Premier Mark McGowan is facing increasing pressure over Perth Mint’s alleged flouting of regulations after news the trade of diluted gold bars to China could lead to a $9 billion recall.

The news comes days after allegations former Hells Angels bikie boss Dane Brakovich was able to purchase $27,000 of gold with nothing more than a driver’s license as identification.

Mr McGowan has previously told reporters the issues with the Perth Mint were administrative.

Financial crime expert Nathan Lynch told Gary Adshead the issues are potentially much more damaging to Perth Mint’s credibility than the Premier describes.

Press PLAY below to hear why Perth Mint’s credibility could be seriously damaged.

State opposition leader Shane Love said a royal commission should be held to investigate the allegations.

“When you look at some of the issues that have been raised here, the scale of the problem [is] hundreds and hundreds of millions of dollars in potential penalties,” he said.

Press PLAY to hear the full interview with Shane Love.