Maduro Takes a Step Forward in Withdrawing $1 Billion Worth of Gold Deposited at the Bank of England

Young, Appeals Court Overturns Lower Court Ruling and Recognizes Maduro as Venezuela's Legitimate Leader

[Asia Economy Reporter Naju-seok] The possibility that Venezuelan President Nicolas Maduro can withdraw approximately $1 billion (1.16 trillion KRW) worth of gold deposited at the Bank of England has increased. This is because he won the legal battle at the UK Court of Appeal over who holds the rightful authority to withdraw the gold.

Nicol?s Maduro, President of Venezuela
[Photo by EPA Yonhap News]

On the 5th (local time), the UK Court of Appeal in London overturned the lower court's ruling and recognized President Maduro as the legitimate leader of Venezuela. Previously, the UK lower court had recognized Juan Guaid?, the National Assembly Speaker who claimed to be the interim president of Venezuela, as the legitimate leader.

The reason the UK courts are holding trials over who is the legitimate leader of Venezuela is because of the gold deposited at the Bank of England.

Venezuela needs medical supplies and other quarantine materials due to the spread of the novel coronavirus (COVID-19), but it has run out of foreign currency to purchase them. Although Venezuela is a resource-rich country with abundant oil, it cannot secure foreign currency due to US sanctions. For this reason, President Maduro has proposed withdrawing the gold deposited at the Bank of England to buy the necessary medicines.

On the other hand, Speaker Guaid? opposed the withdrawal, claiming that President Maduro only wants to seize the gold. Guaid? had prevented the withdrawal of the gold deposited at the Bank of England through the central bank governor he appointed.

The Bank of England was forced to determine who the legitimate leader of Venezuela is. Ultimately, the matter went to court, and both President Maduro and Speaker Guaid? claimed through their lawyers that they are the rightful leaders of Venezuela.

The complexity of this issue lies in the fact that the international community recognizes Speaker Guaid? as the legitimate leader of Venezuela, but the UK government recognizes the Venezuelan ambassador to the UK appointed by President Maduro and maintains diplomatic relations by dispatching a UK ambassador to Venezuela.

With President Maduro's victory in this trial, the possibility of Venezuela withdrawing $1 billion worth of gold has increased.

President Maduro's legal counsel said, "Considering the legal interpretation understood and explained by the court, we cautiously remain optimistic," adding, "Even if this trial proceeds to a commercial trial, we believe the court will rule in our favor."

This content was produced with the assistance of AI translation services.