Long-time readers will remember my covering the gold-bar scandal where falsely verified bars were turning up in storage vaults in New York City and Canada back in 2012.

These bars with all the official stamps were actually Tungsten bars with gold plating when they were assayed.

On Wednesday Reuters reported that gold bars stamped with fake logos of major precious metal refineries have been found in the vaults of JPMorgan. The initial estimate is that $50 million in fake gold bars have been found, but due to the sophisticated nature and quality of the hoax that number could soar as more investigations begin.

It was not immediately known if the counterfeit bars were pure gold or a Tungsten blend.

It should come as no surprise to precious metal investors that fake gold bars are showing up in inventories around the globe. The price of gold has jumped to more than $1,500 recently up some $300 over the last year.