MUMBAI: The gold trade and customers in Mumbai are a worried lot as owners of Goodwin Jewellers having retail stores in suburbs of Mumbai and in Kerala have been incommunicado for the past four days, said market sources.
“The affected parties include those who invested in the jeweller’s gold schemes and suppliers of gold who are worried that they might not get their goods or money back, “said a wholesaler who had provided gold to Goodwin.
The site of Goodwin lists some of its stores in Vashi , Chembur, Thane, Mira Road and Dombivili among the suburbs of Mumbai. Sources said anxious crowds of investors in the gold schemes had thronged outside the Dombivli store which remained shut for the past few days. They added police complaints had been lodged in a few locations. ET’s calls to the Goodwin’s Dombivili store went unanswered.
Market sources said mid and small level jewellers were facing stress as consumer demand for the metal had fallen with prices having risen Rs 6500 per 10 gm to nearly Rs 40000 since last Diwali.
Some of the players who have taken gold metal loans are also having to cough up additional margins with banks as the prices have increased. That is especially tough given the drop in customer demand and is forcing the borrowers under gold metal loan to sell the raw gold in the market at a discount to pay back the bank, said a gold desk official from a private bank.