Gold treasure at India temple could be the largest in the world

NEW DELHI (Commodity Online) : The value of treasure consisting of thousands of kilos of gold, diamonds, gems and Silver ornaments, found concealed in different cellars at Sree Padmanabha swamy temple in Thiruvananthapuram, capital of South Indian state of Kerala, is estimated to cross over a mind-blowing Rs 1,00,000 crore ($22 billion).

As per expert accounts, this could be the largest treasure of Gold found anywhere in India and possibly in the world. Two more cellars are to be opened on Monday which could add more value to the already whopping amount.

Analysts said the estimated amount is nearly three times the annual budget size of Kerala. Experts are yet to find out the antique value of the rare articles found from the secret cellars.

However, some experts have questioned the quick estimates, saying it would take several weeks to make an assessment.

The priceless articles includes a gold sheaf weighing 500 kilos, an 18-foot gold chain weighing 10.5 kilos, a 36-kilo golden veil, quintals of gold granules and nuggets, crowns, numerous jewels and diamonds including those from Antwerp and rare coins from many countries including France.

The vaults were opened after India’s apex court, the Supreme Court ordered the state government to take over the temple's assets from a trust controlled by the royal family of Travancore.

The temple has six underground chambers. The two chambers that were opened were last looked at about 130 years ago.

With this stunning discovery, the Sri Padmanabha Swamy Temple has become the richest Hindu temple in India, bypassing the Balaji temple at Tirupati. The Tirupati temple is known to have gold worth Rs 42,000 crore.

The Sri Padmanabhaswamy temple was built in the 16th century by the kings of Travancore. The descendents of the royal family had appealed to the Supreme Court against the petition for the takeover.

The shrine, located right in the heart of the Kerala's capital, is run by a trust floated by the Travancore royal house, to which Lord Padmanabha is the family deity.

Princely states in India merged with the Indian republic after the country gained Independence from British rule in 1947. Initially, the princes were allowed to retain their titles and some property, and were given funds in lieu of the revenue they earlier earned.

But the funds and their titles were abolished in 1971. The descendants of the Travancore royal family, however, continued to control the Sri Padmanabhaswamy temple through the trust.

Meanwhile, the findings have raised serious questions about the treasure’s ownership rights and its future security. It has become a big headache for both Kerala and India governments because of security reasons.

Security experts say that the Kerala Police do not have the means and expertise to provide security to such huge wealth. “You need laser-protected safes, digital surveillance and other such modern systems and programmes for providing security to things like this," a police official said.

With the revelation that the temple cellars are holding unimaginably huge treasures, controversies have sparked off over who the real owners of this wealth are. Believers argue that the wealth belongs to the temple and should continue to be kept in the temple itself under foolproof security.

However, some historians say that the treasure was actually public property hidden away by the erstwhile kings. Atheists and rationalists argue that the treasure could have been black wealth amassed by the kings and hidden in the temple for reasons of the peculiar security situation of those times.

However, Uthradam Thirunnal Marthanda Varma, the present heir of the royalty, said he did not want to say anything about the treasure, describing it as the wealth of Lord Padmanabha. “I must not say anything about it. I am just seeing what is happening,” he said.

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Gold prices feed fever on Philippines' Mt. Diwata

by Jason Gutierrez, Agence France-Presse
Posted at 10/21/2011 11:31 AM | Updated as of 10/21/2011 1:11 PM


MOUNT DIWATA - As grime-covered men emerge from deep shafts on the Philippines' "golden mountain", Norie Palma eagerly prepares to haggle for her share of ore from the weary miners.

The former laundrywoman turned gold buyer directs the procession to her small milling shack amid grunts from the miners whose backs are stooped under the weight of their hauls from the dangerous honeycomb tunnels of Mount Diwata.

"It is like this everyday. People are always digging, searching and haggling for that stone with the best gold," says Palma, a 36-year-old mother of four who runs one of many backyard mining operations on Mount Diwata.

"Gold is what we live for on this mountain."

With global gold prices rising as investors park their funds in the precious metal to hedge against an uncertain global economy, Palma said she and other prospectors on Mount Diwata were enjoying a windfall.

Gold hit a record high of $1,921.15 an ounce in early September and, although it has since fallen back, some analysts have forecast it will hit the $2,000 mark this year.

A college dropout, Palma's operation has lately been producing thousands of dollars’ worth of gold -- a fortune in the impoverished Philippines.

"You could say gold changed our life. I now have the money to buy the things that I want," she said. "And we want more of it while the prices are high."

Palma buys the ore dug up by the miners who don't have the means to process it, then trades with jewellers and brokers who regularly make the arduous trip up the 2,012 meter (6,600 feet) mountain to buy the yellow nuggets.

The Philippines has some of the biggest gold and other mineral deposits in the world, according to the US government, but the country's official mining industry is relatively small and hard to access for foreign firms.

Illegal mining, in which individuals or small-scale ventures simply start digging on vacant land, is rampant.

Mount Diwata -- located in the violence-plagued and often lawless southern region of Mindanao -- is the country's biggest and most famous of these "gold rush" sites.

It has yielded at least 2.7 million ounces of high grade ore since a tribesman first discovered gold there three decades ago, according to local government data.

The discovery of gold on the mountain triggered a mad rush of people from all walks of life, from military deserters and ex-communist rebels to gun runners and ordinary folk dreaming of that life-changing haul.

The government estimates that at the height of the gold fever in the early 1980s, the population in the area peaked at nearly 100,000.

The present population is believed to be 40,000, according to officials, but they said more miners had started returning to the area recently to take advantage of the rising prices.

However, Mount Diwata is as famous for the misery it has wrought upon the miners and the destruction of the local environment as it is for the riches enjoyed by the lucky ones.

The first generation miners and their families settled in small cliff-side shacks and dug tunnels under their homes, creating the blueprint for a chaotic and dangerous existence in which many laws of society and nature were ignored.

Highly toxic mercury is used in the mining process, polluting the Naboc stream that cuts through the village.

Armed disputes erupted between rival miners and their thugs, according to local village chief Rodolfo Boyles, himself an ex-miner, although he said violence dropped after the military stationed some troops there nine years ago.

He said hundreds of people had also perished in cave-ins and other mine-related accidents.

The hardships of working the mines have earned Diwata the tag "diwalwal", local slang referring to tongues that hang out after a hard day's labor in the tunnels.

"When you enter the mines your life is already at stake, you might be buried there or you might get hit by falling rock," said Dandy Labrador, 28, who left his work as a security guard to become a miner.

"It is dangerous and anything can happen."

Labrador said he arrived at Mount Diwata several years ago filled with dreams of striking it rich, but found that fortune-hunting was back-breaking work.

Like the vast bulk of the miners, Labrador works as a hired hand and is paid with a share of the ore that he digs up. He then sell his ore to brokers.

Still, Labrador said he earned more than he would as a construction worker or labourer in Manila, the country's capital.

"And I have not given up on my dream of becoming rich," he said.

Boyles said there had long been a plan to bring in big mining firms with modern extraction methods and make the operations there legal, but small miners had resisted the idea and continued to virtually control Mount Diwata.

With the high global gold prices, the government is concerned that there will be more Mount Diwata-style operations around the country.

Environment Secretary Ramon Paje recently said 70 percent of gold produced in the country already came from illegal mines.

"There is the possibility of a gold rush, because gold is the safest commodity right now," he said. "But we have to manage our resources well... this is not the kind of mining we want to encourage."