---
title: "Fool's Gold: How One Company Used Fake Gold To Secure $2 Billion in Loans"
description: When it comes to offering collateral for loans, you can't do much better than gold bars. Unless, of course, those gold bars aren't gold at all. This article from the Nikkei Asian Review tells the story of how Wuhan Kingold Jewelry Inc. managed to secure over $2 billion in loans using fake gold as collateral — and how it all eventually fell apart.
image: https://www.barryinvestmentadvisors.com/hubfs/Gold.jpg
---

July 21, 2020

# Fool's Gold: How One Company Used Fake Gold To Secure $2 Billion in Loans

When it comes to offering collateral for loans, you can't do much better than gold bars. Unless, of...

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Posted by [Barry Investment Advisors](https://www.barryinvestmentadvisors.com/blog/author/barry-investment-advisors)

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When it comes to offering collateral for loans, you can't do much better than gold bars. Unless, of course, those gold bars aren't gold at all. This article from the Nikkei Asian Review tells the story of how Wuhan Kingold Jewelry Inc. managed to secure over $2 billion in loans using fake gold as collateral — and how it all eventually fell apart.

                                                        [![Click Here to Read](https://no-cache.hubspot.com/cta/default/424177/619c029d-ffb4-44b8-ab1f-9d102a8415b0.png)](https://cta-redirect.hubspot.com/cta/redirect/424177/619c029d-ffb4-44b8-ab1f-9d102a8415b0)

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