S.K.A.B.Metal is a wholesale buyer and seller of gold (AU), Gold dust, Platinum, Palladium, Silver, Rhodium, Iridium and Rare earth metals.
THE 10 GOLDEN RULES of the GOLD BUSINESS
These rules must be followed by law and therefore seller and buyer have to respect them in their procedure
1. Real Seller or Legally Authorized Signatory (with written authorization from Seller) issues a signed and sealed Full Corporate Offer (FCO) nobody else can issue a FCO. To issue a Soft offer is only useful to see the required procedure from seller. But without FCO there will be no deal at all, FCO is MUST. The FCO must be on sellers or his legal mandates letterhead, signed and sealed.
2. The International Precious Metals Legislation does not allow buyers to first send a letter of Purchase Intent (LOI) because it is considered as SOLICITING and is strictly forbidden. Thats why seller or sellers mandate must move first with an offer which should include metal license details and main banking details. If your seller requires an LOI first it is just broker nonsense the seller is not real.
3. The Buyer/Buyer’s Mandate submits a Letter of Intent and/or RWA (Ready, Willing and Able) and MFPA with transaction code.
4. The Seller/Seller’s Mandate and Buyer/Buyer’s Mandate exchange signed and sealed contract with full banking coordinates.
5. Seller/Seller’s Mandate extends an invitation for the Buyer’s bullion officer ( BBO) to contact the Seller’s bullion officer. (SBO)
6. The Buyer/Buyer’s Mandate accepts the invitation of the Seller’s bullion officer.
7. The Buyer’s bullion officer initiates the contact with the Seller’s bullion officer by SWIFT.
8. The Seller’s bullion officer will be instructed by the Seller to verify the AU metal, the quantity available, and to disclose any/all liens and encumbrances attached to the metal. (POP)
9. Upon receipt of the proof of existence of the Au metal and the certificate of authority to sell, the Buyer will instruct his bullion officer to confirm the availability of funds to be used as payment when the gold is delivered.(POF)
10. The Buyer and the Seller agree on a window time for exchange. The payment to the Seller will be disbursed within 24 hours against the transfer of ownership of the metal. Commissions will be paid immediately and without delay to each appointed paymaster.
Full Swiss Procedures
SELLER SENDS FCO WITH DESCRIPTION OF THE DEAL.
b. BUYER ACCEPTS THE DEAL AS PER THIS LOI/RWA (HERETO), PROVIDES BUYER’S CODE, TRANSACTION CODE, SIGNS & SEALS THE LOI/RWA, NCND AND IMFPA then returns back the package to seller’s side.
C.SELLER’S MANDATE (IF A SIGNATORY) OR THE SIGNATORY WILL SIGN AND SEAL THIS LOI/RWA, RETURNS IT BACK TO BUYER AS ACCEPTED AND APPROVED TOGETHER WITH HIS COLORED PASSPORT COPY.
D. WITHIN THE SAME DAY, SELLER PROVIDES THE SPA/CONTRACT WITH THE TERMS AND CONDITIONS OF THIS LOI/RWA (SIGNED AND SEALED).
E. BUYER COMPLETES THE CONTRACT WITH HIS FULL PERSONAL DATA/BANKING COORDINATES AND RETURNS IT TO BUYER SIGNED AND SEALED.
F. BUYER FINALIZES THE CONTACT AS FINAL AND LODGING VERSION IN FOUR COMPLETE SETS WITH HIS FULL PERSONAL DATA/BANKING COORDINATES IN PDF FORMAT. ELECTRONIC VERSIONS WILL BE BINDING TO BOTH PARTIES. In the event that a Mandated Signing Officer is to sign for and on behalf of his Principal(s), this Contract shall be deemed valid and binding upon Principal(s). Each Party shall be given two (2) sets of the executed Contracts, which shall be lodged TO their respective banks, through their respective Banking Officers.
G. EACH PARTY WILL LODGE HIS CONTRACT WITH HIS RESPECTIVE BANK AND NOTIFIES THE OTHER PARTY IMMEDIATELY.
H. AS PER AGREEABLE WINDOW TIME (BASED ON GMT), BANK COMMUNICATION WILL START TO CONFIRM THE POF AND POP on fully BANK-TO-BANK basis AND UNDER FULL BANKING RESPONSIBILITIES.
I. SELLER WILL MOVE THE GOLD TO THE BUYER’S AGREED LOCATION.
J. bUYER’S BANK WILL RELEASE THE COST OF THE METAL TOGETHER WITH FEES TO PAYMASTERS AS PER IMFPA
K. UPON SUCCESSFUL TRANSACTION OF THE FIRST TRANCHE, PROCEDURES WILL REVOLVE UNTIL STOCK IS EXHAUSTED.
International Precious Metals Legislation + answers to the Patriot Act I and Act II requirements.
The procedures listed here are specific to guidelines issued by the FED and the World Gold Council on June 6th and are required by law to be followed on all ‘GLD’ AU transactions.
At the stage of Bank Officer to Bank Officer it can also be set up as a Table Top Meeting (TTM) at the bank if the seller and buyer wish, or a ledger to ledger inter-bank contract transaction Bank Officer to Bank Officer.
FED and World Gold Council International Procedure:
To use an independent document release agency see http://www.officialescrowservices.com
1. The Seller or his Mandate issue a full corporate offer (FCO). All AU metal offers must show the seller clearly.
2. Only the seller or his legal mandates may issue an AU offer and if it is the mandate issuing it, it must be accompanied by the letter evidencing the receipt of mandate authorization from the seller.
3. All offers received from non-authorized intermediaries will be automatically rejected.
4. The International Precious Metals Legislation does not allow buyers to first send a letter of Purchase Intent because it is considered soliciting and is strictly forbidden.
5. Seller or seller’s mandate must move first with an offer (FCO) which should include metal license details and banking.
6. The Buyer/Buyer’s Mandate submits a LOI (Letter of Intent) and/or RWA (Ready, Willing and Able) with full banking coordinates and permission to do a soft probe.
7. The Seller/Seller’s Mandate and Buyer/Buyer’s Mandate exchange signed and sealed contract with full banking coordinates.
8. Seller/Seller’s Mandate extends an invitation for the Buyer’s bullion officer to contact the Seller’s bullion officer.
9. The Buyer/Buyer’s Mandate accepts the invitation of the Seller’s bullion officer.(SBO)
10. The Buyer’s bullion officer (BBO) initiates the contact with the Seller’s bullion officer by KTT.
11. The Seller’s bullion officer will be instructed by the Seller to verify the AU metal, the quantity available, and to disclose any/all liens and encumbrances attached to the metal.
12. Upon receipt of the proof of existence of the AU metal and the certificate of authority to sell, the Buyer will instruct his bullion officer to confirm the availability of funds to be used as payment when the gold is delivered.
13. The Buyer and the Seller agree on a window time for exchange. The payment to the Seller will be disbursed within 24 hours against the transfer of ownership of the metal. Commissions will be paid immediately and without delay to each appointed paymaster.
14. The paymaster will likewise pay to the intermediaries their earned commission.