from “legal and ethical sources” and that it “refuses to purchase metals from illegal mining or suppliers that do not comply with local and international regulations.”

Read the companies’ full responses here...